PJM Capacity Performance Is Here.

Don't Believe the Myths.

A CPower Energy Management white paper by Dan Price, Executive Director of Market Development.

This past May, PJM ushered in a new era for Demand Response (DR) with the DY 2020/21 Base Residual Auction (BRA). The legacy summer DR programs of the past, such as the popular Limited and Summer Extended programs, will soon be gone. In the foreseeable future, Capacity Performance will be PJM’s only game in town for forward capacity Demand Response.

We at CPower have taken a close, hard look at PJM’s capacity market and what it means to organizations participating, or planning to participate, in Demand Response. In the course of our research we’ve discovered some misconceptions--you could call them “myths”--that could prevent forward-looking organizations from seizing opportunities to create potentially lucrative sources of revenue.

In this paper, we’ll do some DR mythbusting and set the record straight. Although the program rules may seem more challenging, the ability to participate remains high. Capacity Performance is here -- let’s explore just what it is, and how to realize its potential.

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