PJM’s revised data center backstop procurement plan reduces utility risks: ICF

Utility Dive · Ethan Howland · 2026-11-03 08:00 UTC

The planned procurement could be for as little as 630 MW, down from an initial 6,800-MW target, after utilities in the PJM Interconnection’s footprint lowered their large-load forecasts, Jefferies analysts said.

The PJM Interconnection on Thursday filed a revised reliability backstop procurement, or RBP, proposal with federal regulators, with a goal of beginning the process on March 1 — about seven months later than originally planned.

The revisions come after the Federal Energy Regulatory Commission in late September rejected most of PJM’s initial proposal, which was designed to fill a capacity shortfall driven by data center development. FERC said in its decision that the original plan’s provisions for cost allocation, transmission owner exit rules and load-serving entity, or LSE, collateral requirements may have been unjust and unreasonable.

The proposed revisions were “carefully tailored” to address the issues identified by FERC while keeping the RBP’s fundamental structure and policy objectives intact, PJM said in its recent filing.

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