Overview

• NERC's 2025 summer assessment identifies MISO, SPP, ERCOT, and NPCC grids as at elevated risk for power shortages during peak demand periods.
• FERC projects U.S. electricity consumption will hit a four-year high, driven by extreme heat and the rapid growth of AI data centers.
• Accelerated retirement of fossil fuel plants is outpacing the addition of new clean energy capacity, tightening reserve margins nationwide.
• Battery energy storage systems in regions like Texas and California are mitigating some risks but may not fully offset supply variability.
• President Trump declared a national energy emergency in April, prioritizing infrastructure expansion to address grid reliability challenges.