SPP Markets+: Maximizing the Value of Generation Assets

September 26-27, 2024 | Tempe, AZ or remote

If you are unable to attend at the scheduled date and time, we make recordings available to all registrants for seven days after the event

“In addition to excellent training and provoking new thoughts and ideas, the networking opportunities are great.” Settlements Manager, Tri-State Generation & Transmission

“The speakers teach in a way that breaks down complex concepts into easy-to-understand, real examples.” Plants General Manager, Colorado Springs Utilities

SPP is the first RTO in the US to operate two separate markets – a full RTO market (89 GW) in the Eastern Interconnection called SPP Integrated Marketplace (SPP IM) that was launched in 2014, and a real-time energy-imbalance market (13 GW) called Western Energy Imbalance Service (WEIS) that was launched in 2021 in the Western Interconnection. SPP is currently working with participants in the West to form two additional markets – a full RTO West market called SPP RTO West in addition to a day-ahead and real-time market called SPP Markets+, which will be launched in 2027.

This course covers the new SPP Markets+ and how participants in the West can maximize the value of their assets (resources, loads, bilateral contracts) in SPP Markets+. It will be an excellent workshop for utilities and other market participants weighing whether to join the new SPP Markets+ and those who have already determined to join.

The EUCI course helps Western participants maximize asset value in the new SPP Markets+. Ideal for utilities and market participants deciding or committed to joining.

Key Learning Outcomes

Migration Preparation:
- Prepare for migration from WEIS to SPP RTO West or Markets+.
- Optimize resources for day-ahead (DA) and real-time (RT) markets.
Bidding Strategies:
- Develop effective DA and RT bidding for renewables (wind, solar).
- Optimize Energy Storage Resources (ESR) in SPP Markets+.
Settlement and Profitability:
- Assess key settlement charges and make-whole payments.
- Compute profit and loss metrics to improve bidding strategies.
Operational Efficiency:
- Minimize load-serving costs.
- Identify and correct operational problems using real-time feedback.

Front office, back office and settlement staff SPP EIS and interested SPP Markets+ participants will want to register early for this EUCI training in the Phoenix area, as in-person space is limited.

Learning Outcomes

Attendees at this course will:

Evaluate how current SPP participants in the West should prepare to migrate from WEIS to RTO West or Markets+
Assess whether their resources are properly optimized in the new day-ahead and real-time markets of SPP Markets+
Identify a sound DA & RT bidding strategy for renewable resources (Wind & Solar) in SPP Markets+
Examine how to optimize Energy Storage Resources (ESR) in SPP Markets+
Review key settlement charges for assets (Resources, Loads, Bilateral Transactions, and Virtual Transactions) offered in SPP Markets+
Define the rules SPP will use to compute DA and RUC make-whole payments for resources and allocate charges to participants who cause deviations between DA and RT markets
Illustrate what method to use to estimate SPP settlement charges to support month-end closing
Evaluate settlement results to compute profit & loss metrics and provide feedback to traders on bidding strategies
Recognize how to use profit & loss metrics for operational feedback and what real-time desk procedures are needed to identify and correct operational problems
Determine what IT infrastructure should be built to automate the bid-to-bill process

Agenda

THURSDAY, SEPTEMBER 26, 2024

9:00 a.m. – 5:00 p.m. Pacific Time

8:30 – 9:00 a.m. :: Overview & Introductions

9:00 – 10:30 a.m. :: Overview on Market Operations in SPP Markets+

Current SPP Markets (Integrated Marketplace, WEIS)
New SPP market initiatives for the west (RTO West, Markets+)
What are key differences between SPP RTO West and SPP Markets+?
SPP timeline for implementing Markets+
Potential benefits of SPP Markets+ for power organizations operating in the west
Understanding SPP full network model and commercial model
Reviewing DA and RT bidding workflow for SPP Markets+ participants
Will SPP Markets+ support virtual bids and offers?
Understanding DA & RT congestion costs
How do participants hedge against congestion costs in SPP Markets+?
Bid-to-Bill timeline and challenges
Using WRAP to insure resource adequacy

