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DARD Pump Inter-temporal Parameters

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Presentation on theme: "DARD Pump Inter-temporal Parameters"— Presentation transcript:

1 DARD Pump Inter-temporal Parameters
August 11-13, 2015 | NEPOOL markets committee DARD Pump Inter-temporal Parameters Proposed modeling changes to better reflect the physical characteristics of the DARD pumps Catherine McDonough |

2 Dispatchable Asset Related Demand model is only being used by the pump-storage facilities
Asset-Related Demand (ARD) model was introduced to enable Participants to buy power at the nodal versus the zonal price Dispatchable Asset Related Demand (DARD) model enables ARDs to be dispatched in the Real-Time Energy Market (RTEM), to potentially set the market clearing price and to provide reserves

3 Modeling changes have been identified to better reflect the physical characteristics of the DARD pumps Honor bid-in Minimum Consumption Limit for DARD pumps that bid ‘Economic’ Enable DARD pumps to specify a Minimum Run Time (MRT) and Minimum Down Time (MDT) like Fast Start Generators Enable DARD pumps to specify a Maximum Daily Consumption Limit in the Day-Ahead Energy Market (DAEM) - similar to the maximum daily energy limit used by Limited Energy Resources. Expand DARD pump’s eligibility for Net Commitment Period Compensation (NCPC)

4 Problems and Proposed Changes

5 1: Honor the Minimum Consumption Limit
Model assumes that a DARD that bids ‘Economic’ can be dispatched between zero and its Maximum Consumption Limit (bid-in Minimum Consumption Limit is ignored) Can cause DARD pump to get a DAEM schedule below its minimum physical operating limit DARD pump must bid ‘Must Run’ in DAEM to ensure that it is scheduled at its physical minimum limit Increases the risk of dispatch chatter for DARD pumps in RTEM unless the DARD pump re-declares itself as ‘Must Run’ after being dispatched Honoring the bid-in Minimum Consumption Limit reduces these problems for DARD pumps (like honoring the Eco Min currently does for generators) and permits more efficient system dispatch

6 2: Allow Minimum Run Time and Minimum Down Time to be specified
Even if the bid-in Minimum Consumption Limit is honored, a DARD pump is still exposed to “dispatch chatter” in RTEM DARD pump that is dispatched ‘on’ can easily get dispatched ‘off’ in the next UDS case (10 minutes later) DARD pump must change its bid status to ‘Must Run’ to stay online Enabling DARD pumps to specify a Minimum Run Time (MRT) and Minimum Down Time (MDT) like Fast Start Generators eliminates risk of dispatch chatter when they bid ‘Economic’ MRT and MDT cannot exceed one hour Similar to when the DARD pump is self-scheduled, ten minute spinning reserves will be counted during the DARD pump’s MRT because the pump can be shut down immediately to address a reliability need

7 3: Allow Maximum Daily Consumption Limit to be specified in DAEM
DARD pumps cannot put more water into a reservoir than it can physically hold, but the pumps currently cannot express this constraint in their DAEM bid; DARD pump can get a DAEM obligation that it cannot physically meet Enabling the DARD pumps to specify a Maximum Daily Consumption Limit in the DAEM mitigates this problem Maximum Daily Consumption Limit is analogous to the maximum daily energy limit that Limited Energy Generators can now specify in the DAEM to acknowledge daily fuel constraints

8 4: Expand eligibility of DARD Pumps for NCPC Credits
DARD pumps are currently only eligible for NCPC when they are Postured (dispatched by the ISO out of rate for reliability) in Real-Time Proposed Changes 1 and 2 create a realistic opportunity for DARD pumps to clear economically in the DAEM and RTEM Economically dispatched pump should be eligible for NCPC credits to assure that energy charges do not exceed DARD pump’s bid price. DARD pumps will be eligible for: DA and RT NCPC Credits when energy charges exceed the DARD pump’s bid price (not just when they are postured by the ISO) Hourly short-fall credits for hours when a DARD pump clears in the DAEM and is not scheduled in the RTEM

9 Summary & Proposed Schedule
Proposed modeling changes to better reflect the physical characteristics of the DARD pumps ISO is still evaluating the effective date of these changes Markets Committee Activity August Discussion of proposal September Discussion of proposal/tariff language October Presentation of tariff language October/November Discussion and Vote


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