NEPOOL OPERATING PROCEDURE NO. 4

	ACTION DURING A CAPACITY DEFICIENCY

APPROVED:		August 21, 1998 by the NEPOOL Regional Market Operations Committee and the NEPOOL Regional Transmission Operations Committee to be implemented for the Second Effective Date for Market Implementation 

REFERENCES: NERC Policy No. 5, Emergency Operations
 	   NPCC Emergency Operation Criteria A-3
  	   NPCC Operating Reserve Criteria A-6
  	   NEPOOL Operating Procedure No. 7 - Action in an Emergency (OP 7)
  	   NEPOOL Operating Procedure No. 8 - Operating Reserve and AGC (OP 8)
  	   NEPOOL Operating Procedure No. 10 - Power System Emergency Reporting Procedures (OP 10)		
		NEPOOL Operating Procedure No. 14 – Technical Requirements for Generation and Load (OP 14)
	Master/Satellite Procedure No. 2 - Abnormal Conditions Alert (M/S 2)
			Master Satellite Procedure No. 3 - Curtailment of NEPOOL Interruptible Loads (M/S 3)
			NEPOOL Market Rules and Procedures

SATELLITE INSTRUCTIONS:

CONVEX:		 	Operating Instruction 0004 ‑ Action During A
Capacity Deficiency

MAINE:	 		Operating Procedure No. 4 ‑ Action During A
 	Capacity Deficiency

NEW HAMPSHIRE:	Operating Procedure No. 4 ‑  NHSOP #4 - Capacity Deficiency Actions

REMVEC II:	 		Operating Procedure No. 4 ‑ Action During A
 	Capacity Deficiency

Table of Contents

I.	IMPLEMENTATION BY ISO NEW ENGLAND	4

II.	CANCELLATION OF ACTIONS	8

III.	IMPLEMENTATION BY SATELLITES	8

IV.	COMMUNICATIONS TO SATELLITES	8

V.	IMPLEMENTATION OF AN ALERT	9

VI.	PUBLIC NOTIFICATIONS	9

Appendix A - Estimates Of Additional Generation And Load Relief From System Wide Implementation Of Actions In NEPOOL Operating Procedure No. 4

PART I - INTRODUCTION

This procedure establishes criteria and guides for actions during capacity deficiencies, as directed by the ISO and as implemented by the ISO and the Satellite Control Centers.  This procedure may be implemented any time one or more of the following events, or other similar events, occur or are expected to occur:

•	NEPOOL's available capacity resources are insufficient to meet the anticipated load plus Operating Reserve requirements.

•	One or more contingencies have occurred resulting in an immediate deficiency in NEPOOL's available capacity resources required to meet the load plus Operating Reserve requirements.

•	Transmission facilities into a subarea of NEPOOL are loaded beyond established transfer capabilities.

•	A subarea of NEPOOL is experiencing abnormal voltage and/or reactive conditions.

•	The need to implement manual load shedding as required by NEPOOL Operating Procedure No. 7 - Action In An Emergency – (OP 7) is imminent but load shedding may be avoided, or reduced in magnitude, by application of this procedure.

•	Another NPCC Area, or a remote system or pool, is experiencing a capacity deficiency and has requested assistance from the ISO, which, if provided, will reduce NEPOOL's actual Operating Reserve below the required levels.

Appendix A contains an estimate of the additional generation and load relief which will be achieved through implementation of the actions specified in this procedure.

PART II - PROCEDURE

I.	IMPLEMENTATION BY ISO New England

The ISO will alert the Satellites promptly any time one or more of the above conditions are anticipated, or have actually been experienced, and application of this procedure may be required.  The alert will be issued in accordance with Master/Satellite Procedure No. 2 Abnormal Conditions Alert (M/S 2).  Upon implementation, the ISO will notify the Satellites of the actions required by number.  The ISO and the Satellites will initiate actions according to the authority and responsibility assigned by this document.  The ISO may dispatch resources as required to ensure reliability in New England during implementation of OP 4. 

Action 1 through action 10 will be implemented to the extent required to maintain full Operating Reserve, in accordance with NEPOOL Operating Procedure No. 8 (OP 8) - Operating Reserve and Automatic Generation Control and/or to provide necessary dispatch options during abnormal conditions.

These first ten actions of OP 4 do not result in degraded operating reliability since full operating reserve requirements are maintained.  These actions do not impact NEPOOL Participants' customers beyond what is contractually provided.  The quality of customer service is not impacted by implementation of actions 1 through 10 of OP 4.

ACTION 1 (Note 1)

The ISO will inform all generators that a capacity shortage exists.  Each generator will prepare to provide any additional Operable Capability previously identified as being available under emergency conditions.

		Implement a Power Caution. 

ACTION 2  (Note 2)

Order on all generating units less than 5 MW requiring special treatment by the ISO.

Notes:	1.  An ISO responsibility
2.  A Satellite responsibility
3.  ISO responsible for plants, Satellites for office complexes.

ACTION 3  (Note 2)

Curtail Type 2 NEPOOL Interruptible Loads, Block E.

