Sustainable Energy Advantage (SEA), a clean energy market, policy, strategic and financial analysis consulting and advisory firm, announces the release of its newest white paper: From Undersupply to Oversight: RMRs, ELCC, and the Evolution of PJM’s Capacity Market. The timely paper offers in-depth tracking and analysis of the latest developments within the PJM Interconnection capacity market—critical for energy developers, investors, load-serving entities, regulators, and other market participants navigating today’s high-stakes electricity landscape.

The PJM Interconnection—serving over 65 million people across 13 states and the District of Columbia—sits at the heart of the nation’s transition to a cleaner, more resilient grid, while facing the challenges of data center-driven demand growth. SEA’s white paper tackles the most pressing capacity market issues and outlines what stakeholders need to know about:

• The 2025/2026 capacity price spike driven by plant retirements, shifting demand forecasts, and new accreditation methodologies such as Effective Load Carrying Capability (ELCC).
• The exclusion of Reliability Must Run (RMR) units from the 2025/2026 auction, including legal challenges, evolving FERC guidance, and PJM’s shifting valuation of these critical resources.
• Competing regulatory and stakeholder strategies, including PJM’s proposed tariff changes, consumer advocate complaints, FERC’s interim reforms (e.g., price collars), and divergent market participant responses.
• Structural concerns in the Reliability Pricing Model (RPM) such as market power mitigation, must-offer exemptions, transparency limitations, and entry barriers for new clean energy resources.
• Outlook for the 2026/2027 BRA and beyond, considering anticipated demand growth, reform implementation timelines, and how auction outcomes may drive long-term market design.

“This white paper reflects the kind of rigorous, policy-informed analysis we provide across all of SEA’s services,” said Chris Rice, Director and PJM Policy Lead at Sustainable Energy Advantage. “While it focuses on PJM, it speaks to broader themes in state and regional energy policy and markets — resource adequacy, regulatory reform, and market design that both the public and private sectors grapple with every day.”

Beyond the White Paper: Subscription Insights and Advisory Expertise

SEA offers a comprehensive suite of services designed to help stakeholders navigate the evolving clean energy landscape.

SEA’s Eyes & Ears subscription service—available for PJM, ISO New England, and NYISO—provides subscribers with comprehensive curated, timely insights into clean energy regulatory proceedings, policy developments, legislation and wholesale market developments. It’s a trusted resource for developers, regulators, utilities, and investors looking to stay ahead of change across the U.S. 

SEA’s consulting services build on this intelligence, delivering custom analysis and strategic guidance spanning clean energy policy and program design, market entry and financial analysis, procurement strategy, and grid modernization.

SEA’s practice areas span clean electricity markets and distributed energy resources—including solar, wind (land-based and offshore), energy storage, transmission, electrification, and clean fuels. With deep expertise across all major market segments—state agencies, developers, utilities, investors, and large end users—SEA is a go-to partner for objective, actionable, and forward-looking energy analyses.

From Undersupply to Oversight: RMRs, ELCC, and the Evolution of PJM’s Capacity Market is available now.
Download the FREE White Paper