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Maryland Consumer Advocate Challenges PJM at FERC Over $2 Billion Grid Upgrade Charge

The case puts the cost of AI data‑center growth before federal energy regulators.

Overview

  • Maryland’s Office of People’s Counsel filed a formal complaint to FERC challenging PJM’s plan to bill the state about $2 billion for regional transmission upgrades.
  • State officials say the charges would add roughly $1.6 billion to Maryland utility bills over ten years, including about $345 per residential customer on average.
  • People’s Counsel David S. Lapp argues Maryland customers did not cause the need for these projects and would see little benefit because the upgrades mainly serve data centers.
  • The filing asks regulators to fix PJM’s cost‑allocation rules or bill the companies driving the demand, citing a “ratepayer protection pledge” tied to tech firms.
  • PJM runs the grid for 13 states and D.C., so FERC’s response could set who pays for future AI‑driven transmission projects across a large swath of the U.S.