Proposed Revision Request Detail Help
PRR Life Cycle*********Closed
PRR Details
PRR #
1185
Title Update settlement charge codes for real time market neutrality settlement initiative
Date Submitted 8/22/2019 3:46 PM
PRR Category B
Priority Normal
Owner Corona, Brenda (CAISO)
Status Closed
Status End Date 11/12/2019 11:59 PM
Related BPM Settlements and Billing
BPM Section CC 6477 RT Imbalance Energy Offset 5.10
CC 64770 RT Imbalance Energy Offset EIM 5.2
CG PC Real Time Energy Quantity 5.19
CG PC Real Time Energy Quantity 5.20
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Existing Language
 
See BPMs attached to this PRR
Proposed Language
 
See BPMs attached to this PRR
Reason For Revision
 

The Settlement configuration changes are needed to support the RTM Neutrality Settlement initiative. The objective of the initiative is to:

a)    Eliminate EIM transfer adjustment from RT Imbalance Energy Offset,

b)    Add GHG Financial credit for the portion of EIM transfers that do not correspond to a GHG compliance obligation, and

c)    Use 5-minute ATF tag of EIM transfers in settlement

 

The ISO anticipates implementation of the BPM changes on or about October 30, 2019, with a retroactive effective date 8/1/2019.
Click here to view the Recommendation Details for this PRR
BPM PRR Submitter

Corona, Brenda (CAISO)
Modified BPM language proposed by the PBM Chnage Management Coordinator

The ISO proposes no modified BPM language beyond that proposed in the BPM PRR.
Identification of the authorship of comments

Comments were received from Judy Tsai, Arizona Public Service.
Action

Approve the BPM PRR as modified.

Per posted Announcements from 9/9/18 and 9/23/19: 

(1) Update BPM- CG PC Real Time Energy Quantity v 5.19: Updated equation to properly account for frequency conversion.

(2) Updated BPM- CG 64770 RT Imbalance Energy Offset EIM v 5.2 for the formulas may not have leftover imbalances that are carried over to system RTIEO.
Statement of apparent requirements of the BPM PRR

This BPM PRR contains basic language changes.
Priority and rank for any BPM PRR requiring a CAISO system change

There are system changes associated with this PRR. The system changes are planned for implementation on 10/30/2019 on a normal basis.
Proposed effective date(s) of the BPM PRR

The ISO proposes an effective date of 8/1/2019 for the BPM revisions.
Other recommended actions

The ISO does not recommend any other actions on this BPM PRR.
Click here to view the Final Decision for this PRR
Final Decision

The ISO will adopt the BPM change as proposed in the recommendation plus the additional content revisions proposed during the comment on recommendation period.
Stakeholder Comment

10/14/19 comments submitted by Idaho Power; 10/16/19 CAISO responded.

Effective Date

8/1/2019
Action

Adopt the recommendation as originally issued

None
Announcements
Updated CG 64770 RT Imbalance Energy Offset EIM v 5.2 per comment received this week, the output section for item 16, “BAA15MFMMGHGPrice” has been updated.
Posted On - 10/16/2019 11:34 AM
Updated CG 64770 RT Imbalance Energy Offset EIM v 5.2 for the formulas may not have leftover imbalances that are carried over to system RTIEO.
Posted On - 9/23/2019 11:43 AM
Update CG PC Real Time Energy Quantity v 5.19: Updated equation to properly account for frequency conversion
Posted On - 9/9/2019 4:26 PM
Impact Analysis
Impact Analysis Form RTM Neutrality.doc    
Notes:
Initial Comments
Per follow-up from BPM monthly meeting on 9/24: APS currently submits CAISO’s 5-minute dispatch quantity instead of the ATF tag quantity, these will be accepted and considered to be deemed delivered values.
9/25/2019 2:16 PM
Logged By - Corona, Brenda (CAISO)
APS_Comments-PRR_1185.pdf    
BPM: Real time Energy Quantity Pre-calculation Version 5.202
3.1 Business Rules
Bus Req ID 9.2:
“EIM BAA responsible for Settlement of the after-the-fact (ATF) Interchange Schedules of EIM Transfers between EIM BAA and EIM BAA shall submit the ATF Interchange Schedules as five minute dynamic schedules”
Based on our understanding from the CAISO Draft Final Proposal3, CAISO has chosen option 3 and communicated to stakeholders that current tagging requirements remain in effect for Market Participants. CAISO will shape the submitted EIM transfer system resource (ETSR) ATF values to reflect RTD ETSR Dispatches. Currently, APS submits CAISO’s 5-minute dispatch quantity, not the ATF tag quantity for Transfer value calculation. In order for us to follow the updated business rules, APS would need to shape the ATF hourly tag value based on the 5-minute Market Dispatch before submitting the data to CAISO since ATF tags generated in WebTrans is at the hourly level. If this assumption is correct, the proposed changes may require significant software and system modifications and will likely require alteration to our internal business processes. APS would like CAISO to provide clear directions regarding the proposed changes on ETSR & RTSI payload process for ETSR ATF 5-minute submission to be consistent across the EIM entities.


