Configuration Guide for: RTM Net Marginal Loss Assessment per CAISO Agreement / Date: 104/0230/141
Settlements & Billing
Configuration Guide: RTM Net Marginal Loss Assessment per CAISO Agreement
CC 6984
Version 5.32
ÓCAISO, 2014 / Page 2 of 19Settlements & Billing / Version: 5.32
Configuration Guide for: RTM Net Marginal Loss Assessment per CAISO Agreement / Date: 104/0230/141
Table of Contents
1. Purpose of Document 3
2. Introduction 3
2.1 Background 3
2.2 Description 4
3. Charge Code Requirements 4
3.1 Business Rules 4
3.2 Predecessor Charge Codes 6
3.3 Successor Charge Codes 6
3.4 Input – External Systems 7
3.5 Inputs - Predecessor Charge Codes or Pre-calculations 8
3.6 CAISO Formula 9
3.7 Outputs 11
4. Charge Code Effective Dates 13
ÓCAISO, 2014 / Page 2 of 19Settlements & Billing / Version: 5.32
Configuration Guide for: RTM Net Marginal Loss Assessment per CAISO Agreement / Date: 104/0230/141
1. Purpose of Document
The purpose of this document is to capture the requirements and design specification for a SaMC Charge Code in one document.
2. Introduction
2.1 Background
The valid and balanced portion of TOR Energy schedules post-Day-Ahead Market, i.e., in the HASP/FMM/Real-Time timeframe including changes up to T-20 minutes if the transmission contract allows, are exempt from Loss charges, as part of honoring the existing contracts without subjecting TOR holders to unnecessary charges. TORs get this HASP/RT Loss Credits (also called RTM Loss Credits) and it is in addition to whatever IFM Loss Credits they may get from their valid and balanced schedules that are part of the Day-Ahead Market. TOR loss credits and specific loss charging shall only be applicable where provisioned in CAISO agreements.
The Loss charge reversals for TORs shall be made in RTM Net Marginal Loss Credit Assessment per CAISO AgreementSettlement (CC 6984788). Any Loss credit to TOR is credited only to the Billing SC (also called the designated SC) of each contract even if it is possible that other SCs may make use of the same contract when submitting the TOR Self-Schedule.
The CAISO-wide net settlement amount from these Loss charge reversals could be positive (representing surplus) or negative (representing deficit).
The Loss credits to TOR form a reversal of Loss charges contained in settling CC 6460051 and CC 6470 based on LMP (which had three components: Energy, Congestion, and Loss). However, the reversal is made not to the same SCs who made the Self-Schedules but to the particular designated Billing SC for the contract. Also, the reversal is not always for the whole Self-Schedule quantity but only for the valid and balanced portion calculated in the ETC/TOR/CVR Pre-calculation.
Unlike the Day-Ahead Energy where Loss credit to TOR is embedded in the same Charge Code that settle based on the LMP (CC 6011), the post-Day-Ahead (HASP FMM and RT) Energy Loss credits are separated from both CC 6460051 (FMM HASP settlement based on LMP) and CC 6470 (RT settlement based on LMP). The reasons for this are as follows: (a) combine into a single Charge Code the total Loss credit provided to the Billing SC for the HASP FMM and RT, (b) trace clearly that balancing is done by combining the HASP FMM and RT Self-Schedules and any changes up to T-20 if the transmission contract allows, (c) show the assignment of the total balanced capacity and credit amount to the Billing SC for the contract, such quantity and credit amount are independent of whether the original Self-Schedules made by the different SCs using the same contract were for HASP FMM or RT, and (d) simplify the formulas in this and the related Charge Codes required to do this Settlement.
Specific contracts can contain loss charging provision which can vary from one contract to another. This charge code shall provide the loss charge to such contracts in the Post-Day-Ahead and the amount collected shall be included in the Imbalance Energy Offset (CC 6477) to be distributed to Measured Demand excluding demand quantity for which loss credits were provided in the Post-Day-Ahead.
2.2 Description
CC 6984 RTM Net Marginal Loss Assessment per CAISO Agreement will perform the calculations necessary to implement the business rules identified in the Business Rules section below.This Charge Code computes the Loss credits (which can be positive or negative) to the designated Billing SCs of TORs for valid and balanced Self-Schedules post-Day-Ahead. The post-Day-Ahead Self-Schedule considers the TOR schedule change with respect to the Day-Ahead Self-Schedules for TOR contracts, including changes submitted to the HASP and changes submitted closer to Real-Time where allowed by the contract.
