Pennsylvania regulators warn data centers could increase risk of power outages by 2030

Tom Lehman, Pa. —

Pennsylvania regulators are warning that the state’s power grid could face significant challenges by 2030 due to the growing demand from data centers, potentially leading to more frequent power outages.

Regulators warn of increased outage risk

Stephen DeFrank, chairman of the Pennsylvania Public Utility Commission, said the increased power demand from data centers could result in the grid not generating enough electricity to meet future demand.

“We don’t want to create panic here, but this report is a warning signal,” DeFrank said.

He explained that if more data centers connect to the grid than anticipated without new power generation, the frequency of power outages could rise dramatically.

“If more data centers interconnect than we are expecting, with no new generation, that number changes from one loss-of-load event every ten years to 13 events every year by 2030,” DeFrank said.

DeFrank emphasized the need for data center projects to include their own power supplies and for the state to increase overall power generation. He suggested a mix of energy sources, including natural gas, nuclear, and green energy options.

“The answer is all. All of the above,” he said.

Officials seek to protect ratepayers

Molly Parzen, executive director of Conservation Voters of Pennsylvania, said the state must work with power grid operator PJM Interconnection and the federal government to ensure Pennsylvania families are not left paying for the increased power demand from data centers.

“It opens us up to the potential for Pennsylvania families being left holding the bag by these data center developers and the major tech companies backing them,” Parzen said.

PJM Interconnection, which operates the regional power grid, said in a statement that it is collaborating with the federal government and Pennsylvania to address the issue.

“PJM believes these combined, focused efforts can preserve reliable electrical service in the near and long term without unfairly burdening regular ratepayers,” the statement read.

State officials, including the governor, are also focusing on the idea of requiring new data centers to bring their own power sources as part of their projects, following a recent executive order.