Docket No. ER23-729-000
FERC Chairman Willie Phillips today announced the Commission will convene a forum to examine the PJM Interconnection, L.L.C. capacity market and how best to guarantee it achieves the objective of ensuring resource adequacy at just and reasonable rates.
The announcement came today as the Commission approved PJM’s December proposal to adjust its capacity market rules (ER23-729). The Commission noted that its approval of PJM’s proposal notwithstanding, the continuing disputes and frequent complaints about how PJM operates its capacity markets from an array of stakeholders throughout the region merit a general review outside the constraints of a particular proceeding. PJM operates in 13 Mid-Atlantic and Central states and the District of Columbia.
“If we failed to act today, the rate impact of this error would be $24 a month for the average customer,” Chairman Phillips said. “This substantial burden would fall disproportionately on the Delmarva Peninsula, where the average weekly wage of workers is $1,170 — $168 below the national average — and whose ratepayers in Delaware, Virginia and Maryland are among the least able to absorb such dramatic bill increases. This is not only the just and reasonable outcome, it also happens to be the right thing to do.”
The Commission will provide details about this forum in the near future.