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ERCOT Emergency Load Response

Dive into the EILP proposal detailing tools to prevent grid incidents, bidding process, benefits, and participant criteria for efficient load management.

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ERCOT Emergency Load Response

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  1. ERCOT Emergency Load Response A Consumer’s Perspective Alice Jackson Occidental Energy Ventures Corp

  2. Questions Asked and Answered • Does ERCOT need more capacity to ensure reliability? • Did the April 17th, 2006 incident bring to light the “black swan” of shoulder months? • Do we need to evaluate and take action to prevent a reoccurrence?

  3. Proposal • Sharpen the tools in the toolbox prior to adding another item to the mix. • RRS – NSRS Linked Bids • LaaR entry into RPRS • If another tool is necessary, promptly utilize excess LaaR. • Market based solution • Loads are already qualified and tested • Minimal changes to systems should be necessary

  4. Proposal Part II in Detail • ERCOT issues a monthly notice of EILP quantity necessary for reliability. • Bidding for EILP provision commences similar to the other daily Ancillary Services. • Participants would be any provider that has the necessary equipment to interrupt in 10 minutes (including unarmed LaaR) that are willing to commit to the EILP program for the month. • EILP pricing is determined by its own clearing price.

  5. Continued… • A LaaR that participates as an EILP provider would disarm their UFR so that they would remain online for the manual call requirement. • Clawback for non-performance. • Deployment of the EILP participants would take place as a last resort prior to rolling black outs.

  6. Benefits • EILP will only be procured monthly when it is necessary, thus overall cost to the market should be reduced. • Can be started quickly because qualification, testing, and evaluation processes are already in place and active in the market. • The excess of 650 MW of LaaR can be fully utilized, in addition to other load resources that can respond in 10 minutes but do not have UFR. • The market is not locked into a long-term agreement with any specific provider.

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