ACTION 4  (Note 2)

Curtail Type 2 NEPOOL Interruptible Loads, Block D.

ACTION 5  (Note 2)

Curtail Type 2 NEPOOL Interruptible Loads, Block C.

ACTION 6  (Note 1)

Arrange to purchase available emergency capacity and energy, or energy only, (if capacity backing is not available) from neighboring pools and Control Areas.

ACTION 7  (Note 2)

Curtail Type 2 NEPOOL Interruptible Loads, Block B.

ACTION 8  (Note 2)

Curtail Type 2 NEPOOL Interruptible Loads, Block A.

ACTION 9  (Note 3)

Request voluntary load curtailment of NEPOOL Participants’ facilities in the New England Control Area.

Implement a Power Watch.

ACTION 10  (Note 2)

Request all of the customer generation contractually available to NEPOOL Participants.

Curtail Type 5 NEPOOL Interruptible Loads.

Notes:	1.  An ISO responsibility
2.  A Satellite responsibility
3.  ISO responsible for plants, Satellites for office complexes.

Actions 11 through 15 represent more extreme dispatch actions.  Implementation of these actions may result in degraded system reliability since full operating reserve required for normal operation is not maintained.  The quality of customer service may be impacted by implementation of some of these actions.

ACTION 11(Note 1)

Allow the 30-minute reserve to go to zero.

Action 12 will be implemented to the extent required to maintain 10-minute reserve, in accordance with OP 8, and to enable the ISO to better cope with possible continuing and deteriorating abnormal operating conditions.

ACTION 12(Note 2)

Implement a voltage reduction of five percent of normal operating voltage requiring more than 10 minutes to implement.

(Note 1)
Alert the New York Power Pool (NYPP) that sharing of reserves within Northeast Power Coordinating Council (NPCC) may be required.

Action 13 will be implemented to maintain adequate 10-minute synchronized reserve in New England.  The amount of 10-minute synchronized reserve to be maintained will be determined based on actual system conditions at the time of the shortage or the need to aid another NPCC Area under the NPCC Operating Reserve Policy.

ACTION 13  (Note 2)

Implement a voltage reduction of five percent of normal operating voltage that is attainable within 10 minutes.

(Note 1)
Request NYPP to arrange to have NPCC Areas provide emergency energy to NEPOOL.

Notes:	1.  An ISO responsibility
2.  A Satellite responsibility
3.  ISO responsible for plants, Satellites for office complexes.

Actions 14 and 15 will normally be implemented by the ISO through the Satellites based on advance projections made by the ISO that it will be necessary to implement actions 1 through 13, and that it will not be possible to maintain adequate 10-minute synchronized reserve.  When actions 14 and 15 are requested, the particular hours that they are to be implemented will be specified by the ISO.  Actions 14 and 15 should be implemented as early as possible to achieve maximum benefit.

ACTION 14  (Note 2)
		
Request all of the customer generation not contractually available to NEPOOL Participants.

Request voluntary load curtailment by large industrial and commercial customers.

ACTION 15  (Notes 1 and 2)

Initiate radio and television appeals for voluntary load curtailment.

Implement a Power Warning. 

Depending on the circumstances and the time required to institute certain of the above actions, it may be necessary to call for some actions simultaneously, or to alter the order of initiations.  When all of the above actions have been taken, further action, if required, is covered under NEPOOL Operating Procedure No. 7 - Action In An Emergency (OP 7).

It may be necessary to implement NEPOOL Operating Procedure No. 7 - Action In An Emergency (OP 7), prior to the implementation of all of the above actions.  If, at any time during implementation of the above actions, it appears that implementation of NEPOOL Operating Procedure No. 7 will be required; the ISO shall so notify all Satellites.

Notes: 1.  An ISO responsibility
2.  A Satellite responsibility
3.  ISO responsible for plants, Satellites for office complexes.
II.	
CANCELLATION OF ACTIONS

When the system conditions have improved sufficiently, the ISO will cancel the actions instituted in Section I. above.  Depending on system conditions, the order of cancellation may be different from the order of initiation.

III.	IMPLEMENTATION BY SATELLITES

Any of the actions provided in this procedure may be implemented by a Satellite to deal with local conditions within that Satellite.  The severity of the condition will determine the actions taken.

IV.	COMMUNICATIONS TO SATELLITES

The ISO Control Room Staff will use the "party line" telephone circuit to implement this procedure.  The ISO will briefly inform all Satellites simultaneously of system conditions and issue an implementation message as illustrated below.  Each Satellite, in alphabetical order, will repeat back the message to provide acknowledgment.

Typical Messages:

Implementation 

•	ISO to all Satellites: Implement NEPOOL OP 4, Actions 1 and 2 at 0930.

•	ISO to REMVEC II: Implement NEPOOL OP 4, Action 2 through Action 4 at 1030.

•	ISO to all Satellites: Implement NEPOOL OP 4, Action 6 at 1100.

	*Note:		Where substantial lead time is required for some NEPOOL Interruptible Loads, it will be necessary to specify the time and day/date of implementation.  This notification will take place using Master/Satellite Procedure #3. 