10:30 – 10:45 a.m. :: Morning Break

10:45 a.m. – 12:15 p.m. :: Uses of Nodal Locational Marginal Prices in Bidding & Settlement

Using full network model to compute nodal locational marginal prices
How are LMPs computed?
Understanding three components of LMPs
- Energy
- Loss
- Congestion
Understanding impacts of flowgates on congestion
Why do we have negative LMPs in SPP Market?
What is the impact of negative LMPs on units and loads?
Explaining LMP Signatures
Can you forecast DA & RT LMPs?

12:15 – 1:00 p.m. :: Lunch Break

1:00 – 2:45 p.m. :: Bid-to-Bill Workflow for Generating Resources

Understanding 3-part energy offers for resources
Should resources be offered as must run or economic in DA Market?
Examples illustrating DA and RT settlement for resources
Market principles behind make-whole payments and charges
Computing DA make-whole payments for resources
Who will pay DA & RUC make-whole charges?
Computing SPP RUC penalties for resources that deviate from their DA schedule or do not follow SPP 5-min dispatch Instructions
How are ancillary-service requirements modelled in SPP Markets+?
Operating renewable resources (wind & solar) in SPP Markets+
Optimizing energy storage resources in SPP Markets+

2:45 – 3:00 p.m. :: Afternoon Break

3:00 – 5:00 p.m. :: Using Profit & Loss Metrics to Provide Feedback to Front-Office and Plant Personnel

Using settlement results to compute DA and DART profits & losses (P&L) for resources offered in SPP Markets+
Key factors influencing profits & losses
Computing P&L gains and leakages for resources
Using profit & loss metrics to provide feedback to traders on effectiveness of day-ahead and real-time bidding strategies
Using P&L results to provide feedback to plant managers on thermal plant performance
Using P&L results to provide feedback on VER (solar & wind) performance

5:00 p.m. :: Course Adjourns for Day

FRIDAY, SEPTEMBER 26, 2024

9:00 a.m. – 4:00 p.m. Pacific Time

8:30 – 10:15 a.m. :: Bid-to-Bill Workflow for Loads & Transactions

Validating load meter data
Computing DA & RT charges and credits for loads
When do loads have to pay DA & RUC make-whole charges?
What are the key components in revenue-neutrality charge?
Does SPP Markets+ support financial and physical bilateral transactions?
Using virtual transactions for hedging and speculative purposes
Can you make money with virtual transactions?
Understanding loss rebates
What can you do to minimize your total costs for serving loads in SPP Markets+?

10:15 – 10:30 a.m. :: Morning Break

10:30 a.m. – 12:00 p.m. :: Running Shadow Settlement to Validate SPP Invoices

Understanding SPP settlement statement and invoice timeline
What will be the new SPP charge codes in SPP Markets+?
Validating meter data for resources and loads
Pros and cons of submitting hourly vs. 5-minute meter data for resources
Why perform shadow settlement?

12:00 – 12:45 p.m. :: Lunch Break

12:45 – 2:30 p.m. :: Running Shadow Settlement to Validate SPP Invoices (Continued)

What data is needed to validate SPP settlement statements and invoices in SPP Markets+?
Reviewing key settlement workflows
What will be the most common causes for settlement disputes?
Which back-up information do you need to submit to SPP to support disputes?

2:30 – 2:45 p.m. :: Afternoon Break

2:45 – 4:00 p.m. :: Implementation Challenges for SPP Markets+

How will balancing authorities (BA) revise their OATT to participate in SPP Markets+?
Who will update flowgate limits in SPP Markets – SPP or BAs?
How will SPP handle GHG constraints?
How will SPP work with CAISO to address seams constraints?
How will SPP use WRAP to insure resource adequacy?

Round-Table Discussion

4:00 p.m. :: Course Adjournment