PJM’s implementation of its five-minute settlement solution on April 1 was the culmination of a multiyear project with over 60 employees involved in a strong collaborative effort with PJM stakeholders. (See box below)
Order 825 on sub-hourly settlements from the Federal Energy Regulatory Commission required PJM to align settlement and dispatch intervals by:
- Settling energy transactions in its real-time markets at the same time interval PJM dispatches energy
- Settling operating reserves transactions in its real-time markets at the same time interval PJM prices operating reserves
- Settling intertie transactions in the same time interval it schedules intertie transactions
After its compliance filing with the FERC in January 2017, PJM spent a considerable amount of time working collaboratively with stakeholders to develop the best available settlement solution and on market trials.
The market trials produced test results that allowed stakeholders to compare five-minute and hourly settlement results for specific operating days and specific types of markets such as day-ahead and balancing energy markets, ancillary services, and operating reserves.
Frequent updates were provided to members at many PJM and industry forums, including the Markets Settlement Subcommittee and Markets Implementation Committee. These updates provided various analyses and opportunities for stakeholder input to enhance the implementation of the project.
In addition to discussions at regular meetings of the Tech Change Forum, there were multiple education sessions, covering the impact of the changes on the various PJM markets. These included in-depth discussion on the intricacies of a number of topics, including:
- Day-Ahead & Balancing Spot Market Energy Charges
- Day-Ahead & Balancing Transmission Congestion Charges & Credits
- Day-Ahead & Balancing Transmission Loss Charges & Credits
- Power Meter Application Changes
- Operating Reserve Charges & Credits
- Market Settlement Report Changes
A complete list of Market Settlements Reporting System changes is available in the MSRS Reports Documentation section of the Billing, Settlement and Credit page on pjm.com.
List of contributors to the five-minute settlement effort
| Alex Gasbarro – Operations Applications | Greg Rozinsky – System Engineering and Data Management | Ray Fernandez – Market Settlement Development |
| Alex Rubinshteyn – Markets Applications | Jay Patel – Development and Integration Services | Rebecca Gerber – State and Member Training |
| Andrew Albrecht – Development and Integration Services | Jennifer Conn – Markets Applications | Rebecca Stadelmeyer – Client Management |
| Anitha Nekkalapudi – CCS Portfolio and Project Management | Jeremy Rosser – Operations Analysis & Compliance | Rolando Gonzales – Markets Applications |
| Ankit Kharod – Model Management, Operations | Jessica Buffoni -Marklets Settlement Development | Sammie Stahlback – Real-time Data Management |
| Brian Weathers – Market Settlement Operations | Jim Reynolds – Market Applications | Sean Flamm -Markets Settlement Development |
| Carla Thew – Markets Applications | John McComb – Market Settlement Operations | Shashi Digambar -System Engineering and Data Management |
| Casey Noonan – Markets Applications | Jolene Petroski – Development and Integration Services | Smriti Anand – Operations Applications |
| Cheryl Cloud – Market Settlement Operations | Junho An – Markets Applications | Steve Kirsch – Interregional Market Operations |
| Chidi Ofoegbu – Outage Analysis Technologies | Larry Bedard – Quality Management | Sunil Garakapati – Development and Integration Services |
| Damon Fereshetian – Real Time Market Operations | Linda Clarke – State and Member Training | Suzanne Coyne – Knowledge Management Center |
| Dave Budney – Market Settlement Operations | Lisa Morelli – Real Time Market Operations | Swapna Kanury – Corporate Data Management |
| Dennis Ratmansky – Operations | Mallika Pallela – Quality Management | Terri Esterly – Capacity Market Operations |
| Donnie Wassinger – Development and Integration Services | Mike Bean – Market Settlements Development | Tim Peek – System Engineering and Data Management |
| Ed Rich – Market Settlements Development | Mike Borradaile – Internal Audit | Todd Keech – Markets Applications |
| Eric Endress – Operation Analysis & Compliance | Mike Fortunato – Platform Operations | Vasudha Kondareddy – Markets Applications |
| Erik Kramer – Information Technology Services | Mike Passaglia – Platform Operations | Venkat Balachandran – Business Intelligence |
| Francine Murphy – Market Settlements Development | Nick Disciullo -Market Settlements Development | Venkata Bhattaram – Markets Applications |
| George Chu – Development and Integration Services | Nithya Rajan – Facilities Services | Vijay Shah – Real-Time Market Operations |
| Gerry McNamee -Markets Applications | Peter Fleischer – Real-Time Data Management |