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EDS 3 R6.3 Pre-Testing Workshop Texas Nodal Load Frequency Control (LFC)

EDS 3 R6.3 Pre-Testing Workshop Texas Nodal Load Frequency Control (LFC) EDS 3 Release 6 LFC Workshop March 14, 2008. LFC – R6.3: LFC Pre-Testing Workshop Agenda. Agenda – Welcome & Admonition Meeting Objective Pre-Test Overview & Set-up ICCP Data Submittals EOC, Inc/Dec Offers and OS’s

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EDS 3 R6.3 Pre-Testing Workshop Texas Nodal Load Frequency Control (LFC)

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  1. EDS 3 R6.3 Pre-Testing Workshop Texas Nodal Load Frequency Control (LFC) EDS 3 Release 6 LFC WorkshopMarch 14, 2008

  2. LFC – R6.3: LFC Pre-Testing Workshop Agenda Agenda – Welcome & Admonition Meeting Objective Pre-Test Overview & Set-up ICCP Data Submittals EOC, Inc/Dec Offers and OS’s Settlements ERCOT Assessment and QSE Self Assessments Release 6.2 Schedule Release 6.3 Schedule http://nodal.ercot.com DRAFT 2

  3. Antitrust Admonition ANTITRUST ADMONITION ERCOT strictly prohibits Market Participants and their employees who are participating in ERCOT activities from using their participation in ERCOT activities as a forum for engaging in practices or communications that violate the antitrust laws. The ERCOT Board has approved guidelines for members of ERCOT Committees, Subcommittees and Working Groups to be reviewed and followed by each Market Participant attending ERCOT meetings. If you have not received a copy of these Guidelines, copies are available at the Client Relations desk. Please remember your ongoing obligation to comply with all applicable laws, including the antitrust laws.

  4. LFC – R6.3: LFC Workshop Objective Jointly develop a test approach that will provide the necessary validation of the Energy Dispatch Methodology prior to the three Total System Tests (LFC Release 6.3)

  5. LFC – R6.3: LFC Pre-Testing Workshop Pre-Test Overview & Set-up Ken McIntyre http://nodal.ercot.com DRAFT 5

  6. LFC – R6.3: Pre-Test Overview & Setup Why? • The Pre-test is a valuable step towards the planning of R6.3 • Results from the Pre-Test will gauge the Market’s readiness to perform R6.3 • Objective is to minimize the transition ‘bump’ from Zonal to Nodal operation during R6.3 • Opportunity for ERCOT to internally test the Settlement process for R6.3 (PRR 748)

  7. LFC – R6.3: Pre-Test Overview & Setup How? • Minimize the differences between Zonal and Nodal operating systems • Deconstruct Zonal real time data as input into the Nodal systems • Analyze Nodal performance • Compare Nodal results with Zonal operation

  8. LFC – R6.3: Pre-Test Overview & Setup Overview- • QSE’s provide EOC, Inc/Dec and OS reflective of their current Zonal Bid Offers and Schedules • QSE’s provide real time Nodal ICCP equal to Zonal operation • SCED calculates Base Points and LMPs • ERCOT review SCED’s performance in calculating Base Points and managing active constraints (including a comparison to Zonal actual) • ERCOT review R6.3 Settlements results from pre-test (including a comparison to the Zonal MCPE) • QSE’s perform own analysis (Resource specific) http://nodal.ercot.com DRAFT 8

  9. LFC – R6.3: Pre-Test Overview & Setup Setup – Activate constraints in Nodal (TCM) that are active in Zonal RTCAM (OC3) Manage Zonal Congestion using local constraints (OOM and VDI) Set maximum Shadow Price used in SCED to be same as Zonal Penalty factor for transmission constraints Set cutoff for shift factors used in EMS when passing data to SCED to be same as that in Zonal Attempt to schedule pre-test to avoid periods of Zonal OOME’s (OC2) and Zonal Congestion (OC1) http://nodal.ercot.com DRAFT 9

  10. LFC – R6.3: Pre-Test Overview & Setup Placeholder DatesDate Flat Load Ramp Pre-Test Test Week of April 28th Up Load Ramp Pre-Test Test Week of May 5th Down Load Ramp Pre-Test Test Week of May 12th http://nodal.ercot.com DRAFT 10

