PJM data centre demand forecasts cut back as Exelon, PSEG chase storage and nuclear deals

· Energy · United States

Grid operator PJM Interconnection's revised backstop procurement plan for data centre load has shrunk dramatically, with the planned procurement potentially as small as 630 MW versus an initial 6,800 MW target, after utilities in its footprint lowered their large-load forecasts, according to ICF and Jefferies analysts. The shift comes as utilities reposition around the data centre boom: Exelon CEO Calvin Butler said the company is eyeing $8 billion in energy storage and transmission investment, arguing PJM is not adding generation fast enough to address a supply crunch. PSEG Power, meanwhile, is planning a 200 MW nuclear uprate at its Salem plant in New Jersey, jointly owned with Constellation Energy, while one Salem unit faces an extended outage over degraded equipment, per federal filings.

Why it matters：The scale-down signals that the data centre-driven power demand surge may be softer than utilities assumed, reshaping how grid operators plan backstop capacity and where billions in storage, transmission and nuclear uprates get spent.

Key points

  • PJM's procurement could be as low as 630 MW, down from an initial 6,800 MW target
  • Exelon's Calvin Butler said PJM isn't adding generation fast enough
  • One Salem unit faces an extended outage over degraded equipment

Sources (original reporting)

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