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Solar Resource Participation in Monthly Reconfiguration Auctions: Evaluation and Eligibility

We are a demand response provider primarily focused on solar and energy storage devices. Currently, solar resources are unable to participate in the April and May monthly reconfiguration auctions due to the definition of winter capability. We are requesting an evaluation of assumptions to support solar resource participation and determine eligible MWs.

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Solar Resource Participation in Monthly Reconfiguration Auctions: Evaluation and Eligibility

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  1. Who we are? Located in Hingham MA Demand Response Provider Distributed Generation Primarily Solar and Energy Storage Devices Operating in both ISO-NE and PJM wholesale markets

  2. Issue Statement Solar Resources are currently prevented from participating in the April and May Monthly Reconfiguration Auctions based on the current definition of winter period claimed capability even though they can generate significant energy during these months.

  3. Background Currently Solar Resources that clear in the Forward Capacity Auction are only awarded a Capacity Obligation for the 4 summer months (June – September). The eligible MWs for a Solar Resource participating in a winter period monthly reconfiguration auction is set at the lower of the winter or summer claimed capability at the time of the 3rd ARA. The winter claimed capability for a Solar Resource is calculated using the median value of all the MW Hours generated during the peak hours (5-7PM weekdays) over the 8 month winter period. As a result, the winter claimed capability for Solar Resources is virtually set to zero for the entire winter period.

  4. Other reliability benefits associated with Solar Resources having capacity obligations during April & May: Allow traditional generators to swap out their CSO to take extended maintenance outages in preparation for the upcoming summer period. Additional resources committed to being online to cover unexpected early heat waves. Spring can be a volatile time of the year with maintenance outages both generation and transmission and wide swings in weather conditions.

  5. Other reliability benefits associated with Solar Resources having capacity obligations during April & May: Allow traditional generators to swap out their CSO to take extended maintenance outages in preparation for the upcoming summer period Additional resources committed to being online to cover unexpected early heat waves. Spring can be a volatile time of the year with maintenance outages both generation and transmission and wide swings in weather conditions.

  6. Summary: Markets Committee Charge – Approve the referral to the VRWG requesting the evaluation of assumptions to support solar Intermittent Power Resource’s ability to participate in the April and May monthly reconfiguration auctions and how the eligible MWs should be determined.

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