corporate presentation template_internal use only

Market Performance and Planning Forum

January 20, 2015 (revised)

Objective: Enable dialogue on implementation planning and market performance issues

• Review key market performance topics • Share updates to 2015 release plans, resulting from

stakeholders inputs • Provide information on specific initiatives

– to support Market Participants in budget and resource planning

• Focus on implementation planning; not on policy • Clarify implementation timelines • Discuss external impacts of implementation plans • Launch joint implementation planning process

Slide 2

Agenda

Slide 3

10:00- 10:05 Introduction and Agenda Kristina Osborne

10:05 – 11:30 Market Performance and Quality Update

Guillermo Bautista

Nan Liu

11:30 – 12:00 Department of Market Monitoring – Energy Imbalance Market Update

Keith Collins

12:00 – 1:00 Lunch

1:00 – 1:30 Policy Update Brad Cooper

1:30 – 2:30 Release Update Janet Morris

Agenda

Note: Agenda is subject to change.

Market Performance and Quality Update

Guillermo Bautista Alderete, Ph.D. Manager, Market Validation and Quality Analysis Nan Liu Manager, Market Development and Analysis

Slide 4

Energy imbalance market update

• Three-month period of tariff waiver to use last economical signal.

• ISO filed a second waiver to cover the period of November 1 through 13.

• ISO filed a tariff amendment for a 12-month transition period for new EIM entities.

• PacifiCorp (PAC) and ISO continue to improve procedures and software functioning.

• PAC and ISO submitting monthly reports to FERC on EIM performance.

EIM transfer in fifteen-minute market between PAC and California

EIM transfer in FMM for PAC East

EIM transfer in FMM between PAC and ISO

EIM transfer in FMM for PAC East

Balancing test failures observing a downward trend

0%

5%

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45%1-

Nov

4-N

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PAC East PAC West Trend for PAC East Trend for PAC West

Flexible ramp sufficiency test failures have reduced

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10%

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60%2-

Nov

5-N

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PAC East PAC West

Flexible ramp requirement infeasibility has decreased

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40%1-

Nov

4-N

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Freq

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PAC East PAC West

Price frequency in PAC West (ELAP in FMM)

Price frequency in PAC East (ELAP in FMM)

Prices are stable on average at $25 with tariff waiver

$0

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$100

$150

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1-N

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($/M

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Prices with adjustment per waiver Counterfactual prices Current Prices

$0

$50

$100

$150

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1-N

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PAC West less volatile

PAC East

Prices are stable on average at $25 with tariff waiver

RTD Market PAC West

RTD Market PAC East

$0

$50

$100

$150

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$300

1-No

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Daily

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rage

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Frequency of undersupply infeasibilities

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1-N

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Tariff waiver Last economical signal Penalty-based prices Flex-ramp sufficiency test

0%

2%

4%

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8%

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16%1-

Nov

4-N

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FMM Market PAC West

RTD Market PAC West

Drivers of undersupply infeasibilities

FMM Market PAC West

FMM Market PAC East

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Drivers of undersupply infeasibilities

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Dec

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Renewable deviation Load changes Import/Export changesResource Outage Manual Dispatches Resource data alignment

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Renewable deviation Load changes Import/Export changesResource Outage Manual Dispatches Resource data alignmentTransfer/Congestion constraints

FMM Market

RTD Market

Daily average of total available EIM resource capacity in FMM (including economic bids and self schedules)

Price convergence between FMM and real time dispatch improved in December on average

Slide 21

Real-time prices lower than day-ahead prices in December

FMM prices RTD prices

Insufficient upward ramping capacity stayed low in November and December

Insufficient downward ramping capacity edged up in December

Congestion revenue rights market - Revenue inadequacy continued to improve in November and December

CRR revenue adequacy does not include monthly and annual auction avenues.

Exceptional dispatch volume dropped in December

Lower than 0.5%

Daily exceptional dispatches by reason

Bid cost recovery (BCR) rose slightly in December

BCR by local capacity requirement area

BCR by utility distribution company

IFM under-scheduling of wind generation continued in November and December.

