Exceptional Dispatch Uplift Settlement

Settlements and Billing

BPM Configuration Guide: Exceptional Dispatch Uplift Settlement

CC 6488

Version 5.10 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

Table of Contents

1. Purpose of Document 3

2. Introduction 3 2.1 Background 3 2.2 Description 3

3. Charge Code Requirements 13 3.1 Business Rules 13 3.2 Predecessor Charge Codes 14 3.3 Successor Charge Codes 14 3.4 Inputs – External Systems 15 3.5 Inputs - Predecessor Charge Codes or Pre-calculations 15 3.6 CAISO Formula 15 3.7 Outputs 17

4. Charge Code Effective Date 17

l ÓCAISO 2018 Page 2 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

1. Purpose of Document

The purpose of this document is to capture the requirements and design specification for a SaMC Charge Code in one document.

2. Introduction

2.1 Background

Exceptional Dispatches are those dispatches entered manually by the Operator into the Real-Time Market optimization software so that they will be accounted for and be included in the communication of Dispatch Instructions to Scheduling Coordinators. Exceptional Dispatches are not determined by the optimization software and shall not be eligible to set the resource specific Real-Time Settlement Interval Locational Marginal Price (LMP) and are settled differently depending on the types of Exceptional Dispatches that apply. Exceptional Dispatch Uplift Settlement (CC 6488) is the Excess Cost Payment (Uplift) for Exceptional Dispatches that are used to mitigate or resolve Congestion as a result of Transmission related modeling limitations in the FNM (Full Network Model). These dispatches are paid at bid or better, the initial Settlement occurring in Real Time Instructed Imbalance Energy Settlement (CC 6470) where incremental IIE Dispatches are paid the maximum of the Bid Price or resource specific Real-Time Settlement Interval LMP and decremental IIE Dispatches are paid at the minimum of resource specific Real-Time Settlement Interval LMP and Bid Price. Payment to the Bid Price, if it is greater than the Resource Specific Real-Time Settlement LMP, happens in Exceptional Dispatch Uplift Settlement. Exceptional Dispatch Uplift Settlement is calculated for each Resource and each Settlement Interval as the cost difference between the Resource Specific Real-Time Settlement Interval LMP and one of the following three costs: 1. The Resource’s Energy Bid cost 2. The Default Energy Bid cost 3. The Energy Bid cost at the negotiated Price, if applicable, for the relevant Exceptional Dispatch (for system resources only) Payments from Exceptional Dispatch Uplift Settlement are allocated in CC 6489 Exceptional Dispatch Uplift Allocation. The Excess Costs are charged to the Participating Transmission Owner (PTO) in whose PTO Service Territory the Transmission-related modeling limitation is located. If the modeling limitation affects more than one PTO, the Excess Cost Payments are allocated pro-rata in proportion to each PTO’s Transmission Revenue Requirement (TRR).

2.2 Description

Exceptional Dispatch Uplift Settlement takes incremental (greater than zero) and decremental (less than zero) IIE quantities where the Exceptional Dispatch Type is identified as Transmission Modeling with or without a Bid (Exceptional Dispatch Type = TMODEL, TMODEL1, TMODEL2, TMODEL3, TMODEL4, TMODEL5, TMODEL6, TMODEL7, or OTHER) and multiplies them by the difference between the relevant Exceptional Dispatch Price and the Resource-Specific Real-Time Settlement Interval LMP.

If the Exceptional Dispatch Price is lower than the resource specific Real-Time Settlement Interval LMP on Inc quantities, or higher than the LMP on Dec quantities, then no Uplift is required in this Charge Code (CC 6488). Prior to the September 21, 2006 FERC Order, a resource must be operating within its Tolerance Band for the relevant Settlement Interval to receive Exceptional Dispatch Uplift Settlement. To be consistent with Paragraph #516 of the FERC Order, a resource will no longer be required to perform within its relevant Tolerance Band to receive Excess Cost Payments. Additionally stated in Paragraph #516, resources that fall short of the Day Ahead and RT Dispatch Instructions shall only be guaranteed the recovery of cost associated with the Energy actually provided, and should not receive payment for deviations from DA Schedule or RT Dispatch Instructions; therefore Excess Cost Payments will be paid based on Energy actually provided and should not receive payment for deviations from RT Dispatch.

