FOR IMMEDIATE RELEASE

 

 

PLEXOS Solutions Starts CA LMP Forecasting Service

 

September 11, 2007

 

Sacramento, CA - PLEXOS Solutions recently announced a consulting service to forecast Locational Marginal Prices (LMPs) in the new California market.  This market will be implemented by the California Independent System Operator (CAISO) in early 2008 and is referred to as the Market Redesign and Technology Upgrade (MRTU).  The CAISO MRTU redesigns the procedures used for forward scheduling and congestion management.

 

PLEXOS Solutions forecasts hourly LMPs for over 3000 nodes in CA for any period of time ranging from one week to 20+ years.  The hourly LMP forecast includes:

 

·         Aggregated Pricing Nodes (APnodes)

·         Pricing Nodes (Pnodes)

·         Load Aggregated Points (LAPs)

·         Trading Hubs

·         LMP components by node (energy, congestion, and marginal losses)

PLEXOS Solutions uses an advanced software solution, PLEXOS, to develop an optimal unit commitment and dispatch subject to potentially complex generation, transmission, emission, and system constraints.

 

The PLEXOS software is used by the CAISO as one of several tools to help the CAISO implement MRTU, so that the new structure will provide a more efficient and transparent market than exists under the current zonal structure.

 

PLEXOS Solutions models the entire Western Electricity Coordinating Council (WECC) region at varying levels of detail depending on the region’s impact on CA prices.  PLEXOS Solutions uses a unique process developed by the CAISO to account for the market scarcity function (which is dynamic and changes every hour for each CA zone) based on the hourly available energy and ownership.

 

These LMP forecasts can be used for a variety of critical tasks including bid preparation, resource scheduling, fuel budgeting, asset and portfolio evaluation, and Congestion Revenue Right (CRR) valuation and hedging.  For more information regarding this service, please contact Eric Toolson at (916) 722-1484.

 

About PLEXOS for Power Systems – PLEXOS uses an industrial-strength LP/QP/MIP solver to deliver solutions to tough utility problems. PLEXOS is the platform at over 50 organizations globally for solving problems in operations, planning and risk, and market and transmission analyses (including LMP formation). For more information, visit www.plexossolutions.com.

 

About PLEXOS Solutions LLC: The Company is focused on bringing software solutions to

utilities, gencos, consultants, and ISOs. The management and technical team understands this

market and knows how to assist customers to deploy the next generation solution.

 

Contact / More Information: For more information regarding this study, please contract

Eric Toolson, PLEXOS Solutions LLC, at (916) 722-1484 (e-mail etoolson@plexossolutions.com)