This Nodal Protocol Revision Request (NPRR) clarifies the implementation of the fuel adder into the Mitigated Offer Cap as provided in NPRR485, Clarification for Fuel Adder Provisions, approved by ERCOT Board of Directors 11/13/2012, and as planned to take effect upon ERCOT’s implementation of the automated solution of NPRR485. Additional Background: NPRR485 introduced the concept of a verifiable fuel adder to be used in the calculation of the Mitigated Offer Cap and Verifiable Startup and minimum energy costs. When NPRR485 was approved on November 13, 2012, the specific calculation of how the fuel adder would be used in the Mitigated Offer Cap was not yet determined. Per Appendix 6 and 7 of the Verifiable Cost Manual, as an interim step and manual work around, Quick Start Generation Resources (QSGRs) had the fuel adder incorporated into their verifiable Incremental Heat Rate (IHR) points. All other Generation Resources were not eligible to get the fuel adder until ERCOT determined the automated solution needed to incorporate the fuel adder into the Mitigated Offer Cap and implemented that solution into its systems.
Reason:
Removes potentially vague Protocol language with a clear and concise description of the application of the fuel adder into the Mitigated Offer Cap.