ercot nodal 101 · 2017-08-01 · 2 this presentation provides a general overview of the texas...

ERCOT Nodal 101

2

This presentation provides a general overview of the Texas Nodal Market and is not intended to be a substitute for the ERCOT Protocols, as amended from time to time. If any conflict exists between this presentation and the ERCOT Protocols, the ERCOT Protocols shall control in all respects.

For more information, please visit:

http://www.ercot.com/mktrules/nprotocols/

PROTOCOL DISCLAIMER

Legal


3

• Restrooms

• Refreshments

• Attendance sheet

• Exam

• Questions

Housekeeping

Please silence smart phones & other electronics

4

A high-level overview of the ERCOT Nodal Market for all Market Participants and ERCOT personnel.

ERCOT Nodal 101

Target Audience

5

• Identify major components of the Nodal Market

• For each component of the Nodal Market, describe

• Purpose

• Inputs

• Outputs

• Processes

Upon completion of this course you will be able to:

Course Objectives

6

Modules in this course include:

Course Modules

Introduction to ERCOT and Market

Locational Marginal Pricing

Congestion Revenue Rights

Day-Ahead Market

Reliability Unit Commitment

Real-Time Operations

1

2

3

4

5

6

Module 1

Introduction to ERCOT

8

• Key features of the ERCOT Grid

• ERCOT Responsibilities

• Reliability and Markets

• Capacity and Energy

• Congestion Management

• Network Modeling

• Market Overview

Topics in this lesson . . .

Overview

9

• Represents 90% of Texas Load

• 77,000 MW of generation capacity

• 46,500 miles of transmission lines

• Electrical island with several DC Ties

Key Features of the ERCOT Grid

ERCOT Introduction

Natural Gas53%

Coal22%

Wind18%

Nuclear6%

Other*1%

2015 Generation Capacity*Includes solar, hydro and biomass

10

• Match generation with demand

• Operate transmission system within established limits

ERCOT’s Primary Responsibility is Reliability

ERCOT Responsibility

Execute competitive markets for reliability services

11

• Markets support reliability

• Reliability makes the markets possible

Reliability and Competitive Markets

ERCOT Operational Concepts

ERCOT finds the balance between Reliability and

Economics

12

Energy and Capacity


ERCOT dispatches Energy to follow the

system demand

13

Energy and Capacity


ERCOT must also ensure sufficient Capacity is on-line

to meet the forecasted demand

Forecast

14

More about Capacity


Capacity Reserved for Ancillary Services

Forecast

System Capacity

System Demand

Ancillary Services needed to respond quickly to changing system conditions

15

Acquired through competitive markets

Ancillary Service Capacity


System Capacity


16



System Capacity

Non-Spin Reserve

Regulation Reserve

Responsive Reserve

Three types of Ancillary Services

17

• Generators and Loads separated by distance

• Transmission system has limits

Transmission Congestion


Congestion management keeps transmission system

operating within limits

18

Models allow ERCOT to:

• “See” grid at any point in time

• Predict how various actions affect grid

Network Operations Model


Representation of a physical system.

19

• Physical characteristics

• Ratings

• Operational limits

Including

• Transmission elements

• Resources

• Topology

• Telemetry mapping



Market Introduction

21

Who are the ERCOT Players?

Market Participants

Transmission and/or Distribution Service Providers

Resource Entities

Load Serving Entities

Qualified Scheduling Entities

22

Market Participants

23

• Bilateral Market

• ERCOT Facilitated Markets

• Day-Ahead Ancillary Services Market

• Day-Ahead Energy Market

• Real-Time Energy Market

Commercial Markets

ERCOT Nodal Market Design

24

Energy Dispatch

• Resource-specific offers• Resource-specific dispatch

Goal

• Balance generation &demand

• Manage congestion

Energy Pricing

• Location-specific prices for energy• Prices include congestion costs


25

• All costs are directly assigned

• Congestion Revenue Rights available for hedging

Congestion Costs


26

It’s all about the recovery of costs to build generation.

ERCOT is an energy-only market … but what does that mean?


In ERCOT, these costs must be recovered with revenues from

energy production and operating reserves.

27

Energy Pricing must support investment in new generation

ERCOT is an energy-only market … but what does that mean?


Scarcity pricing – higher energy prices during periods where energy reserves are scarce

28

You Are Here!

