In a new interview on The Energy Gang podcast, EEI President and CEO Drew Maloney discussed rising electricity demand and the need for new generation, permitting reform, and responsible data center growth. 

Listen to full episode here. 

Managing Data Center Growth Responsibly: 

“The goal is clear: we don’t want existing ratepayers to bear the burden of new data centers,” Maloney said. “When it’s done right, these investments can actually put downward pressure on rates.” 

He pointed to the increasing number of large-load agreements and the White House’s Ratepayer Protection Pledge, designed to ensure data centers and other large customers pay their fair share and help reduce costs for local families and businesses.  

Historic Electricity Demand and Grid Investment: 

“When you look back at America’s history, the transformational infrastructure investments were railroads, the interstate highway system, and the electric grid,” Maloney said. “Today, we are once again investing in the most critical engine of our economy—the electric grid.” 

“In the last two years, we’ve seen demand growth double, and it will likely continue,” he added. “At the end of the day we need more generation and more steel in the ground.” 

Affordability and Reliability: 

“Americans are feeling cost pressures across the board—food, health care, housing, and energy,” Maloney said. 

He noted that electricity prices vary by region, but data show about 34 states have kept rates below average over the past five years. 

“When Americans flip a light switch, turn on their heat or air conditioning, or plug in their phones, they expect it to work,” he said. “That’s our commitment—to deliver reliable and affordable power every day.” 

PJM and the Need for New Generation: 

Maloney also addressed ongoing challenges in the PJM Interconnection region, highlighting concerns about rising costs and a lack of new generation in the region. 

“There’s bipartisan frustration—from FERC, the White House, and governors—because this is not sustainable,” he said.  

Permitting Reform and Building Infrastructure Faster: 

“We’re seeing momentum around solutions, including permitting reform, which is critical to getting projects built on time and at lower cost,” Maloney said. 

“It can take a decade or longer to build transmission in the United States,” he added. “That delay can increase project costs significantly—and those costs are ultimately borne by customers.” 

Convening Energy and Technology Leaders at EEI 2026 in Las Vegas (June 2-4): 

“At EEI 2026 in Las Vegas, we’ll bring together one of the largest gatherings of electricity experts and thought leaders,” Maloney said. “We’re looking forward to hearing from leaders across the energy and technology sectors as we work together to power America’s future.” 

Lawmakers on Capitol Hill put America’s transmission infrastructure front and center Wednesday during a House Energy & Commerce Committee hearing.

Policymakers and industry experts focused on permitting for, investing in, and upgrading one of the energy grid’s central pillars: the transmission network integral to moving electrons from power plants to homes, businesses, and government facilities across the country.

Southern Company Senior Vice President of System Planning Clay Rikard represented America’s investor-owned electric companies during the hearing.

Rikard stressed to lawmakers that “we are experiencing unprecedented load growth, and our electric utilities are moving with speed to provide power to our customers that is both reliable and affordable.”

Read on for highlights and key takeaways from Rikard and the other energy leaders testifying before the panel:

America’s Electric Companies are Protecting Customers Amid Data Center Buildouts

Transmission Is the Backbone of the Energy Grid

The Federal Government Has a Role to Play…

…But State- and Region-Specific Solutions Are Vital

The Regulated Business Model Puts Customers First

Federal Permitting Reform Is a Must

Nelson Peeler, Duke Energy Senior Vice President for Grid Strategy, Planning, and Integration, stressed to lawmakers that “large new electricity customers, if integrated into the grid responsibly, present local economic development opportunities and can limit rate growth by spreading the fixed costs of the grid across a larger base.”

Watch a recording of the hearing, and see below for highlights and key takeaways:

1. The Regulated Business Model Benefits Customers.

Electric Perspectives:

2. Companies and Regulators Are Protecting Customers From Added Costs.

Electric Perspectives:

3. One-Size-Fits-All Data Center Solutions Are Unrealistic.

Electric Perspectives:

4. Grid Investment Will Be Critical to Meeting Demand.

Electric Perspectives:

5. Grid-Enhancing Technologies Are Making the Most of Existing Assets.

Electric Perspectives:

4 Takeaways:

1. Industry and Government Agree: Tech Companies Should Pay Their Fair Share.

Context: Electric companies and their government and regulatory partners are aligned on protecting residential customers by ensuring data centers and large loads pay for the infrastructure needed to meet their energy demand.

Many data center developers are also on board, particularly after the White House unveiled its Ratepayer Protection Pledge to ensure tech companies pay their fair share to access the grid.

