PJM set the following net-short thresholds by customer type:

• 150 MW for a single-customer LSE;
• 1,000 MW for a public power entity;
• 1,800 MW for a multi-state public power entity, based on a PJM region-wide assessment (or 1,000 MW for three specified Locational Deliverability Areas); or
• 20 percent of the LSE’s RPM reliability requirement for an investor-owned LSE.

PJM proposed a graduated net-long scale, based on “estimated capacity obligations” (calculated on a three-year average basis along with specified criteria to determine which end-use customers to include) and the following maximum net-long thresholds:

• 70 MW for an estimated capacity obligation less than 500 MW;
• 15 percent of the LSE’s estimated capacity obligation for an estimated capacity obligation greater than or equal to 500 MW and less than 5,000 MW;
• 750 MW for an estimated capacity obligation greater than or equal to 5,000 MW and less than 15,000 MW;
• 1,000 MW for an estimated capacity obligation greater than or equal to 15,000 MW and less than 25,000 MW; and

4% of the LSE’s estimated capacity obligation capped at 1,300 MW for an estimated capacity obligation greater than or equal to 25,000 MW.