June 22, 2021

ESA Urges FERC Approval of PJM’s Re-Filed Capacity Accreditation Proposal for Storage and Other Resources

ESA submitted comments to the Federal Energy Regulatory Commission (FERC) today in support of PJM’s June 1 proposal to create and implement an Effective Load Carrying Capability (ELCC) construct for determining the capacity value that storage and hybrid storage resources may offer in PJM’s capacity market or provide in a Fixed Resource Requirement capacity plan. In our comments, ESA asks that FERC approve PJM’s 6/1 filing because FERC in its April 30 order deemed PJM’s ELCC mechanism just and reasonable and will result in immediate removal of barriers, including the status quo 10-hour rule, that now precludes storage from effectively and fully participating in PJM’s capacity market. We also note that PJM’s ELCC proposal would finally make PJM compliant with Order 841 directives to open fair market participation to storage, per FERC’s 2019 order; the current ELCC proposal is the culmination of a long process kicked off by ESA’s protest to PJM’s Order 841 filing that included the 10-hour rule, which led to PJM’s stakeholder process to develop the ELCC construct that ESA supported.

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