Business Requirements Specification
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1 Business Requirements Specification Energy Storage and Distributed Energy Resources (ESDER) Doc ID: GNFDMDEHU6BB Page 1 of 21
2 Disclaimer All information contained in this draft Business Requirements Specification (BRS) as provided by the California Independent System Operator Corporation (ISO) is prepared for discussion and information purposes only. The draft BRS is provided as is without representation or warranty of any kind, including, without limitation, a representation or warranty as to accuracy, completeness, or appropriateness for any particular purpose. The draft BRS shall be revised as the development and review of the business requirements progresses. The ISO assumes no responsibility for the consequences of any errors or omissions. The ISO may revise or withdraw all or part of this information at any time at its discretion without notice. Doc ID: GNFDMDEHU6BB Page 2 of 21
3 Table of Contents 1. INTRODUCTION PURPOSE DETAILS OF BUSINESS NEED/PROBLEM DESCRIPTION BUSINESS PROCESS IMPACTS HIGH LEVEL DESCRIPTION OF BUSINESS PROCESS VISUAL AIDES... 7 Definition of Terms JUSTIFICATION BUSINESS REQUIREMENTS BUSINESS PROCESS: < MANAGE ENTITY AND RESOURCE MAINTENANCE UPDATES (MASTER FILE) AND FULL NETWORK MODEL (FNM)> Business Requirements BUSINESS PROCESS: < MANAGE DAY AHEAD MARKET AND REAL TIME MARKET > Business Requirements BUSINESS PROCESS: < MANAGE DRS, DRRS, METERING, AND SETTLEMENT > Business Requirements BUSINESS PROCESS: MARKET MONITORING AND REPORTING Business Requirements Doc ID: GNFDMDEHU6BB Page 3 of 21
4 1. Introduction 1.1 Purpose The purpose of this document is to capture and record a description of what the Users and Business Stakeholders of the project wish to obtain by providing high-level business requirements. This document establishes the basis for the agreement between the initiators and implementers of the project. The information in this document serves as input to determining the scope of projects and to all Business Process Modeling and System Requirements Specifications efforts. Business requirements are what must be delivered to provide value for the Users and Business Stakeholders. Systems, software, and processes are the ways (how) to delivery, satisfy or meet the business requirements (what). The Initial BRS will provide sufficient information to determine the scope of the project and will provide the functional business requirements so that the Architecture Decision can be made. Following the Architecture Decision, the remaining non-functional business requirements, such as data, performance, web services, and security can be added to complete the Final BRS. 2. Details of Business Need/Problem 2.1 Description Overview of Energy Storage and Distributed Energy Resource (ESDER) Non-generator Resources (NGR) enhancements Updated NGR documentation (multiple BPMs, add NGR detail rules and examples) Clarification about how ISO uses state of charge (SOC) in the market optimization (BPM, market operations, clarify with examples on telemetry, timing, optimization with SOC limits) Allow initial state of charge as a daily bid parameter in the day-ahead market (SIBR, DAM, daily bids, BPM Market Op) Allow an option to not provide SOC energy limits or not have the ISO co-optimize an NGR based on state of charge (SIBR, DAM/RTM, BPM market op ) Proxy Demand Response and Reliability Demand Response Resource (PDR/RDRR) Enhancements (no system changes, Scheduling Coordinator Meter Entity (SCME) submits PDR meter data directly based on approved baseline method according to Tariff) Support performance evaluation methodology based on NAESB meter generator output (MGO) concepts o Meter configuration A SCME submit Net meter (N) of load representing load being offset by the behind meter generation, existing baseline type I performance apply with PDR N meter Doc ID: GNFDMDEHU6BB Page 4 of 21
