NPRR605
Ancillary Service Make-Whole Payments Under a Watch
Scenario• DA market fails to clear needed AS• ERCOT announces a Watch• SASM is announced• SASM fails to clear needed AS• ERCOT would need to RUC units for AS– This process is not new– Operational procedure indicates that uncommitted
units would be dispatched first• If there are no uncommitted units, ERCOT will
need to assign AS to self-committed units
QSE Expectation
Self-commit Resource to provide energy
100MW
Load
100MW
QSE expectation is that there is no exposure to significant volatility
Why NPRR is needed
• Under ORDC:– Ancillary service assignment to an on-line
resource would replace energy output with AS output • Compensation for energy is LMP plus adder• Compensation for AS is only the adder
2014 Summer
Load
LMP100MW $9000
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