Docket No. ER24-18

We concur in today’s order denying Ridgeview Solar’s waiver request as well as its alternative request for remedial relief.

We write separately because while this result may be required by the filed rate doctrine, it is neither equitable nor commercially reasonable.  The facts are worth reiterating:  Ridgeview Solar provided PJM with a form letter of credit on July 7, 2023, three days before the July 10 deadline.  Ridgeview Solar then tried multiple times between July 10 and July 13 to confirm with PJM that its letter of credit was satisfactory.  On July 13, PJM informed Ridgeview Solar that it had used the wrong form letter of credit.  That same day, Ridgeview Solar provided PJM with $2,608,190 in cash, equal to the full amount of Ridgeview Solar’s security requirement.  Nevertheless, Ridgeview Solar was removed from the interconnection queue for failing to timely provide security.

Generator interconnection procedures should be designed to get new resources online as quickly and reliably as possible.  When a resource such as Ridgeview Solar is ready, willing, and able to meet its financial milestones, kicking it out of the interconnection queue without a reasonable opportunity to rectify any deficiencies in its collateral arrangements does nothing to advance those critical goals.

To avoid this result in the future, PJM should revise its Tariff to adopt a cure period that provides interconnection customers a reasonable time to address any deficiencies that PJM identifies in satisfying applicable financial requirements, whether related to letters of credit, forms of collateral, or otherwise, as PJM already does with regard to other similar requirements.[1]  Doing so would not only eliminate the need for interconnection customers to seek waiver from the Commission, but would also help to bring new resources online at a time when PJM itself has indicated that additional generation capacity is necessary to maintain electric reliability.[2]

For these reasons, we respectfully concur.


Willie L. Phillips



Allison Clements


[1] See, e.g., PJM, Intra-PJM Tariffs, OATT, § 204.3 (Interconnection Requests) (4.0.0) (“If an Interconnection Customer fails to comply with any of the applicable listed requirements, its Interconnection Request shall be deemed terminated and withdrawn, however in the event that the information required per (v)(C), (v)(D), or (vi)(C) above is provided and deemed to be deficient by the Transmission Provider, Interconnection Customer may provide additional information acceptable to the Transmission Provider within 10 Business Days.  Failure of the Interconnection Customer to provide information identified as being deficient within 10 Business Days shall result in the Interconnection Request being terminated and withdrawn.” (emphasis added)).

[2] PJM, Energy Transition in PJM: Resource Retirements, Replacements & Risks, at 2 (Feb. 24, 2023) (4R Report) (“The projections in this study indicate that it is possible that the current pace of new entry would be insufficient to keep up with expected retirements and demand growth by 2030”).\

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