Capacity Performance Reminder



With all of the commotion around the PPA filings, it seems like it has been years since the announcement of the capacity performance approval. It is important to mention that Capacity Performance will become effective very soon, in June of this year. It has come to our attention that various suppliers have begun to send out correspondence in regards to it. As a friendly reminder, if you signed into an agreement prior to the June 5th, 2015 announcement that extends beyond June 2016, it is very likely that you will see an increase to your current electric supply rate.


Please see below for a short recap of the approved federal regulatory change:

  •  In short, “Capacity Performance” (CP) is a reformation that was approved by FERC last June, that will ultimately increase your current electric capacity cost.
  • CP is a new product developed in response to the extreme conditions during the 2014 Polar Vortex phenomena, where 22% of total capacity experienced supply outages.
  • The change to the design of PJM’s capacity market will act as an insurance policy to protect the grid from future power interruptions.


Customers with supply contracts beyond June 2016, will likely see pass through charges (change of law) effective with the June 2016 billing month.
For a more detailed look on how capacity performance will affect you and your business, download our Capacity Performance White Paper.


Capacity Performance Reminder
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