  11. LFC – R6.3: LFC Pre-Testing Workshop ICCP Data Submittals Ken McIntyre http://nodal.ercot.com DRAFT 11

  12. LFC – R6.3: Data Submittals Market Participant EMS Data Submittals – • Resources Net MW (ICCP) • HSL, LSL (ICCP) • HEL, LEL (ICCP) • Resource Status Code (ICCP) • Ancillary Service Schedules and Responsibilities (ICCP) • Resource Specific DSR Schedules and QSE DSR Load (ICCP) • Regulation Participation Factors (ICCP) • Combined Cycle Configurations (ICCP) • Ramp Rates (using RARF data) • Raise/Lower Block Status (ICCP) • ICCP data as called for in the Market Notice dated February 26, 2008 for LFC R6.2.

  13. LFC – R6.3: Data Submittals Regulation Responsibility Example – Zonal • QSE has units providing Regulation Up in Zonal • Zonal Regulation Up obligation equals 50MW for the hour Nodal (ICCP) • Each Unit that is providing Regulation Up should have a Regulation Up Responsibility (ICCP) reflecting its actual responsibility assigned by the QSE in Zonal. • The sum of the Regulation Up Responsibilities should equal the Zonal obligation, in this example that would be 50MW. • A Regulation Up Participation Factor for each Unit must be sent to ERCOT. Basically the PF should be equal to the Regulation Up MW Deployed to Unit / Regulation Up MW Deployed to QSE.

  14. LFC – R6.3: Data Submittals Other ICCP – • Resource Output MW should be equal to current Zonal • Resource Status Code must be correctly telemetered reflecting Zonal • HEL, HSL, LSL and LEL should be updated to equal current Zonal • Sum of QSE’s Responsive Reserve and Non-Spin Responsibilities should be equal to Zonal obligation • The sum of the Dynamic Scheduled Resources Schedules Nodal should equal the sum of Dynamic Scheduled Obligations Zonal • The sum of DSR schedules of all generation resources belonging to a given QSE should be equal to the DSR Load for that QSE • QSE’s Responsive Reserve and Non-Spin Schedules should be equal to the Responsibilities (not expecting to deploy the AS) • The current online combined cycle resources should match nodal combined cycle configurations

  15. LFC – R6.3: LFC Pre-Testing Workshop Energy Offer Curves, Inc/Dec Offers and Output Schedules Mark Patterson & Jeff Gilbertson http://nodal.ercot.com DRAFT 15

  16. LFC – R6.3: SCED/MMS Data Submittals Market Participant Data Submittals – • SCED Support (Nodal=Zonal) • Energy Offer Curves • Output Schedules • Inc/Dec Curves

  17. LFC – R6.3: SCED/MMS Data Submittals Market Participant Data Submittals – • SCED Support (Nodal=Zonal) • For Resources which provide no zonal Balancing Energy Services, provide an Output Schedule • The sum of your zonal resources not providing balancing energy needs to the equal the sum of your nodal output schedules • Zonal Balanced Energy Schedule on 15 min interval basis =Nodal Output Schedule on 5 min basis x 3 • Set telemetered Resource Status to “ONOS”

  18. Output Schedule Example – Assumes all resources are not providing balancing services Output Schedule Key Points– - COP HSL/LSL surrounds OS MW - Sum of OS MW = Zonal Balanced Schedule Generation LFC – R6.3: Output Schedules http://nodal.ercot.com DRAFT 18

  19. LFC – R6.3: Energy Offer Curves Market Participant Data Submittals – • SCED Support (Nodal=Zonal) • For Resources which provide zonal Balancing Energy Services,provide an Energy Offer Curve • Start with Base MW with $ near expected MCPE(should be between first $ of UBES and DBES curves) • Using same prices from UBES curve, build EOC to right of initial point. Assign MW value = Base MW value + percentage of UBES MW range that would be deployed by Resource • Similarly, build DBES curve to the left of initial point. • Sum of (Max EOC MW – Initial point MW) for Resources should equal Max UBES MW • Sum of (Initial point MW – Min EOC MW) for Resources should equal Max DBES MW • Set telemetered COP Resource Status to “ON”

