FERC on Thursday denied a complaint by the Independent Power Producers of New York seeking to bar NYISO from allowing PJM resources to sell installed capacity into the ISO’s Zone J using unforced capacity deliverability rights facilities (EL18-189).

The ruling ended a year and a half of back-and-forth filings among IPPNY and intervenors. IPPNY contested the rights of several PJM-controlled merchant transmission facilities (MTFs) in New Jersey to export power to Manhattan and Staten Island, alleging that New York’s use of PJM capacity withdrawals threatened system reliability.

NYISO argued that IPPNY incorrectly assumed that transactions across Zone J MTFs would be subject to curtailment on the same basis as non-firm service within PJM. (See NYISO Business Issues Committee Briefs: Sept. 12, 2018.)

The commission concluded that NYISO’s Tariff does not require that MTFs, as external capacity suppliers, have firm transmission withdrawal rights in the external control area to qualify to supply capacity to NYISO.

“Rather, the Services Tariff requires only that the external capacity supplier show to NYISO’s ‘satisfaction’ that its capacity is deliverable to NYISO and ‘will not be recalled or curtailed,’” the commission said.