Since it began operating a competitive wholesale electricity market in 1997, PJM Interconnection has employed a dynamic collaborative process with its members that has expanded the number of markets in the region. Acting neutrally and independently, PJM establishes systems and rules to ensure that the markets operate fairly and efficiently.

More than 500 members participate in PJM’s markets. PJM uses sophisticated information technology to provide market participants with a variety of online resources and  eTools to help them make business decisions and carry out their transactions. Billings in PJM-administered markets total more than $110 billion since the regional markets opened.

Monitoring Analytics
Monitoring Analytics was established in 2008, created by spinning off the Market Monitoring Unit of PJM Interconnection. Monitoring Analytics continues to serve as the Independent Market Monitor for PJM under a long-term contract. Monitoring Analytics also has extensive experience producing market-related reports, including the PJM State of the Market Report.

Energy Market:  PJM Interconnection coordinates the continuous buying, selling and delivery of wholesale electricity through the Energy Market. In its role as market operator, PJM balances the needs of suppliers, wholesale customers and other market participants and monitors market activities to ensure open, fair and equitable access.	Reliability Pricing Model:  PJM’s Reliability Pricing Model (RPM) provides a long-term price signal, consistent with the PJM Regional Transmission Expansion Planning process, for capacity resources and load serving entities’ (LSEs) unforced capacity obligations.
Financial Transmission Rights:  PJM Interconnection auctions Financial Transmission Rights (FTRs) to assist market participants in hedging price risk when delivering energy on the grid. FTRs are financial instruments that entitle the holder to a stream of revenues (or charges) based on the hourly energy-price differences across the transmission path in the Day-Ahead Market.	Demand Response:  Demand response, a planned reduction in electricity use during times of high demand, helps maintain grid reliability by reducing the stress on the system. PJM encourages demand response activity in the PJM grid to help reduce wholesale electricity prices and reduce electricity usage to address environmental concerns.
Market Settlements:  Market Settlements provides participants with reconciliation billing determinants, as well as guides that offer brief descriptions of the charges and credits that appear on monthly invoices.	Financial Credit:  With few exceptions, credit must be established with PJM prior to participating in any of the PJM markets. Attachment Q to the PJM Open Access Transmission Tariff (PDF) contains the FERC-approved credit policy. Additional detail is provided in a separate Credit Overview document.
Compliance :  PJM is committed to full compliance with all applicable North American Electric Reliability Corporation (NERC) and regional standards. We work to ensure ongoing communication with our members on the status of our compliance and on all compliance-related activities.	Transmission Services:  PJM’s Open Access Transmission Tariff specifies the transmission services that are available to eligible customers. Customers submit requests for transmission service to PJM through the Open Access Same-Time Information System (OASIS). PJM evaluates each transmission-service request for its impact on the system and approves or denies the request accordingly.