NYISO Tariffs --> Open Access Transmission Tariff (OATT) --> 31 OATT Attachment Y - New York ISO Comprehensive System Pla --> 31.2 OATT Att Y Reliability Planning Process
Each Transmission Owner will post on its website the planning criteria and assumptions currently used in its LTPP as well as a list of any applicable software and/or analytical tools currently used in the LTPP. Customers, Market Participants and other interested parties may review and comment on the planning criteria and assumptions used by each Transmission Owner, as well as other data and models used by each Transmission Owner in its LTPP. The Transmission Owners will take into consideration any comments received. Any planning criteria or assumptions for a Transmission Owner’s BPTFs will meet or exceed any applicable NERC, NPCC or NYSRC criteria. The LTPP shall include a description of the needs addressed by the LTPP as well as the assumptions, applicable planning criteria and methodology utilized. A link to each Transmission Owner’s website will be posted on the NYISOISO website.
31.2.1.2.1Each Transmission Owner, in accordance with a schedule set forth in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures, will post its current LTP on its website for review and comment by interested parties sufficiently in advance of the time for submission to the NYISOISO for input to its RNA so as to allow adequate time for stakeholder review and comment. Each LTP will include:
31.2.1.2.2To the extent the current LTP utilizes data or inputs, related to the NYISO’sISO’s planning process, not already reported by the NYISOISO in Form 715 and referenced on its website, any such data will be provided to the NYISOISO at the time each Transmission Owner posts criteria and planning assumptions in accordance with Section 31..2.1.1 and will be posted by the NYISOISO on its website subject to any confidentiality or Critical Energy Infrastructure Information restrictions or requirements.
31.2.1.2.3Each planning cycle, the NYISOISO shall hold one or more stakeholder meetings of the ESPWG and TPAS at which each Transmission Owner’s current LTP will be discussed. Such meetings will be held either at the Transmission Owner’s Transmission District, or at a NYISOan ISO location. The NYISOISO shall post notice of the meeting and shall disclose the agenda and any other material distributed prior to the meeting.
31.2.1.2.4Interested parties may submit written comments to a Transmission Owner with respect to its current LTP within thirty days after the meeting. Each Transmission Owner shall list on its website, as part of its LTP, the person and/or location to which comments should be sent by interested parties. All comments will be posted on the NYISOISO website. Each Transmission Owner will consider comments received in developing any modifications to its LTP. Any such modification will be explained in its current LTP posted on its website pursuant to Section 31.2.1.2.2 above and discussed at the next meeting held pursuant to Section 31.2.1.2.3 above.
31.2.1.2.5Each planning cycle, each Transmission Owner will submit the finalized portions of its current LTP to the NYISOISO as contemplated in Section 31.2.2.4.2 below for timely inclusion in the RNA.
Disputes related to the LTPP are subject to the LTP Dispute Resolution Process (“DRP”).DRP. The objective of the DRP is to assist parties having disputes in communicating effectively and resolving disputes as expeditiously as possible. Within fifteen (15) calendar days of the presentation by a Transmission Owner of its LTP to the ESPWG and TPAS, a party with a dispute shall notify in writing the Transmission Owner (“Affected TO”),, the NYISOISO, the ESPWG and TPAS of its intention to utilize the DRP. The notice shall identify the specific issue in dispute and describe in sufficient detail the nature of the dispute.
The issue raised by a party with a dispute shall be reviewed and discussed at a joint meeting of the ESPWG and the TPAS in an effort to resolve the dispute. The party with a dispute and the Affected TO shall have an opportunity to present information concerning the issue in dispute to the ESPWG and the TPAS.
To the extent the ESPWG and the TPAS are unable to resolve the dispute, the dispute will be subject to good faith informal discussions between the party with a dispute and the Affected TO. Each of those parties will designate a senior representative authorized to enter into informal discussions and to resolve the dispute. The parties to the dispute shall make a good faith effort to resolve the dispute through informal discussions as promptly as practicable.
In the event that the parties to the dispute are unable to resolve the dispute through informal discussions within sixty (60) days, or such other period as the parties may agree upon, the parties may, by mutual agreement, submit the dispute to mediation or any other form of alternative dispute resolution. The parties shall attempt in good faith to resolve the dispute in accordance with a mutually agreed upon schedule but in no event may the schedule extend beyond ninety (90) days from the date on which the parties agreed to submit the dispute to alternative dispute resolution.
The Affected Transmission OwnerTO shall notify the NYISOISO and ESPWG and TPAS of the results of the DRP and update its LTP to the extent necessary. The NYISOISO shall use in its planning process the LTP provided by the Affected TO.
Nothing in the DRP shall affect the rights of any party to file a complaint with the Commission under relevant provisions of the FPA.
All information disclosed in the course of the DRP shall be subject to the same protections accorded to confidential information and CEII by the NYISOISO under its confidentiality and CEII policies.
The NYISOISO shall prepare and publish the RNA as described below. The RNA will identify Reliability Needs and provide an analysis of historic congestion costs.. The NYISOISO shall also designate in the RNA the Responsible TOTransmission Owner with respect to each Reliability Need.
The NYISOISO shall develop the RNA in consultation with Market Participants and all other interested parties. TPAS will have responsibility consistent with ISO Procedures for review of the NYISO’sISO’s reliability analyses. ESPWG will have responsibility consistent with ISO Procedures for providing commercial input and assumptions to be used in the development of reliability assessment scenarios provided under Section 31.2.2.5, and in the reporting and analysis of historic congestion costs. Coordination and communication will be established and maintained between these two groups and NYISOISO staff to allow Market Participants and other interested parties to participate in a meaningful way during each stage of the CSPP. The NYISO StaffISO staff shall report any majority and minority views of these collaborative governance work groups when it submits the RNA to the Operating Committee for a vote, as provided below.
31.2.2.3.1The NYISOISO shall evaluate bulk power system needs in the RNA over the Study Period.
