Policy Reference
PacifiCorp’s Open Access Transmission Tariff (“OATT”) Schedule 5 (Operating Reserve – Spinning
Reserve Service) and Schedule 6 (Operating Reserve – Supplemental Reserve Service).
Definitions
No definitions other than those defined herein and those currently contained in PacifiCorp’s OATT
are required for this business practice.
Purpose
The purpose of this business practice is to specify the practices outlined in PacifiCorp’s OATT
pertaining to the calculation and assessment of charges for service provided under Schedules 5
(Spinning Reserve Service) and 6 (Supplemental Reserve Service) (collectively, the “Operating
Reserve Charges”) for Transmission Customers who elect to self-supply or make comparable
alternative arrangements to supply these services. These calculations are intended to apply to reserve
charges effective January 1, 2012, for Schedules 5 and 6 pursuant to the approved settlement in
Federal Energy Regulatory Commission Docket No. ER11-3643.
Reserve Obligation
A Transmission Customer must purchase Schedule 5 and 6 services from the Transmission Provider,
self-supply the service, or make alternative comparable arrangements to satisfy its obligations
(Reserve Obligation). A Transmission Customer’s Reserve Obligation for each hour is defined as (1)
its Network Load minus any Network Resources where the supplier is carrying the Reserve
Obligation for that Network Resource as evidenced by etag information, and (2) a Transmission
Customer may have transactions with other parties as allowed by their Service Schedules or
Agreements. On these transactions the etags will specify whether the Transmission Customer or the
other party will have the Reserve Obligation for those schedules.
Pursuant to Schedules 5 and 6 of PacifiCorp’s OATT:
A Transmission Customer may choose to self-supply all or a portion of its Reserve Obligation under
Schedules 5 and 6. The total Reserve Obligation for a Transmission Customer who self-supplies is
determined by the currently-effective version of WECC Regional Reliability Standard BAL-STD002. Transmission Customer choosing to self-supply all or a portion of its Reserve Obligation, the
billing determinants for supplemental purchases of Schedule 5 or 6 reserve service shall be
determined by: (1) identifying the difference between the amount self-supplied during each hour each
month and the Transmission Customer’s Reserve Obligation , as evidenced by etag information and
determined above in accordance with WECC Standard BAL-STD-002; and (2) charging the
Transmission Customer the Hourly Rate multiplied by the amount of MWs identified in (1) where
the Transmission Customer did not self supply for each hour.
The Transmission Customer shall schedule that portion which it will self-supply and/or supply from
third parties up to seven days in advance pursuant to procedures set forth in the business practices of
the Transmission Provider (see PacifiCorp Business Practice #34: Self-Supply or Third-Party Supply
of Ancillary Services and PacifiCorp Business Practice #39: E-Tagging Reserves).
During any period that a Transmission Customer has scheduled self-supply and/or supply from third
parties but fails to provide the full amount scheduled due to partial or full forced outage of the
generation source or a transmission curtailment or interruption, the Transmission Customer shall
purchase the shortfall at the Hourly Rate identified in Schedules 5 and 6, as applicable.
This business practice applies to all Transmission Customers unless explicitly contradicted by
contract terms.
PRACTICE
The following sections describe the calculation approach for Network Customers and Transmission
Customers taking Point-to-Point Transmission Service (“Point-to-Point Customers”) who have
elected to self-supply Operating Reserve service or make alternative comparable arrangements to
satisfy the obligation.
I. Network Customers
a. Description of Operating Reserve Charge Calculation for Network Customers
The following is a high-level description of the overall Operating Reserve Charge calculation for
Network Customers under both Schedules 5 and 6. Each of these steps (1) through (6) is further
detailed below:
1) Determine the Reserve Obligation
a. Reserve Obligation = Network Load (including losses) – Network Resources where the
supplier carries the Reserve Obligation + schedules to other parties where the Transmission
Customer provides the reserves (including losses) as evidenced by scheduled tag
information.
2) Calculate the Operating Reserve Requirement by generation type
a. Use the hydro/wind and thermal reserve percentages set forth in Schedules 5 and 6 to
calculate the Operating Reserve Requirement by generation type
3) Track capacity tags submitted for Operating Reserves
a. Query for any Spinning Reserve or Supplemental Reserve capacity tags documenting
self-supply of Operating Reserves
4) Track any Operating Reserve deployment failures
a. Account for any occurrences where self-supplied Operating Reserves were not deployed
when called upon
5) Calculate the Spinning Reserve Charge
a. Determine how much of the Spinning Reserve Requirement was covered by capacity
tags (minus any deployment failures)
b. Multiply any Load Obligation MW not covered by self-supply by the Spinning Reserve
Hourly Rate
6) Calculate the Supplemental Reserve Charge.
a. Determine how much of the Supplemental Reserve Requirement was covered by
capacity tags (minus any deployment failures)
b. Multiply any Load Obligation MW not covered by self-supply by the Supplemental
Reserve Hourly Rate
7) For deployed Operating Reserves, the energy produced will be purchased by PacifiCorp
at [need to agree on purchase terms, the existing “just included in Energy Imbalance” does
not work.]