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HomeMy WebLinkAbout20221110Quarterly Report.pdfsEm. RICEIVED ?il?? HilY IO AH 9:09 ,i),\l iri iruBLic i ifi'. : t':OULltSStOt't An EAGOTP Cotnp.ny LISA O'HARA Gorporate Counsel lo'hara@idahooower.com November 10,2022 Ms. Jan Noriyuki Secretary ldaho Public Utilities Commission PO Box 83720 Boise, lD 83720-0074 Re Case No. IPC-E-I6-19 Deferral and Recovery of Costs Associated with Participation in Energy lmbalance Market - California lndependent System Operator ("CA|SO) Quarterly Energy lmbalance Market ("ElM") Benefits Assessment Report Dear Ms. Noriyuki: Pursuant to Order No. 33706 issued in Case No. !PC-E-16-19, ldaho Power Company ("ldaho Power" or "Company") hereby submits the quarterly CAISO Western EIM Benefits Report ('Report') for the third quarter of 2022. The Report presents CAISO's quantification of benefits associated with participation in the Western ElM. For the third quarter of 2022, CAISO estimated Western EIM gross benefits of $12.04 million for ldaho Power. The EIM has provided financial benefits to the Company, and ultimately its customers. However, as discussed in ldaho Power's prior quarterly compliance filings as well as the Company's May 24,2019, Report of EIM Benefits and Costs of Participation, CAISO's calculation of benefits for ldaho Power is overstated due to several of the modeling assumptions used in its benefit calculation. The Company developed a more precise methodology, that uses inputs specific to ldaho Power, for determining actual EIM benefits, the details of which are discussed in the Company's May 24,2019, Report of EIM Benefits and Costs of Participation. lf you have any questions regarding this report, please contact Matt Larkin, Revenue Requirement Senior Manager, at (208) 388-2461 or mlarkin@idahopower.com. Sincerely, Xrr,* (i'W- Lisa J. O'Hara Enclosure Western Energy Imbalance Market Benefits Third Quarter 2022 October 31, 2022 WEIM BENEFITS REPORT THIRD QUARTER2022 CONTENTS EXECUTIVE SUMMARY BACKGROUND ......... WEIM ECONOMIG BENEFITS IN Q3 2022......... CUMULATIVE ECONOMIC BENEFITS SINCE INCEPTION INTER.REG IONAL TRANSFERS ...... WHEEL-THROUG H TRANSFERS.......... REDUCED RENEWABLE CURTAILMENT AND GHG REDUCTIONS............ 3 4 4 5 6 FLEXIBLE RAII' PI NG PROC U RE M E NT DTVE RSITY SAVING S CONCLUSION. APPENDX 1: GLOSSARY OF ABBREVIATIONS 22 29 3l 36 37 MPP/MA&F Copyright 2022 California ISO Page 2 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 $2.91 billion EXECUTIVE SUMMARY This report presents the benefits associated with participation in theWestem Energy lmbalance Market (WEIM). The measured benefits of participation in theWE|M include coat savings, increased integration of renqrable energy, and improved operational efficiencies including the reduction of the need for real-time flexible reseryes. This analysis demonstrates the benefit of economic dispatch in the real time market across a larger WEIM footprint with diverse resources and geography. Q32022 Gross Benefits by Participant lmillions $) $36.42 $7.24 $111.54 $e.07 $65.99 $12.04 $25.79 $62.38 $6.84 $84.54 $19.64 $16.63 $7.5e $2.76 $3.67 $19.28 $3.84 $26.88 $4.s2 Total $526.51 sdL C[y lld'l &ffid@dbtuwo*@ 2022 Q3 BENEFITS Arizona Public Service Avista BANC BPA California ISO ldaho Porer LADWP NV Energy NorthWestern Energy PacifiCorp Portland General Electric PNM Puget Sound Energy Powerex Seattle City Light Salt River Proiect Tacoma Power TEP TID ffafi Opr*.Icdcmtuo lln$ r$ly! farporxpot ! aonca*y zozr $526.51 M 18, 176 61% MPP/MA&F Copyright 2022 California ISO