ISO New England regularly checks to ensure that market participants are satisfying their financial assurance obligations, in accordance with the ISO New England Financial Assurance Policy. A penalty of $1,000.00 is assessed for repeated failures.
The provisions of the credit test calculations and the credit test penalty are detailed in the ISO New England Financial Assurance Policy.
If a participant receives more than five notices in any rolling 365-day period that its credit test percentage has exceeded 100%, the ISO assesses the penalty for each notice after the fifth in that period.
The credit test penalty is included in the monthly bill as a line item entitled “Credit Test Penalty [Date of Notice].”