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ERCOT To Conduct RFP For Must-Run Alternatives After Reliability Analysis Indicates To-Be Mothballed Units Are Needed For System Reliability

April 22, 2024

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Copyright 2010-24 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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ERCOT said in a market notice that it will conduct an RFP for Must-Run Alternatives after a reliability analysis indicated that three CPS Energy Generation Resources, which have submitted Notifications of Suspension of Operations, are needed to support ERCOT System reliability

On March 13, 2024, ERCOT received three Notifications of Suspension of Operations (NSOs) for the following Generation Resources: CPS Energy (BRAUNIG_VHB1, BRAUNIG_VHB2, and BRAUNIG_VHB3).

The NSOs indicate that, as of March 31, 2025, the Generation Resources will indefinitely suspend operations. The NSOs further indicate that the Generation Resources have summer Seasonal Net Max Sustainable Ratings totaling 859 MW.

ERCOT said in the market notice that, "Pursuant to ERCOT Protocols Section 3.14.1.2, ERCOT Evaluation Process, ERCOT has completed its reliability analysis, and the analysis identifies performance deficiencies for which these Generation Resources have a material impact under the criteria described in paragraph (3)(c) of that Section. Therefore, these Generation Resources are needed to support ERCOT System reliability."

"Due to the results of the reliability analysis, ERCOT will issue a 'Request for Proposal' (RFP) for Must-Run Alternatives (MRAs). The purpose of the RFP is to solicit more cost-effective alternatives than entering into a Reliability Must Run (RMR) agreement regarding the Generation Resources," ERCOT said in the notice

"In addressing the need to support ERCOT System reliability, any decision on whether to enter into an RMR or MRA service agreement must evaluate the costs and benefits of the service," ERCOT said in the notice

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