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Flexible ramping product

In August 2011, the California ISO Board of Governors approved the flexible ramping constraint interim compensation methodology.  At that time the ISO committed to begin a stakeholder initiative to evaluate the creation of a flexible ramping product that will allow the ISO to procure sufficient ramping capability via economic bids.  Through this initiative, the ISO will evaluate allocating costs to generation and load in accordance with cost causation principles.




On November 1, 2016 the ISO implemented two market products in the 15- and 5-minute markets: Flexible Ramp Up and Flexible Ramp Down uncertainty awards. These products provide additional upward and downward flexible ramping capability to account for uncertainty due to demand and renewable forecasting errors. In addition, the existing flexible ramping sufficiency test was extended to ensure feasible ramping capacity for real-time interchange schedules.


Initiative status


Implemented: November 1, 2016

FERC approval:
    ER17-40: October 31, 2016
    ER16-2023: September 26, 2016; effective date November 4, 2016

Tariff amendment filings:
   ER17-40: October 6, 2016
    ER16-2023: June 24, 2016

Board of Governors approval: February 3, 2016


FERC filings and orders


Tariff development

Policy development

Working group