PJM Seeks to Raise Offer Cap to $1,800; Allow Additional Cost Recovery Via Uplift

PJM said that its board has authorized a filing at FERC to increase the offer cap to $1,800/MWh, and allow generators to seek additional cost recovery via uplift, for this winter season.

Specifically, PJM said that it will propose to allow "cost-based" offers in the energy market to set price up to $1,800/MWh through March 2015. The filing also will propose allowing generators to recover justifiable costs beyond $1,800/MWh through make-whole payments.

"We are limiting the filing request to this winter in anticipation of FERC developing a longer term solution to offer cap issues from a national perspective over the next year," PJM said.