Configuration Guide for: Monthly Resource Adequacy Standard Capacity Product Settlement / Date: 09/10/09
Settlements & Billing
BPM Configuration Guide: Monthly Resource Adequacy Standard Capacity Product Settlement
(CC 8824)
Version 5.0
CAISO, 2018 / Page 1 of 13Settlements & Billing / Version: 5.0
Configuration Guide for: Monthly Resource Adequacy Standard Capacity Product Settlement / Date: 09/10/09
Table of Contents
1.Purpose of Document
2.Introduction
2.1Background
2.2Description
3.Charge Code Requirements
3.1Business Rules
3.2Predecessor Charge Codes
3.3Successor Charge Codes
3.4Inputs - External Systems
3.5Inputs - Predecessor Charge Codes or Pre-calculations
3.6CAISO Charge Code Formula
3.7Output Requirements
4.Charge Code Effective Date
CAISO, 2018 / Page 1 of 13Settlements & Billing / Version: 5.0
Configuration Guide for: Monthly Resource Adequacy Standard Capacity Product Settlement / Date: 09/10/09
1.Purpose of Document
The purpose of this document is to capture the requirements and design specification for a Charge Code in one document.
2.Introduction
2.1Background
The Standard Capacity Product (SCP) is effective on January 1, 2010, as described in CAISO Tariff Section 40.9. SCP incorporates resource availability standards and incentives into the ISO Tariff to facilitate contracting for Resource Adequacy(RA) Capacity. SCP also enhances grid reliability and market efficiency by providing an incentive for RA Resources to be available during peak hours.
SCP is a set of attributes defined in the CAISO tariff which specify the Availability Standard, Non-Availability Charges and Availability Incentive Payments applied to non-exempt RA capacity. There is one availability standard applicable to RA resources each month during the RA compliance year. Each monthly Availability Standard is based on the historic availability of the RA resource fleet during a pre-defined set of peak hours during a previous three-year period.At a high level, the CAISO will review the availability of each RA Resource subject to SCP each month to determine whether its meets the Availability Standard applicable for that month. A RA Resource that has a lower availability rate than the Availability Standard minus the tolerance band of 2.5% is subject to a Non-Availability Charge. A RA Resources that has Availability greater than the Availability Standard plus the tolerance band of 2.5% will be eligible for an Availability Incentive Payment.
2.2Description
The Monthly Resource Adequacy Standard Capacity Product Settlement (CC8824) is the charge to any RA Resource that failed to meet the monthly Availability Standard minus the tolerance band of 2.5%. The Non-availability charges will be applied on a monthly basis to RA resources that fail to achieve the Availability Standard minus 2.5% during that month.
This Charge Code will be implemented pursuant to a configuration enhancement procedure that allows for gains in performance, thereby reducing the volume of calculations executed during the monthly Settlement Run. The outcome of this feature is not published on the monthly Settlements Statements issued to participants. However, this enhancement procedure has no impact on the actual calculation of the settlement amounts determined by this Charge code. The performance enhancement is achieved through the availability of a feature that makes the results of (previously calculated) daily Settlement Runs available to the CAISO operator for the monthly run in lieu of the operator having to re-execute daily calculations within the monthly Settlement Run. Additionally, this feature will provide the CAISO operator monthly totals of (previously calculated) daily outputs as well as monthly totals of primary bill determinants as needed. The CAISO will notify participants of which Charge Code uses this feature by including this statement in the description of the affected Charge Codes. In addition, the CAISO will indicate in the applicable CAISO Formula sections which of the individual calculations within the monthly run utilize this feature.Participants can verify the Settlement Amounts resulting from this Charge Code in their monthly calculations by utilizing the daily input data as defined in the input sections of each Charge Code, the amounts and/or quantities of which are published on the relevant, daily Settlement Statements.
3.Charge Code Requirements
3.1Business Rules
Bus Req ID / Business Rule1.1 / The Hourly RA MW Available from Resource and total Availability Assessment Hours of month includesonly peak hours. In essence, the CAISO will sum the MW that are available in the month for only the defined Availability AssessmentHours.
1.2 / A tolerance band of 5.0% is used around the Availability Standard (2.5% on either side of the Availability Standardvalue) to eliminate the calculation and assessment ofNon-Availability Charges and Availability Incentive Payments in very small amounts.
1.3 / The Non-Availability Charges and Availability Incentive Payments will be settled all within the same settlement month
2.0 / The "price" value in the Non-Availability Charge formula is the replacement cost (or CAISO "backstop" cost) of capacity that is established in the CAISO Tariff. That value is currently $41/kW-year, as established in the Interim Capacity Procurement Mechanism ("ICPM") provisions
3.0 / SCP Non-Availability Charges and Availability Incentive Payments apply to the Local Capacity Area RA capacity submitted by a Loadfollowing MSS in an annual Resource Adequacy Plan and to the Local Capacity Area RA Capacity of a Modified Reserve Sharing LSE.
