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Tesla Won't Bid Into ERCOT Winter Capacity RFP
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Tesla said in a filing at the Texas PUC that, "Tesla regretfully files these comments to notice our intent to not participate in ERCOT's RFP for Capacity for the upcoming 2023/2024 Winter Season."
Among other things, Tesla citing the following as driving its decision:
• "The RFP does not measure performance with consideration for exports. In certain time periods, including those time periods determined by ERCOT to be of high risk, Customers who own devices offset their own load with their solar/storage implements, and potentially export. This is further confounded by the RFP requirement for premise level metering, which requires ERCOT to baseline consumption. Tesla has demonstrated, through the ADER Pilot, and other Emergency Demand Response programs, that the on-board device level metering in a Tesla Powerwall Is sufficiently accurate and eliminates the need for cumbersome baseline approaches to measurement and verification. Our capacity, when baselined during times of low/no load diminish our apparent ability to offset load, which does not accurately value the potential performance of a customer's device."
• "The RFP requires aggregators develop an offer with premise-level details and pricing with customer consent before we know if an RFP response is selected. The aggregator does not know if ERCOT will select their offer, which makes customer recruitment challenging."
Tesla said, "We remain committed to furthering the more market centric ERCOT ADER pilot and supporting the Texas grid during scarcity events. Tesla is confident that the ADER Pilot (1) avoids the need for future costly capacity contracts (2) creates an intuitive, equitable program with pay-for-performance incentives, and (3) leverages the success of ERCOT's energy and ancillary only markets to provide a level playing field for all technologies."
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November 13, 2023
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Copyright 2010-23 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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