PJM filed proposed tariff revisions with the Federal Energy Regulatory Commission Oct. 31 to update PJM’s stated rates for services. The revisions to the tariff calls for a new stated rate of 36 cents per megawatt-hour for two years and then a 2.5 percent annual increase to 41 cents in 2024.
Suzanne Daugherty, PJM senior vice president, CFO and treasurer, said, “The rate change will ensure our ability to continue to deliver benefits to the members and the region. The plan maintains rate predictability that members wanted and continues financial discipline and transparency.”
The filing follows approval by the PJM Board and unanimous endorsement by the PJM Members Committee.
Stated rates are a fixed, long-term capped rate for the administrative costs of managing the grid and wholesale electricity markets.
The process to develop a new stated rate began earlier this year with the Finance Committee, representing each member sector. The Finance Committee established objectives consistent with the previous process and with lower annual refunds and gradual increase in rates.