Page 3 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 "WEIM Quarterly Benelit Report Methodology: httos://www.westerneim.com/Documents/E lM-BenefitMettrodoloov.odf . "The GHG emission reduction reported is associated with the avoided curtaihnent only. The cun€nt market process and counterfactual methodology canmt differentiate the GHG emissions resulting from servirg ISO bad via the EIM versus dispatch that r,rould have occlrred external to the ISO without the WEIM. For more details, see htto://www.caiso.com/Documents/Greenho useG asEmissio nsTrackinoReoo rt-Freo uentlvAskedQ uestio ns.odf I BACKGROUND The Western 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 in October 2016, and Portland General Electric began participating in October 2017. ldaho Porer and Po,verex began participating in April 2018, and the Balancing Authority of Northem Califomia (BANC) began participating in Apri! 2019. Seattle City Light and Salt River Project began participating in April 2020. ln 2021, nsr balancing authorities began participating in the Westem ElM, with the Turlock lnigation District (TlD) in March 2021, the second phase of BANC in March 2021, and the Los Angeles Department of Water and Pourer (LADWP) and Public Service Company of New Mexico (PNM) in April 2021, tollwed by NorthWestem Energy (NWMT) starting in June 2021. Avista Utilities (AVA) and Tacorna Ponrer (TPWR), two utilities serving a combined 600,000 electric cus{omers in the Pacific Northwest, became the neurest mernbers of the WEIM, with both beginning their participation on March 2,2022. On May 3,2022, the Bonneville Power Administration (BPA) and Tucson Electric Power (TEP) both Joined the WEIM. The Western EIM footprint now includes portions of Arizona, California, ldaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, Wyoming, and extends to the border with Canada. I WEIM ECONOMIC BENEFITS IN Q3 2022 Table 1 shors the estimated WEIM gross benefits by each region per monthl. The monthly savings presented shorv $141.35 million for July, $175.44 million for August, and $209.72 million for September with a total estimated benefit of $526.51 million for this quarter2. This level of WEIM benefits accrued from having additional WEIM areas participating in the market and econom ical transfers displacing more expensive generation. 1 The WEIM 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 points of the total intervals. 2 For several quarterly estimates, CAISO benefits were calculated on a variation of the counterfactual methodology. For CAISO only the logic had considered offline resources as part of the bid stack in the counterfactual. ln Q4 2021, CAISO identified some questionable results that drove persistent negative benefits for CAISO when considering offline resources. Since Q4 2021,hhe benefit calculation for CAISO area follows the same methodology applicable to all WEIM entities in which only online resources are used. MPP/MA&F Copyright 2022 California ISO Page 4 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 Region July August September Total APS AVA BANC BPA c,so tPco IADWP NVE NWMT PAC PGE PNM PSE PWRX sct SRP TPWR TEP TID Total TABLE 1: Q32022 benefits in millions USD I CUMULATIvE EcONoMIG BENEFITS sINcE INcEPTIoN Since the start of the WEIM in November 2014, the cumulative economic benefits of the market have totaled $2.91 billion. The quarterly benefits have grown over time as a result of the participation of neur BAAs, which results in benefits for both the individual BAA but also compounds the benefits to adjacent BAAs through additional