TRR 150 - Firm Service with Redispatch Clean Up

Tariff Revision Request (TRR)
TRR
Number
Cross
Reference #
150
MPRR
TRR
Title
BRR
Firm Service with Redispatch Clean Up
Other (Specify) _ _____________
Name
E-mail Address
Company
Phone Number
Date
Sponsor
Carrie Simpson and Steve Purdy
[email protected]; [email protected]
Southwest Power Pool
501-688-1757; 501-614-3371
11/5/2014
Tariff Section(s)
Requiring Revision
§§ 13.5, 27 and 34.6, Attachment K, Schedule 7, Attachment Z1,
Attachment F, Attachment AC
Requested Resolution
Normal
request)
Revision Description
Reason for Revision
Urgent (provided justification below for urgent
Clarifies how redispatch costs are determined and settled through
Attachment AE of the Tariff. Removes language that references
redispatch pairs because that is no longer necessary under the
Integrated Marketplace. Deletes obsolete Tariff language in
Attachment K. Adds clarifying sentences regarding the eligibility of
Long-Term Transmission Congestion Rights for service subject to
redispatch.
This TRR removes outdated language related to transmission
service requests (TSRs) subject to redispatch. There are multiple
references to the Transmission Provider’s responsibilities with
respect to offering redispatch options to TSRs. Many of the
references are rendered obsolete as a result of the operation of the
Integrated Marketplace. Under the market structure, all resources
are already involved in a system-wide “redispatch” as a part of the
Security Constrained Economic Dispatch algorithm. Any redispatch
costs incurred to relieve a system constraint is collected and paid as
part of Integrated Marketplace settlements and procedures described
under Attachment AE. FERC approved that transmission customers
having Firm Point-To-Point Transmission Service subject to
redispatch are eligible to nominate Candidate Auction Revenue
Rights associated with that service only for those times of the year
and for only the amounts of service that are not subject to
redispatch. This TRR removes outdated language and replaces it
with language consistent with existing practices and points to
Attachment AE.
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Tariff Revision Request (TRR)
Stakeholder Approval
Required (specify date
and record outcome of
vote; n/a for those
stakeholders not
required)
MWG
BPWG (n/a)
TWG (n/a)
ORWG (n/a)
Other (specify) (n/a)
RTWG
MOPC
Board of Directors
Yes (Include any comments resulting from the review)
Legal Review
Completed
No
Market Protocol
Implications or
Changes
Yes (Include a summary of impact and/or specific changes &
PRR #)
No
Yes (Include a summary of impact and/or specific changes &
BPR #)
Business Practice
Implications or
Changes
Formal BPR is yet to be developed. The review is still being
performed but it is expected that multiple Business Practices will
require modification. Any potential BPR will be subject to review and
approval by the BPWG.
No
Yes (Include a summary of impact and/or specific changes)
Criteria Implications or
Changes
No
Other Corporate
Documents
Implications (i.e., SPP
By-Laws, Membership
Agreement, etc.)
Yes (Include which corporate documents)
No
Yes (Include a summary of impact and/or specific changes)
Credit Implications
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Tariff Revision Request (TRR)
No
Impact Analysis
Required
Yes
No
Proposed Tariff Language Revisions (Redlined)
ATTACHMENT K
REDISPATCH PROCEDURES AND REDISPATCH COSTS
I.
A.
Redispatch to Accommodate a request for Firm Transmission Service
Purpose
This Procedure shall apply only to entities that, when applying for Firm Point-To-Point or
Network Integration Transmission Service, were told that the service could be provided only if redispatch
occurs. If an entity in these circumstances does not agree to the limited Auction Revenue Rights or LongTerm Congestion Rights as provided in Section 13.5 of this Tariff, then its request for Firm Point-to-Point
Transmission Service will be denied in whole or in part. To the extent the Transmission Provider can
relieve any system constraint for Firm Point-To-Point or Network Integration Transmission Service
through operation of the Energy and Operating Reserve Markets described in Attachment AE , it shall do
so, provided that the Eligible Customer agrees to the limitations on Auction Revenue Rights and LongTerm Congestion Rights pursuant to the terms of Section 13.5 of this Tariff and this procedure. The
procedure under this Section I is not for the purpose of sustaining non-firm service.
