Supplier Diversity

PJM recognizes the importance and benefits of a diverse supplier base. It is good for PJM, for our members, for the business community and for the 61 million people who live and work in the region PJM serves. Not only is supplier diversity the right thing to do, it makes good business sense.

PJM Procurement meets the company’s needs for goods and services through normal competitive bidding and procurement procedures. The process provides open competition that prevents any prospective vendor from having a competitive advantage. No prospective supplier is precluded from consideration on the basis of race, color, religion, sex, age, national origin, disability or veteran status.

PJM Procurement works to identify qualified minority and woman-owned business enterprises (M/WBEs) capable of providing products and services to PJM. This effort aims to develop and maintain a strong supplier base that reflects the diversity of the overall supplier community, as well as that of PJM’s members and other stakeholders.

Supplier Requirements

PJM expects all of its suppliers to be quality-focused, financially stable, cost-competitive, flexible, innovative, results-driven and expert on the goods and services they offer.

The term “M/WBE” means any for-profit enterprise, regardless of size, physically located in the United States or its trust territories that is 51 percent owned, controlled and managed by U.S. citizens from one or more of the following groups (in the case of publicly owned businesses, at least 51 percent of the stock must be owned and daily operations of the business controlled by one or more of these groups):

  • Minority Business Enterprise - a for-profit business that is at least 51 percent owned, operated and controlled by an African American, Hispanic American, Asian Pacific American, Native American, Asian Indian American or Southeast Asian.
  • Women-Owned Business Enterprise - a for-profit business that is at least 51 percent owned by a woman or women who also control and operate it. "Control" is defined as exercising the power to make policy decisions. "Operate" is defined as active involvement in day-to-day management.
  • Disabled Veterans Business Enterprise - a for-profit business that is at least 51 percent owned, operated and controlled by a qualified veteran or veterans honorably discharged by the U.S. Government with a disability rating between 0 percent and 100 percent. In the case of a publicly owned business, at least 51 percent of the stock is owned by one or more such individuals, who manage and control daily business operations.


PJM Procurement recognizes the accomplishment and status associated with attainment of official M/WBE certification. PJM expects all diverse suppliers to have obtained, or be in the process of obtaining, official M/WBE certification through these preferred certifying agencies: the National Minority Supplier Development Council or the Women's Business Enterprise National Council. PJM requires that current diverse suppliers provide a copy of their official M/WBE certification document upon request.

PJM Procurement also recognizes diverse suppliers who receive certification from an authorized government organization to be in good standing.