5 o o o Meter configuration B Option B1 load reduction only (DRS/Settlement, existing functionality-hourly gen for submitting (N-G) interval meter, using sign convention that load is a positive quantity and the output of a generating device or energy storage in discharging mode- is a negative quantity) SCME calculate Baseline: Virtual Meter for the load is net meter (N)- generator meter (G) for baseline BN-G, baseline type I apply BN-G SCME calculate/submit PDR performance interval meter BN-G(t)-(N(t)-G(t)) Meter configuration B Option B2 generation offset only(drs/settlement, existing functionality-hourly gen for submitting G interval meter, BPM metering) SCME calculate Baseline: meter G(t), type I apply to baseline GLM, except Not apply A day-of adjustment. SCME submit PDR performance = -(G(t)-GLM(t)), SCME apply Net export rule: N>0 Meter configuration B Option B3 load reduction and generation offset(drs/settlement, existing functionality-hourly gen for submitting, BPM metering) SCME calculate baseline for load: BN-G(t) SCME calculate baseline for generator: GLM(t) SCME calculate/submit PDR performance= BN-G(t)-(N(t)-G(t))+ (-(G(t)-GLM(t)))= BN-G(t)-N(t) +GLM(t) SCME apply Net export rule: N>0 Support NAESB Baseline type II: Develop additional detail regarding use of statistical sampling and document that in the appropriate BPMs (written application, ISO approval, according to BPM metering, tariff) o SC of PDR submit application for ISO approval (contract) o SC of PDR must follow the ISO sample size requirement and have interval meter (15 minute or 5 minute) from sampling underlying account, ISO have right to audit (customer side) o SC of PDR scale up the sampling data, submit the virtual meter data for the PDR resource for RTM energy and AS (DRS existing functionality, BPM metering) o ISO apply 10-in-10 rules for the virtual meter data same way as type I interval meter data (DRS existing functionality, BPM metering) o DAM cannot use type II for PDR, the underlying account must have the hourly meter. Non-resource adequacy (non-ra) multiple use applications (no system changes) Distribution system service provision and wholesale market participation o treat deviations from ISO dispatch instructions as uninstructed imbalance energy (UIE) o not address double payment Services to end-use customers and wholesale market participation: o DERA as NGR: separate account for DERA, independent from load; or Doc ID: GNFDMDEHU6BB Page 5 of 21
6 o PDR: Model as PDR with MGO baseline Net movement of sub-resources at each pnode must be in same direction and aligned with distribution factors (DFs) when dispatched (DERA uses existing NGR functionality, DAM/RTM, BPM Market OP ) Metering and ISO settlement in all hours (DERA uses existing NGR functionality OMAR, Settlement, BPM) Support SC submit the SQMD for the PDR using MGO baseline method: SCME shall subject to LRA rule if applicable SCME shall follow the MGO methods approved by the ISO tariff and BPM SCME shall submit a signed letter, acknowledge that SCME meets all the requirements in Tariff and BPM for using MGO Baseline and or other approved baseline methods. Support ISO audit on PDR, DERA meter and monitor DERA GDF: Leverage annual SCME self-audit, apply to SCME of PDR, DERA, o Annual process o report submitted by SCME o No data submitted from SCME o The rule of conduct for SCME is applicable monitor DERA performance, GDF o Annual process, o ISO Produce report o Decide sample size to request o SCME submit requested DERA pnode meter for the whole year by 5 minute interval ISO IT infrastructure must support SCME of DERA and PDR to submit data upon requests through secured site and store the data that can be retrieved. Market application enhancement to support model multiple DERA and/or PDR at the same pnode without change the FNM (system changes in MF, IFM/RTM): Apply functionality to combine individual schedules from multiple DER/PDR and load into a single nodal injection for NA power flow Define resource ID for each NGR(DERA) and/or PDR for market bid and settlement, link to the same cnode 3. Business Process Impacts 3.1 High Level Description of Business Process Manage Markets & Grid (MMG) (80005) Manage Day ahead Market (MMG LII) Manage Real Time Operations (MMG LII) Manage Operations Support & Settlements (MOS) (80007) SCME Self Audit Review (MOS LII) Doc ID: GNFDMDEHU6BB Page 6 of 21