Solar scheduled outputs continued to fall in November and December

Integrated forward market (IFM) renewable schedules and forecast in October - December

Intertie economic bids in hour ahead scheduling process (HASP)

BPA implemented 15 minute scheduling on Oct 21.

Minimum online commitment (MOC)

Binding MOC in November and December

MOC Name Number (frequency) of enforced hours in

November and December

Humboldt60 7110 971

SCIT MOC 380

MOC PEASE 2521847 245

SDGE 7820 94

MOC COLEMAN-COTTONWOOD 2435414 61

MOC CENTER 2549952 27

Orange County 7630 16

MOC KRAMER 2544343 14

MOC PALERMO-NICOLAUS 2435410 8

Price correction events increased October - December

0

2

4

6

8

10

12

Jan Feb Mar April May June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2013 2014

Coun

t of E

vent

s

Process Events Software Events Data Error Events Tariff Inconsistency

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2014 day-ahead load forecast

MA

PE

0%

2%

4%

6%

8%

10%

12%


2014 day-ahead wind forecast M

AE

0%

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12%


2014 day-ahead solar forecast M

AE

Department of Market Monitoring – Energy Imbalance Market Update Keith Collins Manager, Monitoring and Reporting

Slide 41

Frequent constraint relaxation continues PacifiCorp East – 15 minute market

Special price discovery feature keeping prices in line with bilateral market prices

PacifiCorp East – 15-minute market

Constraint relaxation is much lower and trending downward

PacifiCorp West (15-minute market)

Impact of price discovery feature PacifiCorp West (15-minute market)

Impact of price mitigation feature PacifiCorp East (5-minute market)

Impact of price mitigation measures PacifiCorp West (5-minute market)

Participating capacity in PACE has increased, but curtailments have sometimes been significant. PacifiCorp East (Gas and coal)

Participating capacity in PACW has increased due to the addition of large coal resources. PacifiCorp West (Gas and coal)

About all participating capacity is being offered PacifiCorp East – December 2014 (Gas and coal only)

About all participating capacity is being offered PacifiCorp West – December 2014 (Gas and coal only)

Offer prices have been very competitive

Policy Update

Brad Cooper Manager, Market Design & Regulatory Policy

Slide 53

Ongoing policy stakeholder initiatives

• Reliability services – Draft final proposal on Jan 22 – March board meeting

• Capacity procurement mechanism replacement – Draft tariff posted on Jan 9 – February board meeting

• Contingency modeling enhancements – Resuming analysis – Revised straw proposal early March – Fall 2015 implementation

Ongoing policy stakeholder initiatives (continued)

• Flexible ramping product – Upcoming call to discuss requirement, market

formulation, and next steps – Revised draft final proposal – May board meeting

• Load granularity refinements – Preliminary pricing results presented at MSC meeting

in December – Pricing study results and implementation costs and

benefits paper posted on January 14 – Stakeholder call on January 21

– May board meeting


• EIM enhancements – Comments due on Jan 22 – Technical workshop on Jan 30 – Draft final proposal posted on Feb 11 – March board meeting

• Commitment cost enhancements – Phase 2 – Technical workshop end of Jan on opportunity cost – Draft final proposal on Feb 3 – March board meeting


• Bidding rules – Consider design changes that can be implemented

before winter 2015-2016

• Stakeholder initiative catalog process – Draft final proposal posted Jan 23 – Present roadmap at February board meeting

Policy stakeholder initiatives coming soon

• Upcoming February board presentation

Stakeholder initiatives going to the Board for approval

Initiative Board Presentation CPM replacement Feb

Reliability services March

Commitment cost enhancements – Phase 2

March

Flexible ramping product May

Load granularity refinements May

Release Plan Updates

Janet Morris Director, Program Management Office

Early 2015 deployments

• Recently implemented • Commitment Costs Enhancements • OASIS version 6.6.1 release – new reports

• February 3, 2015

• Outage Management System Replacement (OMS) – Tariff section 9 changes effective

• Many to Many: SCP Availability Calculations

• Independent efforts • Enabling Demand Response • Pay for Performance Year 1 design changes

