Below is a summary of the issues scheduled to be brought to a vote at the Markets and Reliability and Members committees Thursday. Each item is listed by agenda number, description and projected time of discussion, followed by a summary of the issue and links to prior coverage in RTO Insider.
RTO Insider will be in Wilmington covering the discussions and votes. See next Tuesday’s newsletter for a full report.
Markets and Reliability Committee
2. PJM MANUALS (9:10-9:40)
Members will be asked to endorse the following manual changes:
- Manual 3: Transmission Operations — Updates names; clarifies timing for load shed for post-contingency voltage collapse; updates several sections; adds procedures.
- Manual 13: Emergency Operations — Clarifies actions taken prior to emergency procedures; adds Min Gen Advisory procedure; updates Cold/Hot Weather Alerts; revises geomagnetic disturbance procedure; condenses and consolidates Attachment A.
- Manual 11: Energy & Ancillary Services Market Operations — The changes will allow PJM to relieve demand response resources of their regulation and synchronized reserve responsibilities during Load Management Events. The change addresses the inability of DR resources to provide ancillary services and load management simultaneously.
- Manual 14B: PJM Regional Transmission Planning Process — Changes made in accordance with North American Electric Reliability Corp. standards PRC-023-3 (Transmission Relay Loadability) and TPL-001-4.
- Manual 28: Operating Agreement Accounting — Revised to include Load Reconciliation data in the settlement of emergency load response and emergency energy billing.
- Manual 29: Billing — Changes method of reimbursing treatment of underpayments of miscellaneous items and special adjustments to avoid cost shifts.
- Manual 13: Emergency Operations — Updates the 2015 day-ahead scheduling reserve requirement to 5.93%, down from 6.27% in 2014. The new requirement is based on a load forecast error of 2.15% (up 0.04% from 2014) and a forced outage rate of 3.78% (down 0.38%).
3. ENERGY / RESERVE PRICING & INTERCHANGE VOLATILITY (ERPIV) UPDATE (9:40-10:00)
The MRC will be asked again to approve PJM’s proposal to limit interchange during emergency conditions. An MRC vote last month on the issue fell just short of a two-thirds approval. (See PJM MRC OKs Change on Reserves; Interchange Limit Falls Short.)
The proposal to be voted on includes language to address hoarding and manipulation of interchange “room,” in order to address concerns raised by the Market Monitor.
PJM officials said they intended to recommend operating under the new rules, which require only a manual change, with or without the two-thirds mandate. The rule is intended to prevent markets and operations from being whipsawed by large swings in imports.
4. GAS UNIT COMMITMENT (10:00-10:20)
Beginning in January, gas generators will be able to change their offers to reflect fluctuating fuel prices, under a proposal being brought to the MRC. The proposal would allow generators to lock in their fuel prices three hours in advance of the operating hour.
The option would be available to resources that did not receive day-ahead commitments and were not picked up in the reliability assessment and commitment (RAC) run. Units with day-ahead commitments and those selected in the RAC run can switch prices after the end of their last committed hour. Units committed in real time will be unable to change their cost schedules until released. (See PJM Members Approve Intraday Updates to Generator Cost Schedules.)
5. SELLER CREDIT (10:20-10:40)
Members will be asked to endorse PJM’s plan to eliminate the “seller credit” provision from its credit policy, which RTO officials said was unnecessary. The provision was enacted when PJM still used monthly billing, to allow participants with consistent net sell positions some unsecured credit. Due to changes in credit policy and the 2009 switch to weekly billing, the need for seller credit is now addressed by the Reliability Pricing Model seller credit, a larger and less volatile credit, PJM said.
6. RESIDENTIAL DEMAND RESPONSE: PARTICIPATION IN THE PJM SYNCHRONIZED RESERVE MARKET & MEASUREMENT AND VERIFICATION FOR ENERGY AND LOAD MANAGEMENT (10:40-10:55)
The committee will be asked to endorse a proposal that PJM begin measuring the demand response performance of some residential customers through sampling of interval-meter data. (See Operating Committee Briefs, Nov.11.)
7. DEFINITIONS IN GOVERNING DOCUMENTS (10:55-11:10)
Members will vote on non-substantive revisions to definitions in the Tariff, Operating Agreement, Reliability Assurance Agreement and Manual 35: Definitions and Acronyms. The changes are intended to align the documents.
Members Committee
2. CONSENT AGENDA (1:20-1:25)
The committee will be asked to approve the following:
- Operating Agreement (OA) revisions to ease Transmission Owners’ access to generator data feeds.
- Updated Installed Reserve Margins and related metrics for 2015/16 through 2018/19 delivery years.
- Tariff revisions related to energy and reserve pricing. (See PJM MRC OKs Change on Reserves; Interchange Limit Falls Short.)
- Approve/endorse proposed non-substantive revisions to definitions in the Tariff and OA, aimed at providing alignment of definitions between the documents.
3. ELECTIONS (1:25-1:30)
The committee will elect members to the 2015 Finance Committee and sector whips, and the Members Committee vice chair.
4. WINDOW PROPOSAL FEE (1:30-1:45)
The MC will vote on a proposed $30,000 fee for transmission developers making proposals under competitive windows. (See PJM Members Approve $30K Fee on ‘Greenfield’ Tx Proposals.)
6. ENERGY MARKET OFFER CAP (2:00-2:30)
Members will vote on Tariff and OA revisions regarding energy market offer price caps proposed by Old Dominion Electric Cooperative. (See Load, Supply Trade Blame over Offer Cap Impasse.)