transfers. The lSO began publishing quarterly WEIM benefit reports in April 2015.3 Graph 1 illustrates the gross economic benefits of the WEIM by quarter for each participating BAA. 3 Prior reports are arrailable at httos://www.r,ttestemeim.com/Paqes/AbouUQuarterlvBenefits.asox MPP/MA&F Copyright 2022 California ISO Pare s of 37 $0.e2 $2.33 $3.ee $7.24 $2.47 $1.81 $+.zg $9.07 $2.41 $3.56 $6.07 $12.04 $10.67 $20.42 $31.29 $62.38 $19.83 $29.33 $35.38 $84.54 $2.70 $3.80 $10.13 $16.63 $0.50 $0.70 $1.56 $2.76 $2.e1 $+.zg $11.58 $19.28 $6.19 $6.S2 $14.12 $26.88 $141.35 $175.44 $209.72 $526.51 WEIM BENEFITS REPORT THIRD QUARTER2022 6Eo =- IEoCoo!tseo $600 $500 $400 $300 $200 $1m $0 $ $ o3 hlq3 Ql nrllrll03 01 03 0t rll o1 03.0 $2.5 $2.0 .5 .0 $0.5 $0.0 5Co =o, Gocl,a a, a =Ea(JIrl03 0104 al 03 2014 2015 olo3ol frz.2f.21nn2019?o172016 o3 2018 rCISOrAZPSIBANC r=:,iLADWPrTPWR IPAC IPGErSCL IPNM '- BPA rNEVPIIP@rSRP :rns N\A/[rlT. TEP rPSEI IPWRXITIDrAVA -Cumulative Benefts GRAPH 1: Cumulative economic benefits for each quarter by BAA 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 WEIM. Transfers can take place in both the 1S-Minute Market and Rea!-Time Dispatch (RTD). Generally, transfer limits are based on transmission and interchange rights that participating balancing authority areas make available to the WEIM, with the exception of the PacifiCorp West (PACW) -lSO transfer limit and the Portland General Electric (PGE) -lSO transfer limit in RTD. These RTD transfer capacities between PACW/PGE and the ISO are determined based on the allocated dynamic transfer capability driven by system operating conditions. This report does not quantiff 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-minuteWElM transfer volumes with base schedule transfers excluded. The WEIM entities submit inter-BAA transfers in their base schedules. The benefits quantified in this report are only attributable to the transfers that occuned through the WEIM. The benefits do not include any transfers aftributed to transfers submitted in the base schedules that are scheduled prior to the start of the ElM. The transfer ftom BAA_x to BAA_y and the transfer ftom BAA3 to BAA_x are separately reported. For example, if there is a 100 Megawatt-Hour ([l|Wh) transfer during a S-minute interva!, in addition to a base transfer ftom ISO to NVE, it will be reported as 100 MWh from BAA ISO to_BAA NEVP, and 0 ttMh ftom_BAA NEVP to_BAA ISO in the opposite MPP/MA&F Copyright 2022 California ISO Page 6 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 direction. The 15-minute transfer volume is the result of optimization in the 1S-minute market using all bids and base schedules submitted into the WEIM. The S-minute transfer volume is the result of optimization using all bids and base schedules submitted into WEIM, based on unit commitments determined in the 15-minute market optimization. The maximum transfer capacities between WEIM entities are shown in Graph 2 below. Month From BAA To BAA 1Smin WEIM transfer (15m - base) Smin WEIM transfer (5m - base) AVA BPAT 4,287 2,169 AVA CISO 0 0 AVA !PCO 9,467 8,216 AVA NWMT 7,071 6,723 AVA PACW 2,6U 1,617 AVA PGE 23 0 AVA PSEI 0 0 AVA SCL 16 0 AVA TP\A'R 0 0 AZPS CISO 111,143 63,693 AZPS LADWP 9,350 9327 AZPS NEVP 2,638 4,757 AZPS PACE 17,424 28,600 AZPS PNM 50,174 57,898 AZPS SRP 41,553 33,295 AZPS TEPC 42,246 0 47,294 BANC BPAT 0 BANC CISO 3,944 5,031 BANC TIDC 139 0 BPAT AVA 6t 898 6,81 1 BPAT BANC 0 0 BPAT CISO 4,088 9,589 BPAT IPCO 372 55 July July MPP/MA&F Copyright 2022 California ISO PageT of 37 WEIM BENEFITS REPORT THIRD