It seems little connected to SPP’s Z2 process goes off without a hitch these days.
A mismatch between posted Z2 reports and invoices sent this month forced the RTO to email members Nov. 17 to “dispel any confusion that may have resulted.”
The invoices included Z2 billing amounts for the historical period (March 2008-August 2016) and September 2017. However, they did not include the interim months (September 2016-August 2017) “due to administrative issues,” SPP said. The RTO did not explain the problem.
SPP said it would ask FERC to waive its one-year resettlement window to permit including the September 2016 Z2 amounts on a future invoice. Z2 amounts for October 2016 and resettlements for November 2016-July 2017 will be included on the invoice sent in December.
Attachment Z2 of SPP’s Tariff assigns financial credits and obligations for sponsored transmission upgrades.
SPP this September completed a resettlement of the revenue crediting amounts under Attachment Z2 for the March 2008-August 2016 historical period, a move made necessary because of corrections and true-ups to the data that were identified before the first settlement of the charges. (See “More Z2 Woes; SPP to Resettle 9 Years of Data,” SPP Markets and Operations Policy Committee Briefs: July 11-12, 2017.)
In September 2016, the RTO identified about $200 million in revenue credits to be collected for transmission upgrades under Z2. The bills covered eight years of credits and obligations for 2008-2016 when staff failed to apply credits, complicating the task of trying to accurately compensate project sponsors and claw back money from members with debts for the upgrades. (See Preliminary Z2 Bills Released; Task Force Develops Options for Waiver Requests.)
— Tom Kleckner
