Transcript (PIP) 102 - ERCOT.com

A Partial Interim Report To WMS
Guidance on Implementing Protocol
Implementation Plan (PIP) 102
Reactive Power Task Force
Scope of This Report
• Implementation of PIP 102 in ERCOT
Protocol Section 8.8.4, Capacity Payments
for Voltage Support Provided to ERCOT
– Consistent with the contents of the recently
approved ERCOT standard, ERCOT Voltage
and Reactive Requirements and Compliance
Monitoring
PIP 102 Provisions
• Generators must operate to control the ERCOT
supplied voltage setpoint on the high side of the unit
step-up transformer
• Generators – are not compensated for reactive power production that is less
than the Generator’s Unit Reactive Limit (URL)
– are compensated for real power production reductions, at
OOME Down, that are required to comply with an ERCOT
Operation’s reactive dispatch instruction
– are compensated for the Megavars produced in excess of their
URL when dispatched by ERCOT Operations beyond their
URL
• Rate of compensation is determined by the avoided cost of
installed reactive devices
PIP 102 Definition - URL
• The amount of reactive power produced
when the generation unit operates at a 0.95
power factor (leading and or lagging) at the
unit’s rated capability (MW) {PIP102} or
unit’s maximum net power to be supplied to
the transmission grid {RCVC Standard}.
Implementation Issues
• Amount of the “avoided cost of reactive
support Resources on the transmission
network”
• Determination of a particular unit’s URL
• Recording for settlement
– ERCOT Operation’s reactive power dispatch
instructions and
– unit reactive power production from EPS metering
• Consistency with the “ERCOT Voltage and
Reactive Requirements and Compliance
Monitoring” standard
Task Force Recommendation 1
• That WMS select a generator
compensation level based on either
$20/KVAR {for static devices} or
$50.00/KVAR {for dynamic devices}
installed. Additionally, WMS should
decide a reasonable capacity factor to
apply when converting the installed
capacity factor to a per KVAR-hour rate.
Installed Cost  $/MVAR-Hr
• Based on reactive devices installed on the transmission
network, assume:
–
–
–
–
30 year life
10% discount rate
Annual variable cost for O&M = 1% of install cost
A 50% capacity factor for leading VARS and 20% for lagging
VARS
• $20.00/KVAR installed converts to $0.757/MVAR-hr
• $50.00/KVAR installed converts to $1.893/MVAR-hr
Task Force Recommendation 2
• That WMS resolved that the ERCOT
Protocols be revised to require ERCOT
and each generation owner to establish a
URL that is consistent with the generator
capability tests described in ERCOT
Protocol Section 6.10.3.5. The unit
specific data that serves as the basis for
such URLs shall be treated as
confidential information by ERCOT.
Task Force Recommendation 3
• That WMS request ERCOT
– to consider the necessary interfaces between operations and
settlement necessary to implement the payment provisions of
PIP 102
– to identify the changes needed to existing procedures and
guidelines
– to review the EPS metering impacts associated with the
collection and storage of reactive power data, if any, and
– to report their findings/conclusions to WMS
• Task force members are concerned about the cost
impacts of these matters
Task Force Recommendation 4
– That WMS resolve that the ERCOT Protocols be
revised to include the requirement that
QSE/generation unit operators, ERCOT Operations
and TSPs, seek to achieve a routine operational goal
that generation facilities operate within an
established operational limit (either a 0.98 power
factor (leading or lagging) or X% of the URL) by
communication efforts, and generation voluntary
response to ERCOT and/or TSP reactive operations
requests.