Chicago-based utility company, Exelon’s utilities—Atlantic City Electric, Baltimore Gas and Electric, Commonwealth Edison, Delmarva Power & Light, PECO Energy, and Potomac Electric Power, with about 10.7 million customers—are studying 16 GW in interconnection requests from data centers and other high-density load, company officials said on May 1, 2025, during an earnings conference call. This is in addition to another 16 GW of high-probability projects that were seeking connection to the grid at the end of 2024.
Of the 16 GW of load requests with paid deposits, Exelon expects about 10 per cent of the load will be online by 2028, a third by 2030, three-fourths by 2034, and the remainder after that, as per the company, which confirmed a timeline of roughly 36 months to connect a large customer to the grid.
The pending data center requests contribute to Exelon’s expectation that it will spend up to $15 billion on transmission that is not included in the utility company’s $38 billion, four-year capital spending plan. The potential for new load on Exelon’s system comes as Exelon and its customers face economic uncertainty due to updated tariff policies, federal budget reprioritization, and increased energy supply costs.
Exelon gets about 90 per cent of its supplies domestically and estimates that the US administration’s planned import tariffs would increase the cost of its $38 billion capital plan, and operations and maintenance plan by about 1.5 per cent.
Exelon is advocating for continuing the Inflation Reduction Act’s (IRA) clean energy tax credits and their transferability but would not be directly affected if they are reduced. Its utilities are helping their customers manage rising electricity bills, partly through energy efficiency programs, suspending disconnections, extended payment plans, and removing any additional charges.
On the issue of resource adequacy in the PJM Interconnection, where Exelon’s utilities operate, the latter called for a “portfolio approach” that does not limit power supply options but considers delaying power plant retirements and allowing utilities to own power plants.
PJM has warned it faces looming supply shortfalls — a contributing factor to a sharp jump in capacity prices, which has caused a backlash in states such as Maryland, New Jersey and Pennsylvania where ratepayers face rate hikes in the 20 per cent range.
Exelon highlighted energy Bills that passed the Maryland Legislature and are waiting to be signed by the state’s governor. One of the Bills requires the Maryland Public Service Commission (PSC) to begin solicitations by October 2025 for 3 GW of dispatchable generation, including nuclear, gas, offshore wind and battery storage. Selected projects would receive a fast-track review by the PSC.
It also requires 1.6 GW of transmission-connected storage, which can be owned by utilities. The legislation directs the PSC to study power purchase agreements (PPAs), utility-owned generation, and other procurement models for in-state generation. In addition, the legislation allows for 150 MW of energy storage — with up to 70 per cent utility ownership — to connect to the distribution system. The Bill also authorizes the PSC to approve forward-looking, multiyear utility rate plans.