BPM - CG CC 751 Monthly Intermittent Resources Export Energy Settlement

Settlements & Billing

BPM Configuration Guide: BPM - CG CC 751 Monthly Intermittent Resources Export Energy Settlement

CC 751

Version 5.0a5.1 Settlements & Billing Version: 5.0a5.1 Configuration Guide for: BPM - CG CC 751 Monthly Intermittent Resources Export Date: 07/3/11 1/22/14 Energy Settlement

Table of Contents

1. Purpose of Document 2

2. Introduction 3 2.1 Background 3 2.2 Description 3

3. Charge Code Requirements 3 3.1 Business Rules 4 3.2 Predecessor Charge Codes 4 3.3 Successor Charge Codes 4 3.4 Inputs – External Systems 4 3.5 Inputs - Predecessor Charge Codes or Pre-calculations 5 3.6 CAISO Formula 6 3.7 Outputs 6

4. Charge Code Effective Date 7

ÓCAISO, 2018 Page 2 of 9 Settlements & Billing Version: 5.0a5.1 Configuration Guide for: BPM - CG CC 751 Monthly Intermittent Resources Export Date: 07/3/11 1/22/14 Energy Settlement

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

PIRP Protective Measures allow qualified Participating Intermittent power producers to schedule Energy in the FMM/RTD and reduce their exposure to hourly imbalance charges whenever the delivered Energy differs from the scheduled Energy. Qualified PIRP resources under the protective measures shall on a daily basis, initially follow the same settlement as other resources, for their FMM IIE in CC 6460, RTD IIE in CC 6470, UIE in CC 6475, and IIE excess cost allocation in CC 6486. Settlement is done every settlement interval and aggregated on a daily basis. However, at the end of each month, there shall be resettlement. In particular, the sum of all the previous daily aforementioned settlement amounts is calculated and effectively reversed in CC 722. Further, the actual settlement for the IIE and UIE for the resources under PIRP protective measures is provided in CC 711. Net amounts from the sum of CC 722 and CC 721 is then allocated to net negative deviators for the month. The Participating Intermittent Resources Program (PIRP) was implemented on Trading Day 6/2/2004 enabling intermittent resources (wind and other resources with an uncontrollable primary fuel source) to participate in CAISO Markets. PIRP scheduling methodology allows participating intermittent producers to schedule Energy in the HASP/RTM and reduce their exposure to hourly imbalance charges whenever the delivered Energy differs from the scheduled Energy. The CAISO shall provide each Participating Intermittent Resources (PIR) with independent third party Hour-Ahead forecasts, through AWS True Wind Company. The Scheduling Coordinator representing the PIR must submit HASP/RTM self schedules that are identical, in aggregate, to the Hour-Ahead forecasts. By submitting HASP self schedules which are equal to the forecast, PIRP will net the eligible deviations for the Trading month. In addition to the Hour-Ahead forecasts, AWS True Wind Company will provide PIRS with Day-Ahead forecasts. The PIR can use these Day-Ahead forecasts either as advisory forecasts, or they can schedule in DAM.

As long as the Energy schedules are equal to the Energy forecasts for each hour, Participating Intermittent Resources (PIR) are exempt from daily Settlement Interval Uninstructed Imbalance Energy (UIE) charges. Instead, these exempt PIRs are assessed monthly for their net UIE under Charge Code 711 Intermittent Resources Net Deviation Settlement, where an average monthly price is applied to the summation of UIE quantities for each Settlement Interval over a given Trading Month. Based upon the forecasting methodology, PIR net UIE quantities over a month will approach zero (or a very small value). PIRs that did not Schedule in accordance with forecast are not eligible for net UIE settlement in Charge Code 711, and their UIE are settled like all other resources in Charge Code 6475 Real Time Uninstructed Imbalance Energy Settlement. The Participating Intermittent Resource Net Deviation Allocation Charge (Charge Code 721) spreads the difference between the Settlements Amounts that have accrued for PIRs in Real-Time Uninstructed Imbalance Energy Settlement (Charge Code 6475) and Real- Time Excess Cost for Instructed Energy Allocation (Charge Code 6486), and the PIR Net Deviation Settlement Amount calculated in Charge Code 711 to all Business Associates with Net Negative Deviations in the corresponding Trading Month. Currently, several PIR facilities export a portion of the Energy schedules to serve long- term power purchase agreements or their own Native Load. In accordance with the settlement treatment afforded PIR resources, when this Energy is exported, CAISO Scheduling Coordinators with Net Negative Uninstructed Deviations incur the majority of the Settlement Allocation assigned in the Participating Intermittent Resource Net Deviation Allocation Charge (Charge Code 721) without receiving an equivalent portion of the benefits from the exporting PIR resource. Accordingly, the CAISO has proposed amendments to the tariff intended to mitigate this cost shifting inequity. In accordance the proposed amendments, PIR resources will retain the right to export Energy, but will be assessed a Monthly Intermittent Resource Export Energy Settlement (Charge Code 751). The Monthly Intermittent Resource Export Energy Settlement (Charge Code 751) is designed to reimburse CAISO customers for the uplift costs incurred on behalf of the PIR Export Energy. The reimbursement will be allocated to Scheduling Coordinators with Net Negative Deviations proportionately in Monthly Intermittent Resource Export Energy Allocation (Charge Code 752). In addition, the PIR Export Energy resources agree to pay a fee to defray the costs associated with processing the Monthly Intermittent Resource Export Energy Settlement (Charge Code 751) and Monthly Intermittent Resource Export Energy Allocation (Charge Code 752). This fee will be captured in the Quarterly Intermittent Resource Export Energy Process Fee (Charge Code 741).

