Wed, May 20

NEWS: PJM accelerates backstop auction amid uncertainty over data center cost allocation

PJM is fast-tracking its emergency backstop auction to September. (Utility Dive)

  • The context: To serve new large loads by summer 2029, PJM is rushing to close capacity gaps. The operator originally scheduled a one-time auction for next March—but the Trump admin and regional governors had demanded a September kickoff. Last month, FERC Chair Laura Swett said she was “perplexed” by PJM’s distant deadline. 

  • The catch: PJM’s board is urging member states to quickly craft rules to protect residential ratepayers from the auction’s fallout. But it’s unclear how those procurement costs can be isolated to hyperscalers.

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