Release plan – 2015 • Spring 2015 – Maintenance Release

• No major functional changes • Enhancements or other changes required for summer operations • Minor design changes resulting from the Fall 2014 release • Other system maintenance as needed • Many to Many Substitution/App Consolidation • Convergence Bidding at the Interties • Transaction IDs

• Fall 2015 (tentative) • Energy Imbalance Market (EIM) 2015 / EIM Year 1 Enhancements • Contingency Modeling Enhancements • RIMS functional enhancements • OMAR replacement project • ADS User Interface Replacement and Web Service Standardization • Capacity Procurement Mechanism Replacement • Reliability Services Initiative - tentative based on policy phase • Commitment Cost Enhancements Phase 2 – tentative based on policy phase • Flexible Ramping Product – tentative based on policy phase • Bidding Rules – tentative based on policy phase

• Subject to further release planning: • Expanding Metering and Telemetry Options Phase 2 • BAL-003 Compliance (Frequency Response) – moved to Fall 2016 • Load Granularity Refinements • Pricing enhancements • Subset of Hours (to follow Reliability Service Initiative) • Acceptable Use Policy - Analyzing to identify next services to enforce • IE 11 migration

The ISO offers comprehensive training programs

Date Training February 10 Introduction to ISO Markets (in person) February 11, 12 ISO Market Transactions (in person) March 17 Settlements 101 (in person) March 18 Settlements 201 (in person)

Training calendar - http://www.caiso.com/participate/Pages/Training/default.aspx Contact us - [email protected]

http://www.caiso.com/participate/Pages/Training/default.aspx

mailto:[email protected]

2015 release schedule

http://www.caiso.com/Documents/ReleaseSchedule.pdf



Market simulation plans

ISO is hosting twice weekly Market Simulation calls, presentations can be found here - http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=D0DE8446-C30C-46CE-80B9-6413B6381B64

http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=D0DE8446-C30C-46CE-80B9-6413B6381B64

http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=D0DE8446-C30C-46CE-80B9-6413B6381B64

Commitment costs enhancements Milestone Details/Date Status

Application Software Changes

SIBR: Modification to SIBR rules to accommodate the change of increasing the Proxy Price cap from 100% to 125%. Master File: Modification to restrict Non Use-Limited resources to be on Proxy Cost only, as they shall no longer be allowed to be on Registered Cost. Use-limited resources may use either Registered or Proxy Cost option.

BPM Changes Market Instruments: Updates to section C-3 to help manage gas price spikes (in the event that the more current GPI is greater than 125% of previous day’s GPI in anyone of the ISO’s six gas regions). A process needs to be in place to allow for revising the gas prices used in the commitment cost calculation and bid generation in the Day Ahead market.

Business Process Changes Implement a desktop procedure for the gas price spike

Board Approval Sep 18, 2014 External Business Requirements Oct 15, 2014

Updated BPMs Jan 31, 2014

Technical Specifications N/A

Draft Configuration Guides N/A

Market Simulation N/A

Tariff FERC Order received 12/30/2014; wen into effect 12/31/2014

Production Activation 125% Cap and Manual Process became effective on 12/31/2014; Switching non-use-limited resources from registered to proxy will require 3 business days for the changes, and went into effect on 1/6/2015.

January OASIS release

• OASIS Technical documentation - http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=A177DAEA-91F8-41ED-A85F-B49BE3392393

Market GUI Report Name API Single Zip Query API Group Zip Query

Major Version=3 Minor Version=v20150101

Day-Ahead Scheduling Point/Tie Combination Locational Marginal Prices PRC_SPTIE_LMP DAM_SPTIE_LMP_GRP

Fifteen-Minute (RTPD/15-minute)

FMM Scheduling Point/Tie Combination Locational Marginal Prices PRC_SPTIE_LMP RTPD_SPTIE_LMP_GRP

Real-Time Dispatch (RTD/5-minute)

Interval Scheduling Point/Tie Combination Locational Marginal Prices PRC_SPTIE_LMP RTD_SPTIE_LMP_GRP

