On Oct. 8, New Jersey Gov. Mikie Sherrill and a bipartisan group of 12 other governors as well as the mayor of Washington, D.C., announced the formal creation of the PJM Governors’ Collaborative. The group aims to tackle the affordability and reliability of electricity.
During the Second Annual Governors’ Summit on the State of PJM Interconnection, the collaborative met to discuss the current state of the electrical grid run by the Pennsylvania–New Jersey–Maryland Interconnection LLC (PJM). PJM serves as grid operator for the Mid‑Atlantic and Midwest.
“We are facing an energy affordability crisis. Driving down costs for New Jerseyans will require strong, coordinated action across state and party lines to hold PJM and utility companies accountable and build a reliable grid that can power our interconnected region for years to come,” Sherrill said.
Together, this bipartisan collaboration signed a memorandum of understanding formally establishing the organization. The MOU set forth the following goals:
- Coordinate participating states to develop joint positions and strategies on PJM issues
- Provide states with technical assistance to understand and assess PJM proposals
- Coordinate engagement with PJM, the Federal Energy Regulatory Commission, state public utility commissions and other organizations involved in regional electricity policy
“This Collaborative brings red and blue states to the same table to share solutions, find common ground, and speak with one voice to ensure PJM puts the people, not member profits, first. I look forward to working with our partnering governors and states to drive this much needed work forward,” Sherrill said.
According to the New Jersey Board of Public Utilities, New Jersey electric bills have increased over the past several years due to:
- Data center growth: AI and cloud-computing facilities are increasing electricity demand throughout PJM’s territory
- Insufficient new generation: New power plants and other generation resources have not entered service quickly enough to keep pace with demand
- Interconnection delays: Projects seeking to connect to the regional electric grid have experienced lengthy delays
- Capacity market costs: Utilities must pay for generating capacity that can be available during periods of high demand
- Transmission and infrastructure spending: Grid investments can increase the delivery portion of customer bills
Currently, PJM faces increasing electricity demand, delays in connecting new generation to the grid, generator retirements, supply-chain constraints and a tightening power supply.
The other states involved in the collaboration are:
- Delaware
- Illinois
- Indiana
- Kentucky
- Maryland
- Michigan
- North Carolina
- Ohio
- Pennsylvania
- Tennessee
- Virginia
- West Virginia
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