Tuesday, March 26, 2019

PJM MRC Preview: Dec. 20, 2018

By Rory D. Sweeney

Below is a summary of the issues scheduled to be brought to a vote at the PJM Markets and Reliability Committee on Thursday. Each item is listed by agenda number, description and projected time of discussion, followed by a summary of the issue and links to prior coverage in RTO Insider.

RTO Insider will be in Valley Forge, Pa., covering the discussions and votes. See our December 26 newsletter for a full report. (NOTE: The meeting will be held at PJM’s Conference and Training Center instead of the Chase Center.)

Markets and Reliability Committee

Informational Update (9:10-9:25)

PJM Board of Managers member Susan Riley will provide an update via phone on the progress of the Special Board Committee investigating PJM’s handling of the GreenHat Energy financial transmission rights portfolio default.

1. PJM Manuals (9:25-9:40)

Members will be asked to endorse the following manual changes:

A. Manual 14D: Generator Operational Requirements. Revisions developed to revise information input deadlines for the Resource Tracker application. (See “Resource Tracker,” PJM Operating Committee Briefs: Nov. 6, 2018.)

B. Manual 14E: Upgrade and Transmission Interconnection Requests. Revisions developed as part of a triennial cover-to-cover review. The revisions include changing the manual name to align it with the structure of Manuals 14A and 14G and explaining how to apply to the interconnection queue via Queue Point.

2. FTR Mark-to-auction Credit Requirements (9:40-10:05)

Members will be asked to approve a proposal endorsed by the Market Implementation Committee to increase FTR credit requirements with the addition of a “mark-to-auction” provision. (See “FTR Collateral,” PJM Market Implementation Committee Briefs: Dec. 12, 2018.)

3. Must-offer Exception Process (10:05-10:30)

Members will be asked to endorse a proposal endorsed by the Market Implementation Committee to revise the capacity market must-offer exception process. The changes would allow participants to specify multiple auctions when making exception requests. Resources that cannot be made Capacity Performance-capable by the start of the delivery year will be permitted to seek an exception. (See “Must-offer Exception Changes,” PJM Market Implementation Committee Briefs: Nov. 7, 2018.)

4. FTR Forfeiture Rule (10:30-10:55)

Members will be asked to endorse a proposal endorsed by the MIC to revise the FTR forfeiture rule. It would specify that a binding constraint shall be considered if the difference between the shift factors at the FTR delivery and receipt buses across the constraint exceeds 10% and is in the direction that increases the value of the FTR. (See “FTR Forfeiture Proposal Endorsed,” PJM Market Implementation Committee Briefs: Nov. 7, 2018.)

5. Primary Frequency Response Senior Task Force (10:55-11:15)

Members will be asked to consider putting the task force on hiatus for one year to gather data and subsequently determine whether to reconvene. (See PJM SHs Seek End to Frequency Response Debate.)

6. Distributed Energy Resources (11:15-11:40)

Members will be asked to endorse proposed clarifications of market participation rules for distributed energy resources. Among the changes are a consistent definition of on-site generators.

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