
Data centers and AI are gouging ratepayers
- Posted on
- By ccansupporter
- In Blog, MD
LTE by Gita Lefstein, a CCAN Volunteer from Baltimore, initially published in the Baltimore Sun.
I was glad to see The Baltimore Sun address the question of data centers in the Nov. 7 article, “Why are Maryland power bills spiking? Is AI to blame?” On Nov. 19, members of PJM, the unelected nonprofit that regulates the electrical grid for our region, will meet to address the explosive growth of data centers. Demand for energy growth in the PJM region is expected to grow by 32 gigawatts by 2030, 30 of which can be attributed to new data center growth. PJM needs to ensure that Marylanders are not left with higher bills and a dirtier grid.
At a minimum, PJM should require new data centers to bring their own (clean) energy online with them, so that they pay the costs for the new energy, rather than having residential customers pay the costs. Bringing on new solar, wind and battery storage is better for our health, more affordable and quicker to bring online than fossil fuels.
Unfortunately, PJM has a record of mishandling the grid, causing our rates to spike. Last year, PJM forced two coal plants, whose owner was trying to retire them, to stay online due to PJM’s lack of transparent planning — all while clean energy projects sat in the queue waiting to be approved. Today, Marylanders are paying more to keep those dirty, expensive coal plants online.
These choices aren’t accidents. PJM is governed by a body of companies — mostly fossil fuel generators and utilities. Most of them directly profit from fossil fuel projects, and PJM’s bias has been clear in their decision-making for years. Now, with the rise of Big Tech, their biases toward data centers are just as clear.
Bringing data centers online immediately would come at a direct cost to Marylanders. Average household electric bills are predicted to rise as much as $70 per month by 2030 if data centers don’t pay their own costs. They would also strain the grid, which would give power companies an excuse to revert to their usual biases and bring more fossil fuels online. It’s a deadly cycle.
AI, and the data centers that make it possible, are to blame for worsening this cycle of fossil fuel-bias by PJM. We have to break the cycle now by telling Gov. Wes Moore to make it clear to PJM: If we’re going to bring more data centers online, they need to bring clean energy.
LTE by Gita Lefstein, a CCAN Volunteer from Baltimore, initially published in the Baltimore Sun.

