The White House administration is expected to issue a directive on Friday to propose an emergency power auction in which tech companies would bid for new plants built, according to multiple media reports.
Under the directive, power grid operator PJM Interconnection will be told to hold a power auction for tech companies to bid on 15-year contracts to build new power plants, according to WSJ, citing people familiar with the matter.
PJM is the largest grid operator in the U.S., spanning 13 states. Data centers built amid the AI boom have strained grid capacity and raised costs in recent power auctions.
The White House said its National Energy Dominance Council and the governors of several states, including Pennsylvania, Ohio, and Virginia, want to try to push the grid operator to take urgent steps to boost energy supply and curb price hikes.
“Ensuring the American people have reliable and affordable electricity is one of President Trump’s top priorities, and this would deliver much-needed, long-term relief to the mid-Atlantic region,” Taylor Rogers, a White House spokeswoman, told the Associated Press.
“I never want Americans to pay higher Electricity bills because of Data Centers,” President Trump said on social media earlier this week. He said the administration is working with U.S. tech companies and “will have much to announce in the coming weeks.”
Power producers, which have profited from demand increases in the PJM grid, include Vistra (VST), Constellation Energy (CEG), and NRG Energy (NRG).