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Quick Start Task Force Meeting. October 02, 2009 Austin, Texas. Summary. Background Framework Market Reliability Ancillary Services Definitions & Other. Background. Wind Generation Resources Over 8,000 today; 15,000 estimated by 2015 Inherently variable and incompletely predictable
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Quick Start Task Force Meeting October 02, 2009 Austin, Texas
Summary • Background • Framework • Market • Reliability • Ancillary Services • Definitions & Other
Background • Wind Generation Resources • Over 8,000 today; 15,000 estimated by 2015 • Inherently variable and incompletely predictable • Will introduce operational challenges • Existing thermal Generation Resources can synchronize and be fully loaded • ~900 MW 10 minutes • ~1,000 MW 10-15 minutes • ~3,700 MW 15-30 minutes
Framework Definitions & Other Ancillary Services
Market • SCED • Cannot commit Off-line Generation Resources • Some Generation Resources can synchronize within SCED timeframe • Therefore, market solutions ignored, causing potentially artificially higher energy prices • Market Participants may self-commit • Exposed to price risk • Not economically optimal
Market – Efficiency Improvements • 2008 State of the Market Report “…Under the nodal market design, the introduction of a day-ahead energy market with centralized Security Constrained Unit Commitment (“SCUC”) that is financially binding promises substantial efficiency improvements in the commitment of generating resources.” • Systematic reliance on non-centralized unit commitment decisions for over 5,000 MW would impair the promised substantial efficiency improvements.
Reliability – Normal • Day-Ahead Reliability Unit Commitment • Received by 1600 in Day-Ahead • Hour Reliability Unit Commitment • Received throughout the Adjustment Period • May be received intra-Operating Period • 1 hour before Real-Time • Clawback is 50% (DAM) or 100% (no DAM)
Reliability – Emergency • Emergency Condition • Occurs when SCED fails • LMPs held for most recently solved interval • Emergency Mechanisms • Verbal Dispatch Instruction unit commitment • VDI settled as HRUC [6.5.9.4.1] • No clawback during EEA (DAM) [5.7.2(3)]
Reliability – Observations • RUC • Normal does not utilize flexibility and has clawback • Emergency may utilize flexibility and has no clawback • Clawback • If RTSPP > Energy Offer Curve, Quick Start Units could have provided market solution without RUC Dispatch Instruction • Similar to Zonal OOME unit commitment
Ancillary Services • NSRS • 30-minute timeline • Dispatch Instructions to 100% of capacity • Observation • No Nodal comparable mechanism to Zonal Balancing Energy Capable Non-Spinning Reserve Service (BESCNSRS)
10MNSRS • Avoids cost related to sub-optimal operation of On-line reserved capacity • Provides intermediate mechanism to ensure reliability between RRS and NSRS • Recommended in GE Wind Report • Exists in PJM, Caiso, MISO, ISO-NE and NYISO • Would encourage investment in innovative technology
Definitions • Observations • Terms “commit” and “reserve” intermixed • Some RUC definitions inconsistent, unclear or recursive • Undefined terms • Quick Start Unit • COP status of Quick Start Units
Nodal QS Strategy Now Q3 2009 QSTF & Other Forums NPRR NOGRR Phase 1: Issue Definition Phase 2: Comparables Phase 3: Solution No System Change NPRR/NOGRR Go-Live Q1 2011 Other Changes Comprehensive Solutions NPRR/NOGRR Version 2.0