The Grid Instability Trigger
A recent power line failure outside Washington, DC, caused more than 3 gigawatts of AI data centers to stop drawing power nearly simultaneously. The event caused voltage across the PJM grid to spike from Northern Virginia to Chicago. While it did not cause a blackout, it made lights flicker across the region, demonstrating the massive effect data centers can have on grid stability.
The ON.Energy Solution
When the voltage dipped, data centers switched to backup power within seconds, removing a significant load and causing supply to surge. To prevent this, startups like ON.Energy are developing uninterruptible power supplies for entire data center campuses. By hiding the facility behind a bank of batteries and sophisticated power conversion equipment, the grid sees one consistent load. This allows data centers to absorb power fluctuations and ride through disruptions without disconnecting.
A Ticking Clock for Infrastructure
Grid operators warn that a more orderly disconnection or reconnection process is needed. The recent mass disconnection was twice as large as a similar event in 2024, which pulled 1.5 gigawatts from the grid. With data centers expected to make up 24 percent of PJM's load by 2040, addressing this vulnerability is becoming an urgent priority for regional grid operators.