PJM’s plan to implement new demand response rules in time for the May capacity auction are in doubt following a FERC order requiring the RTO to provide more information to support its proposal.

PJM members voted to begin work on rule changes to allow residential customers to participate in the synchronized reserve market through demand response.

PJM said it will change Manual 11’s rules regarding compensation for demand response despite a lack of stakeholder support.

In a highly unusual move, PJM members Thursday balked at endorsing proposed manual changes governing when Economic demand response qualifies for payment.

PJM members will consider relaxing metering requirements to make it more practical for residential customers to offer demand response into the synchronous reserve market under a problem statement approved Friday.

PJM members endorsed rules describing when economic demand response is eligible for compensation, over the objections of some demand response providers, who said they are unfair.

PJM’s Market Monitor told FERC hat rule changes approved by PJM stakeholders to increase the flexibility of demand response are insufficient and that the commission should impose a must-offer requirement similar to that for generation resources.

FERC approved PJM’s proposal to cap the amount of Limited and Extended Summer demand response that clears in the annual base capacity auction, an action expected to increase capacity prices.

The PJM MRC endorsed manual changes to implement proposed capacity import limits and clarify rules on substitution of demand response resources.

A proposed manual change on compensation for demand response prompted a protest from curtailment service provider Icetec Energy Services.