The Loss credit for each CRN N shall be (1) the product of the change in quantities from DA to post- DA computed valid and balanced self-schedules at a supply resource and the MCL of the contract’s financial source node associated with that resource, minus (2) the product of the change in quantities from DA to post- DA computed valid and balanced self-schedules at a sink resource and the MCL of the contract’s financial sink node associated with that resource. The settlement is at the CRN level, even if portions of the eligible quantities may have come from Chain CRN self-schedules. Also, the total Loss credit for the CRN is provided only to the Billing SC for the contract.
For a given resource and contract, either the HASP or RT MCL at the associated financial node shall be used as the price basis. For generation, load, and non-hourly predispatchable system resources, the RT MCL at the associated financial node shall be used. For hourly predispatchable system resources, the HASP and/or RT MCL at the associated financial node shall be used, at a ratio equal to the proportion of HASP and/or RT imbalance energy MW usage of the resource.
The Converted Rights and Existing Transmission Rights contract types are not included in this Loss credit Settlement.
The specific loss charge shall be computed based on (a) a contract-specific fixed percentage as specified under TOR contracts or CAISO agreements, if any, (b) the System Marginal Energy Cost (SMEC), and (c) the Post-Day-Ahead change balanced capacity of the TOR contract.
The CAISO total settlement amount from this Charge Code shall be allocated /recovered for neutrality in 6477, the Real Time Imbalance Energy Offset.
3. Charge Code Requirements
3.1 Business Rules
Bus Req ID / Business Rule /1.0 / This charge code computes the Loss credits (which can be positive or negative) for valid and balanced Self-Schedules for Energy post-Day-Ahead for eligible TOR contracts. This charge code will also compute the specific loss charge based on a fixed percentage and the System Marginal Energy Cost (SMEC) as specified under CAISO agreements for certain TOR contracts, if any.
1.1 / Eligible TOR contracts are specific TOR contracts which have agreements with CAISO to receive marginal loss credits. The same CAISO agreements would specify whether the TOR contract would be assessed a loss charge.
1.2 / The loss charge which would be set as a percentage of the SMEC and the valid and balanced capacity of the contract (or implemented contract reference numbers (CRNs)) can differ from one CAISO agreement to another.
1.3 / This charge code shall be settled on a settlement interval, 10-minute, basis.
2.0 / The contract Loss credit for Energy Self-Schedules using Contract Reference Number (CRN) N of type TOR shall be credited only to the designated “Billing SC” of such contract. Only TOR contract types are provided contract loss credits, and only those TOR contracts with specific provisions in CAISO agreements to receive loss credits shall receive such credits.
2.1 / For each Scheduling Coordinator, the CAISO shall determine for each Settlement Interval the applicable RTM Marginal Cost of Losses Credit for Eligible TOR Self-Schedules for Imbalance Energy, which can be positive or negative, as the sum of the product of the relevant MWh quantity and the weighted average MCL at each eligible Points of Receipt and Points of Delivery associated with the valid and balanced portions of that Scheduling Coordinator’s TOR Self-Schedules.
2.2 / The weights in the two markets will be based on the absolute values of the: (a) deviation of the FMM Schedule or the CAISO Forecast Of CAISO Demand used in the FMM from Day-Ahead Schedules; and (b) deviation of the RTD schedule or the CAISO Forecast Of CAISO Demand used in the RTD from Day-Ahead Schedules.
2.1 / The contract Loss credit for each CRN N of contract type TOR shall be (1) the product of the change in quantities from DA to post-DA computed valid and balanced self-schedules at a supply resource and the MCL of the contract’s financial source node associated with that resource, minus (2) the product of the change in quantities from DA to post- DA computed valid and balanced self-schedules at a sink resource and the MCL of the contract’s financial sink node associated with that resource.
2.31.1 / For the case of a CRN chain, any contract Loss credits coming out of such would have been assigned to each Billing SC of the CRN segments, since the CRN chain self-schedule was segmented and assigned to the different CRN segments of the CRN chain, when determining the valid and balanced self-schedule quantities. Only CRN segments of contract type TOR shall receive contract loss credits. (Fact)
2.41.2 / The contribution to the total contract Loss credit amount of a CRN chain or individual CRN self-schedule at a resource by the original scheduler SC shall be calculated and shown for informational purposes only, as the actual contract Loss credit amount at the contract level is provided and settled only with the designated Billing SC for the contract.
