20190227Quarterly Report.pdf

3Effi*@
An IDACORP Company
Pii h: 5'r
JULIA A. HILTON
Senior Counsel
ihi ![e-mail]
February 27,2019
VIA HAND DELIVERY
Diane M. Hanian, Secretary
ldaho Public Utilities Commission
47 2 W est Wash i n gton Street
Boise, ldaho 83702
Re:Case No. IPC-E-16-19
Deferral and Recovery of Costs Associated with Participation in Energy
lmbalance Market - California Independent System Operator's ("CA!SO')
Fourth Quarter 2018 Western Energy lmbalance Market ("ElM') Benefits
Report
Dear Ms. Hanian
Pursuant to Order No. 33706 issued in Case No. IPC-E-16-19, ldaho Power
Company ("ldaho Power" or "Company") hereby submits the quarterly CAISO Western
EIM Benefits Report ("Report") for the fourth quarter of 2018. The Report presents
CAISO's quantification of benefits associated with participation in the Western ElM. For
the fourth quarter of 2018, CAISO estimated Western EIM gross benefits of $5.82 million
for ldaho Power.
ldaho Power believes that the EIM has provided financial benefits to the Company,
and ultimately its customers. However, ldaho Power believes that CAISO's calculation
of benefits for the Company is overstated. This conclusion is primarily based on several
of CAISO's modeling assumptions related to the costs of Company-owned resources.
Consequently, ldaho Power actively engaged CAISO in discussions regarding its
concerns with the quarterly benefit quantification. Pursuant to these discussions, CAISO
revised its benefit quantification methodology forfourth quarter 2018 based on one subset
of Idaho Power's concerns about its modeling assumptions, resulting in a reduction in
calculated ldaho Power-specific benefits from $10.38 million to $5.82 million. As noted
below, the Company will provide a full discussion of CAISO's revised methodology in its
compliance report due May 24,2019.
P.O. Box 70 (83707)
1221 W. ldaho 5t.
Boise, lD 83702
1- 11r C, /
Diane M. Hanian, Secretary
February 27,2019
Page 2
ln addition to working directly with CAISO, the Company is also working to develop
a more precise benefit quantification that uses inputs specific to ldaho Power. ln this
effort, the Company contracted with Power Settlements, a software company that
specializes in providing software solutions to energy companies that participate in
independent system operator and regional transmission organization physical power
markets. One of the benefits of the Power Settlements' software is the ability to shadow
CAISO's benefits calculation, making it possible for ldaho Power to better understand the
methodology and identify issues. With the ability to collect and format the large amount
of CAISO data and shadow the benefits calculation, the Company and Power Settlements
are exploring ways to automate the identification and correction of inconsistencies in
CAISO's benefit calculation. This process will allow ldaho Power to more accurately
quantify benefits specific to ldaho Power customers due to its participation in the Western
EIM.
ln compliance with Order No. 33706, ldaho Power will submit a report onMay 24,
2019, detailing the costs incurred and benefits achieved in the first year of EIM
participation. With this report, the Company intends to present its finalized methodology
for determining EIM benefits and its quantification of actual EIM benefits, as well as a
discussion regarding the Company's efforts with CAISO to improve the methodology
utilized in the quarterly benefit reports.
lf you have any questions regarding this Report, please contact Regulatory Analyst
Nicole Blackwell at [phone] or [e-mail].
Sincerely
Julia A. Hilton
JAH:csb
Enclosure
e Colifornio ISO
WESTERN EIM BENEFITS REPORT
Fourth Quarter 2018
January 31,2019
www.westernElM,com
II
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
CONTENTS
EXECUTIVE SUMMARY 3
4BACKGROUND
I NTER-REGIONAL TRANSFERS 5
9WHEEL THROUGH TRANSFERS...................
