This study examines how interconnection queue reform and expanded interregional transmission could help the U.S. power system meet rapidly growing electricity demand. It compares a Reform scenario with Business as Usual (BAU) across PJM, MISO, SPP, and the non-CAISO West, regions that together currently serve about 54 percent of U.S. electricity demand.

If benefits in Reform build gradually over time and scale proportionally with electricity demand in non-ERCOT U.S., Reform could reduce cumulative grid costs by roughly $125 billion and residential electricity bills by $19 billion between 2026 and 2040.

In 2035 alone, Reform across PJM, MISO, SPP, and non-CAISO West lowers grid costs by approximately $7 billion after accounting for $1.9 billion in new transmission investment. It also reduces residential electricity bills by about $1.1 billion, with savings in every modeled region, and cuts the cost of power shortfalls by 76 percent. Reform enables substantially more battery storage and interregional transmission, along with additional solar and wind capacity. Natural gas capacity still grows and remains the largest source of generation.