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Project 1 PJM: RTO. By Nishant Patel Chirag Patel. Contents. Introduction & Governance PJM as RTO PJM Operations Transmission Services PJM Market Ancillary Services Blackstart Service Transmission Control. Introduction.

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project 1 pjm rto

Project 1PJM: RTO


Nishant Patel

Chirag Patel

  • Introduction & Governance
  • PJM as RTO
  • PJM Operations
  • Transmission Services
  • PJM Market
  • Ancillary Services
  • Blackstart Service
  • Transmission Control
  • PJM operates world’s largest competitive wholesale electricity market.
  • It manages a long-term regional electric transmission planning process to maintain the reliability of the power supply system.
  • PJM was designated an RTO (Regional Transmission Organization) by the Federal Energy Regulatory Commission (FERC) in 2001.
  • PJM, headquartered in Valley Forge, Pennsylvania
  • Ensures the reliability in 13 states and the District of Columbia.
introduction about pjm
Introduction/About PJM
  • 13 States: Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia
  • Complexity:

1271 Generation Resources with Diverse Fuel

Over 56,250 Miles of Transmission Lines

Over 51 Million People Served

Generating capacity - 164,905 MW

Annual energy delivery - 729 million MWh

introduction about pjm1
Introduction/About PJM
  • Uniqueness:
  • Single Control Area in NERC Region
  • Area Served: 13 States + DC
  • Members/Customers:
  • Member Companies ~ 500 +
  • Transmission Svc. Customers ~ 100 +
  • Cumulative Billing (since 1997) ~ $74 Billion
introduction about pjm2
Introduction/About PJM
  • PJM is currently the largest centrally dispatched entity in North America
  • PJM -144,644*
  • MISO -136,520
  • ERCOT -63,056
  • California -50,538
  • New York -33,879
  • New England -27,401

* Peak load in MW as of Summer, 2006

  • How is PJM different from Local Utility?

PJM does:

• Maintain the “big picture” of the transmission system regardless of ownership.

• Have, by agreement, operational control of the transmission system.

• Operate as “profit neutral.”

• Remain totally independent of all PJM members.

• Coordinates maintenance of generation and transmission systems.

  • How is PJM different from Local Utility?

PJM does not:

• Own any transmission or generation assets.

• Function as a publicly traded company.

• Take ownership of the energy on the system.

• Perform the actual maintenance on generators or transmission systems.

• Serve, directly, any end use (retail) customers.


Two Tire Governance Structure

  • INDEPENDENT BOARD – 10 Members

Elected by Members’ Committee

  • Formed by Sectoral Voting
  • Provide advice & recommendations to PJM Board.
  • Amend the operating agreement subject to FERC approval
pjm as rto
  • What is RTO ?
  • An entity that is independent from all generation and power marketing interests and has exclusive responsibility for grid operations, short-term reliability, and transmission service within a region.
  • Independence from market participants
  • Appropriate scope and regional configuration
  • Possession of operational authority
  • Exclusive authority to maintain short-term reliability
pjm as rto rto functions
PJM as RTORTO Functions
  • Administer tariff
  • Manage congestion
  • Develop and implement procedures to address parallel path flow
  • Supply ancillary services
  • Operate OASIS
  • Monitor market
  • Plan and coordinate transmission additions and upgrades
pjm as rto benefits of rto
PJM as RTOBenefits of RTO
  • Security-constrained economic dispatch, which involves using the least-cost generators to meet load on the system, allows PJM to operate a reliable and efficient bid-based market
  • This method of dispatching has proven cost savings
  • For Eg.: Market integrations in the year 2004 within PJM have resulted in a cost savings of $84.5 million for wholesale customers in the Eastern Interconnection
pjm daily operations
PJM Daily Operations
  • The three time-frames pertinent to the daily operation are:

1) Prescheduling

2) Scheduling

3) Dispatch

pjm daily operations dispatch functions
PJM Daily OperationsDispatch Functions
  • Make sure that enough generation is available or is running to satisfy the end users demand
  • Monitor, operate and control the high voltage transmission system in a reliable manner.
  • Enables power system to follow load as it moves from valley, to peak, to valley over a 24-hour period under Economic Generation Control.
  • Dispatch Control Center operates, controls, and monitors both generation and transmission
transmission services
Transmission Services

• Ensure Security of the Transmission System

• Monitor Transfer Limitations

• Monitor Thermal Constraints

• Contingency Analysis

  • Direct Emergency Operations

• Direct Off-Cost Operations

–Generation Shifts

–Contract Curtailments

• Coordinate Switching

two settlement market
Two Settlement Market
  • TSM provides PJM Market Participants with the option to participate in a forward market for electric energy in PJM
  • Consists of two markets
  • Day-ahead Market
  • Real-time Energy Market
  • Separate settlements are performed for each market
two settlement market1
Two Settlement Market
  • Day-ahead Market

–Day-ahead schedule uses least-cost unit commitment and economic dispatch programs

–Hourly LMPs for next Operating Day calculated using generation offers, demand bids, and bilateral transaction schedules

  • Real-time Energy Market

–calculate hourly LMPs based on actual operating conditions

ancillary services3
Ancillary Services


Internet based system that allows communication of system information between PJM and member company dispatchers, i.e. Generation and Transmission Outage Tickets.