B.
Assessment Process
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Tariff Revision Request (TRR)
Upon receipt of an Application for Firm Point-to-Point or Network Integration Transmission
Service, the Transmission Provider shall make a determination of the availability of the requested Firm
Transmission Service. The Transmission Provider will identify transmission constraints utilizing
generally accepted power system analysis techniques. Where the requested Firm Transmission Service is
determined to be not fully available because of transmission constraints, then the Transmission Provider
will assess the need for redispatch of generation.
The procedure to be implemented is as follows:
1.
Determine the available transmission capacity for the requested Firm Transmission Service
utilizing a load flow computer simulation of the transmission system recognizing all firm uses of the
system.
2.
Determine the owned generation resources of the Transmission Owners or others that will relieve
the transmission constraint and the amount of transmission capacity available through redispatch.
3.
The Transmission Provider shall inform the Eligible Customer if the Transmission Provider
concludes that redispatch can sustain the requested Firm Transmission Service.
4.
Any disputes as to compensation for service under this Tariff shall go to dispute resolution in
accord with the provisions of this Tariff.
C.
Redispatch Costs
If redispatch services are provided pursuant to this Attachment K, the Transmission Provider will in good
faith attempt to relieve the constraint through operation of the Energy and Operating Reserve Markets
described in Attachment AE. Costs associated with redispatch services shall be collected and paid in
accordance with the Energy and Operating Reserve Markets settlement procedures described in
Attachment AE.
II. POINT-TO POINT TRANSMISSION SERVICE
13.5
Transmission Customer Obligations for Facility Additions or Redispatch Costs:
In cases where the Transmission Provider determines that the Transmission System
is not capable of providing Firm Point-To-Point Transmission Service without (1)
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Tariff Revision Request (TRR)
degrading or impairing the reliability of service to Native Load Customers, Network
Customers and other Transmission Customers taking Firm Point-To-Point Transmission
Service, or (2) interfering with a(the) Transmission Owner's(s’) ability to meet prior firm
contractual commitments to others, the relevant Transmission Owner(s) will be obligated
to expand or upgrade its (their) Transmission System(s) pursuant to the terms of Section
15.4. The Transmission Customer must agree to pay the Transmission Provider for any
necessary transmission facility additions pursuant to the terms of Section 27. Network
Upgrade or Direct Assignment Facilities costs to be charged to the Transmission Customer
on an incremental basis under the Tariff will be specified in the Service Agreement prior to
initiating service. To the extent that the Transmission Provider can relieve a system
constraint by redispatching resources registered to participate in the Energy and Operating
Reserve Markets, it shall do so. Any redispatch costs incurred to relieve a system
constraint to be charged to the Transmission Customer shall be collected and paid as part
of the Energy and Operating Reserve Market settlement procedures described under
Attachment AE. Transmission Customers having Firm Point-To-Point Transmission
Service subject to redispatch will be eligible to nominate Candidate Auction Revenue
Rights associated with that service only for those times of the year and for only the
amounts of service that are not subject to redispatch. Transmission Customers having
Firm Point-To-Point Transmission Service subject to redispatch may be eligible to
nominate Candidate Long-Term Congestion Rights associated with that service for only
the amount of service that is not subject to redispatch for any time of the year, as long as
the other Long-Term Congestion Rights eligibility criteria has been met as described in
Attachment AE.
27
Compensation for New Facilities and Redispatch Costs
a)
Whenever an Aggregate Facilities Study performed by the Transmission Provider in
connection with the provision of Long-Term Firm Point-To-Point Transmission Service identifies the
need for new facilities, the recovery of such costs shall be governed by Attachments J and Z1. Whenever
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Tariff Revision Request (TRR)
an Aggregate Facilities Study performed by the Transmission Provider in connection with the provision
of Long-Term Firm Point-To-Point Transmission Service identifies capacity constraints that may be
relieved by redispatching electric generating resources to eliminate such constraints, redispatch will be
handled in accordance with Attachment K.
b)
Whenever a System Impact Study performed by the Transmission Provider in connection
with the provision of Short-Term Firm Point-To-Point Transmission Service identifies capacity
constraints that may be relieved by redispatching electric generating resources to eliminate such
constraints, redispatch will be handled in accordance with Attachment K.
