Understanding FERC's 'Minimum Offer Price Rule' Order

Posted by Reports on Jan 6, 2020 3:47:00 PM

Publish Date: January 6, 2020

In "Understanding FERC's 'Minimum Offer Price Rule' Order," AEE provides background on the issue, unpacks the details of the order, and explores the implications of imposing the MOPR on these new advanced energy resources.

On December 19, 2019, the Federal Energy Regulatory Commission ordered PJM Interconnection, the nation’s largest regional grid operator, to make significant changes to the design of its capacity market that could have significant negative ramifications for advanced energy. 

FERC’s ruling will require newly developed advanced energy resources like wind, solar, energy storage, demand response, and energy efficiency to offer capacity into the market at high, predetermined prices if they receive or are eligible to receive revenues from a state policy program.

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Topics: Wholesale Markets