Part of Grid Network »

The Grid Professionals Group covers electric current from its transmission step down to each customer's home. 

Richard Brooks's picture
Co-Founder and Lead Software Engineer Reliable Energy Analytics LLC

Inventor of patent 11,374,961: METHODS FOR VERIFICATION OF SOFTWARE OBJECT AUTHENTICITY AND INTEGRITY and the Software Assurance Guardian™ (SAG ™) Point Man™ (SAG-PM™) software and SAGScore™...

  • Member since 2018
  • 1,480 items added with 629,647 views
  • Sep 15, 2021

PJM deserves recognition for taking an honest and objective approach to dealing with the challenges of Capacity Market reforms.

Slide 7: Problems identified where today’s market falls short of one or both of the primary objectives of the market:
Reliability: Ensure adequate supply & demand response to meet the resource adequacy target
Efficiency: Embrace competitive principles and send transparent price signals for efficient entry and exit

Slide 10: Procurement levels seen by some as too high in PJM. Indicators of a potential problem include:
– Load forecast has systematically exceeded realized load (historically), particularly the forecast used at the time of the BRA
Capacity procured has been above the target IRM, and prices have been low even as merchant entry continues [RJB] This is a big problem in ISO New England as well.

Slide 16: Flexibility, ramping, etc. are expected to be more valuable in the future with a changing resource mix
• Requires supporting analysis to help determine what and when these services may be needed in the markets (e.g., Renewable Integration Study 2.0 underway)
• Requires discussion on the appropriate place to compensate these services – Is there a need for additional flexible capacity, or should flexibility be primarily compensated in the operating time frame to better utilize flexible capability already on the system?

[RJB] I cannot overstate the importance of having flexible, adequately compensated, grid services available to help system operators manage the ever more complex balancing act we call grid reliability as the energy transition produces a more distributed and granular electricity supply.

Well done, PJM.

Richard Brooks's picture
Thank Richard for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member
Spell checking: Press the CTRL or COMMAND key then click on the underlined misspelled word.

No discussions yet. Start a discussion below.

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »