MP2 Energy Would Pay $10,000 to Resolve EILS Shortfall

MP2 Energy, would pay $10,000 under a settlement with PUCT Staff to resolve Staff's allegations that MP2 Energy violated Section 39.151(j) of the Public Utility Regulatory Act (PURA) and P.U.C. SUBST. R. 25.503(f)(2), concerning failure to adhere to Electric Reliability Council of Texas (ERCOT) Protocol § 8.1.3.1(6)(a), relating to Performance Criteria for Emergency Interruptible Load Service (EILS) Qualified Scheduling Entities (QSEs) obligations, on February 2-3, 2011.

At 5:43 am on February 2, 2011, ERCOT declared an Energy Emergency Alert Level 3 (EEA3) and ordered the dispatch of EILS. Staff alleged that data provided by ERCOT shows that MP2 did not meet its load reduction obligation until the interval ending at 6:45 a.m.

An EILS load that achieves an event performance factor of 95% or greater for any event will be deemed to have successfully met its deployment obligations. Staff alleged that MP2's event performance factor was 94.3% within the allotted 10 minute timeframe.

According to a proposed list of findings of fact, the two load resources in MP2's portfolio that failed to curtail their obligation, FMC Corporation and Conagra Foods 1, were suspended by ERCOT from participating in the EILS program until December 2011.

In further response to the event, MP2 called its largest customers who were not participants in EILS or LaaR and requested voluntary curtailment. These customers contributed no less than a 19MW voluntary decrease in consumption during the February 2-3 event. MP2 also coordinated with CP Chem, the single largest EILS resource in MP2's portfolio, (who shed their 26 MW obligation as instructed), to remain curtailed past the eight hour requirement that was stipulated in the Protocols.