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Utility Diveabout 1 month ago

PJM trims near-term load forecast on stricter data center vetting, economic outlook

Key Takeaway

PJM's revised load forecast signals near-term headwinds for new projects due to stricter data center vetting, but a strong long-term demand surge will drive significant future generation and transmission needs.

AI Summary

  • PJM has revised its near-term load growth forecast downwards, citing stricter vetting processes for data centers and a cautious economic outlook.
  • Despite the near-term reduction, PJM projects significantly higher long-term load growth than previously estimated, indicating a substantial future demand for power.
  • For large power consumers, particularly data centers, the 'stricter vetting' implies potential delays or increased scrutiny for new interconnections and capacity additions within PJM.
  • Developers should anticipate a more challenging near-term market for new generation projects but prepare for robust, growing long-term demand opportunities in PJM, driven by data centers and other factors.

Topics

capacity-marketdatacenterinterconnectpjmpolicytransmission