DR Providers File FERC Complaint Over DR Exclusion in PJM Capacity Performance Incremental Auctions
July 01,2015
Several demand response providers have filed a complaint at FERC concerning the exclusion of demand response from the transition incremental PJM capacity performance auctions.
"PJM’s refusal to allow Demand Response Resources and Energy Efficiency Resources to participate in the Transition Auctions is unlawful because it violates the filed rate doctrine. PJM’s Tariff expressly provides for participation in Transition Auctions by all Resources that qualify as Capacity Performance Resources, not just Generation Resources. PJM’s actions contradict this clear language. Moreover, interpreting the Tariff to preclude Demand Response Resources and Energy Efficiency Resources from participating in Transition Auctions would render the Tariff unjust, unreasonable and unduly discriminatory. PJM has not, and cannot, provide any justification for excluding these resources," the complaint states
"The Tariff obligates PJM to acquire Capacity Performance Resources, not just Generation Resources, in the Transition Auctions. The Tariff expressly provides that both Annual Demand Response and Annual Energy Efficiency Resources may qualify as Capacity Performance Resources and offer capacity in RPM Auctions, including the Transition Auctions. The Tariff does not preclude these resources from participating in Transition Auctions in the event these resources were not offered in prior auctions for the same Delivery Year," the complaint states