FERC Partly OKs NYISO Mitigation Language
FERC partly accepted NYISO’s compliance filing on buyer-side market power mitigation rules, denying a waiver and rejecting the ISO’s arguments on Tariff language.

FERC last week partly accepted NYISO’s March 12 compliance filing on buyer-side market power mitigation (BSM) rules, denying a waiver as unnecessary and rejecting the ISO’s arguments on Tariff language.

The commission ordered the ISO to submit a compliance filing within 45 days of the May 12 order on the rules for special-case resources (SCRs), a type of demand response resource (EL16-92-002, ER17-996). (See FERC Narrows NYISO Mitigation Exemptions.)

The commission in February narrowed the resources exempt from NYISO’s BSM rules in southeastern New York, ordering the ISO to subject storage and demand response to a minimum offer floor in its capacity market.

NYISO Mitigation Language
FERC ruled in February that new special-case resources in southeastern New York are subject to NYISO’s buyer-side mitigation rules. | NYISO

On April 1, NYISO’s Market Monitoring Unit and the Independent Power Producers of New York (IPPNY) filed protests. The MMU asserted that the “State Program Language” exempting certain resources administered under New York programs should not be considered part of the currently effective Services Tariff, while IPPNY contended that the commission “fully addressed and expressly rejected” said language in a March 2015 order and reaffirmed that decision in its February order.

“Despite NYISO’s claims to the contrary, the commission never accepted, and indeed expressly rejected, the State Program Language at issue,” FERC said.

NYISO also requested in its filing a conditional waiver to authorize the ISO’s past implementation of the February 2017 order from the period between that order — which established a blanket exemption for SCRs — and the February order that in part granted rehearing of the 2017 order.

“That waiver is unnecessary because in the February 2017 order, the commission directed NYISO to exempt SCRs from NYISO’s buyer-side market power mitigation rules effective as of the date of that order,” the commission ruled.

Demand ResponseEnergy EfficiencyEnergy MarketNYISO

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