Latest1O1
Latest1O1
  • Home
  • Blog
Data Centers Blamed for Rising U.S. Electricity Prices, Watchdog Says
Wookawooka |
16 May 2026

Data Centers Blamed for Rising U.S. Electricity Prices, Watchdog Says

technology Economic Artificial Intelligence
Join us on Telegram

A new report from Monitoring Analytics, the independent watchdog that oversees the PJM Interconnection power grid, says the rapid growth of AI data centers is a major reason electricity prices are rising sharply across the largest power market in the United States.

According to the report, wholesale electricity prices increased from $77.78 per megawatt-hour in the first quarter of 2025 to $136.53 during the same period this year — a jump of 75.5%. The watchdog warned that prices could continue rising unless action is taken before the next major power auction in June 2026.

The report criticizes PJM Interconnection for planning to include growing data center demand directly into future electricity forecasts. Monitoring Analytics argues that this approach would push electricity prices even higher for households and small businesses instead of making large tech companies cover the costs created by their expanding AI infrastructure.

One possible solution mentioned in the report is requiring data centers and other major power users to negotiate directly with electricity producers for the energy they need. The watchdog believes this could help keep utility bills more stable for regular consumers while ensuring tech companies pay for the extra infrastructure required to support AI operations.

The report also says the current electricity market likely would not be facing such extreme price increases without the rapid expansion of AI-related data centers.

Monitoring Analytics further claims that PJM benefits from keeping data center demand inside the general market because higher demand naturally leads to higher auction prices. Those higher costs eventually pass through utilities and end up on consumer electricity bills.

The issue has also started attracting attention from the federal government. Earlier this year, President Donald Trump reportedly met with several major AI companies and pushed them to promise they would pay for their own infrastructure needs instead of passing the costs onto the public.

Still, the report notes that these promises are voluntary for now. Without new federal laws or stronger regulation, consumers could continue paying higher electricity bills as AI infrastructure keeps expanding.

#AI #America #Economic news #latest101 #tech #technology #United_states

Related Posts

Apple Borrowing Your Eyes: 3 Smart Devices Set to Redefine the World by 2026

Apple Borrowing Your Eyes: 3 Smart Devices Set to Redefine the World …

Hellokity
2026 Feb 25

Apple is preparing to end the era of "looking at screens" and usher in the era of "devices that see with you." The tech …

Rumors Claim Apple Is Getting Ready for the iPhone Fold

Rumors Claim Apple Is Getting Ready for the iPhone Fold

Wookawooka
2025 Nov 03

Rumors suggest Apple is getting ready for production of its long-awaited foldable iPhone. While many expect a 2026 launch, design issues could still cause …

Apple’s A19 Chip Outperforms Desktop Giants

Apple’s A19 Chip Outperforms Desktop Giants

Wookawooka
2025 Sep 28

Apple’s A19 sets a new single-core performance record, beating high-end desktop processors with just a fraction of their power use.

When Numbers Speak: Google Overtakes Apple in the Ranking of Tech Giants

When Numbers Speak: Google Overtakes Apple in the Ranking of Tech Giants

Hellokity
2026 Jan 11

A notable shift has marked the start of the year in the hierarchy of major technology companies, as Alphabet successfully claimed second place globally, …

Adobe Premiere Arrives on iPhone For Free

Adobe Premiere Arrives on iPhone For Free

Wookawooka
2025 Sep 30

The new mobile version of Premiere brings pro-level video editing tools, and easy social media exports — all free to use on iPhone.

🔥 TikTok Enters a New Era in the U.S.!

🔥 TikTok Enters a New Era in the U.S.!

Hellokity
2025 Sep 19

A preliminary deal between Washington and Beijing is set to reshape the future of the world’s most popular app — but behind the scenes …

We'd Love to Hear from You!

All rights reserved ©Latest1O1|Privacy & Policy
created by Libya Digital Wizard |