The board of PJM Interconnection has approved a proposal by NextEra Energy Transmission, LLC and Exelon Corporation to build a roughly 220-mile, 765-kilovolt transmission line spanning parts of West Virginia and Pennsylvania, advancing one of the region’s larger recent grid expansion efforts.

PJM, which operates the electric grid and wholesale power markets across 13 states and the District of Columbia, said the project is intended to strengthen reliability and support long-term system stability as demand for electricity increases.

Why it matters

The approval comes amid mounting pressure in PJM’s capacity market, which is designed to ensure sufficient power supply to meet peak demand. In its most recent auction for the 2025-2026 delivery year, capacity prices rose sharply compared with the prior year, reflecting tighter supply and higher projected peak loads across much of the region. PJM has also attributed the shift in part to declining generation supply offers and increasing demand forecasts.

State officials and PJM have also agreed to extend a price cap on capacity auctions for two additional years in an effort to moderate wholesale price volatility and protect consumers from steep cost increases.

Separately, PJM’s board has encouraged discussions about potential adjustments to its auction framework as large new electricity users — including data centers — seek interconnection, adding further strain to planning timelines and resource adequacy assessments.

According to Exelon, the 765-kV transmission line is bi-directional, allowing electricity to flow both ways to better manage supply and demand across Pennsylvania and West Virginia. The line transfers two to three times more power than a typical 500-kV line, reduces transmission losses by roughly 50%, and facilitates approximately seven gigawatts of capacity. Exelon also highlights that the high-voltage design requires fewer towers, which lowers the environmental footprint compared with lower-voltage structures. The project connects to regional substations, integrates new generation resources into the grid, and supports broader energy investment goals in the region, including Pennsylvania’s $92 billion in new generation and West Virginia’s 50-gigawatt energy and workforce development plan.

One of the highest voltage levels used on the U.S.

The newly approved transmission line will operate at 765 kV, which ranks among the highest voltage levels used on the U.S. bulk power system. Furthermore, utilities typically deploy high-voltage lines of this scale to move large quantities of electricity over long distances and to relieve congestion on existing infrastructure.

In addition, the developers plan for the project to add transmission capacity, enable new generation resources to connect to the grid, and support economic development in the region.

In statements following the board vote, Matt Valle, president of NextEra Energy Transmission, described the line as a step toward ensuring safe, reliable and affordable electricity for residents and businesses. Carim Khouzami, executive vice president of transmission and development for Exelon, said the investment would help address growing electricity needs in Pennsylvania and West Virginia while prioritizing affordability.

Before construction can begin, the project must complete engineering studies, environmental review and state-level siting approvals. The companies said they plan to hold community open houses later this year and engage with landowners as routing decisions are refined.

Additionally, the approval highlights PJM’s broader efforts to address reliability and market pressures through large-scale infrastructure planning, even as policymakers, regulators, and market participants weigh how best to balance cost, reliability, and rising demand across the Mid-Atlantic grid. The transmission project aligns with other major energy developments in the region, including Mon Power and Potomac Edison’s recent selection of a 35‑acre site near the Fort Martin Power Station in West Virginia for a proposed 1,200‑megawatt natural gas plant. Pending state regulatory approval, Mon Power and Potomac Edison plan to begin site work in 2027 and bring the facility online in late 2031, providing long-term reliability and helping meet growing electricity demand alongside expanded transmission infrastructure.

 

Project Factsheet: NextEra-Exelon 765-kV Transmission Line

Project Proponents: NextEra Energy Transmission, LLC and Exelon Corporation

Type: High-voltage transmission infrastructure

Project Scope: 220-mile, 765-kV transmission line

Service Area: West Virginia, Pennsylvania, and Mid-Atlantic region

Key Milestone: PJM Board of Directors approval received

Regional Operator: PJM (13 states and District of Columbia)

Primary Driver: Electricity demand growth outpacing current supply

Core Benefits:

Adds critically-needed transmission capacity

Enables new generation connections to grid

Ensures affordable electricity supply

Attracts industrial investment and economic development

Creates construction jobs and long-term employment