  20. LFC – R6.3: Energy Offer Curves • Start with Base MW with $ near expected MCPE(should be between first $ of UBES and DBES curve)

  21. LFC – R6.3: Energy Offer Curves • Using same prices on UBES curve, build EOC to right of initial point. Assign MW value = Base MW value + percentage of UBES MW range that would be deployed by Resource • Example below shows 50% UBES to be carried on Resource X

  22. LFC – R6.3: Energy Offer Curves • Similarly, build DBES curve to the left of initial point. • Example below shows 50% DBES to be carried on Resource X

  23. LFC – R6.3: Energy Offer Curves • Sum of (Max EOC MW – Initial point MW) should equal Max UBES MW • (225-200) + (100-75) = 25 + 25 = 50

  24. LFC – R6.3: Energy Offer Curves • Sum of (Initial point MW – Min EOC MW) should equal Max DBES MW • (200-175) + (75-50) = 25 + 25 = 50

  25. LFC – R6.3: SCED/MMS Data Submittals Market Participant Data Submittals – • SCED Support (Nodal=Zonal) • For DSR providing zonal Balancing Energy Services, provide an Output Schedule and Inc/Dec curves • Output Schedule should follow share of DSR Load to be provided by that Resource • Inc Curve is share of UBES to be provided by that Resource • Dec Curve is share of DBES to be provided by that Resource • Set telemetered Resource Status to “ONDSR”

  26. LFC – R6.3: SCED/MMS Data Submittals Market Participant Data Submittals – SCED Support (Nodal=Zonal) DSR Example Share of DBES/UBES for this Resource is 20%

  27. LFC – R6.3: Pre-Test Workshop ERCOT Assessment & QSE Self Assessments Burton Kunz & Ken McIntyre http://nodal.ercot.com DRAFT 27

  28. LFC – R6.3: Assessments Assessment – ERCOT will analyze the Pre-test results to determine if adjustments are needed before scheduling the R6.3 Test, based on: SCED’s ability to provide reasonable dispatch instructions (including managing constraints) based on inputs provided by Market Participants A comparison of the Zonal System MCPE to the Nodal System Lambda The follow-up of issues identified with MP’s and recommended actions. Note: ERCOT will provide analysis assistance in the form of answers to questions. It is the responsibility of each market participant to analyze their own test results from the R6.3 Pre-test. http://nodal.ercot.com DRAFT 28

  29. LFC – R6.3: Assessments What ERCOT are looking for from SCED? For Resources: SCED is dispatching within HDL and LDL SCED is not constantly dispatching to HDL or LDL For Resources in an Active Constraint: SCED is dispatching correctly as per Generator Shift Factors SCED dispatching is comparable to Zonal dispatch http://nodal.ercot.com DRAFT 29

  30. LFC – R6.3: Assessments

  31. LFC – R6.3: Assessments Base Point equal to or above HDL. SCED Questionable

  32. LFC – R6.3: Assessments Base Point equal to or below LDL. SCED Questionable

  33. LFC – R6.3: Assessments Base Point within HDL and LDL. SCED Reasonable

  34. LFC – R6.3: Assessments What QSE’s may look at? SCED is dispatching within HDL and LDL (all limits) SCED is not constantly dispatching to HDL or LDL Compare SCED Base Point with LMP Compare SCED Base Point with the expected Ramp Rate capability Compare SCED Base Point to Zonal dispatch http://nodal.ercot.com DRAFT 34

  35. LFC – R6.3: LFC Pre-Testing Workshop Settlements Bill Barnes http://nodal.ercot.com DRAFT 35

  36. R6.3 Settlement – Review Approach for Live test Steps for R6.3 Settlement: • Transactions will be settled according to the Zonal Protocols using MCPEs calculated in the Zonal Market. See PRR 748. • All QSE VDI will be issued to define the “test period” • Test period starts when first QSE is brought under Nodal control and stops when last QSE is returned to Zonal Control • Settlements will not calculate URC during the “test period” • URC will not be calculated for hour before test period, during the test period, and the hour following the test period • All QSEs will receive an SCE exception during the test period • Settlements will replace Zonal Instructed Output levels for all units deployed in the Zonal Market for OOME and Local Balancing with integrated SCED base points

  37. Base Point Integration - Formula • Below is the formula that will be used to integrate SCED base points into 15 minute values used to settle OOME and Local Balancing AABP = ((BP y + BP y-1)/2* TLMP y) / (TLMP y) NOTE* The average regulation instruction will not be factored into the base point in order to ensure similarity between the SCED base point and the Zonal calculated instructed output level.

