Michael Giberson
PJM Interconnection filed plans today with the Federal Energy Regulatory Commission seeking to reorganize the market monitoring function at the regional power market and transmission system operator. The proposal was filed in the form of a Offer of Settlement intended to resolve two complaints filed against PJM earlier this year. The proposal would create a "separate, unaffiliated legal entity that will be independent of PJM."
A press release circulated today indicated that the "external entity would contract with PJM to provide market monitoring services, with the intention that PJM’s existing market monitor, Joseph Bowring, would be asked to head the external unit." The statement further indicated that PJM would not be able to replace or terminate the market monitoring contract without FERC approval. PJM said the arrangement was based on one that the FERC already has approved and recognized as effective at the Midwest ISO.
Earlier posts on this issue:
PJM's Newly Ex-CEO: PJM Never Really Wanted a Market Monitor
U.S. Senator Weighs in on PJM Dispute with Market Monitor
PJM Market Monitor Reports Interference from Management
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