34.6
Network Customer Obligations for Redispatch Costs:
The Network Customer shall pay redispatch costs associated with its transactions through the operation
and settlement of the Energy and Operating Reserve Markets as described in Attachment AE. Network
Customers having service subject to redispatch will be eligible to nominate Candidate Auction Revenue
Rights and Candidate Long-Term Congestion Rights associated with that service.
SCHEDULE 7
LONG-TERM FIRM AND SHORT-TERM FIRM POINT-TO-POINT TRANSMISSION
SERVICE
The Transmission Customer shall compensate the Transmission Provider each month for
Reserved Capacity at the sum of the applicable charges set forth below in addition to other
applicable charges specified in the Tariff. All effective rates under this schedule shall be posted
on the SPP OASIS.
[Excerpted]
3.
Redispatch Costs: Redispatch costs shall be determined in accordance with
Attachment K of this Tariff.
ATTACHMENT Z1
AGGREGATE TRANSMISSION SERVICE STUDY PROCEDURES AND COST
ALLOCATION AND RECOVERY FOR SERVICE UPGRADES
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Tariff Revision Request (TRR)
IV.
Cost Allocation for Service Upgrades
The cost of Service Upgrades shall be allocated in accordance with this Section.
a.
For the purpose of determining the cost responsibility for each transmission
service request, all upgrades required to provide transmission service for all
transmission service reservations included in an Aggregate Facilities Study shall
be included in an Aggregate Cost Allocation Assessment. The cost of each
transmission upgrade component will be allocated to each customer in the
aggregation group on a pro-rata impact basis as provided in paragraph b. With
regard to the cost allocation, the Transmission Provider shall review all upgrades
and determine the earliest date that each upgrade is required to be in-service in
order to provide the requested transmission service. This date is the Date
Upgrade Needed. The cost of a facility upgrade shall be allocated to all customers
in the aggregate group whose reservation period begins after the Date Upgrade
Needed or extends past the Date Upgrade Needed, whether or not an interim
redispatch option is available. If the Date Upgrade Needed for the upgrade is
after completion of service, no cost will be allocated to the customer for the
upgrade under consideration.
All requests that have a positive impact on the upgrade and for which the service
has not been completed prior to the Date Upgrade Needed for such upgrade, shall
be allocated costs for the upgrade; and the Transmission Provider shall review
these requests in order to determine the amortization period for the facility. For
this determination, the start date of the amortization period shall be the expected
in-service date of the facility. The end date for the amortization period shall be
the end of the term of the request that ends at the latest point in time as adjusted
for deferral of any requests.
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Tariff Revision Request (TRR)
In the event the expected in-service date of the upgrade is after the Date Upgrade
Needed, the customers whose requests span a portion of the time between the
Date Upgrade Needed and the expected in-service date may:
1.
Defer the start of the request until the expected in-service date of the
upgrade; or
2.
Request interim redispatch, if available.
If the customer selects the interim redispatch option, the Transmission Provider
will evaluate curtailment of existing confirmed service or interim redispatch of
units to provide service prior to completion of any allocated network upgrades.
The Transmission Provider will determine whether a feasible redispatch solution
exists to relieve the incremental MW impact on the limiting facilities. This
redispatch option will be used to allow the customer to begin transmission service
based on an earlier start date than the deferred date. Redispatch services shall be
provided in accordance with Attachment K of the Tariff.
ATTACHMENT AC
RESERVATION PROCESSING METHOD FOR SHORT TERM FIRM
TRANSMISSION SERVICE
1.
Introduction
1.1.
Definitions
1.1.1. Qualifying Request – a daily, weekly or monthly request for short-term
firm transmission service for which a Transmission Customer has requested the
application of this processing method pursuant to the notification requirements set
out below.
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Tariff Revision Request (TRR)
1.2.
Nature of the Process
This reservation processing method for short term firm transmission service provides the
standard evaluation process applied to daily, weekly and monthly firm transmission
service requests and an associated mechanism for administration of related energy
schedules.
