URGING PJM INTERCONNECTION TO MAINTAIN PRICE COLLARS AT THE CURRENT RATE AND ENCOURAGING REFORMS TO THE INTERCONNECTION QUEUE.

Legislation Document

SPONSOR:

Rep. Burns & Sen. Hansen

Reps. Minor-Brown, Harris, Osienski, Bolden, Bush, Carson, Chukwuocha, Gorman, Griffith, Heffernan, K. Johnson, Lambert, Lynn, S. Moore, Morrison, Neal, Ortega, Phillips, Romer, Ross Levin, Kamela Smith, Snyder-Hall, K. Williams, Wilson-Anton; Sens. Brown, Cruce, Hoffner, Huxtable, Lockman, Mantzavinos, Paradee, Pinkney, Poore, Seigfried, Sokola, Sturgeon, Townsend, Walsh, Buckson, Pettyjohn

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE CONCURRENT RESOLUTION NO. 94

URGING PJM INTERCONNECTION TO MAINTAIN PRICE COLLARS AT THE CURRENT RATE AND ENCOURAGING REFORMS TO THE INTERCONNECTION QUEUE.

WHEREAS,

unprecedented demand growth, retiring base load generators, and delays in the deployment of renewable and non-renewable projects are creating a perfect storm that threatens affordability and reliability across the region served by PJM Interconnection (PJM); and

WHEREAS, PJM capacity prices have skyrocketed to nine times their 2023 level; and

WHEREAS, in July 2025 the PJM Capacity auction set a record high price of $329/MW-day; and

WHEREAS, from 2020-2024, tens of gigawatts of baseload capacity have been or will be retired, and new generation has struggled to come online, both due to backlogged interconnection queues and delays in necessary updates to the underlying transmission grid; and

WHEREAS, PJM's short-term pricing structure does not incentivize long-term generation investments; and

WHEREAS, current power generators are rewarded when prices are high and unaccountable to households and businesses; and

WHEREAS, existing power generators are earning record profits, most seeing a 200-700% stock return over the last two years. Rather than reinvesting these profits in generation in the PJM market, they are investing in generation growth in other parts of the country; and

WHEREAS, PJM price collars have saved customers more than $8 billion dollars; and

WHEREAS, the December 2025 auction was capped at the same price, however those price collars are set to expire, leaving customers vulnerable to even higher costs in the future; and

WHEREAS, PJM must make structural reforms to PJM's capacity markets that must provide better long-term price signals and incentives, new generation and investments, and protect customers through enhanced retail market protection measures; and

WHEREAS, PJM is expected to decide on price collars with a survey and comment period ending on January 30, 2026; and

WHEREAS, it is in the interest of our constituents, who are seeing rising energy bills, for these price collars to continue until such time as PJM is able to bring increased generation capacity online; and

WHEREAS, a price collar that has been proposed at $325/MW-day still provides ample revenue opportunities and is significantly higher than historic prices and more than enough to retain existing generation and entice new generation; and

WHEREAS, a price collar is a temporary but necessary fix that should remain in place until real solutions can be implemented by PJM such as more accurate load forecasting, clearing of the PJM interconnection queue, and quickly processing new interconnection applications to get cheaper energy online more quickly.

NOW, THEREFORE:

BE IT RESOLVED by the House of Representatives of the 153

rd

General Assembly of the State of Delaware, the Senate concurring therein, that PJM Interconnection is urged

to extend price collars for 2 years at the current rate of $325/mw-day in order to protect our constituents and energy users from even greater energy price increases than what they have already experienced.

BE IT FURTHER RESOLVED that the General Assembly encourages PJM to implement reforms to its interconnection queue to allow for increased generation capacity to come online faster and prevent the need for further price collars in the future.

SYNOPSIS

This concurrent resolution urges PJM Interconnection to extend price collars for 2 years at the current rate of $325/mw-day and to implement reforms to its interconnection queue to allow for increased generation capacity to come online faster and prevent the need for price collars in the future.