2.51.3 / Per CRN, the contract Loss credit amount at the resource and at the nodal (financial node) levels shall be shown. These values are shown with the original scheduler SC but shall subsequently be assigned - as part of the contract-level Loss credit amount - to the designated Billing SC for the contract.
2.62 / The valid and balanced portion of TOR Self-Schedules for Energy shall be settled using the MCL at the relevant PNode/APNode associated with the TOR financial source or financial sink.
2.2.1 / For a given resource and contract, either the HASP or RT MCL at the associated financial node shall be used as the price basis.
2.2.1.1 / For generation, load, and non-hourly predispatchable system resources, the RT MCL at the associated financial node shall be used.
2.2.1.2 / For hourly predispatchable system resources, the HASP and/or RT MCL at the associated financial node shall be used, at a ratio equal to the proportion of HASP and/or RT imbalance energy MW usage of the resource.
2.73 / The CAISO Total Settlement Interval RTM Contract Loss Credit Amount, given in settlement interval values, shall feed the Real Time Imbalance Energy Offset (CC 6477), and shall be recovered in the neutrality group of CC 6477.
3.0 / The Post-Day-Ahead specific loss charge shall be computed based on a contract-specific fixed percentage, the System Marginal Energy Cost (SMEC), and the Post-Day-Ahead change balanced capacity, as specified under TOR contracts or CAISO agreements, if any.
3.0 / For losses that the CAISO shall charge pursuant to Section 17.3.3, the specific loss charge amount shall be the product of (a) the specific loss percentage as may be specified in an applicable agreement between the TOR holder and the CAISO or an existing agreement between the TOR holder and a Participating TO, (b) the weighted average SMEC price from the FMM and RTD markets with weights based on the absolute values of (1) deviation of FMM schedule or CAISO Forecast Of CAISO Demand used in the FMM from Day-Ahead Schedules and (2) deviation of RTD schedule or CAISO Forecast Of CAISO Demand used in the RTD from Day-Ahead Schedules, and (c) the balanced contract quantity mentioned in Section 11.5.7.1.
3.1 / The SMEC price to be used shall be the averaged hourly HASP SMEC, except when there are no HASP resources used for the contract, for the Trading Hour. The average hourly HASP SMEC is derived as the hourly average of four-15 min HASP SMEC prices for each particular Trading Hour. The averaged hourly HASP SMEC would further be converted to the granularity of the current charge code as needed.
3.2 / The SMEC price to be used shall be the RT SMEC when there are no HASP resources used for the contract for the Trading Hour. The RT SMEC has a granularity of 5-minutes and shall be converted to the granularity of the current charge code as needed.
4.0 / For adjustments to the Charge Code that cannot be accomplished by correction of upstream data inputs/recalculation or operator override Pass Through Bill Charge logic will be applied.
5.0 / For informational purposes, resource level MCL prices for all the markets for resources where transmission rights contracts are scheduled shall be provided in this charge code.
3.2 Predecessor Charge Codes
Charge Code/ Pre-calc Name /ETC/TOR/CVR Quantity Pre-calculation
CC 6011 – Day Ahead Energy, Congestion, Loss Settlement
CC 6788 – Real Time Market Congestion Credit Settlement
3.3 Successor Charge Codes
Charge Code/ Pre-calc Name /CC 6477 – Real Time Imbalance Energy Offset
3.4 Input – External Systems
Row # / Variable Name / Description /1.1 / HASP15minFinancialNodeMCLPrice FMM15minFinancialNodeMCLPrice j’mdhc / The Marginal Cost of Losses (MCL) for financial node j’ that cleared in the fifteen minute market (FMM)HASP for Trading Hour h, 15-minute commitment interval c. ($/MWh)
These are mapped from Pnode and APnode MCL prices for HASP FMM Energy.
IFM/RTM application is expected to provide the base data for this. Whenever the financial source/sink is not a PNode nor an APNode, such as a Trading Hub, then for data mapping purposes, a special derivation of this value will be done by an upstream system.
1.2 / DispatchIntervalRTFinancialNodeMCLPrice j’mdhcif / The Marginal Cost of Losses (MCL) for financial node j’ that cleared in the Real Time market for Trading Hour h, Dispatch Interval f. ($/MWh)
These are mapped from Pnode and APnode MCL prices for Energy in the Real Time Market.
