Learn More >
or
Close X
It looks like you have JavaScript disabled.
For the best experience, please enable JavaScript.
or
It looks like you have JavaScript disabled and you’re using an outdated browser, which PJM no longer supports.
For the best experience, please enable JavaScript and upgrade to a modern browser.
or
Sign In
Sign In
Tools Sign In
Calendar
Menu
Sign In
about pjm
training
committees
&
groups
planning
markets
&
operations
library
Committees
&
Groups
Meeting Center
Committees
Audit Advisory Committee
Enhanced Liaison Committee - Capacity Performance
Finance Committee
Budget Process
&
Finance Committee Recommendations
Financial Reporting
PJM Administrative Cost Rates
PJM Settlement Administrative Cost Rates
Pass-Through Rates
Liaison Committee
Market Implementation Committee
Market Monitoring Unit – Advisory Committee
Markets
&
Reliability Committee
Members Committee
Nominating Committee
Operating Committee
Planning Committee
Security
&
Resilience Advisory Committee
Subregional RTEP Committee - Mid-Atlantic
Subregional RTEP Committee - Southern
Subregional RTEP Committee - Western
Transmission Expansion Advisory Committee
Transmission Owners Agreement-Administrative Committee
User Groups
Nuclear Generation Owner User Group
Public Interest
&
Environmental Organizations User Group
Subcommittees
Cost Development Subcommittee
Station Service Rates
Credit Subcommittee
Data Management Subcommittee
Synchrophasor Data Quality Group Workplace
Demand Response Subcommittee
Designated Entity Design Standards Subcommittee
Dispatcher Training Subcommittee
Distributed Energy Resources Subcommittee
Governing Document Enhancement
&
Clarification Subcommittee
Intermittent Resources Subcommittee
Renewable Integration Study Reports
Load Analysis Subcommittee
Market Settlements Subcommittee
Relay Subcommittee
Relay Testing Subcommittee
Reliability Standards
&
Compliance Subcommittee
Resource Adequacy Analysis Subcommittee
System Operations Subcommittee
System Restoration Coordinators Subcommittee
Transmission
&
Substation Subcommittee
TO/TOP Matrix Subcommittee
Task Forces
ARR FTR Market Task Force
Carbon Pricing Senior Task Force
Energy Market Uplift Senior Task Force
Energy Price Formation Senior Task Force
Financial Risk Mitigation Senior Task Force
FRMSTF Recommendations Dashboard
Fuel Security Senior Task Force
Generator Offer Flexibility Senior Task Force
Incremental Auction Senior Task Force
Market Efficiency Process Enhancement Task Force
Modeling Generation Senior Task Force
Primary Frequency Response Senior Task Force
Summer-Only Demand Response Senior Task Force
Closed Groups
Issue Tracking
Fuel Security
U.S. Department of Energy Inquiry into Grid Resilience
Stakeholder Meetings
Inter-Regional Planning Stakeholder Advisory Committee - MISO
Annual Meeting of Members
General Session
Price Formation Education Sessions
DER Ride-Through Workshop
GO15 Governing Board Meeting
Inter-Regional Planning Stakeholder Advisory Committee - New York / New England
PJM/MISO Joint
&
Common Market Initiative
PJM/NYISO Joint Initiative
Tech Change Forum
eDART Forum
Upcoming Changes
State Commissions
Webex
Feedback
Share your feedback or suggestions:
Submit
Home
Committees
&
Groups
Issue Tracking
Issue Details
Issue Details
Default Liquidation Provisions
Under Operating Agreement section 15.2, when a Member defaults on a payment obligation, the net shortfall, after liquidating the Member’s positions and applying any applicable setoffs, is absorbed by the remaining membership. There are, however, no provisions in the PJM governing documents to account for the situation that can occur when the liquidation results in a net gain, and the net gain exceeds all other obligations of the Member.
Additionally, although there are defined rules for liquidating the FTR positions of a defaulting member, there are currently no defined rules for liquidating the RPM commitments of a defaulting member.
Problem Statement
PDF
Issue Charge
PDF
Issue Details
Strategic Focus Area:
Administration
Issue Status:
Evaluation in Progress
Stakeholder Body:
Credit Subcommittee
Stakeholder Process Status:
Approved
Issue Catalyst:
PJM
Date Created:
6.7.2017
MC Approval Date:
Target Completion Date:
12.31.2017
Actual Completion Date:
FERC Filing(s):
TBD
Agreement Change(s):
Open Access Transmission Tariff, Reliability Assurance Agreement
Manual Change(s):
No
MC Annual Plan:
2020
Associated Documents
Governing Documents
Date
Documents
2.12.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
Draft Minutes - CS - 1.11.2018
PDF
6.15.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
Draft Minutes - CS - 6.4.2018
PDF
9.28.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
8.21.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
1.11.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
Draft Minutes - CS - 11.9.2017
PDF
7.13.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
6.7.2017
Meeting materials from the MIC meeting
Agenda
PDF
Item 2 - Draft Minutes - MIC - 5.3.2017
PDF
Item 10A - Default Liquidation Provisions - CS
PDF
Item 10B - Default Liquidation Provisions Problem Statement
PDF
Item 10C - Default Liquidation Provisions Issue Charge
PDF
Item 10C - Default Liquidation Provisions Issue Charge - Post-Meeting
PDF
8.1.2017
Meeting materials from the CS meeting
Draft Minutes - CS - 7.11.2017
PDF
9.17.2018
Meeting materials from the CS meeting
Draft Minutes - CS - 8.21.2018
PDF
5.3.2017
Meeting materials from the MIC meeting
Agenda
PDF
Agenda
DOC
Item 11A - Default Liquidation Provisions - CS
PDF
Item 11B - Default Liquidation Provisions Problem Statement
PDF
Item 11C - Default Liquidation Provisions Issue Charge
PDF
11.9.2017
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
7.12.2017
Meeting materials from the MIC meeting
Item 2 - Draft Minutes - MIC - 6.7.2017
PDF
3.14.2018
Meeting materials from the CS meeting
Agenda
PDF
Agenda
DOC
Draft Minutes - CS - 2.12.2018
PDF
Date
Type
Documents
There are no governing documents currently associated with this issue