Electricity, Generation

ERCOT market monitor cuts storm pricing error estimate to $3.2 billion from $16 billion

by  • 

S&P Global Platts

Author: Mark Watson

Houston — The Electric Reliability Council of Texas’ independent market monitor has lowered its estimate of the amount of erroneous real-time energy market charges during the Feb. 18-19 winter storm to $3.2 billion from $16 billion, reflecting the net effect of self-supply situations and day-ahead market positions, lawmakers learned March 11.

But during testimony before the Texas House of Representatives’ State Affairs Committee, Arthur D’Andrea, Public Utility Commission of Texas chairman and the sole remaining member, denied that the charges were erroneous, under state and ERCOT rules, which drew a suggestion from a …

Generation

With eye on keeping capacity auctions on track, FERC stands by PJM reserve market overhaul

by  • 

S&P Global Platts

Author: Jasmin Melvin

The US Federal Energy Regulatory Commission has denied requests for rehearing of its November 2020 approval of PJM Interconnection’s plans to overhaul its reserve market, with Chairman Richard Glick voting in favor while still disapproving of aspects of the grid operator’s current market design.

The March 9 order (EL19-58) avoids upending plans for resuming the region’s capacity auctions, which have not been held since 2018. It also rejects arguments from power suppliers, environmental groups and public interest advocates tied to PJM’s use of historical prices for forecasts and its application of a 10% adder, an otherwise allowable component of cost for all generating resources, only in …