“The Cost of Permitting Delays in PJM: Long-Term Impacts on Electricity Prices, Reliability, Emissions, and Investment Timing"

Permitting and interconnection delays affect long-term electricity costs, reliability, emissions, and investment timing in the PJM Interconnection, the nation’s largest wholesale electricity market. Using Energy Exemplar’s PLEXOS modeling platform, the analysis evaluates how different infrastructure delivery timelines shape power system outcomes under rising electricity demand driven by data centers, artificial intelligence, electrification, and broader economic growth.

 “Permitting and interconnection delays are not simply administrative barriers, but system-level risks that directly shape cost, reliability, and long-term investment outcomes. As electricity demand accelerates, the ability to deliver infrastructure on time becomes as important as the resources themselves,” states Hon. Mark W. Menezes, President & Chief Executive Officer of USEA.

The report examines how permitting and interconnection delays can affect long-term electricity prices, system reliability, emissions outcomes, and investment timing in the PJM region.