One year after shift in Day-Ahead Energy Market timeline, ISO-NE reports positive results to FERC
Just over a year ago, changes accelerating the Day-Ahead Energy Market (DAM) and Reserve Adequacy Analysis (RAA) timelines went into effect in New England. ISO New England and NEPOOL proposed the revisions in an effort to better align the timing of the region’s wholesale electricity and natural gas markets with the goal of improved reliability of the New England power grid. In an order accepting an acceleration of the timelines, the Federal Energy Regulatory Commission also directed the ISO to submit a report on the impact the changes have had on operations one year after they went into effect. On May 23, the ISO published an Informational Report finding that the modifications have incrementally improved gas-electric coordination.
The report presents six key findings:
- The accelerated timeline appears to have had an overall positive impact on system operations: the number of units committed in the DAM or RAA that were unavailable in real-time due to gas procurement issues (excluding units that had their schedules extended due to reliability or capacity issues) fell from seven during the 2012/2013 winter to zero this past winter.
- The number of generators with long start-up times dispatched prior to the DAM offer and bid deadline declined from 12 during the 2012/2013 winter to zero this past winter.
- No discernible effect on the timing or volume of natural gas traded on the Algonquin pipeline has resulted from the changes.
- The number of external transactions in the energy markets has not declined.
- The shorter re-offer period appears to be functioning adequately.
- The scheduling changes appear to have had a positive impact on electric market efficiency.
You can read more about the DAM changes in the ISO Newswire article, Day-Ahead Energy Market timeline changes go into effect May 23 for May 24 operating day.