3.2Predecessor Charge Codes
Charge Code/ Pre-Calc NameResource Adequacy Standard Capacity Product Pre-calculation
3.3Successor Charge Codes
Charge Code/ Pre-calc NameMonthly Resource Adequacy Standard Capacity Product Allocation(CC8820)
3.4Inputs - External Systems
Row # / Variable Name / Description1 / CAISONonAvailabiltyChargePrice / The "price" value in the Non-Availability Charge formula is the replacement cost (or CAISO "backstop" cost) of capacity that is established in the CAISO Tariff. This is a standing factor data and is equal to 41*1000/12 = $3416.67 per MW per Month
2 / CAISOMonthlyAvailabilityStandard / Monthly Availability Standard as a fraction so that 0<S<1
3 / LowerToleranceBand / Tolerance Band of 2.5%
4 / UpperToleranceBand / Tolerance Band of 2.5%
5 / BAResourceMinimumOperatingQty Brm / The Minimum of all Minimum Operating Quantities in Master File by Business Associate B and by Resource r and Resource Type t subject to the SCP and for each Assessment Hour h during trading month m.
3.5Inputs - Predecessor Charge Codes or Pre-calculations
Row # / Variable Name / Predecessor Charge Code/ Pre-calc Configuration / Description1 / AvailabilityAssessmentHourVIEWFlag m / Sum Of all Hourly Availability Assessment Flag during the month m. This summation is done through a special view in the Pre-calc.
2 / BAHourlyOutOfServiceTransmissionPathVIEWFlagBrtF’S’m / Sum Of all Out of Service Transmission Path Flag during the month m. This summation is done through a special view in the Pre-calc.
3 / BAHourlyRAResourceAssessmentHourSoldCapacityVIEWQuantity BrtF’S’m / Sum Of all Hourly Availability Sold CapacityQuantity during the month m. This summation is done through a special view in the Pre-calc.
4 / BAHourlyRAResourceAssessmentHourAvailableCapacityVIEWQuantity BrtF’S’m / Sum Of all Hourly Availability CapacityQuantity during the month m. This summation is done through a special view in the Pre-calculation.
3.6CAISO Charge Code Formula
The formula for the Settlements Amount in any given month is as follow:
3.6.1BAMonthlyResourceNonAvailabilitySettlementAmount Brm = BAMonthlyRAResourceNonAvailabilityChargeQuantity Brm * CAISONonAvailabiltyChargePrice
The Formula for the Quantity subject to the Non Availability Charge
3.6.2IF
BATotalMonthlyRAResourceAvailabilityQuantity Brm <BAResourceMinimumOperatingQty Brm
Then
BAMonthlyRAResourceNonAvailabilityChargeQuantity Brm = BATotalMonthlyRAResourceSoldQuantity Brm - BAMonthlyRAResourceProrateAboveBandBelowPminQuantity Brm
The Non Availability Quantity subject to charges below PMin RA – (X/PMin)*[RA(1-(S-0.025))+ PMin]
Else
BAMonthlyRAResourceNonAvailabilityChargeQuantity Brm = BAMonthlyRAResourceLowerBandQuantity Brm - BATotalMonthlyRAResourceAvailabilityQuantity Brm
The Non Availability Quantity subject to charges above PMin is as follow: RA*(S-0.025) - X
Where
3.6.3BAMonthlyRAResourceProrateAboveBandBelowPminQuantity Brm = BAMonthlyRAResourceAboveLowerBandPlusPMinQuantity Brm * BAMonthlyRAResourceAvailPminRatio Brm
The non availability quantity above and below PMin(X/PMin)* ((RA (1-(S-0.025)))
3.6.4BAMonthlyRAResourceAboveLowerBandPlusPMinQuantity Brm = BAMonthlyRAResourceAvailabilityAboveLowerBandQuantity Brm+ BAResourceMinimumOperatingQty Brm
The non availability quantity s calculated using the formula RA(1 – (S - .025)) + PMin
3.6.5And
BAMonthlyRAResourceAvailPminRatio Brm = BATotalMonthlyRAResourceAvailabilityQuantity Brm / BAResourceMinimumOperatingQty Brm
The ratio is calculated as X/PMin
3.6.6And
