Pennsylvania Builds 2 GW of Plants for Data Centers
Dedicated gas and storage generation for QTS's Salem Township site could begin arriving as early as 2029.
Updated on Nov. 6, 2026 in Data Centers
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Invitium Energy, a joint venture in which PPL holds a 51% stake, agreed to supply approximately 2 GW of generation capacity for QTS's data center project in Salem Township, Luzerne County. The arrangement was announced during PPL's third-quarter 2026 earnings webcast, and the power plants are still in planning rather than operating.
Why it matters
The deal ties Pennsylvania's data center buildout directly to new generation, as PPL and Blackstone Infrastructure build plants to meet rising demand on the PJM grid. PPL's data center pipeline of 35.3 GW in advanced planning shows how quickly large-scale power needs are reshaping utility planning.
The proposed portfolio pairs two combined-cycle natural gas plants with fuel cells and battery storage, though the final split of fuel cells and batteries has not been set. PPL raised its annual EPS growth target to 7% to 9% through at least 2030.
The players
PPL Corporation
A Allentown-based regulated utility whose PPL Electric subsidiary serves Pennsylvania customers and now carries a 35.3 GW data center pipeline.
Blackstone Infrastructure
The infrastructure investment arm of Blackstone, partnering with PPL to build, own, and operate data center power plants in Pennsylvania.
QTS
A data center operator whose Salem Township project in Luzerne County will receive the 2 GW of planned generation capacity.
The details
Invitium Energy will build, own, and operate power plants for data centers in Pennsylvania, with Blackstone Infrastructure as its partner. The proposed generation includes two combined-cycle natural gas plants, which burn gas in a turbine and then use leftover heat to drive a second turbine for higher efficiency, complemented by fuel cells that generate electricity electrochemically and battery storage that smooths out supply and demand. The announced capacity serves the QTS data center in Salem Township, Luzerne County.
Timeline
Q3 2026: PPL reported third-quarter earnings and announced the agreement during its webcast.
2029: Fuel cells and battery storage could come online as early as this year.
2032 and 2033: The combined-cycle natural gas units are expected to be online.
The Tech Race
The agreement places Pennsylvania among the states where utilities are building dedicated generation for hyperscale computing loads. PPL's pipeline figures suggest that the competition for grid capacity in the PJM region is intensifying.
The generation capacity is planned for the 2029 to 2033 window, so residents and businesses will not feel direct changes from this agreement for several years. The source does not state how the project's costs will be passed on to ratepayers.
The takeaway
Watch for the final fuel cell and battery mix and the 2029 in-service date for the first phase of generation. Invitium's ongoing talks with other counterparts for additional Pennsylvania projects will show whether this model expands beyond Salem Township.
Further reading
Explore more coverage in Data Centers to see how power demand is reshaping Pennsylvania's grid.
Source note: This article includes information reported by WFMZ.
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