North American Windpower: UWIG Updates Status Of Wind Power And Electricity Markets Summary

UWIG Updates Status Of Wind Power And Electricity Markets Summary

by NAW Staff on Thursday 27 September 2007

The Utility Wind Integration Group (UWIG) has released an updated version of a summary table detailing markets and market rules for wind energy and capacity in North America. Capturing the state of markets as of Sept. 21, the document represents a significant update of a table submitted by UWIG at the December 2004 Federal Energy Regulatory Commission's (FERC) technical conference on assessing the state of wind energy in wholesale electricity markets.

The document is based on information presented at the UWIG 2007 Technical Workshop held in Anchorage, Ala., as well as a meeting of the UWIG Market Operations and Transmission Policy User Group. Covering PJM Interconnection, the New York Independent System Operator (ISO), ISO New England, Ontario ISO, Midwest ISO, Southwest Power Pool, the Electric Reliability Council of Texas, California ISO and Alberta Electric System Operator, the table presents responses to the following questions:
- scheduling in energy markets: how is wind energy scheduled and procured?
- imbalance settlement: how are wind energy imbalances settled – either through a balancing market or another settlement procedure?
- ancillary services: how are wind plants' ancillary service needs and costs recognized?
- wind forecasting: what role does wind forecasting play?
- capacity calculation: how is capacity value or capacity credit for wind plants calculated? Is there a distinction between capacity values for planning reserves (months and years time frame) and operating reserves (same-day to next-day)? If so, what is it?
- capacity recognition: how is capacity value recognized in capacity obligations and capacity markets?

FERC Order 888's discussion of these questions, as updated in Order 890, was used as a baseline for the table. UWIG says it intends to update the document as regional electricity markets continue to evolve.

The document can be downloaded at uwig.org/windinmarketstableSep07.pdf.

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