BAMonthlyRAResourceAvailabilityAboveLowerBandQuantity Brm = BATotalMonthlyRAResourceSoldQuantity Brm * CAISOOneMinusAvailabilityLowerBandPercentage
The above lower band quantity is calculated using: RA (1 – (S - .025))
Where
CAISOOneMinusAvailabilityLowerBandPercentage =1- CAISOAvailabilityLowerBandPercentage
And Where
CAISOAvailabilityLowerBandPercentage = CAISOMonthlyAvailabilityStandard-LowerToleranceBand
3.6.7BAMonthlyResourceAvailabilityIncentiveQuantity Brm = Max(0,(BATotalMonthlyRAResourceAvailabilityQuantity Brm -BAMonthlyRAResourceUpperBandQuantity Brm ))
The Formula for the Availability Quantity subject to incentive Above upper Band X – RA(S+0.025)
Where
3.6.8BAMonthlyRAResourceLowerBandQuantity Brm = CAISOAvailabilityLowerBandPercentage * BATotalMonthlyRAResourceSoldQuantity Brm
Formula for Upper Band and Lower Band Quantities: RA(S -0.025)
3.6.9BAMonthlyRAResourceUpperBandQuantity Brm = CAISOAvailabilityUpperBandPercentage* BATotalMonthlyRAResourceSoldQuantity Brm
Formula for Upper Band Quantity: RA(S+0.025)
3.6.10Where CAISOAvailabilityUpperBandPercentage = CAISOMonthlyAvailabilityStandard + UpperToleranceBand
RA = The RA Resource’s RA Capacity (MW) less any exempt capacity
3.6.11BATotalMonthlyRAResourceSoldQuantity Brm = BATotalMonthlyRAResourceSoldTGQuantity Brm + BATotalMonthlyRAResourceSoldGENQuantity Brm
3.6.12BATotalMonthlyRAResourceSoldGENQuantity Brm = BAHourlyRAResourceAssessmentHourSoldCapacityVIEWQuantity BrtF’S’m/ ( AvailabilityAssessmentHourVIEWFlag m- BAHourlyOutOfServiceTransmissionPathVIEWFlag BrtF’S’m)
Where Resource Type t is GEN
3.6.13BATotalMonthlyRAResourceSoldTGQuantity Brm = BAHourlyRAResourceAssessmentHourSoldCapacityVIEWQuantity BrtF’S’m/( AvailabilityAssessmentHourVIEWFlag m- BAHourlyOutOfServiceTransmissionPathVIEWFlag BrtF’S’m)
WhereResource_Type is ITIE and Entity_Component_type is TG
3.6.14BATotalMonthlyRAResourceAvailabilityQuantity Brm = BATotalMonthlyRAResourceAvailabilityTGQuantity Brm + BATotalMonthlyRAResourceAvailabilityGENQuantity Brm
X = The RA Resource’s Monthly calculated RA Availabity calculated accordance with section 40.9.4.2 (MW)
3.6.15BATotalMonthlyRAResourceAvailabilityGENQuantity Brm = BAHourlyRAResourceAssessmentHourAvailableCapacityVIEWQuantityBrtF’S’m/( AvailabilityAssessmentHourVIEWFlag m- BAHourlyOutOfServiceTransmissionPathVIEWFlag BrtF’S’m)
Where Resource Type t is GEN
3.6.16BATotalMonthlyRAResourceAvailabilityTGQuantity Brm = BAHourlyRAResourceAssessmentHourAvailableCapacityVIEWQuantity BrtF’S’m /( AvailabilityAssessmentHourVIEWFlag m- BAHourlyOutOfServiceTransmissionPathVIEWFlag BrtF’S’m)
WhereResource_Type is ITIE and Entity_Component_type is TG
3.6.17CAISOMonthlyTotalAvailabilityIncentiveQuantity m = BAMonthlyResourceAvailabilityIncentiveQuantity Brm
3.6.18CAISOMonthlyTotalNonAvailabilitySettlementAmount m = BAMonthlyResourceNonAvailabilitySettlementAmount Brm
Monthly Availability Percentage for all Resources
3.6.19BAMonthlyResourceNonAvailabilitySettlementReportingAmount Bm =BAMonthlyResourceNonAvailabilitySettlementAmount Brm
3.6.20BAMonthlyRAResourceNonAvailabilityChargeReportingQuantity Bm=BAMonthlyRAResourceNonAvailabilityChargeQuantity Brm
3.6.21BAMonthlyAvailabilityIncentiveQuantity Bm =BAMonthlyResourceAvailabilityIncentiveQuantity Brm
3.6.22BAMonthlyRAResourceAvailabilityPercentage Brm = BATotalMonthlyRAResourceAvailabilityQuantity Brm / BATotalMonthlyRAResourceSoldQuantity Brm
3.7Output Requirements
Output Req ID / Name / Description1 / In addition to any outputs listed below, all inputs shall be included as outputs.
