The Members Committee approved the following changes by acclimation last week:

System Restoration Strategy

The committee approved updates to the system restoration strategy, including updates to cost allocation.

Rea­son for Change: The System Restoration Strategy Task Force has been researching ways to ensure sufficient black start capability. Environmental regulations, NERC reliability standards and the increasing cost of black start generation raised reliability concerns.

Impact: Deletes references to transmission owner. Adds conditions for involuntary termination of black start service. Adds reference to performance capabilities in PJM manuals; deletes reference to 90-minute response time. Adds cost allocation provision for black start units designated to serve multiple zones.

Provision of E-Tag Data

The committee approved revi­sions to the con­fidentiality pro­vi­sions of its tar­iff to com­ply with FERC Order 771, requir­ing pro­vi­sion of e-Tag data to Inde­pen­dent Sys­tem Oper­a­tors, Mar­ket Mon­i­tor­ing Units and FERC. The new lan­guage extends con­fi­den­tial­ity pro­tec­tions to coun­ter­par­ties that are not PJM mem­bers.

Up-To Congestion Transactions – Trading Limits

The committee approved volume limitations for up-to congestion transactions.

Rea­son for Change: PJM pro­posed the cap because high bid vol­umes can make it dif­fi­cult for the RTO’s day-ahead mar­kets soft­ware to reach solutions.

Impact: PJM can limit mar­ket par­tic­i­pants to no more than 3,000 UTC trans­ac­tions each in the day-ahead mar­ket when nec­es­sary for mar­ket oper­a­tions. (A sim­i­lar cap also applies to incre­ment offers and decre­ment bids.) The def­i­n­i­tion of mar­ket par­tic­i­pant includes all sub-accounts estab­lished under the mem­ber. Affil­i­ates will be treated as sep­a­rate par­tic­i­pants and have their bids counted individually. The cap includes changes to the tar­iff, Oper­at­ing Agree­ment and Man­ual 11.

Up-To Congestion Transactions – FTR forfeiture rules

Rea­son for Change: The rule is intended to pre­vent mar­ket manip­u­la­tion — in this case, the sub­mis­sion of UTCs that boost the value of a participant’s FTRs.

Impact: The rule is applied when those UTCs result in a higher LMP spread in the day-ahead mar­ket than in the real-time market.

PJM Settlement Reconciliations

The committee approved revisions to Schedule 9-PJMSettlement of the Open Access Transmission Tariff to adjust the quarterly rate for the cumulative over or under collection of Schedule 9-PJMSettlement funds.

Reason for Change: Section c of Schedule 9 requires the quarterly 9-PJMSettement rate be adjusted for prior quarter revenues in excess of expenses. The formula does not provide for a reconciliation of prior period balances.

Impact: Section c is revised to adjust the quarterly rate for the cumulative over or under collection of Schedule 9-PJMSettlement funds relative to cumulative costs.