Granulated Sugar (Best Option)
1/4 cup granulated sugar per 1/4 cup powdered sugarGranulated sugar works well because it provides the same level of sweetness as powdered sugar. Although powdered sugar dissolves faster due to its fine texture, granulated sugar dissolves sufficiently during the cooking process of pancakes, which involves heat and moisture.
To ensure even sweetness and avoid graininess, mix the granulated sugar thoroughly into the wet ingredients and allow the batter to rest briefly before cooking. This helps the sugar dissolve more completely.
Compared to powdered sugar, granulated sugar may result in a slightly less smooth batter but does not significantly affect the final pancake texture or flavor, making it an excellent substitute.