Power & SitesUnited States

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Power & Sites · United States

Engie, LS Power land 2.1 GW in fast-track interconnection approval from PJM

Credited to Utility Dive · utilitydive.com · 20h ago

Photograph · Utility Dive

The grid operator expects Engie’s two storage projects totaling nearly 1.7 GW and LS Power’s 455-MW gas-fired uprate will be online by mid-2029.

The PJM Interconnection has approved three initial projects totaling 2.1 GW — two storage projects planned by Engie IR Holdings and a gas-fired uprate proposed by an LS Power unit — in its Expedited Interconnection Track process, the grid operator said Thursday.

PJM expects the projects will come online in mid-2029.

With the approvals in hand, Engie plans to build an 860-MW storage project in Crawford, Pennsylvania, and an 800-MW storage project in Morrow, Ohio, according to PJM.

LS Power intends to add 455 MW to its 810-MW combined cycle Hunterstown power plant in Adams, Pennsylvania, PJM said. LS Power bought the power plant from Platinum Equity in 2024.

The projects’ advancement through PJM’s review process comes as the grid operator is facing tight supply conditions with little generation coming online in recent years while data centers are driving the grid operator’s demand forecasts higher. That dynamic has led to a sharp spike in PJM’s capacity costs, driving up electric utility bills in some areas.

After the Federal Energy Regulatory Commission approved the Expedited Interconnection Track process in June, PJM opened the application window for the process on July 31. The fast-track interconnection review process is for projects larger than 250 MW that are backed by a primary siting authority and can begin operating within three years, PJM said.

Under the process, PJM will consider up to 10 interconnection requests a year for new or uprated capacity resources that meet the eligibility requirements. The process is set to expire at the end of 2027.

The temporary interconnection process is one part of PJM’s efforts to bring new generation online to meet rising demand, mainly driven by planned data centers, the grid operator noted. Those efforts include a pending reliability backstop procurement for new generation, updates to the grid operator’s surplus interconnection service rules that could allow new generation to use existing interconnection capacity and a reformed generator interconnection process.