The combined incremental cost curve is consolidated into two segments matching the capacity cost curve with each segment at the weighted average combined cost Capacity cost for the capacity below PMIN is added to the minimum load cost If the reliability need is considered after the day-ahead run, but before the real-time: The order list is initialized from the day-ahead market solution and produced for the interval with the reliability need. Otherwise in real-time: The merit order list is initialized from the last fifteen minute market solution and produced for the interval with the reliability need. Please refer tariff 43A.4.2.2 for more information on optimization. CPM designation Once a CPM designation is issued, the CPM resource, MW quantity, price and duration will be updated in CIRA. Any resource designated under the CPM will have all the responsibilities and must-offer requirements as RA resources of the same RA type and category. The exception to this rule is that the designated resource will have an individual availability incentive mechanism price. This price will be the price that the resource was paid by the ISO ($/kW-month) during CPM designation. Please refer tariff 43.7 and 43.8 for more information on CPM payments and allocation If a resource with a CSP offer is designated for CPM then the SC cannot decline the CPM designation. If the CSP offer optimization result does not meet the minimum criteria needed for a CPM event designation, then the ISO will not offer a CPM designation to any of the resources with offers to the CSP. Instead the ISO will look towards capacity that was not offered into the CSP to assess this capacity against the minimum criteria. Under the circumstance where the ISO must use capacity that was not offered in to the CSP to meet the minimum criteria, the ISO will insert the soft offer cap for the purposes of the designation procedure. If ISO designates capacity from a resource that was not offered into the CSP, the supplier will have the option to request a unit-specific cost-based price to FERC or, in the case of an Exceptional Dispatch CPM, decline the CPM designation within 24 hours from the time of the designation and be paid under the supplemental revenues option. In the event there is no capacity from either offered or non-offered resource pools that meets the ISO’s initial minimum criteria to satisfy the CPM
The combined incremental cost curve is consolidated into two segments matching the capacity cost curve with each segment at the weighted average combined cost Capacity cost for the capacity below PMIN is added to the minimum load cost If the reliability need is considered after the day-ahead run, but before the real-time: The order list is initialized from the day-ahead market solution and produced for the interval with the reliability need. Otherwise in real-time: The merit order list is initialized from the last fifteen minute market solution and produced for the interval with the reliability need. Please refer tariff 43A.4.2.2 for more information on optimization. CPM designation Once a CPM designation is issued, the CPM resource, MW quantity, price and duration will be updated in CIRA. Any resource designated under the CPM will have all the responsibilities and must-offer requirements as RA resources of the same RA type and category. The exception to this rule is that the designated resource will have an individual availability incentive mechanism price. This price will be the price that the resource was paid by the ISO ($/kW-month) during CPM designation. Please refer tariff 43.7 and 43.8 for more information on CPM payments and allocation If a resource with a CSP offer is designated for CPM then the SC cannot decline the CPM designation. If the CSP offer optimization result does not meet the minimum criteria needed for a CPM event designation, then the ISO will not offer a CPM designation to any of the resources with offers to the CSP. Instead the ISO will look towards capacity that was not offered into the CSP to assess this capacity against the minimum criteria. Under the circumstance where the ISO must use capacity that was not offered in to the CSP to meet the minimum criteria, the ISO will insert the soft offer cap for the purposes of the designation procedure. If ISO designates capacity from a resource that was not offered into the CSP, the supplier will have the option to request a unit-specific cost-based price to FERC or, in the case of an Exceptional Dispatch CPM, decline the CPM designation within 24 hours from the time of the designation and be paid under the supplemental revenues option. In the event there is no capacity from either offered or non-offered resource pools that meets the ISO’s initial minimum criteria to satisfy the CPM