7 Manage Meter data submittals (MOS LIII) 3.2 Visual Aides Support model multiple DERA and/or PDR at the same pnode Doc ID: GNFDMDEHU6BB Page 7 of 21
8 Definition of Terms Term BPM DAM DERA DOT DRP DRRS DRS EMS FNM GDF IFM LRA MF NGR PDR RTM SCME SE SIBR SOC SQMD Definition Business Practice Manuals Day-Ahead Market. Distributed Energy Resource Aggregation Dispatch Operating Target Demand Response Provider. Demand Response Registration System Demand Response System Energy Management System Full Network Model Generation Distribution Factor Integrated Forward Market local regulatory authority Master File Non-generator resource Proxy Demand Resource (PDR) Real-Time Market Scheduling Coordinator Meter Entity State Estimator Scheduling Infrastructure and Business Rules system State of Charge Settlement Quality Meter Data Doc ID: GNFDMDEHU6BB Page 8 of 21
9 3.3 Justification Energy Storage and distributed energy resources connected to the distribution grid are growing and will represent an increasingly important part of the future resource mix. This initiative will make enhancements to NGR and to demand response performance measurement to facility distributed energy resource to participating market. 4. Business Requirements The sections below describe the Business Processes and the associated Business Requirements involved in the project. System impact includes: Allow Bid in initial SOC value in DAM (SIBR) Allow SOC constraint not be enforced: If No Energy limit submitted, MF will setup a flag that no SOC constraint will be enforced in DAM/RTM Allow multiple PDR/NGR(DERA) logic resources link to the same network cnode/pnode (MF, DAM/RTM, EMS) o o o o Allow one network cnode/pnode connect more than one PDR/NGR(DERA) logic resources (MF) Combine load resource and PDR/NGR(DERA) schedules from SCUC to form nodal injection at each load cnode/pnode in network application (NA) for power flow solution (IFM/RTM) Use PDR/NGR(DERA) previous DOT or SCADA telemetry if it is available as the initial condition in the market. Market optimally commit and schedule individual PDR/NGR(DERA) resources based on the their bids and constraints. 4.1 Business Process: < Manage Entity and Resource Maintenance Updates (Master File) and Full Network Model (FNM)> Business Requirements Doc ID: GNFDMDEHU6BB Page 9 of 21
10 Require ment ESDER_BRQ010 Allow one Pnode connect more than one PDR/NGR(DERA) resources Master File Define multiple PDR/NGR(DERA) resource IDs, associate them with same underlying FNM Pnode, Ensure the PDR/NGR(DERA) resources can be identified in the downstream systems for power flow combined injection and for PDR Settlement DLAP adjustment. PDR/NGR (DERA) as single resource: The multiple PDR can be single resources defined at a Pnode. PDR/NGR(DERA) as aggregated resource: The multiple PDR/NGR(DERA) can be aggregated resources defined at a Apnode, composed of one or more PNodes where the relevant individual units are connected. Define GDF for the aggregated resource. PDR/NGR(DERA) resources can participate in energy and AS market. Pass the resource and underlying pnode/apnode to downstream systems. ESDER_BRQ011 Allow PDR/NGR(DERA) resources and load resources defined on the same FNM Pnode Master File Load resources and PDR/NGR(DERA) can be defined on the same Pnode Generator and NGR connect to transmission network must have its own Pnode. PDR/NGR(DERA) cannot defined on the Pnode of (non- PDR/NGR(DERA)) generation resource. Doc ID: GNFDMDEHU6BB Page 10 of 21
