Tariff Revision Request (TRR)
TRR Number
128
Cross Reference Number
Name
E-mail Address
Company
Phone Number
Date
Tariff Section(s) Requiring
Revision
TRR
Title
M2M Changes to Attachment AE
MPRR
BRR
Other (Specify) ___________
Sponsor
Marisa Choate
mchoate@spp.org
Southwest Power Pool
501.688.1707
5/15/2014
Attachment AE: Addendum 1
Normal
Urgent
Requested Resolution
Provide explanation if Urgent is selected:
Revision Description
A row has been added to the table that sets forth Violation Relaxation Limits (VRL)
values in Addendum 1 of Attachment AE that clarifies that for Market-to-Market
coordination, the VRL will be equal to the MISO Shadow Price, as further described
in the SPP-MISO JOA Section 3.1.
Reason for Revision
When a Market-to-Market event has been invoked, the SPP RTBM system will
replace the existing VRL with the MISO Shadow Price.
RTWG—
Stakeholder Approval
Required
(Record date and outcome
of vote; N/A for those
stakeholders not required)
MWG—
BPWG—(N/A)
TWG—(N/A)
ORWG—(N/A)
Other (specify)—(N/A)
MOPC—
Board of Directors—
Yes—(Include any comments from the review)
Legal Review Completed
No
Yes—Section No.: (Include a summary of impact and/or specific changes)
Market Protocols
Implications or Changes
4.1.4—Violation Relaxation Limits
No
Yes—Section No.: (Include a summary of impact and/or specific changes)
Business Practices
Implications or Changes
No
Yes—Section No.: (Include a summary of impact and/or specific changes)
Criteria Implications or
Changes
No
Other Corporate Documents
Implications or Changes
(i.e., SPP Bylaws,
Membership Agreement,
etc.)
Yes—Section No.: (Include a summary of impact and/or specific changes)
No
Yes—(Include a summary of impact and/or specific changes)
Credit Implications
No
Yes
Impact Analysis Required
No
Proposed Tariff Language Revision (Redlined)
Addendum 1 to Attachment AE
Violation Relaxation Limit Values
This Addendum 1 to Attachment AE sets forth the VRL values to be used in conjunction with the
operation of the SPP Energy and Operating Reserve Markets.
Constraint Type
(1) Resource
Capacity
(2) Global Power
Balance
(3) Resource Ramp
(4a) Operating
Constraint
Description
VRL [$/MW]
The minimum and maximum MW
dispatchable output of a resource as
indicated in a Resource Offer.
Energy needed to balance resources and
load.
The ramp capability of a resource as
indicated in the resource plan.
A MW limit that can be imposed on SPP
related to MW flow across a market node, a
manually-identified transmission constraint,
a Watch List transmission constraint, a
flowgate constraint, or a transmission
constraint identified by SPP’s Real-Time
contingency analysis.
100,000
(4b) Operating
Constraint
Market-to-Market coordination
(5) Regulation-up
plus Spinning
Reserve Constraint
A MW value representing the sum of the
Regulation-Up requirement and Spinning
Reserve requirement
50,000
5,000
$500 when the loading is greater
than 100% and less than or equal
to 101% at each network
constraint at each Operating
Constraint.
$750 when the loading is greater
than 101% and less than or equal
to 102% at each network
constraint
$1,000 when the loading is greater
than 102% and less than or equal
to 103% at each network
constraint
$1,250 when the loading is greater
than 103% and less than or equal
to 104% at each network
constraint
$1,500 when the loading is greater
than 104% at each network
constraint
MISO’s Shadow Price as further
defined in Section 3.1 of the SPPMISO JOA
$200
Proposed Market Protocols Language Revision (Redlined)
4.1.4 Violation Relaxation Limits
The DA Market, RUC processes and RTBM SCED enforce a number of operating constraints in
developing the co-optimized market solution. In certain situations, attempting to enforce all
constraints may result in a solution that is not feasible at a Shadow Price less than an
appropriately priced Violation Relaxation Limit. In such cases, SPP must apply Violation
Relaxation Limits (VRLs) in SCED.
There are five categories of constraints and associated VRLs: (1) Resource Capacity Constraints;
(2) Resource Ramp Constraint; (3) Global Power Balance Constraint; (4) Operating Constraint
(which include PNode, Manual, Watch List, flowgate and Real-Time Contingency Analysis
(RTCA) Constraints) and (5) Spinning Reserve requirement constraint. A higher VRL value is
an indication of the relative priority for enforcing the constraint type. For example, the VRL
value assigned to a ramp rate limit exceeds that assigned to a flowgate limit indicating that the
flowgate constraint should be relaxed before the ramp rate constraint. If the VRL with the
lowest value will not allow SCED to balance the market’s energy obligations, a higher VRL will
be applied. In the case of the Operating Constraint VRLs, the values limit the cost of the
dispatch needed to balance system injections and withdrawals by capping the Shadow Price
depending upon the level of the violation. Similarly, the Spinning Reserve Constraint VRL
limits the costs of redispatch need to meet the Spinning Reserve requirement by capping the
Spinning Reserve Shadow Price. Addendum 1 to Attachment AE of the SPP Tariff sets forth the
VRL values to be used in conjunction with the operation of the SPP Energy and Operating
Reserve Markets.
VRLs and associated values are intended to achieve the following objectives: (1) Mitigate the occurrence
of price excursions or other extreme prices; (2) Remove the portion of a loading violation attributed to
market flow on a flowgate within 30 minutes of the start of a VRL violation; (3) Mitigate the regulation
burden placed on the Resources providing regulation services; (4) Limit contribution to CPS violations;
and (5) Minimize the need for Manual Dispatch Instructions.
Proposed Business Practices Language Revision (Redlined)
N/A
Proposed Criteria Language Revision (Redlined)
N/A
Proposed Revisions to Other Corporate Documents (Redlined)
N/A
Page 5 of 5