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PG&E, San José Commit to Power Grid Upgrades for New Data Center Demand
The City of San José and Pacific Gas and Electric Company (PG&E) announced an agreement committing to power grid upgrades to accommodate the 2,000 megawatts of new demand from data centers in the San José area. Reportedly the first of its kind, the agreement establishes San José as “the West Coast’s premier destination for data center development,” according to a release.
“This landmark agreement will enable us to continue to lead the AI revolution by increasing grid capacity, reliability and efficiency,” said San José Mayor Matt Mahan. “And with clear performance measures built into the agreement, we’re holding ourselves and PG&E accountable — making sure businesses get the power they need, when they need it.”
The additional power will triple energy use in San José, Mahan said at a news conference Friday. PG&E CEO Patti Poppe said the company will invest $2.6 billion in infrastructure for energy projects.
- ◦Development


