One of the RTOs Does Not Have Sufficient Redispatch Sample Clauses

One of the RTOs Does Not Have Sufficient Redispatch. Under the normal M2M coordination process, sufficient redispatch for a M2M Flowgate may be available in one RTO but not the other. When this condition occurs, in order to ensure an operationally efficient dispatch solution is achieved, the RTO without sufficient redispatch will redispatch all effective generation to control the M2M Flowgate to a “relaxed” Shadow Price limit. Then this RTO calculates the Shadow Price for the M2M Flowgate using the available redispatch which is limited by the maximum physical control action inside the RTO. Because the magnitude of the Shadow Price in this RTO cannot reach that of the other RTO with sufficient redispatch, unless further action is taken, there will be a divergence in Shadow Prices and the LMPs at the RTO border. Subject to Section 10.1.2 below, a special process is designed to enhance the price convergence under this condition. If the Non‑Monitoring RTO cannot provide sufficient relief to reach the Shadow Price of the Monitoring RTO, the constraint relaxation logic will be deactivated. The Non-Monitoring RTO will then be able to use the Monitoring RTO’s Shadow Price without limiting the Shadow Price to the maximum Shadow Price associated with a physical control action inside the Non-Monitoring RTO. With the M2M Flowgate Shadow Prices being the same in both RTOs, their resulting bus LMPs will converge in a consistent price profile.
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