Potomac Economics is the leading provider of market monitoring services for RTOs that operate wholesale electricity markets in the United States.

Potomac Economics serves as the Independent Market Monitor for the Midcontinent ISO, New York ISO, ISO New England, and ERCOT (Texas).

In this capacity, Potomac Economics is responsible for evaluating the performance of the markets and identifying attempts to exercise market power.  Potomac Economics’ market monitoring expertise and capabilities include:

• A detailed and thorough understanding of nodal electricity markets and the associated market software systems used to operate the markets.
• In-depth knowledge of RTO reliability requirements and the operating procedures invoked to satisfy these requirements.
• Insight regarding the market design, trends, and operation of a broad array of RTOs that we monitor.
• Potomac Economics’ proprietary market monitoring system, which includes software to:
  • Receive, store, screen and analyze market data;
  • Develop screens, indices, and economic models to assess potential withholding strategies; and
  • Produce automated market monitoring reports on market outcomes and market behavior;
• The development of production-grade software for the RTOs to use to implement real-time market power mitigation measures.