BAL-002-WECC-2: Contingency Reserve

Purpose
To specify the quantity and types of Contingency Reserve required to ensure reliability under normal and abnormal conditions.

Applicability
4.1 Balancing Authority

4.1.1. The Balancing Authority is the responsible entity unless the Balancing Authority is a member of a Reserve Sharing Group, in which case, the Reserve Sharing Group becomes the responsible entity.

4.2 Reserve Sharing Group

4.2.1. The Reserve Sharing Group when comprised of a Source Balancing Authority becomes the source Reserve Sharing Group.
4.2.2. The Reserve Sharing Group when comprised of a Sink Balancing Authority becomes the sink Reserve Sharing Group.

Requirements and Measures

R1. Each Balancing Authority and each Reserve Sharing Group shall maintain a minimum amount of Contingency Reserve, except within the first sixty minutes following an event requiring the activation of Contingency Reserve, that is: [Violation Risk Factor: High] [Time Horizon: Real-time operations]

1.1 The greater of either:

• The amount of Contingency Reserve equal to the loss of the most severe single contingency;
• The amount of Contingency Reserve equal to the sum of three percent of hourly integrated Load plus three percent of hourly integrated generation.

1.2 Comprised of any combination of the reserve types specified below:

• Operating Reserve – Spinning
• Operating Reserve – Supplemental
• Interchange Transactions designated by the Source Balancing Authority as Operating Reserve – Supplemental
• Reserve held by other entities by agreement that is deliverable on Firm Transmission Service
• A resource, other than generation or load, that can provide energy or reduce energy consumption
• Load, including demand response resources, Demand-Side Management resources, Direct Control Load Management, Interruptible Load or Interruptible Demand, or any other Load made available for curtailment by the Balancing Authority or the Reserve Sharing Group via contract or agreement.
• All other load, not identified above, once the Reliability Coordinator has declared an energy emergency alert signifying that firm load interruption is imminent or in progress.

1.3 Based on real-time hourly load and generating energy values averaged over  each Clock Hour (excluding Qualifying Facilities covered in 18 C.F.R.§ 292.101, as addressed in FERC Order 464).

1.4 An amount of capacity from a resource that is deployable within ten minutes.

M1. Each Balancing Authority and each Reserve Sharing Group will have documentation  demonstrating its Contingency Reserve was maintained, except within the first sixty minutes following an event requiring the activation of Contingency Reserve.

Part 1.1    Each Balancing Authority and each Reserve Sharing Group will have dated documentation that demonstrates its Contingency Reserve was maintained in accordance with the amounts identified in Requirement R1, Part 1.1, except within the first sixty minutes following an event requiring the activation of Contingency Reserve.

Attachment A is a practical illustration showing how the generation amount may be calculated under Requirement R1.    

• Where Dynamic Schedules are used as part of the generation amount upon which Contingency Reserve is predicated, additional evidence of compliance with Requirement R1, Part 1.1 may include, but is not limited to, documentation showing a reciprocal acknowledgement as to which entity is carrying the reserves. This transfer may be all or some portion of the physical generator and is not limited to the entire physical capability of the generator.
• Where Pseudo-Ties are used as part of the generation amount upon  which Contingency Reserve is predicated, additional evidence of compliance with Requirement R1, Part 1.1, may include, but is not limited to, documentation accounting for the transfers included in the PseudoTies.

Part 1.2  

Each Balancing Authority and each Reserve Sharing Group will have dated documentation that demonstrates compliance with Requirement R1, Part 1.2.  Evidence may include, but is not limited to, documentation that reserves were  comprised of the types listed in Requirement R1, Part 1.2 for purposes of meeting the Contingency Reserve obligation of Requirement R1.  Additionally, for purposes of the last bullet of Requirement R1, Part 1.2, evidence of compliance may include, but is not limited to, documentation that the reliability coordinator had issued an energy emergency alert, indicating that firm Load interruption was imminent or was in progress.

Part 1.3

Each Balancing Authority and each Reserve Sharing Group will have dated documentation that demonstrates compliance with Requirement R1, Part 1.3. Evidence of compliance with Requirement R1, Part 1.3 may include, but is not limited to, documentation that Contingency Reserve amounts are based upon load and generating data averaged over each Clock Hour and excludes Qualifying Facilities covered in 18 C.F.R.§ 292.101, as addressed in FERC Order 464.

Part 1.4  

Evidence of compliance with Requirement R1, Part 1.4 may include, but is not limited to, documentation that the reserves maintained to comply with Requirement R1, Part 1.4 are fully deployable within ten minutes.

R2.   Each Balancing Authority and each Reserve Sharing Group shall maintain at least half of its minimum amount of Contingency Reserve identified in Requirement R1, as Operating Reserve – Spinning that meets both of the following reserve characteristics.  [Violation Risk Factor: High] [Time Horizon: Real-time operations]

2.1   Reserve that is immediately and automatically responsive to frequency  deviations through the action of a governor or other control system;

2.2 Reserve that is capable of fully responding within ten minutes.

M2.   Each Balancing Authority and each Reserve Sharing Group will have dated documentation that demonstrates it maintained at least half of the Contingency Reserve identified in Requirement R1 as Operating Reserve – Spinning, averaged over each Clock Hour, that met both of the reserve characteristics identified in Requirement R2, Part 2.1 and Requirement R2, Part 2.2.

 R3.   Each Sink Balancing Authority and each sink Reserve Sharing Group shall maintain an amount of Operating Reserve, in addition to the minimum Contingency Reserve in Requirement R1, equal to the amount of Operating Reserve–Supplemental for any Interchange Transaction designated as part of the Source Balancing Authority’s Operating Reserve–Supplemental or source Reserve Sharing Group’s Operating Reserve–Supplemental, except within the first sixty minutes following an event requiring the activation of Contingency Reserve.  [Violation Risk Factor: High] [Time Horizon: Real-time operations]

M3. Each Sink Balancing Authority and each sink Reserve Sharing Group will have  dated documentation demonstrating it maintained an amount of Operating Reserve, in addition to the Contingency Reserve identified in Requirement R1, equal to the amount of Operating Reserve–Supplemental for any Interchange Transaction designated as part of the Source Balancing Authority’s Operating Reserve– Supplemental or source Reserve Sharing Group’s Operating Reserve– Supplemental, for the entire period of the transaction, except within the first sixty minutes following an event requiring the activation of Contingency Reserves, in accordance with Requirement 3.

R4.  Each Source Balancing Authority and each source Reserve Sharing Group shall  maintain an amount of Operating Reserve, in addition to the minimum Contingency Reserve amounts identified in Requirement R1, equal to the amount and type of Operating Reserves for any Operating Reserve transactions for which it is the Source Balancing Authority or source Reserve Sharing Group. [Violation Risk Factor: High] [Time Horizon: Real-time operations]

M4. Each Source Balancing Authority and each source Reserve Sharing Group will have    dated documentation that demonstrates it maintained an amount of additional Operating Reserves identified in Requirement R1, greater than or equal to the amount and type of that identified in Requirement 4, for the entire period of the transaction.