ERCOT Developing RFP For Demand Response, Generation Capacity To Address Overloads Associated With South Texas Export Constraint

AI generated summary

ERCOT is developing a framework for a possible request for proposal (RFP) aimed at mitigating the need for load-shedding during the summer of 2024 in the ERCOT System due to transmission constraints in South Texas. The RFP will seek capacity sources that are north of the constraint and in counties with higher shift factors, primarily focusing on demand response and generation resources to address the transmission emergency.

ERCOT is considering various participation options for the RFP, including locationally optimal Generation Resources, Energy Storage Resources, Settlement Only Generators, and Emergency Response Service participants. The organization is also evaluating critical RFP features such as procurement schedule, quantities of capacity needed, and the potential requirement of a Qualified Scheduling Entity (QSE) for all participating capacity sources. ERCOT aims to finalize guidance for the RFP by the May 2, 2024, open meeting and is prepared to pursue all necessary options to alleviate the need for load-shedding across the ERCOT System.