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Merced Irrigation District transition
The California ISO and Merced Irrigation District have executed a memorandum of understanding that will form the basis of a transition agreement, once negotiations are authorized by the ISO Board of Governors. The community-owned electric utility is considering becoming an ISO participating generator owner, utility distribution company load serving entity and participating transmission owner. If the ISO and Merced were to complete the transition agreement this year, Merced could become a participating generator by summer 2014 and a participating ISO transmission owner as early as July 1, 2015.
Metering rules enhancements
The ISO metering requirements have remained relatively unchanged since 1998. Meanwhile the energy landscape has dramatically changed with the growth in renewables, energy storage, distributed energy resources, energy imbalance market expansion, complex metering configuration needs, and efforts to integrate western balancing areas with the ISO. This initiative will review existing metering requirements and propose possible revisions to accommodate these changes.
Multi-stage generating unit modeling
The California ISO is developing software functionality for modeling multi-stage generating units, such as combined cycle generating plants. These units pose particular challenges with modeling and dispatch because they have multiple configurations in which they can operate and forbidden regions in which they cannot operate. The ISO seeks to review with stakeholders the key policy issues that arise with modeling these units, and to maintain an open dialog as implementation of the multi-stage generating functionality goes forward. The ISO is developing rules for the transition costs specified in the multi-stage generating transition matrix. These mitigation rules to balance flexibility and prevent economic withholding are part of the Bidding and Mitigation of Commitment Costs stakeholder initiative.
Multi-stage generation enhancements
The ISO implemented the multi-stage generation modeling functionality in December 2010 that optimizes the commitment and dispatch of generating units that have multiple operating configurations. Through analysis of commitment, dispatch and market outcomes for multi-stage generation resources, the ISO and stakeholders have identified potential refinements to the procedure. This initiative will lead to the design of the new multi-stage generation functionalities.
Multi-year reliability framework
The staff of the ISO and the California Public Utilities Commission are developing a joint reliability framework for requiring multi-year procurement of backstop power that will complement existing resource adequacy obligations. This effort will recommend the needed revisions to the CPUC resource adequacy program and the ISO capacity procurement mechanism tariff provisions.
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