The rapid transformation of resources to a cleaner, variable and energy limited fleet is driving the need to re-examine the ISO’s Resource Adequacy program. In this initiative the California ISO, in collaboration with the California Public Utilities Commission and stakeholders, will explore reforms needed to the ISO’s resource adequacy rules, requirements, and processes to ensure the future reliability and operability of the grid.
Proposal Development | Decision | Implementation | Completed/Closed | |
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Phase 2 |
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Fall 2023
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Phase 1 |
Mar 25, 2021 Revised draft tariff language posted
Feb 17, 2021 Final proposal posted |
May 28, 2021 FERC approval (ER21-1551)
Mar 29, 2021 Tariff amendment (ER21-1551) Mar 24, 2021 Board of Governors approval |
Jun 01, 2021 Deployment
Jun 2021 Activation |
Completed |
Phase 2 of this initiative explores flexible resource adequacy (RA) requirements, and must offer obligations and bid insertion rules.
OUTCOME: planned outage substitution - The ISO implemented the planned outage substitution functionality on June 7, 2021. This function ensures that all planned outages on Resource Adequacy resources will have substitute capacity within 24 hours of submission of the outage. It will also prevent the extension or expansion of planned outages without additional substitute capacity.
OUTCOME: operationalizing storage - The ISO implemented the Minimum State of Charge (MSOC) functionality into production on June 30, 2021. The Minimum State of Charge (MSOC) had triggered on several occasions when a Residual Unit Commitment (RUC) shortage was identified in the Day-Ahead Market. Overall battery participation on days when hot weather is experienced has been adequate, and there have been minimal intervals when the MSOC constraints have imposed restrictions. We expect there could still be several days when RUC shortages occur through about mid-September 2021, and the team will continue monitoring storage and implemented functionality through this period. So far, there are no significant concerns about storage participation on hot days.