Load Serving Entity Obligations Each Load Serving Entity (LSE)

load serving entity obligations. each load serving entity (lse) has three resource adequacy (ra) obligations to meet each month. each lse

Load Serving Entity Obligations. Each Load Serving Entity (LSE) has
three Resource Adequacy (RA) obligations to meet each month. Each LSE
uses monthly showings to demonstrate that it meets these obligations.
These monthly showings include Designated RA Capacity and RA
Replacement Capacity. Once this capacity is verified by the ISO, it is
committed as final Resource Adequacy Capacity for the Compliance
Month.
1.
General Requirements (ISO Tariff Section 40.7.a)
a.
Local Requirement (ISO Tariff Section 40.7.a.i)
b.
Demand and Reserve Margin Requirement (ISO Tariff Section
40.7.a.ii)
2.
Replacement Requirement (ISO Tariff Section 40.7.b)
Designated RA Capacity. RA Capacity specified by the LSE and
Scheduling Coordinator (SC) on monthly RA/Supply Plans used to meet
the ISO Tariff Section 40.7.a.i and 40.7.a.ii requirements.
All Designated RA Capacity verified by the ISO becomes Resource
Adequacy capacity and is subject to all Resource Adequacy Capacity
obligations including Must-Offer Obligations specified in ISO Tariff
Section 40.6 and all Standard Capacity Product provisions specified in
ISO Tariff Section 40.9.
RA Replacement Capacity. Specified RA Replacement Capacity,
Non-Specified RA Replacement Capacity, or capacity that is not
Resource Adequacy Capacity, CPM Capacity, or capacity under an RMR
contract that replaces Designated RA Capacity that is not
operationally available to the ISO due to a Scheduled Maintenance
Outage (planned outage).
1.
LSE Provided Capacity
a.
Specified RA Replacement Capacity. RA Replacement Capacity
specified by the LSE to replace Designated RA Capacity included
in its monthly RA Plan for all or a portion of the period that
the Designated RA capacity is on a planned outage. Specified RA
Replacement Capacity counts towards the LSE’s Tariff Section
40.7.b obligation.
b.
Non-Specified RA Replacement Capacity. Capacity the LSE procured
that is capable of providing RA Capacity, but not designated as
RA capacity in the LSE’s monthly RA Plan for the month. The ISO
will select this capacity only on days where there is a total
system shortage and the LSE is short of its 40.7(b) obligation.
Non-Specified RA Replacement Capacity counts towards the LSE’s
Tariff Section 40.7.b obligation.
2.
Supplier Provided Replacement Capacity
a.
RA Replacement Capacity. Capacity specified by the supplier to
replace Designated RA Capacity for all or a portion of the
period that the Designated RA capacity is on a planned outage.
RA Replacement Capacity Rule:
1.
RA Replacement Capacity must be internal to the ISO Balancing
Authority Area
After RA Replacement Capacity is selected for use by the ISO and
approved by the SC, it becomes Resource Adequacy capacity and is
subject to all Resource Adequacy Capacity obligations including
Must-Offer Obligations specified in ISO Tariff Section 40.6 and all
Standard Capacity Product provisions specified in ISO Tariff Section
40.9.
For more information about RA Replacement Capacity, please refer to
ISO Tariff Section 9.
Substitution Capacity. Non-RA Capacity used to mitigate the impact of
forced outages or ambient de-rates due to temperature on Resource
Adequacy Capacity.
1.
To avoid SCP penalties on the unavailable RA Capacity:
a.
The Substitution Capacity must be available.
b.
SC for Substitution Capacity must bid (ISO systems will not
automatically submit bids for substitution capacity)
Substitution Capacity Rules:
1.
Local for local,
2.
Dispatchable for dispatchable,
3.
Must be internal to the ISO Balancing Authority Area
For more information about substitution capacity, please refer to ISO
Tariff Section 40.9.4.2.1.
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