Spinning Reserve Selection & Deployment Process Review MSC012
Last Modified - 06/30/2021
The current clearing process for selecting resources to be held for spin service typically does not consider the energy offer costs incurred when these resources are deployed in a Contingency Reserve Deployment (CRD) event. This includes any shutdown costs that a demand resource may have when deployed. If the resource is committed by MISO, however, the resource owner will be made whole to its production costs when deployed. If not committed by MISO, there is no such guarantee. This process leads to an inefficient clearing of spin resources, whether the resource owner is made whole or not. Alternative approaches should be considered for scheduling spin resources in MISO markets with the lowest total costs, including deployment costs.
FERC issued an Order accepting MISO's compliance related to revisions to Module A and Module C to address inefficiencies in the selection and deployment of Spinning Reserves by enhancing price signals and reducing uplift.
MISO submitted its compliance filing to comply with the Commission’s order in Docket No. ER21-679-000 related to revisions to Module A and Module C to address inefficiencies in the selection and deployment of Spinning Reserves by enhancing price signals and reducing uplift.
FERC accepted, subject to condition, MISO’s proposed tariff revisions that modify the process for selecting resources that provide spinning reserves. In an associated pending Voltus ADR, FERC granted MISO’s request for waiver of its tariff regarding the payment of shutdown costs of an online demand response provider deployed to provide spinning reserves.
MISO submitted revisions to Module A and Module C to address inefficiencies in the selection and deployment of Spinning Reserves by enhancing price signals and reducing uplift.
Draft Tariff language posted with October 8 Market Subcommittee meeting materials. FERC filing expected by year end.
Transitioned to Concept Design with FERC filing still targeted for Q4 2020
Added the Concept Design (Q3) and FERC Filing (anticipated in Q4) phases to the timeline. FERC filing is now anticipated to occur in Q4.
Potential solutions to reduce uplifts and improve price signals were discussed at the Market Subcommittee. An 3rd Quarter filing is anticipated. An update will be provided after filing.
Alternative approaches to spin selection and deployment presented at the Market Subcommittee. Stakeholder feedback requested on the proposed alternatives. Next update at the July 9 Market Subcommittee.
Brief update during Market Subcommittee Liaison report. Next update in the June 11 Market Subcommittee.
Presented to the Market Subcommittee. Stakeholder feedback requested. Next update at Market Subcommittee to review feedback and draft language on May 7.
Presented to the Market Subcommittee. Stakeholder feedback requested. Next update at Market Subcommittee to review feedback April 9.
Issue presented to the Steering Committee and assigned to the Market Subcommittee. Next update at the Market Subcommittee March 5.