What’s Behind the Capacity Price Increase?
Every year, PJM holds an auction to secure enough energy capacity for future needs. The most recent auction resulted in much higher prices for the 2025/2026 period. Why?
- Aging power plants are retiring
- Renewable projects are delayed
- Energy demand is growing faster than supply
This means the grid needs to pay more to ensure enough power will be available—especially during peak usage periods. And that cost gets passed on to businesses through supply contracts.
What Does This Mean for You?
Even if your current energy bill doesn’t show a “capacity” line item, make no mistake—it affects your supply cost. When capacity prices go up, so do your rates (unless you’re protected).
Businesses in PJM territory can expect:
🔺 Higher electricity supply prices
🔺 Increased energy budget uncertainty
🔺 A need to revisit supply contracts ASAP
If your current energy agreement expires in the next 12–18 months, you could be exposed to much higher rates when you go to renew.
Don’t Let Volatility Catch You Off Guard
Market volatility makes timing more important than ever. Comfort Profit Consulting helps businesses make sense of the changes and plan ahead. Whether you manage a single location or a multi-site portfolio, our team can help you:
🔹 Review current contracts and capacity tag exposure
🔹 Shop competitive supply options
🔹 Lock in favorable terms before rates increase
🔹 Avoid costly missteps in volatile markets
Our goal is simple: protect your bottom line.
How Comfort Profit Consulting Adds Value
At Comfort Profit, we don’t just monitor the market—we guide you through it. We’ve helped clients across sectors:
- Avoid costly renewals at peak times
- Understand how capacity impacts their bills
- Take advantage of energy market opportunities
And we do it all with no out-of-pocket cost to you.
Let’s Talk Before Prices Spike
You don’t have to wait for your next bill to see a price increase. The time to act is now—before new capacity rates go into effect. Comfort Profit Consulting is ready to help your business develop a strategy that keeps costs under control.
📩 Contact us today for a no-risk energy consultation.
