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Texas QSE To Disgorge $23,000 Under Settlement With PUC Staff

May 5, 2023

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Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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The City of Austin d/b/a Austin Energy (Austin Energy) would disgorge about $23,000 under a settlement with Staff of the Public Utility Commission of Texas to resolve alleged violations of 16 Texas Administration Code (TAC) §§ 25.503(e)(3), (f)(2) and (f)(6); and ERCOT Nodal Protocols § 6.4.6(1), relating to alleged telemetering errors

The settlement states, "On February 15, 2021, Austin Energy inaccurately telemetered RSCs [resource status code] for three resources, which resulted in Austin Energy receiving excess ancillary service imbalance payments[.]"

Regarding February 15, 2021, the settlement states, "In settlement intervals 1115, 1130, and 1145, Austin Energy telemetered an RSC of OFFNS for its resource DPGT_1. However, DPGT_1 was online and, therefore, the real-time offline and online capacity amounts used in settlements was incorrect."

Regarding February 15, 2021, the settlement states, "In settlement intervals 1115, 1130, and 1145, Austin Energy telemetered an RSC of OFFNS for its resource DPGT_4. However, DPGT_4 was online and, therefore, the real-time offline and online capacity amounts used in settlements was incorrect."

The settlement states, "On February 18, 2021, Austin Energy inaccurately telemetered an RSC for one resource, which resulted in Austin Energy receiving excess ancillary service imbalance payments: a. In settlement interval 0000 (from 2345 on February 17 to 0000 on February 18), Austin Energy telemetered an RSC of OFFNS for its resource DPGT_4. However, DPGT_4 was online and, therefore, the real-time offline and online capacity amounts used in settlements was incorrect."

The settlement states, "On February 18, 2021, Austin Energy inaccurately telemetered an RSC for one resource, which resulted in Austin Energy receiving excess ancillary service imbalance payments: a. In settlement interval 0015, Austin Energy telemetered an RSC of OFFNS for its resource DPGT_4. However, DPGT_4 was online and, therefore, the real-time offline and online capacity amounts used in settlements was incorrect."

The settlement states, "Due to these inaccurate telemetries, Austin Energy received a total of $23,462.53 in excess payments."

The settlement states that Austin Energy asserts that the instances in which it failed to properly telemeter the correct resource status codes were due to the following circumstances:

a. Regarding Austin Energy's unit DPGT_1 on February 15, 2021, the Real Time (RT) Desk Operator removed a Resource Status Telemetry (RST) status override which caused the unit to default to the submitted Current Operating Plan (COP) RST of 'OFFNS.' The override was reapplied at 11:34 am to 'ON' after Austin Energy was alerted by ERCOT of the mismatch.

b. Regarding Austin Energy's unit DPGT_4 on February 15, 2021, the RT Desk Operator removed a RST status override which caused the unit to default to the submitted COP RST of 'OFFNS'. The override was reapplied at 11:34 am to 'ON' after Austin Energy was alerted by ERCOT of the mismatch.

c. Regarding Austin Energy's unit DPGT_4 on February 18, 2021, at the change of the day from February 17 to February 18 when the system was bringing in the next day COP, Austin Energy's RT Desk Operator saw the unit had been submitted with 'OFFNS' and took action within 15 seconds to override the RST to 'ON'.

Austin Energy has completed various corrective actions. Austin Energy has modified its procedures to activate and move from a two person shift to a three-person onsite shift if a significant weather event is forecast to occur during such shift. Increasing staff on the real-time desk during forecasted events when Incident Command is activated will help manage overall workload and communication flow to reduce the risk of error, the settlement stats

Austin Energy agrees to the disgorgement of $23,462.53 in excess revenues resulting from the alleged violations described above

Under 16 TAC § 22.246(k), disgorged excess revenues must be remitted to ERCOT, and ERCOT must distribute the excess revenue to affected wholesale electric market participants either in proportion to their load during the intervals when the violation occurred or by a different, appropriate distribution method. Under 16 TAC § 22.246(k), if the Commission determines that a different distribution method is appropriate, the Commission can direct Commission Staff to open a subsequent proceeding to address those issues.

According to the settlement, Commission Staff asserts that it is appropriate to use a distribution methodology that is different than what is provided for under 16 TAC § 22.246(k). Austin Energy understands that Commission Staff will propose opening a second proceeding for the Commission to determine the appropriate distribution method.

The settlement notes that, "execution of this Agreement does not admit the truth or accuracy of any disputed claims or allegations."

Docket No. 54957

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