CRA Insights

Considering the evolution of PJM’s capacity market

May 26, 2021

This whitepaper touches on the impact and fate of the soon-to-be-defunct Expanded MOPR. It then lays out a range of areas where stakeholders might consider reforms to the current PJM capacity market rules that would improve market efficiency, with a focus on the implications of an evolving energy mix and the incentives faced by capacity sellers.

Topics include RPM’s forward period, market transparency, key supply curve parameters, seller market power, and aligning market rules with transacted capacity.

Meet the authors