State of New Jersey
Department Of The Public Advocate
240 West State St.
P.O. Box  851  
Trenton, NJ 08625-0851
Phone: (609) 826-5090    Fax: (609) 984-4747


For Immediate Release: 
August 27, 2007
Public Advocate

For Further Information

Nancy Parello:

Robyn Roberts
(Rate Counsel)
Tel: 973-648-2290

Public Advocate Opposes Regional Power Authority’s Effort to Settle
Market Monitor Complaint

Market Monitor Critical to Ensure Energy Market is Fair
- Keeping Electric Rates Low

Newark, N.J.— A proposal by the authority responsible for controlling electric power supplies in the region, to settle a complaint that members of its management team improperly interfered with the operation of the market monitoring unit should be rejected, Public Advocate Ronald K. Chen said today.

PJM Interconnection coordinates and directs the operation of electric power systems that serve 51 million people in several states, including New Jersey.
“PJM is an entity that very few ratepayers know anything about, but the organization has a huge impact on every ratepayers’ electric bills,” stated Chen.

'The proposed settlement fails to ensure an independent and strong market monitor that will prevent abuse in the electric power market that New Jersey ratepayers solely depend upon to light their homes and businesses.”

PJM’s settlement proposal calls for an outside consulting organization, as opposed to the current in-house market monitoring unit to keep tabs on the electric power market.  PJM submitted its settlement proposal in response to complaints filed in April with the Federal Energy Regulatory Commission (FERC) by the Public Advocate, consumer advocates and other interested parties.  That complaint called for the FERC to investigate whether PJM management improperly interfered with the operation of the market monitoring unit. The head of the PJM’s market monitoring unit, Joseph Bowring, had stated that his unit was obstructed in providing information for a report issued in March on the state of electric markets.

The Department’s comments urge FERC to reject PJM’s settlement proposal and to hold public hearings on the matter. The comments express concern that the independence and capabilities of PJM’s Market Monitoring Unit (MMU) that oversees the nation’s largest electricity market are being compromised.

Rate Counsel’s comments can be found at and


The Division of Rate Counsel is a division within the Department of the Public Advocate and represents the interests of consumers of electric, natural gas, water/sewer and telecommunications and cable TV service. Additional information on this and other utility matters can be found at the Division’s website at The Department of the Public Advocate website is