The Market Implementation Committee Wednesday approved changes to Manual 11 affecting regulation rules, hydropower generators, station manning and shortage pricing. The changes go next to the Markets and Reliability Committee.

Reason for changes: Clarifications, error corrections and changes to conform with other manuals.

Impact:

The changes:

• Clarify and add conforming language for regulation rules:
  • Resources cannot clear for both RegA and RegD within an operating hour (Section 3.2.9)
  • Changes language to conform with M12: Regulation resources must return to their regulation range within 10 minutes of the end of a synchronized reserve event (Section 4.2.12). The current language calls for a return within two minutes.
• Clarify hydropower units’ opportunity cost when providing synchronized reserve:
  • Hydro units providing Tier 2 synchronized reserve receive lost opportunity cost payments only when they are held to condense mode rather than off-line. (Section 4.2.7)
• Corrects and clarifies Attachment C regarding cost offers and station manning:
  • Removes language stating that a resource can submit only five cost offers for energy. The actual limit is “in the 60s,” said Rus Ogborn, of PJM.
  • Clarifies the compensation rules that apply when PJM requests resources to be manned in order to start units more quickly. Units required to provide staffing will be compensated even if the resource is not called on because system conditions change.
• Clarifies and cleans up revisions for Shortage Pricing rules. Changes were made to clarify existing rules and remove errors in the current text.

PJM contact:  Rus Ogborn