29

Market Information System

An Independent Market Information System Registered Entity (IMRE) may register with ERCOT solely to access MIS Secure.

30

You Are Here!

Module 2


32

• Locational Marginal Prices (LMPs)

• Define LMPs

• Determination of LMPs

• Congestion Rent

• Settlement Point Prices

• Scarcity Pricing Mechanism

• Market Information

Topics in this lesson ...

Overview

33


What is Locational Marginal Pricing (LMP)?

Pricing: Cost

Marginal: to serve the next increment of Load

Locational: at an Electrical Bus


34

• Energy

• Congestion

LMP Components


In some markets, LMPs have a component for losses.

The Nodal Market does NOTinclude losses in LMPs.

35

Introducing the players … Example


Gen 1

Gen 2

36



Gen 1

10 MW($4 per MWh)

Gen 2

20 MW ($2 per MWh)

10 MW

37



Gen 1

10 MW($4 per MWh)

Gen 2

20 MW ($2 per MWh)

10 MW

When there is no congestion, all LMPs are equal

38

Example: No Congestion


Charges to Load

LMP MW

$2 10 $20

Total $20

Payment to Resources

LMP MW

$2 0 $0

$2 10 $20

Total $20

Gen 1

Gen 2

39

Now there is congestionExample


Gen 1

10 MW($4 per MWh)

Gen 2

20 MW ($2 per MWh)

10 MW4 MW constraint

40

Example


Gen 1

10 MW($4 per MWh)

Gen 2

20 MW ($2 per MWh)

10 MW4 MW constraint

With congestion, LMPs are different

41

Example: Congestion


Charges to Load

LMP MW

$4 10 $40

Total $40

Payment to Resources

LMP MW

$4 6 $24

$2 4 $8

Total $32

Gen 1

Gen 2

42


$40

$32

$8

Chargesto

Load

Paymentsto

Resources

Congestion Rent used to fund Congestion Revenue Rights (CRRs)

43

• LMPs at Electrical Buses

• Settlement Points used for financial settlement

• Settlement Point Prices calculated using LMPs

LMPs and Settlement Point Prices

Settlement Point Prices

LMP1

LMP2

LMP3

LMP4

LMP5

Electrical Buses

Settlement Point Price

44

• Reserve Price Adder: the economic value of reserves that are available for energy dispatch in Real-Time

• LMPs and Reserve Price Adders are used together to form SPPs in Real-Time

Additional Real-Time pricing component …


LMPs are location-specific. Reserve Price Adders represent the value of

reserves ERCOT-wide.

45

LMPs and Settlement Point Prices

• Every Hour

LMPs and Reserve Price Adders• Every 5 minutes*


• Every 15 minutes

How often are LMPs & Settlement Point Prices calculated?


* LMPs and Reserve Price Adders generated at each SCED cycle (possibly more often than 5 minutes)

46

Three Types of Settlement Points:


ResourceNodes

LoadZones

Hubs

47

An Electrical Bus where a Resource’s measured output is settled

What is a Resource Node?


Resource Electrical Bus

48

Day-Ahead Market

LMP at the Resource Node


Time-Weighted Average of LMPs at the Resource Node

Time-Weighted Average of Reserve Price Adders

Settlement Point Prices for Resource Nodes


+

Resource Electrical Bus

49

A group of Electrical Buses assigned to the same geographical zone

What is a Load Zone?


Every Electrical Bus with Load must be assigned to

a Load Zone for Settlement purposes

50

Day-Ahead Market

Load-Weighted Average of LMPs in Load Zone


Load-Weighted and Time-Weighted Averages of LMPs in Load Zone

Time-Weighted Average of Reserve Price Adders

Settlement Point Price for Load Zones


+

51

• Competitive Load Zones

• Non Opt-in Entity Load Zones

• DC Tie Load Zones

Three types of Load Zones


52

• North

• South

• West

• Houston

Competitive Load Zones


2003 Congestion Management zones

53

• Established by one or more NOIE(s)

• Some large NOIEs required to establish own NOIE Load Zones

• NOIEs that don’t establish NOIE Load Zone are assigned to Competitive Load Zone

Non Opt-in Entity Load Zones


54

• Used to settle exports across DC Ties

• One for each DC Tie

• Contains only the electrical bus connected to the DC Tie

DC Tie Load Zones


All Load must be assigned to a Load Zone for

Settlement purposes

55

• Group of 345kV Hub-buses

• Defined by Protocols

What is a Hub?


