Market based generation adequacy: how do we achieve it? an independent system operator's perspective

The PJM control area (USA) has enjoyed a long history of reliable electric service as a result of a close collaboration between all of the stakeholders in the control area. The control area has transitioned from a tight pool formed by eight utilities to a FERC approved Independent System Operator structure with more than one hundred seventy participants and with retail electric choice implemented in all of the jurisdictions within the control area. Throughout the transition of PJM, a clear focus on adequacy and reliability has been maintained. New rules and processes are under development by the stakeholders to further change the adequacy model to embrace new market structures and relationships while honoring the fundamental tenants which have served PJM, its members and the public over the years.