The PJM Electric Grid Supply Crisis & How to Fix It With NatGas

We've covered the ongoing spat between Pennsylvania Governor Josh Shapiro and the PJM Interconnection electricity grid that covers all or parts of 13 states plus D.C. Last Friday, we brought you an editorial from the Wall Street Journal that echos the arguments we've made that Shapiro himself is to blame for rising electricity prices in PJM (see WSJ Agrees with MDN on Josh Shapiro’s Blame Shift re Electric Rates). Let's step back a bit to understand better how grids like PJM operate, what capacity auctions are, and how PJM needs more dispatchable (gas-fired) electricity to avoid higher electricity prices.

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