Winter Storm Fern has plunged the Eastern United States into an energy crisis, with power plant outages surging to unprecedented levels as of Sunday, January 25, 2026. The PJM Interconnection, serving 67 million residents across the East and Mid-Atlantic, reported 21 gigawatts of generation outages—16% of its total demand—as frigid temperatures strained natural gas supplies and solar output dwindled under heavy cloud cover.
Grid operators issued pre-emergency orders to curb electricity use, while real-time wholesale prices skyrocketed to $1,800 per MWh in Virginia, home to the world’s largest cluster of data centers. These facilities, critical for artificial intelligence and cloud computing, have driven recent spikes in regional power demand. PJM warns of a potential all-time winter demand record on Tuesday as temperatures remain dangerously low.
New England faced unique challenges, with 40% of its electricity generated by oil-fired plants due to constrained gas pipelines. ISO New England’s surplus capacity dropped to 1.1 GW, raising concerns about fuel depletion during prolonged storms. Meanwhile, over 1 million customers lost power across Tennessee, Texas, Louisiana, and other states, according to PowerOutage.us.
Analysts like Pieter Mul of PA Consulting highlight systemic vulnerabilities: 'The Eastern seaboard’s reliance on gas pipelines and limited fuel reserves during extreme weather creates cascading risks.' As Winter Storm Fern continues its path, utilities brace for further disruptions while balancing urgent repairs and soaring operational costs.
