NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on...

27
NYISO Presentations Voltage Control Future Market Design Wes Yeomans Vice President Operations Vice President Operations Robb Pike Director – Market Design FERC Annual Meeting of the ISOs © 2000-2012 New York Independent System Operator, Inc. All Rights Reserved. FERC Annual Meeting of the ISOs April 25, 2012

Transcript of NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on...

Page 1: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

NYISO Presentations• Voltage Control• Future Market Designg

Wes YeomansVice President – OperationsVice President Operations

Robb PikeDirector – Market Design

FERC Annual Meeting of the ISOs

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

FERC Annual Meeting of the ISOsApril 25, 2012

Page 2: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

The Roles of the NYISO

Reliable operation of the bulk electricity gridM i th fl f l 11 000 i it il fManaging the flow of power nearly 11,000 circuit-miles of transmission lines from more than 300 generating units

Administration of open and competitive h l l l t i it k twholesale electricity markets

Bringing together buyers and sellers of energy and related products and services

Planning for New York’s energy futureAssessing needs over a 10-year horizon and evaluating projects proposed to meet those needs

Advancing the technological infrastructure of the electric system

Developing and deploying information technology and

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

e e op g a d dep oy g o at o tec o ogy a dtools to make the grid smarter

2

Page 3: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Voltage Control at Voltage Control at the NYISO

Wes YeomansVice President – Operations

New York Independent System OperatorNew York Independent System Operator

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

3

Page 4: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

New York Control Area (NYCA) MosesChateauguayNew York Control Area (NYCA)

230 kV and above TransmissionMassena

Moses

Plattsburgh

KintighNiagara

Oswego

Porter RotterdamComplex

Marcy

Gilboa Leeds

NewScotland

Clay

LafayetteStolle Rd.EdicPannell

Sta.80

Athens

Oakdale FraserWatercurePleasantValley

CoopersCorners

Roseton

Dunkirk

Legend:

Rock Tavern Bowline

Ramapo SprainbrookDunwoodie765 kV

345 kV

Homer City

Shore Rd

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

230 kV Farragut

Goethals

Shore Rd.E. Garden City

4

Page 5: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

M

Chateauguay

Willis

SaundersNew York Control Area (NYCA)Internal Interfaces

Massena

Moses-St. Lawrence

Plattsburgh

Willis

Sandbar

Whitehall Blissville

Dennison

ColtonMoses South

Internal Interfaces

Niagara

Oswego

Marcy Rotterdam

Complex

PannellSta.80

Somerset

Adirondack

Beck

Hoosick BenningtonDysinger East

West - Central

Central - East

F

Gilboa AlpsClay

LafayetteStolle Rd.

Edic Porter

Huntley

Pannell

Dunkirk

Meyer

NewScotland

Leeds

Robinson Rd.

GardenvilleRichfieldSprings

Inghams

AndoverPalmiter Total - East

OakdaleFraserWatercure

PleasantValley

CoopersCorners

RockTavern

Roseton

Buchanan

Hillside

Millwood

Upny - Con Ed

Legend:Ramapo

Sprainbrook765 kV

345 kV230 kV

Homer City

Shore Rd.E.Garden City

500 kV

Millwood

Dunwoodie

GoethalsFarragut

Dunwoodie

GoethalsFarragut

W49St/Rainey

115 kV

Dunwoodie South

Con Ed -LIPA

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

5

Page 6: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

New Interstate Transmission

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

6

Page 7: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Transmission Reactive Limits

Pre-contingency and post-contingency transmission voltage high limits are established by the New York Transmission Owners (NYTOs) based on substationTransmission Owners (NYTOs) based on substation equipment ratings

Post-contingency transmission voltage low limits are established by the NYTOs based on customer voltage requirementsPre-contingency transmission voltage low limits are established by the NYISO based on maintaining voltage limits post contingency

Post-contingency voltage collapse limits are establishedPost-contingency voltage collapse limits are established and secured in the form of transfer limits

Desired voltage limits are mutually developed by the NYISO d NYTO t i i i t i i l

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

NYISO and NYTOs to minimize transmission losses

7

Page 8: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Pre-Scheduling Reactive ResourcesThe NYISO coordinates reactive resource maintenance outages with Transmission Owners (TOs) based on loads, predicted transfers, and in coordination with adjacent Balancing Authoritiesand in coordination with adjacent Balancing Authorities

Rarely does the NYISO require generation commitment for the sole purpose of securing reactive resources. There were two events in 2011 and both for extreme weather.

Occasionally, TOs require pre-scheduling of local generation to secure lower voltage transmission substations

Con Edison Local Reliability rule units are submitted to the day aheadCon Edison Local Reliability rule units are submitted to the day ahead market to meet local transmission reactive requirements.

