PJM Offshore Wind Transmission Competitive Procurement

March 26, 2021
John Dalton

On April 15th PJM will begin soliciting transmission proposals that would expand its network and identify system improvements to enable the interconnection of New Jersey’s 7,500 MW OSW target. This is the first “market test” in the US where transmission developers will compete for the right to develop the transmission need to realize a state or region’s OSW goals. Transmission developers will submit competing transmission proposals to PJM.

The scope of transmission options are as outlined below. While existing lease areas are known, PJM and BPU staff will have to make assumptions regarding the development schedule for these and presumably test the respective performance of these transmission solutions to changes in these schedules. Flexibility will be critical.

There are numerous challenges associated with estimating the respective benefits of alternative transmission options under consideration. One significant benefit is likely to be reduced risk of permitting delays by potentially reducing the required number of landfalls, which are a critical environmental pinch point. Quantifying this benefit is difficult at best.