PJM Board Proposes 2026 Grid Integration Plan

The PJM Board of Managers outlined a series of actions to be taken by PJM and its stakeholders in 2026 to address the multiple challenges of integrating new data centers and other large load customers onto the grid while preserving electricity system reliability and affordability for the 67M people PJM serves. The plan detailed by the Board includes proposals to be filed directly with the Federal Energy Regulatory Commission; changes in PJM's policies and procedures that can be made immediately; and proposed stakeholder processes to inform the Board on complex but equally urgent issues. The Board proposes: Significant load forecasting improvements and increased role for states; Avenues for new large loads to bring their own new generation or enter into a connect and manage framework subject to earlier curtailment; Creation of an accelerated interconnection track for state-sponsored generation projects; Immediate initiation of a backstop generation procurement process to address short-term reliability needs, and; A review of PJM markets to assess how they can best work in combination to support investment. The PJM Board will seek additional feedback from its stakeholders before deciding whether to extend the price floor and ceiling, also known as a "price collar," that was in place for the last two auctions to the 28/29 and 29/30 auctions in light of the holistic market review it has asked the PJM Staff to perform in 2026. Publicly traded companies in the electricity grid space include Vistra (VST), Constellation Energy (CEG), and NRG Energy (NRG).