REDUCED RENEWABLE CURTAILMENT AND GHG REDUCTIONS
FLEXI BLE RAMP ING PROCUREMENT DIVERSITY SAVI NGS ...,......
t4
15
19
MQRI Copyright 2019 California ISO Page 2 of 19
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
Morket Operolo
! Coliftrnio lso
EIM entity
! ttr" porliciponl
! Honned EIM anhy 20 1 9
! Pbnned EIM enry 2020
! Plonnad EIM enhy 202 1
EXECUTIVE SUMMARY
This report presents the benefits associated with
participation in the western Energy lmbalance
Market (ElM) for the fourth quarter of 2018. The
benefits include cost savings and the use of surplus
renewable energy.
The report shows the EIM is helping to displace less-
clean energy supplies with surplus renewable energy
that otherwise may have been curtailed.
This analysis demonstrates the real-time market's
ability to select the most economic resources across
the EIM footprint.
Q4 2018 Gross Benefits by Participant
Los
0
Power t
04 BENEFITS
Iart,
Arizona Public Service
California ISO
ldaho Power
NV Energy
PacifiCorp
Portland General Electric
Powerex
Puget Sound Energy
Total
(miilions $)
$10.03
$4.14
$5.82
$4.95
$21.68
$9.12
$2.92
$3.91
$62.57
*ElM Quarterly Benefit Report Methodology,
https://www.caiso.com/Documents/ElM Benefi tMethodoloqv.pdf
--The GHG emission reduction reported is associated with the avoided
curtailment only. The current market process and counterfaclual methodology
cannot differentiate the GHG emissions resulting from serving ISO load via the
EIM versus dispatch that \ ould have occurred external to the ISO without the
ElM. For more details, see
http J/www.caiso.com/Documents/GreenhouseGasEmissionsTrackino Reoort-
FrequentlvAskedQuestions. pdf
MQRI Copyright 2019 California ISO Page 3 of 19
Powerex
Gross benefits from EIM since November 2014
$564.88 million
Portlo nd
Generoltlectric \
'qEFT
l,r-'tr PocifiCorp {
NV
Energy
r Fi-
J'
L
Public Service
Comoonv of
NewM€'xicof'
ECONOMICAL
Gross benefits realized due to
more efficient inter-and intra-
regionaldispatch in the Fifteen-
Minute Market (FMM) and Real-
Time Dispatch (RTD).
ENVIRONMENTAL
10 026,
Metric tons of COz** avoided
curtailments
OPERATIONAL
46%
Average reduction in flexibility
reserves across the footprint
WESTERN ElM BENEFITS REPORT FOURTH QUARTER 2018
BACKGROUND
The EIM began financially binding operation on November 1,2014 by optimizing resources
across the ISO and PacifiCorp Balancing Authority Areas (BAAs). NV Energy began
participating in December 2015, Arizona Public Service and Puget Sound Energy began
participating on October 1 ,2016, and Portland General Electric began participating on October
1 ,2017 . Most recently, ldaho Power and Powerex began participating on April 4, 2018. The
EIM footprint now includes portions of Arizona, California, ldaho, Nevada, Oregon, Utah,
Washington, Wyoming, and extends to the border with Canada. The EIM facilitates renewable
resource integration and increases reliability by sharing information between balancing
authorities on electricity delivery conditions across the EIM region.
The ISO began publishing quarterly EIM benefit reports in January 2015. Prior reports can be
accessed at https://www.westerneim.com/Paqes/AbouUQuarterlvBenefits.aspx.The benefits
quantified in this report fall into three main categories and were described in earlier studiesl.
I EIM BENEFITS IN Q4 2018
Table 1 shows the estimated EIM gross benefits by each region per month2. The monthly
savings presented in the table show $18.17 million for October, $19.90 million for November,
and $24.50 million for December with a total estimated benefit of $62.57 million for the quarter
Region October November December Total
APS
/so
IPCO
NVE
PAC
PGE
PWRX
PSE
Total
TABLE 1: Fourth quarter 2018 benefits in millions USD by month
1 PacifiCorp-lSO, Energy lmbalance Market Benefits, http://www.caiso.com/Documents/PacifiCorp-
lSOEnersvlmbalanceMarketBeneflts. odf
2 The EIM benefits reported here are calculated based on available data. lntervals without complete data are
excluded in the calculation. The intervals excluded due to unavailable data are normally within a few percent of
the total intervals.
