What does the Performance Assessment Interval measure?

The Performance Assessment Interval measures individual performance against commitments, which is essential for evaluating how well specific market participants or resources are fulfilling their obligations. This assessment is crucial within the PJM framework as it ensures that entities are held accountable for their commitments, thereby maintaining system reliability and operational integrity.

Monitoring performance against established commitments helps PJM identify which participants are consistently meeting their obligations and which may need additional support or oversight. This contributes to overall grid reliability and the efficiency of market operations. By focusing on individual performance, it allows for specific improvements or interventions that enhance the overall functioning of the energy market.

Understanding this aspect is vital for participants in PJM markets, as it influences decision-making and can have financial implications based on performance metrics.