Members discuss PJM, IMM Capacity Proposals

PJM and Monitoring Analytics, PJM’s independent market monitor, presented updates to the Capacity Construct/Public Policy Task Force in a somewhat abbreviated session Nov. 1.

The IMM’s proposal was the only that differed from those presented at the previous task force meeting, Oct. 16.

Members debated the particulars of PJM’s proposal for default capacity repricing and a modified executive summary. Under PJM’s proposal, capacity market offers of subsidized resources would be adjusted in a second, price-setting stage of the Reliability Pricing Model auction.

The IMM discussed its executive summary, including the rules governing the exemptions under its proposal and changes to the public policy section.

The task force will meet on Nov. 10 to discuss the updated PJM and IMM proposals. Prior to that meeting, PJM and the IMM will post new material (including the public policy language from the IMM), incorporating stakeholder feedback from the Nov. 1 meeting.

Some stakeholders remain reluctant to proceed with the work of the task force in light of the Department of Energy’s letter and notice of proposed rulemaking  to the Federal Energy Regulatory Commission on Sept. 29.

Others, however, agree with PJM that the task force’s work can proceed on a parallel track. They pointed out that the task force has continued to work on proposals and stakeholders have continued to ask and answer questions.

The other six proposals have not changed since the last meeting. Presenters said they continue their willingness to discuss the proposals with other stakeholders.

The task force will vote between Nov. 13 and 17 and review the results on Nov. 21 before reporting them to the Markets & Reliability Committee on Dec. 7.