31.2.2.3.2The starting point for the development of the Five Year Base Case will be the system as defined for the ATRA.FERC Form No. 715 Base Case. The details of the development of the Five Year Base Case are contained in the procedures contained in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures.
31.2.2.3.3The NYISOISO shall assess the Five Year Base Case to determine whether the BPTFs meet all Reliability Criteria for both resource and transmission adequacy in each year, and report the results of its evaluation in the RNA. Transmission analyses will include thermal, voltage, short circuit, and stability studies. Then, if any Reliability Criteria are not met in any year, the NYISOISO shall perform additional analyses to determine whether additional resources and/or transmission capacity expansion are needed to meet those requirements, and to determine the expected first yearTarget Year of need for those additional resources and/or transmission. The study will not seek to identify specific additional facilities. Reliability needsNeeds will be defined in terms of total deficiencies relative to Reliability Criteria and not necessarily in terms of specific facilities.
31.2.2.3.4The NYISOISO will also evaluate the BPTFs over the second five years of the Study Period to determine whether they meet all Reliability Criteria for both resource and transmission adequacy in each year and report the results of its evaluation in the RNA. A short circuit assessment will be performed for the tenth year of the Study Period. Reliability needsNeeds will be defined in terms of total deficiencies relative to Reliability Criteria and not necessarily in terms of specific facilities. The ISO will determine the Target Year for each Reliability Need so identified.
31.2.2.3.5The NYISOISO shall develop the system representation to be used for its evaluations of the second five years of the Study Period using (1) the most recent NYISO Load and Capacity Data Report published by the NYISOISO on its web site; (2) the most recent versions of NYISOISO reliability analyses and assessments provided for or published by NERC, NPCC, NYSRC, and neighboring Control Areas; (3) information reported by neighboring Control Areas such as power flow data, forecasted load, significant new or modified generation and transmission facilities, and anticipated system conditions that the NYISOISO determines may impact the BPTFs; and (4) data submitted pursuant to paragraph 31.2.2.4 below.
31.2.2.4.1At the NYISO’sISO’s request, Market Participants, Developers, and other parties shall provide, in accordance with the schedule set forth in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures, the data necessary for the development of the RNA. This input will include but not be limited to (1) existing and planned additions to the New York State Transmission System (to be provided by Transmission Owners and municipal electric utilities); (2) proposals for merchant transmission facilities (to be provided by merchant developers);Developers); (3) generation additions and retirements (to be provided by generator owners and developers);Developers); (4) demand response programs (to be provided by demand response providers); and (5) any long-term firm transmission requests made to the NYISOISO.
31.2.2.4.2The Transmission Owners shall submit their current LTPs referenced in Section 31.1.1.2 and Section 31.2.1 to the NYISOISO. The NYISOISO will review the Transmission Owners’ LTPs, as they relatedrelate to BPTFs, to determine whether they will meet Reliability Needs, recommend an alternate means to resolve the needs from a regional perspective, where appropriate, or indicate that it is not in agreement with a Transmission Owner’s proposed additions. The NYISOISO shall report its determinations under this section in the RNA and in the CRP.
31.2.2.4.3All input received from Market Participants, Developers, and other parties shall be considered in the development of the system representation for the Study Period in accordance with the procedures contained in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures.
The NYISOISO, in consultation-with the ESPWG and TPAS, shall develop reliability scenarios addressing the first five years and the second five years of the Study Period. Variables for consideration in the development of these reliability scenarios include but are not limited to: load forecast uncertainty, fuel prices and availability, new resources, retirements, transmission network topology, and limitations imposed by proposed environmental or other legislation.
The NYISOISO will conduct additional reliability analyses for the alternate reliability scenarios developed pursuant to paragraph 31.2.2.5. These evaluations will test the robustness of the needs assessment studies conducted under paragraphs 31.2.2.3. This evaluation will only identify conditions under which Reliability Criteria may not be met. It will not identify or propose additional needs.Reliability Needs. In addition, the NYISOISO will perform appropriate sensitivity studies to determine whether Reliability Needs previously identified can be mitigated through alternate system configurations or operational modes. The Reliability Needs may increase in some reliability scenarios and may decrease, or even be eliminated, in others. The NYISOISO shall report the results of these evaluations in the RNA.
Once all the analyses described above have been completed, NYISO StaffISO staff will prepare a draft of the RNA including discussion of its assumptions, Reliability Criteria, and results of the analyses and, if necessary, designate the Responsible Transmission Owner.
The draft RNA shall be submitted to both TPAS and the ESPWG for review and comment. The NYISOISO shall make available to any interested party sufficient information to replicate the results of the draft RNA. The information made available will be electronically masked and made available subjectpursuant to such other terms and conditionsa process that the NYISO mayISO reasonably determine aredetermines is necessary to prevent the disclosure of any Confidential Information or Critical Energy Infrastructure Information contained in the information made available. Following completion of thatthe TPAS and ESPWG review, the draft RNA reflecting the revisions resulting from the TPAS and ESPWG review, shall be forwarded to the Operating Committee for discussion and action. The NYISOISO shall notify the Business Issues Committee of the date of the Operating Committee meeting at which the draft RNA is to be presented. Following the Operating Committee vote, the draft RNA will be transmitted to the Management Committee for discussion and action.
Following the Management Committee vote, the draft RNA, with working group, Operating Committee, and Management Committee input, will be forwarded to the NYISOISO Board for review and action. Concurrently, the draft RNA will be provided to the Market Monitoring Unit for its review and consideration of whether market rules changes are necessary to address an identified failure, if any, in one of the NYISO’sISO’s competitive markets. The Board may approve the RNA as submitted, or propose modifications on its own motion. If any changes are proposed by the Board, the revised RNA shall be returned to the Management Committee for comment. The Board shall not make a final determination on a revised RNA until it has reviewed the Management Committee comments. Upon approval by the Board, the NYISOISO shall issue the final RNA to the marketplace by posting it on its web site.
