What caused the 76% surge in wholesale power prices on the US's largest electric grid in Q1?

The 76% surge in wholesale power prices on PJM Interconnection LLC’s 13-state grid in the first quarter was driven by 'rampant demand from data centers', specifically those supporting artificial intelligence, which 'require vast amounts of energy and are putting a new burden on America’s aging power grids.'

How much did average wholesale power prices rise on PJM's grid in Q1 2026 compared to Q1 2025?

Average wholesale power prices on PJM’s grid rose from $77.78 per megawatt-hour in Q1 2025 to $136.53 per megawatt-hour in Q1 2026 — an increase of $58.75 per megawatt-hour, or 76% — according to Monitoring Analytics, PJM’s independent market monitor.

Data Centers Drive 76% Surge in US Power Bills on Largest Grid

May 14, 2026

Wholesale power prices on the US's largest grid surged 76% in Q1 due to soaring demand from AI data centers. PJM Interconnection faces criticism as costs rise to $136.53 per megawatt-hour, impacting 67 million consumers.

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