Frequently Asked Questions

Why does Maryland have a looming energy crisis?

As Maryland has grown and the economy has changed, the amount of electricity used by the state’s residents, businesses and institutions has increased -- due to electrification, the resurgence of manufacturing and the rise of AI data centers – just as it has across the country and around the world. Maryland has long been a net-importer of electricity – roughly 40 percent of the electricity used in Maryland is generated in other states – which means the state uses more power than it has the capacity to generate.
A failure to respond to current grid congestion, projected increases in the amount of power used, and a lack of sufficient transmission and in-state generation facilities would mean even higher prices and the potential for rolling brown-outs or blackouts.
A failure to respond to current grid congestion, projected increases in the amount of power used, and a lack of sufficient transmission and in-state generation facilities would mean even higher prices and the potential for rolling brown-outs or blackouts.

How does the regional electric grid work?

The region’s energy grid is a network of supply (generators), transmission, and demand (users), with many substations that facilitate the delivery of electricity to its destination – homes and businesses around the region.
The grid is regional and interconnected, and energy flows where there is demand. When you run your washing machine in your home, it pulls electricity from this regional grid that also serves residents and businesses around the region. When demand is higher than usual – for example, on very hot or cold days – congestion on the grid can potentially lead to problems like brownouts or blackouts. Additional transmission infrastructure is necessary to help alleviate congestion.

What is PJM?

PJM Interconnection the Regional Transmission Organization (RTO) that serves Maryland, as well as 12 other states and the District of Columbia. An RTO is an independent organization that is authorized by the Federal Energy Regulatory Commission (FERC) to plan the regional transmission grid and coordinate the sale and movement of electricity. One of PJM’s primary jobs is to ensure that the electric grid remains safe, reliable and secure. In other words, they “ensure there is enough electricity for the 65 million people in our region, every second of the day, when and where it is needed.”

How does PJM’s work affect the transmission grid?

Planning for the future electricity system needs of the region is an integral part of PJM’s role. PJM conducts a Regional Transmission Expansion Plan (RTEP) process that regularly identifies necessary upgrades to the regional transmission grid.
When needs are identified, PJM can conduct a competitive “window” to procure regulated transmission solutions to address identified needs.

Why do Marylanders pay more for power than their counterparts in other states in the region?

The cost of electricity for consumers is significantly impacted by grid congestion. Maryland uses 40 percent more power than it generates in state. That means that 40 percent of power used by Maryland residents and businesses must be imported from other states that have more robust transmission and generation infrastructure.
In addition, there has not been a new high voltage power line project built in Maryland in decades. Because of this, our power line grid is less robust than in other states. These two factors – the lack of sufficient in-state generation and an insufficient network of power lines – combine to cause significant congestion and drive up prices for our residents.

Is the construction of new data centers driving the need for more transmission infrastructure?

Data centers are just one contributing factor to increasing energy demand in Maryland and across the country. Data centers power cloud storage, streaming services, AI, data security, and the many other internet functions that have become part of our daily lives. They do require a large amount of energy to function. However, we are also seeing a significant increase in electrification of home appliances and the growth of electric vehicles – all of which put more stress on the electric grid. These factors combined are increasing congestion on our grid, driving up prices and creating the potential for brownouts and blackouts.

What benefits are there to building more electricity transmission?

Building a more robust transmission grid will have multiple benefits:

Reducing costs – Electricity is more expensive when there is more congestion on the grid. Additional transmission capacity helps alleviate congestion – thereby reducing the price of power for consumers.

Enhancing Reliability – An overburdened grid can lead to rolling brownouts and blackouts – which disproportionately impact the most vulnerable residents. Expanded transmission capacity can ensure that electricity continues to flow to where it’s needed even when demand spikes – for example, on a very hot or cold day.

Enabling more renewable energy – Maryland has ambitious renewable energy goals, but new generation facilities – such as wind and solar installations – will require transmission infrastructure in order to connect to the grid. By building a more robust transmission grid, we are paving the way for the clean energy future necessary to combat climate change.