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PJM Issues Framework During Periods of Insufficient Resource Adequacy
On July 28, 2026 PJM issued a CIFP framework for service during periods of insufficient resource adequacy.
From the Executive Summary:
“Board analyzed various proposals for service during periods of insufficient resource adequacy through a lens that begins first and foremost with the organization’s mandate to maintain grid reliability. As the results of the 2027/2028 and 2028/2029 Base Residual Auctions (BRAs) demonstrate, the regional transmission organization (RTO) continues to clear short of its Reliability Requirement, and the shortfall is increasing. Projections for continued Large Load additions are up to 70 GW by 2038. The Board continues to view these results as a signal that current trends will continue.”
The PJM proposal, Interim Resource Adequacy Service, or IRAS, previously referred to as Connect and Manage, is an important first step in realizing an operational tool (reduction of load) that will facilitate accelerated Large Load growth while preserving system reliability during periods of capacity shortage. Under this framework, Large Loads can interconnect without bringing their own new capacity. However, they must reduce their load or switch to on-site backup resources under specific, limited circumstances.”
Key Design Concepts
Large Load Registry – PJM will maintain a central registry of all applicable Large Loads including a definition of Large Loads.
Large Loads are defined as end-use customer load that has a cumulative peak load quantity ≥ _50 MW at a single site behind one or more delivery points/points of interconnection within a one-mile radius. All Large Load megawatts not in service by June 1, 2027, are considered new Large Loads and are counted in the quantity determination for Interim Resource Adequacy Service offset by BYONC. If a load increases its peak demand after June 1, 2027, the incremental load added after June 1, 2027, would be considered new Large Load megawatt. This includes incremental load that causes an existing load to meet the Large Load definition when it had not previously met this threshold (e.g., if a 30 MW load
Participation Rules – Electric Distributors (EDs) and Transmission Owners (TOs) must implement Interim Resource Adequacy Service for new Large Loads that do not Bring Your Own New Capacity (BYONC) or have not received credit for Reliability Backstop Procurement (RBP) UCAP megawatt for the delivery year and cannot be served under the 1-in-10 reliability standard. Load Serving Entities (LSEs) will need to designate any BYONC supply associated with new Large Loads for the duration of time required to maintain BYONC status.
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| Credits – EDs will implement a credit mechanism for Interim Resource Adequacy Service, coordinated with their respective state regulatory authorities. |
For full details see: PJM Executive Summary.
