Federal energy regulator signals crackdown on biggest US grid operator

By Josh Siegel | 06/01/2026 06:54 AM EDT

“There’s definitely sticks in the closet we could take out and beat up PJM with,” said Federal Energy Regulatory Commissioner David LaCerte.

A utility pole is cracked in half by a downed tree.

The PJM Interconnection has come under pressure as power prices in the 13-state grid have jumped. Cliff Owen/AP

A top federal energy regulator is vowing to exercise more authority over the nation’s biggest electricity grid in an attempt to speed up new power plant connections to meet AI-fueled demand.

Surging power prices in the PJM Interconnection that serves nearly 70 million people across 13 states from the Midwest to the Atlantic Coast are prompting consideration of more federal intervention, Federal Energy Regulatory Commissioner David LaCerte told the POLITICO Energy podcast.

While PJM is “starting to listen to some of the blowback,” LaCerte stopped just short of saying the grid operator is beyond repair.

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Asked if PJM should be broken up, LaCerte said, “We’re not quite there to that point yet, but we might be there to that point in the very near future.”

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