Insights

PJM’s 2028/29 Base Residual Auction, announced on July 14, 2026, cleared lower than the prior auction while its supply shortfall widened. The lower price traces to the temporary cap; the widening shortfall reflects fundamentals the capped price does not express. Takeaways: PJM's 2028/29 Base Residual Auction cleared at a single RTO-wide $325/MW-day — the third consecutive auction at the FERC-approved cap. Number of constrained LDAs remained at zero, and there was no LDA-leve

In H1 2026, one theme came to define U.S. power markets: reallocation. As AI and data-center demand outpaced a delivery-constrained grid, the year turned less on adding capacity than on redirecting it — who pays for reliability, what provides it, and where the grid gets built next. PJM A capacity shortfall, a record grid bill, and a $67B merger PJM's capacity market reached its limits in H1 2026. The 2027/28 capacity auction cleared at its price cap yet still recorded the fi

The U.S. grid is evolving — fast. One of the more interesting shifts buried in the latest U.S. Energy Information Administration’s June...

PJM Interconnection – the deregulated power market in the U.S., serving 65 million people across 13 states and D.C – has emerged as the global epicenter of AI-driven electricity demand. In 2024, PJM Peak Load was 152 GW. It represents 20% of total US electricity demand and its Dominion zone is the corridor to 70% of global Internet traffic. Part 1: PJM’s Top 3+3 Zones Driving 59 GW Surge PJM’s 2025 load forecast released January 24, 2025, reveals 59 GW of new AI/data center d