Used by PJM operations staff to simultaneously disseminate information to transmission and generation control centers.


Ancillary Tools

Video Graphic Recorders (VGRs) —VGRs are used to display and record the following:

  • LSE net generation, interchange information, control information, and other critical operating data.
  • Informational TV — This TV is used to obtain weather and Emergency information from selected local network and cable channels.
  • Weather Data — Weather reports are printed from the Internet, as posted by the vendor.
  • Direct Phone Lines — Direct telephone line communication is available between PJM, the Local Control Centers, LSEs and between PJM and adjacent Control Areas.
ancillary services4
Ancillary Services
  • Ancillary Tools
  • Dynamic Mapboard — The dynamic mapboard displays selected system data; status of lines, transformers, capacitors, and generators; and the results of security analysis of the bulk power transmission system.

6. Satellite Communications – Push-to-talk all-call and direct point-to-point satellite communications exists with PJM participants and participating external entities as back-up communications


Reserves are the additional capacity above the expected load. Scheduling excess capacity protects the power system against the uncertain occurrence of future operating events, including the loss of capacity or load forecasting errors.

monitoring reserves
Monitoring Reserves
  • On a daily basis the PJM dispatcher performs an Instantaneous Reserve Check (IRC).
  • When the PJM Generation dispatcher requests an IRC, member dispatchers report the information via eDART.
loading reserves
Loading Reserves
  • During disturbance conditions (i.e., loss of generation and/or transmission resources), synchronized reserve and, to the extent necessary, Non-Synchronized Reserves are used to recover the Area Control Error, so that tie line schedules are maintained.


• Step 1 - requests an IRC.

• Step 2 - PJM dispatcher deter mines the following values:

  • Operating Reserve
  • Adjusted Primary Reserve versus Primary Reserve Requirement.
  • Adjusted Synchronized Reserve versus Synchronized Reserve


  • Unaccounted for capacity
  • Area Synchronized Reserve levels

• Step 3 - compares the values, corresponding objectives to determine reserve deficiencies.

• Step 4 - Using the PJM eDART, PJM dispatcher reports the results of the IRC to the Generation Owners/Transmission Owners.


Actions on loading reserve

PJM dispatcher determines the approximate amount and location of lost generation, and the amount of Synchronized Reserve that must be loaded to:

Correct for the sudden loss of generation

2. Return interchange transfers or other thermal or reactive limitations to within the appropriate limits

3. Implement 100% synchronized reserves and /or contingency reserves (quick start) if the unit loss > 80% of the largest unit contingency and there is insufficient regulation and economic generation to recover the ACE

pjm actions
PJM Actions

4. Load a percentage of the Synchronized Reserve (typically 100%) in the appropriate control zone(s).

5. Select the most effective response respecting the requirements of the regional reserve sharing programs in which PJM is a participant.

6. If loading of Synchronized Reserve may continue for longer than ten minutes, PJM dispatcher includes this statement in the PJM ALL-CALL message.

pjm actions1
PJM Actions

7. Contact external systems to implement Shared Reserves.

8. Requests the loading of an appropriate amount of non synchronized reserve (as required).

9. If Synchronized Reserve that is being loaded is not sufficient to recover the system, load synchronized Secondary Reserve.

  • PJM dispatcher evaluates the effect.
  • Purpose: To provide for the continuous balancing of generation and load.
  • Regulation for each Control Zone is supplied from resources that are located within that zone.
  • Requirements
  • The Regulation Requirement for the PJM RTO is 1.0%

of the forecast peak load for the entire day.

  • Regulation range of a resource is at least twice the

amount of Regulation assigned.

  • Resource owners wishing to provide Regulation in the PJM control area are required to submit the following data via eMKT no later than 6:00 p.m. day-ahead:
  • Offer MW
  • Offer Price
  • Available Status
  • Regulation Max MW
  • Regulation Min MW
regulation signals
Regulation Signals

Resource owners will receive from PJM:

• AReg – Assigned Regulation: This is the assigned hourly regulation quantity (MW) that is cleared from the regulation market system.

• RegA – Real-time instantaneous resource owner fleet regulation

signal (+/- MW)

regulation signals1
Regulation Signals
  • Resource owners will send to PJM:

TReg – Total Regulation. This is the real-time fleet regulation capability (MW) that represents the active resource owner’s ability to regulate.