Hub

56

Four Regional Hubs

• North

• West

• South

• Houston

Six Hubs in ERCOT Market


ERCOT Hub Average

ERCOT Bus Average

Two Average Hubs

57

Day-Ahead Market

• Simple average of LMPs at Hub Buses in each Hub


• Simple average of Time-Weighted Average LMPs at the Hub Buses in the Hub

• Time-Weighted Average of Reserve Price Adders

Settlement Point Price for Hubs


+

HubHub

58

• LMP Contour Map

• Day-Ahead Market SPPs

• Real-Time LMPs

• Real-Time SPPs


http://www.ercot.com/content/cdr/contours/rtmLmpHg.html


Nodal Market Operations

60

Market Components

Nodal Market Operations

Module 3


62

• Purpose of CRRs

• CRR Account Holders

• Types of CRRs

• How CRRs are acquired

• Settlements

• Market Information System

Topics in this lesson . . .

Overview

63

You Are Here!

64

• Financial instruments

• Hedge against congestion costs

• Financial investment

• Payment or charge when Grid is congested

Purpose of Congestion Revenue Rights


A CRR is not a right to deliver physical energy

65

Congestion Cost exposure

Congestion Costs

Congestion costs are built in to the Settlement Point prices

Resource Node A

Resource Node B

$30/MWh$40/MWh

$45/MWh

Load Zone

66


Introducing a new player:CRR Account Holder

67


To own CRRs, Market Participants:• Must be registered with ERCOT• Must qualify as CRR Account Holders

68


Barred from owning CRRs:• TSPs & DSPs• ERCOT

69

• Designated point of injection (source) and point of withdrawal (sink)

• Settlement based on difference between sink and source Settlement Point Prices

• Two Instruments:

• PTP Options – payment only• PTP Obligations – payment or

charge

Congestion Revenue Rights as Financial Instruments


Point-to-Point Congestion

Revenue Rights

70

Point-to-Point (PTP) ObligationsExample


$5/MWh

$10/MWh

$15/MWh

Source A

Source C

Sink B

Obligation AB Payment = $5.00

Obligation CB Payment = -$5.00 ?

71

Point-to-Point (PTP) OptionsExample


$5/MWh

$10/MWh

$15/MWh

Source A

Source C

Sink B

Option AB Payment = $5.00

Option CB Payment = $0.00 ?

72

• CRR Auction

• Allocation (Special Case)

• Bilateral Trades

Three ways of acquiring CRRs:


CRRs

Auction

Allocation

Trade

73

• Time-of-Use Blocks

• One month strips

CRRs are auctioned and allocated by:


Mon. Tues. Wed. Thurs. Fri. Sat. Sun.

Off-Peak (0100 – 0600)

Off-Peak (2300 – 2400)

Peak Weekday (0700 – 2200) Peak Weekend (0700-2200)

74

• CRR Auction

• Monthly and Semi-Annual Auctions

• Based on Network Operations Model


Bids

Offers

CRRAuction

Awarded Offers

Awarded Bids

http://ep.ercot.com/npt/ERCOT%20Nodal%20Graphics/allocation_titled.png

http://ep.ercot.com/npt/ERCOT%20Nodal%20Graphics/allocation_titled.png

75

Pre-Assigned CRRs (PCRRs)

• Allocated to Non-Opt-In Entities (NOIEs)

• Based on long-term supply contracts

• May be allocated as Options or Obligations

• No charge or a percentage of the Auction clearing price

Allocation of CRRs


http://nodal.ercot.com/protocols/index.html

http://nodal.ercot.com/protocols/index.html

mailto:[email protected]


