EnerKnol’s Visual Primer – Mid-Atlantic Grid Operator Seeks to Accommodate State Subsidies

PJM Interconnection has unveiled its capacity repricing proposal aimed at accommodating subsidized resources while preserving price integrity in the capacity market. The grid operator said its proposal would meet state goals, unlike an alternative plan that would extend the minimum offer price rule to both new and existing resources (MOPR-Ex), in effect cancelling out the state subsidies. The move echoes a national trend towards reforming competitive electricity markets to ease tensions between their resource adequacy constructs and state policies.