Transcript Document

WECC
Market Interface Committee
Update
WSPP Spring 2008 Meeting
April 8, 2008
Robert D. Schwermann
MIC Chair
TOPICS
• What has changed
• What is planned
• What is the future
Impact to WSPP Membership
What has changed since last year?
– Sanctions for violating Reliability Standards
– You must comply with Reliability Standards
if you are a “Registered Entity”
• Includes Purchase-Selling Entity, Generator
Owner, Generator Operator, Load Serving Entity,
and many more!
Why Do you Care
• Violating NERC reliability
standards will cost you money
• Violating NAESB - FERC
approved Business Practices
will result in FERC punishment
The Hysteria With Standards
Impact to WSPP Membership
WECC Market Interface Committee and its
Subcommittees are YOUR opportunity to help
shape the standards, criteria, policies and
guidelines of the future including revisions to
existing requirements. Membership in WECC is
not required to fully participate in many of these
activities.
The Compliance Bears Will Eat You
Market Interface Committee
Market Issues Subcommittee
Seams Issues Subcommittee
Market Issues Subcommittee
2008 MIS Goals
 Support the WECC ATC standard drafting team
 Evaluate effects of prescheduling timelines
 Increase and strengthen the communication of NAESB
activities
 Monitor and evaluate market implications of a possible
Frequency Responsive Reserve standard.
 Support developing a WECC-wide merchant reliability
communications methodology.
 Support the MIC objective of providing the interface
between the merchant and reliability communities.
Seams Issues Subcommittee
2008 SIS Goals
 Congestion Management – Unscheduled Flow
Standard and Procedures
– Transmission Product is not part of the curtailment
priority (no difference Firm vs. Non-Firm)
– Disparity between pre-existing and new schedules
– Plan only applies to 7 of about 70 Rated Paths
– System model for webSAS is “static” – the WestWide System Model could enable “dynamic”
Activities and Issues








Operating Reserves Standard for WECC
Day-Ahead Trading Timelines Guideline
Merchant Communications – Emergencies
Prescheduling Evaluation Task Force
Energy Product Codes for e-Tags in the WECC
Congestion Management
FERC Monitor – Facilitator
NAESB Monitor and Communicate
BAL-002-WECC-1 Standard
 Changes to the current Contingency/Operating
Reserves Regional Standard
– Removes routine transactions from altering the
reserve requirement
– Replaces 5%-7% of Load Responsibility sections
with 3% of load plus 3% of generation (or the
MSSC whichever is greater).
– Allow for transactions specifically identified as
reserve transactions.
– Removes the requirement to restore reserves
within 60 minutes of activation.
BAL-002-WECC-1 Standard
 MIC approved in March 2008
 Operating Committee approved in March 2008
 Next Steps
-- Approval at WECC Board of Directors
-- Approval at NERC and then FERC
Day-Ahead Trading Timelines Guideline
MIC Adopted at meeting in March 2008
 A Guideline is VOLUNTARY
 The Guideline states, “The trading of day-
ahead energy transactions in the Western
Interconnection should begin no earlier
than 6:00 a.m. Pacific Time.”
Day-Ahead Trading Timelines Guideline
What was behind this:
 Attempt to re-establish informal agreement in place
years ago
 West Coast traders and analysts either come in at
unreasonable time or miss out on much of the
market liquidity
 Industry survey and outreach revealed significant
support
 Success depends on voluntary participation
 TO DATE THIS HAS BEEN A FAILURE
Day-Ahead Trading Timelines Guideline
TO DATE THIS HAS BEEN A FAILURE
Next Steps:
 Will discuss at the next Market Issues
Subcommittee meeting April 29 & 30
 Possible submittal for a NAESB regional
Standard
Merchant Communication Drafting Team
 Provide a mechanism for merchants to broadly
communicate when they are in need of resources to
avoid an Energy Emergency
 Leverage work of the NWPP MC Task Force
– Sent out Surveys
– Goal is for a process identified for the Summer
2008 season
Merchant Communication Drafting Team
Team analyzing survey responses
Discussing whether this should be a WECC
Regional Criteria or a Guideline
Goal is to have a process for use by 2008
Summer season
Questions
– contact Steve Kerns
– [email protected]
Prescheduling Evaluation Task Force
Findings May Affect the Way Energy is
Scheduled in the WECC
• A comprehensive and objective evaluation of the
potential effects of prescheduling business practices
on reliability and markets in the Western
Interconnection.
• PETF expects to issue a report of findings for
review of the MIC in June 2008
Energy Product Codes
• Approved Business Practice – WECC Energy
Product Codes
• Energy Codes – intent to create enough
categories to identify scheduling attributes
• Adopted by the NERC IS and are now in the
Registry
Cal ISO MRTU Seams Evaluation
 Seams Issues Subcommittee
The Seams Issues Subcommittee (SIS) finds no
specific seams issues that are created by MRTU or
existing seams issues that are substantially
worsened by MRTU implementation. Seams issues
exist today, particularly between organized
markets such as the CISO and bilateral physical
markets that dominate the Western
Interconnection. The SIS will continue to
monitor, evaluate and propose solutions to all
regional seams issues.
What’s up at the MIC and
Why you Care
• Changes in the way reserves are calculated
and held may affect your bottom line
• Changes in the way that energy product codes
are used affect your scheduling practices and
enables markets
• Trading timelines will affect when your
people go to work
• Mitigating seams issues makes for more
effective trading opportunities and scheduling
practices
Join Us!!
 The more people involved the more
we can do – we need your help!
There are issues we need to address,
but don’t have the manpower
Questions?
BLANK
blank