"Perfect Dispatch" - as the measure of PJM real time grid operational performance

This paper discusses a novel approach for analysis of large scale real time grid operation performance. The PJM Interconnection energy market is one of the largest centralized markets in the world. Recently PJM deployed a newly developed application called "Perfect Dispatch" designed to provide a baseline measure of grid operational performance using retroactive real time market simulation and analysis. In the first nine months of 2009 over 100 million in production cost saving have been attributed to its use. This paper provides an overview of the Perfect Dispatch implementation at PJM and discusses applications and benefits of the "Perfect Dispatch".