Settlements and Billing / Version: 5.1213
Configuration Guide for: RTM Net Amount / Date: 06/1312/31/131/14/14

Settlements and Billing

Configuration Guide:RTM Net Amount

Pre-calculation

Version 5.1213

CAISO, 2019 / Page 1 of 95
Settlements and Billing / Version: 5.1213
Configuration Guide for: RTM Net Amount / Date: 06/1312/31/131/14/14

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 Formula

3.7Outputs

4.Charge Code Effective Dates

1.Purpose of Document

The purpose of this document is to capture the requirements and design specification for a SaMC Settlements Charge Code in one document.

2.Introduction

2.1Background

The RTM Net Amount Pre-calculation is associated with settlement charge groups as follows:

Charge Code / Charge Group / Parent Charge Group
RTM Net Amt Pre-calculation / Bid Cost Recovery Pre-Calc / Pre-calculation

Bid Cost Recovery (BCR) is the process by which the CAISO ensures Scheduling Coordinators (SCs) are able to recover Start Up Costs (SUC), Minimum Load Costs (MLC), Transition Costs (TC), and Energy Bid Costs. In order to recover SUC and MLC, a Generating Unit, Pumped-Storage Unit, or resource-specific System Resource must be committed by the CAISO. Likewise, the CAISO must commit a Multi-Stage Generating Resource in order for it to receive TC compensation. Bid Cost recovery for Energy and Ancillary Services (A/S) Bids applies to Bid Cost Recovery Eligible Resources in general (for example, Generating Units, Pumped-Storage Units, Proxy Demand Resources, and System Resources) scheduled or dispatched by CAISO, independent of whether they are CAISO-committed or instead are self-committed.

For purposes of determining BCR eligibility, CAISO uses a concept called Commitment Period. A Commitment Period consists of the consecutive time periods within a Trading Day when a resource is on-line, synchronized to the grid, and available for dispatch. A Commitment Period is comprised of two distinct sub-types --- Self-Commitment Period and CAISO Commitment Period. The portion of a Commitment Period where a resource submits an Energy Self-Schedule or A/S self provision is called a Self-Commitment Period. A Self-Commitment Period may include time periods when a resource is not operating pursuant of an Energy Self-Schedule or A/S self-provision, but must be on due to Ramping Constraints or a minimum up time or minimum down time requirement. Resources are not eligible for BCR of SUC, MLC or TC during Self-Commitment Periods, but are eligible for BCR of awarded Energy and A/S. The portion of a Commitment Period that is not a Self-Commitment Period is called CAISO Commitment Period. Resources are eligible to receive BCR for SUC, MLC, TC, awarded Energy and A/S during a CAISO Commitment Period.

For each resource, the total SUC, MLC, TC, Bid Costs together with the energy and AS bid costs, and market revenues from RUC, and RTM are netted together for each Settlement Interval. If the difference between the total costs and the market revenues is positive in the relevant market, then the net amount represents a Shortfall. If the difference is negative in the relevant market, the net amount represents a Surplus. For each resource or, in the case of a MSS entity that has elected net settlement, all MSS resources collectively, the RUC, and RTM Shortfalls and Surpluses are then netted over all hours of a Trading Day. Net Surpluses from either of the RUC or RTM markets offset any net shortfalls from the RTM or RUC market, respectively, over the entire Trading Day. If the net Trading Day amount is positive (a Shortfall), the Scheduling Coordinator receives a BCR Uplift Payment equal to the net Trading Day amount.

Bid Cost Recovery for resource costs in the IFM, RUC and RTM markets is determined for each Settlement Interval based upon a resource’s performance and delivered energy relative to its Expected Energy. Pre-calculation RTM Net Amount, as described herein, provides the net Shortfall or Surplus for the RTM component of Bid Cost Recovery.

2.2Description

RTM Net Amount Pre-calculation will perform the calculations necessary to implement the business rules identified in the Business Rules section below.

For each Settlement Interval, this pre-calculation will generate the RTM Bid Costs, RTM market revenue, and the RTM Net Amount as the net difference between RTM costs and RTM revenue for various Bid Cost Recovery Eligible Resources (for example, Generating Units, Pumped-Storage Units, Proxy Demand Resources and resource specific System Resources without a Circular Schedule). The RTM Net Amount is subsequently used as an input for CC 6620 – RUC and RTM Bid Cost Recovery Settlement and pre-calculation Bid Cost Recovery Sequential Netting.

