The California ISO to distribute penalty proceeds and nonrefundable interconnection funds

The California ISO is distributing the proceeds of the Rules of Conduct penalties collected during 2024, and the forfeited study deposits from 2024 for projects interconnecting to Southern California Edison Co.’s distribution system. 

Eligible scheduling coordinators will receive their distribution of the 2024 Rules of Conduct penalties and the 2024 forfeited study deposits on the T+9B Settlement Statement for trade date July 2, 2025, via charge code 1592 for Rules of Conduct penalties, and charge code 8526 for forfeited study deposits.

Rules of Conduct penalties will be distributed to those scheduling coordinators that were not assessed a financial penalty under section 37 for 2024 based on the pro rata share of grid management charge they paid during the calendar year. The interconnection study deposits will be distributed pro rata based on grid management charge paid during the calendar year without regard to whether a scheduling coordinator was assessed a penalty under section 37 for the year. 

As required by section 37.9.4 of the ISO tariff, the ISO has posted an informational report summarizing the 2024 Rules of Conduct penalties to the ISO website.  The report provides information about the financial sanctions assessed for the calendar year, including the number of violations and total financial sanctions assessed for each category of violation.