As part of the temporary Aliso Canyon provisions, the California ISO has been manually updating the gas price indices used for the day-ahead market. With the expiration of this temporary provision, the ISO stopped this manual process as of Jan. 1, 2020.
With the implementation of the temporary provisions for the Aliso Canyon Natural Gas Storage Facility, the ISO used a manual process to update the gas price indices for the day-ahead market. This allowed the day-ahead market to use a more recent gas price index.
As part of the implementation of the Commitment Costs and Default Energy Bids filed in August 2019, the ISO submitted a request with the Federal Energy Regulatory Commission (FERC) to make the provision permanent. The provisions were set to expire on Jan. 1, 2020, and as of that date, the ISO has not received FERC approval on this specific section of the filing. Therefore, the ISO has stopped updating the gas prices indices manually. The day-ahead market will now use gas indices as calculated the night prior to the run of the day-ahead market.