3.Charge Code Requirements

3.1Business Rules

Bus Req ID / Business Rule
This Pre-calc is a daily computation generating results on a Settlement Interval basis.
1.0 / Resources that fall short of the RT Dispatch Instructions shall only be guaranteed the recovery of cost associated with the Energy actually provided. In the case of positive uninstructed deviation, the eligible resource will be entitled to Bid Cost Recovery based on its scheduled Energy. For purposes of determining the Unrecovered Bid Cost Uplift Payments for each Bid Cost Recovery Eligible Resource as determined according to Tariff Section 11.8.5 and the allocation of Unrecovered Bid Cost Uplift Payments for each Settlement Interval, the CAISO shall sequentially calculate the Bid Costs, which can be positive (IFM, RUC or RTM Bid Cost Shortfall) or negative (IFM, RUC or RTM Bid Cost Surplus) in the IFM, RUC and the Real-Time Market, as the algebraic difference between the respective IFM, RUC or RTM Bid Cost and the IFM, RUC or RTM Market Revenues.
1.1 / The RTM Bid Costs shall be calculated pursuant to ISO Tariff Section 11.8.4.1 and the RTM Market Revenues, including the FMM Market Revenues and the RTD Market Revenues, shall be calculated pursuant to ISO Tariff Section 11.8.4.2.
1.1.1 / The RTM Energy Bid Costs include the FMM Energy Bid Costs and RTD Energy Bid Costs.
1.1.2 / The RTM Market Revenues include the FMM Market Revenues and RTD Market Revenues.
1.11.2 / RTM Net Amount is the difference between the RTM Bid Cost and the RTM Market RevenueThe Energy subject to RTM Bid Cost Recovery is the Instructed Imbalance Energy, excluding Standard Ramping Energy, Residual Imbalance Energy, Exceptional Dispatch Energy, Derate Energy, Ramping Energy Deviation, Regulation Energy and MSS Load Following Energy, regardless of whether the Energy is from the FMM or RTD, and is subject to the application of the Real-Time Performance Metric and the Persistent Deviation Metric.
2.0 / For each Settlement Interval, the CAISO shall calculate RTM Bid Cost consistsfor each Bid Cost Recovery Eligible Resource, as the algebraic sum of the eligible RTM Start-Up Cost, eligible RTM Minimum Load Cost, eligibleRTM Transition Cost, RTM Pump Shut-Down Cost, RTM Energy Bid Cost, and RTM Pumping Cost, RTM AS Bid Cost, and when applicable, the RUC and any associated Regulation Mileage Bid CostRTM Minimum Load Costs and the IFM Minimum Load Costs.
2.1 / For Multi-Stage Generating Resources the CAISO will determine the applicable Commitment Period (IFM, RUC or RTM) and select the applicable Start-Up Cost, Minimum Load Cost, and Transition Cost in any given Settlement Interval.
2.2 / For Multi-Stage Generating Resources, the incremental RTM Start-Up Cost, Minimum Load Cost, and Transition Cost to provide RTM committed Energy or awarded Ancillary Services capacity for an MSG Configuration other than the self-scheduled MSG Configuration are determined by the performance of the RTM.
3.0 / For any Settlement Interval, the RTM Energy Bid Cost for the Bid Cost Recovery Eligible Resource except Participating Loads shall be computed as the sum of the products of each FMM and RTD Instructed Imbalance Energy (IIE) portion, except Standard Ramping Energy, Residual Imbalance Energy, FMM and RTD Exceptional Dispatch Energy, FMM and RTD Derate Energy, MSS Load Following Energy, Ramping Energy Deviation and Regulating Energy, with the relevant Energy Bid prices, the Default Energy Bid price, or the applicable FMM or RTD Locational Marginal Price, if any, for each Settlement Interval.
3.1 / For Settlement Intervals for which the Bid Cost Recovery Eligible Resource is ramping up to or down from a rerated Minimum Load that was increased in SLIC for the Real-Time Market, the FMM or RTD Energy incurred by the ramping will be classified as FMM or RTD Derate Energy and will not be included in Bid Cost Recovery.
3.2 / For any resource that is ramping up to or down from an Exceptional Dispatch instruction the relevent Energy Bid cost used in the RTM Energy Bid Cost will be settled on the same basis as the Energy Bid used in the Settlement of the Exceptional Dispatch that led to the ramping.
