Question-and-Answer Session
Operator
Thank you. The question-and-answer session will be conducted electronically. (Operator Instructions). We'll go first to John Quealy with Canaccord Adams.
John Quealy - Canaccord Adams
Good afternoon, folks. A couple of questions on the margin mix, if you could, in the quarter. You talked about three sources of revenue, capacity, energy, and ancillary services. Can you give us a characterization of where the margin uplift was in what would be a seasonally weak quarter, especially given the power markets? And perhaps also if you can give us an indication of geographic strength.
Tim Healy
Sure, John. Thanks. This is Tim. First and foremost, it's a combination of factors that are driving our margin expansion. And as we've mentioned in the past, what we're trying to do is enable high-value megawatts, bring those megawatts into the market with multiple revenue streams and combine that with adding additional value to our customers through some of the energy management solutions activities.
What we're seeing is that we are commanding a higher percentage revenue split as we continue to differentiate ourselves in the market. Part of that is due to the fact that when we go in and bring our expertise as well as our technology to bear in any sort of competitive situations, we find ourselves unlocking more megawatts for our customers and competing on overall value rather than on other metrics for our customers, such that the overall revenue split that we can achieve in those commercial and industrial relationships tends to favor a higher gross margin and continued expansion of our gross margins.
You combine that with some of the value-added activities in our energy management solutions business that continues to grow that has higher gross margin activities, and then you also combine that with some of the operational efficiencies because a portion of our gross margin activity is actually -- has to do with the enablement activity, cost of communication, etcetera. All of those things combined are what are driving our gross margin increases.
John Quealy - Canaccord Adams
And just in terms of geography, Tim, obviously you're New England centric in many ways right now. But most of the up-selling New England-based or are you getting some traction aside from the acquisition in the PJM side?
Tim Healy
Well, as you mentioned, we've added 390 megawatts in the PJM market. We continue to diversify. Diversification has been a key goal for us this year, and I think we're very pleased to see new markets open up in Texas and Ontario. We continue to expand and we're executing on our contracts in places like New Mexico and Florida. So we're seeing growth in New England, we're seeing continued growth in the regions that we're operating, and the activity that is happening in PJM gives us an awful lot of confidence that our solutions are applicable not just in New England where, as many people know we got our start several years ago with a very small contract, but is actually something that we're seeing across the country and now across North America.
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