Data centers may face temporary power cuts to prevent blackouts on largest US grid
The PJM Interconnection grid operator plans to curtail power to large data centers starting in 2027 to prevent blackouts during peak demand. This move highlights the strain that rapid data center expansion is placing on the U.S. electrical infrastructure.
Why it matters
The energy demands of the AI and cloud computing boom are forcing a re-evaluation of grid capacity and environmental regulations.
The largest electrical grid in the U.S. has struggled to cope with an onslaught of data centers. Now, after an auction to add more generating capacity fell short, the grid’s operator, PJM Interconnection, has said it will cut off data centers and other large users during power shortages.
The decision arrives as the breakneck pace of data center construction has grid operators scrambling to generate power. Data centers are expected to use four times more electricity as they do today by 2035.
PJM won’t start curtailing supply until June 2027, and the cuts will only apply to data centers that are 50 megawatts or larger. The grid operator is running another auction for new generating capacity.
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