Members Developing Rules for New DR Products
With two new types of demand response about to be introduced, PJM members last week took steps to clarify rules on substitutions and maintenance outages for the products.

With two new types of demand response about to be introduced, members last week took steps to clarify rules on substitutions and maintenance outages for the products.

Extended Summer DR (7 days a week between May-Oct.) and Annual DR (12 months) will be available for the first time in the 2014/15 delivery year, joining the existing Limited DR (available for 10 dispatches annually on weekdays during June-Sept.).

Manual Change OKd for DR SubstitutionNew DR Products

Members last week approved changes to Manual 18: PJM Capacity Market governing how demand response providers may substitute for underperforming resources when called to dispatch.

Under the changes endorsed by the Market Implementation Committee Wednesday, the substitute and under-performing registration must:

  • Be located in the same dispatch area;
  • Have comparable capacity commitments (defined as the within ±25% or ±0.5 MW); and
  • Have the same designated lead time (e.g., long lead or short lead)

Under the rules, providers may use Limited DR to replace Annual DR but the substitution will not count against Limited’s 10 dispatch-per-year cap, said PJM’s Pete Langbein.  Annual DR has no limits on the number of dispatches.

Maintenance Outages

The MIC also agreed to develop rules for approving maintenance outages for Annual DR.

The Tariff allows Annual DR to take maintenance outages between October and April, but members asked for rules to specify the application and approval procedures.

Under an Issue Charge approved by the MIC, the Demand Response Subcommittee will seek to develop manual changes that clarify what is eligible for a maintenance outage and how Curtailment Service Providers can apply for one. Members hope to complete the proposed changes for MIC endorsement by March.

Demand ResponseEnergy EfficiencyPJM Market Implementation Committee (MIC)

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