By Claudia Assis
The move is PJM's admission that its capacity can't meet data-center-driven demand
Grid operator PJM moved up a key date by a year, to September.
Shares of power-plant owners Constellation, NRG Energy and Vistra rallied Wednesday on news that the U.S. largest grid operator is speeding up plans to connect data centers with power producers.
Constellation's (CEG) and Vistra's (VST) stocks jumped more than 6%, while gains for NRG's stock (NRG) topped 5%. A close around current levels would be the highest in four months for NRG and the highest in a week for Constellation and Vistra.
Nonprofit grid operator PJM is a regional transmission organization, or RTO, that coordinates wholesale electricity markets in all or parts of 13 states and the District of Columbia, including northern Virginia's &#34;Data Center Alley,&#34; where hundreds of data centers operate and dozens more are planned.
PJM said in a letter late Tuesday that it was moving up the date for data-center capacity procurement to this September. It was originally set for September 2027.
The move is &#34;materially constructive&#34; for the independent power providers, Nicholas Amicucci, an analyst with Evercore ISI, said in a note Wednesday.
The IPPs no longer have to wait for the 2026-27 procurement cycle, and the letter also is PJM's acknowledgment that it is &#34;structurally short capacity&#34; to meet data-center-driven demand, Amicucci said.
Surging demand from data centers, mostly driven by artificial intelligence, is upending the power-generation and utilities business.
NextEra said earlier this week it has agreed to pay $67 billion in an all-stock deal for Dominion, a deal that the companies expect to go through in 12 to 18 months, pending federal and state approvals.
A combined NextEra (NEE) and Dominion (D) would be a power behemoth serving residential and commercial customers in Florida, North Carolina, South Carolina and Virginia, including Dominion's hold on Data Center Alley.
PJM last week called for a major overhaul as it balances surging power demand from data centers against worries about high residential electricity costs and the risk of shortages, saying that the current way of doing business &#34;is not tenable.&#34;
-Claudia Assis
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05-20-26 1319ET

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Shares of Constellation and Vistra surged over 6% as PJM, the U.S. largest grid operator, expedited plans to connect data centers with power producers, moving the capacity procurement date to September 2026. This decision acknowledges the grid's inability to meet data-center demand, driven largely by artificial intelligence. Analysts view this as a positive development for independent power providers, indicating a significant shift in the power-generation landscape.

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Constellation's and Vistra's stocks rally as power-grid operator speeds up data-center deals