On Oct. 23, PJM filed at the Federal Energy Regulatory Commission for proceedings on the Minimum Offer Price Rule (MOPR) Remand.
In May 2013, the FERC accepted PJM’s MOPR revisions. The FERC specified that two then-existing provisions be retained – the unit-specific exception and the one-year MOPR mitigation period, rather than the three-year period proposed by PJM. The original MOPR was part of PJM’s original Reliability Pricing Model filing; RPM started with the 2007/08 delivery year.
On July 7, 2017, the District of Columbia Court of Appeals ruled that the FERC could not impose those conditions in reviewing a Section 205 filing because the changes were not “minor.” PJM and the FERC sought rehearing of the Court’s order, but rehearing was denied on September 20, 2017.
Chris O’Hara, vice president and Deputy General Counsel, said that PJM is making the filing on remand because it needs clarity on the issue before the capacity market Base Residual Auction in 2018. PJM is seeking to implement its December 2012 MOPR filing, which was approved by stakeholders.
O’Hara further explained that the Commission-ordered modifications had no practical effect on the intervening auctions and are not necessary for the proposal to be found just and reasonable.