EP. 281 Data Center Load Growth and the Future of the US Grid

This week on Energy Unplugged, Julia Hoos, Aurora’s Head of USA East, is joined by Lizzie Bonahoom, Senior Associate - North America Tech & Policy, and Jack Graham, Senior Associate - PJM Research at Aurora. Together, they explore the challenges of supplying data centers with power in the U.S., and how surging AI demand, interconnection constraints, and market dynamics are reshaping the electricity system.

Lizzie leads Aurora’s analysis of where new data centers are locating and how they interact with generation technologies, while Jack provides insight into PJM’s grid and capacity market, including lessons from Northern Virginia - the historic epicenter of U.S. cloud infrastructure. Together they discuss the complexities of forecasting large, concentrated loads, the growing role of behind-the-meter solutions, and the implications of regulatory interventions from FERC and federal authorities.

The conversation examines key trends affecting the U.S. power market today: rapid electricity demand growth from data centers, grid congestion and localized price impacts, the increasing importance of flexible interconnection strategies, and the political and regulatory pressure to accelerate large load access. Lizzie and Jack highlight how uncertainty in load forecasting, market design, and capacity procurement creates both challenges and opportunities for grid operators, policymakers, and industry stakeholders.

You will learn:

• Why data center clusters and AI-driven load growth are transforming regional electricity demand.

• How PJM and other ISOs are navigating transmission constraints, capacity market volatility, and political scrutiny.

• Why behind-the-meter and gas-bridging solutions are emerging as short-term strategies for large loads.

• How federal and state interventions could influence interconnection, market design, and grid reliability over the next decade.