$3.94 $2.92 $3.t2 $10.03
$0.27 $1.17 $2.70 $4.14
$2.01 $1.70 $2.11 $5.82
$1.73 $1.51 $1.71 $4.95
$5.25 $6.7e $9.64 $21.68
$3.20 $3.04 $2.88 $9.12
$0.62 $1.23 $1.07 $2.e2
$1.1s $1.54 $1.22 $3.91
$18.17 $19.90 $24.50 $62.57
MqRI Copyright 2019 California ISO Page 4 of 19
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
I INTER-REGIONAL TRANSFERS
A significant contributor to EIM benefits is transfers across balancing areas, providing access to
lower cost supply, while factoring in the cost of compliance with greenhouse gas (GHG)
emissions regulations when energy is transferred into the lSO. As such, the transfer volumes
are a good indicator of a portion of the benefits attributed to the ElM. Transfers can take place
in both the Fifteen-Minute Market and Real-Time Dispatch (RTD).
Generally, transfer limits are based on transmission and interchange rights that participating
balancing authority areas make available to the ElM, with the exception of the PacifiCorp West
(PACW)-ISO transfer limit and the Portland General Electric (PGE)-lSO transfer limit in RTD.
These RTD transfer capacities between PACWPGE and the ISO are determined based on the
allocated dynamic transfer capability driven by system operating conditions. This report does
not quantify a BAA's opportunity cost that the utility considered when using its transfer rights for
the ElM.
Table 2 provides the 1S-minute and S-minute EIM transfer volumes with base schedule
transfers excluded. The EIM entities submit inter-BAA transfers in their base schedules. The
benefits quantified in this report are only attributable to the transfers that occurred through the
ElM. The benefits do not include any transfers attributed to transfers submitted in the base
schedules that are scheduled prior to the start of the ElM.
The transfer from BAA_x to BAA_y and the transfer from BAAj to BAA_x are separately
reported. For example, if there is a 100 MWh transfer during a S-minute interval, in addition to a
base transfer from ISO to NVE, it will be reported as 100 MWh from_BAA ISO to_BAA NEVP,
and 0 MWh from_BAA NEVP to_BAA ISO in the opposite direction. The 1S-minute transfer
volume is the result of optimization in the 1S-minute market using all bids and base schedules
submitted into the ElM. The S-minute transfer volume is the result of optimization using all bids
and base schedules submitted into ElM, based on unit commitments determined in the 15-
minute market optimization. The maximum transfer capacities between EIM entities are shown
in Graph 1 below.
Month From
BAA
To
BAA
1Smin EIM
transfer
5m - base)
Smin EIM
transfer
MQRI Copyright 20L9 California l5O Page 5 of 19
(5m - base)
AZPS crso 225,871
AZPS NEVP 16,165 16,001
AZPS PACE 6,736 13,685
PWRX crso 6,195 12,223
PWRX PSEI 12,608 10,948
crso AZPS 23,670 32,188
crso PWRX 13,852 57,896
268,032
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
October
CISO NEVP 37,645 54,413
crso PACW 30,949 36,1 99
crso PGE 25,572 42,618
tPco NEVP 35,456 21,214
tPco PACE 1,627 344
tPco PACW 19,198 25,888
NEVP AZPS 1,278 1,032
NEVP crso 114,251 80,962
NEVP rPco 25,63519,553
NEVP PACE 27,818 35,086
PACE AZPS 155,165 't25,',t19
PACE IPCO 77,359 82,985
PACE NEVP 45,144 39,034