BPM: Real Time Imbalance offset EIM CC64770 Version 5.24
3.6 CAISO Formulas
3.6.6 BAAFMMGHGCreditAmount
BAAFMMGHGCreditAmount Q’mdhcif = BAAFMMETSRGHGCreditQuantity Q’mdhcif * BAA15MAverageFMMGHGPrice Q’mdhcif
3.6.10 BAARTDGHGCreditAmount
BAARTDGHGCreditAmount Q’mdhcif = BAARTDETSRGHGCreditQuantity Q’mdhcif * BAA5MAverageRTDGHGPrice Q’mdhcif

APS reviews the above formulas and notes that the Marginal Greenhouse Gas (GHG) price will be averaged for CC64770 settlement calculation. If the purpose of the average GHG price is directed to the potential growth of different GHG zones, APS is concerned that the “Average” of GHG price may cause discrepancies within the settlement between the GHG awards to the Participated Resource Schedule Coordinator Entity and calculation of the ETSR value that deem to deliver to various GHG zones. Based on the last stakeholders’ call, APS believes CAISO should conduct further investigation regarding settlement impact of increasing GHG zones and to establish a new Charge Code to handle the neutrality of the GHG settlement. APS appreciates CAISO stream-lining this component of the GHG calculation that currently is embedded in the CC64770. To “Average” the GHG price on multiple GHG zones, may further raise new, distinct issues regarding charges and compensation of the GHG settlement and further caused settlement issues in the CC64770 Real Time Imbalance Energy Offset (RTIEO).
9/18/2019 10:14 AM
Logged By - Judy Tsai (Settlement)
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Based upon the RTM Neutrality Initiative, the ISO has agreed to shape the EIM Transfer System Resource (ETSR) ATF values for which the CISO Balancing Authority Area (BAA) approved with WECC. The ETSR ATF values are between an EIM BAA and CISO BAA. The ISO also agreed to continue to allow the responsible EIM BAA to submit the ETSR values between itself and another EIM BAA which is reflected in Business rule 9.2. Business rules 9.0 through 9.5 provide EIM Entities with rules settlements has adopted for shaping Hourly Integrated ETSR ATF values. EIM Entities can use these rules for guidance on shaping any ETSR ATF values in which they are responsible.
With regards to providing clear directions regarding the ETSR ATF 5-minute submission, the ISO appreciates and understands your request and will take it under advisement for consideration for inclusion in either EIM BPM or EIM Track 4 Overview – Facilitating ETSRs.


The ISO appreciate APS comments and concerns. During Settlement Testing, the settlements team identified a similar concern. As such, the BPM Real Time Imbalance Offset EIM CC 64770 will be updated to reflect a single Greenhouse Gas price per Balancing Authority Area. Upon completion of our testing, the ISO will be providing updated BPM Real Time Imbalance Offset EIM CC 64770 in subsequent BPM Change Management meeting for consideration.
9/19/2019 8:56 AM
Responded By - Corona, Brenda (CAISO)
Recommendation Comments
IPC's Comments on BPM PRR 1185_101419.PDF    
Please see Idaho Power Company's comments on PRR 1185, attached.
10/14/2019 7:20 AM
Logged By - Camille Christen (Idaho Power Company)
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The ISO appreciates Idaho Power’s response.  The output section for item 16, “BAA15MFMMGHGPrice” has been updated to “Balancing Authority Area FMM Marginal Greenhouse Gas Price”.  With regards to the comment on BAARTDGHGPrice, this bill determinant is an input and therefore defined in section 3.6 Inputs – External Systems.  Similarly, BAAFMMGHGPrice which is the input used to derive BAA15MFMMGHGPrice is also defined in the same input section.  Since the RTD price is already in a five minute granularity there is no need to create a new intermediate price. 
10/16/2019 11:30 AM
Responded By - Corona, Brenda (CAISO)
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