  38. OOME Settlement - Formulas • Below are the formulas that will used to settle OOME during Phase 3 of LFC Testing OOME Up Payment to Provider EOOMAMT = -1 * (MAX(RCGFCU - MCPER), 0) * MAX(0, MIN(GSITETOT-RP, OOMUEQ)) Where for Zonal: OOMUEQ = MAX(0, OOMEVDI or OOMIOL - RP) Where for LFC Testing: OOMUEQ = MAX(0, ¼*AABP - RP) OOME Down Payment to Provider EOOMDNAMT = -1 * [(Max (0, (MCPER - RCGFCD)) * MAX (0, (Min ((RP - GSITETOT), OOMDEQ))] Where for Zonal: OOMDEQ = Max (0, (RP - OOMEVDI or OOMIOL)) Where for LFC Testing: OOMDEQ = Max (0, (RP - ¼*AABP))

  39. Local Balancing Energy - Formulas • Below are the formulas that will used to settle Local Balancing during Phase 3 of LFC Testing Local Balancing Energy Up to Provider LBEUPAMT = -1 * [(MAX (OOMLEUPBP, MCPER)) - MCPER) * (MAX (0, MIN ((GSITETOT - RP), LBEUQ)))] Where for Zonal: LBEUQ = Max (0, (LEIOL - RP)) Where for LFC Testing: LBEUQ = Max (0, (¼*AABP - RP)) Local Balancing Energy Down to Provider LBEDNAMT = -1 * [Max(0, (MCPER - OOMLEDNBP)) * MAX (0, MIN ((RP - GSITETOT), LBEDQ))] Where for Zonal: LBEDQ = Max (0, (RP - LEIOL)) Where for LFC Testing: LBEDQ = Max (0, (RP - ¼*AABP))

  40. R6.3 Settlement – Goals of Pre-Test Key Exit Criteria: • System MCPE from Zonal should be comparable to Nodal System lambda. Goals of Pre-Test: • Allow Settlements staff to prepare tools for AABP manual calculation. • Allow Settlements staff to practice the process.

  41. LFC – R6.3: LFC Pre-Testing Workshop Next Steps Burton Kunz http://nodal.ercot.com DRAFT 41

  42. Next Steps • Continue efforts to improve quality of ICCP Data • Implement mechanism for AS ICCP data by 3/18 • Submit EOC and Inc/Dec Offers via spreadsheet to ERCOT by April 8th • ERCOT will compare like units for reasonableness • Work with Resource Entity to ensure you have the necessary RARF data Ensure your internal process to generate EOC is in place prior to the first 6.3 pre-test • This needs to be a repeatable process for the other 6.3 pre-tests and actual 6.3 tests • Develop the necessary processes/data archives to validate the 6.3 pre-tests

  43. LFC – R6.2: Total Test Count by Week

  44. LFC – R6.3: Pre-Test Overview & Setup LFC 6.3 Testing Schedule 2 Hour TestDate 2 Hour Test Filing June 9th 2 Hour Test Week of June 16th 2 Hour Test Analysis Completed by July 3rd 8 Hour Test 8 Hour Test Filing June 30th 8 Hour Test Week of July 7th 8 Hour Test Analysis Completed by July 25th 48 Hour Test 48 Hour Test Filing July 21st 48 Hour Test Week of July 28th 48 Hour Test Analysis Completed by August 15th http://nodal.ercot.com DRAFT 44

  45. QSE Scorecard Actions

  46. LFC – R6.3: Pre-Test Workshop Thank you. LFC@ercot.com http://nodal.ercot.com DRAFT 46

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