Exploring Risk-Based Approaches for ISO/RTO Asset Managers
ExploringRisk-Based Approaches for ISO/RTO Asset Managers- codeshoppy In competitive power markets, the independent system operator (ISO/RTO) manages assets and obligations on behalf of owners to meet ISO/RTO goals of reliability, equal access, and market efficiency. Merchant generators make unit commitment decisions, transmission operators receive a regulated payment for trans- mission assets operated by the ISO/RTO asset manager. Load is scheduled with the ISO/RTO as either price responsive or price taking. As asset managers, the ISO/RTO can benefit from a menu of approaches introduced to identify, measure and manage risks in power systems under uncertain economic conditions. Since com- petitive markets have introduced new roles for existing participants and new participants to the industry, appetite for these new tools has never been higher. However, applying these new tools has not been without difficulty. In this...