We think you have liked this presentation. If you wish to download it, please recommend it to your friends in any social system. Share buttons are a little bit lower. Thank you!
Presentation is loading. Please wait.
Published bySamson Gallagher
Modified about 1 year ago
PJM©2013www.pjm.com Resource Adequacy in PJM Adam Keech Director, Market Operations PJM
PJM© My Background Adam Keech –Worked at PJM for over 10 yrs 8+ years in Market Operations –Manager, Real-Time Market Operations –Director, Market Operations 2+ years in System Operations –Director, Dispatch –Education MS Electrical Engineering from Rutgers University MS Applied Statistics from West Chester University
PJM© PJM as Part of the Eastern Interconnection KEY STATISTICS PJM member companies 800+ millions of people served 60 peak load in megawatts 163,848 MWs of generating capacity185,600 miles of transmission lines 59,750 GWh of annual energy 832,331 generation sources 1,365 square miles of territory214,000 area served 13 states + DC externally facing tie lines % of generation in Eastern Interconnection 28% of load in Eastern Interconnection 19% of transmission assets in Eastern Interconnection 21% of U.S. GDP produced in PJM *Map is missing EKPC zone which joined June 1, 2013 As of 9/7/2012
PJM© PJM Evolution
PJM© PJM Responsibilities Wholesale Electric Markets Regional Reliability Transmission Planning
PJM© PJM Capacity Market PJM Capacity Market is designed to ensure adequate availability of resources that can be called upon to ensure the reliability of the electric grid. PJM Capacity Market Reliability Pricing Model (RPM) Fixed Resource Requirement Alternative (FRR) (opt-out of RPM) PJM secures capacity on behalf of LSEs to satisfy load obligations not satisfied through self-supply. LSE secures capacity to satisfy their load obligation.
PJM© What is the RPM? Reliability Pricing Model (RPM) is PJM’s resource adequacy construct RPM is part of an integrated approach to ensuring long-term resource adequacy and competitively priced delivered energy RPM aligns the price paid for capacity with overall system reliability requirements RPM includes pricing to recognize and quantify the locational value of capacity (effective 2007/2008 Delivery Year) and the operational value of capacity (effective 2014/15 Delivery Year) RPM provides forward investment signals
PJM© Capacity vs. Energy Capacity A commitment of a resource to provide energy during PJM emergency under the capped energy price. Capacity revenues paid to committed resource whether or not energy is produced by resource. Daily product Energy Generation of electrical power over a period of time Energy revenues paid to resource based on participation in PJM’s Day-Ahead & Real-Time Energy Markets Hourly product Capacity, energy & ancillary services revenues are expected, in the long term, to meet the fixed and variable costs of generation resources to ensure that adequate generation is maintained for reliability of the electric grid.
PJM© RPM Structure Base Residual Auction Delivery Year 3 Years Second Incremental Auction Third Incremental Auction May 31 3 months 10 months First Incremental Auction 20 months EFORd Fixed Ongoing Bilateral Market Interruptible Load for Reliability (ILR) (Only effective prior to 12/13 DY) *Certification deadline April 1 for 11/12 DY May Feb. July Sept Conditional Incremental Auction (Effective 12/13 DY) May be scheduled at any time prior to DY March* June 1
PJM© Illustrative Example of a VRR Curve A VRR Curve is defined for the PJM Region. Individual VRR Curves are defined for each Constrained LDA. Quantity = UCAP MW Price = UCAP Price ($/MW-day) (a) (b) (c) 1.5 Net Cone Net Cone 0.2 Net Cone (IRM – 3%) (IRM + 1%)(IRM + 5%) IRM Effective 12/13 DY: Target Level = Reliability Requirement –Short Term Resource Procurement Target
PJM© What is a Supply Resource in RPM? In RPM, Resources are = Demand Resources (DR) Demand Resources (DR) Qualifying Transmission Upgrades (QTU) Generation Resources Energy Efficiency Resources (EE) (Effective with 11/12 DY) Energy Efficiency Resources (EE) (Effective with 11/12 DY)
PJM© Evolution of Supply Capability in PJM Market nuclear total renewables demand response solar/ wind Note: Adjusted to reflect integrations gas coal
PJM© Coal Retirements by Year (MW) MW
PJM© Generation Deactivations
PJM© Offered and Cleared by Fuel Type Over Time
PJM© Source: Ventyx*Coal – Gas Equivalent Gas vs. Coal Over Time
PJM© PJM Market Evolution of Fuel Mix for Annual Electricity Production In GWhs
PJM© Fuel Mix for 2012 Annual Electricity Production
PJM© PJM Market – Average Power Generation Emissions Pounds Per MWh of Electricity Produced
PJM© PJM© – Generation Interconnection Queue Volume by MW
PJM© Current - PJM Queued Generation (Nameplate Energy) As of 03/2013
PJM© DR vs. EE Energy Efficiency (EE) –Installed device that exceeds relevant standards –Achieves reduction during ALL hours of the performance period –Installing an LED light bulb Demand Response (DR) –Capability to reduce consumption on command –Annual, Extended Summer, Limited –Shutting the light off
PJM© DR Participation Over Time
PJM© Energy Efficiency Participation in RPM Over Time
PJM© Trends in Resource Adequacy Coal Retirements –~ 14,000 MW by 2015 Growth in energy production of natural gas Emergence of Energy Efficiency and DR –Capacity Market revenues make these types of projects much more profitable –Offset the need for traditional generation –Efforts to “operationalize” DR Increases in natural gas capacity –More natural gas capacity than coal by 2015 –Generation queue volumes have swapped over the last few years
Wholesale Markets and How Efficiency Has Financial Value Dan Griffiths KEEA Energy Efficiency Conference September 21, 2010.
