Power generators will now have the option to schedule power in 15-minute intervals that allows variable resources to better forecast and schedule their renewable energy. The proposal also meets Order No. 764 issued last year by the Federal Energy Regulatory Commission (FERC) to facilitate more efficient exchanges of power at the interconnections between power grids.
“I am delighted the ISO board approved our proposal to provide renewable resources a solid foundation to grow on our grid,” said Steve Berberich, ISO president and CEO. “It is gratifying to evolve the market so that it embraces the unique way variable renewable resources operate to the benefit of all.”
The new structure keeps the current 5-minute dispatch approach for internal ISO resources and some imported energy, which greatly reduces implementation complexity, time and costs by using existing system functionalities. It is also compatible with the proposed ISO/PacifiCorp energy imbalance market.
The proposal also spells out a timeframe for re-implementing convergence bidding, which is a tool that participants can use to hedge their risks and stabilize real-time prices.
The enhancements would enable the ISO to begin using the new approach in spring of next year, once approved by federal regulators.
The California ISO provides open and non-discriminatory access to one of the largest power grids in the world. The vast network of high-voltage transmission power lines is supported by a competitive energy market and comprehensive grid planning. Partnering with about a hundred clients, the nonprofit public benefit corporation is dedicated to the continual development and reliable operation of a modern grid that operates for the benefit of consumers.