PACE PACW 42,878 49,660
PACW CISO 35,625 41,972
PACW rPco 33,926 27,655
PACW PGE 63,566 63,175
PACW PSEI 86,778 70,492
PGE crso 11,53113,754
PGE PACW 13,417 14,884
PSEI PWRX 59,268 50,768
PSEI PACW 18,657 13,711
AZPS crso 183,991 188,198
AZPS NEVP 7,268 9,480
AZPS PACE 6,844 12,966
PWRX CISO 3,317 10,210
PWRX PSEI 3,666 2,s60
MQRI Copyright 2019 California ISO Page 6 of 19
I
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
17,832crsoAZPS12,597
crso PWRX 13,604 55,802
41,804CISONEVP32739
crso PACW 21,578 24,133
PGE 20,394 31,463CISO
rPco NEVP 43,739
IPCO PACE 3,862 4,790
17,530tPcoPACW13,979
NEVP AZPS 1,433 774
crso 133,783 99,555NEVP
13,723NEVPIPCO13,045
43,534NEVPPACE32,717
AZPS 98,914 102,251PACE
47,716PACEtPco44,800
PACE NEVP 78,1 99
PACW 24,261 26,700PACE
PACW CISO 42,659 59,1 95
PACW rPco 42,150 38,690
78,729 68,864PACWPGE
53,287PACWPSE'a6,472
PGE crso 5,576 5,285
PGE PACW 21,310 21,493
75,701 73,797PSEIPWRX
18,095PSEIPACW't5,706
AZPS CISO 155,376 143,656
AZPS NEVP 7,274 8,802
11,512AZPSPACE5,968
November
MQRI Copyright 2019 California ISO Page 7 of 19
40,839
96,508
|
I
PWRX C!SO 4,301 16,887
PWRX PSEI 9,140 6,301
crso AZPS 14,545 23,',t47
crso PWRX 34,029 75,432
ctso NEVP ,481 48,599
CISO PACW 25,258 29,450
crso PGE 16,842 32,983
tPco NEVP
tPco PACE 165 230
IPCO PACW 12,519 15,466
NEVP AZPS 1,911 2,367
NEVP CISO 153,235 116,901
NEVP lPco 25,786 30,883
NEVP PACE 21,645 28,426
PACE AZPS 131,106 122,285
PACE rPco 16,429 20,933
PACE NEVP 133,096 123,342
PACE PACW 41,966 46 627
PACW crso 81,620 96,236
PACW IPCO 41,026 41,317
PACW PGE 88,244 84,008
PSEI 100,221 83,1 95
PGE ctso 6,718 6,309
PGE PACW 10,030 12,275
PSEI PWRX 58,646 55,110
PSEI PACW 14,719 12,624
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
December
TABLE 2: Energy transfers (MWh) in the FMM and RTD markets for Q4 2018
MQRI Copyright 201.9 California ISO PaBe 8 of 19
49,070 40,381
PACW
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
Pofi 66
Pofi 66
Polo Verde,
fa
+onedirection e biJirectionol
.* Colifornio ISO I BANC/SMUD lplonnedenrry2Olg)
! PocifiCorp Seorle City Light (plonned enrry 2020)
f NV Energy I IADWP (plonned entry 2020)
! Arizono Public Service :, Soh River Proiecl lplanned enrry 2O2O)
f Portlond Generol Eleclric I Prbli. Service Compony of New A4exico
! Puget sound Energy (flonned enhv 2021)
I raoho Po*e, Compony ! NorthWestern Energy lfionned entrv 2o2l)
Poth Estimoted Mox
Copocity (MWl
Polh 24 (west to eost)100
Polh 24 (eost to west)35.90
Eldorodo 797
Poth 35 (west to eost)580
Poth 35 (eosl lo wesfl 538
Gonder-Povonl 130
320
Poth 66 llSO to PGE)627
Poth 66 IPGE to ISO)296
Poth 66 (lSO to PACW)331
Poth 66 (PACW to ISO) 432
Poth 17 0-4001 2
PSE to PACW 300
Polo Verde, N. Gilo 3,r5r
Poth 78 (PACE to APS)625
Poth 78 (APS to PACE)660
NovoioCrystol 522
Meod 50O 349
Meod 230 (APS <->,SO/236
Meod 230 (lSO to NVE) 3,443
Meod 230 (NVE to l5O/ 3,476
IPCO to PACW (Poth 751 1,500
PACW to IPCO (Poth 75) 400-510
PACE to IPCO 2,557
IPCO lo PACE 1,550
NVE to IPCO 262
IPCO lo NVE 390.478
Powerex <-> PSE 150
Powerex <-> ISO 150
I ls dn oqi@ol poth ovoiloble br PACE.PACW EIM nontlcrs ond thc
copocity is o .obet ol PACEIPCO/IPCO+ACE ond Pok 75 copocity.
