Stakeholders are still considering revisions to black start compensation following the rejection of two proposals in March, but zones currently identified as deficient won’t be in jeopardy when generation retirements rise in spring 2015.

PJM’s David Schweizer told the Operating Committee the RTO has awarded black start contracts in these zones for next spring.

PJM will also consider proposals received for zones that already have black start coverage to see if they provide better solutions. Schweizer said that all awards will be made within two weeks.

Black start costs will be posted for 2015 through 2017 after they are calculated by the Market Monitor, Schweizer said.

In February, two proposals that would have boosted payments to existing black start units by at least 40% failed to win stakeholder approval. (See PJM Won’t Act Alone on Black Start.)

As a result, the System Restoration Strategy Task Force is considering more modest changes, including:

• Compensation for existing black start units not able to recover capital costs.
• Recovery of North American Electric Reliability Corp. compliance costs.
• Compensation for fuel types currently not compensated, including propane and hydro.
• PJM review of base formula rate every five years.

The task force also is considering “back stop” proposals for zones that fail to attract sufficient resources in the future, Schweizer said.