PJM fast-tracks 2.1 GW; storage beats gas peakers

· Energy · United States

Grid and market developments point to shifting power economics. PJM Interconnection granted fast-track interconnection approval to 2.1 GW of projects, including Engie's two storage projects totaling nearly 1.7 GW and LS Power's 455-MW gas-fired uprate, with all expected online by mid-2029. Separately, Wood Mackenzie found four-hour storage is cheaper than gas peakers across global markets, with data centers in North America boosting the long-term investment case as gas turbine backlogs and fuel volatility raise peaking costs. Meanwhile, PowerLines reported that US investor-owned electric and gas utilities requested a record $4.5 billion in rate hikes in Q3, with utilities in the South requesting the most at $2.2 billion.

Why it matters：Storage economics overtaking gas peakers and record rate requests signal a structural shift in how grids are planned and paid for, affecting utilities, developers and large-load customers such as data centers.

Key points

  • PJM fast-tracked 2.1 GW, including Engie's ~1.7 GW of storage and LS Power's 455-MW gas uprate.
  • Wood Mackenzie says four-hour storage is cheaper than gas peakers across global markets.
  • US utilities requested a record $4.5B in Q3 rate hikes, with the South at $2.2B.

Sources (original reporting)

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