INSIGHTSSERIES
Power & Utilities | Smart Grid
March 9, 2026
Rising Electricity Demand Spurs Efforts to Improve Interconnection Efficiency
From streamlining replacement of retiring generators to simplifying rules for connecting distribution-level resources, recent actions are strengthening interconnection frameworks.
Regulators and grid operators across the U.S. are actively reforming interconnection processes to support the growth of new power generation resources amid surging electricity demand from AI data centers, manufacturing, and electrification. These actions also aim to…Read the full report
Key Takeaways
- PJM has received FERC approval for a proposal to transfer capacity interconnection rights from retiring generators to replacement resources.
- FERC has initiated a rulemaking process to address the interconnection of large loads to the interstate transmission system.
- New York regulators are evaluating reforms to the interconnection process for large electric loads, while Pennsylvania regulators have initiated a broad review of regulations for new load, uprates, and distributed energy resources.
