Improved Transmission Constraint Screening for Market Operations

This paper proposes two potential transmission constraint screening processes (TCSPs) for consideration with respect to the energy market administered by the New York Independent System Operator, Inc. (NYISO). The proposed TCSPs are intended to dynamically prevent duplicate and redundant transmission shortages from being priced by the graduated transmission shortage mechanism employed in the NYISO-administered markets, which is often referred to as a “graduated transmission demand curve” (GTDC or TDC). The goal is to create mechanisms to avoid unnecessarily high locational marginal prices (LMPs) that can result from multiple-counting of the shortage price of duplicate/redundant transmission constraints or the application of multiple TDC-imposed shortage costs on a single facility. The proposed TCSP approaches are tested on historical power market data that show more meaningful price signals and reflect accurate system conditions.