PJM capacity market design flaws blamed for price spikes, not competition

Atlantic Council analysts argue that sharp price increases in PJM's capacity auctions reflect structural market design problems rather than evidence that competitive electricity markets fundamentally fail.

First covered Oct 21, 2026 · 7:04 AM PT · 1 article · no longer in the live window

Coverage

20d Utility Dive The capacity market crisis is a design problem, not a verdict on competition — PJM's capacity price spikes are a symptom of a market that drifted too far toward spot-price dependence, not an indication that competition itself does not…

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sierraclub.org PJM Capacity Auction Flaws Spiked Prices By Billions for Customers

earthjustice.org Grid Operator PJM Makes Customers Pay Twice for Fossil Fuel Power - Earthjustice

insideclimatenews.org Mid-Atlantic States, PJM Agree to Price Cap for Capacity Auction, Temporarily Easing Energy Affordability Concerns - Inside Climate News

haas.berkeley.edu PWP-077 PJM’s Capacity Market in a Price-Spike World Steven Stoft May, 2000

latitudemedia.com Is PJM too big to function?

Appeared in: 2026-10-21 (#10) · 2026-10-22 (#14)

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