In February 2026, experts at Charles River Associates published Retail rate trends in the US, a study that had been prepared for the Edison Electric Institute.
Among the study’s primary findings were that retail rates had remained relatively stable in most locations, that factors other than data centers had put upward pressure on retail rates, and that measures to protect utility customers from the impacts of adding large load customers were being implemented across the industry.
This update examines developments since the original report was published. The findings show that utilities and regulators have continued to strengthen customer protections. The update also describes the evidence from proceedings before regulators that illustrated adding large load customers has the potential to lower rates for other customers. Additionally, the update reports on PJM’s ongoing efforts to address the impact of demand growth from large load customers on capacity markets.
Key findings from the report include:
- Utilities and state regulators have acted swiftly to implement protections to ensure that adding data centers to the grid will not adversely impact existing customers;
- In ratemaking proceedings across the country, regulators have found that utility service to data centers can lower rates for other customer classes; and
- PJM is advancing reforms intended to mitigate the impact of large load customer growth on capacity market costs.