The responsibilities of the Market Monitoring Unit that are addressed in the above section of this Attachment Y to the ISO OATT are also addressed in Section 30.4.6.8.2 of the Market Monitoring Plan, Attachment O to the ISO OATT.
Notwithstanding any provision to the contrary in this Attachment, the NYISOISO OATT, or the NYISO Services Tariff, in the event that a Market Participant raises a dispute solely within the NYPSC’s jurisdiction relating to the final conclusions or recommendations of the RNA, a Market Participant may refer such dispute to the NYPSC for resolution. The NYPSC’s final determination shall be binding, subject only to judicial review in the courts of the State of New York pursuant to Article 78 of the NYCPLR.
In order to provide ample exposure for the marketplace to understand the identified reliability needsReliability Needs, the NYISOISO will provide various opportunities for Market Participants and other potentially interested parties to discuss the final RNA. Such opportunities may include presentations at various NYISOISO Market Participant committees, focused discussions with various industry sectors, and/or presentations in public venues.
31.2.4.1.1When a Reliability Need is identified in any RNA issued under this tariff, the NYISOISO shall request and the Responsible Transmission Owner shall provide to the NYISOISO, as soon as reasonably possible, a proposal for a regulated solution or combination of solutions that shall serve as a backstop to meet the Reliability Need if requested by the NYISOISO due to the lack of sufficient viable market-based solutions to meet such Reliability Needs identified for the Study Period. Regulated backstop solutions may include generation, transmission, or demand side resources. AExcept as provided in Section 31.2.4.2.1, a proposed regulated backstop solution to address a needReliability Need that arises in the second five years of the planning period that does not have a trigger date within one year or less of the CRP currently under considerationStudy Period will not require the same level of detail as a proposed solution for a needReliability Need arising in the first five years. Such proposals may include reasonable alternatives that would effectively address the Reliability Need; provided however, the Responsible Transmission Owners’Owner’s obligation to propose and implement regulated backstop solutions under this tariff is limited to regulated transmission solutions. The Responsible Transmission Owner shall also estimate the lead time necessary for the implementation of its proposal. The NYISO will ISO shall independently analyze the lead time required for implementation of the proposed potential regulated backstop solution. The ISO shall use the Responsible Transmission Owner estimate and its analysis to establish athe Trigger Date for the Responsible Transmission Owner’s regulated backstop solution. The ISO will also independently establish benchmark lead timetimes for responses submitted pursuant to Sections 31.2.4.3, and 31.2.4.5 and 31.2.5.7 on the basis of the NYISO’s independent analysis of the time period required for implementation of the proposed potential backstop solution... Prior to providing its response to the RNA, each Responsible Transmission Owner will present for discussion at the ESPWG and TPAS any updates in its LTP that impact a Reliability Need identified in the RNA. Contemporaneous with the request to the Responsible Transmission Owner, the NYISO shall solicit responses using the two-step process defined below, which shall not be a formal RFP process. Should more than one regulated backstop solution be proposed to address a Reliability Need, it will be the responsibility of the Responsible Transmission OwnersOwner to determine the regulated backstop solution that will proceed following a finding by the NYISOISO under Section 31.2.6.4 of this Attachment Y. The determination by the Responsible Transmission OwnersOwner will be made prior to the approval of the CRP in which precedes the Trigger Date for the regulated backstop solution with the longest lead- time could. Contemporaneous with the request to the Responsible Transmission Owner, the ISO shall solicit market-based and alternative regulated responses as set forth in Sections 31.2.4.3 and 31.2.4.5, which shall not be triggered.a formal RFP process.
31.2.4.2.1For Reliability Needs projected to occuridentified as occurring during the first five years of the Study Period, the submission of a regulated backstop solution shall include, at a minimum, the following details: (1) the lead time necessary to complete the project, (2) a description of the project, including planning and engineering specifications as appropriate, (3) evidence of a commercially viable technology, (4) a major milestone schedule, (5) a schedule for obtaining required siting permits and other certifications, (6) a demonstration of site control or a schedule for obtaining such control, (7) status of NYISOISO interconnection studies and interconnection agreement, (8) status of equipment procurement, and (9) any other information requested by the NYISOISO. These details also must be provided for any regulated backstop solution proposed to address a Reliability Need identified during the second five years of the Study Period if the lead time for that regulated backstop solution has a trigger dateTrigger Date within one yearplanning cycle of the date that the Responsible Transmission Owner presents its proposed regulated backstop solution. If the regulated backstop solution does not meet the needs identified in the RNA, the NYISOISO will provide sufficient information to the Responsible Transmission Owner to determine how the regulated backstop should be modified to meet the identified reliability needs.Reliability Needs. The Responsible Transmission Owner will make necessary changes to its proposed regulated backstop solution to address reliability deficiencies identified by the NYISOISO, and submit a revised proposal to the NYISOISO for review and approval.
31.2.4.2.2ForExcept as provided above, the submission of a proposed regulated backstop solution for a Reliability NeedsNeed projected to occur during the second five years of the Study Period (other than those for which the trigger date is within one year of the date that the Responsible Transmission Owner presents its proposed regulated backstop solution), the submission of a proposed regulated backstop solution must include, at a minimum, the following: (1) an explanation of how the Responsible Transmission Owner considered, in the development of its proposal, one (or more) compensatory MW scenarios developed by the NYISOISO as a guide to the development of proposed solutions that appear most likely to meet the statewide LOLE criterion of one day in ten years, (2) a description of the type of preliminary solution(s) or a variety of preliminary solution(s) (generation, demand-side, transmission, or any combination thereof) that could meet the need, (3) an estimate of the potential MW impact if either a generation or demand side solution is proposed, (4) for proposed transmission solutions, an identification of the zones where the potential solution may be located, as well as an identification indicating some general characteristics such as voltage level and approximate capacity, (5) for proposed transmission capacitor bank solutions, an identification of the MW amount of the voltage constrained interface that the Responsible Transmission Owner intends to restore up to the thermal limits of the interface, along with a commitment to size the capacitor bank solution to achieve this amount of restoration, (6) an estimated implementation time, or range of implementation times, to allow the NYISOISO to establish a preliminary trigger dateTrigger Date, and (7) any other information requested by the NYISOISO. In addition to the foregoing, a Responsible Transmission Owner may propose at any time a specific solution to a Reliability Need projected to occur during the second five years of the Study Period. Because the potential needs indicated by each RNA for years six through ten are a preliminary assessment of future conditions based on assumptions that will evolve over time using analysis that can only be conducted by the NYISOISO staff, the solutions proposed by the Responsible Transmission Owner may change in response to subsequent RNAs. The Responsible Transmission Owner must continue to collaborate with NYISOISO staff to determine how the preliminary backstop solutions could meet the preliminary needs identified in years six through ten (6-10) of each RNA Study Period.
