Chicago-based utility Exelon Corp. says a Federal Energy Regulatory Commission (FERC) decision to dismiss complaints about the reliability pricing model (RPM) reaffirms the model and supports competitive markets.
The RPM is a program administered by PJM Interconnection, a 13-state-organized power market, to ensure that electric system reliability is maintained at the lowest possible price. It works by promoting investment in both existing and new generation to ensure a continued, reliable supply of electricity to customers.
‘This FERC ruling provides even greater certainty to power companies like Exelon that are considering building or upgrading clean, low-carbon generating plants,’ says Joseph Dominguez, senior vice president and general counsel at Exelon Generation. ‘We hope that this decision will receive the same high level of attention among policy-makers, market participants and industry players as the unsubstantiated complaints did.’
Exelon's efforts to bring more clean, low-carbon electricity into the marketplace are a key part of Exelon 2020: A Low Carbon Roadmap, the company's plan to reduce, offset or displace more than 15 million metric tons of greenhouse gas emissions per year by 2020.
In addition, RPM has generated more financial support for renewable power projects, such as solar and wind energy, as recently recognized by Penn Future, a leading environmental group in Pennsylvania. RPM also has tripled growth of customer demand response programs, which help reduce energy consumption at times of peak usage.
SOURCE: Exelon Corp.