Friday, October 16, 2026

Gov. Shapiro Files Petition To Intervene In PPL Electric Rate Case To Protect Customers From Costs And Reliability Risks From A.I. Data Centers

On October 16, Gov. Josh Shapiro announced he
filed a petition with the Public Utility Commission to intervene in a proceeding challenging PPL Electric Utilities’ current rate structure, a crucial action to help protect Pennsylvania electricity customers from rising costs and reliability risks associated with data center development in the Commonwealth. 

Governor Shapiro is seeking formal party status in the PUC proceeding, which would allow his Administration to present evidence, make legal arguments, and participate directly in the case.

The Governor’s petition explains that Commonwealth agencies are themselves PPL customers and major consumers of electricity, giving the Administration a direct interest in the outcome of the proceeding, alongside its broader responsibility to protect the public interest.

The petition marks the first time in at least 15 years that a governor has intervened in a PUC proceeding.

The Governor’s petition supports a complaint filed by the Pennsylvania Office of Consumer Advocate, which argues that PPL’s current rates, service classifications, and procedures do not adequately protect existing customers from paying costs caused by large data centers or from potential outages, especially as large data centers increase electricity demand. 

OCA is asking the PUC to require PPL to revise its rates and rules to address these concerns.

“Pennsylvanians should not be left paying higher electric bills because of data center developers,” said Governor Shapiro. “As these projects bring new demand to our electric grid, we must make sure the companies driving those costs pay their fair share and that families, small businesses, and Pennsylvania employers can continue to afford their utility bills while counting on reliable electricity. 

“This is yet another action my Administration is taking to protect consumers and hold data center developers accountable.”

 The Administration is joining the case to advocate for stronger protections that ensure data centers pay for the electric system costs they cause and that existing customers are protected from reliability risks caused by data centers.

Among other measures, the Governor will advocate for PPL to establish a separate customer class for large data centers and to allocate costs caused by their electricity demand to that data center class. 

The petition also supports stronger requirements for data center-related transmission upgrades, costs associated with regional electricity reliability and resource adequacy programs, and safeguards that protect existing customers if electricity supply cannot meet demand.

Click Here for Gov. Shapiro's announcement.

Documents related to this case can be found at PUC Docket No. C-2026-3065756.

Related Articles This Week:

-- PUC Invites Comments On Regulations To Give Electric Utilities New Tools To Manage Data Centers During Emergency Periods Of Strained Electricity Supplies And Curtailments To Maintain Grid Reliability  [PaEN] 

-- Gov. Shapiro Files Petition To Intervene In PPL Electric Rate Case To Protect Customers From Costs And Reliability Risks From A.I. Data Centers  [PaEN]  

-- DEP To Hold Public Meeting/Hearing Nov. 23 On Chapter 105 Permit For Project Atlas A.I. Data Center Complex In Lehigh County  [PaEN] 

-- DEP Sets Nov. 20 Hearing On Stormwater Permit For PPL Stanton Summit Transmission Line Rebuild In Lackawanna County   [PaEN] 

-- PJM Extends Maximum Generation Alert To Oct. 14 Due To Unusually Warm Weather, Equipment Outages; Calls On Demand Response To Reduce Power Load  [PaEN]

-- PA Capital-Star: PJM Interconnection Issues Alerts Warning Of Tight Electricity Supplies

-- PJM Issues Maximum Generation Alert For Oct. 13 Due To Unusually Warm Weather, Equipment Outages; Received DOE Order To Switch Data Centers To Backup Generation, If Needed  [PaEN] 

NewsClips:

-- Altoona Mirror - Robert Swift: PUC/Team PA Report Identifies 21 Possible Sites For A.I. Data Center Power Plants 

-- PA Capital-Star: PUC/Team PA Study Identifies 21 Potential Sites For A.I. Data Center Power Plants

-- Axios-Pittsburgh: Report: Pennsylvania Natural Gas Power Generation To Grow 15% By 2030 Due To A.I. Data Center Demand

-- Utility Dive: Federal Energy Regulatory Commission Rejects Most Of PJM’s ‘Bring Your Own Power’ Data Center Load Plan Saying It Intrudes On State Jurisdiction, May Be Discriminatory  [FERC Rejected PJM’s Backstop Energy Plan Earlier] 

-- Utility Dive: PJM Plans To Study Ohio ‘Flagship’ A.I. Data Center, 10.2 GW Natural Gas Power Plant, Transmission Line Project On Federal Land Under A State Agreement Process

-- PennLive/LehighValleyLive: A.I. Data Centers Have A Shelf Life, Who Pays For Cleanup In PA When They Close Years From Now?

-- Wall Street Journal: ‘Phantom’ A.I. Data Centers Are Demanding More From The Power Grid Than They Need Leading To Higher Electricity Rates 

-- AP: US Is Reviving Shuttered Nuclear Power Plants To Meet Growing A.I. .Data Center Electricity Demand  [Includes Three Mile Island] 

[Posted: October 16, 2026] PA Environment Digest

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