Briefings on New FERC Rule Proposals at Members Committee Webinar

PJM and stakeholders discussed a number of pending issues at the Members Committee Webinar Jan. 23, concentrating on Notices of Proposed Rulemaking recently issued by the Federal Energy Regulatory Commission.

PJM provided an update on the FERC NOPR (RM17-8) related to generation interconnection. The FERC’s proposals in the NOPR include:

  • Improving certainty for interconnection customers
  • Promoting more informed interconnection
  • Enhancing interconnection processes

In December, the FERC issued a two-part NOPR on electric storage participation and distributed energy resources for grid operators. The FERC wants to establish models that recognize the physical and operational characteristics of electric storage resources and for distributed energy resource aggregation.

PJM is working with stakeholders on the issue through the special Market Implementation Committee meetings on distributed energy resources.

The meeting also covered possible impacts of the recent FERC compliance directive (Dockets EL16-6-001 and ER16-121-000) regarding auction revenue rights and financial transmission rights.

  • The FERC required two specific reforms to balancing congestion and ARR stage one retired source points: remove balancing congestion from FTR funding and allocate it to real-time load and exports; and replace no longer active historical source points with resources that reflect actual system usage.

PJM compiled a list of all capacity resources that are not currently designated as ARR stage one source points and has posted the list on

PJM also reported on the actions plans that resulted from stakeholder feedback through the Stakeholder Satisfaction Survey (see story).

The meeting also covered:

The Independent Market Monitor presented a report on replacement capacity in conjunction with its motion to lodge and for commencement of compliance process to the FERC.