American Electric Power invests $1.7 billion to upgrade transmission network in PJM region

American Electric Power (AEP) and its affiliate Transource Energy will invest nearly $1.7 billion to improve reliability and transmission capacity across several states in the PJM region, including Indiana, Ohio, Virginia, and West Virginia.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

American Electric Power (AEP) and its competitive affiliate, Transource Energy, have been selected by the PJM Interconnection Board to invest $1.7 billion in transmission system upgrades. These investments aim to enhance grid reliability and increase transmission capacity to meet growing energy demand in the region. The projects will span multiple states, including Indiana, Maryland, Ohio, Virginia, and West Virginia. These upgrades are part of the Regional Transmission Expansion Plan (RTEP), which envisions new infrastructure by 2029.

The PJM Board’s approval follows a submission process where transmission developers propose solutions to address forecasted grid needs. AEP, with its experience as the owner of North America’s largest transmission system, has submitted projects ranging from constructing new lines to upgrading existing infrastructure. Bill Fehrman, AEP’s President and CEO, stated that these investments are critical to supporting economic growth and ensuring reliable energy in the region.

Approximately $1.1 billion of this investment will go towards projects led by Transource Energy, which is partnering with Dominion Energy and FirstEnergy Transmission, LLC in a joint venture, Valley Link Transmission Company. This partnership will focus on building 765-kilovolt transmission lines in West Virginia, Virginia, and Maryland. The remaining $600 million will be allocated to projects in Indiana, Ohio, and Virginia, overseen by AEP’s transmission subsidiaries.

These projects are currently in the early stages of development, and AEP is committed to collaborating with residents, local authorities, and other stakeholders throughout the process. The company emphasises the importance of this collaboration to ensure that the benefits of these projects are fully understood and incorporated into the planning decisions.

A strategic investment for the PJM region

The projects approved by PJM under the RTEP are designed to address high energy transmission demand in the region, which spans 13 U.S. states and the District of Columbia. This initiative highlights the need for rapid adaptation of energy infrastructure to keep pace with sustained demographic and economic growth, particularly in states like Virginia and Indiana.

Challenges and benefits for local communities

While transmission projects are essential for ensuring energy supply, they also come with challenges related to local acceptance. AEP and its partners are committed to working with communities to minimise the impact of these new infrastructures. Stakeholder engagement from the early planning stages is crucial to ensure that the projects are executed under the best possible conditions, both economically and environmentally.

Citepa projections confirm a marked slowdown in France's climate trajectory, with emissions reductions well below targets set in the national low-carbon strategy.
The United States has threatened economic sanctions against International Maritime Organization members who approve a global carbon tax on international shipping emissions.
Global progress on electricity access slowed in 2024, with only 11 million new connections, despite targeted efforts in parts of Africa and Asia.
A parliamentary report questions the 2026 electricity pricing reform, warning of increased market exposure for households and a redistribution mechanism lacking clarity.
The US Senate has confirmed two new commissioners to the Federal Energy Regulatory Commission, creating a Republican majority that could reshape the regulatory approach to national energy infrastructure.
The federal government launches a CAD3mn call for proposals to fund Indigenous participation in energy and infrastructure projects related to critical minerals.
Opportunities are emerging for African countries to move from extraction to industrial manufacturing in energy technology value chains, as the 2025 G20 discussions highlight these issues.
According to the International Energy Agency (IEA), global renewable power capacity could more than double by 2030, driven by the rise of solar photovoltaics despite supply chain pressures and evolving policy frameworks.
Algeria plans to allocate $60 billion to energy projects by 2029, primarily targeting upstream oil and gas, while developing petrochemicals, renewables and unconventional resources.
China set a record for clean technology exports in August, driven by surging sales of electric vehicles and batteries, with more than half of the growth coming from non-OECD markets.
A night-time attack on Belgorod’s power grid left thousands without electricity, according to Russian local authorities, despite partial service restoration the following morning.
The French Academy of Sciences calls for a global ban on solar radiation modification, citing major risks to climate stability and the world economy.
The halt of US federal services disrupts the entire decision-making chain for energy and mining projects, with growing risks of administrative delays and missing critical data.
Facing a potential federal government shutdown, multiple US energy agencies are preparing to suspend services and furlough thousands of employees.
A report reveals the economic impact of renewable energy losses in Chile, indicating that a 1% drop in curtailments could generate $15mn in annual savings.
Faced with growing threats to its infrastructure, Denmark raises its energy alert level in response to a series of unidentified drone flyovers and ongoing geopolitical tensions.
The Prime Minister dismissed rumours of a moratorium on renewables, as the upcoming energy roadmap triggers tensions within the sector.
Kuwait plans to develop 14.05 GW of new power capacity by 2031 to meet growing demand and reduce scheduled outages, driven by extreme temperatures and maintenance delays.
The partnership with the World Bank-funded Pro Energia+ programme aims to expand electricity access in Mozambique by targeting rural communities through a results-based financing mechanism.
The European Commission strengthens ACER’s funding through a new fee structure applied to reporting entities, aimed at supporting increased surveillance of wholesale energy market transactions.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.