Requested
Client Action: Information Only
Date of
Distribution: July 10, 2006
Categories: Grid Operation, Legal/ Regulatory,
Market Rules and Market Design
Subject/
Title: CAISO Sanctions Related to Outage
Reporting ___________________________________________________
Summary: The California ISO (CAISO) will be
submitting a filing to the Federal Energy Regulatory Commission (FERC) this week
requesting a 4-month waiver from enforcing certain CAISO administered sanctions
related to Outage reporting and will initiate a stakeholder process to address
related issues.
___________________________________________________
Main
Text:
On June
28, 2006, the CAISO issued a clarifying market notice and posted responses to
questions and comments received at the June 6 conference call regarding
enforcement of Sanctions under the CAISO Tariff Enforcement Protocol for failure
to meet Generating Unit availability-reporting requirements. In the market
notice, the CAISO indicated it would begin to routinely administer Sanctions for
violations of the requirements beginning with the July 10, 2006 Trading
Day.
Based on
additional concerns expressed by Market Participants regarding the need for
additional clarity in the CAISO Tariff on the specific minimum MW threshold for
the Outage reporting requirements, the CAISO will submit a filing to FERC this
week requesting a 4-month waiver from enforcing Sanctions related to not 1)
meeting tariff requirements to report Outages within 30 minutes, or 2) submit
explanations of Forced Outages within two working days. These Sanctions are specified in CAISO
Tariff Sections 37.4.1.2 and 37.4.3.2.
Upcoming
Stakeholder Process:
Over the
next several months, the CAISO will initiate a stakeholder process in which it
will seek to establish an appropriate explicit minimum MW threshold for the
Outage reporting requirement that appropriately balances the reliability needs
of the CAISO for accurate information on Generating Unit availability with the
cost and feasibility associated with providing that information. The stakeholder
process will also provide an additional opportunity to further clarify and
respond to any additional questions or concerns Market Participants may have
with the reporting requirements.
On-Going
Reporting Obligation:
Accurate
and timely Generating Unit Outage information is essential to control area
reliability and the CAISO’s filing will not change the Outage requirements
specified in CAISO Tariff Section 9.
The CAISO expects that Market Participants will continue to report
Outages as per their current practice, in accordance with the CAISO Tariff and
Good Utility Practice. Although, contingent on FERC
approval, CAISO-imposed Sanctions will be temporarily waived, the CAISO
Department of Market Monitoring will continue to monitor Outage reporting
practices for compliance and any significant changes from historic reporting
practices, and will report non-compliance events to FERC. A suspension of CAISO-imposed Sanctions
does not preclude FERC from pursuing appropriate enforcement actions under its
authority.
CAISO
Posted Responses to Questions and Comments:
The
CAISO has posted a revision to the document summarizing responses to questions
and comments received at the June 6, 2006 at http://www1.caiso.com/1823/1823a6232f2e0.pdf. This document reflects
revisions appropriate for consistency with the CAISO’s pending FERC filing.
___________________________________________________
For More
Information Contact: Brad Cooper, Department of Market
Monitoring, (916) 608-7156 or bcooper@caiso.com
The California ISO strives to be a
world-class electric transmission organization built around a globally
recognized and inspired team providing cost-effective and reliable service,
well-balanced energy market mechanisms, and high-quality information for the
benefit of our customers.
EA/ComPR/IPS/cy