5.1 Control Area Services

The ISO will provide Control Area Services in accordance with the standards and criteria of NERC and NPCC, the Reliability Rules of the NYSRC, and Good Utility Practice.  The Control Area Services provided by the ISO include, but are not limited to, the following:

(a)Developing and implementing procedures to maintain the reliability of NYS Power System;

(b)Coordinating operations with other Control Area operators;

(c)Arranging for reserve sharing agreements with other ISOs and other Control Areas to enhance reliability during abnormal operating conditions;

(d)Coordinating the outage schedules for generating units within the NYCA to maintain system reliability;

(e)Committing adequate generation resources to ensure the reliability of the NYS Power System;

(f)Taking command and control of the NYCA resources during Emergency conditions and coordinating operations with Transmission Owners;

(g)Maintaining and Operating a central control center and performing the functions of the NERC security control center for the NYCA under Emergency operating conditions;

(h)Defining the Installed Capacity requirements for LSEs, inclusive of individual customers taking services directly from the ISO, within the NYCA;

(i)Determining Locational Installed Capacity requirements for LSEs to ensure the reliable operation of the NYCA;

(j)Administering of an Installed Capacity Market;

(k)Training the operating personnel of the ISO and Transmission Owner control rooms; and

(l)Administering the mandatory NERC reliability compliance process.

5.1.1Customer Compliance with Reliability Standards; Penalties

5.1.1.1Customer Compliance with Reliability Standards: 

In accordance with applicable requirements in this Tariff and the ISO Procedures, all Customers shall conform to all applicable reliability criteria, policies, standards, rules, regulations and other requirements of NERC, NPCC, NYSRC, any applicable regional council, or their successors, the ISO’s specific reliability requirements and ISO Procedures, and applicable operating guidelines and all applicable requirements of federal and state regulatory authorities.  Failure to conform to these requirements may subject a Customer to direct assignment of penalties assessed against the ISO by FERC, NERC, NPCC or any other federal or state regulatory authority as a result of such Customer’s failure to conform.

5.1.1.2Direct Assignment of Penalty Costs:

The ISO’s compliance with applicable reliability criteria, policies, standards, rules, regulations and other requirements is sometimes dependent on timely, accurate and adequate information and/or action on the part of a Customer.  If the ISO is found to be non-compliant with respect to any applicable reliability criteria, policies, standards, rules, regulations and other requirements as a result of a Customer’s actions or failure to act in violation of an obligation imposed by the ISO Tariffs, ISO Procedures, or ISO Related Agreements, the ISO may seek to directly assign to the Customer the cost of a penalty imposed on the ISO as a consequence of its non-compliance.  If the Customer is found to be non-compliant with respect to any applicable reliability criteria, policies, standards, rules, regulations and other requirements as a result of the ISO’s actions or failure to act in violation of an obligation imposed by the ISO Tariffs, ISO Procedures, or ISO Related Agreements, the Customer may seek to directly assign to the ISO the cost of a penalty imposed on the Customer as a consequence of the ISO’s non-compliance.  Any direct assignment of penalty costs must first be approved by FERC, as provided in Schedule 6.11 of the OATT.

5.1.1.3ISO’s Recovery of Penalty Costs Through Schedule 11:

If direct assignment to a particular Customer is not possible or if the ISO is directly responsible for a violation because of its own action or inaction, the ISO may seek to recover such penalty costs in Schedule 6.11 Section 6.11.3 of the ISO OATT.  Any inclusion of penalty costs in Schedule 6.11 must first be approved by FERC on a case-by-case basis, as provided in Schedule 6.11 of the ISO OATT.  Prior to seeking FERC authorization for recovery of a penalty in Schedule 6.11 Section 6.11.3 of the ISO OATT, the ISO shall consult with the Management Committee and any appropriate subcommittee or working groups designated by the Management Committee, regarding the recovery and allocation of such penalty before filing at FERC.  Any recommendation by the Management Committee regarding a proposed penalty recovery shall be reported by the ISO to FERC in any ISO filing seeking penalty recovery.

5.1.2Incorporation of Certain Business Practice Standards

(a)Pursuant to Commission Order Nos. 676-EH and 676-G, the ISO incorporates by reference the following business practice standards developed by the North American Energy Standards Board’s Wholesale Electric Quadrant:.

WEQ-000, Abbreviations, Acronyms, and Definition of Terms, WEQ Version 003, July 31, 2012, as modified by NAESB final actions ratified on Oct. 4, 2012, Nov. 28, 2012 and Dec. 28, 2012 (with minor corrections applied Nov. 26, 2013);

WEQ-001, Open Access Same-Time Information Systems (OASIS), OASIS Version 2.0 1.5,WEQ Version 003, July 31, 2012 as modified by NAESB final actions ratified on Dec. 28, 2012 (WEQ-001, Version 002.1, March 11, 2009, with minor corrections applied November 26, 2013) May 29, 2009 and September 8, 2009) excluding Standards WEQ-001-9.5, WEQ-001-10.5, WEQ-001-14.1.3, WEQ-001-15.1.2 and WEQ-001-106.2.5, except as provided below;

WEQ-004, Coordinate Interchange, WEQ Version 003, July 31, 2012 (with Final Action ratified on December 28, 2012) (WEQ-004, Version 002.1, March 11, 2009, with minor corrections applied May 29, 2009 and September 8, 2009), except as provided below;

