* * * * 12.5.1 Under-Secured and Non-Compliant Market Participants The CAISO may take action under this Section 12.5.1 against a Market Participant if its Estimated Aggregate Liability, as calculated by the CAISO, at any time exceeds its Aggregate Credit Limit, or if a Market Participant fails to satisfy all of the minimum participation requirements set forth in Section 12.1. However, before taking action against a Market Participant based on failure to comply with Section 12.1(a) or 12.1(b)(i)-(iii), the CAISO must first notify the Market Participant of the failure and allow it (30) days after notification to cure the failure. The CAISO may take any or all of the following actions: (a) The CAISO may withhold a pending payment distribution. (b) The may limit trading, which may include rejection of Bids, including Self-Schedules, rejection or cancellation of Inter-SC Trades in their entirety (i.e., both sides of the Trade) at any time, and/or limiting other CAISO Market activity, including limiting eligibility to participate in a CRR Allocation or CRR Auction. In such case, the CAISO shall notify the Market Participant of its action and the Market Participant shall not be entitled to participate in the CAISO Markets or CRR Auctions or submit further Bids, including Self-Schedules, or otherwise participate in the CAISO Markets until the Market Participant posts an additional Financial Security Amount that is sufficient to ensure that the Market Participant’s Aggregate Credit Limit is at least equal to its Estimated Aggregate Liability. (c) The may require the Market Participant to post an additional Financial Security Amount in lieu of an Unsecured Credit Limit for a period of time. (d) The CAISO may restrict, suspend, or terminate the Market Participant’s CRR Entity Agreement or any other service agreement. (e) The CAISO may resell the CRR Holder’s CRRs in whole or in part, including any Long Term CRRs, in a subsequent CRR Auction or bilateral transaction, as appropriate.
* * * * 12.5.1 Under-Secured and Non-Compliant Market Participants The CAISO may take action under this Section 12.5.1 against a Market Participant if its Estimated Aggregate Liability, as calculated by the CAISO, at any time exceeds its Aggregate Credit Limit, or if a Market Participant fails to satisfy all of the minimum participation requirements set forth in Section 12.1. However, before taking action against a Market Participant based on failure to comply with Section 12.1(a) or 12.1(b)(i)-(iii), the CAISO must first notify the Market Participant of the failure and allow it (30) days after notification to cure the failure. The CAISO may take any or all of the following actions: (a) The CAISO may withhold a pending payment distribution. (b) The may limit trading, which may include rejection of Bids, including Self-Schedules, rejection or cancellation of Inter-SC Trades in their entirety (i.e., both sides of the Trade) at any time, and/or limiting other CAISO Market activity, including limiting eligibility to participate in a CRR Allocation or CRR Auction. In such case, the CAISO shall notify the Market Participant of its action and the Market Participant shall not be entitled to participate in the CAISO Markets or CRR Auctions or submit further Bids, including Self-Schedules, or otherwise participate in the CAISO Markets until the Market Participant posts an additional Financial Security Amount that is sufficient to ensure that the Market Participant’s Aggregate Credit Limit is at least equal to its Estimated Aggregate Liability. (c) The may require the Market Participant to post an additional Financial Security Amount in lieu of an Unsecured Credit Limit for a period of time. (d) The CAISO may restrict, suspend, or terminate the Market Participant’s CRR Entity Agreement or any other service agreement. (e) The CAISO may resell the CRR Holder’s CRRs in whole or in part, including any Long Term CRRs, in a subsequent CRR Auction or bilateral transaction, as appropriate.
2018_DraftTariffClarifications_Language.docx