Power developers operating within the PJM interconnection region say they are prepared to begin construction on new generation capacity but are waiting on long-term contracts from data center customers and transmission infrastructure commitments before proceeding. Utility Dive reported that the mismatch between developer readiness and contractual certainty is creating delays in bringing new supply online in one of the most data-center-dense regions in the country. PJM covers 13 states and Washington D.C. and serves a significant share of the nation's colocation market.
The PJM region hosts more data center capacity than any other grid territory in the U.S., and delays in generation development there could create near-term power constraints for hyperscalers and colocation operators planning expansion. The transmission bottleneck identified here adds a second layer of risk beyond fuel supply or permitting.
Named grid operator (PJM), Utility Dive as a sector-specialist publication, and the intersection of data center demand with power supply chain dynamics triggered selection. The story addresses a structural supply gap that ranked it above general demand forecasting coverage.