QIJA,RTER2Oz LADIA'P 0 0BPAT BPAT NI\A'MT 13,563 3,313 BPAT PGE 42,q)8 42,969 BPAT Pl,v$(4,381 0 BPAT TPIA'R 6,350 9,643 AZPS &1,583 86,952crso ctso BPAT 1,458 2,114 cIso NEVP 37,916 59,924 FGE 5,239 23,912clso crso SRP 80,498 107,934 ctso TIDC 7,072 7,916 tPco BPAT 2,124 130 t{trMT 1,615 1,755tPco PAqAI 19,482 14,540rPco July MPP/MA&F Copyrlgtrt 2022 Callfornla ISO Page 8 of37 WEIM BENEFITS REPORT THIRD q'ARIER2OZ rPco SCL 4,782 5,510 LADIA'P BPAT 00 LATMTP NEVP mJ23 29,,O21 LAT}WP TEPC 0 0 NEVP BPAT 0 0 NEVP tPco 38,578 61.322 NEVP PACE 21,017 22,W7 tIWMT EPAT 6,800 1,482 tl\,VMT PACE 2,161 1,411 TfWMT PGE 78 0 TIWMT TP\,VR 0 0 PACE tPco 79,ilo69,102 PACE NEVP 68,7M 47,U7 PACE PAGW 42,8ffi 50,124 July MPP/MA&F Coffight 2022 Caltforr{a ISO Page 9 of37 WEIM BENEFITS REPORT THIRD QIJARTER2OZ2 PACE TEPC 4,531 4,251 BPAT 5,421 1,831PACW PAO,V tPco 17,769 11,637 PAGA'PGE 4,907 #,u2 PAO/I'SCL 1,O22 983 PGE BPAT 17,891 20,275 PGE t\twMT 54 0 PGE PSEI 0 0 PGE TR,\IR 1 0 SRP 7,511 1 186,PNM PSEI AVA 0 0 PSEI tPco 0 0 PSEI PACW 3 0 PSEI n rRx 16,808 17,224 JUU MPP/MA&F Copyrlght 2022 Gllfornla lS0 Page 10of37 WEIM BENEFITS REPORT THIRD QI,ARTER2OZz 12,42PSEITP\fT,R 11,2',18 P\ fru(crso 0 0 SCL AVA I 0 7,498 7,211scLtPco scL PGE 1,52 1,676 SRP AZPS 9,575 9,812 PACE 0 0SRP SRP TEPC 49,231 56,9&[ TEPC crso 28,437 18,6ff1 TEPC PACE 654 247 4,914TEPCSRP4,2% TIDC cIso 14,925 13,664 Tn /R BPAT 4,512 4,975 TF{A'R PGE o 0 MPP/MA&F Copyrisht 2022 Gllfomia ISO Page 11 of 37 WEIM BENEFITS REPORT THIRD (f,,|ARTER2OZI AVA BPAT 4,749 3,178 AVA tPco 16,711 16,925 AVA PACW 1,489 1,755 AVA PSEI 0 0 AVA TPWR 46 80 AZPS LADIA'P 9,973 9,821 AZPS PACE 15,325 12,656 AZPS SRP 34,289 28,488 BANC BPAT o 0 TIDC 59 0BANC BPAT BANC 0 0 BPAT tPco 393 33 BPAT NE\IP 0 0 BPAT PAOA/2,ffi4 1,809 Augusl- Augu.# MPP/MA&F Copyright 2022 Callfornla ISO Page 12 of37 WEIM BENEFITS REPORT THIRD QUARTER 2022 BPAT PSEI 10,251 11,372 ,BPAT HA/RX 4,757 BPAT SCL 1 838 1,335 BPAT TPi/'/R 8,129 9,806 ctso AVA 0 0 crso AZPS 8,805 17,526 crso BANC 180,069 194,375 crso BPAT 2,294 3,935 CISO LADWP 1 5,I41 25,640 ctso NEVP 9,784 13,U4 CISO PACW 2,157 17,615 ctso PGE 15,394 crso PWRX 31,560 41,185 crso SRP 28,511 46,236 CISO TEPC 824 813 crso TIDC 5,648 6,896 tPco AVA 1 7 111 13,070 tPco BPAT 1,270 298 tPco NEVP 62,095 48,046 tPco NWMT 4U 871 tPco PACE 7,143 4,091 tPco PACW 31,503 25,610 tPco PSEI 0 0 PCO SCL 11,840 11,144 LADWP AZPS 10,982 1 7 035 LADWP BPAT 0 LADWP CISO 129,042 20,189 97,849 LADWP NEVP 26,589August MPP/MA&F Copyright 2022 California ISO Page 13 of 37 WEIM BENEFITS REPORT THIRD CUARTER2OZI LADIfVP PACE 17,333 19,364 NE\tr AZPS 12,237 16,914 NEVP ctso 1ff1,378 124,U3 NE\IP LAI}WP 29,339 33,205 AVAtIWMT 42,%7 45,970 IIW[,fl'rPco 11,670 11,n7 }SvMT PACW 1 0 PSEIt{vvMT 0 0 PACE AZPS 160,806 141,419 PACE LAENilP 142,727 139,%2 PACE tIWMT 26,951 29,329 SRPPACE 0 0 PACW AVA 4,U1 4,831 PACW CISO 16,379 42,807 August MPP/MA&F Copyrlght 2022 Califorr$a lS0 Page 14of37 WEIM BENEFITS REPORT THIRD QT.IARTER2OZI PACW T{WMT 0 0 PACW PSEI 25,966 24,939 PGE AVA 3 0 PGE crso 2A,42 17,8n PGE PAG,V 27 37A 27,2M PGE scL 1,559 1,386 PNM AZPS 37,U1 33,201 PNM TEPC 45,943 41,4# PSEI BPAT 30,712 33,488 PSEI tIWMT 1 0 PSEI PGE 0 0 PSEI SCL 20,398 18,122 P\,Vru(BPAT 7,231 583 PWRX PSEI 19,494 19,059 Atlgrust MPP/MA&F Copyrigttt 2022 Gllforida ISO PagB 15 of37 WEIM BENEFITS REPORT THIRT' QIJARTER2OZI SCL BPAT at5 782 SCL PAGAI 809 998 SCL PSEI 4,629 6,210 SRP crso 71,182 57,&$0 PNMSRP 53 114 TEPC AZPS 87 0 TEPC LATM/P 0 0 PNMTEPC 4,U7 4,973 TIDC BANC 268 0 TPIA'R AVA 77 6 l.lwMTTPWR 0 0 TPVVR PSEI 