Monitor Finds PJM Markets Competitive, But Makes Recommendations For Improvement
PJM’s independent market monitor concludes that the ISO’s energy, capacity, and regulation market results are competitive. However, the monitor also makes three new recommendations to enhance the competitiveness and efficiency of grid operator’s markets: 1) if PJM needs to change its energy uplift price-setting logic, it should establish a stakeholder process “to create transparent and consistent modifications”; 2) the ISO should discontinue the practice of retroactively replacing capacity transactions; and 3) regarding demand response, PJM should not remove any defined load subzone and “maintain a public record of all created and removed subzones.”