Reopening of PJM Interconnection Queue is Welcome Step Toward Lower Costs and Reliability
Largest U.S. grid operator to begin processing new interconnection queue requests following a multi-year pause that effectively froze the pipeline of new resources
WASHINGTON, DC – Today is the deadline for project developers to submit applications to PJM Interconnection as it begins the study of new generation projects for the first time since 2022. The queue, a line of energy projects waiting for grid-connection requests to be studied and approved, was effectively closed by PJM as it dealt with a massive backlog of requests. The long wait times and high upgrade costs resulted in many potential new supply projects withdrawing from the queue at a time when they are desperately needed to ensure reliability. This will mark the beginning of PJM’s newly reformed process, which promises to result in faster study times.
“Reopening the queue is a welcome sign of progress, and our industry is eager to see whether PJM is able to study and connect new energy projects more quickly going forward,” said Jon Gordon, a Senior Director at Advanced Energy United. “PJM’s changes will ultimately be successful if it’s able to more quickly connect low-cost clean energy and storage to the grid. Processes that fail to get new renewable generation and storage supply online in time to meet fast-growing energy demands will lead to further worsening consumer bills and increased threats to reliability.”
A recent report from Synapse Energy Economics shows that deploying more advanced energy technologies – including solar, storage, demand response, advanced transmission technologies, and virtual power plants – could save households and businesses within PJM $178 billion over the next decade. More advanced energy on the PJM grid would also reduce the frequency of transmission grid outages in 2030 by 97%.
“Getting connected to the grid remains one of the biggest barriers to getting new generation and storage projects online, and consumers have been paying the price,” added Gordon. “We must build on today’s reopening with continuous reforms that speed projects through study, planning, and construction, enhance transparency, and prevent future backlogs.”
Specifically, Advanced Energy United recommends that PJM work with stakeholders to explore a more predictable, proactive approach to interconnection, borrowing from the Southwest Power Pool’s innovative “Consolidated Planning Process” recently approved by FERC. Advanced Energy United also recommends that PJM:
- Commit to achieving the FERC-mandated, 150-day study timeline
- Increase automation and artificial intelligence tools to speed up the queue
- Prioritize the most cost-effective solutions for resolving reliability violations
- Reform the energy-only interconnection track
- Ensure that surplus interconnection pathways are workable in practice
- Develop streamlined study processes for new generation exclusively serving new loads
- Ensure interconnection costs are reasonable
- Work collaboratively with states, transmission owners, and developers to address delays that occur after an interconnection agreement.