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LOAD RESPONSE PROGRAM

LOAD RESPONSE PROGRAM. Robert Burke February 13, 2001. Agenda. Why Simplification was necessary complexity of original proposal proposed modifications Example After the summer “Seeding” the program. Why Simplification?.

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LOAD RESPONSE PROGRAM

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  1. LOAD RESPONSE PROGRAM Robert Burke February 13, 2001

  2. Agenda • Why Simplification was necessary • complexity of original proposal • proposed modifications • Example • After the summer • “Seeding” the program

  3. Why Simplification? • Original proposal included reallocation of the interrupted load to multiple suppliers • Determination of individual monthly peak load effected • Within Market Settlement System, this reallocation results in changes to “Load” • Lost revenue calculation and debits/credits • Lost revenue verification and auditability

  4. Proposed Modifications • Processed outside of the Market Settlement System • Eliminate reallocation • Eliminate lost revenue • Payments for interruption made to Participant that signed up customer • Cost allocated to Electric Load

  5. ExamplePrior to Interruption New Type 6 1 MW L.A.F.I. Signed by Comp. X Load Asset 10 MW Comp. A 50% - 5MW Comp. B 30% - 3MW Comp. C 20% - 2MW

  6. ExampleAfter Interruption New Type 6 1 MW L.A.F.I. Signed by Comp. X Load Asset 9 MW Comp. A 50% - 4.5MW Comp. B 30% - 2.7MW Comp. C 20% - 1.8MW 1MW interruption determined by ISO

  7. Example

  8. Example

  9. Seeding the Program • ISO proposed that the installation costs for the first 1,000 sites be socialized • Consistent with the installation of RIGs

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