http://nodal.ercot.com/training/courses/index.html

http://nodal.ercot.com/training/courses/index.html

76

• PTP Options

• PTP Obligations

• Characteristics remain unchanged

• Both parties must meet credit requirements

Trading CRRs Bilaterally


77

Three Settlement Processes

• CRR Auction Settlement

• CRR Settlement

• CRR Balancing Account

CRR Settlements


78

CRR Auction Settlements

Congestion Revenue Rights Settlements

Settlements

Payments

Charges

79

CRR Auction Settlement Timeline


Auction Completed Day 1* Day 3** Day 4**

Auction Invoice

PaymentsDue to ERCOT

PaymentsDue to CRR Account Holders

Auction Results

Day 2**

** Bank Business Day

*** ERCOT Business Day and Bank Business Day

* ERCOT Business Day

Day 5***

80

CRR Auction Settlement


Monthly

CRR Auction Revenues

+PCRR Revenues

Pay to QSEs representing Load

http://nodal.ercot.com/






81

CRR Settlement


Payments

Charges

CRRs are settled in the Day-Ahead Market

82

CRR Settlement


Payment due toCRR Account Holders

Hourly

83

CRR Settlement



Hourly

may be short paid in some hours

84

CRR Balancing Account



MonthlyPay to QSEs representing Load

85

CRR Balancing Account



Monthly

X

may remain short paid

86

Posted after each Auction:


• CRRs awarded • CRR Account Holders• Auction clearing prices• CRR Bids and offers

Module 4

Day-Ahead Market

88

• Purpose of Day-Ahead Market

• Market Participants

• Day-Ahead Market Process

• Process Inputs and Outputs

• Settlements



Overview

89

You Are Here!

90

• Centralized Forward Market

• Buy and sell Energy

• Sell Ancillary Services to ERCOT

• Forward market provides price certainty

Purpose of the Day-Ahead Market

Day-Ahead Market

91

Day-Ahead Market

Only QSEs participate in the Day-Ahead Market.

92

Day-Ahead Market

CRRs are settled with Day-Ahead Market Prices

93

• Market opens at 0600

• Clearing Process begins at 1000

• Results posted by 1330

When does the Day-Ahead Market occur?

Day-Ahead Market

0600 1330 0000 Real-TimeOperations

94

An Offer is a proposal to sell:

• A Product• At a Location• For a Price

A Bid is a proposal to buy:

• A Product• At a Location• For a Price

Day-Ahead Market

EnergyLoadZone 4

$40

95

The Day-Ahead Market

Day-Ahead Market

Day-AheadMarket

Awards

PricingBids

Current Operating Plans


Offers

96


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

97


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

Types of Offers:• Three-Part Supply Offer • Ancillary Service (AS) Offer• Day-Ahead Market Energy-Only Offer

98

Three-Part Supply Offer

Day-Ahead Market

Energy Offer Curve

$ / MWh (at LSL) $ / MWh (above LSL)

$ / Start

Energy Offer Curve can be submitted without Start-up or Minimum Energy Offers

Startup Offer Minimum-Energy Offer Energy Offer Curve

99

• Resource specific

• Regulation Reserve

• Responsive Reserve

• Non-Spinning Reserve

• A Resource may be offered

• For multiple Ancillary Services

• For Energy and Ancillary Services

Ancillary Service (AS) Offers:

Day-Ahead Market

Ancillary Service Offer

100

• Proposal to sell energy in DAM

• Offered at any Settlement Point

Day-Ahead Market Energy-Only Offer

Day-Ahead Market

DAM Energy-Only Offer

Valid only in the Day-Ahead Market

Financial obligation in Real-Time

101


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

Types of Bids:• Energy Bid• PTP Obligation Bid

102

• Proposal to buy energy

• Submitted at any Settlement Point

Day-Ahead Market Energy Bid

Day-Ahead Market

h

DAM Energy Bid

Valid only in the Day-Ahead Market

Financial credit in Real-Time

103

Purpose of DAM PTP Obligations

• Hedge against congestion costs in Real-Time

• Charge or payment when Grid is congested in Real-Time

Day-Ahead Market PTP Obligation Bids

Day-Ahead Market

104

• Like coupled Energy Bid and Energy Offer

• Purchased at DAM Settlement Point Price Spread

• Settled at Real-Time Settlement Point Price Spread

Day-Ahead Market PTP Obligation Bids

Day-Ahead Market

Source A

Sink BEnergy Offer

Energy Bid

PTP ObligationDAM PTP Obligation can

result in a payment or charge

105

Day-Ahead Market PTP ObligationsExample

Day-Ahead Market

QSE charge in Day Ahead Market = $2

QSE payment in Real Time = $7 ?

?