31.2.4.2.3Market Participants and other interested parties may submit at any time optional suggestions for changes to NYISOISO rules or procedures which could result in the identification of additional resources or market alternatives suitable for meeting Reliability Needs.
At the same time that a proposal for a regulated backstop solution is requested from the Responsible Transmission Owner under Section 31.2.4.1, the NYISOISO shall also request market-based responses from the market place. Subject to the execution of appropriately drawn confidentiality agreements and FERC’sthe Commission’s standards of conduct, the NYISOISO and the appropriate Transmission Owner or Transmission Owners shall provide any party who wishes to develop such a response access to the data that is necessary to develop its response. Such data shall only be used for the purposes of preparing a market-based response to a Reliability Need under this section. Such responses will be open on a comparable basis to all resources, including generation, demand response providers, and merchant transmission developersDevelopers.
The submission of a proposed market-based solution must include: (1) evidence of a commercially viable technology, (2) a major milestone schedule, (3) evidence of site control, or a plan for obtaining site control, (4) the status of any contracts (other than an Interconnection Agreement) that are under negotiation or in place, (5) the status of any interconnection studies and an Interconnection Agreement, (6) the status of any required permits, (7) the status of equipment procurement, (8) evidence of financing, and (9) any other information requested by the NYISOISO. Failure to provide any data requested by the NYISOISO within a reasonable period of time (not to exceed 60 days from the date of the NYISOISO request) will result in the rejection of the proposed market-based solution from further consideration. The NYISOISO will perform continuing analyses of the viability of a proposed market-based solution as follows: (1) between three and five years before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, the NYISOISO will use a screening analysis to verify the feasibility of the proposed market-based solution (this analysis will not require final permit approvals or final contract documents), (2) between one and two years before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, the NYISOISO will perform a more extensive review of the proposed market-based solution, including such elements as status of interconnection studies, contract negotiations, permit applications, financing, and site control, and (3) less than one year before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, the NYISOISO will perform a detailed review of the proposed market-based solution status and schedule. For the review conducted less than one year before the expiration of Trigger Date, the benchmark lead time, it is expected, but not required, thatISO will consider, among other things, whether the proposed market-based solution will havehas obtained its final permits, that any required interconnection studies will have been completed, that the status of an interconnection agreement will have been filed, that financing will beis in place, and that equipment will beis on order. If the NYISOISO, following its analysis, determines that a proposed market-based solution is no longer viable to meet the Reliability Need, the proposed market-based solution will be removed from the list of potential market-based solutions.
31.2.4.5.1In the event that insufficient market-based solutions qualified under Section 31.2.4.4 are proposed, or the NYISO determines that there is imminent need to do so, the NYISOThe ISO will initiate a second step of the solicitation process by requestingrequest alternative regulated responses to Reliability Needs at the same time that it requests market- based responses and regulated backstop solutions. Such proposals may include reasonable alternatives that would effectively address the identified Reliability Need.
31.2.4.5.2In response to the NYISO’sISO’s request, Other Developers may develop alternative regulated proposals for generation, demand side alternatives, and/or other solutions to address a Reliability Need and submit such proposals to the NYISOISO. Transmission Owners, at their option, may submit additional proposals for regulated solutions to the NYISOISO. Transmission Owners and Other Developers may submit such proposals to the NYDPS for review at any time. Subject to the execution of appropriately drawn confidentiality agreements and FERC’sthe Commission’s standards of conduct, the NYISOISO and the appropriate Transmission Owner(s) shall provide Other Developers access to the data that is needed to develop their proposals. Such data shall be used only for purposes of preparing an alternative regulated proposal in response to a Reliability Need.
The submission of a proposed alternative regulated solution must include: (1) evidence of a commercially viable technology, (2) a major milestone schedule, (3) evidence of site control, or a plan for obtaining site control, (4) the status of any contracts (other than an Interconnection Agreement) that are under negotiation or in place, (5) the status of any interconnection studies and an Interconnection Agreement, (6) the status of any required permits, (7) the status of equipment procurement, (8) evidence of financing, and (9) any other information requested by the NYISOISO. Failure to provide any data requested by the NYISOISO within a reasonable period of time (not to exceed 60 days from the date of the NYISOISO request) will result in the rejection of the proposed alternative regulated solution from further consideration. A proponent of a proposed alternative regulated solution must notify the NYISOISO immediately of any material change in status of a proposed alternative regulated solution. For purposes of this provision, a material change includes, but is not limited to, a change in the financial viability of the developer, a change in the siting status of the project, andor a change in a major element of the project’s development. If the NYISOISO, at any time, learns of a material change in the status of a proposed alternative regulated solution, it may, at that time, make a determination as to the continued viability of the proposed alternative regulated solution. The NYISOISO will perform continuing analyses of the viability of a proposed alternative regulated solution as follows: (1) between three and five years before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, identified in the CRP as meeting the NYISOsame Reliability Need, the ISO will use a screening analysis to verify the feasibility of the proposed alternative regulated solution (this analysis will not require final permit approvals or final contract documents), (2) between one and two years before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, the NYISOISO will perform a more extensive review of the proposed alternative regulated solution, including such elements as status of interconnection studies, contract negotiations, permit applications, financing, and site control, and (3) less than one year before the expiration of the benchmark lead time establishedTrigger Date for the regulated backstop solution, the NYISOISO will perform a detailed review of the proposed alternative regulated solution status and schedule. For the review conducted less than one year before the expiration ofTrigger Date, the benchmark lead time, it is expected, but not required, thatISO will consider, among other things, whether the proposed alternative regulated solution will havehas obtained its final permits, that any required interconnection studies will have been completed, that an interconnection agreement will havehas been filed, that financing will beis in place, and that equipment will beis on order. Prior to making a determination about the viability of a proposed alternative regulated solution, the NYISO will communicate its intended determination to the project sponsor along with the basis for its intended determination, and will provide the sponsor a reasonable period (not more than two weeks) to respond to the NYISO’s intended determination, including an opportunity to provide additional information to the NYISO to support the continued viability of the proposed alternative regulated solution. If the NYISOISO, following its analysis, determines that a proposed alternative regulated solution is no longer viable to meet the Reliability Need, the proposed alternative regulated solution will be removed from the list of potential alternative regulated solutions.
