Topics in the text: Reliability and curtailment · Connecting load and generation · Cost allocation
What the document says
Cost and curtailment · PDF pp. 2–4
Backstop procurement and shortage service
PJM put the procurement rules and curtailment rules into the same stakeholder process. A large customer without enough new supply could have to cut demand before existing customers.
these large loads may be required to reduce their withdrawals from the transmission system PDF p. 3
When is an interruption a substitute for capacity?
Commissioner David Rosner · Related public statement
PJM’s July report considered shortage service. Reviewing a subsequent tariff proposal in October, Rosner objected to mandatory curtailment before paid, voluntary demand response and warned about masking demand in capacity prices.
PJM was considering contractual load reductions as a way to connect some customers sooner. The planning question was who could order a reduction and how that obligation would be divided.
would allow certain large load customers to connect to the grid prior to completion of necessary transmission upgrades PDF p. 5
Resource adequacy · PDF pp. 6–8
Three choices for the capacity market
PJM put three paths on the table: long-term procurement, different reliability targets within the region, or greater reliance on energy and reserve revenue. They were alternatives for discussion.
either through mandatory LSE hedging or through centralized long-term procurement PDF p. 7
Market incentives · PDF pp. 8–9
Reserve pricing
PJM wanted reserve prices to reflect the cost of ramping generators when demand or supply turns out differently than forecast.
recalibrate reserve products and update reserve demand curves to better account for ramping and uncertainty PDF p. 8
Interconnection · PDF pp. 9–11
Connecting generation sooner
PJM was studying whether generators in the third phase of its queue could operate before every study finished, subject to safety and reliability.
permitted to safely and reliably begin generating prior to their completion of certain Cycle studies PDF p. 10
Source sections
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