1 / 14

Load Response Program Manual 2003

Load Response Program Manual 2003. Henry Yoshimura – ISO-NE NEPOOL Markets Committee November 25, 2002. Objective and Outline of Presentation. Objective: MC Review and Approval of LRP Manual and MR 1, Appendix E Outline of Presentation History of demand response initiatives for SMD

teigra
Download Presentation

Load Response Program Manual 2003

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Load Response Program Manual2003 Henry Yoshimura – ISO-NE NEPOOL Markets Committee November 25, 2002

  2. Objective and Outline of Presentation • Objective: MC Review and Approval of LRP Manual and MR 1, Appendix E • Outline of Presentation • History of demand response initiatives for SMD • Proposed schedule going forward • Summary of demand response programs • Proposed program modifications • Past MC review and discussion • New England Demand Response Initiative recommendations • ISO internal review • Implementation schedule

  3. Where Have We Been? History Of Demand Response Initiative For SMD • NEPOOL Participants Committee Approval – June 21, 2002 • Joint NEPOOL/ISO-NE Filing with FERC – July 15, 2002 • LRP Manual Reviewed by MC – Aug. 13, 2002 • NEDRI/FERC Demand Response Conference – Sept. 19-20, 2002 • FERC Order on SMD – Sept. 20, 2002 • Joint NEPOOL/ISO-NE Compliance Filing – Oct. 22, 2002 • NEDRI Consultant Recommendations – Nov. 19, 2002 • Revised LRP Manual Reviewed by MC – Nov. 25, 2002

  4. Where Are We Going? Proposed Schedule • MC Review & Approval of LRP Manual – Nov. 25, 2002 • Programs for implementation on March 1, 2003 • Additional programs implemented when software is completed • MC Review & Approval of MR 1 Appendix E – Nov. 25, 2002 • NPC Review & Approval – Dec. 6, 2002 • LRP Manual • MR 1 Appendix E • FERC Filing – Mid-December 2002 • FERC Acceptance – Mid-February 2003 • Go Live – March 1, 2003 • First Update – To be announced

  5. Summary of Programs for 2003 • Real-Time 30-Minute Notice Demand Response • Real-Time 2-Hour Notice Demand Response • Real-Time Profiled Response • Real-Time Price Response • Day-Ahead Demand Response

  6. Recent LRP Manual Modifications • Incorporate Demand Response Provider per FERC Order • Modifications in the Manual resulting from: • MC’s review of the Manual in August • NEDRI recommendations • Internal ISO review • Two Implementation Dates • Programs implemented on March 1, 2003 (SMD Effective date) • Programs implemented with 1st upgrade release of LRP software • Changes too Extensive for Redlining

  7. Changes Resulting from MC Review • Allocate LRP Interruption Payments from Load Obligation to Network Load • Energy payment is a non-market cost reflecting a public policy decision to support an infant industry facing market barriers • Separate 30-minute notice Demand Response into two groups • Demand response not involving emergency/backup generation (activated as part of Action 9 in NOP #4) • Demand response involving emergency/backup generation (activated as part of Action 12 in NOP #4) • Increase ICAP Credit for reserve component • Not available for March 1, 2003 – available with 1st update release • Relocate discussion of ICAP for Demand Response from Manual 20 to the LRP manual

  8. NEDRI • New England Demand Response Initiative – (NEDRI) • Represents a cooperative effort among New England electric industry stakeholders to promote effective demand response strategies • Sponsors include: ISO-NE, US DOE, US EPA, NYISO, NECPUC, and NESCAUM (air quality directors of six New England states and New Jersey • Goals • Develop a coordinated set of policy reforms • Identify regulatory barriers to vibrant demand response programs • Develop market and regulatory strategies for a robust demand response capability in New England • Develop a set of demand response principles and outline recommended program designs in a coordinated and integrated fashion

  9. NEDRI Recommendations • Increase program duration to 3 years • Infant industry • Customers have a 3-year time horizon to justify investments • Day-ahead program will be in place for only about 2 years • Reduce ISO charge for DRP from $5,000 to $500 per year • Increase minimum payments for interruptions • Real-Time 30-Minute Notice from $150/MWh to $500/MWh • Real-Time 2-Hour Notice from $100/MWh to $350/MWh • Provide Reserve Component Credit for ICAP • Other Long-Term proposals • No limit on bid increments (in Day-ahead program) • Location-based ICAP • Annual program evaluation • Load response working group

  10. Other Issues Discussed in NEDRI • Development of an economic, price-driven day-ahead demand response program • Adoption of state retail policies to support ISO programs • Cost allocation and recovery of DR program incentives • Environmental concerns • Potential proliferation of on-site generation, particularly in day-ahead programs

  11. ISO Internal Review Changes • Defined programs to be available March 1, 2003 • Defined programs to become available in 1st upgrade of LRP software • Incorporated all ICAP provisions from Manual 20 into the LRP Manual • Clarified metering and data submission requirements • Clarified requirements for participation in programs • Clarified responsibilities of each party • Revised LRP event messages

  12. Features Available on March 1, 2003 • Real-Time 30-Minute Notice Demand Response • Activated NOP #4 Action 9 (without emergency generation) • Activated NOP #4 Action 12 (with emergency generation) • Real-Time 2-Hour Notice Demand Response • Real-Time Profiled Response • Real-Time Price Response • ICAP credit based on declared/proven response level • DRP participation in ICAP Supply Auction

  13. Features Incorporated in 1st Update • Allocate program incentives to Network Load • ICAP credit for the Reserve Component • Recognize temporarily unavailable customers • Customer baseline adjustment for consecutive event days • Day-Ahead Demand Response Program

  14. Review of LRP Manual and Appendix E

More Related