Real-Time Contingency Dispatch

Contingency Dispatch Scheduling Point/Tie Combination Locational Marginal Prices PRC_CD_SPTIE_LMP n/a

The scheduling point/tie combination LMPs are related to the fall release 2014 Full Network Model expansion initiative.

http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=A177DAEA-91F8-41ED-A85F-B49BE3392393

http://www.caiso.com/Pages/documentsbygroup.aspx?GroupID=A177DAEA-91F8-41ED-A85F-B49BE3392393

Outage management system (OMS) Milestone Details/Date Status


OMS: New OMS replaces SLLIC and current OMS (transmission) with a single outage management system. Application Programming Interfaces (APIs) will be modified to support new data structures and functionality, and a new user interface will be provided.

BPM Changes

Managing Full Network Model Market Instruments Outage Management Market Operations

Draft Final Proposal Posted December 3, 2013

Conduct Stakeholder Call December 17, 2013 (pushed from December 10)

Stakeholder Comments due December 23, 2013 (pushed from December 17)

Present to Board of Governors February 6, 2014

External Business Requirements - Draft Posted June 28, 2013

External Business Rules Posted February 26, 2014 Reposted Redlined Version December 26, 2015

External Business Requirements - Final http://www.caiso.com/Documents/ExternalBusinessRequirementsSpecification-OutageManagementSystem-Replacement.pdf

http://www.caiso.com/Documents/ExternalBusinessRequirementsSpecification-OutageManagementSystem-Replacement.pdf



Milestone Details/Date Status

Technical Specifications

Generation - January 8, 2014

Transmission - January 27, 2014

Other - February 10, 2014 Publish updates - April 9, 2014 Master File (Gen RDT) - May 24, 2014 Publish final updates for Sandbox API testing – May 30, 2014 Publish alternative Doc Attach WSDLs – August 5, 2014 Updates per Market simulation feedback – September 5, 2014

Developer Customer Partnership Group (CPG) Generation: January 21, 2014 Transmission: February 19, 2014

Business CPG Generation : March 11, 2014 Transmission : March 12, 2014 Joint : March 26, 2014

Cutover CPG August 14, 2014 October 9, 2014

Business Process Changes Manage Generation Outages; Manage Transmission Outages

Updated BPMs September 2014 - PRR Process Ongoing

Sandbox Available for B2B service connectivity testing July 7, 2014

Market Simulation API - July 28, 2014; UI - August 5, 2014 Full System – August 5, 2014 – January 30, 2015

Tariff File Tariff: July 7, 2014 Tariff Approval: September 5, 2014 Tariff Effective Date Confirmed for February 3 – February 28, 2015

Production Activation October 1, 2014 for EIM Parallel Production November 1, 2014 for EIM Tariff and EIM entities February 3, 2015

Outage management system (OMS)

Many to Many: Standard capacity product (SCP) availability calculations



CIRA: • Enhance SCP Availability Calculations Settlements: • Impacts based on resource availability calculation in CIRA. Current system uses point and actual values in RAAM, with

OMS there are only point values because of which the data settlements receive will be different than today.

Board Approval N/A

BPM Changes

September 16, 2014 - Reliability Requirements, PRR 776 July 29, 2014 – Settlements and Billing (related to OMS), PRR 752 (eff. 10/11/14) November 5, 2014 – Reliability Requirements, PRR 802 (eff. 12/08/14) for 1 2 substitution for RAAM

External Business Requirements

Many to Many: January 23, 2014 (original) March 13, 2014 (revised) May 16, 2014 (revised) June 19, 2014 (revised, shows phased approach)

Application Consolidation: March 12, 2014 (original) June 19, 2014 (revised, shows phased approach)

Market Simulation

October 20 – October 31, 2014 Structured: Scenarios posted w/timeline Unstructured:

December 3 – December 4, 2014 (Updated) • Structured: Rerun of Scenarios due to CIDI tickets, posted statements 12/9

File Tariff N/A -

Training August 19, 2014 – SCs for Resources, Settlements (posted RAAM User Guide on 8/5)

Production Activation February 3, 2014

Enabling demand response Milestone Details/Date Status

Application Software Changes A new application for DRPs to manage locations via user interface and application programming interface (API). Application will verify UDC account number uniqueness.