4,755 5,025 AVA ctso 0 0 AVA tIWMT 2,030 1,354 Sqptamber tvlPP/MA&F CopyrlSht 2022 Gllfornla ISO PeSe 16of37 WEIM BENEFITS REPORT THIRD OI'ARTER 202 AVA PGE 0 0 AVA SCL 16 0 crso 2U,2#177,N1AZPS AZPS NEVP 2,241 4,389 AZPS PNM 9,952 7,659 18,700AZPSTEPC18,388 BANC crso 79911,7,632 BPAT AVA 4,455 2,3fr52 BPAT clso 12.375 21,2*5 BPAT LAT)WP 0 0 BPAT tIWMT 7,ilV 304 BPAT PGE 16,957 12,e1 BPAT Pt/vRx 4,143 81 BPAT TF{/I/R 10,946 13,156 Sepfember MPP/MA&F Copyright 2022 Callfornia ISO Paee 17 of37 WEIM BENEFITS REPORT THIRD QUARTER 2022 ctso AZPS 11,956 16,177 ctso BANC 143,077 149,790 crso BPAT 5,351 10,692 crso LADWP 16,402 22,901 CISO NEVP 10,777 11,392 crso PACW 3,230 16,696 crso PGE 23,217 47,448 ctso ryvRx 229,900 249,969 crso SRP 47,912 56t1 89 crso TEPC 416 u4 crso TIDC 9,065 9,707 tPco AVA 31,064 26,177 rPco BPAT 1,290 221 rPco NEVP 70,187 52,886 IPCO NWMT 410 608 rPco PACE 3,251 818 tPco PACW 33,522 29,507 IPCO PSEI 0 0 PCO SCL 13,054 12,379 LADWP AZPS 3,177 3,905 LADWP BPAT 0 0 LADWP ctso 149,927 LADWP NEVP 5,265 24,443 7 1 84 LADWP PACE 27,507 LADWP i TEPC 0 0 NEVP AZPS 6,718 7,215 NEVP NEVP BPAT 0 305,456 0 228,955crso September September 122,421 MPP/MA&F Copyright 2022 California ISO Page 18 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 NEVP tPco 26,060 24,227 PACE 5 765t 6,771NEVP NWMT BPAT 13,608 10,591 NWMT PACE 5,765 2,UO l.lwMT PGE u 0 NWMT THA/R 0 0 PACE lPco 148,341 151,578 PACE NEVP 122,613 107,518 PACE PACW 82,690 96,101 PACE TEPC 49811,10,424 PACW BPAT 6,384 3,608 PACW lPCO 13,402 6,459 PACl,V PGE 84,U4 87,308 PACW SCL 1,922 1,812 September MPP/MA&F Copyright 2022 California ISO Page 19 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 PGE BPAT 37,426 42,258 '' 26,559 . . PGE NWMT 64 0 PGE .PACW ,' Ig,s76 17,835 PGE PSEI 0 0 PGE scL 1,551 PGE TPWR 0 0 PNM AZPS 52,812 53,044 PNM SRP 15,002 11,113 PNM TEPC 38,111 36,732 PSEI AVA 0 0 PSEI BPAT 31,606 33,574 PSEI tPco 0 0 PSEI tMrMT 1 PSEI PACW 2 0 PSEI PGE 0 0 PSEI PWRX 17,690 18,331 PSEI SCL 10,638 8,578 PSEI TPWR 8,836 10,706 PlA'RX BPAT 4,025 0 PWRX crso 0 0 PWRX PSEI 7,260 7,661 SCL AVA 16 0 SCL BPAT 1,378 2,707 SCL tPco 3,048 2 t942 SCL PACW 584 673 SCL PGE 905 978 SCL PSEI 10,624 14,678September MPP/MA&F Copyright 2022 California ISO Page 20 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 SRP AZPS 8,100 8,178 SRP PACE 0 0 SRP TEPC 29,538 36,782 TEPC crso 73,757 62,516 TEPC PACE 23 198 TEPC SRP 7,907 5,482 TIDC crso 14 726t 12,930 TPWR BPAT 7,326 7 937 TP\A'R PGE 0 0 TABLE 2: Energy transfers (MWh) in the FMM and RTD markets tor Q32022 MPP/MA&F Copyright 2022 California ISO Paae 21 ol 37 WEIM BENEFITS REPORT THIRD QUARTER2022 tU' 6a E&!a hhhrd., -oncdiradion e biJircctionol I Colilornio ISO I IADVVP I focilicCorp I Publk Scrvftr Compony ol Ncrr ltlaxko I iW E*rgy ! Tuilocl lrrigolion Dishia I tir"* PuUic Seruico ! Mnh\rfrrrm Energy I fo.rtond O"nc.ol Ebctic I Avislo I Puger Somd Encrgy ! Tucrn ELchic Po.r.r !nry2o22) I h{oho Po",., Cornpony ! Tocomo Powtr ! Pouex $ Bonncvillc Powcr Adminisholimlqby 2022) I AmC ! El Poro Elochic lany 2023) - S.oiLCityl.bht IWAPAD.sGdsouthw.il Wynnt X soh Rivsr Proioct a ?d'Bfnildllor Ceodl, tilWl Poth 24 lD t00 21 tatrow$35-90 Eldmdo 797 Porh 35 (rvarl to eos{580 PoA 35 lcorl lo ms{538 Gondcrfovonl t30 PACW b PGE 320 Poth66fl5ObEf/ 627 Poth 66 IFGE o,5Ol 296 ?oth66 lr5o to PACWI 331 ?oh66IPACWatfil t32 Poth l7 0.4001 2 PSE b PACW@ Polo \rrdc, N. Gilo 3,15.