PJM BALANCING CONGESTION FEE

5/1/2017

Important Information about your Electricity Account Located in the PJM Independent System Operator (ISO) Territory 

 

In order to continue a culture of customer obsession, we need to make sure you are aware of a new fee on your electricity bill. The fee has been ordered by the FERC and will be implemented by all suppliers in the PJM. 

 

WHAT WE KNOW

 

Federal Energy Regulatory Commission (FERC) ordered the assignment of balancing congestion costs to suppliers that will go into effect June 1, 2017. The FERC order creates a new charge for load servicing entities and raises the cost of serving customers in the PJM region.The PJM RTO stands for Pennsylvania Jersey Maryland Regional Transmission Operator, and essentially they coordinate the movement of electricity through all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia.

 

This means any customer in the PJM Territory will be effected and will notice a new charge on their electricity bill labeled "PJM Balancing Congestion" in the supplier section starting June 1, 2017, and the fee will vary per customer. 

 

HOW WE CAN HELP

 

As a fiscal consultant in Total Procurement Intelligence, it is necessary we update you on any and all information we see pertinent to your energy bill. Should you require assistance or have questions regarding your bill, please contact TPI Efficiency at 877-244-0182.

Additionally you can read more about the PJM Balancing Congestion charge below: 

What Drove this change?

What is "Balancing Congestion?"

 

UPDATE Dec. 20, 2017: Some customers will be retroactively billed for the balancing congestion charge from the moment this order went into effect on June 1, 2017, if they were not previously billed for the charge.

 

 

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