BPM Changes Under review.

Business Process Changes Under review.

Board Approval N/A

External Business Requirements Sep 12th, 2014

Updated BPMs Yes, publication date being assessed.

Technical Specifications

Sep 19th, 2014– Use cases Sep 19th 2014– Web Service Data Requirements Oct 15th 2014 –Technical specifications with XSDs Nov 14th 2014 – Full Technical Specifications (including wsdl’s)


Market Simulation February 10-20 (Registration) February 23-27 (RDRR Structured Scenario Reruns)

Tariff N/A

Production Activation February 24, 2015

Pay for performance year 1 design changes Milestone Details/Date Status


MQS: • The monthly performance accuracy calculation will be changed from the simple

average to the weighted average with 15-minute interval instructed regulation mileage as the weighting factor

• The minimum performance threshold will be reduced from the current 50% to 25%.

BPM Changes Yes: Market Instruments

Business Process Changes No

Board Approval 11/13/14

External Business Requirements Yes

Updated BPMs TBD




Tariff Posted December 2, 2014 http://www.caiso.com/Documents/Dec2_2014_TariffAmendment_PFP_YearOneChanges_ER15-554-000.pdf Anticipate FERC order in early February 2015

Production Effective Date (pending FERC approval)

Effective date is January 1, 2015 Production changes to be deployed by January 23, 2015

http://www.caiso.com/Documents/Dec2_2014_TariffAmendment_PFP_YearOneChanges_ER15-554-000.pdf






Spring 2015 – Many to many substitution/app consolidation Milestone Details/Date Status


CIRA: • Add new functionality to process many to many substitution requests • Enhance SCP Availability Calculations (in Fall 2014 Release) • Provide single platform for management of resource adequacy and replacements /substitutions for

associated outages Settlements: • Impacts based on resource availability calculation in CIRA. Current system uses point and actual

values in RAAM, with OMS there are only point values because of which the data settlements receive will be different than today.

Board Approval N/A

BPM Changes N/A (to be confirmed based on feedback provided)


Many to Many: January 23, 2014 (original) March 13, 2014 (revised) May 16, 2014 (revised) June 19, 2014 (revised, shows phased approach)

Application Consolidation: March 12, 2014 (original) June 19, 2014 (revised, shows phased approach)



Market Simulation Yes - TBD

File Tariff January 2015 (tentative)

Production Activation April 1, 2015

Spring 2015 – Convergence bidding on the interties Milestone Details/Date Status


This is an existing market functionality that is currently disabled. Will be reinstated in DAM in 2015 Spring release. Impacted systems: SIBR, IFM, Settlements, OASIS, and CTS. SIBR: • Allow SC to submit virtual bids on the intertie with an intertie ID • The position limit validation rule will be extended to support both scheduling constraints:

scheduling limit constraint for each intertie and ITC constraint for a set of scheduling points

IFM: • Model virtual bid on the intertie in the same manner as physical import/export bids RUC: • Exclude virtual import/export • Reschedule IFM physical import/export schedules economically based on IFM bids Settlements: • Virtual Import awards on the intertie shall be paid the day-ahead LMP and charged the

simple average of four 15-minute market LMP of the trading hour. • Virtual Export awards on the intertie shall be charged the day-ahead LMP and be paid

the simple average of four 15-minute market LMP of the trading hour. where LMP above is the virtual resource’s Scheduling Point – Intertie combination LMP. OASIS: • Add new field intertie ID in the Convergence Bidding Public Bids report CMRI: • No XSD change. • DAM Virtual Resource Award report will populate the field of intertie ID CTS: • Support Convergence Bidding on the intertie

BPM Changes Market Operations, Market Instruments, Settlements and Billing

Business Process Changes N/A

Spring 2015 – Convergence Bidding on the Interties– cont’d Milestone Details/Date Status