WEQ-005, Area Control Error (ACE) Equation Special Cases Standards, (WEQ-005, Version 0032.1, July 31, 2012 March 11, 2009, with minor corrections applied May 29, 2009 and September 8, 2009)

WEQ-006, Manual Time Error Correction, (WEQ -006, Version 0031, July 31, 2012 Oct. 31, 2007, with minor corrections applied on Nov. 16, 2007);

WEQ-007, Inadvertent Interchange Payback, (WEQ -007, Version 003, July 31, 20122.1, March 11, 2009, with minor corrections applied May 29, 2009 and September 8, 2009);

WEQ-008, Transmission Loading Relief - Eastern Interconnection, (WEQ -008, Version 0032.1, March 11, 2009, July 31, 2012 (with minor corrections applied May 29, 2009 and September 8, 2009November 28, 2012);

WEQ-011, Gas/Electric Coordination, (WEQ -011, Version 0032.1, March 11, 2009, July 31, 2012; with minor corrections applied May 29, 2009 and September 8, 2009);

WEQ-012, Public Key Infrastructure (PKI), (WEQ -012, Version 0032.1, July 31, 2012, (as modified by NAESB final actions ratified on Oct. 4, 2012), except as provided below March 11, 2009, with minor corrections applied May 29, 2009 and September 8, 2009) (NYISO compliance to begin May 15, 2017, pursuant to New York Independent System Operator, Inc., FERC Docket No. ER15-550-000, Notice Granting Extension (April 15, 2015);

WEQ-015, Measurement and Verification of Wholesale Electricity Demand Response, WEQ Version 003, July 31, 2012 (with minor corrections applied November 26, 2013 (WEQ-015, 2010 Annual Plan Items 4(a) and 4(b), March 21, 2011); and

WEQ-021, Measurement and Verification of Energy Efficiency Products, WEQ Version 003, July 31, 2012 Wholesale Electricity Efficiency (WEQ-021 2010 Annual Plan Item 4(d), July 16, 2012).

(b)The ISO is not required to comply with the following Standards:

WEQ-001, Open Access Same-Time Information Systems (OASIS), OASIS Version 2.0, WEQ Version 003, July 31, 20121.5 (WEQ-001, Version 002.1, March 11, 2009, with minor corrections applied November 26, 2013on May 29, 2009 and September 8, 2009): Standards 001-2,001-3, 001-4,  001-5, 001-6, 001-7, 001-8, 001-9, 001-10, 001-011, 001-012, 001-13.1.2, 001-13.1.3(b) and (c), 001-014, 001-015, 001-016, 001-017, 001-018, 001-019, 001-020, 001-021, 001-022, 001-23, 001-101 through 001-107.3.1, 001-Appendix A, 001-Appendix B, and 001-Appendix D, pursuant to New York Independent System Operator, Inc., 151 FERC ¶ 61,157 (May 19, 2015)et seq. through 001-12, et seq., 001-13.1.2 et seq., 001-13.1.3(b), 001-13.1.3(c); 001-14.2.1, et seq., 001-15.2.1, et seq., 001-17.5.1 through 001-22, et seq. and Appendices 001-A, 001-B, and 001-D;

WEQ-002, Open Access Same-Time Information Systems (OASIS) Business Practice Standards & Communication Protocols (S&CP), OASIS Version 2.0, WEQ Version 003, July 31, 2012, as modified by NAESB final actions ratified on Nov. 28, 2012 and Dec. 28, 20121.5 (WEQ-002, Version 002.1, March 11, 2009 with minor corrections applied November 26, 2013May 29, 2009 and September 8, 2009), pursuant to New York Independent System Operator, Inc., 151 FERC ¶ 61,157 (May 19, 2015):; Standard 002, et. seq.

WEQ-003, Open Access Same-Time Information Systems (OASIS) Data Dictionary Business Practice Standards, OASIS Version 1.52.0, (WEQ Version -003, July 31, 2012, as modified by NAESB final actions ratified on Nov. 28, 2012 and Dec. 28, 2012 Version 002.1, March 11, 2009,Version 002.1, March 11, 2009, (with minor corrections applied November 26, 2013May 29, 2009 and September 8, 2009), pursuant to New York Independent System Operator, Inc., 151 FERC ¶ 61,157 (May 19, 2015);

WEQ-004, Coordinate Interchange, (WEQ Version 003, July 31, 2012 (with Final Action ratified on December 28, 2012), -004, Version 002.1, March 11, 2009, (with minor corrections applied May 29, 2009 and September 8, 2008): WEQ-004, Standards 004-3, 004-18, and Appendices 004-Appendix A and 004-Appendix C, pursuant to New York Independent System Operator, Inc., 151 FERC ¶ 61,157 (May 19, 2015) Standards 004-3, 004-3.1, 004-8.2, 004-11.1(a), 004-18, et seq., and Appendices 004-A and 004-C, to the extent they govern physical transmission reservations; and

WEQ-013, Open Access Same-Time Information Systems (OASIS) Implementation Guide, OASIS Version 2.0, 1.5 (WEQ-013, Version 0032.1, July 31, 2012, as modified by NAESB final actions ratified on Dec. 28, 2012 March 11, 2009, (with minor corrections applied November 26, 2013 May 29, 2009 and September 8, 2009), pursuant to New York Independent System Operator, Inc., 151 FERC ¶ 61,157 (May 19, 2015).: Standard 013, et. seq..