America’s Largest Grid Operator Warns Of Summer Power Shortages

When America’s largest power grid operator warns of “growing risks” of summer power shortages, people pay attention—especially now, after witnessing Spain’s brief brush with net-zero collapse, when its failing green energy grid triggered the worst blackout in a generation.

PJM Interconnection, the largest power grid operator in the U.S., issued a warning Friday that extreme heat this summer could collide with record electricity demand, potentially triggering disruptions… 

“This season also marks the first time in PJM’s annual assessment, however, that available generation capacity may fall short of required reserves in an extreme planning scenario that would result in an all-time PJM peak load of more than 166,000 MW,” the grid operator warned. 

PJM reported it expects around 179,200 MW of available generation capacity this summer, along with 7,900 MW of contracted demand response—resources activated during extreme heat when 65 million customers across its service area, spanning 13 states and the District of Columbia, are setting air conditioning thermostats to max cool. 

The grid operator warned that a perfect storm of retiring fossil fuel plants, sluggish renewable energy growth, and soaring demand could trigger shortages for the first time:

“PJM continues to voice concerns about the supply and demand imbalance driven by generator retirements and the slow build of new resources in the face of accelerating demand growth.”

Meanwhile, U.S. power demand continues to increase because of electrification trends that fall under the ‘Powering Up America’ theme we have laid out for readers (read here), including the buildout of massive AI data centers, electric vehicles, and onshoring trends. Earlier this week, Goldman’s Hongcen Wei offered his take on America’s power.

PJM’s warning about potential summer shortfalls is a direct consequence of aggressive net-zero and green energy policies, which have destabilized power grids and driven prices higher—particularly in Mid-Atlantic states governed by far-left lawmakers. 

Goldman Says Mid-Atlantic Power Prices “Finally Caught Up To AI Data Center Load Growth Story” https://t.co/6BInBek7Zz

— zerohedge (@zerohedge) August 4, 2024

It’s now up to the Trump administration to push for the restoration of reliable fossil fuel generation to reestablish grid stability (some good news so far). A fragile power grid isn’t just an infrastructure issue—it’s a national security threat. Those who undermined the nation’s grid with green agendas to force grids to retire stable power production for unreliable power generation with Chinese solar panels must be held accountable.