Platts
The Federal Energy Regulatory Commission’s order allowing demand response and energy efficiency resources to be included in the PJM Interconnection’s upcoming capacity auctions will lower power prices, but the decline may not be as large as first thought, Moody’s said Monday.
Moody’s expects auction prices to increase compared with last year, but the magnitude will be less because of Wednesday’s FERC order, a Credit Outlook published Monday said.
“Although the FERC-mandated reintroduction of demand response and energy efficiency will lower power producers’ prices more than without the FERC order and is credit negative for them, we estimate that the …