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Data centers may face temporary power cuts to prevent blackouts on largest US grid
TechCrunch • • business
Key Points:
- PJM Interconnection, the largest U.S. electrical grid operator, will begin cutting power to data centers of 50 megawatts or larger during shortages starting June 2027, after a capacity auction failed to meet demand.
- Data centers are rapidly increasing electricity consumption and are projected to use four times more power by 2035, putting strain on grid operators to generate sufficient energy.
- Affected data centers will be compensated under demand response programs, which provide advance notice of power cuts ranging from 30 minutes to several days depending on demand forecasts.
- The power curtailments may drive data centers to install on-site generation or rely on diesel backup generators, which are more expensive and typically more polluting, with federal limits on their annual usage for demand response and emergencies.
- Vantage Data Centers faced criticism for allegedly working with Virginia regulators to challenge a report linking diesel backup generators at a large data center to significant health damages in nearby communities.
