We have served as an independent system operator’s (“ISO”) market expert in a variety of capacities, including development of the initial design of its Forward Capacity Market (“FCM”).
Our work involved leading various ISO project teams in developing the detailed market design, and interacting with developers, engineering companies, and other entities involved in the construction and operation of a variety of generation technologies to ensure that the final design of the FCM reflects the business concerns of market participants. We used information gathered from these interactions to construct a financial model to support the bidding structure for the FCM, and to support the market design in general.
We then supported the ISO internal market monitor in the evaluation of bids and offers for participation in the FCM. We assessed the reasonableness of new capacity offers to determine whether the bids accurately reflect the long-run average cost of the new capacity net of expected revenues from other non-capacity markets.