Board Approval February 5, 2014


January 23, 2015 - tentative

Updated BPMs Market Instruments

Technical Specifications OASIS Convergence Bidding Public Data Report will be modified to add a new field of intertie ID OASIS Reference Price report will be modified to show the Scheduling Point – Intertie combination reference price


Market Simulation TBD

Tariff FERC Order – March 20, 2014

Production Activation May 1, 2015

Spring 2015 – Transaction IDs Milestone Details/Date Status


This is an existing market functionality Master File: Retire Import/export resource ID, except some specific resources related RA, AS, contract SIBR: Submit and create transaction ID for the SC Bids on Scheduling Points dynamically; SIBR will not accept bids from retired Resource ID DAM/RTM/ITS/CMRI/ADS/OASIS/Settlement: Receive and process the dynamically formed transaction ID.

BPM Changes No changes expected Market Operations, Market Instruments, Managing FNM

Board Approval February 6, 2014


7/29/2014 http://www.caiso.com/Documents/BusinessRequirementsSpecification-FullNetworkModelExpansion.pdf

Updated BPMs N/A



Tariff FERC Approval on July 31, 2014

Production Activation April 1, 2015

http://www.caiso.com/Documents/BusinessRequirementsSpecification-FullNetworkModelExpansion.pdf

http://www.caiso.com/Documents/BusinessRequirementsSpecification-FullNetworkModelExpansion.pdf

Spring 2015 – Transaction IDs: Market notice dated 7/2/14

• The ISO postponed the mandatory cutoff date from October 1, 2014 to April 1, 2015 for existing intertie resource IDs to use the transaction IDs to bid or schedule interties.

• The intent of this postponement is to give market participants more time to make necessary system and business process changes prior to requiring the use of the transaction IDs.

• After the mandatory cut-off date, all intertie resource IDs except the ones indicated below will be end dated and thus cannot be used for inter-tie bidding and scheduling purposes.

• This postponement is only applicable to existing defined ITIE/ETIE resource IDs that have been defined in the Master File. The ISO will not "end date" those resource IDs until April 4, 2015. However, the ISO will not accept any new ITIE/ETIE resource ID registration for an effective date after October 1, 2014 unless the resources are not required to convert to transaction IDs. For example, the resources associated with ancillary services import, existing transmission contracts and transmission ownership rights (ETC/TOR) contract, or resource adequacy capacity.

Fall 2015 – NV Energy EIM 2015 Milestone Details/Date Status

Application Software Changes Implementation of NV Energy as an EIM Entity DAM/RTM- model the multiple dynamic schedules on jointly-owned resource Establishment of EIM transfer Limits Using ATC

BPM Changes No changes expected

Business Process Changes No changes expected

Board Approval N/A

External Business Requirements 3/27/15 (Coordinate with EIM Year 1 Enhancement)

Updated BPMs No changes expected

Technical Specifications No changes expected

Draft Configuration Guides No changes expected

Market Simulation

ISO to promote market network model including NVE area to non-production system and allow NVE to connect and exchange data in advance of Market Simulation by 5/15/15. Market Simulation planned 8/3/15 through 9/15/15.

Tariff No changes expected

Production Activation Modeling NVE into the CAISO FNM through the EMS on 4/23/15. Production activation on 10/1/15 (parallel production is being considered).

Fall 2015 – EIM year 1 enhancements Milestone Details/Date Status


• Settlement of Non-Participating Resources IIE and UIE (Settlement) • Administrative pricing rules (MF, MQS) • GHG flag and cost based bid adder (MF, SIBR, RTM) • Resource sufficiency evaluation applied to ISO BAA (MF, BSAP, RTM) • Establishment of EIM transfer Limits Using ATC (MF, RTM) • Modification EIM Transfer Limit Constraints (MF, RTM)

• 15 minute Bidding on external EIM interties (MF,RTM) • Additional Transition Period Measures (MF, MQS) • EIM Administrative Charge Redesign (Settlement)