$10/MWh $12/MWh

Source A Sink B

PTP Obligation

DAM :

$8/MWh $15/MWhReal-Time :


106

Day-Ahead Market

CRR Auction Day-Ahead Market Real-Time

107


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

108

• Anticipated Resource operating conditions

• Resource Status

• Resource Limits

• Ancillary Service Commitments

• Submitted by QSE

The Current Operating Plan (COP)

Day-Ahead Market

QSE must maintain the COP for each hour of the next 7 days

109


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

110

• Day-Ahead Market does not solve reliability issues

• System must support the Day-Ahead Market solution

The Network Model in the Day-Ahead Market

Day-Ahead Market

The Network Operations Model ensures that DAM solution

respects system limits

111


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

112


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

Cleared Offers = CostsCleared Bids = Revenues

113

The Day-Ahead Market clearing process

Day-Ahead Market

MaximizeThe Gap

Bid-based Revenues

Offer-based Costs

114

The Day-Ahead Market clearing process

Day-Ahead Market

MaximizeThe Gap

Bid-based Revenues

Offer-based CostsEnergy&AncillaryService Costs

The Day-Ahead Market is a Co-optimized Market

115


Day-Ahead Market

Day-AheadMarket

Awards

PricingBids



Offers

116

• QSEs may update COP

• Awarded Energy Offers• Ancillary Service Commitments

• QSEs may submit Trades

After Day-Ahead Market

Day-Ahead Market

117

• QSE-QSE transactions

• Transfers financial responsibility

• Types

• Capacity

• Energy

• Ancillary Service

Trades

Day-Ahead Market

Trades are used onlyin Settlements

118

Day-Ahead Market Settlements

Payments

Charges

119

Daily statements include

• Payments due

• Charges incurred

Day-Ahead Settlement Timeline

Day-Ahead Market

When are Day-Ahead Market Statements available?

Operating Day

Day 2Day Ahead

DAM Statement

Day 1

120

Daily invoices include

• DAM Statements

• RTM Statements

Single Daily Settlement Invoice

Day-Ahead Market

InvoiceDay + 2

InvoiceDay + 3

InvoiceDay

ERCOT Issues Invoice• DAM• RTM initial • RTM final• RTM True-Up

Payment Due (to ERCOT)

Payment Due (to Market

Participant)

17001700

121

Posted by 0600 Day-Ahead:


• Network Operations Model

• Weather Assumptions • Load Forecasts (next 7 days)• Forecasted Load Profiles

122



• LMPs • Settlement Point Prices• MCPCs for each Ancillary Service• Energy bought and sold

Module 5


124

• Purpose of Reliability Unit Commitment (RUC)

• Market Participants involved

• The RUC Process

• Settlements

• Capacity Shortfall



Overview

125

You Are Here!

126

It ensures:

• Enough capacity is committed to serve the forecasted load

• Committed capacity is in the right locations

Purpose of Reliability Unit Commitment (RUC)


127


Operational impacts on:QSEs with Resources

128


Funds collected from:• Capacity-Short QSEs• QSEs representing Load

129

The Reliability Unit Commitment Process



TransmissionSecurity Analysis

(TSA)

Reliability UnitCommitment

(RUC)


NetworkOperations

Model

Contingencies

Load Forecast

Offers Three-Part Supply Offers

Resource Commitments

Resource Decommitments

130

Contingencies

NetworkOperations

Model

Committing Enough Capacity




(TSA)


(RUC)


Load Forecast




131


Load Forecast

Contingencies

NetworkOperations

Model

Committing Capacity in the Right Locations




(RUC)



(TSA)



132



NetworkOperations

Model


Load Forecast

Contingencies

What if ERCOT must commit additional capacity?



(RUC)


(TSA)



133


Load Forecast

Contingencies

NetworkOperations

Model

• Resource Commitments• Resource Decommitments• No additional Commitments

Potential Results of RUC Process:




(RUC)

Offers



Three-Part Supply Offers


(TSA)

134

• Day-Ahead Reliability Unit Commitment (DRUC)

• Hourly Reliability Unit Commitment (HRUC)

When does Reliability Unit Commitment (RUC) occur?


HRUCDRUC

135


Make-Whole

Payments

*RUC-Committed Resources

Capacity Short

Charges

Make-Whole Uplift

Charges

136

• Make-Whole Payments

• RUC-committed Resources recover their commitment costs


Resource Costs

Resource Revenues

$

RUC Make-Whole Payment

Make-Whole Payment

137

Capacity Short Charge


QSEs with Capacity Shortfall may be assessed Capacity Short Charges

Capacity Obligations

Capacity Supply

Capacity Shortfall

138

• Load (Adjusted Metered Load)

• Capacity Trades where the QSE is a seller

• Energy Trade where the QSE is a seller

• Cleared DAM Energy Offer

What is included in the QSE’s capacity obligation?



