PJM Capacity Charge: Old Generation Hanging on Too Long?

Questions rise about when to retire old generation plants. Are the economic signals being clouded by capacity charges?

PJM capacity market draws criticism at US Northeast power conference
New York (Platts)
The PJM Interconnection’s capacity market drew criticism during an industry conference in New York Monday, with some participants citing a tendency to keep old generation capacity online at the expense of potential new plants.

“The RPM market is a complete failure,” Marji Philips, ISO services director for Hess, said at the Platts Northeast Power Markets conference. Philips was referring to the Reliability Pricing Model, which is the…

US FERC calls NERC proposal on permissible load shedding vague, unenforceable

This might affect demand response rules.

US FERC calls NERC proposal on permissible load shedding vague, unenforceable
Washington (Platts)
The North American Electric Reliability Corp.’s proposals to define the limited circumstances in which a transmission planner would be allowed to interrupt power to customers following the loss of a single line, transformer or generator are vague and unenforceable, FERC said in a proposed rule and a related final rule Thursday.

In particular, the commission took issue with NERC’s proposal to allow load shedding following a single contingency event as long as the plan to do so was documented and alternatives were considered, subject…