About PJM

PJM Interconnection is a regional transmission organization (RTO) that coordinates the movement of wholesale electricity in all or parts of 13 states and the District of Columbia.

PJM’s role as a federally regulated RTO means that it acts independently and impartially in managing the regional transmission system and the wholesale electricity market. PJM ensures the reliability of the largest centrally dispatched grid in North America.

PJM’s members, totaling more than 750, include power generators, transmission owners, electricity distributors, power marketers and large consumers. The company is headquartered in Valley Forge, Pa.

PJM’s Operations
PJM's staff monitors the high-voltage transmission grid 24 hours a day, seven days a week. PJM keeps the electricity supply and demand in balance by telling power producers how much energy should be generated and by adjusting import and export transactions.

  • In managing the grid, the company dispatches about 185,600 megawatts (MW) of generating capacity over 62,591 miles of transmission lines. More than60.1 million people live in the PJM region.
  • PJM’s experts study hundreds of "what if" scenarios and prepare to deal with virtually any event. Each variable that might affect supply and demand for electricity is carefully considered – from extreme weather conditions, emergency situations and equipment failures to the more easily anticipated cycles of hours, days, weeks and seasons.
  • PJM exercises a broader reliability role than that of a local electric utility. PJM system operators conduct dispatch operations and monitor the status of the grid over a wide area, using an enormous amount of telemetered data from nearly 74,000 points on the grid. This gives PJM a big-picture view of regional conditions and reliability issues, including those in neighboring systems.

PJM’s Market
The company coordinates the continuous buying, selling and delivery of wholesale electricity through robust, open and competitive spot markets. In operating the markets, PJM balances the needs of suppliers, wholesale customers and other market participants and continuously monitors market behavior.

  • PJM’s wholesale electricity market is similar to a stock exchange. It establishes a market price for electricity by matching supply with demand. Online eTools make trading easy for members/customers by enabling them to submit bids and offers and providing them with continuous real-time data.
  • Market participants can follow market fluctuations as they happen and make informed decisions rapidly, responding to high prices and bringing supply resources to the region when demand is high.
  • PJM has administered more than $103 billion in energy and energy-service trades since the regional markets opened in 1997.

PJM's Planning
PJM manages a sophisticated regional planning process for generation and transmission expansion to ensure the continued reliability of the electric system.

  • PJM is responsible for maintaining the integrity of the regional power grid and for managing changes and additions to the grid to accommodate new generating plants, substations and transmission lines.
  • In addition, PJM analyzes and forecasts the future electricity needs of the region. Its planning process ensures that the growth of the electric system takes place efficiently, in an orderly fashion, and that reliability is maintained.
  • PJM also develops innovative programs, such as demand-response initiatives and efforts to support renewable energy, to help expand supply options and keep prices competitive.

More than 70 nations have sent delegates to PJM to learn about its market model and its operation of the electric grid. PJM has cooperative agreements with several other large international grid operators – Electricité de France, Tokyo Electric Power Co. and North China Grid Co.


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