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Energy prices in PJM in 2013 were set, on average, by units operating at, or close to, their short run marginal costs.
However, the following strengths mitigate the risks and support the triple-'B'-plus rating: -- Some of the lowest cost generating assets in the New England region (from a short run marginal cost perspective); -- Favorable market fundamentals in New England Power Pool (NEPOOL), characterized by high-cost native generation and relative insulation in terms of transmission; -- The fleet of assets represents an attractive portfolio that is well diversified by geography, fuel, and technology; -- Minimal technology risk.