6 Ancillary Services
IFM Procurement and Prices
Table 9 shows the monthly IFM average ancillary service procurement and Table 10 the monthly average prices. In February, the monthly average procurement increased for regulation up, spin and non-spin reserves. The monthly average prices rose for all four types of ancillary services this month.
| Month | Jan-2022 | Feb-2022 | Percent Change |
|---|---|---|---|
| Regulation_Up | 500 | 517 | 3.40% |
| Regulation_Down | 724 | 720 | -0.55% |
| Spin | 869 | 937 | 7.83% |
| Non-Spin | 928 | 967 | 4.20% |
| Month | Jan-2022 | Feb-2022 | Percent Change |
|---|---|---|---|
| Non-Spin | $0.15 | $1.89 | 1 173.4% |
| Regulation_Down | $9.07 | $11.45 | 26.2% |
| Regulation_Up | $6.09 | $11.61 | 90.8% |
| Spin | $4.56 | $5.93 | 30.3% |
Figure 13 shows the daily IFM average ancillary service prices. February 23-28 saw elevated average prices for regulation up, spin and non-spin reserves due to high opportunity cost of energy. The average prices for regulation down were high on February 26 and 27 driven by high opportunity cost of energy.
Figure 13: IFM (Day-Ahead) Ancillary Service Average Price
Scarcity Events
The ancillary services scarcity pricing mechanism is triggered when the ISO is not able to procure the target quantity of one or more ancillary services in the IFM and real-time market runs. The scarcity events in this month are shown in the Table 11 below.
| Date | Hour Ending | Interval | Ancillary Service | Region | Shortfall | Percentage of requirement |
|---|---|---|---|---|---|---|
| Feb-20 | 14 | 3 | Regulation Down | NP26_EXP | 4.8 | 2% |