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Under Extreme Summer Scenario, PJM Says Generation Capacity May Fall Short Of The Required Reserves, Would Need To Call On Contracted DR
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In a summer outlook, PJM said today that under an extreme summer 2025 planning scenario, PJM forecasts that available generation capacity may fall short of the required reserves
PJM operates a centralized forward capacity market
PJM said, "PJM forecasts sufficient generation for typical peak demand this summer but is preparing to call on contracted demand response resources to reduce electricity use under more extreme scenarios featuring record demand."
PJM said, "For the season ahead, PJM forecasts summer energy use, or load, to peak at just over 154,000 MW, for which PJM should have adequate reserves to maintain reliability."
However, PJM said, "This season also marks the first time in PJM’s annual assessment, however, that available generation capacity may fall short of required reserves in an extreme planning scenario that would result in an all-time PJM peak load of more than 166,000 MW."
PJM said, "Under such circumstances, PJM would call on contracted demand response programs to meet its required reserve needs."
PJM said that the National Weather Service predicts hotter-than-normal summer conditions, especially in the Atlantic seaboard states.
PJM’s record summer peak load was reached in 2006 at 165,563 MW. Last year, PJM’s summer peak was about 152,700 MW, and 147,000 MW in 2023. PJM has approximately 179,200 MW of generation capacity this summer, as well as approximately 7,900 MW of contracted demand response.
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May 9, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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