Exceptional Dispatch Uplift Settlement is calculated in 10-minute Settlement Intervals and appears on the Market Invoice.

IIE Excess Cost Exceptional Exceptional Exceptional Settlement for INC IIE Dispatch INC Dispatch Dispatch/Transac and DEC Uplift Settlement (CC 6470) (CC 6482) tion Type Settlement Category (CC 6488)

Exceptional Paid or Dispatches used Charged the for System difference Emergency between Conditions, to Resource- Paid or Avoid Market Specific Charged at Intervention, Settlement Resource- Over-generation Interval LMP SYSEMR Specific N/A Conditions or to and one of Settlement Prevent or the following: Interval Relieve Imminent (1) Bid, (2) LMP System the Default Emergencies Energy Bid, including forced or (3) start-ups and negotiated shutdowns price Exceptional SYSEMR1 Paid or Paid or N/A l ÓCAISO 2018 Page 4 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

Dispatches used for System Emergency Charged the Conditions, to difference Avoid Market between Intervention, Resource- Over-generation Specific Charged at Conditions or to Settlement Resource- Prevent or Interval LMP Specific Relieve Imminent and one of Settlement System the following: Interval Emergencies (1) Bid, (2) LMP including forced the Default start-ups and Energy Bid, shutdowns due to or (3) environmental, negotiated unit specific price issues, or the Pmin issues Paid or Energy Charged the purchased by the difference CAISO from a between utility in another Resource- Control Area as a Specific result of a CAISO Settlement request for Paid or Interval LMP assistance in Charged at and one of System Resource- the following: Emergency TEMR Specific N/A (1) supplier conditions, in Settlement pre- order to avoid an Interval established intervention in LMP price, (2) market negotiated operations, or to price, or (3) prevent or relieve default price an imminent as specified System in CAISO Emergency Tariff The Exceptional TModel Paid or N/A Paid or Charged Dispatch Charged at the difference associated with Resource- between l ÓCAISO 2018 Page 5 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

Resource- Specific Settlement Interval LMP and one of the an Energy Bid or following: (1) no bid to resolve negotiated Congestion as a price, (2) Specific result of a calculated price Settlement transmission- determined by Interval related modeling CAISO Tariff LMP limitation not associated with a particular TO. or in the case of T Model Bid (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Paid or Charged the difference between The Exceptional Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve Paid or and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- TMODEL1 Specific N/A price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price The Exceptional TMODEL2 Paid or N/A Paid or Charged l ÓCAISO 2018 Page 6 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

the difference between Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- Specific price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Paid or Charged the difference between The Exceptional Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve Paid or and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- TMODEL3 Specific N/A price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price The Exceptional TMODEL4 Paid or N/A Paid or Charged l ÓCAISO 2018 Page 7 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

the difference between Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- Specific price, (2) related modeling Settlement calculated price limitation not Interval determined by associated with LMP CAISO Tariff resources or in the case of particular TO of T Model Bid resources (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Paid or Charged the difference between The Exceptional Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve Paid or and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- TMODEL5 Specific N/A price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price The Exceptional TMODEL6 Paid or N/A Paid or Charged l ÓCAISO 2018 Page 8 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

the difference between Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- Specific price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Paid or Charged the difference between The Exceptional Resource- Dispatch Specific associated with an Settlement Energy Bid or no Interval LMP bid to resolve Paid or and one of the Congestion as a Charged at following: (1) result of a Resource- negotiated transmission- TMODEL7 Specific N/A price, (2) related modeling Settlement calculated price limitation due to Interval determined by the submission of LMP CAISO Tariff inaccurate or incomplete or in the case of information from a T Model Bid specific TO (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Exceptional NonTModel INC IIE paid N/A N/A l ÓCAISO 2018 Page 9 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

or Charged at max (Resource- Specific Settlement Interval LMP, Bid, the Default Energy Bid, or negotiated Dispatches for price) Non- DEC IIE Transmission- paid or Related Modeling Charged at Limitations min (Resource- Specific Settlement Interval LMP, Bid, the Default Energy Bid, or negotiated price)

Paid or Charged the max (Resource- AS Testing ASTest Specific N/A N/A Settlement Interval LMP or Energy Bid) Pre-commercial PreTest Paid or N/A N/A Operations testing Charged the

for Generators max (Resource- Specific l ÓCAISO 2018 Page 10 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

