Gas-fired plant cannot skirt PJM-imposed penalty for veering from fuel cost policy: FERC

摘要

CPV Shore will not be able to avoid a penalty imposed by PJMInterconnection for making cost-based energy offers that wereinconsistent with its effective fuel cost policy, the US Federal EnergyRegulatory Commission said in an order denying the natural gas-firedplant owner’s waiver request.The Competitive Power Ventures subsidiary argued its decision tosubmit offers based on a revised fuel cost policy that had not yet beenapproved by PJM should not incur a penalty as doing so allowed itsoffers on a day during the “bomb cyclone” winter storm to accuratelyreflect its true, and in some cases lower, costs.