A Transmission Customer requesting daily, weekly and monthly short term firm
transmission service will have the opportunity to request, obtain and pay for system
impact studies that provide information about the system constraints that prohibit
Transmission Provider’s acceptance of the requested service and whether redispatch may
alleviate those constraints.
3.
Reservation Processing Provisions
3.1.
Customer Request for Application of These Procedures
This reservation processing method for short term firm transmission service will be used
to process short-term firm requests upon notification by a Transmission Customer
requesting the service. Such notification shall be made only by including the following
statement in the customer comment field of such reservation: “exercise system impact
study option.” Entry of this comment constitutes customer’s agreement to pay for all
system impact studies necessary to support the evaluation of this service. Such request
will, by this notification, become a Qualifying Request.
3.2.
Initial Feasibility Analysis
Upon receipt of such Qualifying Request, SPP shall conduct an initial analysis of the
feasibility of such reservation at no cost to the Transmission Customer.
Such
reservation shall be deemed feasible if: (1) the number of flowgate constraints are three
or less; and (2) either (i) the AFC required is the lesser of the TRM Value minus the
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Tariff Revision Request (TRR)
capacity used by other reservations granted pursuant to these procedures or (ii) fifteen
percent of the flowgate capacity minus capacity used by other reservations granted
pursuant to this method. If the reservation is not deemed to be feasible, it will be
processed according to the normal methodology used for short-term firm service requests
provided for in this Tariff. Upon conclusion of the feasibility analysis, the Transmission
Customer will be notified of the results of the analysis and if the reservation is deemed to
be feasible, the response time provisions of Addendum 1 to this Attachment AC will
become effective.
3.3.
Redispatch Option Identification
Upon notification by the Transmission Provider that the reservation is feasible, the
Transmission Customer shall notify the Transmission Provider of its election to move
forward with this process or terminate it.
If the Transmission Customer elects to
terminate this process, such reservation will be processed according to the normal
methodology used for short-term firm service requests otherwise provided for in this
Tariff, including the provision of a counter offer when appropriate.
3.4.
Redispatch Study
If the Transmission Customer elects to move forward with the process, the Transmission
Provider will determine whether redispatch will permit Transmission Provider to accept the
reservation. If the Transmission Provider accepts the reservation, Transmission Provider will
provide a timely response to the Transmission Customer, pursuant to the response times
specified on Addendum 1 to this Attachment AC, and post the results of the study on its OASIS.
If Transmission Customer accepts the results of the study, the Transmission Provider will accept
the reservation if redispatch permits, and Transmission Customer shall confirm the reservation.
Any redispatch costs incurred to relieve a system constraint to be charged to the Transmission
Customer shall be collected and paid as part of the Energy and Operating Reserve Market
settlement procedures described under Attachment AE and to the limitations on Auction
Revenue Rights and Long-Term Congestion Rights pursuant to the terms of Section 13.5.
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Tariff Revision Request (TRR)
Time Frames for Short-Term System Impact Studies
Term
Transmission Customer
Responds to Feasibility
Analysis
SPP Studies and Post
System Impact Study
Monthly (more than 1 month)
1 Business Day
10 Business Days
Weekly
4 Business Hours
3 Business Days
Multi-Daily (up to 1 week)
2 Business Hours
2 Business Days
Daily
2 Business Hours
2 Business Days
Daily (Day Prior)
1 Business Hour
1 Business Day
Note: Business Hour: One Hour between 8 AM through 5 PM, Central Prevailing Time, during one business day.
Business Day: Monday through Friday, except SPP Holidays.
_________________________
Pending Reservation is a reservation that would be accepted if the reservation in System Impact
Study were to be refused. This situation demands a shorter time frame.
Proposed Market Protocol Language Revision (Redlined)
NONE
Proposed Business Practices Language Revision (Redlined)
TBD
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Trans
Conf
As pro
As pro
As pro
As pro
As pro
Tariff Revision Request (TRR)
Proposed Criteria Language Revision (Redlined)
TBD
Revisions to Other Corporate Documents (Redlined)
NONE
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