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Self-Supply Next Steps for Generation Imbalance Service - CECD NIPPC Board Meeting Highlights

This document outlines the objectives and steps regarding self-supply arrangements for Generation Imbalance Service using non-federal resources in the BPA Balancing Authority Area, focusing on Iberdrola Renewables. It details the balancing resources—both dynamic and static—along with key operational parameters and required infrastructure, emphasizing the goal to avoid federal system dependency. Key next steps include expanding seller participation and leveraging existing infrastructure for broader market opportunities, particularly in the PNW Energy Imbalance Market.

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Self-Supply Next Steps for Generation Imbalance Service - CECD NIPPC Board Meeting Highlights

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  1. Self-Supply: Next Steps Carol Opatrny, for CECD NIPPC Board Meeting - 21 June 2010 Portland, Oregon

  2. Self-Supply: Objective • Separately account for and provide Generation Imbalance Service using non-federal resources for specific resources (Iberdrola Renewables) located in the BPA Balancing Authority Area. • Meet 1-minute; 30-minute; and, 60-minute operating parameters that change monthly or more often. • Demonstrate that this arrangement does not “lean” on the federal system (cross zero requirement and timers). • Demonstrate adequate infrastructure, e.g., secure transmission rights, respect specified ramp rates; coordinate AGC; transfer information (ICCP); tag and update tags; satisfy reliability requirements (e.g., RAS, DSO 216); handle energy accounting.

  3. Balancing Resources: Dynamic • Dynamic Transfer Capability • Most flexible and responsive • Quantity (MW) • Ramp rate (50 MW/minute) • BPA’s DTC Methodology • AGC system compatibility • 4 second signals • After-the-fact energy tag adjustment • Infrastructure • ICCP data exchange • AGC/EMS/Build specific logic for this arrangement • Energy Accounting

  4. Balancing Resources: Static • Fixed, hourly transactions • Mid-hour transactions • Intra-hour schedule • On-Demand Rights • Firm Transmission Rights • No energy tag adjustment • Limited Infrastructure requirements • System modification by BPA to recognize ODR transactions among non-federal entities.

  5. Balancing Resource Arrangements • Commercial terms between Buyer (IBR) and Seller • One-off Contracts/Terms Sheets • INCs • DECs • Versify Bid/Offer interface (available June 2010) • IBR Dispatch Model (drive dispatch priorities) • CECD (effects transactions; manages self-supply operations) • Transmission • Fixed (Intra-hour transactions; On-Demand Rights) • Dynamic Transfers • Infrastructure • Efforts underway to streamline the infrastructure requirements • Exploring how best to expand those involved

  6. Balancing Transactions Trade Detail Multiple Tranches Accepted Transaction Offer Expiration

  7. Bid/Offer Index Based Offer Index + Adder Multiple Sources Multiple Products Multiple Resources Fixed Price Offer Energy Price

  8. Summary Reports Summary By Hour Back Office Support

  9. Detail Reports Transaction Level Detail

  10. Email Notification

  11. Next Steps • Self-supply Expansion • Enable more sellers to participate • Immediate option • Expand to enable more buyers • Coordinate with Iberdrola • Leverage infrastructure for other purposes • PNW “Energy Imbalance Market” • Transition to WECC EIM concept

  12. CECD Contact Information • JT Thompson, CECD Managing Director • 713.332.2901 • jt.thompson@constellation.com • Carol Opatrny, Consultant to CECD • 360.666.8510 • ccopat@e-z.net

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