11 Require ment ESDER_BRQ020 No need to create Pnode and pseudo resource in FNM for each PDR, because the PDR will be defined on the load pnode. FNM Time of PDR to participating market will not be restricted by pre-defined PDR resources and FNM cycle. ESDER_BRQ021 Business Process: Pre-defined resources will be created on demand in the Masterfile when requested through the GRDT process maintaining the current pre-defined resource ID Pnode and Pnode distribution factors currently in place for predefined resources by SubLap. MF ESDER_BRQ022 If No Energy limit defined for the resource, MF shall set SOC constraint flag as not enforced for the resource : MF, Transfer Script If scheduling coordinator of NGR not submit the energy limit, energy limit is Null, MF shall setup a flag for the resource SOC constraint not enforced in the Market using transfer script and pass to the market Note This rule is not applicable for NGR-REM. NGR-REM resource always subject to SOC constraint. 4.2 Business Process: < Manage Day Ahead Market and Real Time Market > Business Requirements Doc ID: GNFDMDEHU6BB Page 11 of 21
12 Requirement ESDER_BRQ030 Bid in initial SOC value in DAM: Allow SC of NGR bid SOC initial value in DAM, through UI and API, apply initial SOC in the first hour of the DAM of NGR participation interval of the day. SIBR, DAM, If SC not provide the initial value, system will use current existing logic, default to the SOC calculated from the prior day, or 0 if prior day SOC value not available. ESDER_BRQ031 If the SOC constraint flag of the resource set to not enforced, no SOC constraint will be enforced for the resource: MF, DAM, RTM, EMS Market shall receive the SOC constraint flag for NGR resource from MF If the flag set to not enforced, market and EMS shall not enforce SOC constraint for the NGR, and SOC data point is not required in telemetry. Note This rule is not applicable for NGR-REM. NGR- REM always subject to SOC constraint. Doc ID: GNFDMDEHU6BB Page 12 of 21
13 Requirement ESDER_BRQ041 Combine load resource and PDR/NGR(DERA) schedules from SCUC to form nodal injection at each load cnode in network application (NA) for power flow solution SIBR, DAM, RTM, EMS Combine schedules: The load resource and PDR generation energy schedules or awards from SCUC shall be combined to form a net nodal power injection for the load cnode in the power flow solution. Ex: at node2, PDR1=25, PDR2=20, NGR3=10, NGR4=-5, Load=100 Combined Load nodal injection (Load- Gen): Load-(PDR1+PDR2+NGR3+NGR4) =100-( (-5))= 50 Use combined nodal schedule to conduct power flow analysis: transfer the combined net nodal schedule to NA power flow for the power flow solution, contingency analysis, critical constraint determination, and loss penalty and shift factor calculation. No Tracking: NA does not need to track segments of nodal inject for each PDR/NGR(DERA) or load resources. EMS SE solution for the nodal injection: the Energy Management System (EMS) SE solution must be provided for nodal injection Doc ID: GNFDMDEHU6BB Page 13 of 21
14 Requirement ESDER_BRQ050 Market shall optimally commit and schedule individual PDR/NGR(DERA) resources based on the their bids and constraints: DAM, RTM Commit and dispatch individual PDR/NGR(DERA): The market application shall optimally commit and schedule the each PDR/NGR(DERA) resource similar as regular resources based on its telemetry (State Estimator solution, ), three-part energy bid (SUC, MLC, and incremental energy bid) and the ancillary services bid, subject to its technical limits (ramp rate, minimum up and down times, etc.). ESDER_BRQ060 Set up PDR/NGR(DERA) initial condition of the interval in the market as previous DOT or telemetry if it is available: DAM, RTM, EMS, SE If resource PDR/NGR(DERA) has no telemetry, set up initial condition to previous binding interval DOT If resource PDR/NGR(DERA) has telemetry, use resource telemetry as starting point to calculate initial condition in the market. ESDER_BRQ070 The current market rules for PDR/NGR resources are applicable for the logic PDR/NGR(DERA) resources, including: o Bidding o LMPM o Exceptional dispatch o Revenue Adequacy o Outages o Settlement o Publish Existing Functionalities SIBR, DAM, RTM, OMS, Settlement, CMRI, OASIS. integration Doc ID: GNFDMDEHU6BB Page 14 of 21
