1. Unscheduled Flow Administrative Subcommittee ISAS Report
Pete Heiman
April 20, 2016
Western Electricity Coordinating Council

2. Western Electricity Coordinating Council
Lifting 1995 Caps
On March 11, 2016 FERC accepted the amended Plan and agreed with the effective date of January 1, 2016 for calculation of Qualified Device compensation with the Caps removed.
Western Electricity Coordinating Council

3. Western Electricity Coordinating Council
Lifting 1995 Caps
The FERC acceptance document for Docket ER and ER can be found at the following link:
Western Electricity Coordinating Council

4. New Cost Allocation Methodology
As requested by the OC at the October meeting, USFTF and UFAS explored additional options regarding the cost allocation methodology.
Western Electricity Coordinating Council

5. New Cost Allocation Methodology
UFAS believes that the latest proposal to use a Balancing Authority’s absolute value of their Net Actual Interchange (NAI) continues to be the best solution for the following reasons:
Western Electricity Coordinating Council

6. New Cost Allocation Methodology
Net Actual Interchange data excludes generation used to serve native load
Net Actual Interchange captures dynamic and pseudo-tied resources for each BA
The new method uses the same year for COPS costs and NAI data, greatly simplifying the calculations
This method maintains the correlation between COPS use and Interchange
Western Electricity Coordinating Council

7. New Cost Allocation Methodology
Using 2014 data:
The total amount of NAI (in MW) utilizing absolute hourly values is 277,667,320
The top 12 BAs carry 80% of the costs
The average cost per MW would be 1.5 cents
Western Electricity Coordinating Council

8. New Cost Allocation Methodology
The data for this latest proposal is available on the WECC website under the Unscheduled Flow Administrative Subcommittee by selecting the Supporting Documents link.
Western Electricity Coordinating Council

9. New Cost Allocation Methodology
The current Methodology applies to all WECC Class 1-4 members.
Entities required to furnish data/assessed dues include:
Balancing Authority
Load-Serving Entity
Purchasing-Selling Entity
Transmission Operator
Transmission Service Provider
Currently all WECC Class 1-4 members are required to report the requested data
Class 1 – Large Transmission Owners
Class 2 – Small Transmission Owners
Class 3 – Transmission Dependent Energy Service Providers
Class 4 – End Users
Western Electricity Coordinating Council

10. New Cost Allocation Methodology
The new Methodology would be assessed to the 38 Balancing Authorities only.
Because of this, a direct comparison between the current methodology and the proposed is not possible.
Looking at using data from only the hours of COPS operation but crunching the numbers to get to this refined number is proving challenging.
When/if we get these numbers a comparison will be made to see if the complexity it adds to the calculation offsets the accuracy appreciably to warrant the effort.
Western Electricity Coordinating Council

11. New Cost Allocation Methodology
Following is an example of how the dues would be determined under this proposal.
Western Electricity Coordinating Council

12. New Cost Allocation Methodology
Western Electricity Coordinating Council

13. New Cost Allocation Methodology
Western Electricity Coordinating Council

14. New Cost Allocation Methodology
UFAS will host an information session to discuss the proposed Methodology and allow an opportunity to review the latest data on May 16, 2016 at WECC.
Again, UFAS believes this is the fairest proposal thus far presented after years of exploration and would appreciate its serious consideration by the committee members.
Western Electricity Coordinating Council

15. New Cost Allocation Methodology
Questions?
Western Electricity Coordinating Council

16. Path and Device Updates
WECC OC approved UFAS deletion of Path 22 (Southwest of Four Corners) and Path 23 (Four Corners 345/500) as Qualified Transfer Paths on March 22, 2016.
Both Paths have been removed from the WebSAS model and cost allocations have been updated.
Western Electricity Coordinating Council

17. Western Electricity Coordinating Council
UFAS ISAS Report
Questions?
Western Electricity Coordinating Council