NYISO congestion costs surged in the second quarter despite lower electricity prices, gas price spreads and load levels, the Market Monitoring Unit said.

NYISO said several of its market design projects are behind schedule, leading some to question whether it has taken on more initiatives than it can handle.

Analysis Group’s Sue Tierney briefed NYISO’s Installed Capacity/Market Issues Working Group on the preliminary results of her firm’s carbon pricing study.

NYISO debated the content of a draft study on the impact of public policy on the state grid and the ISO’s proposed changes to its carbon price calculation.

Analysis Group is putting the finishing touches on a NYISO study examining the impacts of pricing carbon into New York’s wholesale electricity markets.

A new NYISO study will examine the energy market and reliability implications of a grid being transformed faster by public policy than by market forces.

NYISO proposed using an estimated fuel cost to help determine the carbon component of locational-based marginal prices, while the state’s largest waste energy producer called for carbon offsets to be included in the final carbon pricing plan.

Stakeholders expressed some skepticism as the Analysis Group revealed the outline of a new study to provide insights into pricing carbon in NYISO’s markets.

NYISO stakeholders debated that carbon pricing could occasionally leave New York electricity consumers paying into the carbon revenue account.

NYISO stakeholders learned that pricing carbon into the wholesale energy market would have little effect on corporate credit rules.