NPEGA Files in Support of Day-Ahead Reserves – FERC Docket No. ER24-275-000

On November 21, 2023, NEPGA filed Comments in support of ISO-NE’s proposal to price and procure four types of reserves co-optimized with energy in the day-ahead energy market – its so-called Day-Ahead Ancillary Services proposal (Docket No. ER24-275-000). The proposal creates day-ahead ten-minute spinning, ten-minute non-spinning, thirty-minute operating, and energy imbalance reserves, while retiring the existing Forward Reserve Market. The DASI products are call-options on energy co-optimized with energy in the Day-Ahead Energy Market. ISO-NE plans for the proposal to take effect by March 1, 2025. NEPGA filed in support on the basis that the DASI proposal marks a significant improvement to price signals and incentives to deliver on reserves, while also calling upon ISO-NE to move forward expeditiously with the development of longer lead-time day-ahead ancillary services. NEPGA as well called upon ISO-NE and the Internal Market Monitor to annually review the performance of the DASI design, including with respect to the Strike Price, physical withholding mitigation rules, and offer price formation.

Posted in Document Archive, Federal Filings, Recent Filings.