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2009 State of the Market Report

Market Performance

Resources failing to deploy during events or during tests would lose their bid qualification status until subsequent testing is successful. While new testing requirements should help, they may not entirely address the issue: an efficient penalty might ultimately be needed. Scrutiny on the poor deployment performance by the Midwest ISO and the Commission has led some participants to reduce their offer quantities, particularly on less reliable units. This change has resulted in a more capable (but smaller) set of supplemental reserve supplies. This has contributed to improved deployment response in 2010, but also higher supplemental reserve prices.

3.

Availability of Generation in Real Time

The availability of generation in the real-time market is important because it enables the Midwest ISO to redispatch the system to manage transmission constraints, while satisfying all energy and operating reserves requirements. In general, the day-ahead market coordinates the commitment of most generation that will be dispatched in real time. Figure 37 details the average monthly generation scheduled in the day-ahead and real-time markets.

Figure 37: Day-Ahead and Real-Time Generation 2009: All Hours

100,000

90,000

Reserve Range Dispatchable Range Net Imports and Minimum Generation DA Scheduled Load RT Actual Load

80,000

70,000

MW

60,000

50,000

40,000

30,000

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

DA RT

2007 2008 2009 Jan Avg Avg Avg

Feb Mar Apr May Jun

Jul

Aug Sep

Oct Nov Dec

Page 56

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