The most dramatic projected growth is in the PPL Electric Utilities service territory, where total electricity usage is forecast to increase an average 20.51% annually and industrial usage an average 51.05% annually through 2030.
Residential and commercial electricity use will increase an average of 0.52% and 0.32% a year, respectively.
[Note: The 2025 Electric Power Outlook Report forecast an industrial use increase of 14.77% a year through 2029, a residential increase of 1.08% annually and a commercial use decrease of 0.58%.]
[Note: The 2024 Electric Power Outlook Report forecast an industrial use increase of 0.22% a year through 2028, a residential increase of 1.39% annually and a commercial use increase of 0.64% annually.]
"Pennsylvania's electricity needs have been relatively stable for years, but large new loads have the potential to fundamentally change that picture," said PUC Chairman Steve DeFrank. "That makes accurate forecasting and careful planning more important than ever. We need a clear picture of what demand is actually coming and sufficient generation and transmission to reliably serve that growth, while continuing to protect existing consumers from unreasonable costs."
Large Loads Reshape PA Forecasts
Pennsylvania's total electricity consumption decreased 0.24% in 2025 compared with 2024, even as the number of electric customers increased approximately 0.4%.
Looking ahead, however, forecasts submitted by Pennsylvania's major electric distribution companies (EDCs) show sharply different growth rates among customer classes.
The projected industrial increase is driven primarily by anticipated large-load customers, particularly data centers.
The report notes that the projected industrial increase is almost entirely attributable to anticipated large data centers.
The PUC emphasizes that these figures are forecasts, not guarantees of future electricity demand. Large-load projects can change because of economic conditions, financing, construction schedules, technology and other factors.
The Power Outlook also notes that PPL's projected load growth does not, by itself, indicate a future capacity shortfall in either the PPL service territory or the broader PJM region.
Click Here for a copy of the PUC report.
PJM Grid Reliability Challenges
The changing demand picture comes as Pennsylvania and the broader PJM region continue focusing on the resources and infrastructure needed to maintain reliable electric service.
The North American Electric Reliability Corporation's latest long-term assessment projects that PJM's anticipated reserve margin could fall below its required reserve margin in 2029, reflecting the combined effects of growing electricity demand, generation retirements and the pace at which new resources are entering service.
At the same time, Pennsylvania continues to be one of the nation's leading electricity-producing states.
Generating capacity in the Commonwealth increased from 45,096 megawatts (MW) in 2024 to 45,733 MW in 2025, and no Pennsylvania generators submitted notices of deactivation during 2025.
[The PUC report says one fuel-- natural gas-- generates 59% of Pennsylvania’s electric [24,894 MW]; 32% nuclear [8,927 MW]; 6.3% coal [6,040 MW]; hydro [2,305 MW] oil [2,142 MW] , solar [682 MW], wind [491 MW] and waste [252 MW] (page 27).]
Investment Regional Transmission System Increasing
PJM's 2025 Regional Transmission Expansion Plan identified approximately $3.56 billion in transmission projects in Pennsylvania, compared with $1.64 billion identified in the previous year's plan.
"Growth brings opportunity, but reliability depends on generation, transmission and demand moving together," Chairman DeFrank said. "As Pennsylvania's electricity needs evolve, we need to make sure the infrastructure necessary to serve that growth can keep pace – and that the costs associated with major new loads are appropriately addressed rather than simply shifted to existing families and businesses."
Planning for a Changing Electric System
The findings in the 2026 Power Outlook reinforce several areas where the PUC has increased its focus as Pennsylvania's electric landscape evolves.
The Commission has expanded its examination of long-term electric load forecasting, including requesting longer-range demand and peak-load projections from Pennsylvania EDCs, while continuing its work addressing large-load customers and examining the generation and transmission resources needed to reliably serve Pennsylvania consumers.
These efforts reflect the increasing importance of understanding not only how much electricity may be needed, but also where and when that demand could materialize, so utilities, grid operators and regulators can better evaluate the infrastructure needed to serve it.
"The scale and speed of potential change make good information especially important," Chairman DeFrank said. "Better forecasting leads to better planning, and better planning helps us make sound decisions about reliability, infrastructure and costs. Our focus remains on ensuring that Pennsylvania can accommodate economic growth while protecting the reliability and affordability that consumers depend on."
The 2026 Electric Power Outlook, along with past reports issued since 2002, are available on the Electric Power Outlook Report section of the PUC website.
Click Here for a copy of the PUC announcement.
Related Articles This Week:
-- PJM Interconnection Issues Maximum General Alert, Load Management Alert For Sept. 1 [PaEN]
-- DEP Industrial Energy Assessment Program Offering Minimal Cost Energy Audits To Small & Medium Manufacturers, Ag Businesses [PaEN]
NewsClips:
-- WESA - Rachel McDevitt: Energy Bills Driven By A.I. Data Centers Threaten PA Small Businesses, Report Says
-- PennLive/LehighValleyLive: Gov. Shapiro’s Executive Order On Data Centers Hasn’t Slowed Momentum Of Developers Looking To Build Big In PA Communities
-- New York Times: Pennsylvania A.I. Gold Rush Meets 2nd Thoughts; Amid Backlash Gov. Shapiro Is Pumping The Brakes On Enormous Data Centers; But Some Welcome Billions In Construction
-- PennLive/Tribune News: Massive 7,200 Acre PPL Utilities Joint Venture Land Deal In Lackawanna County Paves Way For More Natural Gas Data Center Power Plants
-- Scranton Times: PPL Utilities Joint Venture Purchases 500 Acres In Luzerne County For 2 Natural Gas Data Center Power Plants; No Agreements Signed With Customers Yet [Not For The Public]
-- Reuters: Texas’ Halt On Powering A.I. Data Centers Reflects US Reckoning Over ‘Ghost’ Power Demands And Impacts On Electricity Markets [PJM Included]
-- Morning Call: Here’s Where Lehigh Valley Legislators Stand On A.I. Data Center Regulation As Lawmakers Prepare To Return To Session
-- LancasterOnline: How Will Data Centers Issues Impact Lancaster County’s State Senate Race?
-- Inquirer: PA US Sen. Fetterman Backs President On A.I. Data Centers, Blames China For ‘Misinformation” On A.I.
-- Bloomberg: President Says ‘Let Data [Centers] Reign’ In Response To A.I. Data Center Blowback [Communities Not Wanting Data Centers ‘Want To End Up Being Backwards And Poor’]
[Posted: September 1, 2026] PA Environment Digest
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