PJM has posted four documents to advance the ongoing discussions of the effects of state public policy initiatives on markets and PJM market design.
The first document is an overview introducing and linking to the three working papers.
One working paper discusses advancing state environmental initiatives by establishing a regional or sub-regional carbon price that can be reflected in wholesale market prices.
The second paper, a capacity market repricing proposal, updates PJM’s Potential Alternative Approach proposal from the August 2016 Grid 20/20 on public policy and market efficiency.
A third paper focuses on price formation in the energy market. Specifically, PJM wishes to initiate dialogue on pricing reform and the impacts of negative offers.