3.3 / The RTM Energy Bid Cost for a Bid Cost Recovery Eligible Resource, including Participating Loads and Proxy Demand Response Resources, for a Settlement Interval is subject to the Real-Time Performance Metric and the Persistent Deviation Metric.
3.4 / Any Uninstructed Imbalance Energy is not eligible for Bid Cost Recovery.
3.5 / For a Multi-Stage Generating Resource the CAISO will determine the RTM Energy Bid Cost based on the Generating Unit or Dynamic Resource-Specific System Resource level.
3.04.0 / For each Settlement Interval, the Real-Time Market AS Bid Cost shall be the product of the average Real-Time Market AS Award from each accepted AS Bid submitted in the Settlement Interval for the Real-Time Market, reduced by any relevant tier-1 No Pay capacity in that Settlement Interval (but not below zero), with the relevant AS Bid price.
3.14.1 / The RTM AS Bid Cost at every Settlement Interval is derived from the RTM AS Bid Cost of the Ancillary Service interval as follows:
The average Real -Time Market AS Award for a given AS in a Settlement Interval is derived by first dividing the (hourly)sum of the 15 -minute Real-Time Market AS Award for Awards in that Settlement Interval, each 15-minute Commitment Intervaldivided by the number of 15-minute Commitment Intervals in a Trading Hour (4), then subsequently dividing each result by the numberand prorated to the duration of Dispatch Intervals in a Commitment Interval (3) resulting in an average 5-minute AS Award quantity for each Commitment Interval. Finally,the Settlement Interval (10/15 if the average Real-Time Market AS Award in aspans the entire Settlement Interval is calculated as the sum of, or 5/15 if the respective 5-minuteReal-Time Market AS Award quantities for thatspans half the Settlement Interval. ).
3.24.2 / The RTM AS Bid Cost includes the adjustment of the AS No Pay.For a Multi-Stage Generating Resource the CAISO will determine the RTM AS Bid Cost based on the Generating Unit or Dynamic Resource-Specific System Resource level.
3.34.3 / The RTM Minimum Load Cost is input into the currently defined calculation from a predecessor configuration. (Fact)The Real-Time Market AS Bid Cost shall also include Mileage Bid Costs.
3.3.14.3.1 / For each Settlement Interval, the Real-Time Market AS Mileage Bid Cost shall be the sumproduct of the products (taken overInstructed Mileage associated with a Real-Time Regulation capacity award, as adjusted for accuracy, and the relevant Mileage Bid price divided by the number of Settlement Interval) of (a) each 15-minute Real-Time Market AS Mileage Award in that Settlement Interval from the accepted AS Mileage Bid(s) submitted in the Settlement IntervalIntervals for the Real-Time Market (b) and the relevant AS Bid price, with each product adjusted for performance accuracy and divided over its associated 15-minute interval of thein a Trading Hour.
3.3.24.3.2 / For a Multi-Stage Generating Resource theThe CAISO will determine and calculate the Real tTime Market Mileage Bid Cost based onfor a Multi-Stage Generating Resource at the Generating Unit or Dynamic Resource-Specific System Resource level.
5.0 / The RTM Market Revenue Calculations are subject to the Real-Time Performance Metric and the Persistent Deviation Metric.
6.0 / For each Settlement Interval in a CAISO Real-Time Market Commitment Period, the RTM Market Revenue for a Bid Cost Recovery Eligible Resource is the algebraic sum of the elements listed below:
3.46.1 / (a)RTM Market Revenue consistsThe sum of the RTM Energy revenueproducts of the FMM or RTD Instructed Imbalance Energy (including the revenue for the Energy from Minimum Load), RT AS revenue of the Bid Cost Recovery Elegible Resource committed in RUC and RT Regulation Mileage Revenue. RTM Energy revenue excludes thewhere for Pumped-Storage Hydro Units and Participating Load operating in the pumping mode or serving Load, the MWh is negative), except Standard Ramping Energy, Residual Imbalance Energy, FMM and RTD Exceptional Dispatch Energy, RerateFMM and RTD Derate Energy, MSS Load Following Energy, Ramping Energy Deviation, and Regulationg Energy, with the relevant FMM and RTD LMP, for each Settlement Interval.