Should the NYISOISO determine that it has not received adequate regulated backstop or market-based solutions to satisfy the Reliability Need, the NYISOISO may, in its discretion, solicit additional regulated backstop or market-based solutions. Other Developers may submit additional alternative regulated solutions for the NYISO’sISO’s consideration at that time.
When evaluating proposed solutions to Reliability Needs, all resource types shall be considered on a comparable basis as potential solutions to the Reliability Needs identified: generation, transmission, and demand response.
The NYISOISO shall evaluate a proposed regulated backstop solution submitted by a Responsible Transmission Owner pursuant to Section 31.2.4.1 to determine whether it will meet the identified Reliability Need in a timely manner, and will report the results of its evaluation in the CRP.
The NYISOISO shall review proposals for market-based solutions and determine whether they resolve a Reliability Need. If market-based solutions are found by the NYISOISO to be sufficient to meet a Reliability Need in a timely manner, the NYISOISO will so state in the CRP. The NYISOISO will not select from among the market-based solutions if there is more than one proposal which will meet the same Reliability Need.
If the ISO determines that the submitted market-based solutions do not resolve a Reliability Need, the NYISO shall proceedare sufficient to resolve the identified Reliability Needs, the ISO will perform a high-level review theof any proposed alternative regulated solutions submitted in accordance with Section 31.2.4.5 above, and. If the ISO determines that the submitted market-based solutions do not resolve an identified Reliability Need, the ISO will perform a more detailed review of the proposed alternative regulated solutions. In either case, the ISO will report the results of its review in the CRP.
Following initial review of the proposals, as described above, NYISO StaffISO staff will identify any reliability deficiencies in each of the proposed solutions. The Responsible Transmission Owner, Transmission Owner or Other Developer will discuss any identified deficiencies with the NYISO StaffISO staff. Other Developers and Transmission Owners that propose alternative regulated solutions shall have the option to revise and resubmit their proposals to address any identified deficiency. With respect to regulated backstop solutions proposed by a Responsible Transmission Owner pursuant to Section 31.2.4.1, the Responsible Transmission Owner shall make necessary changes to its proposed backstop solution to address any reliability deficiencies identified by the NYISOISO, and submit a revised proposal to the NYISOISO for review. The NYISOISO shall review all such revised proposals to determine that all of the identified deficiencies have been resolved.
If the NYISOISO determines that a market-based solution will not be available in time to meet a Reliability Need, and finds that it is necessary to take action to ensure reliability, it will state in the CRP that implementation of a regulated solution is necessary. The NYISOISO will also identify in the CRP (1) the regulated backstop solution that the NYISOISO has determined will meet the Reliability Need in a timely manner, and (2) the Responsible Transmission Owner.
31.2.5.7.1If the ISO determines in the CRP, or at any time, that implementation of a regulated backstop solution reviewed in a previous RNA/CRP cycle is necessary, the ISO will request the Responsible Transmission Owner to submit its proposal for a regulated backstop solution to the appropriate governmental agency(ies) and/or authority(ies) to begin the necessary approval process. The Responsible Transmission Owner in response to the ISO request shall make such a submission. Other Developers and Transmission Owners proposing alternative regulated solutions pursuant to Section 31.2.4.5.2 that have completed any changes required by the ISO under Section 31.2.5.4, which the ISO has determined will resolve the identified Reliability Need, may submit these proposals to the appropriate governmental agency(ies) and/or authority(ies) for review. The appropriate governmental agency(ies) and/or authority(ies) with jurisdiction over the implementation or siting will determine whether the regulated backstop solution or an alternative regulated solution will be implemented to address the identified Reliability Need. If the appropriate governmental agency(ies) and/or authority(ies) makes a final determination that an alternative regulated solution is the preferred solution to a Reliability Need and that the regulated backstop solution should not be implemented, implementation of the alternative regulated solution will be the responsibility of the Transmission Owner or Other Developer that proposed the alternative regulated solution, and the Responsible Transmission Owner will not be responsible for addressing the Reliability Need through the implementation of its regulated backstop solution. Should the alternative regulated solution not be implemented, the ISO may request a Gap Solution pursuant to Section 31.2.5.10 of this Attachment Y.
31.2.5.7.2If the ISO determines that it is necessary for the Responsible Transmission Owner to proceed with a regulated backstop solution evaluated in the CRP in parallel with a market-based solution in order to ensure that a Reliability Need is met in a timely manner, the Responsible Transmission Owner shall proceed with due diligence to develop it in accordance with Good Utility Practice unless or until notified by the ISO that it has determined that the regulated backstop solution is no longer needed.
31.2.5.7.3If, after consultation with the Responsible Transmission Owner, the ISO determines that the Responsible Transmission Owner has not submitted its proposed regulated backstop solution for necessary regulatory action within a reasonable period of time, or that the Responsible Transmission Owner has been unable to obtain the approvals or property rights necessary under applicable law to construct the project, the ISO shall submit a report to the Commission for its consideration and determination of whether any action is appropriate under federal law.
