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Appendix H – Operations During Cold Weather Conditions

Appendix H – Operations During Cold Weather Conditions. Robert B. Burke Principal Analyst – Market Development May 11, 2010. Agenda. Background Philosophy Overview of changes Schedule. Background.

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Appendix H – Operations During Cold Weather Conditions

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  1. Appendix H – Operations During Cold Weather Conditions Robert B. Burke Principal Analyst – Market Development May 11, 2010

  2. Agenda • Background • Philosophy • Overview of changes • Schedule

  3. Background • Appendix H describes changes to standard Market Operations when Cold Weather Conditions are forecast • Conceptually Appendix H is to help better align the timing of the Day Ahead market with the natural gas market • Implemented when extreme cold weather occurs • Resulting natural gas supplies could be tight • Allow gas fired generation to obtain gas nominations for next day • OP 5 has been updated for FCM and approved by PC • OP 5 – “Generator and Dispatchable Asset Related Demand Maintenance and Outage Scheduling” • Need to conform Appendix H to FCM

  4. Philosophy • Want Appendix H to conform with FCM • Should be consistent with changes made to conform OP 5 • Appendix H changes should only be FCM related • Eliminated economic outages and associated generation outage scheduling details • Appendix H should include: • When is Appendix H applicable • How market is notified of cold weather events • What changes to normal market schedules occur • Extraordinary Fuel Expense

  5. Overview of Changes • Appendix H requirements for Extraordinary Fuel Expense • Filings with the Commission • Supersedes Section III.13.6.1.1.3, Inability to Recover Full Operational Cost Due to Extraordinary Fuel Prices • Would apply during Cold Weather Event • Eliminate generation economic outages and associated generation outage scheduling material • Eliminate exact ISO website references and language for notices • Update terminology for FCM

  6. Schedule • Markets Committee • Initial Presentation: May 11 • Review language: June • MC vote: July • August: PC vote • September: FERC Filing • Requested effective date: December 1, 2010

  7. Questions

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