Readers could have seen your ad here when reading this story. Email retailenergyx@gmail.com
       Events        Jobs        Contact        Migration Stats        Supplier Lists        Municipal Aggregation


Brattle Files CONE, VRR Reports For RPM Quadrennial Review, CONE Significantly Lower

April 23,2018



PJM has filed reports from the Brattle Group regarding the Cost of New Entry and the Variable Resource Requirement Curve developed in support of the Tariff required quadrennial review of certain RPM parameters.

The report says:

1. The updated estimate of Net CONE for CT plants—the current reference technology for the VRR curve as specified in PJM’s tariff—is 25-42% lower than PJM’s 2021/22 Net CONE parameters, depending on location. The decline is driven by increased economies of scale of new H-class CTs, a lower tax rate, and a slightly lower cost of capital.

2. The updated estimate of Net CONE for CC plants—the dominant technology of new generation in PJM for more than fifteen years—is 44-76% lower than PJM’s 2021/22 Net CONE parameters, and 25-63% below the updated CT Net CONE estimates, depending on location. CCs are more economic because their much higher net E&AS revenues more than offset slightly higher plant costs on a per-kW basis.

The report recommends anchoring the VRR curve on CC Net CONE, shifting the curve 1% left and reducing the alternative price cap to 0.7 × Gross CONE

VRR report

CONE report



Tags:
PJM   Capacity Markets  

Comment on this story


ADVERTISEMENT
NEW Jobs on RetailEnergyJobs.com
Sales-Analyst-Senior-Level -- Retail Supplier -- New York - New York City Metro
Sales-Quality-Training-Manager -- Other -- Pennsylvania
Regulatory-Compliance-Analyst -- Retail Supplier -- Connecticut
Business-Development-Manager -- Retail Supplier -- Texas - Houston
Business-Development-Manager -- Agent, Broker, Consultant -- New Jersey


More Stories on RetailEnergyX.com:
PJM IMM Files Complaint At FERC Over Non-Assessment Of Penalty By PJM Against Market Seller
PJM Releases 2019 PJM Load Forecast Report
PJM Says Market-Based Mechanisms Should Be Explored For Fuel Security, In Releasing Final Report
FERC Accepts FTR Tariff Revisions At PJM
PJM Files Regulation Market Tariff Changes To Reduce Occurrence Of Large Spikes In Clearing Prices


comments powered by Disqus





Advertise here:
Email retailenergyx@gmail.com


Events Jobs Contact Migration Stats Supplier Lists Municipal Aggregation

About Disclaimer Privacy Terms of Service

Home


Developed by: Avidweb Technologies inc.