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NPRR #487 · Revision Request

NPRR487  QSGR Dispatch Adjustment

Approved Urgent sponsor Luminant Energy LLC posted 2012-10-03 ercot.com
ReasonThe amount of time that QSGRs are being called upon to resolve congestion has highlighted a localized Locational Marginal Price (LMP) formation problem that this NPRR seeks to resolve. When a transmission constraint becomes active in SCED that requires a Base Point to a QSGR that is less than its physical Low Sustained Limit (LSL) (e.g., Base Point to 5 MW when its physical LSL is 45 MW), the QSGR is brought On-Line to its physical LSL within ten minutes to comply with the Base Point. The LMP at the QSGR bus when the initial positive Base Point is issued corresponds to the Mitigated Offer Cap of the QSGR (assuming the constraint is non-competitive); however, after the QSGR reaches its physical LSL, SCED will often no longer bind for long periods of time on the transmission constraint (i.e. the constraint becomes "inactive") because the amount of generation needed at the QSGR site to resolve the constraint was less than the physical LSL of the QSGR (e.g., 40 MW less using the 5 MW Base Point and 45 MW LSL described above). While this situation is occurring, LMPs at the QSGR site are clearing below the Mitigated Offer Cap of the QSGR, which means the QSGR is likely operating at a short-run marginal cost loss to allow SCED to manage congestion. With the 9/12/12 WMS vote to revise the Verifiable Cost Manual formula that establishes the Mitigated Offer Cap for QSGRs to amortize a QSGR’s start cost across all hours of historic run time during a defined period, including those at which it was being called upon to operate at a short-run marginal cost loss for the reasons outlined above, it is important to correct this localized pricing problem as quickly as possible.
Created2012-10-18
Approved2013-03-19
Sections Affected
3.8.36.6.5.38.1.1.4.1
Summary
This Nodal Protocol Revision Request (NPRR) modifies the emergency energy Settlement treatment of a Quick Start Generation Resource (QSGR) that is brought On-Line with a Base Point less than or equal to its Resource registration applicable Seasonal net minimum sustainable rating. The changes remove the limitation for compensation using an Energy Offer Curve price that is capped by the Mitigated Offer Cap (adjusted to include variable Operations and Maintenance (O&M)). Currently the limitation is two "q" Settlement Intervals. The NPRR would allow this compensation until Security-Constrained Economic Dispatch (SCED) no longer needs the QSGR to generate, subject to performance of the QSGR Decommitment Decision Process. The NPRR also details the QSGR Decommitment Decision Process.
Action Log 7 milestones
Amendments
DateBodyMotionResult
Jan 17 '13PRS To endorse and forward the 12/13/12 PRS Report as amended by the 1/17/13 Luminant Energy Company LLC comments to TACPassed
Feb 7 '13TAC To recommend approval of NPRR487 as recommended by PRS in the 1/17/13 PRS Report, as amended by the 2/6/13 Luminant Energy Company LLC comments and as revised by TAC; and to request that a revised Impact Analysis be brought back to TAC for consideration.Passed
Documents 21
NameTypePostedClassification
487NPRR-01 QSGR Dispatch Adjustment 100312 doc Oct 3 '12 Revision Request
487NPRR-02 WMS Comments 101212 doc Oct 12 '12 Revision Request Comments
487NPRR-03 ERCOT Comments 101712 doc Oct 17 '12 Revision Request Comments
487NPRR-04 PRS Report 101812 doc Oct 23 '12 Committee Report
487NPRR-05 Luminant Energy Company LLC 110812 doc Dec 11 '12 Revision Request Comments
487NPRR-06 Impact Analysis 110812 doc Nov 8 '12 Staff Report
487NPRR-07 ERCOT Comments 111312 doc Nov 13 '12 Revision Request Comments
487NPRR-08 PRS Report 111512 doc Nov 20 '12 Committee Report
487NPRR-09 Luminant Energy Company LLC 121012 doc Dec 11 '12 Revision Request Comments
487NPRR-10 ERCOT Comments 121312 doc Dec 13 '12 Revision Request Comments
487NPRR-11 PRS Report 121312 doc Dec 18 '12 Committee Report
487NPRR-12 ERCOT Comments 011613 doc Jan 16 '13 Revision Request Comments
487NPRR-13 Citigroup Energy, Inc. Comments 011613 doc Jan 16 '13 Revision Request Comments
487NPRR-14 Luminant Energy Company LLC Comments 011713 doc Jan 17 '13 Revision Request Comments
487NPRR-15 PRS Report 011713 doc Jan 22 '13 Committee Report
487NPRR-16 ERCOT Comments 020413 doc Feb 4 '13 Revision Request Comments
487NPRR-17 Luminant Energy Company LLC Comments 020613 doc Feb 6 '13 Revision Request Comments
487NPRR-18 TAC Report 020713 doc Feb 11 '13 Committee Report
487NPRR-19 Revised Impact Analysis 022813 doc Feb 28 '13 Staff Report
487NPRR-20 TAC Report 030713 doc Mar 7 '13 Committee Report
487NPRR-21 Board Report 031913 doc Mar 21 '13 Committee Report
Meetings That Took It Up 9
DateMeetingCommitteeStatus
Mar 19 '13 Board of Directors Meeting BOARD Concluded
Mar 7 '13 Technical Advisory Committee (TAC) Meeting TAC Concluded
Feb 7 '13 Technical Advisory Committee (TAC) Meeting TAC Concluded
Jan 17 '13 Protocol Revision Subcommittee (PRS) Meeting PRS Concluded
Dec 13 '12 Protocol Revision Subcommittee (PRS) Meeting PRS Concluded
Nov 15 '12 Protocol Revision Subcommittee (PRS) Meeting PRS Concluded
Oct 18 '12 Protocol Revision Subcommittee (PRS) Meeting PRS Concluded
Oct 10 '12 Wholesale Market Subcommittee (WMS) Meeting WMS Concluded
Oct 8 '12 Qualified Scheduling Entity Managers Working Group (QMWG) Meeting QMWG Concluded