U.S. grid operators braced for a surge in electricity demand and possible power outages this week as scorching temperatures hit the eastern half of the country. Heat waves are just one of the challenges facing increasingly strained electricity systems across the country, amid rapidly growing demand from data centers and a looming shortfall in supply.

On this episode of Political Climate we’re joined by Asim Haque, SVP of Governmental and Membership Services for PJM Interconnection. Haque helps us unpack this historic "all hands on deck" moment for the U.S. power grid. Challenges and opportunities lie ahead: from preparing for AI's energy usage and tackling interconnection queues, to managing diverse resource portfolios and price increases that drag grid operators into the political fray.

This period of transition is taking place against a historic debate in Congress on the future of energy tax policy, which could have major implications for how grid operators manage the supply crunch and demand spikes they're facing.

We kick off the episode with our ongoing coverage of the Big, Beautiful Bill as we dig into the Senate Finance Committee's version of the tax and spending cuts package. We unpack some of the differences between the House and Senate language, next steps ahead of the President's July 4th deadline, and what the reconciliation bill means for the U.S. power system.