No response submitted.
- System Marginal Energy Cost - Might be extra clear here that we are not using the LMP, but rather only the energy component. Are there any circumstances where the SMEC is not universal footprint wide?
Powerex suggests this sentence be removed, since the Make Whole section of the BPM addresses the declined energy credits. Having it alongside the settlement math for negative sharing participants creates confusion. “A Participant that declines energy that would have been provided under a Holdback Requirement shall be credited the Energy Declined Settlement Price times the MWh of energy declined by such Participant.”
No response submitted.
NV Energy recommends that more specificity be included in this section. For instance, it is unclear whether or not the most recent high-priced day for the relevant season could be from the previous year. Additionally, NV Energy does not understand how the average Day Ahead SMEC is calculated.
This section includes use of a CAISO price index for calculating the Total Settlement Price, however, a specific CAISO index is not determined in this document. PAC would appreciate further specificity. PAC will look to BPM 207 (Settlement Process), once published, to also include definitive details regarding which CAISO index to utilize for settlement. It may also be worth designating a backup index, should the primary index not be available.
The design document specifies that if there is no high priced day in the current relevant season, the most recent HPD from the prior relevant season is used. This language is not included in the BPM.
No response submitted.
It would benefit the reader to provide specific examples of how the charges are calculated for deficient Participants.
Hourly Shaping Factor: Can you provide an example calculation illustrating the BPM verbiage?
Regarding the System Marginal Energy Cost (“SMEC”): How are price adjustments handled if CAISO republishes the SMEC price? Will the settlement calculations get adjusted? How does this work? Can you please provide an example for clarity?
We understand WPP is using a CAISO concept for pricing total settlements; however, it is prudent to include background on this process in a BPM appendix because CAISO’s Hourly Shaping Factor is an esoteric concept.
No response submitted.
“Energy Declined Settlement Price” is used to price delivered energy – should a different term be utilized? Or is it possible to better explain why this is called Energy Declined in the BPM?