Pro forma RMR agreement and tariff redline package hit PJM's Members Committee
PJM's Members Committee took up a presentation on a pro forma Reliability Must-Run agreement, together with a package of tariff redlines marked for endorsement, on August 19, 2026, covering the terms for keeping a deactivating generator running after retirement to maintain reliability.
PJM's Members Committee took up a presentation titled "Pro Forma Reliability Must-Run ('RMR') Agreement," presented by Daniel Vinnik, Counsel, on August 19, 2026.1
A set of tariff redlines is marked for endorsement at the MC on August 19, 2026, with all new tariff language shown in black text below that heading.2
Redlines were slated for first read at the June 24, 2026 MRC.3
PJM's presentation states that an RMR becomes necessary when PJM's analysis of a deactivating generator indicates thermal/voltage/stability violations on the transmission system, leading PJM to request that the generator continue operating after it leaves the market to maintain reliability until transmission upgrades are complete.4
Under Tariff, Part V, Section 114, the Deactivation Avoidable Cost Credit compensation path involves interface between the generation owner and the IMM on cost components, with informational filings at FERC.5
Under Tariff, Part V, Section 119, the alternative Cost-of-Service Rate path requires the generation owner to make an FPA 205 filing at FERC proposing a cost-of-service rate to recover the entire cost of operating the generating unit.6
Under the pro forma RMR's listed key features, the agreement is only effective upon acceptance by FERC.7
Under the pro forma RMR's listed key features, PJM will terminate an RMR when it determines the RMR is no longer necessary.8
Under the pro forma RMR agreement's termination-by-PJM provision, once PJM determines the RMR Resource is no longer necessary and provides written notice, termination is effective on the sixty-first day after the generation owner receives that notice, unless the RMR Resource is administratively included in a Reliability Pricing Model Auction and not subsequently replaced, in which case termination is effective instead at the end of that Delivery Year.9
A redlined tariff provision states that a Generation Capacity Resource retained pursuant to an executed Form Reliability Must Run Service Agreement that does not clear an RPM Auction for the relevant Delivery Year and is subject to the Deactivation Avoidable Cost Credit or a FERC-accepted cost-of-service revenue requirement is deemed the subject of a Sell Offer at $0/MW-Day in the Base Residual Auction for its full available Accredited UCAP.10
A tariff sets deactivation-related multipliers at 110 percent for the first year following a generating unit's deactivation date, rising to 120 percent for the second year.11
Gridlight analysis
Interpretation by Gridlight, resting on the documents in Sources.
Whether the Members Committee endorsed the pro forma RMR package on August 19, 2026, and by what vote, is not stated.■■■■■■■■■■■
How the June 24, 2026 MRC first read relates procedurally to the August 19, 2026 MC package is not stated.■■■■■■■■■■■
Whether PJM has filed, or intends to file, this package at FERC, and on what timeline, is not stated.■■■■■■■■■■■
Whether any specific generating unit or docket is currently seeking RMR treatment under this pro forma structure is not indicated.■■■■■■■■■■■
Coverage notes
Gridlight’s notes on what we looked for and did not find; these statements are Gridlight’s own and are not claim-checked against archived sources.
- This piece does not report whether the Members Committee voted to endorse the pro forma RMR package, or how the June 24, 2026 MRC first read relates procedurally to the August 19 MC package.
- This piece does not report a FERC filing date for the pro forma RMR agreement, or whether any specific generating unit or docket is currently seeking RMR treatment under it.