139

• Show capacity from its Resources in its COP

• Capacity Trades where the QSE is a buyer

• Energy Trades where the QSE is a buyer

• Cleared DAM Energy bids

How can a QSE arrange to meet these obligations?



Capacity Supply

140

QSE must arrange for enough Capacity to meet Obligations

To Minimize Capacity Short Charges …



Capacity Supply

Capacity Shortfall

141

Difference uplifted to QSEs representing Load

Revenues may not be enough for make-Whole Payments


Slide 141

Gen 1

RUC Make-Whole

Payments

Make-WholeUplift

Charges

CapacityShortfallCharges

Capacity Short

142


Make-Whole

Payments Capacity Short

Charges

Make-Whole Uplift

Charges

RUC Payments and Charges are included in Real-Time Settlements

143

Posted after process completion:


• Resources committed • Resources decommitted• Active transmission constraints

Module 6


145

• Purpose of Real-Time Operations

• Market Participants

• Real-Time Operations Process

• Security Constrained Economic Dispatch

• Load Frequency Control

• Settlements



Overview

146

You Are Here!

147

• Manage reliability

• Match generation with demand

• Operate transmission system within established limits

• Operate the system at least cost

Purpose of Real-Time Operations


148


ERCOT provides dispatch instructions to QSEs with Resources

149


ERCOT may also provide dispatch instructions to TSP’s

150

• Operating Period

• Includes Operating Hour and Hour-Ahead

When do Real-Time Operations occur?


60 mins.prior to

Operating Hour

00000600 Real-TimeOperations

151

• Operating Hour - Real-Time dispatch of energy

• Hour-Ahead – Preparations for Real-Time Operations

The Operating Period includes:


60 mins.prior to

Operating Hour

00000600 Real-TimeOperations

152


Telemetry

NetworkOperations

Model

ContingenciesReal-Time Operations

Security-ConstrainedEconomic Dispatch

Offers

Pricing

Locational Marginal Prices

Dispatch Instructions

Base Points

Real-Time Network Security Analysis

153

• Network Security Analysis identifies transmission constraints

• Security Constrained Economic Dispatch (SCED) determines least-cost solution

Network Security Analysis and SCED




Network Security Analysis

154

Provide Real-Time system data


Telemetry

NetworkOperations

Model



Offers

Pricing



Base Points


155

Identify Constraints, both Transmission & Resource


Telemetry

NetworkOperations

Model



Offers

Pricing



Base Points


TransmissionConstraints

& Resource

Dispatch Limits

156


SCED evaluates Offers to determine least-cost solution


Telemetry

NetworkOperations

Model

Contingencies


Offers

Pricing



Base Points


TransmissionConstraints

& Resource

Dispatch Limits

157

Submitted by QSEs:

• Three-Part Supply Offer

• Stand Alone Energy Offer Curve

During:

• Day-Ahead Market

• Adjustment Period

SCED uses Energy Offer Curves:


Energy Offer Curve

158

SCED produces Prices and Dispatch Instructions


Telemetry

NetworkOperations

Model



Offers

Pricing



Base Points


159

How often does all this happen?


Telemetry

NetworkOperations

Model



Offers

Pricing



Base Points


At least every 5 minutes

160

Every 5 minutes (when SCED runs)

LMPs

• Electrical buses

Every 15 minutes


• Resource Nodes

• Load Zones

• Hubs

Real-Time Price Calculations


Reserve Price Adders

• ERCOT-wide

161

• Matches generation with demand

• Manages congestion

• Achieves least cost dispatch

Security Constrained Economic Dispatch (SCED)


5 minutes

Base point

Base point

Base point

SCEDSCED SCED

5 minutes

162

• Matches generation with demand

• Responds to frequency deviations

• Deploys Regulation Reserve Service

Load Frequency Control (LFC)


Frequency (Hz)

60. 0000

5 minutes 5 minutes

Base point

Base point

Base point

163

Real-Time Operations Settlements

Payment for Net Supply

Charge for Net Obligation

164


Examples•__________________ •__________________•__________________

165


Examples•__________________ •__________________•__________________

166

Daily statements include

• Payments due

• Charges incurred

Real-Time Settlement Timeline


When are Real-Time Statements available?

