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Capacity performance: Changing the game in PJM ISO

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This ICF International white paper summarizes key elements of PJM ISO's capacity performance (CP) proposal and discusses its implications for market participants.

The proposal introduces a major restructuring of its capacity market. To maximize opportunities, PJM stakeholders will need to consider their new bidding strategy and adjusted investment plans carefully. Key discussion topics include:

  • Supply and demand balance and key drivers of pricing for CP products
  • Expected capacity prices and long-term effects on energy prices
  • Winners and losers from the proposal

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