BPM Changes Market Operations, Settlements and Billing

Business Process Changes Yes

Board Approval Seeking BOG decision on March 26-27, 2015

External Business Requirements March 30, 2015

Technical Specifications TBD

Draft Configuration Guides TBD

Market Simulation Yes

Tariff Yes

Production Activation Fall 2015

Fall 2015 - Contingency modeling enhancements Milestone Details/Date Status


IFM/RTN: Adds a preventive-corrective constraint to the market co-optimization OASIS/CMRI: Publish preventive-corrective capacity awards with associated LMPC Settlements: Payment and charges for corrective capacity awards, allocation of cost of the corrective capacity constraint, no-pay provisions, bid cost recovery

BPM Changes Manage Full Network Model, Market Operations, Market Instruments, Settlement and Billing, Definitions and Acronyms

Study Results In Person Call: March 20, 2014 Resuming analysis as of January 2015 Revised straw proposal to be posted in early March 2015

Board Approval Spring 2015

External Business Requirements TBD




File Tariff TBD

Production Activation October 1, 2015 (Fall 2015 Release)

Fall 2015 – RIMS function enhancements


Application Software Changes Functional enhancements resulting from the Customer Partnership Group CPG). More details to be provided in the future.

BPM Changes TBD

Business Process Changes TBD

Board Approval N/A


Updated BPMs TBD




Tariff N/A


Fall 2015 – OMAR replacement project Milestone Details/Date Status


Current metering space at the ISO consists of three major software systems – 1. A product that processes Revenue Quality Meter Data (RQMD) in to Settlement

Quality Meter Data (SQMD) 2. A data repository of all SQMD used in Settlements 3. An external facing web application to enable market participant access to

SQMD. The scope of the project is to replace/consolidate all the three above systems with the ISO Settlements solution. A new user interface and B2B services are in scope. B2B services will be modified to align with CIM standard and to convert to GMT, and the existing FTP solution will be replaced. The new solution will also remove the custom OMAR certificates by leveraging the CAISO Multiple Application (CMA) certificates.

BPM Changes Metering and Definitions & Acronyms (references to systems may need to change)

Business Process Changes Potential Level-II business process changes under – • Manage Market & Reliability Data & Modeling • Manage Operations Support & Settlements

Board Approval Potentially needed – Dates TBD

External Business Requirements N/A




Tariff N/A


Fall 2015 – ADS user interface replacement and web service standardization


Application Software Changes • Port client from Delphi to new common user interface (ADS Query Tool and

Real Time Functionality) • Conform APIs to current ISO standards – will be deferred beyond Fall 2015

BPM Changes N/A

Business Process Changes N/A

Board Approval N/A

External Business Requirements N/A

Updated BPMs N/A




Tariff N/A


Fall 2015 – Capacity procurement mechanism replacement Milestone Details/Date Status


- SCs will need the mechanism to submit bids via template (ISO will name application as requirements are developed) - Business and validation rules need to be developed for bid submission - Settlements will need new CPM formulas that will result in configuration changes

BPM Changes Reliability Requirements; Market Operations; Market Instruments; Billing & Settlements

Business Process Changes

- Solicitation for soft offer cap (will be meeting with Heather's team to nail down what level 2 process this belongs to). Timeline for submittal needs to be defined. - Submittal process for annual/monthly CPM bid submittal - New business process for amount of capacity being relied on (non-RA from partial RA) - New process for Competitive Solicitation Process (annual/month annual and risk)

Board Approval February 2015


Updated BPMs TBD




Tariff Yes

Production Activation TBD

Fall 2015 – Reliability services initiative Milestone Details/Date Status


The following systems could be impacted based on the below scope: CIRA, Settlements, SIBR, Exceptional Dispatch Tool (internal ISO Operations tool), and Master File. • Updates to the eligibility criteria for demand response to qualify as a Resource Adequacy (RA) resources • Language on the eligibility criteria and must-offer requirement for storage to qualify as a RA resource • Replacement and substitution rules for flexible RA resources • New price and rules for the SCP for all RA resources including flexible resources • New CPM price

BPM Changes Reliability Requirements; Market Operations; Market Instruments; Billing & Settlements