| ?ati78 IPACE a APSI 525 Poth78 &APSbPACEI 66O Nolloio€ryrbl 522 M ,vt od 230 IAPS <-> rSO,| 236 ,vLod 230 r, lo b PACE b trcO 2,557 lrcO io PACE r,550 ?.rvE b trco 262 lrco b l.IvE 390.178 Poworcx <-> PSE r50 Pomx<-> ISO r50 BANC <-> tSO 2,000.4,000 TrD b rso t,400 TID b B^NC 650 Poth 48 2,r00 SRP <-> IErc 9,988 sRP <-> Pt{r{400 slP <-> AzPs r 0,02 t sRP <-> lso I /1,488 300 sRP <-> IDWP Avisto <-> BPA 319 3,600 761 500 500 500 5m Avislo <-> PACW Avirlo <-> SCI Avislo <-> TP Avislo <-> PGE GRAPH 2: Estimated maximum transfer capacity I WHEEL.THROUGH TRANSFERS As the footprint of the WEIM gro\t s, wheel-through transfers may become more common. ln order to derive the wheel-through transfers for each WEIM BAA, the ISO uses the following calculation for every real-time interval dispatch: Total import: summation of transfers above base transfers coming into the WEIM BAA under analysis MPP/MA&F Copyright 2022 California ISO Page 22 ol 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 Total export: summation of all transfers above base transfers going out of the WEIM 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 WEIM transfers into (total import) or WEIM transfer out (total export) of a BAA for a given interval Allwheel-through transfers are summed over both the month and the quarter Currently, a WEIM entity facilitating a wheel through receives no direct financial benefit for facilitating the wheel; only the sink and source directly benefit. As part of the WEIM Consolidated lnitiatives stakeholder process, the ISO committed to monitoring the wheel through volumes to assess whether, after the addition of new WEIM entities, there is a potential future need to pursue a market solution to address the equitable sharing of wheeling benefits. The ISO will continue to track the volume of wheel-through transfers in the WEIM market in the quarterly reports. This volume reflects the total wheel-through transfers for each WEIM BAA, regardless of the potential paths used to wheel through. The net imports and exports estimated in this section reflect the overall volume of net imports and exports; in contrast, the imports and exports provided in Table 2 reflect the gross transfers between two WEIM 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 Graphs 3 through 6. BAA Net Export Net lmport WheelThrough AVA 43,479 156,138 29,698 AZPS 259,0L1, 266,659 457,402 BANC L8,674 525,589 BPAT L23,665 183,208 99,692 clso 9L5,264 1,081,334 683,L21 tPco 55,844 372,802 207,L77 LADWP 168,958 353,418 281,453 NEVP 451,4L6 794,276 3L7,674 94,44L 37,640 78,752 a a a a MPP/MA&F NWMT Copyright 2022 California ISO Page 23 of 37 WEIM BENEFITS REPORT T}flRD CI'ANTERanzl PGE PSEI sct PACE TEPC TPWR L19,444 11,158 42,5n 28995 TABLE 3: Estlnabdwheel{hrough Uanrfiere ln GE 2llD f =E pocul 2.500,000 2,(X)0,000 1,600,0(D ,000,000 800,000 0 I ".lopuo$d$..."df$*$$."&..d.&o$.e{S"dd<t'of,d" rNetErport rNdlnport rll*rocl Thror4fi - GRA,PH 3: EstlmaH whceldrrough Oarrilbrc lr Gl AAI MPP/MA&F CowrlSttt 2022 Callfon$a ISO P?['E24ol37 WEIM BENEFITS .REPORT T}IIRD OUARTER2O&I AZFS BPAT IP.M NEVP PAEE TEPC TPWR PGE PSEI seL 33,619 25,e25 38,VU E,V52 320 2,ffi!14,L79 7,W6 TAELE 4r Esflnrabd wheel;rthrough halrsfutB ln .fuly &*l ifPP/lrim&r @wrlgtrt 2O22 Califqr{a l5O P4e 25of 37 WEIM BENEFITS REPORT THIRD q'ARTER2O22 g ==oocTT 1,Un,(po qD,000 800,m0 7m,000 8(X),(X)0 500,000 400,m0 3m.(m zx),0m 100,000 0 I---ilt- oo$uuso".$.f"-o-u**us$.pu.p*-&.$.e:S"c)".