February 5, 2025

Leap Takes on PJM: New VPP Opportunities in the Mid-Atlantic

Leap Takes on PJM: New VPP Opportunities in the Mid-Atlantic

Clay Gamble, Senior Market Development Associate

Leap has officially entered into PJM, launching enrollment through the Leap platform for our technology partners ahead of the 2025 season. With over 65 million customers across 13 states and the District of Columbia, PJM is the largest regional transmission organization (RTO) in the United States, and represents a significant milestone for our work to make virtual power plants (VPPs) more accessible, scalable, and impactful. Here’s why now is the perfect time for Leap to launch in PJM, what makes this market unique, and how we’re helping our partners navigate its complexities.

Why Now? The Opportunity in PJM


There’s never been a more urgent time to unlock the potential of DERs as paid grid resources in PJM. The 2025/2026 Base Residual Auction (BRA) saw record-setting capacity clearing prices, driven by several key factors:

  • Decreasing supply: A significant number of older thermal power plants are retiring across PJM territory, with limited new capacity additions in the queue to fill the gap.  Recent rule changes have also pushed energy efficiency resources out of the market, further tightening supply.


  • Rising demand: PJM’s peak load forecast jumped by 2.2% from 2024/2025 to 2025/2026, fueled by electrification, manufacturing growth, and a boom in data center development.


  • New accreditation rules: PJM’s updated marginal capacity accreditation methodology has reduced the capacity value of many resources, further constraining supply.


Clearing price results in PJM’s Base Residual Auction (BRA). Source: PJM


This convergence of factors has created a unique opportunity for Leap to quickly deploy VPPs that deliver meaningful revenue for our partners while providing flexible capacity to a grid under growing pressure.

What Makes PJM Unique?


PJM stands out as a dynamic and complex market for several reasons:

  • Largest peak load served: PJM manages the highest peak demand of any U.S. power market, driven by dense urban centers, a robust manufacturing base, and the world’s largest collection of data centers (primarily in Virginia).


  • Rapid load growth: By 2029, PJM is expected to have the second-highest load growth behind ERCOT, with data center expansion and electrification continuing to play major roles.


  • Significant capacity retirements: PJM is projected to experience the second-highest MW of generator retirements by 2034, amplifying the need for flexible, reliable DERs to fill the gap.


  • Data access challenges: Data access in PJM is fragmented across multiple states and utilities, which can make it difficult for DER providers to enroll customers and scale operations. 

What DER Providers Need to Know


For DER providers considering participation in PJM, here are the essentials:

  • Capacity Program Structure: Resources in PJM’s capacity program respond to grid emergency events. Providers typically face one mandatory test per delivery year (which runs from June to May), making performance during this test critical for revenue generation. There is only one enrollment deadline for the entire year, and all data must be collected and confirmed by the customer’s utility and PJM before the season begins. 


  • Technology Fit: Leap welcomes the full spectrum of DER technologies to participate in our capacity offering in PJM.


  • Market Evolution: Expect continued load growth and generator retirements, alongside increased intermittency from solar and wind projects in the interconnection queue. Residential demand response, historically underrepresented in PJM, is poised for growth as electrification accelerates.

Why Work with Leap?


For DER providers, navigating PJM’s regulatory and technical hurdles can be daunting. Leap’s automated platform and team of market experts handle the heavy lifting of launching as a PJM market participant, allowing our partners to focus on their customers.  

Enrollment & data access

PJM requires advanced meter data, such as peak load contribution and historical interval data, in order to participate. There are approximately 20 separate Investor-Owned Utilities (IOUs), each maintaining its own metering infrastructure. Partners can leverage Leap Connect in PJM to streamline registration and data authorization processes into one simple flow across all PJM utilities that they can embed right in their customer apps under their own brands. 

Handling market entry logistics

Becoming a market participant can be particularly expensive and time-intensive in PJM. From posting collateral to navigating financial and technical requirements, we take care of the market entry complexities so partners can focus on their core business.

Automated operations

Leap’s platform leverages universal APIs to enable automation across the many different aspects of VPP operations, helping partners quickly grow their portfolios and revenue. In PJM’s capacity program, Leap’s dispatch automation capabilities are especially important, ensuring fast and reliable responses to grid emergency events.

Looking Ahead


Leap is committed to expanding the value stack for our partners in PJM. While we’re leading with capacity market participation, we aim to unlock additional opportunities in energy and ancillary services as the market evolves. States like Maryland and New Jersey are also developing promising retail utility programs, which could create new revenue streams for DER providers.


By entering PJM, Leap is taking another step toward building a cleaner, more reliable grid. We’re excited to bring our expertise and technology to the Mid-Atlantic and look forward to helping our partners succeed in this pivotal market.


Ready to join us in PJM? Get in touch to learn more about how Leap can help your business start earning VPP revenues in this growing market.

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© Leapfrog Power, Inc. 2025. All Rights Reserved.

Privacy Policy | Terms of Service