Board Approval March 2015


Updated BPMs TBD




Tariff Yes


Fall 2015 – Flexible ramping product Milestone Details/Date Status


ADS: Send Flexible Ramping Up/Down Awards to Market Participants in DAM for CAISO and FMM for CAISO and EIM. CMRI : Report Flex Ramp Up/Down Awards to Market Participants. DAM/RTM: Co-optimize Energy Ancillary Services and Flexible Ramping up/down. OASIS: Show aggregated Flexible Ramping capacity awards, requirements and marginal prices. Settlements: Settle Flexible Ramping payment at marginal price in Day Ahead and Real Time markets. Add no pay and cost allocation for Flexible Ramping. SIBR: Include Flexible Ramping bidding capability and relevant validation rules of bid cap, self provision.

BPM Changes Market Operations; Market Instruments; Settlements & Billing; Definitions & Acronyms.

Business Process Changes Maintain Day Ahead Process, Real Time Process, Manage Billing and Settlements

Board Approval

February 2015 Restart Stakeholder Process in May, 2014 http://www.caiso.com/informed/Pages/StakeholderProcesses/FlexibleRampingProduct.aspx


Technical Specifications TBD; 4/14/2014: Change the FRC penalty price from $247 to $60 in FMM



Tariff

Yes; The language proposes to change the flexible ramping constraint penalty price from $247 to $60. The draft tariff language is available on the ISO website at http://www.caiso.com/Documents/DraftTariffLanguage_FlexibleRampingProduct.doc


http://www.caiso.com/informed/Pages/StakeholderProcesses/FlexibleRampingProduct.aspx

http://www.caiso.com/informed/Pages/StakeholderProcesses/FlexibleRampingProduct.aspx

http://www.elabs7.com/c.html?ufl=7&rtr=on&s=lgl3,15dt3,7k2,36xy,dqpi,b589,diqv

TBD – Expanding Metering and Telemetry Options Phase 2 Milestone Details/Date Status


No ISO Application Software Changes. POC’s to test that current systems support the proposals. Proposal 1 - Use of Internet for Telemetry and ISOME Meter Data bridging to the CAISO Energy Communication Network (ECN); Proposal 2 - Use of Internet for Telemetry (with SSL) and Meter Data (w/o SSL) transport directly to the CAISO; Proposal 3 - Expand the use of Inter-Control Center Communications Protocol (ICCP) as an allowable option for RIG Aggregators (telemetry only); Proposal 4 - Expand the ability for resources to submit Settlement Quality Meter Data; Proposal 5 - Remove RIG Aggregator resource ownership and location limitations.

BPM Changes Metering, Direct Telemetry

Post comments and updated draft proposal February 20, 2015

Final draft proposal Stakeholder conference call Week of March 16, 2015

Board Approval May 14 – 15, 2015


Updated BPMs TBD



Tariff filing September 1, 2015


TBD – Load granularity refinements Milestone Details/Date Status


Alternatives: • Existing DLAPs; • Full Nodal; • Slight Disaggregation- Assuming 6 LAPs; • 23 Existing SLAPs; • Custom LSE-Specific LAPs

BPM Changes TBD


Board Approval Paper posted on January 14, 2015; stakeholder call on January 21. May 2015


Updated BPMs TBD




Tariff TBD


Fall 2016 – BAL-003 compliance



On January 16, 2014, FERC approved BAL-003-1 “Frequency Response and Frequency Bias Setting,” with different implementation dates for different requirements. R1 goes into effect the first calendar day of the first calendar quarter 24 months after regulatory approval. http://www.gpo.gov/fdsys/pkg/FR-2014-01-23/pdf/2014-01218.pdf 4/1/16: RI effective date 12/1/16: 2017 BA FRO in place (start data collection) 4/1/18: Compliance effective date (supply data to NERC) (UPDATED)

BPM Changes TBD


Board Approval TBD





Tariff TBD

Production Activation Fall 2016 (UPDATED)

http://www.gpo.gov/fdsys/pkg/FR-2014-01-23/pdf/2014-01218.pdf

2015 Schedule – Market Performance and Planning Forum

• March 18 • May 20 • July 21 • September 23 • November 18