National Grids Involvement in New Englands Forward Capacity Market Helping to Bring Demand Resources into the Supply Mix Tim Roughan Director, Distributed.
ISO New England Demand Resource Measurement & Verification Standards Manual Overview April 11, 2007 NAESB Development of DSM/EE Business Practices Washington,
A Common Framework for Defining and Measuring Retail Demand Response Prepared for NAESB Meeting, February 12, 2009 Prepared by Bernie Neenan EPRI.
WECC Introduction to SPP EIS Market June 26, 2008.
Demand Response: The Challenges of Integration in a Total Resource Plan Demand Response: The Challenges of Integration in a Total Resource Plan Howard.
Lightening Strikes Twice: California Faces a Real Risk of A Second Power Crisis Lake Tahoe Energy Conference July 30, 2004 CONFIDENTIAL This report is.
A National Town Meeting on Demand Response Chairman Barry T. Smitherman Public Utility Commission June 3, 2008.
Copyright © 2013 The Brattle Group, Inc. PRESENTED TO PRESENTED BY Net CONE for the ISO-NE Demand Curve 3 rd Response to Stakeholder Comments and Draft.
Energy Risk Management Seminar New York April 5, 2001.
Efficient Dispatch Toolkit Proposal Stephen Beuning Xcel Energy, Director of Market Operations 3/11/10.
GEORGIA POWERS SMALL POWER PRODUCERS FUNDAMENTALS.
In the Post 06 Environment November 9, 2006 Jim Eber Demand Response.
Reliable Power Reliable Markets Reliable People Reliable Power Reliable Markets Reliable People Wind Integration in Alberta: M arket & Operational Framework.
Florida Public Service Commission Renewable Portfolio Standards Workshop Remarks On Behalf Of City of Tampa Solid Waste Authority of Palm Beach County.
What is Renewable Energy? Electric power supplied by energy sources that are naturally and continually replenished such as wind, solar power, geothermal,
Load Impact Estimation for Demand Response Resources Nicole Hopper, Evaluation Manager July 14, 2009 National Town Meeting on Demand Response and Smart.
Energy Storage and Renewable Integration Prepared for the 2011 IEP Annual Meeting Don Liddell, CESA General Counsel October 5, 2011.
The 3rd Electric Generation Supplier (EGS) Conference Wednesday, May 16, 2012 ArtsQuest – Steel Stacks 101 Founders Way Bethlehem, Pennsylvania
SEPTEMBER 12, 2012 | MARKETS COMMITTEE Aleks Mitreski MARKET DEVELOPMENT (413) Hourly Offer and Intraday.
New England Developments in Demand Response and Smart Grid 2010 National Town Meeting on Demand Response and Smart Grid Henry Yoshimura, Director, Demand.
Energy Storage Due Diligence WEDNESDAY, January 26, 2011 The Role of Energy Storage in PV Projects PRODUCED BY EUCI January 31, 2011.
The Regulatory Assistance Project 177 Water St. Gardiner, Maine USA Tel: Fax: State Street, Suite 3 Montpelier, Vermont.
Achieving Price-Responsive Demand in New England Henry Yoshimura Director, Demand Resource Strategy ISO New England National Town Meeting on Demand Response.
Energy Portfolio Standards Creating New Opportunities for Increased Use of Clean Energy Katrina Pielli Clean Energy Program Manager Climate Protection.
1 by L Goel Professor & Head of Division of Power Engineering School of Electrical & Electronic Engineering Nanyang Technological University,
0 Public Interest Energy Research Program (PIER) Presented to California Manufacturers and Technology Association July 27, 2006 Martha Krebs, Ph.D. Deputy.
Demand Response: What Is It? John E. Shelk President & CEO, EPSA Harvard Electricity Policy Group Calgary, Alberta – June 13, 2013.
National Town Meeting on Demand Response Session A – Estimate It, Measure It, Verify It Demand Response Coordinating Committee (DRCC) Renaissance Washington.
Winter 2013/2014 Reliability Solution Including LNG MWHs N. Jonathan Peress Conservation Law Foundation Greg Lander Skipping Stone NEPOOL Markets & Reliability.
© 2016 SlidePlayer.com Inc. All rights reserved.