15 4.3 Business Process: < Manage DRS, DRRS, Metering, and Settlement > Business Requirements Requirement ESDER_BRQ120 For PDR or RDRR with MGO baseline (Meter configuration A, B1, B2, B3), The SCME must meet the ISO tariff requirement to calculate the PDR or RDRR MGO baseline DRS, OMAR, Settlement SCME responsibility submit PDR performance meter data through hourly gen function to DRS ISO responsibility ISO receive MGO meter through DRS hourly gen for PDR from SC Existing PDR settlement rule apply for PDR, ESDER_BRQ121 For PDR elects gross load meter, SCME shall Calculate the baseline using configuration B1. The Demand Response Energy Measurement shall be the quantity of Energy equal to the difference between (i) the Customer Load Baseline, which derives from the gross Load independent of offsetting Energy from behindthe-meter generation, for the Proxy Demand Resource or Reliability Demand Response Resource and (ii) the gross underlying Load, independent of offsetting Energy from the behind-the-meter generation. N/A SCME will calculate PDR/RDRR baseline and performance SCME calculate Baseline: Virtual Meter for the load is net meter (N)- generator meter (G) for baseline BN-G, baseline type I (Tariff ) apply BN-G SCME calculate/submit PDR performance interval meter BN-G(t)- (N(t)-G(t)) Doc ID: GNFDMDEHU6BB Page 15 of 21
16 Requirement ESDER_BRQ122 Settlement of Energy Transactions Using Metering Generator Output Methodology, with configuration B2 PDR/RDRR consisting of registered behind-themeter Generating Units shall be the quantity of Energy equal to the difference between (i) the Energy output of the PRD/RDRR and (ii) the Generator Output Baseline for the behind-themeter Generating Unit registered in the Proxy Demand Resource or Reliability Demand Response Resource, which derives from the Energy output of the behind-the-meter Generating Unit(s) only, independent of offsetting facility Load. In calculating the Energy output of such Generating Units, the net Meter Data must be set to zero in any Settlement Interval in which a Generating Unit is exporting Energy (i.e., where the behind-the-meter generation Energy output exceeds its facility Load). For such behind-the-meter Generating Units, the Generator Output Baseline will be calculated as set forth in Tariff Section N/A SCME will calculate PDR/RDRR baseline and performance SCME calculate Baseline: meter G(t), baseline GLM (Tariff ) SCME submit PDR performance = - (G(t)-GLM(t)), SCME apply Net export rule: N>=0 Doc ID: GNFDMDEHU6BB Page 16 of 21
17 Requirement ESDER_BRQ123 Settlement of ODR/RDRR Using Metering Generator Output Methodology and independent load reduction, with configuration B3 PDR/RDRR that include (i) separately metered, registered behind-the-meter generation Energy output Meter Data, exclusive of facility Load data pursuant to tariff Sections and , and Proxy Demand Resources or Reliability Demand Response Resources that are (ii) Load reduction independent and separately metered from offsetting behind-the-meter generation pursuant to tariff Sections and , shall be the sum of the Demand Response Energy Measurements for the Proxy Demand Resources or Reliability Demand Response Resources as if they were settled separately and independently pursuant to tariff Sections and N/A SCME will calculate PDR/RDRR baseline and performance SCME calculate baseline for load: BN- G(t) SCME calculate baseline for generator: GLM(t) SCME calculate/submit PDR performance= BN-G(t)-(N(t)-G(t))+ (- (G(t)-GLM(t)))= BN-G(t)-N(t) +GLM(t) SCME apply Net export rule: N>=0 Doc ID: GNFDMDEHU6BB Page 17 of 21