Upon a findingdetermination by the NYISOISO under Section 31.2.6.4 of this Attachment5.7 that a regulated solution should proceed, the Responsible Transmission Owner will make a presentation to the ESPWG that will provide a description of the regulated backstop solution. The presentation will include a non-binding preliminary cost estimate of that backstop solution; provided, however, that a Responsible Transmission Owner shall be entitled to full recovery of all reasonably incurred costs related to the regulated backstop solution. Any Alternative Regulated SolutionAny alternative regulated solution proponent seeking regulated cost recovery for its project will also make a presentation to the ESPWG at the time of the above finding by the NYISOISO providing a description of the Alternative Regulated Solutionalternative regulated solution, including a non-binding preliminary cost estimate of the project. The NYISOISO and stakeholders through this process will have the opportunity to review and discuss the scope of the projects and their associated non-binding preliminary cost estimates prior to implementation.
If the NYISOISO determines that it is necessary for the Responsible Transmission Owner to proceed with a regulated backstop solution to be conducted in parallel with a market-based solution in order to ensure that a Reliability Need is met in a timely manner, the CRP will so state.
31.2.5.910.1If the NYISOISO determines that neither market-based proposals nor regulated proposals can satisfy the Reliability Needs in a timely manner, the NYISOISO will set forth its determination that a Gap Solution is necessary in the CRP. The NYISOISO will also request the Responsible Transmission Owner to seek a Gap Solution. GAPGap Solutions may include generation, transmission, or demand side resources.
31.2.5.910.2If there is an imminent threat to the reliability of the New York power systemState Power System, the NYISOISO Board, after consultation with the NYDPS, may request the appropriate Transmission Owner or Transmission Owners to propose a Gap Solution outside of the normal planning cycle.
31.2.5.910.3Upon the NYISO’sISO’s determination of the need for a Gap Solution, pursuant to either Section Sections 31.2.5.910.1 or 31.2.5.910.2 above, the Responsible Transmission Owner will propose such a solution, as soon as reasonably possible, for consideration by the NYISOISO and NYDPS.
31.2.5.910.4Any party may submit an alternative Gap Solution proposal to the NYISOISO and the NYDPS for their consideration. The NYISOISO shall evaluate all Gap Solution proposals to determine whether they will meet the Reliability Need or imminent threat. The NYISOISO will report the results of its evaluation to the party making the proposal as well as to the NYDPS and/or other appropriate governmental agency(ies) and/or authority(ies) for consideration in their review of the proposals. The appropriate governmental agency(ies) and/or authority(ies) with jurisdiction over the implementation or siting of Gap Solutions will determine whether the Gap Solution or an alternative Gap Solution will be implemented to address the identified Reliability Need.
31.2.5.910.5Gap Solution proposals submitted under Sections 31.2.5.910.3 and 31.2.5.910.4 shall be designed to be temporary solutions and to strive to be compatible with permanent market-based proposals.
31.2.5.910.6A permanent regulated solution, if appropriate, may proceed in parallel with a Gap Solution.
31.2.5.1011.1The term “Confidential Information” shall include all types of solutions to Reliability Needs that are submitted to the NYISOISO as a response to Reliability Needs identified in any RNA issued by the NYISOISO as part of the CRPPReliability Planning Process if the supplier or ownerDeveloper of that solution designates such reliability solutions as “Confidential Information.”
31.2.5.1011.2For regulated backstop solutions and plans submitted by the Responsible Transmission Owner in response to the findings of the RNA, the NYISOISO shall maintain the confidentiality of same until the NYISOISO and the Responsible Transmission Owner have agreed that the Responsible Transmission Owner has submitted sufficient regulated backstop solutions and plans to meet the Reliability Needs identified in an RNA. Thereafter, the NYISOISO shall disclose the regulated backstop solutions and plans to the Market Participants; however, any preliminary cost estimates that may have been provided to the NYISOISO shall not be disclosed.
31.2.5.1011.3For an alternative regulated response, the NYISOISO shall determine, after consulting with the owner or supplierDeveloper thereof, whether the response would meet part or all of the Reliability Needs identified in an RNA, and thereafter disclose the alternative regulated response to the Market Participants and other interested parties; however, any preliminary cost estimates that may have been provided to the NYISOISO shall not be disclosed.
31.2.5.1011.4For a market-based response, the NYISOISO shall maintain the confidentiality of same during the CRPPReliability Planning Process and in the Comprehensive Reliability PlanCRP, except for the following information which may be disclosed by the NYISOISO: (i) the type of resource proposed (e.g., generation, transmission, demand side); (ii) the size of the resource expressed in Megawattsmegawatts of equivalent load that would be served by that resource; (iii) the subzone in which the resource would interconnect or otherwise be located; and (iv) the proposed in-service date of the resource.
31.2.5.1011.5In the event that the developerDeveloper of a market-based response has made a public announcement of its project or has submitted a proposal for interconnection with the NYISOISO, the NYISOISO shall disclose the identity of the market-based developerDeveloper and the specific project during the CRPPReliability Planning Process and in the Comprehensive Reliability PlanCRP.
Following the NYISO’sISO’s evaluation of the proposed market-based and regulated solutions to Reliability Needs, the NYISOISO will prepare a draft Comprehensive Reliability Plan (“CRP”).. The draft CRP shall set forth the NYISO’sISO’s findings and recommendations, including any determination that implementation of a regulated solution (which may be a Gap Solution) is necessary to ensure system reliability.