Day 180Operating Day

Day 5

Initial Statement

Final Statement

True-Up Statement

Day 55

167

Daily invoices include

• DAM Statements

• RTM Statements

Single Daily Settlement Invoice


InvoiceDay + 2

InvoiceDay + 3

InvoiceDay

ERCOT Issues Invoice• DAM• RTM initial • RTM final• RTM True-Up

Payment Due (to ERCOT)

Payment Due (to Market

Participant)

17001700

168

• Active transmission constraints

Posted after completion of SCED:


• Locational Marginal Prices• Settlement Point Prices

Course Conclusion

170

• ERCOT Client [email protected]

• ERCOT Mailing Listshttp://lists.ercot.com/

• ERCOT Nodal Market Protocolshttp://www.ercot.com/mktrules/nprotocols/

• ERCOT Traininghttp://www.ercot.com/services/training/

• Market Education [email protected]

Additional Resources


http://lists.ercot.com/


http://www.ercot.com/services/training/


171

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Appendix

173

Access Market Information System from ERCOT public website:

Appendix: Pathways to Referenced Data

Digital Certificate required

174

LMP Contour Map: http://www.ercot.com/content/cdr/contours/rtmLmpHg.html



175

Public access:

http://www.ercot.com/mktinfo/crr/index.html

CRR Auction section, Auction Results posting (zip folder)

• CRRs, CRRAHs awarded, and Auction Clearing Prices

• Common Market Results file (CSV or XML format)

• CRR Bids and Offers

• Common Auction Bids and Offers file (CSV or XML format)

CRR Auction Results


http://www.ercot.com/mktinfo/crr/index.html

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CRR Auction Results via Market Information System


177

Day-Ahead Network Operations Model (posted by 0600)


178

• Weather assumptions

• Public access: http://www.ercot.com/mktinfo/dam/index.html,under System Conditions

• MIS Secure: Markets > Day-Ahead Market >Day-Ahead Public Information

• Forecasted Load Profiles

• Public access: http://www.ercot.com/mktinfo/loadprofile/index.html, under Current Information

• MIS Secure: Markets > Load Profiling > Load Profiling Reports and Extracts (Public)



http://www.ercot.com/mktinfo/dam/index.html

http://www.ercot.com/mktinfo/loadprofile/index.html

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• Load Forecasts (next 7 days)

• Public access:http://www.ercot.com/gridinfo/load/index.html, under Current Information

• MIS Secure: Grid > Forecasts > Significant System Conditions

• List of transmission constraints

• Public access:http://www.ercot.com/gridinfo/generation/index.html, under Current Information

• MIS Secure: Grid > Generation > Public Generation Information > Weekly RUC Active and Binding Transmission Constraints



http://www.ercot.com/gridinfo/load/index.html

http://www.ercot.com/gridinfo/generation/index.html

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• DAM Hourly LMPs

• DAM Settlement Point Prices

• DAM Clearing Prices for Capacity

• DAM Total Energy Purchased

• DAM Total Energy sold

• Public access: http://www.ercot.com/mktinfo/dam/index.html, under Day-Ahead Market Results Reports

• MIS Secure: Markets > Day-Ahead Market > Day-Ahead Market Results



http://www.ercot.com/mktinfo/dam/index.html

181

• RUC Committed or Decommitted Resources

• MIS Secure: Grid > Generation > ReliabilityUnit Commitment


• Public access: http://www.ercot.com/gridinfo/generation/index.htmlunder Current Information

• MIS Secure: Grid > Generation > PublicGeneration Information

Posted after RUC completion:


http://www.ercot.com/gridinfo/generation/index.html

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• Locational Marginal Prices

• Settlement Point Prices

• Public access: http://www.ercot.com/mktinfo/rtm/index.html, under Real-Time Prices Reports

• MIS Secure: Markets > Real-Time Market > Real-Time Prices


• MIS Secure: Markets > Real-Time Market > Real-Time Operations

Posted after completion of SCED:


http://www.ercot.com/mktinfo/rtm/index.html

ercot nodal 101 · 2017-08-01 · 2 this presentation provides a general overview of the texas...

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