NOTICE DATE: August 20,
2009
NOTICE TYPE:
M-B082009-01 Operations
SHORT DESCRIPTION:
Real-Time Market Clearing related to Out Of Merit Energy (OOME) Reliability
Tool Project
INTENDED AUDIENCE: QSEs
with Generation Resources
DAY AFFECTED: September
3, 2009
LONG DESCRIPTION:
Currently, when a unit is issued Category 2 or Category 3 Out-of-Merit
Balancing Energy instruction (OOME), the Low Sustainable Limit (LSL) and High
Sustainable Limit (HSL) are set to the Instructed Output Level (IOL)
respectively. This will change when ERCOT implements enhancements to the OOME
Reliability Tool on September 3, 2009.
When
implemented, remaining capacity down on a unit with an OOME Down (CAT 2)
instruction would be available for additional portfolio Down Balancing Energy
award for that interval. The same unit will not be considered in determining
portfolio Up Balancing Energy Service awards. HSL would be set to IOL and the
LSL would be left as is, thus showing available Down Balancing on the unit.
Likewise,
remaining capacity up on a unit with an OOME Up (CAT 3) instruction would be
available for additional portfolio Up Balancing Energy award. The same unit
will not be considered in determining portfolio Down Balancing Energy Service
awards for that interval. LSL would be set to IOL and the HSL would be left as
is, thus showing available Up Balancing on the unit.
An
example of how this would work is as follows:
Keep
in mind that the methodology proposed below is the way it is currently done for
Market Management System (MMS) generated local balancing deployments (LBES).
This enhancement to the OOME Reliability Tool will provide the operator the
means to issue global OOME instructions; for example, issuing OOME instructions
to 15 units with 1000 MW of balancing available. Currently if ERCOT instructs
OOME to all these units by 300 MW, the remaining 700 MW of balancing is locked
out for further consideration of portfolio Balancing Energy awards. This
enhancement will keep that 700 MW of balancing in play.
For
example, a QSE with a single unit portfolio has the Resource running at 25 MW
with an HSL of 100 MW.
The
remaining 75 MWs are bid into the balancing market with the following price
curve:
0
MW at $10
25
MW at $20
50
MW at $30
75 MW at $40
The
unit receives a Category 3 OOME instruction to be at or above 50 MW.
With
this CAT 3 instruction, 50 MW of up balancing is available from this unit. The
system will consider the first 50 MW on your price curve as opposed to the last
50 MW on your price curve. This
means that if ERCOT needed all of your available Balancing Energy, then 50 MW
would be cleared at $30.
In
other words, the top 25 MW of your price curve is unavailable due to the OOME
deployment.
This
will work the same way for down balancing.
ADDITIONAL INFORMATION: The
enhancement to the OOME Reliability Tool will be implemented on September 3,
2009.
CONTACT: If you have
any questions, please contact your ERCOT Account Manager. You may also call the
general ERCOT Client Services phone number at (512) 248-3900 or contact ERCOT
Client Services via e-mail at [log in to unmask].
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dh