The NYISO StaffISO staff shall submit the draft CRP to TPAS and ESPWG for review and comment. The NYISOISO shall make available to any interested party sufficient information to replicate the results of the draft CRP. The information made available will be electronically masked and made available subjectpursuant to such other terms and conditionsa process that the NYISO mayISO reasonably determine aredetermines is necessary to prevent the disclosure of any Confidential Information or Critical Energy Infrastructure Information contained in the information made available. Following completion of thatthe TPAS and ESPWG review, the draft CRP reflecting the revisions resulting from the TPAS and ESPWG review, shall be forwarded to the Operating Committee for a discussion and action. The NYISOISO shall notify the Business Issues Committee of the date of the Operating Committee meeting at which the draft CRP is to be presented. Following the Operating Committee vote, the draft CRP will be transmitted to the Management Committee for a discussion and action.
Following the Management Committee vote, the draft CRP, with working group, Operating Committee, and Management Committee input, will be forwarded to the NYISOISO Board for review and action. Concurrently, the draft CRP will also be provided to the Market Monitoring Unit his for its review and consideration of whether market rule changes are necessary to address an identified failure, if any, in one of the NYISO’sISO’s competitive markets. The Board may approve the draft CRP as submitted or propose modifications on its own motion. If any changes are proposed by the Board, the revised CRP shall be returned to the Management Committee for comment. The Board shall not make a final determination on the draft CRP until it has reviewed the Management Committee comments. Upon final approval by the Board, the NYISOISO shall issue the CRP to the marketplace by posting on its website. The NYISOISO will provide the CRP to the appropriate regulatory agency(ies) for consideration in their review of the proposals.
The responsibilities of the Market Monitoring Unit that are addressed in the above section of Attachment Y to the ISO OATT are also addressed in Section 30.4.6.8.3 of the Market Monitoring Plan, Attachment O to the ISO OATT.
Notwithstanding any provision to the contrary in this Attachment, the NYISOISO OATT, or the NYISO Services Tariff, in the event that a Market Participant or other interested party raises a dispute solely within the NYPSC’s jurisdiction concerning NYISO’sISO’s final determination in the CRP that a proposed solution will or will not meet a Reliability Need, a Market Participant or other interested party seeking further review shall refer such dispute to the NYPSC for resolution, as provided for in the NYISO’s Comprehensive Reliability Planning Process Manual.ISO Procedures. The NYPSC’s final determination of such disputes shall be binding, subject only to judicial review in the courts of the State of New York pursuant to Article 78 of the New York Civil Practice Law and Rules.
31.2.6.4.1If the NYISO determines in the CRP that implementation of a regulated solution is necessary, the NYISO will request the Responsible Transmission Owner to submit its proposal for a regulated backstop solution to the appropriate governmental agency(ies) and/or authority(ies) to begin the necessary approval process. The Responsible Transmission Owner in response to the NYISO request shall make such a submission. Other Developers and Transmission Owners proposing alternative regulated solutions pursuant to Section 31.2.4.5.2 that have completed any changes required by the NYISO under Section 31.2.5.4, which the NYISO has determined will resolve the identified Reliability Need, may submit these proposals to the appropriate governmental agency(ies) and/or authority(ies) for review. The appropriate governmental agency(ies) and/or authority(ies) with jurisdiction over the implementation or siting will determine whether the regulated backstop solution or an alternative regulated solution will be implemented to address the identified Reliability Need. If the appropriate governmental agency(ies) and/or authority(ies) makes a final determination that an alternative regulated solution is the preferred solution to a Reliability Need and that the regulated backstop solution should not be implemented, implementation of the alternative regulated solution will be the responsibility of the Transmission Owner or Other Developer that proposed the alternative regulated solution, and the Responsible Transmission Owner will not be responsible for addressing the Reliability Need through the implementation of its regulated backstop solution. Should the alternative regulated solution not be implemented, the NYISO may request a Gap solution pursuant to Section 31.2.5.9 of this Attachment.
31.2.6.4.2If the NYISO determines in the CRP that it is necessary for the Responsible Transmission Owner to proceed with the regulated solution identified in 31.2.6.4.1 in parallel with a market-based solution in order to ensure that a Reliability Need is met in a timely manner, the Responsible Transmission Owner shall proceed with due diligence to develop it in accordance with Good Utility Practice unless or until notified by the NYISO that it has determined that the regulated solution is no longer needed.
31.2.6.4.3If, after consultation with the Responsible Transmission Owner, the NYISO determines that the Responsible Transmission Owner has not submitted its proposed solution for necessary regulatory action within a reasonable period of time, or that the Responsible Transmission Owner has been unable to obtain the approvals or property rights necessary under applicable law to construct the project, the NYISO shall submit a report to the FERC for its consideration and determination of whether any action is appropriate under federal law.
31.2.7.1The NYISOISO will monitor and report on the status of market-based solutions to ensure their continued viability to meet Reliability Needs on a timely basis in the CRP. The NYISO’sISO’s criteria to assess the continued viability of such projects are included in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures.
31.2.7.2The NYISOISO will monitor and report on the status of regulated solutions to ensure their continued viability to meet Reliability Needs on a timely basis in the CRP. The NYISO’sISO’s criteria to assess the continued viability of such projects are included in the NYISO’s Comprehensive Reliability Planning Process ManualISO Procedures.
31.2.7.3The NYISOISO will apply the criteria in this Section 31.2.7.3 for halting a regulated backstop solution that is already underway because of the entry of ISO has determined that a viable market-based solution that the NYISO has determined will meet the same Reliability Need. These criteria shall also include a cut-off point as provided in Section 31.2.7.3.2 following which a regulated backstop solution may not be cancelledhalted regardless of the appearancestatus of a market-based solution.
31.2.7.3.1The NYISOISO shall review proposals for market-based solutions, pursuant to Section 31.2.5.3 of this Attachment Y. If, based on the availability of market-based solution(s) to meet the identified Reliability Need, the NYISOISO determines that the regulated backstop solution is no longer needed and should be halted, it will immediately notify the Responsible Transmission Owner and will so state in the CRP. If a regulated backstop solution is halted by the NYISOISO, all of the costs incurred and commitments made by the Responsible Transmission Owner up to that point, including reasonable and necessary expenses incurred to implement an orderly termination of the project, will be recoverable by the Responsible Transmission Owner under the cost recovery mechanism in the NYISORate Schedule 10 of this tariff regardless of the nature of the solution.
