MTEP15 Chapter 6: Resource Adequacy Introduction and Enhancements
MISO’s ongoing goal is to support the achievement of Resource Adequacy, i.e., ensure enough capacity is available to meet the needs of all consumers in the MISO footprint during peak times and at just and reasonable rates. The responsibility for Resource Adequacy does not lie with MISO, but rather rests with Load Serving Entities and the states that oversee them (as applicable by jurisdiction). Additional Resource Adequacy goals include maintaining confidence in the attainability of Resource Adequacy in all time horizons, building confidence in MISO’s Resource Adequacy assessments and providing sufficient transparency and market mechanisms to mitigate potential shortfalls.
Five guiding principles provide the framework necessary to achieve these goals.
- Resource adequacy processes must ensure confidence in Resource Adequacy outcomes in all time horizons
- MISO will work with stakeholders to ensure an effective and efficient Resource Adequacy construct with appropriate consideration of all eligible internal and external resources and resource types and recognition of legal/regulatory authorities and responsibilities
- MISO will determine adequacy at the regional and zonal level and provide appropriate regional and zonal Resource Adequacy transparency and awareness for multiple forward time horizons
- MISO will administer and evolve processes in a manner that provides transparency and reasonable certainty, appropriately protects individual market participant proprietary information in order to support efficient stakeholder resource and transmission investment decisions
- MISO’s resource planning auction and other processes will support multiple methods of achieving and demonstrating Resource Adequacy, including self-supply, bilateral contracting and market-based acquisition.
To date, the Resource Adequacy Requirements process has been a successful tool for facilitating and demonstrating Resource Adequacy in the near term, through such tools as the Loss of Load Expectation (LOLE) analysis, the Planning Resource Auction (PRA), and the Organization of MISO States (OMS)-MISO Survey. With the resource portfolio now evolving due to coal retirements and the increase in gas-fired generation, MISO is evaluating the Resource Adequacy Requirements.
This work has begun in Resource Adequacy forums and will focus upon key areas to strengthen the Resource Adequacy framework; including defining seasonal risks; ensuring locational signals are clear and appropriate; and refining generator interconnection procedures to ensure new capacity can efficiently interconnect to the system.
More information is detailed within the Issues Statement on Facilitating Resource Adequacy in the MISO Region.