What does the term "dispatching" refer to in the context of PJM?

In the context of PJM, "dispatching" refers specifically to the process of directing generation resources based on demand. This involves determining how much electricity needs to be generated at any given moment to meet the consumption needs of all users while maintaining system reliability. Dispatching takes into account various factors such as real-time load forecasts, energy prices, and system constraints to efficiently allocate resources like power plants.

The importance of dispatching cannot be overstated, as it is essential for ensuring that electricity supply exactly matches demand, thereby preventing shortages or over-generation which could destabilize the electrical grid. Dispatchers use sophisticated software and communication technologies to coordinate and control generation resources in real time, ensuring a balanced and efficient operation of the power system.