? Whq in u*. thc ovoiloble copcity q PACETPCOIPCO?ACE ond
Polh 75 will be sub*gvenily redvced by lhe usd omounl on Polh 17.
ond not dqbh counud
]1,
-l
! Powerex
Currenl os o( Dq 2Ol 0
GRAPH 1: Estimated maximum transfer capacity (ElM entities operating in Q4 2018)
I WHEEL THROUGH TRANSFERS
As the footprint of the EIM grows and continues to change, wheel through transfers may
become more common. Currently, an EIM entity facilitating a wheelthrough receives no direct
financial benefit for facilitating the wheel; only the sink and source directly benefit. As part of the
EIM Consolidated lnitiatives stakeholder process, the ISO committed to monitoring the wheel
through volumes to assess whether, after the addition of new EIM entities, there is a potential
MQRI Copyright 2019 California ISO Page 9 of 19
t PACW lo PGE
1 V
ti-
r!
J
[-vi!
Pdh 17
JI
,}t*
T
Meod
5
Poft 2{
-t
,
I
35
78
I
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
future need to pursue a market solution to address the equitable sharing of wheeling benefits.
The ISO will continue to track the volume of wheels through in the EIM market in the quarterly
reports. ln order to derive the wheels through for each EIM BAA, the ISO uses the following
calculation for every real-time interval dispatch:
All wheelthroughs are summed over both the month and the quarter. This volume reflects the
total wheels through for each EIM BAA, regardless of the potential paths used to wheel through
The net imports and exports estimated in this section reflect the overallvolume of net imports
and exports; in contrast, the imports and exports provided in Table 2 reflect the gross transfers
between two EIM BAAs.
The metric is measured as energy in MWh for each month and the corresponding calendar
quarter, as shown in Tables 3 through 6 and Figures 2 through 5.
BAA Net Export Net lmport Wheel Through
AZPS
c/so
IPCO
NEVP
PACE
PACW
PGE
PSE/
PWRX
TABLE 3: Estimated wheelthrough transfers in Q4 2018
325,227 121,580 306,653
393,149 905,963 212,642
75,652 239,138 91,853
134,185 177,799 346,543
792,070 75,036 75,904
430,822 66,377 299,342
50,008 302,013 21,937
122,841 125,345 102,066
27,9U 338,638 31,513
MQRI Copyright 2019 California ISO Page 10 of 19
- Total import: summation of transfers above base transfers coming into the EIM BAA
under analysis- Total export: summation of alltransfers above base transfers going out of the EIM BAA
under analysis- Net import: the maximum of zero or the difference between total imports and total
exports- Net export: the maximum of zero or the difference between total exports and total
imports- Wheel through: the minimum of the EIM transfers into (total import) or EIM transfer out
(total export) of a BAA for a given interval
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
600,000
-cB
oc
uJ
1.400,000
1,200,000
1.000,000
800.000
400,000
200.000
0 In
II
AZPS CISO IPCO
a Net Export
NEVP PACE PACW
rNet lmport
PGE PSEI P!,RX
tWheel Through
GRAPH 2: Estimated wheelthrough transfers in Q4 2018
BAA Net Export Net lmport Wheel Through
AZPS
C/SO
tPco
NEVP
PACE
PACW
PGE
PSE/
PWRX
TABLE 4: Estimated wheel through transfers in October 2018
I
144,699 293,552 79,272
66,728 54,788 76,278
100,306 37,264 103,349
32,761 49,814 31,861
MQRI Copyright 2019 California ISO Page 11 of 19
n u
137,379 40,237 8,36711
35,422'12,086 101,270
269,472 21,277 27,957
93,525 12,43513,985
11,351 97,041 11,897
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
c
=
o)
o
IT
500,000
450,000
400,000
350,000
300,000
250,000
200,000
150,000
100,000
50,000
0 I
AZPS
IIII
CISO IPCO
E Net Export
NEVP PACE
sNet lmport
PACW PGE PSEI
I Wheel Through
GRAPH 3: Estimated wheelthrough transfers in October 2018
