PJM 2022-2023 Capacity Auction Ducats Decrease Dramatically
image credit: PJM Interconnection
- Jun 4, 2021 9:27 pm GMTJun 4, 2021 5:25 pm GMT
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Electricity generators across the 13-state plus the District of Columbia footprint of the PJM Regional Transmission Organization (RTO) have waited three years for its normally-annual capacity auction, which provides payments to powerplants based on their generation capacity, and an agreement to provide a specific amount of that capacity when called upon by PJM. These payments help cover generators’ typically-large overhead, a vital source of income for the many hours, days and even months when they aren’t delivering electricity and receiving “energy” payments in return. The auction, for delivery year 2022-2023, opened on May 19 and closed on May 25; PJM posted the auction results on June 2.