Texas PUC's Anderson: ERCOT ERS Needs Changes, Should Move Into Competitive Market

During yesterday's open meeting of the Public Utility Commission of Texas, Commissioner Kenneth Anderson again raised the issue of dramatically redesigning Emergency Response Service (ERS) in ERCOT

Specifically, Anderson said that ERS should be moved into the competitive market and made a day-ahead product, just like non-spin or responsive reserves

Anderson suggested that such a change could address issues relating to the procurement of ERS, especially in the summer months, where ERS providers may be unwilling to offer ERS due to the need to be online and available to curtail under the ERS program, as companies may not want to be online at such times due to high summer energy market prices, or companies may forgo offering as ERS since it may be more advantageous to monetize any load reductions in the energy market.

Anderson noted that such a change would also give ERCOT flexibility to modify the procurement

Anderson noted that such changes would require a rule by the Commission.

Anderson raised the issue to put it on Staff's and ERCOT's radar, with the issue to be addressed substantively at a later time.

Anderson's comments came as the Commission approved without modification a settlement with an ERS provider concerning availability (click here for details)