Governor Josh Shapiro of Abington Township signed today a “Statement of Principles” intended to reform Pennsylvania energy provider PJM Interconnection, as well as accelerate the construction of new energy generation, and protect families and businesses from rising electricity costs. 

The statement “builds on years of leadership by Governor Shapiro, who has been advocating for reforms to PJM since early in his term, took legal action when PJM failed to act, and secured real consumer protections that are now shaping the national response,” according to a press release.

Shapiro and bipartisan officials are pushing PJM to adopt rules that would get more power on the grid as quickly as possible by extending for two more years the price cap that Shapiro won after he sued PJM Interconnection in 2024. If implemented, the price cap would save more than 67 million consumers within the PJM region approximately $27 billion over the next two years, according to the press release. 

Nearly a year ago, Shapiro announced that his administration had reached an agreement with PJM Interconnection to resolve his recent lawsuit and to save consumers over $21 billion over the next two years, including an estimated $4.2 billion for Pennsylvania ratepayers. In September, Shapiro threatened to leave the consortium if states aren’t given a bigger role in PJM’s governance.

Shapiro added the following statement to today’s announcement:

For two years, I’ve been sounding the alarm, explaining that without fundamental changes to PJM — Pennsylvanians were going to be paying more and more, and getting nothing in return. I sued PJM when they refused to act and secured a price cap that saved consumers tens of billions of dollars on their energy bills. Since then I’ve been working with my fellow governors and federal energy officials to push PJM to make needed reforms, and I’m glad the White House is following Pennsylvania’s lead and adopting the solutions we’ve been pushing for — including the extension of the price cap that I insisted be included today. In Pennsylvania, we’ve been focused on creating more energy, permitting faster, and protecting consumers — we’re showing what’s possible when government leads the way and gets stuff done.

Shapiro led a 13-state summit regarding PJM issues in September. A clip from the summit is below:

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