To recommend approval of NPRR231 as amended by the 7/21/10 WMS comments and as revised by PRS and requested that ERCOT Staff report back on how they will manage RMR units in the DAM
This Nodal Protocol Revision Request (NPRR) removes ERCOT’s ability to submit Three-Part Supply Offer curves for any Generation Resource providing Reliability Must-Run (RMR) Service from participation in the Day-Ahead Market (DAM) and the Day-Ahead Reliability Unit Commitment (DRUC) process. However, ERCOT will still have the ability to use an RMR Resource to resolve local congestion issues through Verbal Dispatch Instruction (VDI).
This NPRR also proposes non-substantive administrative changes, such as correcting acronym and defined term usage. These are shown below with the author "ERCOT Market Rules."
Reason:
Generation Resources providing RMR Service are typically needed only for maintaining local reliability until additional transmission or generation is constructed to eliminate the need for such service. Since their prices are fixed by contract and thus, not competitively priced, ERCOT should not be allowed to utilize such Resources in the ERCOT competitive market. Furthermore, RMR contracts are structured to capture fixed costs and energy costs associated with the Resource, not start or minimum generation costs, which are key parts of any Three-Part Supply Offer curve submitted by a competitive Resource.