Requested
Client Action: Information Only
Date of
Distribution: July 5,
2007
Categories: Grid Operation, Legal/ Regulatory,
Market Rules and Market Design
Subject: Generating Unit Forced Outage
Reporting Requirements: FERC
Decision Granting Waivers
___________________________________________________
Summary: On Monday, July 2, the Federal
Energy Regulatory Commission (FERC) issued an order that, among other things,
temporarily waives the requirement that Generating Units with maximum capacity
less than 40 megawatts submit Forced Outage Reports following disconnection from
the grid.
__________________________________________________
Main
Text: On July 1, 2007, the California ISO
(CAISO) Department of Market Monitoring (DMM) began to enforce sanctions for
failure to comply with Forced Outage reporting requirements in the CAISO
Tariff. This
notice informs Market Participants
that two previously open legal issues related to these enforcement efforts were
resolved by FERC in an order issued July 2, 2007.
First, the FERC granted the CAISO’s
request to waive, through November 30, 2007, the requirement that Generating
Units with maximum capacity less than 40 megawatts submit Forced Outage Reports
following disconnection from the grid.
Accordingly, the DMM will not be issuing sanctions against the operators
of such units for violating tariff section 9.3.10.5. This waiver does not affect the
obligation of these units to report changes in availability pursuant to tariff
section 9.3.10.2.1.
Second, the FERC also extended
through June 30, 2007 its waiver of tariff-based penalties for late
reporting of Forced Outages and changes in availability of Generating Units
(tariff sections 37.4.1.2 and 37.4.3.2).
This confirms that Market Participants are not at risk of incurring
penalties under these tariff sections for conduct before July 1, 2007.
For additional background on the two
legal issues, see the CAISO Market Notice issued Friday, June 22 (available
on the CAISO website at http://www.caiso.com/1c05/1c05c0ab120f2.html).
FERC’s July 2 order, 119 FERC ¶
61,345, can be viewed at http://www.caiso.com/1c10/1c10aef34c4b0.doc.
________________________________________________
For More
Information Contact: Dan
Shonkwiler, CAISO Legal Affairs, dshonkwiler@caiso.com, or Brad Cooper,
Department of Market Monitoring, bcooper@caiso.com.
The
California ISO strives to be a world-class electric transmission organization
built around a globally recognized and inspired team providing cost-effective
and reliable service, well-balanced energy market mechanisms, and high-quality
information for the benefit of our customers.
EA/ComPR/IPS/ds