Settlement Interval LMP or Energy Bid) Paid or Charged at the Resource- Specific TOR or ETC Settlement Schedule Interval Changes after TORETC LMP. N/A N/A HASP However, Congestion Charge reversal shall be made in CC 6788. Paid or Charged at the Resource- Specific TOR or ETC Settlement Schedule Interval Changes after TORETC1 LMP. N/A N/A HASP However, Congestion Charge reversal shall be made in CC 6788. Not included Black Start BS (settled in N/A N/A 3101) Not included Voltage Support VS (settled in N/A N/A 3303)

Paid at Resource- Specific Settlement Interval LMP

Difference RMR Test Energy RMRT between NA NA Contract Price and Resource- Specific Settlement Interval LMP is paid on the RMR Invoice Paid at the RMR Energy Default RMRRC2 NA NA Condition 2 Energy Bid Price Paid at Resource- Specific Settlement Interval LMP

RMR Energy/ RMR/Substitution Difference RMR/RMRS N/A N/A between Condition 1/2 Contract Price and Resource- Specific Settlement Interval LMP is paid on the RMR Invoice

Paid or Charged the difference between Resource- Specific Settlement Interval LMP Paid or and one of the Charged at following: (1) Resource- negotiated OTHER Specific N/A price, (2) Settlement calculated price Interval determined by LMP CAISO Tariff or in the case of T Model Bid (1) Bid, (2) the Default Energy Bid, or (3) negotiated price Paid or Charged at Resource- SLIC SLIC Specific N/A N/A Settlement Interval LMP

3. Charge Code Requirements

3.1 Business Rules

Bus Business Rule Req ID 1.0 Exceptional Dispatch Uplift Settlement pays the Business Associates the cost difference between the Real-Time Settlement Interval LMP and the Exceptional IIE Price (bid or better) for quantities where the Exceptional Dispatch Type is equal to TMODEL, TMODEL1, l ÓCAISO 2018 Page 13 of 17 Settlements and Billing Version: 5.10 Configuration Guide for: Exceptional Dispatch Uplift Settlement Date: 0204/1801/1109

Bus Business Rule Req ID TMODEL2, TMODEL3, TMODEL4, TMODEL5, TMODEL6, TMODEL7, or OTHER. The difference in Energy costs between Settlement at the Exceptional IIE Price and the Real-Time Settlement Interval LMP is paid as Exceptional Dispatch Uplift Settlement for the Energy actually provided 1.1 if Energy costs at the Exceptional IIE Price are greater than the cost at the Settlement Interval Real Time LMP. (Incremental - Where the Exceptional Dispatch IIE is greater than zero) The difference in Energy costs between Settlement at the Exceptional IIE Price and the Real-Time Settlement Interval LMP is paid as Exceptional Dispatch Uplift Settlement for the Energy actually provided 1.2 if Energy costs at the Exceptional IIE Price are greater than the cost at the Settlement Interval Real Time LMP. (Decremental - Where the Exceptional Dispatch IIE is less than zero) Resources shall not receive Excess Cost Payments for deviations from 1.3 RT Dispatch. Exceptional IIE Prices and Real-Time Settlement Interval LMPs can be 2.0 positive or negative. Resource Type must be passed through in the Resource-specific output 3.0 for Exceptional Dispatch Uplift Settlement as the Resource Type affects the allocation in CC 6489 Exceptional Dispatch Uplift Allocation. For adjustments to the Charge Code that cannot be accomplished by 4.0 correction of upstream data inputs, recalculation or operator override Pass Through Bill Charge (PTB) logic will be applied. Exceptional Dispatch Uplift Settlement is calculated daily in 10-minute 5.0 Settlement Intervals and appears on the Market Invoice.

