EIM Governing Body OKs Plan To Provide Direct Role For Utilities In Real-Time Market

September 11, 2021

by Paul Ciampoli
APPA News Director
September 11, 2021

The Western Energy Imbalance Market (EIM) Governing Body on Sept. 8 unanimously approved the creation of a new category that will allow the California Independent System Operator (CAISO) to work with multiple scheduling coordinators within a single EIM entity balancing authority area (BAA) to schedule and settle non-participating loads and resources.

Under current Western EIM rules, only the participating EIM entity can directly settle load imbalance energy with CAISO. The proposed new “EIM sub-entity” category will permit CAISO to work directly with eligible utilities within the EIM entity’s balancing authority area.

Settlements are the financial outcomes of market activities that result in payments or charges to scheduling coordinators.

In addition, the Western EIM Governing Body unanimously recommended changes to the corporate bylaws, EIM governance charter, and the guidance document to reflect the recently adopted shared-governance framework.

The Western EIM Governing Body also suggested the CAISO Board of Governors consider adding text to the governance documents that clarifies the role of the two bodies when creating an advisory committee that will consider joint authority and/or governance matters.

If the board agrees the language is necessary, the ISO will be required to complete a stakeholder review process to develop a proposal for the Board to review.

The Board of Governors will consider the recommended changes to the governance documents at its meeting on Sept. 22.

Operated by CAISO, the Western EIM footprint currently includes portions of Arizona, California, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming, and extends to the border with Canada.

By 2023, 21 active Western EIM participants will represent over 78% of the load within the Western Electricity Coordinating Council.

A number of public power utilities earlier this year began participating in the EIM. The Turlock Irrigation District (TID) and the Balancing Area of Northern California (BANC) Phase 2, comprised of the Modesto Irrigation District (MID), the City of Redding, the City of Roseville, and the Western Area Power Administration (WAPA) Sierra Nevada Region, began participating in the West’s first real-time energy market on March 25.

Meanwhile, the Bonneville Power Administration is evaluating whether to join the EIM, with a planned go-live date of March 2, 2022.

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