Energy / WORLD

U.S. Energy Department backs proposal for large PJM power users to pay new capacity costs

The department backed FERC guidance for PJM that would assign new generation and infrastructure costs to large loads.

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The U.S. Department of Energy said on October 9 that it supported Federal Energy Regulatory Commission guidance for PJM’s proposed Reliability Backstop Procurement. DOE said it had filed a notice of intervention and a statement of position with FERC.

The proposal would require new, large electricity users to cover the generation and grid infrastructure needed to serve them. DOE said the approach aims to prevent existing households and businesses from subsidizing those loads and to improve demand transparency; FERC’s guidance is not itself a final tariff rule.

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    U.S. Energy Department backs proposal for large PJM power users to pay new capacity costs

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