Common use of Market Flow Determination Clause in Contracts

Market Flow Determination. The determination of Market Flows builds on the “Per Generator” methodologies that were developed by the NERC Parallel Flow Task Force. The “Per Generator Method Without Counter Flow” was presented to and approved by both the NERC Security Coordinator Subcommittee (SCS) and the Market Interface Committee (MIC). 1 This methodology is presently used in the IDC to determine NNL contributions. Similar to the Per Generator Method, the Market Flow calculation method is based on Generator Shift Factors (GSFs) of a market area’s assigned generation and the Load Shift Factors (LSFs) of its load on a specific Flowgate, relative to a system swing bus. The GSFs are calculated from a single bus location in the base case (e.g. the terminal bus of each generator) while the LSFs are defined as a general scaling of the market area’s load. The Generator to Load Distribution Factor (GLDF) is determined through superposition by subtracting the LSF from the GSF. The determination of the Market Flow contribution of a unit to a specific Flowgate is the product of the generator’s GLDF multiplied by the actual output (in megawatts) of that generator. The total Market Flow on a specific Flowgate is calculated in each direction; forward Market Flows is the sum of the positive Market Flow contributions of each generator within the market area, while reverse Market Flow is the sum of the negative Market Flow contributions of each generator within the market area. For purposes of the Market Flow determination, the market area may be the entire RTO footprint, as in the following illustration, or it may be a subset of the RTO region, such as a pre- integration NERC-recognized Control Area, as necessary to ensure accurate determinations and consistency with pre-integration flow determinations. In the latter case, the total market flow of an RTO shall be the sum of the flows from and between such market areas.

Market Flow Determination. ‌ The determination of Market Flows builds on the “Per Generator” methodologies that were developed by the NERC Parallel Flow Task Force. The “Per Generator Method Without Counter Flow” was presented to and approved by both the NERC Security Coordinator Subcommittee (SCS) and the Market Interface Committee (MIC). 1 This methodology is presently used in the IDC to determine NNL contributions. Similar to the Per Generator Method, the Market Flow calculation method is based on Generator Shift Factors (GSFs) of a market area’s assigned generation and the Load Shift Factors (LSFs) of its load on a specific Flowgate, relative to a system swing bus. The GSFs are calculated from a single bus location in the base case (e.g. the terminal bus of each generator) while the LSFs are defined as a general scaling of the market area’s load. The Generator to Load Distribution Factor (GLDF) is determined through superposition by subtracting the LSF from the GSF. The determination of the Market Flow contribution of a unit to a specific Flowgate is the product of the generator’s GLDF multiplied by the actual output (in megawatts) of that generator. The total Market Flow on a specific Flowgate is calculated in each direction; forward Market Flows is the sum of the positive Market Flow contributions of each generator within the market area, while reverse Market Flow is the sum of the negative Market Flow contributions of each generator within the market area. For purposes of the Market Flow determination, the market area may be the entire RTO footprint, as in the following illustration, or it may be a subset of the RTO region, such as a pre- integration NERC-recognized Control Area, as necessary to ensure accurate determinations and consistency with pre-integration flow determinations. In the latter case, the total market flow of an RTO shall be the sum of the flows from and between such market areas.

Market Flow Determination. The determination of Market Flows builds on the “Per Generator” methodologies that were developed by the NERC Parallel Flow Task Force. The “Per Generator Method Without Counter Flow” was presented to and approved by both the NERC Security Coordinator Subcommittee (SCS) and the Market Interface Committee (MIC). 1 This methodology is presently used in the IDC to determine NNL contributions. Similar to the Per Generator Method, the Market Flow calculation method is based on Generator Shift Factors (GSFs) of a market area’s assigned generation and the Load Shift Factors (LSFs) of its load on a specific Flowgate, relative to a system swing bus. The GSFs are calculated from a single bus location in the base case (e.g. the terminal bus of each generator) while the LSFs are defined as a general scaling of the market area’s load. The Generator to Load Distribution Factor (GLDF) is determined through superposition by subtracting the LSF from the GSF. The determination of the Market Flow contribution of a unit to a specific Flowgate is the product of the generator’s GLDF multiplied by the actual output (in megawatts) of that generator. The total Market Flow on a specific Flowgate is calculated in each direction; forward Market Flows is the sum of the positive Market Flow contributions of each generator within the market area, while reverse Market Flow is the sum of the negative Market Flow contributions of each generator within the market area. For purposes of the Market Flow determination, the market area may be either: (1) the entire RTO footprint, as in the following illustration, ; or it may be (2) a subset of the RTO region, such as a pre- integration NERC-recognized Control Area, as necessary to ensure accurate determinations and consistency with pre-integration flow determinations. In Each Market-Based Operating Entity shall choose only one of these two options to calculate its Market Flows. With regard to the latter casesecond option, the total market flow Market Flow of an RTO shall be the sum of the flows from and between such market areas.