PJM Interconnection expected to clear 300 new generation projects in 2024

PJM Interconnection is expected to clear 300 new generation projects totaling 26,000 MW in 2024 through its reformed interconnection process.

The reformed interconnection process has resulted in the steady integration of renewables and other generation into its electric grid – the nationʻs largest. Along with the 26,000 MW that are coming in 2024, PJM has identified another 46,000 MW of generation capacity that should be ready for construction by mid-2025. This would amount to a total of 72,000 MW of projects, most of which are renewable and battery resources.

“Interconnection process reform is delivering on the commitment made by PJM and its stakeholders to speed the study process for the thousands of new generation projects to connect with the PJM grid,” Ken Seiler, senior vice president of planning at PJM, said. “While siting and supply chain issues continue to slow the development of new generation resources, there will be a growing number of projects approved for interconnection in the near term.”

PJM’s new interconnection process was implemented in July, with 734 projects eligible to be evaluated. Of those, 118 either dropped out of the process or did not post sufficient readiness requirements by the due date. The remaining 616 projects were separated into two workstreams.

Specifically, 308 projects with lesser impact to the system qualified for an expedited process, or “fast lane,” with final documentation to be issued throughout 2024. The other 308 projects will be studied as part of the first transition cycle, which will account for the additional 46,000 MW of new generation, expected to clear the process by mid-2025.

PJM’s reformed interconnection process reform, which was widely supported by stakeholders, was approved by the Federal Energy Regulatory Commission in November of 2022. The reforms provide an efficient and timely process for handling new service requests, transitioning away from a “first-come, first-served” queue approach to a “first-ready, first-served” cycle approach. The new process also improves project cost certainty for network upgrades and enhances how new and upgraded generation resources are studied and introduced onto the electrical grid in the 13 states and the District of Columbia that PJM covers. It sets the stage for more than 260,000 MW of mostly renewable projects to be studied over the next three years.

PJM is a regional transmission organization (RTO) that coordinates the movement of wholesale electricity in all or part of 13 states and Washington D.C. The 13 states are Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, and West Virginia.