PJM’s Market Implementation Committee will begin work in January on an initiative to consider whether the RTO should be required to provide more notice to the market before introducing “closed loop” interfaces to capture operator actions in pricing.

The MIC last week approved an issue charge by DC Energy’s Bruce Bleiweis to consider if such pricing interfaces should be barred from taking effect until they are announced before the monthly Financial Transmission Rights or Balance of Planning Period FTR auction.

In the last year, PJM has created closed-loop interfaces in at least four locations so that operator actions — such as sub-zonal dispatch of demand response — are captured in LMPs rather than uplift. PJM said it must use the interfaces to set prices because its modeling software can only set prices for thermal constraints, not voltage problems.