The NYISO’s Security Constrained Unit Commitment (SCUC) process considers the impact of transmission losses when p pdetermining optimal generating unit day-ahead commitment schedules.

The resulting Day-Ahead Locational Marginal Based Prices (LBMP)

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

g y g ( )includes a marginal loss pricing component.

8

Page 9: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Real-Time Reactive ResourcesSecurity Constrained Economic Dispatch (SCD) reflects the impact of transmission losses when determining optimal generating dispatch schedulesdispatch schedules.

The resulting Real-Time Locational Marginal Based Prices (LBMP) includes a marginal loss pricing component.

OPF technology could be used to aid in loss reductions on the transmission system. The expected outcome of OPF technology is that the transmission system should normally be operated at the highest operating levels allowable by equipment ratings The NYISOhighest operating levels allowable by equipment ratings. The NYISO has worked with the NYTOs to develop “Desired High Voltage Limits” and has modified procedures to operate reactive resources to maintain actual transmission voltages as close to Desired High Voltage Limits as possible.

The Blenheim-Gilboa Pumped-Storage Project is used occasionally as a resource to absorb reactive power during off-peak high-voltage

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

periods.

9

Page 10: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Reactive Evaluation Applications

Real Time Voltage MonitoringState estimator applicationsState estimator applicationsContingency evaluationsEMS SCADA monitoring and alarming applications g g

Real Time Interface Flow MonitoringSecurity Constrained Dispatch secures allSecurity Constrained Dispatch secures all interfaces, including voltage collapse interface limits, every five minutes with pre and post contingency secure basepointscontingency secure basepoints EMS SCADA monitoring and alarming

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

10

Page 11: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Reactive Resource Limitations

There are situations where the voltage at one transmission substation cannot be increased b l t i ll dj t b t ti ldbecause an electrically adjacent substation would exceed a pre-contingency high limit

It is possible during non-peak load conditions for transmission bus voltages to be at, or are approaching, pre-contingency high voltage limits at the same time actual Central East power flows are at, or are approaching, the Central East Voltage Collapse interface limits prior to allCentral East Voltage Collapse interface limits prior to all transmission capacitors being in-service.

In off-peak time periods, transmission voltages are close to pre-contingency high limits with all reactive resources switched out of service

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

11

Page 12: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Central East Limit

The Central East Voltage Interface limit is a function of many variables including:y g

Oswego Complex unit commitment

Status of Upstate 345 kV transmission lines

Capacitors & reactors status

Status of two Static Var Compensators and one Statcom device

Tables have been developed defining these limits for all these variables and these tables are submitted to the day ahead & real-time market systems and the on-line security programs.

The Central East Stability limit is only about 200 300 MWThe Central East Stability limit is only about 200–300 MW higher than the Voltage Interface Limit

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

12

Page 13: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Interface Limits by Constraint TypeInterface Limitation CommentDysinger East Thermal Voltage Limit > Thermal Limit

Voltage Limit based on pre-ti b t ti l li itcontingency substation low limit

Central East Voltage Voltage Limit based on voltage post contingency

UPNY-Con Ed Thermal Previously limited by pre-contingency substation limits butcontingency substation limits but since the installation of the new 345 kV M29 cable limited by thermal

IESO-NYISO Thermal

PJM NYISO Th lPJM-NYISO Thermal

Mosses South Stability

ISO-NE Thermal

Many thermal (line on line) constraints exist and become limiting prior to the above interfaces limiting

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

limiting prior to the above interfaces limiting

13

Page 14: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Voltage Related Settlements

Voltage Support ServiceP t f d t t d / t t d bilitPayments for demonstrated / tested capability

Lost Opportunity CostsP t h ISO di t t d t tPayment when ISO directs resource to reduce power output below economic levels to increase reactive power options

• Payments totaled $2100 in 2010, $0 in 2011

Bid Production Cost GuaranteesMake whole payments when unit is directed to run, including time scheduled due to voltage control needs

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

14

Page 15: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Future Market Future Market Design & Software

EnhancementsRobb Pike

Director – Market DesignNew York Independent System OperatorNew York Independent System Operator

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

15

Page 16: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

TopicsTopics

NYISO Market Design

Recent Market EnhancementsRecent Market Enhancements

Future Market Enhancements (3-5 years)

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

16

Page 17: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

NYISO’s Comprehensive Set of Market Rules

♦ Two-Settlement System: Day-Ahead Market and Real-Timey y♦ Bid Based Security-Constrained Economic Dispatch (SCED) and Commitment

