PJM Forecasts 16.7% Growth In Peak Electricity Use Over 10 Years

Valley Forge, PA — Consumers will increase their peak demand for electricity by 16.7 percent over the next 10 years, according to PJM Interconnection, the electric power supply system operator for 13 states and the District of Columbia. The highest growth rate during that time is expected in PJM‘s Southern Region, which consists of the electric transmission system owned by Dominion.

PJM annually forecasts for its region the highest use of electricity (called peak demand) for future years and annual growth rates. The information is used to plan additions to the electric power supply system.

During the next 10 years, the highest demand for electricity use is expected to grow by 22,861 megawatts, according to PJM's January 2007 Load Forecast Report. A megawatt is a measure of electricity. It's enough electricity to power about 800 houses.

The average annual growth rate in the PJM region is forecast to be 1.6 percent. Though seemingly small, over a 10-year period it's roughly like adding to the system Chicago and all of northern Illinois.

The growth rate in PJM's Southern Region (Dominion's territory) is forecast to be 1.9 percent annually. Annual growth at that rate will result in approximately 4,000 megawatts of additional demand for electricity in 10 years.

"The above average growth in the Southern Region helps drive the need to expand the power supply system there," said Michael J. Kormos, PJM senior vice president – Reliability Services. "In just five years, peak demand in the Dominion territory is forecast to grow by 1,756 megawatts. That's like adding more than a million houses to the system."

In PJM's Western Region 10-year growth in electricity use is expected to average 1.5 percent annually. The Western Region includes the service territories of American Electric Power, Allegheny Power, Commonwealth Edison, Dayton Power & Light and Duquesne Light.

SOURCE: PJM Interconnection