Mid-Atlantic electricity market (PJM ISO)

• The Mid-Atlantic region contains many large population centers, like Washington D.C., Baltimore, and Philadelphia, on the eastern seaboard.
• This area formed one of the first independent power grids, the PJM ISO, named after its condtituent states: Pennsylvania, New Jersey, and Maryland.PJM has since expanded to include West Virginia, Delaware, large parts of Ohio, parts on northern Illinois, and Virginia.
• It is one the largest and most liquid electricity markets. A number of active trading hubs are located within PJM.
• Geographically, the PJM service area is very diverse:
• Large reserves of coal native to Pennsylvania and West Virginia serve as the marginal fuel for western part of the PJM service area.
• Power on the East Coast and Virginia is commonly determined by gas-fired power plants.
• Climate:
• The climate in the northern half of the region ranges from cold winters to hot summers.
• The climate in the southern half of the region is warmer --- mild winters and extended hot summers.
• A large number of power plants in the less populated areas of the PJM service area export power into the more populated regions ==> the power lines between these areas are often congested.