+qdreoofo$ rNatEPort lNd hrport rUtrclTtuougft GRA,PH 4: Eetlmabd whcl{hrough frensfierc ln July 202i1 AZPS 83439 90,836 155,9)8 BPAT 30,932 tPco NEVP 129,850 PACE 492,N9 4493 49;620 35,381 95,563 52$n MPP/MA&F PGE Csmlght 2022 Gllfornia ISO Page 26 of37 WEIM BENEFITS REPORT THIRD GTJARIER2OZI PSEI scL TEPC TPWR 3,532 17,041 &587 TABIE 5: Estlmabd wheeldnoqgh tanrftrs ln Augutt 2lllZt i =E CDoElu 000,u,0 5m,m0 300,000 200,m0 0 I t rN6t Export rNet lnport lV\ft*lThroqgh GRA,PH 5: Estmabdwheehthrough bansfieru ln Argust 2022 100,0m ----;tl "$ g"6fo*O ..o -"H d*n$.S..d .& +* *&S udr .d *eo ootd$ -I*I MPP/MA&F Copyrlght 2022 Cltlifon{a ISO P.ge 27 of3, WEIM BENEFITS REPORT THIRD GUANTERzOZT AZPS 1/[1,520 IPCO iTEVP PACE PGE LOl,4t4 46,942 14,251 TEPC TPWR 5,025 113s9 1X508 TA8LE 6: Ertfina$ wheeldrrcugh tandbm ln SeptmtbctfrZl PSEI llPP/It A&F Copyrlgtt 2022 Glifiorda ISO Pqg! 28 oftT WEIM BENEFITS REPORT THIRD QUARTER2022 E3 = CDoE UJ 900,000 800,000 700,000 600,000 500,000 400,000 300,0@ 200,000 100,000 0 llr rll ll!r lr II S. d""S" 6.* "* .."1"* .nt."$ o"&o€$ o& c+$ .*:-S uo' uoo C ^st".S r Net Export rNet lmport r\4heel Through GRAPH 6: Estimated wheel-through transfers in September 2022 I REDUCED RENEWABLE CURTAILMENT AND GHG REDUCTIONS The WEIM 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 WEIM, some renewable generation located within the ISO would have been curtailed via either economic or exceptional dispatch. The total avoided reneurable curtailment volume in [\rtWh for Q3 2022 was calculated to be 20,691 ttl|Wh (July) + 9,471 ttMh (August) + 12,396 ,*n (SePtember) = 42,4681rryh total. There are environmental benefits of avoided renewable curtailment as well. 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 18,176 metric tons of COz for Q3 2022. Avoided renewable curtailments also may have contributed to an increased volume of renewable credits that would otherwise have been unavailable. This report does not quantifu the additional value in dollars associated with this benefit. Total estimated reductions in the curtailment of renewable energy in the ISO footprint, along with the associated reductions in COz, are shown in Table 7. Year Quarter MWh 2 3,629 1,553 4 1 7 765 5217, MPP/MA&F 2015 Copyright 2022 California ISO Eq. Tons Coz Page 29 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 2016 2017 2018 2019 2020 2021 2022 TABLE 7: Total reduction in curtailment of renewable energy and associated reductions in COz 158,806 67,969 23,390 10,011 67,055 28,700 18,060 7,730 129,128 55,267 23,425 10,026 132,937 56,897 35,254 15,089 147,514 63,136 39,956 109,059 46,677 38,044 118,352 50,655 781,1011,825,188 MPP/MA&F Copyright 2022 California ISO PaSe 30 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 F LEXIBLE RAM PING PROCU REM ENT DIVERSITY SAVI NGS I The WEIM 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 WEIM footprint can be less than the sum of individua! BAA's requirements. This difference is known as flexible ramping procurement diversity savings. Starting in 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. Month BAA Direction Minimum requirement Maximum requirement AVA up 14 71 AZPS up 51 318 BANC up 4 147 BPAT up 102 460 c/so up 443 2,453 tPco up 76 216 LADWP up 65 456 NEVP up 72 370 NWMT up 17 128 PACE up 108 592 PACW up 50 189 PGE up 56 223 PNM up 35 200 PSE/up 42 199 PWRX up 48 235 SCt up 4 34 SRP up 42 262 TEPC up 52 132 TIDC up 2 15 TPWR up 3 17 ALL EIM up 558 2,624 AVA down 20 78 July MPP/MA&F Copyright 2022 California ISO Page 31 of 37 WEIM BENEFITS REPORT THIRD q'ARTER2O22 July Atgust BANC dorn 2 1il crso dorn 108 1,922 downLADVYP 59 289 NWMT dorn u 171 downPACW 59 208 PNM dorvn e7 182 Pttyru(dorn 67 28 SRP dorn 37 175 TIDC dorn 2 23 ALL EIiI dmn 370 1,852 An8 up 46 344 BPAT up 109 460 uptPco 60 216 NEVP up 63 423 PACE up 132 592 MPP/MAar Copyrleftt 