2.2 Description

This Charge Code is calculated as monthly settlement charge of PIR export quantities. This charge is calculated based on the PIR eligible Metered Generation quantity of MW adjusted for by PIR Export Percentage. The PIR Export Percentage represents the amount of energy exported. CAISO calculates the PIR Export Percentage based on information provided by Scheduling Coordinators, which is outlined in the Tariff and PIRP Application.

3. Charge Code Requirements

3.1 Business Rules

Bus Business Rule Req ID Intermittent Resource Export Energy Settlement is a calculated 1.0 monthly. Intermittent Resource Export Energy Settlement can be a charge or 2.0 payment. Intermittent Resource Export Energy Settlement is assessed to those 3.0 intermittent resources which export PIR energy. Those intermittent resources which export PIR energy are determined 3.1 by contract and will have a PTB PIR Export Percentage Only those intermittent resources which have a PTB PIR export 3.2 Percentage will be assessed in this Charge Code.

3.2 Predecessor Charge Codes

Charge Code/ Pre-calc Name CC 711 – Intermittent Resources Net Deviation Settlement CC 721 – Intermittent Resources Net Deviation Allocation CC 701 – Forecasting Service Fee CC 6486 – Real Time Excess Cost for Instructed Energy

3.3 Successor Charge Codes

Charge Code/ Pre-calc Name CC 752 – Monthly Intermittent Resource Export Energy Allocation

3.4 Inputs – External Systems

Row # Variable Name Description 1 PTBPIRExportPercentage ISO calculated percentage that Intermittent BrtJm resource exported outside of control area. Percentage is prescribed by the terms of contractual obligations for an effective period. If

the percentage changes per contract, the new percentage will be effective on the following Trading Month after new contract information has been reviewed.

3.5 Inputs - Predecessor Charge Codes or Pre-calculations

Predecessor Row Charge Code/ Variable Name # Pre-calc Configuration

1 CAISOPIRPMExcessCostIIEAllocationAccrualAmount md CC 721 – Intermittent CAISOPIRExcessCostIIEAllocationAccrualAmount m Resources Net Deviation AllocationCC 6486 Real Time Excess Cost for Instructed Energy Allocation

2 BAMonthlyPIREligibleMeteredGenerationQuantity Brtm CC 711 – Intermittent Resources Net Deviation Settlement 3 BAMonthlyResourceTotalForecastFeeMeteredGenerationQ CC 701 – uantity Forecasting Service BrtmBAMonthlyResourcePIRMeteredGenerationQuantity Brtm Fee

3.6 CAISO Formula

The Monthly PIR Export Energy Settlement per Trading Month m for each Business Associate B and Resource r.

MonthlyPIRExportEnergySettlementAmount Brtm = MonthlyPIRExportEnergyQuantity Brtm * MonthlyPIRExportSettlementPrice m

3.6.1.1 Where

MonthlyPIRExportEnergyQuantity Brtm = PTBPIRExportPercentage BrtJm *

BAMonthlyPIREligibleMeteredGenerationQuantity Brtm And

MonthlyPIRExportSettlementPrice m = CAISOMonthlyPIRExcessCostIIEAllocationAccrualAmount mCAISOPIRExcessCostIIEAllocationAccrualAmount m / TotalPIRMeterGenerationQuantity m

3.6.1.1.1 Where

TotalPIRMeterGenerationQuantity m =    B r t BAMonthlyResourceTotalForecastFeeMeteredGenerationQuantity Brtm

BAMonthlyResourcePIRMeteredGenerationQuantity Brtm

CAISOMonthlyPIRExcessCostIIEAllocationAccrualAmount m =  d

CAISOPIRPMExcessCostIIEAllocationAccrualAmount md

3.7 Outputs

Output Name Description Req ID In addition to any outputs listed below, all All inputs inputs shall be included as outputs.

Monthly PIR Export Energy Settlement MonthlyPIRExportEnergySettlementAmount Amount based on PIR 1 Export Energy Quantity Brtm per Business Associate B, Resource r in Trading Month m

PIR Export Energy Quantity based upon PTB PIR Export 2 MonthlyPIRExportEnergyQuantity Brtm PercentageBr by Business Associate B, Resource r, in Trading Month m

Calculated Export Energy price for CC 751 3 MonthlyPIRExportSettlementPrice m Settlement in Trading Month m

Total PIR Meter 4 TotalPIRMeterGenerationQuantity m Generation Quantity in Trading Month m

CAISOMonthlyPIRExcessCostIIEAllocation Total CAISO PIR Excess 5 Cost IIE Allocation AccrualAmount m Amount

4. Charge Code Effective Date

Charge Code/ Document Effective Effective Version Update Type Pre-calc Name Version Start Date End Date BPM - CG CC 751 Documentation Monthly Intermittent Edits Only 5.0 04/01/09 3/31/09 Resources Export Energy Settlement

Charge Code/ Document Effective Effective Version Update Type Pre-calc Name Version Start Date End Date BPM - CG CC 751 Documentation Monthly Intermittent Open Edits Only 5.0a 04/01/09 Resources Export 3/31/14 Energy Settlement BPM - CG CC 751 Configuration Monthly Intermittent Impacted 5.1 4/1/14 Open Resources Export Energy Settlement

ÓCAISO, 2018 Page 9 of 9