BAA Net Export Net lmport Wheel Through
AZPS
c/so
tPco
NEVP
PACE
PACW
PGE
PSE/
PWRX
TABLE 5: Estimated wheel through transfers in November 2018
99,767 293,769 71,451
35,541 48,355 123,262
133,167 20,355 87,940
58,158 21,768 34,228
MQRI Copyright 2019 California ISO Page 12 of 19
n
120,037 29,869 91,724
33,937 71,021 29,832
229,514 34,079 27,245
22,793 96,518 4,118
4,579 121,757 8,381
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
E
E
(,)
o
LU
500,000
4s0,000
400,000
350,000
300,000
250,000
200,000
150,000
100,000
s0,000
0
rllliln ll
., .'f ,
I
AZPS
GRAPH 4: Estimated wheel through transfers in November 2018
BAA Net Export Net lmport- WheelThrough
AZPS
c/so
tPco
NEVP
PACE
PACW
PGE
PSE/
PWRX
TABLE 6: Estimated wheel through transfers in December 2018
ctso rPco
n Net Export
NEVP PACE
rNet lmport
PACW PGE PSEI
r\Mreel Through
148,684 318,643 61,920
31,916 74,656 147,003
197,349 8,757 108,053
31,922 53,762 35,978
MQRI Copyright 201.9 California ISO Page 13 of 19
ln n
67,810 51,474 96,562
29,629 66,848 26,599
293,084 19,680 20,701
'13,230 111,969 5,384
12,404 119,840 ,2U11
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
-cB
O)
oc
UJ
500,000
450,000
400,000
350,000
300,000
250,000
200,000
150,000
100,000
50,000
0
llnll
AZPS CISO
E Net Export
IPCO NEVP PACE
.Net lmport
PACW PGE PSEI
I Wheel Through
GRAPH 5: Estimated wheel through transfers in December 2018
I REDUCED RENEWABLE CURTAILMENT AND GHG REDUCTIONS
The EIM benefit calculation includes the economic benefits that can be attributed to avoided
renewable curtailment within the ISO footprint. lf not for energy transfers facilitated by the ElM,
some renewable generation located within the ISO would have been curtailed via either
economic or exceptional dispatch. The total avoided renewable curtailment volume in MWh for
Q4 2018 was calculated to be 7,048 MWh (October) + 6,664 MWh (November) + 9,713 MWh
(December) = 23,425 MWh total.
The environmental beneflts of avoided renewable curtailment are significant. Under the
assumption that avoided renewable curtailments displace production from other resources at a
default emission rate of 0.428 metric tons COz/MWh, avoided curtailments displaced an
estimated 10,026 metric tons of COz for Q4 2018. Avoided renewable curtailments also may
have contributed to an increased volume of renewable credits that would otherwise have been
unavailable. This report does not quantify the additional value in dollars associated with this
benefit. Totalestimated reductions in the curtailment of renewable energy along with the
associated reductions in COz are shown in Table 7.
MQRI Copyright 2019 California ISO Page 14 of 19
I t-t
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
2 3,629 1,553
4 17,765 7,521
2 158,806 67,969
4 23,390 10,011
2 67,055 28,700
4 18,060 7,730
2 129J28 55,267
4 23,425 10,026
Year Quarter MWh Eq. Tons CO2
201 5
2016
2017
2018
TABLE 7: Total reduction in curtailment of renewable energy along with the associated
reductions in CO2
I FLEXIBLE RAMPING PROCUREMENT DTVERSITY SAVINGS
The EIM facilitates procurement of flexible ramping capacity in the FMM to address variability
that may occur in the RTD. Because variability across different BAAs may happen in opposite
directions, the flexible ramping requirement for the entire EIM footprint can be less than the sum
of individual BAA's requirements. This difference is known as flexible ramping procurement
diversity savings. Starting in November 2016, the ISO replaced the flexible ramping constraint
with flexible ramping products that provide both upward and downward ramping. The minimum
and maximum flexible ramping requirements for each BAA and for each direction are listed in
Table 8.