CReg – Current Regulation. This is the real-time fleet regulation feedback (+/- MW) that represents the active position of the fleet with respect to the +/- TReg capability.

dispatching regulation
Dispatching Regulation

PJM obtains the most cost efficient Regulation, order based on the total cost of each available resource to provide Regulation, including real time opportunity cost and the resource’s Regulation offer price.

qualifying regulating resources
Qualifying Regulating Resources

An Area Regulation (AR) test is used for both certifying and verifying regulating capability for a resource.

During the AR test, the AR signal is fixed for the following four ten-minute periods:

• T0-T10

• T10-T20

• T20-T30

• T30-T40

blackstart service
Blackstart Service
  • Purpose: To determine critical black start generating units and to maintain their ability to be used in restoring the power system in the event of a blackout.
blackstart service1
Blackstart Service
  • Minimum Critical Unit Requirements

There must be sufficient critical blackstart to serve critical load and at least a minimum of three critical black start units for each transmission zone

blackstart service2
Blackstart Service
  • PJM Actions:

PJM has collected the list of critical black start units by Transmission Zone.

It will analyze the critical black start units to ensure an adequate amount of black start generation exists on the system.

It will also analyze any exceptions to the three units per zone rule internally and through the SOS committee.

conditions for black start units
Conditions for black start units.
  • Ability of being started and can close an output circuit breaker to a dead bus without energy from other PJM generating units or demonstrated ability to operate at reduced levels upon automatic isolation from the grid in such a way that it meets all requirements.
  • The generating unit is located where black start capability is determined by the LCC and/or PJM to be useful to system restoration.
  • The generating unit must have the ability to close the output breaker to a dead bus within 90 minutes of the request from the local Transmission Owner or PJM.
  • A generating unit that is needed for system restoration and participates in blackstart service tests and System Restoration Drills may be eligible for compensation under black start service
performance standards
Performance Standards
  • Each black start unit shall meet the following performance standards:
  • The ability to self-start without any source of electric power from another PJM Capacity Resource.
  • Ability to operate at reduced levels when automatically disconnected from the grid.
  • The ability to close into a dead (de-energized) bus. This may be demonstrated by

(a) physically closing the generator breaker connected to a dead bus while the unit is running or

(b) by a test that simulates closing the generator breaker while only the generator side of the breaker is energized.

performance standards1
Performance Standards

4. The capability to maintain frequency under varying load.

5. The capability to maintain voltage under varying load.

  • Ability for to maintain rated output for a duration as identified by the System Restoration Requirements.

7. In addition to these unit-specific performance standards, each black start generation owner must maintain procedures for the startup of black start generation at each black start generating station.

testing of unites
Testing of Unites
  • Annual tests shall include:

• Starting and bringing the resource to synchronous

speed without assistance from a system electrical feed.

• Testing of all communication circuits.

• Simulating switching needed to connect the black start unit to the transmission system following a system blackout.

• Testing the features unique to each facility that relate to Black Start Service.

transmission facility control
Transmission Facility Control
  • Identifies major problems and the means of correction

• How PJM controls for reactive limits

• How PJM controls voltage

• How PJM responds to overloaded transmission facilities.

• Description of regional reliability.

voltage control
Voltage Control
  • PJM dispatcher requests all Generation Owners/Transmission Owners to implement the heavy-load voltage schedule.
  • • PJM dispatcher requests that synchronous condensers and switchable capacitors be placed in service.
  • • All units in operation are supplying maximum MVAR capability.
  • • Adjusts 500/230 kV transformer taps to optimize system voltage.
  • Action in a Low-Voltage Situation
voltage control1
Voltage Control
  • If system voltages is overly sensitive to slight increases in transfer levels, PJM dispatcher reduces power transfers into the reactive deficient area stabilizes voltages and system conditions
  • Reduces the limit, until voltage stability is achieved.
  • PJM dispatcher issues a Manual Load Dump Warning and takes appropriate Emergency procedures.
action in a high voltage situation
Action in a High-Voltage Situation
  • PJM dispatcher requests ,
  • The Transmission Owners to disconnect all switchable capacitors and adjust 500/230 kV transformer taps to optimize system voltage.
  • System reactors be placed in service where available.
  • The Generation Owners/Transmission Owners to operate units to absorb reactive power.
  • Neighboring Control Areas to assist in reducing voltage.
action in a high voltage situation1
Action in a High-Voltage Situation
  • Transmission Owners to reset desired voltage on Static Var Compensators (SVCs).
  • If using real-time program, PJM dispatcher determines that opening the 500 kV circuit causes no overloads, PJM dispatcher directs the Transmission Owner to open this line at both terminals.
  • PJM dispatcher may not open more than one 500 kV circuit for voltage control in an area.
thermal overloaded transmission
Thermal Overloaded Transmission
  • Apply effective corrective actions
  • Transformer tap adjustments
  • • Phase-angle regulator adjustments
  • • Capacitor/reactor switching
  • • Pre-studied line switching
  • • Curtailment of non-firm transactions not willing to pay for congestion