ICYMI: Governor Shapiro Secures Federal Support to Extend PJM Price Cap, Saving Consumers Tens of Billions of Dollars and Preventing Price Hikes Across 13 States

“For two years, I’ve been sounding the alarm, explaining that without fundamental changes to PJM — Pennsylvanians were going to be paying more and more, and getting nothing in return.”

“Since then I’ve been working with my fellow governors and federal energy officials to push PJM to make needed reforms, and I’m glad the White House is following Pennsylvania’s lead and adopting the solutions we’ve been pushing for — including the extension of the price cap that I insisted be included today.”

“In Pennsylvania, we’ve been focused on creating more energy, permitting faster, and protecting consumers — we’re showing what’s possible when government leads the way and gets stuff done.”

January 20, 2026

Harrisburg, PA – Last week, Governor Josh Shapiro signed a Statement of Principles alongside a bipartisan group of governors, U.S. Secretary of Energy Chris Wright, and U.S. Secretary of the Interior Doug Burgum to advance a coordinated plan to reform PJM Interconnection, accelerate the construction of new energy generation, and protect families and businesses from rising electricity costs. The Statement of Principles — which is supported by all 13 governors from PJM states — builds on years of leadership by Governor Shapiro, who has been advocating for reforms to PJM since early in his term, taking legal action when PJM failed to act, and securing real consumer protections that are now shaping the national response.

The principles, if adopted, would provide consumers critical protection by extending for two more years the price cap that Governor Shapiro won after he sued PJM in 2024 to stop unjustified price hikes. The Governor made clear that his involvement last week was contingent on the White House’s plan including the extension of the price cap he negotiated following his lawsuit — ensuring consumer protections remained at the center of all discussions.

If implemented as proposed, the extended price cap would save more than 67 million consumers — including 13 million Pennsylvanians — within the PJM region approximately $27 billion over the next two years with $5 billion in Pennsylvania alone. These savings would be in addition to the $18.2 billion already saved as a direct result of Governor Shapiro’s 2024 lawsuit.

Together, these reforms are designed to lower costs, strengthen reliability, and finally fix PJM’s broken process — allowing economic growth and data center development to continue without burdening ratepayers.

See what Pennsylvanians are reading and watching about Governor Shapiro’s leadership in securing federal support to extend the PJM price cap and protect consumers from rising energy costs:

ABC27: Shapiro signs onto plan to control rising prices for PJM electricity

Pittsburgh Post-Gazette: Northeast governors and White House team up to pressure electric grid on data centers and prices

PoliticsPA: Shapiro Signs On To Plan To Slow Rising PJM Electric Grid Prices

WGAL: Gov. Shapiro, bipartisan governors call for PJM to expand power capacity, control prices

WGAL: Josh Shapiro, other governors unveil plan to address rising electricity prices

E&E News: White House, states plunge into power market politics

Inside Climate News: Clean Energy Advocates Criticize ‘Glaring’ Omission in White House Plan to Fuel Data Centers in PJM Region

RTO Insider: White House and PJM Governors Call for Backstop Capacity Auction

AP: White House, governors seek to fix AI-driven power shortages, price spikes

Bloomberg: Largest US Power Grid Unveils Backup Plan for Reliability

Bloomberg TV: Pennsylvania Governor Shapiro on Extending PJM Price Cap

CBS News: Trump administration calls on tech companies to pay energy bill for new AI power plants