Post: Regulation redesign 

Regulation redesign 

PJM is redesigning its regulation market to improve design flaws and better align with other ISOs. Phase 1 of this redesign has a targeted go-live date of October 1, 2025.  

The current regulation market design uses two dispatch signals, one for slow-ramping (Reg A) and one for fast-ramping resources (Reg D). These two signals create suboptimal market clearing and an over-procurement and overvaluation of regulation services. 

PJM will address this in two phases. Phase 1, coming October 1, 2025, will change dispatch signals from two bidirectional signals to a single bidirectional signal for all resources to follow. The redesign will change how regulation services are valued and cleared. Phase 2, targeted for October 2026, will split the new, single bidirectional signal into two separate products, each a single direction (Reg Up and Reg Down). 

These changes create both challenges and opportunities. Success will require expertise, technology, and the ability to adapt strategies quickly as the market evolves. This is where GridBeyond comes in.  

Our platform is designed to help businesses unlock the full value of their flexible assets, whether batteries, demand-side resources, or distributed generation, while ensuring reliable, compliant participation in PJM’s evolving system.  

By leveraging AI-driven optimization and real-time control, we minimize performance risks, maximize returns, and future-proof operations against upcoming shifts.  

Working with GridBeyond means more than just keeping pace with regulatory change. It means positioning your business to thrive in a redesigned market, capturing every opportunity for new revenue while supporting grid stability and advancing your sustainability goals.