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Choice PSC Seeks Comments On How PJM Backstop Capacity Will Be Paid For, Cost Allocation

July 14, 2026

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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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The Maryland PSC has sought comment on issues related to cost recovery of costs under PJM's Reliability Backstop Procurement [RBP] proposal

Among other things, the PSC seeks comments on, "how the capacity procured [in the Reliability Backstop Procurement] will be paid for".

The PSC noted that HB1532 of 2026 provides that, "it is the intent of the general assembly that the costs allocated to a large load customer in accordance with subsection (d)(3) of this section include costs that are incurred by a large load customer that is not providing 100% of its electricity needs and are associated with: (1) capacity procurement, including backstop reliability procurement[.]"

In light of such, the PSC invited comments on, among other things, "How will the capacity procured via the RBP and capacity auctions be allocated across customer classes? Is there a need to develop procedures or rules as to how costs are allocated to customer classes?"

The PSC also asked, "What assurances and procedures does the utility have in place to fulfill the intent of the General Assembly as specified in PUA § 4-212(b) and ensure large load customers (as defined by PUA § 4-212(a)(3)), whether they are currently interconnected or anticipated to be interconnected, will pay RBP and capacity costs? If the utility does not have assurances and procedures in place what does the utility recommend to ensure compliance with the statute?"

The PSC also sought information from the utilities concerning the amount of load that is anticipated to be bid/procured for, or has the potential to be bid/procured for, in PJM’s upcoming capacity auction and backstop capacity procurement.

PC 72, PC72

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