INTRODUCTION TO ANCILLARY SERVICES NEW YORK MARKET ORIENTATION COURSE JACK VALENTINE NYISO MARKET TRAINING Copyright © 2004 NYISO ANCILLARY SERVICES MANUAL • WWW.NYISO.COM/services/documents/m anuals/pdf/oper_manuals/ancserv.pdf • Revised 04/06/04 • Manual does not reflect SMD market changes Copyright © 2004 NYISO What are Ancillary Services? GG • Unbundled Voltage Support Regulation Reserves services to facilitate market operations • Help to maintain GGTT reliable operation Black Start • Consists of both physical equipment and Reserves human resources LOAD LOAD Copyright © 2004 NYISO What are Ancillary Services? GG Voltage Support Unbundled services Regulation Reserves to facilitate market operations • Regulation • Reserves GGTT • Energy Imbalance Black Start Help to maintain reliable operation • Scheduling Reserves • Voltage Support • Black Start LOAD LOAD Copyright © 2004 NYISO Six Ancillary Services • Rate Schedule 1 • Scheduling, System Control & Dispatch • Rate Schedule 2 • Voltage Support • Rate Schedule 3 • Regulation & Frequency Response • Rate Schedule 4 • Energy Imbalance • Rate Schedule 5 • Operating Reserve • Black Start • Rate Schedule 6 Copyright © 2004 NYISO Ancillary Services Embedded, Cost Based Services Copyright © 2004 NYISO Cost Based Ancillary Services • Scheduling, System Control & Dispatch (Schedule 1) • Voltage Control (Schedule 2) • Black Start (Schedule 6) Copyright © 2004 NYISO Scheduling, System Control & Dispatch (Schedule 1) • NYISO Transmission System Operations for Reliability • NYISO Facilitating the New York Wholesale Electric Market Copyright © 2004 NYISO Scheduling, System Control & Dispatch Service Recovers the costs of operating the NYISO Mechanism to recover NYISO startup costs • Amortized over 5 years • Last Monthly Charge: December, 2004 Uplift Cost Recovery • Bid Production Cost Guarantee Payments Cost paid by all transmission customers • 15% of fixed costs billed to Generators and other injections Cost applies to all transactions Copyright © 2004 NYISO Scheduling, System Control & Dispatch Service (2) ISO costs recovered through one of the two tariffs • ISO OATT • ISO Market Services Tariff Provides for NYISO clearing account adjustment Copyright © 2004 NYISO
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