Full Breakdown
Maryland Governor Pushes PJM Reforms Over Bills
5/13/2026, 1:03:01 AM
The Surge in Power Costs and Data Center Demand
PJM Interconnection, the wholesale market for 13 states and D.C., has seen wholesale prices rise sharply as data-center demand outpaces new generation. Maryland Governor Wes Moore, a Democratic re-election candidate, blamed PJM for failing to anticipate the load and for letting household bills climb to “crushing” levels.
Background: Capacity Market and Recent Auction
PJM’s capacity market pays generators for reliability. In its latest auction, price reached $325 per megawatt-day—over ten times the 2024-2025 delivery price. Capacity payments have risen about 1,000 % in two years, prompting a temporary price-cap extension through 2030 approved by the Federal Energy Regulatory Commission.
Key Players
- Wes Moore, Maryland governor, leading a coalition for long-term contracts.
- David Mills, PJM CEO, stressing the operator’s market-facilitator role.
- Rep. Danielle Friel Otten, Pennsylvania, critic of PJM’s interconnection rules.
- BGE spokesperson, noting imports about 46 % of electricity.
Data & Statistics
- Capacity price: $325 / MW-day (2026 auction).
- Capacity payments up ~1,000 % in two years.
- PJM approved ~53 GW of renewable projects, including 1.6 GW in Maryland.
- BGE imports ~46 % of power; PJM serves ~67 million customers.
- Renewable integration could cut bills by $500 and save $27 billion by decade’s end.
Official Statements & Responses
Governor Moore urged PJM to adopt long-term, fixed-price contracts and to require data centers to fund transmission upgrades, calling the current “false choice” between affordability and reliability. PJM said it is accelerating generation but noted state policies and permitting delays have deterred investment, and affirmed its interconnection process cleared thousands of megawatts.
Criticism & Opposition
Energy advocates at a Baltimore rally accused PJM of “mismanagement” that forces ratepayers to subsidize coal plants. Rep. Otten said PJM’s rules block affordable clean energy from reaching the grid quickly enough. The rally cited analysis estimating $500 savings per household.
On-the-Ground Reports
Protesters gathered outside PJM’s conference in Baltimore, chanting for lower rates and renewable interconnection. A BGE spokesperson highlighted the region’s reliance on imported power, underscoring the urgency of supply.
Conflicting Reports & Gaps
PJM attributes price spikes to fragmented state policies and investor uncertainty, while governors blame the operator’s slow generation additions and transmission projects. No audit of PJM’s methodology has been released.
Verbatim Quotes
- “For too long, affordability and reliability have been framed as somehow competing goals... that somehow keeping the lights on tomorrow requires working families to pay crushing prices today,” — Wes Moore, Governor
- “PJM sets the rules, and right now, those rules are blocking affordable, clean energy from getting onto the grid fast enough to even matter,” — Rep. Danielle Friel Otten
- “Those choices belong to the people and institutions with democratic accountability for their consequences — to state regulators and legislatures, to [the Federal Energy Regulatory Commission], to consumers and the advocates who represent them,” — David Mills, PJM CEO
- “According to a spokesperson for Baltimore Gas and Electric (BGE), the state does not generate enough electricity, and imports nearly 46% of the power it uses.” — BGE spokesperson
What’s Next
Governor Moore will sign Maryland’s Utility RELIEF Act, earmarking funds for relief and capping executive salaries. PJM plans to finalize reforms that include long-term contracts for data centers and renewable interconnection before the next capacity auction.
