RESOURCE ACCREDITATION IMPROVEMENTS The goal of resource accreditation is to incentivize improved availability throughout the year, especially in periods where margins are tight. MISO’s current Resource Adequacy Construct allows many exceptions to real time availability. The PRA allows resources to offer and clear the auction without a reduction in their capacity credit, even in light of these exceptions. Because resources can use these exceptions without a reduction in their capacity credit, there is little incentive to be available in times of need. Additionally, MISO has many different resource types, each with different capabilities. MISO’s current accreditation methodologies do not accurately reflect these capabilities. For instance, some resources have use limitations that are not efficiently accounted for in accreditation. One example is the lead-times of resources to respond which are not factored into the credit they receive. Ideally, MISO would have a capacity accreditation methodology that accounts for actual resource availability, specific resource capabilities as well as the deliverability of resources. Also, LMR accreditation will be critical as those resources become more prevalent within the MISO footprint and continue to make up a significant portion of the PRM as shown below in the Day-Ahead Must Offer chart. MISO developed several guiding principles related to accreditation that include: 1) incentivized availability for periods of tight margins; 2) removal of exceptions currently in place that limit availability; 3) providing visibility into actual availability of all resource types throughout the year to better manage reliability risks; and 4) the establishment of a more universal methodology for all resource types that accounts for a resource’s specific capabilities. Load-Modifying Resources are an Increasing Share of Cleared Capacity Resources Planning Resource Auction Year Total Cleared Demand Resources (DR) DR as % of Total Cleared Behind-the-Meter Generation (BTMG) BTMG as % of Total Cleared DR + BTMG as % of Total Cleared 2017-18 134,753 6,014 4.5% 3,456 2.6% 7.0% Planning Resource Auction MWs Cleared 2018-19 135,179 6,964 5.2% 4,098 3.0% 8.2% 2019-20 134,743 7,372 5.5% 4,097 3.0% 8.5% 18
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