FERC chair urges mid-Atlantic grid to act on rising costs

By Isa Domínguez | 02/20/2026 06:30 AM EST

PJM Interconnection faces pressure from the Trump administration and governors across its 13-state region to restructure the power market.

The Federal Energy Regulatory Commission.

Federal Energy Regulatory Commission headquarters. Francis Chung/POLITICO

The chair of the Federal Energy Regulatory Commission on Thursday urged PJM Interconnection, the largest regional power market, to act on proposals to address electricity cost and reliability issues in the eastern U.S.

PJM, which delivers electricity across 13 states from Virginia to the Midwest, faces mounting pressure from the Trump administration and governors in the east to restructure its market. Pennsylvania-based PJM and the power companies that influence its policies are struggling to ensure that growing electricity demand from data centers can be met without causing utility bills to spiral higher.

“I want to reiterate my expectation that PJM — and not just its board, but also its numerous and diverse stakeholders — we want you to rise to the occasion of not letting 67 million Americans fall short,” FERC Chair Laura Swett said during the commission’s monthly meeting.

Advertisement

PJM’s independent market monitor has warned that electricity demand from the booming artificial intelligence industry could outstrip supply by the end of the decade — causing grid reliability problems if more electricity isn’t brought on line.

GET FULL ACCESS