(SCUC)♦ Locational Based Marginal Pricing (LBMP)♦ Simultaneous co-optimization of Energy, Operating Reserves and Regulation♦ Allowing GTs to set price when they are economic♦ Scarcity pricing for operating reservesy p g p g♦ Bid Production Cost Guarantees (Uplift)♦ Virtual Bidding♦ Transmission Congestion Contracts (TCC)♦ Transmission Congestion Contracts (TCC)♦ Installed Capacity Markets (ICAP)♦ Demand Side Participation♦ Market Power mitigation with conduct and impact tests and Automated

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

♦ Market Power mitigation with conduct and impact tests and Automated Mitigation Procedure (AMP)

17

Page 18: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Recent Market Design Enhancements

Broader Regional MarketsHQ on DispatchCoordinated Transaction Scheduling ISO-NECoordinated Transaction Scheduling – ISO-NE

Weekly InvoicingSolar in the Capacity MarketSCR Baseline / AggregationsMARS High Performance Computing

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

18

Page 19: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Future Market Design gEnhancements

Broader Regional MarketsImplementation of FERC Order 745 on DR ResourcesCapacity Market EnhancementsImplementation of Mixed Integer Programming (MIP) Scarcity Pricing EnhancementsMulti Duration TCCs and Balance of Period Auction

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

19

Page 20: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Broader Regional MarketsBroader Regional Markets

Market SolutionsMarket SolutionsEnhanced Interregional Transaction CoordinationCoordination

• 15-Minute Transaction with PJM

• CTS with ISO-NE

• CTS with PJM

Market-to-Market CoordinationInterface Pricing

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

20

Page 21: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Current Demand Response pInitiatives

Direct telemetry to demand response resources (including aggregated resources) providing ancillary servicesancillary servicesRules for demand response participation in real-time energy markets (Implementation of gy ( pFERC Order 745)Enhance Demand Response Information SSystemDynamic Pricing vs. Demand Response

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

21

Page 22: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Current Capacity Market InitiativesCurrent Capacity Market Initiatives

Creation of Additional Capacity Zones

Evaluation of Forward Capacity MarketEvaluation of Forward Capacity Market Constructs

Inter-RTO Capacity Transaction and Wheeling

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

22

Page 23: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

MIP Study Conclusions

StudyMIP was evaluated for feasibility within the New York D Ah d k tDay Ahead market process

Benefits IdentifiedL t d i t tLower support and maintenance costsFaster and easier implementation of new market features (flexibility)Slight improvements in Total Production Cost

Challenges/ResolutionsSolution time performance was an issue until MIP was moved to a High Performance Computing (HPC) platform

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

23

Page 24: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

NYISO MIP Approach

Implementation PlanDevelop an unified MIP based commitment and dispatchDevelop an unified MIP based commitment and dispatch approach for the DA and RT markets

Leverage low cost HPC systems to gain >300% i t i f t diti limprovement in performance over traditional servers

Creation of enhanced functionality to allow for scenario based market simulation(s)

Parallelization of Ideal and Physical dispatch

Allows for enhanced market planning and analysis fthrough a near human language interface

Targeted implementation Q2 2014

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

24

Page 25: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Pricing Demand ResponsePricing Demand Response

Replace existing scarcity pricing rule-based logic for emergency demand response deployments with flexible design integrated with dispatch and price setting softwaresetting software

Move price setting from the ex-post software to the ex-ante pricing in the RTS optimization

Minimize divergence between the physical and pricing pass of the RTS

• Ensures consistent transaction schedulingEnsures consistent transaction scheduling

Create flexibility for pricing to occur, regardless of the reliability reason for activation

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

25

Page 26: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Multi-Year TCC Product D l t PlDevelopment Plan

Ph 1 I t d t k t d t • Phase 1 – Introduce to market new product -Non-Historic Fixed Price TCC (NHFPTCC)Ph 2 B l f P i d• Phase 2 - Balance-of-Period

• Phase 3 - Short Term Multi-Duration Centralized A ti 6 th & 1 lAuctions – 6 month & 1 year only

• Phase 4 - Long Term Multi-Duration Centralized Auctions

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

26

Page 27: NYISO Presentation - FERC Annual ISO Meeting W … · 115 kV Dunwoodie South ... (NYTOs) based on substation ... flexible design integrated with dispatch and price setting softwaresetting

Th N Y k I d d S OThe New York Independent System Operator (NYISO) is a not-for-profit corporation

responsible for operating the state’s bulk electricity grid, administering New York’s

titi h l l l t i it k tcompetitive wholesale electricity markets, conducting comprehensive long-term planning

for the state’s electric power system, and advancing the technological infrastructure of th l t i t i th E i St tthe electric system serving the Empire State.

www nyiso comwww.nyiso.com

© 2000-2012 New York Independent System Operator, Inc. All Rights Reserved.

27