ERCOT Seeks to Increase Operating Reserves in Preparation for Winter

(Austin, TX) –As part of ERCOT’s reliability-first approach to grid operations, a Request for Proposal (RFP) was issued to stakeholders today to increase operating reserves, adding up to an additional 3,000 MW for the winter 2023-2024 peak load season.

“Our request to procure capacity in advance of winter is part of our continued commitment to maintain grid reliability and resiliency,” said ERCOT President and CEO Pablo Vegas. “ERCOT is not projecting energy emergency conditions this winter season, but we want to be prepared and ensure all available tools are readily available if needed.”

This capacity request was informed by several factors, including significant peak Load growth since last winter, recent and proposed retirements of dispatchable Generation Resources, and recent extreme winter weather events.

The Monthly Outlook for Resource Adequacy (MORA) report determined that if conditions in the winter 2023-2024 season during the peak demand hour (which is in the morning during winter) were comparable to peak demand conditions last winter, which occurred during Winter Storm Elliott in December 2022, the probability level of entering into emergency conditions would be higher than ERCOT’s acceptable elevated-risk threshold.

The Request for Proposal seeks capacity from both dispatchable generation and demand response solutions to cover the period of December 1, 2023, through February 29, 2024. More information can be found in our Market Notice.

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