31.2.7.3.2Once the Responsible Transmission Owner submits its application for state regulatory approval of the regulated backstop solution, pursuant to Section 31.2.6.4.15.7 of this Attachment Y, or, if state regulatory approval is not required, once the Responsible Transmission Owner submits its application for any necessary regulatory approval, the entry of a market-based solution will not result in the halting by the NYISOISO of the regulated backstop solution. The NYISOISO, however, will continue to evaluatemonitor proposed market-based solutions to determine their ability to meet the identified Reliability Need in a timely manner, and will provide the results of its review to the Responsible Transmission Owner, Market Participants and the appropriate state regulatory agency(ies).
31.2.7.3.3If a material modification to the regulated backstop solution is proposed by any federal, state or local agency, the Responsible Transmission Owner will request the NYISOISO to conduct a supplemental reliability review. If the NYISO identifies any reliability deficiency in the modified solution, the NYISOISO will so advise the Responsible Transmission Owner and the appropriate federal, state or local regulatory agency(ies).
31.2.7.3.4If the appropriate federal, state or local agency(ies) does not approve a necessary authorization for the regulated backstop solution, all of the necessary and reasonable costs incurred and commitments made up to the final federal, state or local regulatory decision, including reasonable and necessary expenses incurred to implement an orderly termination of the project, will be recoverable by the Responsible Transmission Owner under the NYISOISO cost recovery mechanism in Rate Schedule 10 of this tariff regardless of the nature of the solution.
31.2.7.3.5The NYISOISO is not required to review market-based solutions to determine whether they will meet the identified Reliability Need in a timely manner after the regulated backstop solution has received federal and state regulatory approval, unless a federal or state regulatory agency requests the NYISOISO to conduct such a review. The NYISOISO will report the results of its review to the federal or state regulatory agency, with copies to the Responsible Transmission Owner.
31.2.7.3.6If a necessary federal, state or local authorization for a regulated backstop solution is withdrawn, all expenditures and commitments made up to that point including reasonable and necessary expenses incurred to implement an orderly termination of the project, will be recoverable under the NYISOISO cost recovery mechanism in Rate Schedule 10 of this tariff by the Responsible Transmission Owner regardless of the nature of the solution. When an alternative regulated solution proposed by a Transmission Owner or Other Developer has been determined by the PSCNYPSC or other State authorities to be the preferred solution to a Reliability Need and the Transmission Owner or Other Developer makes all best efforts to obtain necessary federal, state or local authorization, but these authorizations are not granted or are withdrawn, then all reasonably incurred expenditures and necessary expenses incurred to implement an orderly termination of the project, will be recoverable under the NYISOISO cost recovery mechanism in Rate Schedule 10 of this tariff by the Transmission Owner or Other Developer, provided that such expenditures and commitments were before the PSCNYPSC or other State authorities when it made its determination that the alternative regulated solution is the preferred solution.
31.2.7.4The NYISOISO will apply the criteria in this Section 31.2.7.4 for determining the cutoff date for a determination that a market-based solution will not be available to meet a Reliability Need on a timely basis.
31.2.7.4.1In the first instance, the NYISOISO shall employ its procedures for monitoring the viability of a market-based solution to determine when it may no longer be viable. Under the conditions where a market-based solution is proceeding after the date on which the NYISO would otherwise have invoked aTrigger Date for the relevant regulated backstop solution, it becomes even more critical for the NYISOISO to conduct a continued analysis of the viability of such market-based solutions.
31.2.7.4.2The developerDeveloper of such a market-based solution shall submit updated information to the NYISOISO twice during each CRPPReliability Planning Process cycle, first during the input phase of the RNA, and again during the solutions phase during the period allowed for the solicitation for market-based and regulated backstop solutions. If no solutions are requested in a particular year, then the second update will be provided during the NYISO’sISO’s analysis of whether existing solutions continue to meet identified reliability needsReliability Needs. The updated information of the project status shall include: status of final permits, status of major equipment, current status of construction schedule, estimated in-service date, any potential impediments to completion by the reliability need dateTarget Year, and any other information requested by the NYISOISO.
31.2.7.4.3The developerDeveloper shall immediately report to the NYISOISO when it has any indication of a material change in the project status or that the project in-service date may slip beyond the Reliability Need date.Target Year. A material change shall include, but not be limited to, a change in the financial viability of the developerDeveloper, a change in siting status, or a change in a major element of the project development.
31.2.7.4.4Based upon the above information, the NYISOISO will perform an independent review of the development status of the market-based solution to determine thatwhether it remains viable to meet the identified reliability needReliability Need in a timely manner. If the NYISOISO, at any time, learns of a material change in the project status of a market-based solution, it may, at that time, make a determination as to the continued viability of such project.
31.2.7.4.5The NYISOISO, prior to making a determination about the viability of a specific proposed solution, will communicate its intended determination to the project sponsorDeveloper along with the basis for its intended determination. The NYISOISO shall provide sponsorthe Developer a reasonable period (not more than 2 weeks) to respond to the NYISO’sISO’s intended determination, including an opportunity to provide additional information to the NYISOISO to support the continued viability of the proposed solution.
31.2.7.4.6If the NYISOISO determines that a market-based solution that is needed to meet an identified Reliability Need is no longer viable, it will request that the Responsible Transmission Owner to invokeproceed with the regulated backstop solution, or to seek other measures including, but not limited to, a Gap Solution, to ensure the reliability of the system within the benchmark timeframe.
31.2.7.4.7If the NYISOISO determines that the market-based solution is still viable, but that its in-service date is likely to slip beyond the reliability need dateTarget Year, the NYISOISO will request the Responsible Transmission Owner to prepare a Gap Solution in accordance with the provisions of this Attachment Y.
Effective Date: 9/24/2012 - Docket #: ER12-2303-000 - Page 1