Texas Chair Nelson Proposes Workshop "This Summer" on Operating Reserve Demand Curve Proposal

Donna Nelson, Chair of the Public Utility Commission of Texas, has proposed that the Commission provide stakeholders with a formal opportunity to comment on the Interim Solution B+ proposal to improve scarcity pricing, and the related ERCOT backcast results, followed by a workshop "this summer."

Interim Solution B+ would rely on an operating reserve demand curve mechanism to improve scarcity pricing (see prior story for details on an earlier version of Interim Solution B).

"To give stakeholders time to fully review the [Interim Solution B+] whitepaper and underlying analysis, I propose that we establish a comment deadline of May 31, 2013 and then preside over a workshop this summer," Nelson said in a memo in advance of today's open meeting.

While not dispositive, a workshop this summer would suggest that if the Commission ultimately decides to adopt a form of an operating reserve demand curve, or similar solution, such mechanism would not be adopted to be effective this summer, or at most, would only be effective for a small portion of the 2013 summer.