Any new capacity resource that wants to offer its capacity into a Forward Capacity Auction (FCA) must submit a Show-of-Interest (SOI) application by the appropriate qualification deadline. A new capacity resource must support their claimed qualified capacity (the amount they are required to bid at the starting price into the auction) in accordance with the ISO's qualification process.
The SOI applications are submitted through the Forward Capacity Tracking System (FCTS) during the specified date window.
Yes. All imports are considered new capacity resources in the FCA and should submit an SOI application unless they are an existing resource at the time of the first FCA, pursuant to a multiyear contract. A new multiyear import capacity contract that clears as a new capacity resource in an FCA will be treated as existing import capacity in a subsequent FCA.
The requirements for a Qualification Process Cost Reimbursement Deposit are due before the closing of the SOI window.
Any listed existing capacity resource that does not request to change the qualification form sent to it on April 2, 2007, for the first FCA, by the ISO will automatically be entered into the FCA consistent with the characteristics defined on the qualification form. An existing capacity resource must submit any export, permanent delist, or delist bids above 0.8x CONE during the qualification process. The existing resource qualification deadline for the first FCA was April 30, 2007.
A modification or increment to an existing capacity resource may result in some or all of the resource being treated as a new capacity resource in the FCA. Participants should consult the draft market rules regarding the investment and capacity increment thresholds contemplated for the Forward Capacity Market (Section III.126.96.36.199.2). However, even if the increment will be treated as existing in the FCA, participants should still submit a SOI form in order to get the change qualified.
Once the capacity resource is qualified, its offer or bid characteristics are fixed.
The qualified MW value for an existing capacity resource for each FCA qualification period will be the median of the last five positive summer Seasonal Claimed Capability (SCC) ratings using the summer SCC data available in October. This value will be in effect for the FCA, and all annual reconfiguration auctions for the commitment period associated with that FCA. The only way this value can change is for a request for; i) existing up-rate, ii) incremental new capacity, or iii) all new capacity to be submitted during the qualification process and approved by the ISO. Other changes in the qualified value do not change the amount of capacity that is qualified for that commitment period.
A new capacity resource is given opportunities to cure a shortfall in capacity. If they fail to cure, the resource will lose proportionally its financial assurance and awarded capacity obligation. Curing may be done through a subsequent reconfiguration auction or a bilateral contract.
New intermittent resources with an expected qualified capacity value of greater than 5 MW may submit an Economic Min number on the SOI form if applicable. It is not required.
The Project Sponsor can describe its project using a single SOI application if the project can be interconnected with a single Interconnection Request. It is also permissible for resources to submit multiple SOI applications and a single Interconnection Request. The option also exists to submit multiple SOI applications for each generation resource and multiple Interconnection Requests if applicable. New capacity resources offered into the FCA must have asset identification. Project Sponsors should identify in the "General description of equipment configuration" entry of the SOI form if the Project Sponsor wishes to offer individual units as separate resources in the FCA. If the Project Sponsor does not make such an indication, then the project will be modeled as a single resource in the FCA.
The new capacity resource can only submit the MW quantity qualified for the FCA.
A delist bid can be rejected for reliability. If it is rejected for reliability reasons, a resource will be paid a "just and reasonable" rate as determined by FERC. If a delist bid is rejected for economic reasons during review by the Internal Market Monitor, a resource will not be allowed to de-list in the FCA at the submitted price.
This will be done between rounds of the FCA. The offer will be accepted or rejected for reliability before the auction resumes.