MQRI Copyright 2019 California ISO Page 15 of 19
8,860 3,7921
3 828 354
48,3421112,948
3 33,094 14,1U
1 52,651 22,535
3 23,331 9,986
1 65,860 28,188
3 19,032 8,146
Total 757,862 324,284
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
Year Month
2018
2018
Direction Minimum
requirement
Maximum
requirement
BAA
AZPS up 35 199
crso up 149 1,499
170NEVPup28
PACE up 83 319
PACW up 42 't46
PGE up 37 147
PSEI up 28 152
PWRX up 73 279
222tPcoup47
1,630ALL EIM up 316
AZPS down 31 180
1 ,316crsodown211
NEVP down 22 152
PACE down 90 269
PACW down 30 173
PGE down 25 189
127PSEIdown39
PWRX down 65 198
rPco down 23 208
October
ALL EIM down 300 1,492
AZPS up 0 199
CISO up 0 1,499
170NEVPup0
PACE up 0 319
PACW up 0 179
November PGE up 0 147
MQRI Copyright 20L9 California ISO Page 16 of 19
WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
PSEI up 0
PWRX up 0 268
tPco up 0 222
ALL EIM up 0 1 ,630
AZPS down 0 180
CISO down 0 '1,316
NEVP down 0 152
PACE down 0 269
PACW down 0 151
PGE down 0 189
PSEI down 0 127
PWRX down 0 198
tPco down 0 208
ALL EIM down 0 1,492
December
AZPS up 't9 199
CISO up 182 1,701
NEVP up 35 170
PACE up 93 319
PACW up 50 179
PGE up 30 147
PSEI up 23 152
PWRX up 79 268
tPco up 43 222
ALL EIM up 348 1,823
AZPS down
crso down 180 1,349
NEVP down 19 152
PACE down 69 321
2018
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WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
PACW down 27 151
PGE down 27 189
PSEI down 33 145
PWRX down 75 230
rPco down 53 208
ALL EIM down 161 1,492
Table 8: Flexible ramping requirements
The flexible ramping procurement diversity savings for all the intervals averaged over the month
are shown in Table 9. The percentage savings is the average MW savings divided by the sum
of the four individual BAA requirements.
October November December
Direction
Average MW saving
Sum of BAA requirements
Percentage savrngs
Table 9: Flexible ramping procurement diversity savings in Q4 2018
Flexible ramping capacity may be used in RTD to handle uncertainties in the future interval. The
RTD flexible ramping capacity is prorated to each BAA. Flexible ramping surplus MW is defined
as the awarded flexible ramping capacity in RTD minus its share, and the flexible ramping
surplus cost is defined as the flexible ramping surplus MW multiplied by the flexible ramping
EIM-wide marginal price. A positive flexible ramping surplus MW is the capacity that a BAA
provided to help other BAAs, and a negative flexible ramping surplus MW is the capacity that a
BAA received from other BAAs. The EIM dispatch cost for a BAA with positive flexible ramping
surplus MW is increased because some capacities are used to help other BAAs. The flexible
ramping surplus cost is subtracted from the BAA's EIM dispatch cost to reflect the true dispatch
cost of a BAA. Please see the Benefit Report Methodology in the Appendix for more details.
Up Down Up Down Up Down
743 754 753 749 752 765
1,645 1,674 1,625 1,674 1,654 1,611
45%45o/o 460/o 45%45%47o/o
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WESTERN EIM BENEFITS REPORT FOURTH QUARTER 2018
I CONCLUSION
With $564.88 million in gross benefits to date, the Western EIM demonstrates that through
increased coordination and optimization in the west, utilities can realize cost benefits and
reduce carbon emissions. Sharing resources across a larger geographic area, even if it's just in
real-time, continues to have a positive effect of reducing greenhouse gas emissions by using
renewable generation that otherwise would have been turned off. Use of this energy to meet
demand across the EIM footprint is likely replacing less clean energy sources. The quantified
benefits from avoided curtailments of renewable generation from 2015 to date reached 324,284
metric tons of COz, roughly the equivalent of avoiding the emissions from 68,179 passenger
cars driven for one year.
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