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LOAD RESPONSE PROGRAM

LOAD RESPONSE PROGRAM. Robert B. Burke Presented to: Markets Committee January 23-24, 2001. OP & MRP CHANGES. Operating Procedure 4 Operating Procedure 14 Market Rules & Procedures 5 Market Rules & Procedures 9 Market Rules & Procedures 14 Appendix H Market Rules & Procedures 20.

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LOAD RESPONSE PROGRAM

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  1. LOAD RESPONSE PROGRAM Robert B. Burke Presented to: Markets Committee January 23-24, 2001

  2. OP & MRP CHANGES • Operating Procedure 4 • Operating Procedure 14 • Market Rules & Procedures 5 • Market Rules & Procedures 9 • Market Rules & Procedures 14 Appendix H • Market Rules & Procedures 20

  3. TIMELINE • Interruptions Available for June 1 • Commence Signing Up Participants May 1 • Receive FERC Approval May 1 • File at FERC by March 1 • NPC Approval Prior to February 15 • MRP and OP Changes Recommended to NPC by January 31

  4. WHAT KIND OF LOAD RESPONSE • Price Responsive Interruptible Load - Curtail Consumption Based Upon ECP • Click and Respond to ISO Request for Interruption within < 30 minutes • Meet Second Contingency Loss • OP 4 After Voltage Reduction & Prior to Shedding Firm Load

  5. BASIS FOR PAYMENTS • Performance Based - (Actual Interruption) • Reserve Payment at TMOR Clearing Price • Capable & Willing to Respond to ISO Order to Interrupt < 30 Minutes • Interruption Paid at ECP

  6. NEW TYPE 6 INTERRUPTIBLE LOAD • Uses Internet Based Communication • Telemetering Not Required • Grouped in Settlement by Participant and Area • Receives ECP For Interrupted Energy • CLASS 1 - ISO Controlled For 2nd Contingency Coverage • CLASS 2 - Purely Price Responsive Interruptible Load

  7. TYPE 6 INTERRUPTIBLE LOAD - CLASS 1 • Willing And Capable Of Interruption Within 30 Minutes • Interrupted For Second Contingency Coverage • Receives ICAP Credit

  8. TYPE 6 - CLASS 1 (Cont.) • Interruption Could Last Up To 2 Hours (2nd Contingency Coverage) • Interrupted In OP-4 After Voltage Reduction & Before Firm Load • Receives TMOR Clearing Price When Available To Provide Reserves

  9. TYPE 6 INTERRUPTIBLE LOAD - CLASS 2 • Willing To Curtail Load Based Upon ECP • Response Is Purely Voluntary

  10. VERIFICATION / AUDITING • Type 6 - Class 1 • Compare actual interruption with contract amount • ICAP Credit = Response • If response of 0 would forfeit TMOR payments back to beginning of month • Type 6 - Class 2 • None

  11. ELIGIBILITY • No Unit Presently Modeled In The EMS • Type 4 Dispatchable Loads (only 2 in system) • Must Have Interval Metering • Must Use ISO Certified Internet Based Communication Supplier

  12. ELIBIGIBILITY (Cont.) • For Class 1 - Must Be Capable of Interruption Within 30 Minutes of Request • Can Be Generation Brought On-Line or Load Reduction • Eligibility Very Similar To Summer 2000 Load Response Program • Any Customer in New England Capable of at Least 100 Kw/hour Interruption

  13. Asset # 1706 Asset # 1705 Interrupt Load C Interrupt Load B Asset Id # 1701 Standard Offer Load Proposed Changes - Step 1 Before Interruption: Hour 1400 ECP = $80 Load for Asset 1701 1000 Mwh Part. B signs upLoad for interruption 100 Mw @ ECP > $75 Part. C signs upLoad for interruption 100 Mw@ ECP > $100 +100 Mwh -900 Mwh 50 % 20% +0 Mwh 30 % Participant A Participant C Participant B -180 Mwh -450 Mwh -270 Mwh

  14. Asset # 1706 Asset # 1705 Interrupt Load C Interrupt Load B Asset Id # 1701 Standard Offer Load Proposed Changes - Step 2 Before Interruption: Hour 1400 ECP = $80 Load for Asset 1701 1000 Mwh Part. B signs upLoad for interruption 100 Mw @ ECP > $75 Part. C signs upLoad for interruption 100 Mw@ ECP > $100 1705& 1706 +100 Mwh -100 Mwh -900 Mwh +0 Mwh 50 % 20% 30 % Participant A Participant C Participant B -300 Mwh (1701) +100 Mwh (1705) -200 Mwh -500 Mwh Participant B -200 Mwh -300 Mwh Meter Reader involvement in data incorporation of 1705 & 1706

  15. SETTLEMENT TREATMENT • Meter Readers Would Provide Information on Load Asset Association • Interrupted Load Would Act As an Energy Resource • ISO Would Read Interrupt Data For Settlement • Interrupted Load Calculated By Internet Based Software

  16. Retx Load Management Dispatcher Price Usage Dispatch Reconcile Enabler Prices Usage Dispatch Usage Dispatch

  17. Market Price Agent • Retx develops price interface to market price source(s)for monitoring by the Load Serving Entity and System Operator Prices are updated based on the market

  18. Retx LMD Threshold and Reconciliation Calculations Threshold prices defined and monitored by the LSE Based upon contract with customer Settlements completed daily by Retx based upon price,contract and amount curtailed

  19. Retx LMD Data Gathering Usage information is gathered from the facility and hosted on the LMD site for monitoring by the facility, the LSE and the System Operator

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