6.2 / (b)The product of the Real-Time Market AS Award from each accepted Real-Time Market AS Bid in the Settlement Interval with the relevant ASMP, divided by the number of fifteen (15)-minute Commitment Intervals in a Trading Hour (4), and prorated to the duration of the Settlement Interval.
6.3 / (c)The relevant tier-1 No Pay charges for that Bid Cost Recovery Eligible Resource in that Settlement Interval.
7.0 / For each Settlement Interval in a non-CAISO Real-Time Market Commitment Period, the Real-Time Market Revenue for a Bid Cost Recovery Eligible Resource is the algebraic sum of the following:
3.57.1 / (a)RTM Market Revenue shall include revenue from Instructed Imbalance Energy, calculated as theThe sum of the products of the FMM or RTD Instructed Imbalance Energy (excluding the Energy (where for Pumped-Storage Hydro Units and Participatingfrom Minimum Load operatingof Bid Cost Recovery Eligible Resources committed in the pumping mode or serving Load, the MWh is negativeRUC), except Standard Ramping Energy, Residual Imbalance Energy, FMM and RTD Exceptional Dispatch Energy, FMM and RTD Derate Energy, MSS Load fFollowing Energy, Ramping Energy Deviation and Regulationg Energy, with the relevant Real-Time MarketFMM or RTD LMP, for each Dispatch Interval in the Settlement Interval.;
1.1.1.1 / The Instructed Imbalance Energy for this calculation is subject to the Real-Time Metered Energy Adjustment Factor to capture metered energy.
3.67.2 / (b)RTM Market Revenue shall include Minimum Load revenue, calculated as theThe product of the delivered MWh at or below the resource’s Minimum Load submitted to the Real-Time Market (including EnergyAS Award from Minimum Load of Bid Cost Recovery Eligible Resources committed in RUC) and the relevant each accepted Real-Time Market LMP, for each Dispatch IntervalAS Bid in the Settlement Interval with the relevant ASMP, divided by the number of fifteen (15)-minute Commitment Intervals in a Trading Hour (4), and prorated to the duration of the Settlement Interval.
3.77.3 / (c)The delivered portions of the Day Ahead Schedule in this case are determined based on the CAISO’s determination that the resource was “On” for the applicable Trading Hour as determined by the Pre-calculation Start-Up and Minimum Load Cost configuration.The relevant tier-1 No Pay charges for that Bid Cost Recovery Eligible Resource in that Settlement Interval.
4.08.0 / For non-CAISO Real-Time Market Commitment periods, the RTM Energy revenue excludes revenue for Minimum Load of resources committed in RUC that become ineligible for minimum load cost recovery due to the Settlement Interval being considered a non-CAISO Commitment period in Real Time. The Energy subject to RTM Bid Cost Recovery for Metered Subsystems also excludes Energy from Minimum Load , if the resource is not committed by the CAISO in the Real-Time, in addition to Standard Ramping Energy, Residual Imbalance Energy, FMM and RTD Exceptional Dispatch Energy, FMM and RTD Derate Energy, Ramping Energy Deviation, Regulation Energy and MSS Load Following Energy.
5.09.0 / RTM Market Revenue shall include Real-Time Market AS Award revenue calculated as the product of the Real-Time Market AS Award from each accepted Real-Time Market AS Bid in the Settlement Interval with the relevant ASMP, divided by the number of fifteen (15)-minute Commitment Intervals (4) in a Trading Hour, and prorated to the duration of the Settlement Interval.The RTM Bid Cost Recovery for MSS Operators differs based on whether the MSS Operator has elected gross or net Settlement; except that the calculation of the RTM Bid Costs and RTM Market Revenues for Ancillary Services will be as provided for a non-MSS entity and does not vary on the basis of the MSS’s election of gross or net Settlement.