18 Requirement ESDER_BRQ125 Calculate the Meter Generator Output (MGO) Baseline GLM: For behind-the-meter Generating Units registered in PDR/RDRR and settling Energy Transactions pursuant to tariff Section , the Generator Output Baseline will be calculated in the similar manner as the customer load baseline uses 10-in-10 non-event day method, N/A SCME will calculate PDR/RDRR baseline and performance Different from customer load baseline, No A day-of adjustment multiplier apply to MGO Baseline GLM The baseline amount of Energy provided by the behind-the-meter Generating Unit(s) will be calculated on the simple hourly average of the collected Meter Data In calculating the Generator Output Baseline pursuant to tariff (a), the Meter Data must be set to zero in any Settlement Interval in which the behind-the-meter Generating Unit is charging, and in any Settlement Interval where the behind-the-meter Generating Unit is exporting Energy (i.e., where the behind-the-meter Generation Energy output exceeds its location Load) Doc ID: GNFDMDEHU6BB Page 18 of 21
19 Requirement ESDER_BRQ130 For PDR baseline II, statistic method SCME responsibility: DRS, OMAR, Settlement PDR scale up the sampling data, submit the virtual load meter data (SQMD) for the PDR resource energy and AS (DRS, BPM metering) ESDER_BRQ140 ISO responsibility Receive SCME submit the virtual load meter data (SQMD) for the total population of PDR underlying load. Apply existing baseline rules for the virtual load meter data (BPM: Metering Section 12) Support the submission of SQMD for the PDR using MGO performance method: SCME shall subject to LRA rule if applicable SCME shall follow the MGO methods approved by the ISO tariff and BPM A DRP must submit a written request to the CAISO, pdr@caiso.com, for approval of the use of the MGO performance methodology for the PDR/RDRR. As specified in the Business Practice Manual, the CAISO and the Demand Response Provider will then engage in written discussion which will result in the CAISO either approving or denying the request. N/A Doc ID: GNFDMDEHU6BB Page 19 of 21
20 Requirement ESDER_BRQ141 Support the submission of SQMD for the PDR/RDRR using the approved statistical sampling methodology: N/A A DRP must submit a written request to the CAISO, pdr@caiso.com, for approval of the use of statistical sampling in the development of SQMD for the PDR/RDRR. As specified in the Business Practice Manual, the CAISO and the Demand Response Provider will then engage in written discussion which will result in the CAISO either approving or denying the request. ESDER_BRQ150 Auditing by CAISO for Demand Response Providers N/A To ensure accuracy and compliance with the CAISO tariff, the CAISO will have the right to audit Meter Data submitted by Scheduling Coordinators to establish performance evaluation methodologies pursuant to tariff Section or Demand Response Energy Measurements pursuant to tariff Section 11.6 Leverage annual SCME self-audit, apply to SCME of PDR, DERA, o Annual process o report submitted by SCME o No data submitted from SCME The rule of conduct for SCME is applicable ESDER_BRQ151 The system will no longer require the tracking of the number of pre-defined resources available per SubLap. Pre-defined resources will be created on-demand when requested through the established PDR/RDRR resource management GRDT process. DRRS Doc ID: GNFDMDEHU6BB Page 20 of 21
21 Requirement ESDER_BRQ152 Pre-defined resource ID selection will be maintained. Current pre-defined resource IDs associated to a DRP will continue to be made available for their selection. Existing functionality DRRS The system shall make available resource IDs that are associated with active and inactive resource IDs for selection by the DRP. PDR resource ID is created by the PDR coordinator and provided to the DRP. Naming convention should identify DRPID and SubLap using the following naming convention: <sublap name>_<drpid>_<pdrp/rdrrxxx> 4.4 Business Process: Market Monitoring and Reporting Business Requirements Requirem ent ESDER_ BRQ170 Support ISO monitor DERA GDF: monitor DERA performance, GDF o Annual process, o ISO Produce report o Decide sample size to request o SCME submit requested DERA pnode meter for the whole year by 5 minute interval ISO IT infrastructure must support SCME of DERA and PDR to submit data upon requests through secured site and store the data that can be retrieved. N/A Doc ID: GNFDMDEHU6BB Page 21 of 21
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