Battery energy storage in PJM is at an inflection point.
State-level clean energy mandates are accelerating the retirement of traditional thermal plants. At the same time, explosive load growth - especially from data center demand, in zones like Dominion - is tightening reliability margins.
Investors and developers see the potential for battery energy storage systems to help fill the gap.
However, in the past five years, PJM has added just 200 MW of grid-scale battery capacity - while Texas and California have cumulatively built more than 20 GW of BESS over the same period.
Three states - New Jersey, Illinois, and Virginia - now dominate the landscape, with over 65% of installed BESS capacity in PJM.
This buildout pace, however, will soon accelerate. Developers are queuing up larger, longer-duration projects, and policy tailwinds are beginning to align.
So, how do batteries in PJM actually make money today - and do current merchant and capacity revenues justify the capital outlay for new battery projects?
In this report, understand how to identify the best sites, stack revenue streams (beyond just Regulation), and navigate PJM’s market reforms - to build profitable battery projects.