3.2 Predecessor Charge Codes

Charge Code/ Pre-calc Name Real Time Price Pre-calculation Metered Energy Adjustment Factor Pre-calculation

3.3 Successor Charge Codes

Charge Code/ Pre-calc Name Exceptional Dispatch Uplift Allocation (CC 6489)

3.4 Inputs – External Systems

Row Variable Name Description # Price for the Exceptional IIE for the Generating, Participating Load or System Resource r for Business Associate B during dispatch Interval f, bid segment ExceptionalDispatchIIEprice number b in settlement Interval i of 1 BrtObhif Trading Hour h for Exceptional Dispatch Type O = TMODEL, TMODEL1, TMODEL2, TMODEL3, TMODEL4, TMODEL5, TMODEL6, TMODEL7, or OTHER. IIE Quantity due to an Exceptional dispatch for the Generating, Participating ExceptionalDispatchIIE Load or System for Exceptional Dispatch 2 Type O = TMODEL, TMODEL1, BrtuT’ObI’M’AA’R’W’S’F’VL’Phif TMODEL2, TMODEL3, TMODEL4, TMODEL5, TMODEL6, TMODEL7, or OTHER. Exceptional Dispatch Uplift Settlement PTBChargeAdjustmentExce Amount PTB Charge Adjustment Amount due Business Associate B, Resource ID r, 3 ptionalDispatchUpliftSettlem Exceptional Dispatch Type O, PTB ID J, entAmount BrtOJPhi and PTO ID P of Trading Hour h and Settlement Interval i. ($)

3.5 Inputs - Predecessor Charge Codes or Pre-calculations

Row Predecessor Charge Code/ Pre-calc Variable Name # Configuration SettlementIntervalRealTimeL 1 Real Time Price Pre-calculation MP BrtuM’hi RTMarketMeteredEnergyAdj ustmentFactorExceptionalDis Metered Energy Adjustment Factor Pre- 2 patchMeteredEnergyAdjustm calculation entFactor BrtuT’I’M’F’S’hif

3.6 CAISO Formula

ExceptionalDispatchUpliftAmount BrtOPhi =  FiveMinuteExceptionalDispatchUpliftAmount f

BrtOPhif

FiveMinuteExceptionalDispatchUpliftAmount BrtOPhif =

For all exceptional dispatches where EXCP_DISPATCH_TYPE (O) = TMODEL, TMODEL1,TMODEL2,TMODEL3,TMODEL4,TMODEL5,TMODEL6,TMODEL7, or OTHER

(ExceptionalDispatchIIE BrtuT’ObI’M’AA’R’W’S’F’VL’Phif *

RTMarketMeteredEnergyAdjustmentFactorExceptionalDispatchMeteredEnergyAdjustmentFacto r BrtuT’I’M’F’S’hif ) >= 0

FiveMinuteExceptionalDispatchUpliftAmount BrtOPhif =               u b T' I' M' A A' R' W' S' F' V L' f

(-1)* max ( 0, (ExceptionalDispatchIIEprice BrtObhif – SettlementIntervalRealTimeLMP BrtuM’hi ) *

ExceptionalDispatchIIE BrtuT’ObI’M’AA’R’W’S’F’VL’Phif * RTMarketMeteredEnergyAdjustmentFactorExceptionalDispatchMeteredEnergyAdjustmentFacto r BrtuT’I’M’F’S’hif)

FiveMinuteExceptionalDispatchUpliftAmount BrtOPhif =

              u b T' I' M' A A' R' W' S' F' V L' f

(-1)* min (0, (ExceptionalDispatchIIEprice BrtObhif – SettlementIntervalRealTimeLMP BrtuM’hi) *

ExceptionalDispatchIIE BrtuT’ObI’M’AA’R’W’S’F’VL’Phif * RTMarketMeteredEnergyAdjustmentFactorExceptionalDispatchMeteredEnergyAdjustmentFacto r BrtuT’I’M’F’S’hif)

3.7 Outputs

Row Name Description # Settlement amount for Exceptional Dispatch Uplift for Business Associate B, ExceptionalDispatchUpliftAmount Resource r, Resource Type t, 1 BrtOPhi Exceptional Dispatch Type O, and PTO ID P for Settlement Interval i in Trading Hour h. FiveMinuteExceptionalDispatchUp Five Minute Exceptional Dispatch Uplift liftAmount BrtOPhif Amount for Business Associate B, Resource r, Resource Type t, 2 Exceptional Dispatch Type O, and PTO ID P for Settlement Interval i in Trade Hour h and dispatch interval f 4. Charge Code Effective Date

Charge Code/ Document Effective Effective Version Update Type Pre-calc Version Start Date End Date Name Exceptional Dispatch 07/31/10O Documentation Edits 5.0 04/01/09 Uplift pen Only Settlement Exceptional Documentation Edits Dispatch 5.1 08/01/10 Open and Configuration Uplift Impacted Settlement

l ÓCAISO 2018 Page 17 of 17