A Western Energy Market Super Bowl |
|
|
If energy markets had their own Super Bowl, this would be it! With the newly incorporated ROWE, we're one step closer to a Vince Lombardi Trophy unified Western energy market that would eliminate seams and spread clean, coordinated energy across the region...just like scoring the game-winning touchdown.
All jokes aside, a big thank you to everyone who joined our webinar this week! As outlined below, our new report breaks down the current state of the game and the key plays that we are watching out for. Read on for more sportsball references that will give you the full play-by-play of the Western energy landscape.
- Leah Rubin Shen, Managing Director at Advanced Energy United
As always, share the newsletter with your friends and colleagues and encourage them to subscribe. Feedback or suggestions for content? Please reach out to us at westernrto@advancedenergyunited.org. |
|
| A Pathway to a West-wide Energy Market |
Our new report highlights the West's once-in-a-generation opportunity to build a unified regional energy market that will lower costs and strengthen reliability across the region, and how the Regional Organization for Western Energy (ROWE) is our best shot to turn that vision into reality. The report provides the full playbook, outlining the benefits and the next steps the West must take to get to the end zone.
Key takeaways from the report include: - Regional energy markets have tremendous benefits for affordability, reliability, and economic development.
- The West has a unique opportunity to build an independent organization that can offer multiple market services à la carte to the region.
-
The ROWE offers clear benefits: respect for existing state policies, public accountability, stakeholder-led policy development, and voluntary participation.
- The West should avoid locking itself into two or more markets. Market seams are permanent inefficiencies, and we have a chance to avoid them right now.
ICYMI: Here is the link to the recorded webinar where my colleague Brian Turner presented our report and moderated a panel discussion with representatives from Google, Pattern Energy, and Leap about what their respective companies are looking for in a market and their concerns about a bifurcated market in the West. RTO Insider also reported on the webinar.
|
|
|
Touchdown! ROWE Officially Incorporated
The ROWE has officially been incorporated, a major milestone that marks another step toward wider participation in the Extended Day-Ahead Market. Next steps include selecting an initial board, securing nonprofit status, finalizing bylaws, and establishing conflict-of-interest policies.
As the ROWE moves forward, the Pathways Initiative is seeking funding to support startup costs while longer-term funding mechanisms are developed.
Relatedly, CAISO is entering the fourth quarter as they are three months away from launching EDAM, and earlier this week, the ISO held a virtual town hall to stress the importance of a smooth rollout in May and a promise to address market seams issues. RTO Insider has a great recap of what was discussed. CAISO also recently published a new Stakeholder Process Guide and submitted its first AB 825 report to the California legislature.
SPP Adds New Players and Protocols to Its Markets+ Roster
SPP is investing $150 million to expand its workforce by about 190 new positions by 2027, including jobs in engineering, IT, market administration, and support roles. These new positions will support the expansion of SPP’s services, including Markets+.
Stakeholders also unanimously approved initial Markets+ day-ahead market protocols that establish early alignment on market rules, resource calculations, and transfer optimization.
|
|
|
Updates Around the Region |
Colorado
The Colorado PUC ruled earlier in January on the request for rehearing, re-argument, or reconsideration of its decision to approve Xcel Energy’s entry into Markets+. Notably, the PUC voted to restore the June 2029 deadline requiring Xcel to either join a full RTO, as mandated by SB 21-072, or explain why it cannot. The PUC also made it clear that participation in the limited Markets+ market cannot be used as a justification for avoiding or delaying entry into a full RTO. Read more in Advanced Energy United's statement on the decision.
Black Hills Colorado Electric has also now applied to join Markets+, saying it has no choice because it is embedded in a balancing authority (Xcel) that will be a Markets+ participant. Black Hills is commissioning a study evaluating the connectivity, costs, and market efficiency of the utility joining Markets+ or RTO West, with results expected this summer in June or July.
Pacific Northwest
BPA is getting a new quarterback! BPA CEO John Hairston is retiring after his 30-year tenure and is looking to become Eugene Water & Electric Board's next general manager. Suzanne Cooper will step in as interim administrator while the Northwest delegation begins the process of identifying and nominating a permanent successor.
|
|
|
| Advanced Energy United 1801 Pennsylvania Avenue NW, Suite 410, Washington, D.C., 20006 Unsubscribe. |
| |
|
|
