Frame

03/25/24 Congestion Management Working Group - Meeting Summary

Grid Monitor Staff
03/25/2024

1 - Antitrust Admonition - Seth Cochran - Alex Miller 2 - Agenda Review - Seth Cochran - Alex Miller <ul> <li>Agenda item: NPRR1214 reliability deployment price adder for locational price signals.</li> <li>Ryan King to lead the discussion on mitigation for ESR.</li> <li>Discussion on NPRR1198 and NOGRR258 Topology Reconfigurations and RENA update.</li> </ul> 3 - Deferral from WMS NPRR1214 Reliability Deployment Price Adder - Fix to Provide Locational Price Signals, Reduce Uplift and Risk - Shams Siddiqi <a href="/storage/docs/2024/03/NPRR1214%20RDPA%20Fix%20-%20Examples.ppt">Presentation here</a> <ul> <li>The meeting discussed the proposed change to the Reliable Deployment Price Adder (RDPA), highlighting the need to capture the impact of reliability deployments on energy prices.</li> <li>Concerns were raised about the current implementation of RDPA, which results in increased imbalance charges and uplift.</li> <li>The proposed NPRR1214 fixes the RDPA to address these shortcomings by incorporating locational price signals and reducing or eliminating unnecessary payments and uplift.</li> <li>Examples were provided to demonstrate the potential impact of the proposed changes on various scenarios, including low wind, high wind, and system-wide scarcity situations.</li> <li>Further discussion and analysis are planned, including additional data and clarification on settlement formulas and location-specific DCT curtailments.</li> </ul> 4 - Mitigation for ESRs - Ryan King - <a href="https://ercot-control-docs.s3.us-west-2.amazonaws.com/18/2024-03-esr-mitigation-proposal-impacts_cmwg.pptx">Presentation here</a> Agenda item 4 focused on discussing the enduring mitigated offer cap design for energy storage resources. There was a review of two high-level frameworks: <ul> <li>A design similar to default energy bids used in CAISO</li> <li>A just-in-time framework based on NPRR826</li> </ul> An analysis of market data for 2023 was conducted to assess the impact of these frameworks on dispatch and mitigation frequency. Stakeholders expressed preference for the just-in-time approach as it appeared more theoretically sound and effectively mitigated resources under local market conditions. Further discussion included the consideration of competitive and noncompetitive constraints and the potential impact on energy and ancillary services. The team encouraged feedback and additional insights for further refining the proposed framework. 5 - NPRR1198/NOGRR258 - Alex Miller <ul> <li>Blake Holt, LCRA - LCRA filed comments on referral from PRS to WMS focusing on transparency issues</li> <li>Blake from LCRA covered their comments on NOGRR258, clarifying guardrails in section 11.8 of the operating guide</li> <li>LCRA's comments on NPRR1198 focused on marrying up the definition of EAP in section 2 to match language in section 11.1 of NOGRR258.</li> <li>EAP can be used for reliability or economic reasons, submitted these comments based on Oncor's January 22nd comments, with no intention of changing anything else</li> <li>No impact on transparency issues, ERCOT supportive of changes</li> <li>Clarification on economic versus reliability was supported by group</li> <li>Consensus to return to WMS with transparency issues sorted and good to move forward</li> </ul> 6 - RENA Update - Questions Only - Seth Cochran <ul> <li>No questions</li> </ul> 7 - Other Business - Seth Cochran