Talen Energy, PJM, and Maryland Reach Reliability Must Run Settlement Agreement.

Talen Energy has reached a settlement agreement with PJM Interconnection, the Maryland Public Service Commission, and other parties to maintain critical infrastructure and reliable electricity in Baltimore through 2029. The agreement will protect Maryland consumer rates and extend the operation of Talen's Brandon Shores and H.A. Wagner power plants beyond their scheduled retirement dates. The agreement is designed to provide the necessary power to maintain grid and transmission reliability in the region.

Introduction:
Talen Energy, a leading energy company, has announced a settlement agreement with PJM Interconnection, the Maryland Public Service Commission, and other parties to maintain critical infrastructure and ensure reliable electricity in Baltimore through 2029 [1]. This agreement will protect Maryland consumer rates and extend the operation of Talen's Brandon Shores and H.A. Wagner power plants beyond their scheduled retirement dates.

Reliability Concerns and Transmission Projects:
PJM Interconnection, the grid operator responsible for the region, has identified significant reliability concerns following Talen's plan to retire the Brandon Shores power plant by 2025 [1]. These concerns include potential grid voltage issues and thermal overloads. PJM initially proposed building new transmission lines to address these concerns, which were expected to be completed by the end of 2028 [1]. However, with the need for immediate reliability solutions, Talen and PJM have agreed to extend the operation of the Brandon Shores and H.A. Wagner power plants until the transmission projects are completed.

Battery Storage Solutions:
The Sierra Club, an environmental organization, proposed a battery storage solution to replace the retiring Brandon Shores power plant [1]. However, PJM found that this option would not address all reliability concerns and likely couldn't be built in time [1]. An earlier study by Telos Energy and GridLab, supported by the Sierra Club, suggested a 600-MW, four-hour battery as a less expensive option for reliably replacing the Brandon Shores power plant compared to an RMR contract [1]. However, this plan, including an 800-MW battery option, has several critical flaws [1].

Conclusion:
The settlement agreement between Talen Energy, PJM Interconnection, and the Maryland Public Service Commission will ensure reliable electricity in Baltimore through 2029, protect consumer rates, and maintain critical infrastructure. The agreement highlights the importance of addressing reliability concerns in the transition to a cleaner energy future.

References:
[1] "Talen Energy's Brandon Shores, Wagner battery storage, Sierra Club, PJM." Utility Dive, 26 Apr. 2023, https://www.utilitydive.com/news/talen-brandon-shores-wagner-battery-storage-sierra-club-pjm/715221/