PJM Interconnection has proposed governance reforms ahead of stakeholder negotiations that federal regulators will mediate beginning Sept. 1, as the regional grid operator seeks to speed decision-making and clarify the roles of states and stakeholders, PJM said in a statement on Monday.
PJM submitted the proposals to the Federal Energy Regulatory Commission after FERC called for reforms following a July technical conference on PJM's governance and stakeholder processes.
Among the measures, PJM proposed expanding its authority to make filings under Section 205 of the Federal Power Act to cover energy and ancillary-service markets and transmission planning. It also proposed making stakeholder votes advisory rather than binding and allowing issues to be considered on an expedited basis.
Other proposals include extending terms for PJM's board members from three to nine years, giving the Organization of PJM States access to certain Section 205 filing rights on resource adequacy matters, and adding state-appointed representatives to the committee that nominates PJM board members.
FERC's mediation process will bring PJM, states and other stakeholders together to identify areas of agreement and disagreement. The discussions will be confidential, with the goal of developing reforms that PJM can present to its full membership and ultimately file with FERC.