IFM/RTM application is expected to provide the base data for this. Whenever the financial source/sink is not a PNode nor an APNode, such as a Trading Hub, then for data mapping purposes, a special derivation of this value will be done by an upstream system.
2.1 / CAISO15minHASP_SMECPrice hc CAISO15MFMMSMECPrice mdhc / The System Marginal Energy Cost (SMEC) in FMMthe HASP for Trading Hour h, 15-min commitment interval c. ($/MWh)
2.2 / CAISODispatchIntervalRT_SMECPrice hif CAISO5MRTSMECPrice mdhcif / The System Marginal Energy Cost (SMEC) in the Real Time market for Trading Hour h, Dispatch Interval f. ($/MWh)
3 / ContractLossChargingPercentage Nz’md / Specific loss charging percentage contained infor a the transmission contract for CRN N of contract type z’. This value is constant for Trading Day d, is applicable for any interval of the day.
This value is provided in decimal terms.
4 / ContractDailyTORLossCreditInclusionFlag Nz’md / This flag identifies that TOR contract N is to be accorded the TOR loss credit, whenever the flag value is 1. The actual loss credit amount for the TOR contract shall eventually go the Billing SC for the contract. This value can change at most daily.
5 / PTBChargeAdjustmentBASettlementIntervalRTMNetMarginalLossAssessmentAmt PTBChgAdjBA5MRTMNetMarginalLossAssessAmt BJmdhcif / PTB adjustment variable for this Charge Code, amount per BA B, PTB ID J, per Settlement Interval i of Trading Hour h. ($)
6 / BAHourlyResourceDA_MCLPrice Brtmdh / DA resource level MCL price per Business Associate B, resource r, resource type t for Trading Hour h. This is an information only BD and is included in the Business Associate’s Bill Determinant file.
7 / BAHourlyResourceHASP_MCLPrice Brth / HASP resource level MCL price per Business Associate B, resource r, resource type t for Trading Hour h. This is information only BD and is included in the Business Associate’s Bill Determinant file.
7 / BA15MResourceFMMMCLPrice Brtmdhc / Fifteen minute market (FMM) resource level MCL price. This is information only BD and is included in the Business Associate’s Bill Determinant file.
8 / BADispatchIntervalResourceRT_MCLPrice BrthifBADispatchIntervalResourceRTMCLPrice Brtmdhcif / RT resource level MCL price per Business Associate B, resource r, resource type t for Dispatch Interval f of Settlement Interval i for Trading Hour h. This is an information only BD and is included in the Business Associate’s Bill Determinant file.
3.5 Inputs - Predecessor Charge Codes or Pre-calculations
Row # / Variable Name / Predecessor Charge Code/Pre-calc Configuration /
1 / SettlementIntervalPostDAChangeBalancedContractSS Brtj’Nz’mdhcif / ETC/TOR/CVR Quantity Pre-calculation
2 / DailyContractResourceFinancialNodeMap rtj’Nz’d / ETC/TOR/CVR Quantity Pre-calculation
23 / PostDAChangeBalanceCapacity Nz’mdhcif / ETC/TOR/CVR Quantity Pre-calculation
34 / BASettlementIntervalResourcePostDAEnergyChangeCRNSchedulePercentage BASettlementIntervalResourcePostDAChangeEnergyCRNSchedulePercentage Brtj’g’Nz’mdhcif / ETC/TOR/CVR Quantity Pre-calculation
45 / TORContractBillingSCFactor BNz’md / CC 6011 – Day Ahead Energy, Congestion, Loss Settlement
56 / BASettlementIntervalResourceHAEnergyWeightFactor Brtj’Nz’hiBA5MResourceFMMEnergyWeightFactor Brtj’Nz’mdhcif / CC 6788 – Real Time Market Congestion Credit Settlement
67 / BASettlementIntervalResourceRTEnergyWeightFactor Brtj’Nz’hiBA5MResourceRTDEnergyWeightFactor Brtj’Nz’mdhcif / CC 6788 – Real Time Market Congestion Credit Settlement
7 / BA5MResourceFMMDAContractDeviationQuantity Brtj’Nz’mdhcif / CC 6788 – Real Time Market Congestion Credit Settlement
8 / BA5MResourceRTDDAContractDeviationQuantity Brtj’Nz’mdhcif / CC 6788 – Real Time Market Congestion Credit Settlement
3.6 CAISO Formula
3.6.1 BASettlementIntervalRTMNetMarginalLossAssessmentSettlementAmount Bhimdhcif =