Power Suppliers Say PJM Queue Is Clearing — 55 GW Ready to Build
The Electric Power Supply Association argues interconnection reforms are working, even as critics cite soaring data center demand and grid delays.
Over 55 gigawatts of new generation capacity has cleared PJM Interconnection's interconnection queue and is ready to be built, according to Todd Snitchler, president and CEO of the Electric Power Supply Association, which represents competitive power suppliers operating more than 225,000 megawatts across the United States.5
Snitchler's commentary, published on Tuesday (2026-07-07), is a direct rebuttal to criticism that PJM — the largest U.S. grid operator, serving 67 million people across 13 states — is failing to keep pace with demand. His central argument: the numbers don't support the narrative.5
Another 220 gigawatts entered the latest interconnection review cycle, and when PJM asked developers whether they were willing to contract directly with large loads rather than wait for standard queue resolution, more than 130 gigawatts came forward.5 That response suggests supply-side appetite for new capacity is not the constraint — permitting, financing, and site-level development timelines are.
PJM Western Hub spot prices settled at $42.83 on Tuesday (2026-07-07), a level that reflects the market pricing in adequate near-term supply even as the forward curve anticipates tighter conditions. The contrast between prompt flatness and the 130 GW willing to contract directly captures the structural dynamic Snitchler is highlighting: capacity exists, but it needs a path to market.
The demand backdrop against which this capacity is trying to connect has grown sharply. Data centers alone now account for roughly half of U.S. incremental electricity demand growth, per the International Energy Agency's global energy assessment.2 Global electricity demand from data centers rose 17% in 2025, with AI-focused facilities growing even faster, surging 50% in the same period.2 For PJM's mid-Atlantic and Midwest territory, where much of the U.S. hyperscaler buildout is concentrated, that translates into a queue pressure problem measured in gigawatts, not megawatts.
The Edison Electric Institute's most recent weekly reading showed U.S. electricity generation up 2.2% year-over-year, with total output over the past twelve months rising 1.8%.1 Neither number signals a demand emergency, but both confirm a trend line that is running faster than the historical baseline against which PJM's queue processes were designed.
Historical queue data does complicate Snitchler's optimistic framing. Of all capacity that submitted interconnection requests between 2000 and 2019, only 13% reached commercial operations by the end of 2024; 77% was withdrawn.3 The EPSA position is that reforms since then have improved attrition rates and queue quality — but the reform era is recent and the withdrawal history is not.
The smarter meter data gap adds another layer. Utilities across PJM have spent nearly $6 billion installing roughly 12 million smart meters, but independent analysts say the data from those devices is not being shared in ways that enable demand response and virtual power plant programs that could meaningfully reduce peak stress.4 Snitchler's argument focuses on supply-side progress; the demand-side flexibility tools remain underdeveloped in parallel.
Grid Strategies projected the U.S. data center market will grow by at least 65 gigawatts and as much as 90 gigawatts by 2029.3 That range against the 55 gigawatts Snitchler cites as ready to build suggests the pipeline is moving in the right direction, but the gap between the top end of demand projections and confirmed near-term supply additions remains real.
The next test for Snitchler's thesis comes in the form of executed project timelines. Capacity clearing the interconnection queue is not the same as capacity reaching commercial operations. The 130 gigawatts willing to contract directly with large loads is a market signal worth watching — if those direct contracts accelerate construction timelines beyond what the standard queue produces, it would demonstrate that PJM's market structure can adapt to hyperscaler demand without regulatory intervention.