CAISO to FERC: Energy Imbalance Market problems found, reforms coming
In a filing with federal regulators last week, California’s grid operator described price spikes in its energy imbalance market as “excursions and infeasibilities,” but also said that it had discovered the cause: the system’s inability to recognize capacity held in reserve by PacifiCorp.
California ISO had said the price spikes were the result of transitional issues and requested FERC allow a year-long waiver to give the system more flexibility in setting marginal economic bids. Federal regulators rejected that idea, finding insufficient evidence to back the operator’s theory, and instead opened an investigation.
