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Utility Proposes To Assume Additional Non-Market PJM Cost, Remove Responsibility From SOS Suppliers

July 29, 2026

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

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Pepco in the District of Columbia as part of the annual SOS RFP process, has proposed to have PJM Billing Line Item 1935 "be transferred to the utility," relieving SOS suppliers from the charge

PJM Billing Line Item 1935 relates to U.S. Dept of Energy (DOE) emergency orders under Section 202C of the Federal Power Act.

With regards to SOS suppliers, Line Item 1935 would be treated similar to generation deactivation charges from PJM, with the SOS supplier not responsible for the charges

Pepco in the SOS filing did not address treatment of Billing Line Item 1935 for non-SOS suppliers (retail suppliers)

Pepco noted that having Billing Line Item 1935 be transferred to the utility would require SOS suppliers who are currently serving load to obtain a new "short name" for future load (so the charges can be allocated to the intended entity)

Pepco's annual SOS proposal does not at this time propose any changes in REC procurement for SOS.

However, Pepco said that once non-load following PPAs (whose creation were previously reported) start to affect SOS supplier obligations beginning in 2027, Pepco will request that the PSC consider "all necessary changes" to enable Pepco, as SOS Administrator, to fulfill RPS obligations for all SOS load.

Pepco requests that the Commission address this RPS compliance issue in Formal Case No. 1017 either in a standalone proceeding or along with the current biennial review process.

FC 1017

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