2 / BAMonthlyResourceNonAvailabilitySettlementAmountBrm / The monthly settlement Non Availability Charge amount applied to each Business Associate B of resources r and Resource Type t that does not meet the Availability Standard minus 2.5% after the conclusion of the applicable month m
3 / BAMonthlyRAResourceNonAvailabilityChargeQuantityBrm / RA Resource’s RA Capacity subject to Non-Availability Charge
4 / BAMonthlyRAResourceProrateAboveBandBelowPminQuantityBrm / Eligible capacity prorated above the lower tolerance band and below the Pmin by Business Associate B and resources r and Resource Type t for the Month m
(X/PMin)* ((RA (1-(S-0.025)))
5 / BAMonthlyRAResourceAboveLowerBandPlusPMinQuantityBrm / Sum of the eligible capacity above the lower tolerance band and Pmin by Business Associate B and resources r and Resource Type t for the Month m
RA(1 – (S - .025)) + PMin
6 / BAMonthlyRAResourceAvailPminRatioBrm / Pmin ratio by Business Associate B and resources r and Resource Type t for the Month m
X/PMin
7 / BAMonthlyRAResourceAvailabilityAboveLowerBandQuantityBrm / Monthly eligible capacity above the lower tolerance band by Business Associate B and resources r and Resource Type t for the Month m
8 / BAMonthlyResourceAvailabilityIncentiveQuantity Brm / SCP eligible capacity above the Upper Band (X – RA(S+0.025))
9 / BAMonthlyRAResourceLowerBandQuantityBrm / Eligible capacity below the lower tolerance band for each Business Associate B and resources r and Resource Type t for the Month m
10 / BAMonthlyRAResourceUpperBandQuantityBrm / Monthly upper tolerance band capacity by Business Associate B and resources r and Resource Type t for the Month m
11 / BATotalMonthlyRAResourceSoldQuantity Brm / Monthly sold capacity during the Availability Assessment Hours by Business Associate B and resources r and Resource Type t for the Month m
12 / BATotalMonthlyRAResourceAvailabilityQuantityBrm / Total monthly Availability quantity during Availability Assessment hours by Business Associate B and resources r and Resource Type t for the Month m
13 / CAISOOneMinusAvailabilityLowerBandPercentage / One minus CAISOAvailabilityLowerBandPercentage (1-(S-0.025)) this is a factor
14 / CAISOAvailabilityLowerBandPercentage / Availability Standard CAISOMonthlyAvailabilityStandardPercentRate minus Lower Band Percentage
15 / CAISOAvailabilityUpperBandPercentage / Availability Rate CAISOMonthlyAvailabilityStandardPercentRate plus Upper Band Percentage
16 / BATotalMonthlyRAResourceSoldGENQuantity Brm / Monthly sold capacity during the peak hours by Business Associate B and resources r and Resource Type t for the Month m
17 / BATotalMonthlyRAResourceSoldTGQuantity Brm / Monthly sold capacity during the peak hours by Business Associate B and resources r and Resource Type t for the Month m
18 / BATotalMonthlyRAResourceAvailabilityGENQuantity Brm / Total monthly availability quantity during peak hours by Business Associate B and resources r and Resource Type t for the Month m
19 / BATotalMonthlyRAResourceAvailabilityTGQuantity Brm / Total monthly availability quantity during peak hours by Business Associate B and resources r and Resource Type t for the Month m
20 / CAISOMonthlyTotalAvailabilityIncentiveQuantity m / CAISO Total Monthly Available Incentive Quantity
21 / CAISOMonthlyTotalNonAvailabilitySettlementAmount m / The CAISO monthly total settlement Non-Availability Charge Amountapplied to each Business Associate B that does not meet the Availability Standard minus 2.5% after the conclusion of the applicable month m
22 / BAMonthlyRAResourceAvailabilityPercentageBrm / Availability percentage for each RA resource for each month will be determined by calculating: (a) the total RA capacity MW available over all compliance hours of the month, divided by (b) the total RA capacity MW designated in the Supply Plan for the same hours
23 / BAMonthlyAvailabilityIncentiveQuantityBm / Sum of SCP eligible capacity above the Upper Band (X – RA(S+0.025)) by Business Associate B.
24 / BAMonthlyRAResourceNonAvailabilityChargeReportingQuantity Bm / RA Resource’s RA Capacity subject to Non-Availability Charge for reporting purpose.
25 / BAMonthlyResourceNonAvailabilitySettlementReportingAmount Bm / The monthly settlement Non Availability Charge amount applied to each Business Associate B for reporting purpose during the month m.
4.Charge Code Effective Date
Charge Code/Pre-calc Name / Document Version / Effective Start Date / Effective End Date / Version Update Type
Monthly Resource Adaquacy Standard Capacity Product Settlement (CC 8824) / 5.0 / 01/01/10 / Open / Configuration Impacted
CAISO, 2018 / Page 1 of 13