Stakeholder Comment Matrix AESO AUTHORITATIVE DOCUMENT PROCESS Stakeholder Consultation Draft
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Stakeholder Comment Matrix AESO AUTHORITATIVE DOCUMENT PROCESS Stakeholder Consultation Draft
Stakeholder Comment Matrix AESO AUTHORITATIVE DOCUMENT PROCESS Stakeholder Consultation Draft 2015-08-31 Proposed New ISO Rules Part 500 Facilities, Division 505 Legal Owners of Generating Facilities, Section 505.2, Performance Criteria for Refund of Generating Unit Owner’s Contribution (“New Section 505.2”) Date of Request for Comment: Period of Consultation: August 31, 2015 August 31, 2015 Comments From: TransAlta Corporation Date [yyyy/mm/dd]: 2015-09-09 through September 16, 2015 Contact: Chris Codd Phone: 403-267-3664 Email: [email protected] Listed below is the summary description of changes for the proposed New Section 505.2. Please refer back to the Letter of Notice under the “Attachments to Letter of Notice” section to view the actual proposed content changes to the ISO rules. Please place your comments/reasons for position underneath (if any). 1. ISO Rules a) New The AESO is seeking comments from stakeholders with regard to the following matters: 1. Do you agree or disagree with the proposed New Section 505.2? If you disagree, please provide comments. 2. Are there any subsections where the language does not clearly articulate the requirement for either the AESO or a market participant? If yes, please indicate the subsections and suggest language that would improve the clarity. Issued for Stakeholder Consultation: 2015-08-31 Stakeholder Comments and/or Alternate Proposal Comment # 1: TransAlta is concerned that the proposed hourly availability metric for generation in subsection 3(3) of the proposed rule is not an accurate reflection of satisfactory operation of a generating unit. This metric defines availability of as availabile capability divided by maximum capability. Maximum capability is defined in the AESO’s Consolidated Authoritiative Document Glossary as the maximum output ahieveable under ideal conditions. This means that a large coal-fired generator that is always available will not be able to achieve a 100% availability under this metric because ambient temperatures prevent the generator from achieving its full output at all times of the year. Further, large coal-fired generators typically undergo planned outages lasting about a month every 2 or 3 years. Finally, there can be significant variability in forced outages from year to year. The overall impact of these factors could lead to a coal-fired generator not meeting the 80% avavailbility requirement despite having satisfactory operations. TransAlta submits that the AESO should find a way to exclude ambient temperature derates and planned outages from the metric or that the AESO AESO Replies Page 1 of 3 should reduce the required availability for a full refund to 70% or 75% to reflect the operating characteristics of large coal-fired generators. Comment # 2: TransAlta is concerned with the grouping of wind and hydroelectric generation does not reflect the characteristics of each type of generation. Wind generation has significant variance in fuel availability from year to year that may prevent a wind aggregated generating facility from meeting the 25% capacity factor set in subsection 4(4) of the proposed rule even if the wind aggregagted generating facility had 100% availability. Under the current wind dispatch rules, it is possible to utilize available capability to reflect the availability of a wind aggregated generating facility. TransAlta submits that the AESO could employ a 75% availability for wind generation using the definition of availability in subsection 3(3). In the alternative, TransAlta requests that the AESO maintain the 20% capacity factor rerquirement from the previous Section 9.5 of the ISO rules to reflect the operating characteristics of wind generation. Comment # 3: TransAlta agrees with the AESO that it is more efficient to have the AESO conduct the assessments to determine generating unit owner’s contribution refunds and TransAlta supports this change. However, TransAlta is concerned that there is no requirement for the AESO to provide the data it has used to conduct the assessments. TransAlta submits that there should be a requirement in the rule for the AESO to provide its assessment used to determine a generating unit owner’s contribution refund if it is requested by a market participant. Comment # 4: It is unclear to TransAlta how the hourly availability under subsection 3(3) is calculated in time periods where the generator has a Rate STS contract capacity of 0 MW. Subsections 4(3) and 5(3) of the proposed rule include requirements for the AESO to assess a 100% availability in hours during a month where the Rate STS contract capacity is 0 MW. TransAlta Issued for Stakeholder Consultation: 2015-08-31 Page 2 of 3 requests that the AESO include a clause to deem the hourly availability for generation other than wind, hydro, less than 5 MW and behind-the-fence as 100% for months when the Rate STS contract capacity is 0 MW. Comment # 5: The Letter of Notice states that the proposed New Section 505.2 applies to market participants and the AESO but the draft rule states that it only applies to the AESO. Please confirm whether the proposed rule is intended to apply to market participants. Issued for Stakeholder Consultation: 2015-08-31 Page 3 of 3