2022 Glifomla ISO Page 32 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 August PGE up 60 223 up 40 PSE/up 28 161 PWRX up 61 scr up 4 41 SRP up 58 262 TEPC up 44 129 TIDC up 2 15 TPWR up 2 15 ALL WEIM up 636 2,713 AVA down 22 71 AZPS dorn 42 390 BANC down 2 154 BPAT dorn 127 401 c/so down 167 1,003 tPco down 40 214 LADWP down down 72 289 NEVP 23 360 NWMT down 44 171 PACE down 164 652 PACW down 52 203 PGE down 39 257 PNM down 37 182 PSE/down 29 198 PWRX down down 57 246 SCL 0 24 SRP down 34 169 TEPC down 40 110 TIDC TPWR down down 2 3 26 19 ALL EIM down 1,569261 MPP/MA&F Copyright 2022 California ISO Page 33 of 37 WEIM BENEFITS REPORT THIRD QTJARTERzOZI September AZPS up 54 315 BPAT up 82 481 tPco up 47 213 NEVP up a+410 PAEE up 108 651 PGE up 60 259 PSE'up 28 147 sct up 4 41 TEPC up u 221 TPWR,up 2 15 AVA dorn 18 113 BANC dqrn I 134 dorncrso 135 1,145 LADWP dorn 62 364 NWMT dourn 40 168 MPP/MI,&F Comlsht 2022 Callfqnla EO Pap !l4of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 PACW down 33 160 PGE doarn 18538 PNM down 38 229 PSE/down 26 213 PWRX down 57 307 scr dorn 262 SRP down 25 544 TEPC down 37 215 TIDC down 3 32 TPWR down 3 18 ALL WEIM down 226 1 645, September 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 individual BAA requirements. July August September Direction Average MW saving Sum of BAA requirements Percentage savlngs Table 9: Flexible ramping procurement diversity savings in Q3 2022 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 t\lW multiplied by the flexible ramping WEIM-wide marginal price. A positive flexible ramping surplus ttrlW is the capacity that a BAA provided to help other BAAs, and a negative flexible ramping surplus ttlW 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 WEIM dispatch cost to reflect the true dispatch cost of a BAA. Please see the Benefit Report Methodology for more details. Up Dorn Up Down Up Down 1,909 1,912 1,886 1,917 1,708 1,928 3,336 2,877 3,356 2,954 3,175 2,9U 57o/o 66%56%65o/o 54%66% MPP/MA&F Copyright 2022 California ISO Page 35 of 37 WEIM BENEFITS REPORT THIRD QUARTER2022 I CONCLUSION Using stateof-theart technology to find and deliver lor-cost energy to meet real-time demand, the WEIM dernonstrates that utilities can realize financial and operational benefits through increased coordination and optimization. In addition to these benefits, the WEIM provides significant environmental benefits through the reduction of renewable curtailments during periods of oversupply. Sharing resources across a larger geographic area reduces greenhouse gas emissions by using renqnrable generation that otherwise would have been turned off. The quantified environmental benefits ftom avoided curtailments of renerarable generation ftom 2015 to-date reached 781,101 metrictonsof COz, roughlytheequivalentof avoidingtheemissionsfiom 164,223 passenger cars driven for one year. MPP/MA&F Copyright 2022 California ISO Page 36 of 37 WEIM BENEFITS REPORT THIRD QUARTER 2022 APPENDIX 1: GLOSSARY OF ABBREVIATIONS Abbreviation Descri APS Arizona Public Service AVA Avista Utilities BAA Area BANC BPA cts rso EIM FMM GHG tPco LADWP lvlwh NVE PAC PACE PACW PGE PSE PWRX RTD SCL SRP TEP TID TPWR WEIM of Northern Califomia Bonneville Power Adm inistration California ISO E lmbalance Market Fifteen Minute Market Greenhouse Gas ldaho Porver of Water and PowerLosD East West Portland General Electric Sound E Powerex RealTime D Seattle Salt River P Tucson Electric Power Turlock I District Tacoma Power Westem Energy lmbalance Market I NV MPP/MA&F Copyright 2022 California ISO Page 37 of !7