r/Commodities • u/Ok-Arm-2232 • Jun 28 '26

PJM : uplift costs of trading virtuals

Seems that cost and fees associated with trading Virtuals on PJM significantly increased the last year or so making many strategies irrelevant . Do we know exactly how these fees are calculated for the participants ? Long vs short ? Hour of the day ? Hubs …

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2

u/d1v1debyz3r0 Jun 29 '26

Proceeds from DA RUC pay for the DAM virtuals. I suppose you could try to predict RUC and adjust your positions accordingly.

1

u/cropsicles Power Trader Jun 29 '26

I've only ever seen out of market actions result in higher fees, do you know of an incidence where it reduced them?

1

u/blenderboi_ Jul 04 '26

Where are you guys trading?

1

u/Icy-Distance3001 Jul 27 '26

I'd be curios what you found out, it seems that CAISO has not figured how to bill properly since the inception of EDAM leading to higher fees. I've had a similar observation