PJM Moves to Intraday Offers

On Nov. 1, PJM introduced intraday offers to its Energy Market, the result of a directive from the Federal Energy Regulatory Commission to provide the ability for market participants to offer bids during the day.

Intraday offers permit more flexibility in the Energy Market by allowing participants to submit offers that vary hour-by-hour, rather than having a single offer that spans the entire operating day. This applies to all resources, regardless of whether they opt in or out of submitting intraday updates to their offers.

Resources that opt in to intraday offers can also update offers following the generation rebid period and during the operating day. This allows participants to more accurately reflect costs throughout the operating day, improving coordination with the gas market timing.

Generators can opt out or opt in to intraday offers as long as the specifications for triggering intraday cost offer updates are clearly defined in the PJM-approved fuel cost policy for the resources that opt in.

PJM made general updates to Markets Gateway to support this implementation.  Many of these changes affect all resources, not just those that opt in to submitting intraday offers.

 

  Prior to Intraday Offers Intraday Offers (Nov. 1, 2017)
Offer Curve Granularity Daily curve Hourly differentiated curves
Update Timeline

 

No updates after rebid period

 

Updates permitted 65 minutes prior to operating hour (subject to business rules specified in PJM’s education materials)
Regulation and Sync Reserve Offer Flexibility Daily offer Hourly offer
Dual Fuel Flexibility  Election made day before; updates made three hours in advance of operating hour 65 minutes in advance of operating hour
Market Mitigation

 

Offline units evaluated Online and offline units evaluated, self-scheduled units included