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On October 7, 2026 the United States Department of Energy (DOE) filed a notice of intervention and statement of position of in support of FERC’s September 29, 2026 order under ER26-3380 et al.

DOE urges PJM to accept the accelerated option proposed by the Commission and to swiftly submit a revised tariff pursuant to FPA section 205 on or before October 29, 2026.

As reported previously, on September 29, 2026, the Commission issued its Order accepting certain aspects of PJM’s proposal. The Commission determined that other portions of the proposal may be unjust and unreasonable, and, therefore, directed further procedures. Among other things, the Commission recognized “the looming capacity shortfall facing PJM” and the need for expeditious action to maintain resource adequacy. The Commission found that PJM’s existing reliability backstop provisions may be insufficient to prevent resource adequacy concerns and that PJM’s RPM is failing to keep pace with demand growth in the PJM region. In making further recommendations, the Commission emphasized that PJM’s RBP cost allocation methodology must be consistent with the Commission’s cost-causation principles.

DOE urges PJM to act swiftly to reform its RBP proposal in accordance with the Commission’s guidance and submit those revisions pursuant to FPA section 205.

“DOE specifically supports key aspects of the Commission’s guidance to PJM Interconnection, L.L.C. (PJM), including the counsel that PJM proactively address what the Commission has outlined by submitting a revised tariff under Federal Power Act (FPA) section 205 on or before October 29, 2026. PJM should implement the cost allocation and other reforms identified by the Commission to ensure that the costs of serving new data centers or other large electric energy loads are not unfairly shifted to PJM’s existing ratepayers. DOE also calls for all signatories to the President’s Ratepayer Protection Pledge to stand by their commitments, including to “build, bring, or buy every kilowatt their facilities need—and cover every dollar of the infrastructure that delivers it. American households and businesses should not be footing the bill.”

“DOE shares the Commission’s concerns that PJM’s proposed RBP cost allocation model may be unjust and unreasonable as filed. The Commission found that PJM did not adequately demonstrate that its Load Adjustment methodology would allocate RBP costs consistent with the Commission’s cost-causation principle. This principle requires that “all Commission jurisdictional rates and charges must ‘reflect to some degree the costs actually caused by the customer who pays for them’ and costs must be allocated in a manner that is at least roughly commensurate with benefits.” Compliance with this principle is evaluated by comparing the costs assessed against a party to the burdens imposed or benefits drawn by that party. In furtherance of the Ratepayer Protection Pledge, DOE emphasizes the need to protect ratepayers from the costs associated with rising demand caused by other large load customers. Such costs include the negative reliability impacts caused by new load growth that well-exceed historic forecasts.”