 	Cancellation

•	ISO to all Satellites: Cancel NEPOOL OP 4, Actions 2 and 1 at 1200.

•	ISO to REMVEC II: Cancel NEPOOL OP 4, Actions 4 through 2 at 1300.       
•	ISO to all Satellites: Cancel NEPOOL OP 4, Action 6 at 1400.

Each Satellite shall be responsible for keeping its member companies and the ISO informed of all situations pertaining to implementation and cancellation of this procedure.  The ISO will make notifications to the Department of Energy as required by NEPOOL Operating Procedure No.10 ‑ Power System Emergency Reporting Procedures (OP 10).  The Satellites will make notifications to state regulatory agencies as required.  The ISO will issue a report to the appropriate NEPOOL Committee(s) following implementation of this procedure.

V.	IMPLEMENTATION OF AN ALERT

The ISO Control Room staff will notify, as appropriate, the Satellites and the generation stations or designees as soon as OP 4 conditions are anticipated or underway by executing its responsibilities as declared by Master/Satellite Procedure No. 2 (ABNORMAL CONDITIONS ALERT).

VI.	PUBLIC NOTIFICATIONS

Notifications associated with the forecasted or actual implementation of OP 4 will be conducted in accordance with OP 10 for Abnormal or Emergency Conditions.  Power Advisories will be issued by the ISO via its external web-site.  These Power Advisories will be triggered by the implementation of certain actions of OP 4 as described below These notifications are considered public information.

Power Caution 

A Power Caution is triggered by the initial implementation of OP 4 action 1.  A Power Caution is defined as a notification that electric reserves can no longer be maintained using normal measures.  Although full reserves are being maintained, utility personnel will begin to take further steps to continue to maintain these reserves.      

Power Watch  

A Power Watch is triggered by the implementation of OP 4 action 9.  A Power Watch is defined as a notification that further steps to manage capacity could affect the public.

Power Warning

A Power Warning is triggered by the implementation of OP 4 action 15.  A Power Warning is defined as a notification for public appeals when an immediate reduction in power usage is necessary to avert overload of the electrical system.  Public appeals are made when other efforts (e.g. emergency purchases, voluntary curtailment, contracted curtailment and voltage reduction) have been unsuccessful in bringing supply and demand back into balance.

Document History

	ESTIMATES OF ADDITIONAL GENERATION AND LOAD RELIEF
	FROM SYSTEM WIDE IMPLEMENTATION OF ACTIONS IN
	NEPOOL OPERATING PROCEDURE NO. 4 - ACTION DURING A
	CAPACITY DEFICIENCY BASED ON A 21,000 MW SYSTEM LOAD

(Actual MW available may be greater or less than indicated values depending
on system conditions and the circumstances of the implementation)

Action #	Description							MW

    1		Implement Power Caution AND ADVISE 								GENERATORS TO PREPARE TO PROVIDE 								EMERGENCY ENERGY					0

    2		Order on generation <5 mw requiring special ISO treatment	0

    3		Curtail Type 2					 		0
NEPOOL Interruptible
Loads - Block E

    4		Curtail Type 2					 		0
NEPOOL Interruptible
Loads - Block D

    5		Curtail Type 2							35
NEPOOL Interruptible
Loads - Block C

    6		Purchase Emergency				   Variable, depending on
Capacity and					      system conditions
		Energy			 		  (Could be between 500 and 1,000 MW)

    7		Curtail Type 2							95
NEPOOL Interruptible
Loads - Block B

    8		Curtail Type 2							60
NEPOOL Interruptible
Loads - Block A

    9		Voluntary Load							40  
Curtailment of
NEPOOL Participants'
Facilities
Implement Power Watch

Action #	Description							MW
   
10		Customer Generation						40
Contractually
Available to NEPOOL
Participants During
a Capacity Deficiency

Curtail Type 5							30
NEPOOL Interruptible 
Loads

Total Action 10				      			70

   11		Allow 30 Minute		   		About 575 MW, depending on
Reserve to go to			 		      NEPEX 2nd contingency
Zero (0)

   12		Implementation of						0
5% VR Requiring More
Than 10 Minutes

		At this point the New England	   		About 1,000 MW, depending on
		ten-minute reserve will be      			system conditions and
		allowed to diminish and		  		circumstances and on NE’s 
		subsequent Actions will be			largest contingency.
		taken to maintain an
		absolute minimum required
		level.

   13		Implementation of						450 
5% VR Requiring 10
Minutes or Less

   14		Customer Generation						45
Not Contractually
Available to NEPOOL
Participants

Voluntary Load							190 (1)
Curtailment by Large
Industrial and
Commercial Customers
 
Total Action 14				     			235

Action #	Description							MW

   15		Radio and TV Appeals			    			200     
for Voluntary Load
Curtailment
Implement Power Warning

Grand Total							3260 - 3760

		NOTES:

(1)   The actual load relief obtained is highly dependent on circumstances surrounding
       the appeals, including timing and the amount of advanced notice that can be given.