EEI in March published a snapshot of the data center projects its members are engaged in, detailing 39 gigawatts of projects and $840 billion in investments. These projects are bringing economic development to communities across the country without raising customers’ bills.

Electric Perspectives:

2. Companies Are Protecting Customers.

Context: Twenty states have approved a large load tariff, charging higher, specialized rates to large load customers to ensure they fund the grid upgrades and infrastructure projects needed to meet their energy demand. Nine other states are actively considering them.

Two states where tariffs have been approved are Alabama and Georgia, where Southern Company has implemented multi-year rate freezes thanks to data center and large load development.

A recent report from Charles River Associates (CRA) found that—outside of the PJM region—data centers have not driven up residential rates.

Electric Perspectives:

3. Market Structure Matters.

Context: Vertically integrated companies that own their own generation are among the most closely regulated operations in the country, with rates and investments approved by public service commissions through open and transparent rate reviews.

Electric companies, state regulators, consumer advocates, local officials, customers, environmental groups, and other stakeholders have input on generation, transmission, and distribution decisions—which is beneficial when major investments like data centers are being considered.

Several speakers at the event noted the PJM region lacks vertical integration, exacerbating some of its recent challenges.

Electric Perspectives:

4. Companies Need to Communicate Customer Benefits.

Context: Although public sentiment on data centers is low, EEI members are leading projects that are bringing new jobs, tax revenues, energy infrastructure, and local investments to communities across the country without driving up customer bills.

Womack and Lake indicated there is no shortage of success stories nationally and that industry and government can do a better job communicating benefits directly with customers.

Electric Perspectives:

What’s Next:

• Duke President and CEO Harry Sideris will feature in the next EEI-Axios Live event scheduled for September.
• The CRA rate analysis has more information about data centers and customer impacts, detailed in a recent Electric Perspectives podcast episode.
• A recent Lawrence Berkeley National Lab report indicated growing demand from data centers and businesses can help lower costs for states and communities.
• Data centers and rising energy demand will be a key topic of conversation at EEI 2026, to be held June 2-4 at the Fontainebleau Las Vegas. Register today at eei.org/2026.

The electric grid is the backbone of America’s daily life, enabling everything from economic activity and public safety to communication and innovation. Surging energy demand, extreme weather, emerging technologies, and electrification are impacting the grid and consumer power bills, making today’s decisions matter more than ever.

EEI joined Axios Live in April to host a series of conversations about the grid and the policy, planning, and investment decisions needed to improve and maintain a resilient grid for the decades ahead.

Scroll through for highlights from the event, and watch a full video recording above or at the Axios Live YouTube channel.

Duke Energy recently received a waiver from the Federal Aviation Administration (FAA) for a single pilot to operate up to four drones beyond visual line of sight—a key designation that will give the company greater flexibility to deploy uncrewed aircraft systems (UAS) to protect and maintain the energy grid.

Duke Energy began using drones for storm response in 2015, strategically integrating the technology into its operations. In 2024, drones were used to help reconductor a transmission line in Shelby, N.C., following Hurricane Helene—allowing crews to complete a potentially dangerous and time-consuming task safely and in a matter of hours.

Commercial drone deployment is overseen by the FAA, and certain activities and use cases require specific waivers, including automated, defined flight paths for inspecting infrastructure. Duke Energy already held a waiver allowing its pilots to operate drones beyond visual line of sight—enhancing efficiency and safety and decreasing reliance on ground crews, bucket trucks, and crewed aircraft like helicopters for infrastructure inspections and storm damage assessments. With the company’s new FAA waiver, a single pilot will now be able to operate multiple drones beyond visual line of sight.

Electric companies have increasingly embraced drone technologies to safely and efficiently inspect infrastructure, assist in storm response, and mitigate risks for lineworkers—particularly when high-resolution cameras, light detection ranging sensors, and thermal sensors are implemented.

This is the latest example of an EEI member company utilizing drones to enhance inspections while lowering costs. Dominion Energy is one of several electric companies using a combination of drones and AI to more frequently inspect infrastructure and more quickly make maintenance decisions. The Southwestern Electric Power Company, meanwhile, is using drones to assist in tree trimming and vegetation management efforts in Louisiana and Texas.

Last year, Southern Company received FAA approval for UAS flights beyond visual line of sight to monitor energy infrastructure, assess storm damage, and respond proactively to potential issues with the energy grid.

Florida Power & Light, similarly, began flying its FPLAir One drone in 2022. At the time, it was the first fixed-wing drone of its size to be operated commercially outside of an FAA test site. Xcel Energy was the first to receive FAA approval to utilize UAS technologies to survey transmission lines back in 2018.