The third quarter 2020 Market Issues and Performance Report includes coverage of market performance in both the day-ahead and real-time Western Energy Imbalance Market, including coverage of the regional high load period in August and September. Although market prices were high in the California ISO, relative to both the previous quarter and previous year, prices remained competitive. The total estimated wholesale cost of serving ISO load increased significantly to $3.8 billion ($61/MWh). Palo Verde prices exceeded the day-ahead ISO prices and the ISO prices exceeded Mid-Columbia prices during most of the third quarter. Factors contributing to higher electricity costs included lower hydro-electric production and a moderate increase in gas prices. The report
includes special issue coverage of the August load curtailment event, load under-scheduling, hourly block import compensation, resource adequacy performance, demand response, batteries, downward dispatch of renewables, and system market power.