As stated in Section VII.A.3 of the BGS-RSCP Auction Rules, BGS-RSCP suppliers will receive adjustments to the payments for capacity for the 2028/2029 delivery year in the event that the capacity charge for this delivery year is not known prior to the BGS-RSCP Auction. If the capacity charge for the 2028/2029 delivery year is not known at least five (5) business days prior to the start of the BGS-RSCP Auction, in the period from June 1, 2028 and May 31, 2029, an EDC’s BGS-RSCP supplier will receive payment (or will be charged) based on the difference between the capacity price paid by the BGS-RSCP supplier for that EDC and the capacity proxy price approved by the New Jersey Board of Public Utilities (the “Board”) for the same EDC.  This calculation is described in the Supplement C to the BGS-RSCP Supplier Master Agreement.

On December 17, 2025, PJM released the results of the Base Residual Auction for the 2027/2028 delivery year.  As approved by the Board, the EDCs will use the results of the Base Residual Auction for the 2027/2028 delivery year to set the capacity proxy prices for the 2028/2029 delivery year.  As such, the capacity proxy price for the 2028/2029 delivery year for each EDC is $333.69/MW-day which is the Preliminary Zonal Net Load Price for the 2028/2029 delivery year.