In an unprecedented move, the White House has joined forces with a bipartisan coalition of state governors to pressure the United States' largest regional grid operator into taking emergency action to lower electricity prices.
A Bipartisan Coalition Demands Action
On Friday 16 January 2026, Energy Secretary Chris Wright, Interior Secretary Doug Burgum, and a group of 13 governors unveiled a set of proposed principles directed at PJM Interconnection. The grid operator, which provides power to 67 million people, is being urged to hold an emergency power auction specifically for technology companies.
The central proposal suggests PJM should allow tech firms to bid on 15-year contracts for electricity from new power plants at a capped cost. In a significant shift of responsibility, the tech companies would finance the construction of these new generation facilities, paying for them whether they ultimately use the electricity or not.
Tackling the Data Centre Energy Drain
This coordinated push comes as voters express growing anxiety over skyrocketing energy bills, a problem increasingly linked to the massive power consumption of data centres operated by large technology firms. Over the past five years, both energy utilisation and costs have risen sharply across the US.
While President Donald Trump has declared a "National Energy Emergency" and frequently blamed renewable energy for driving up prices, experts cite a confluence of factors. These include environmental challenges, ageing infrastructure, and the surging demand from new data centres. The way grid operators like PJM manage supply and pricing is also seen as a major component.
President Trump teased the initiative earlier in the week on Truth Social, stating that companies like Microsoft were working with his administration "to ensure that Americans don't 'pick up the tab' for their POWER consumption."
An Unusual Request with High Stakes
The request for an emergency auction is highly unusual. Grid operators like PJM typically hold yearly auctions where utility companies bid to supply electricity at a set price. PJM's most recent auction was in December 2025. The proposed 15-year contract length also deviates from standard practice.
The bipartisan group of governors includes Pennsylvania's Governor Josh Shapiro, who has previously criticised PJM for being "too damn slow" in introducing new power generation. The White House estimates that adopting these new principles could bring $15 billion of new power online.
PJM confirmed to Reuters that it was reviewing the principles but noted it was not invited to Friday's announcement event. The outcome of this unprecedented pressure campaign could set a new precedent for how the US manages the intersection of technology growth, infrastructure, and consumer energy prices.
