Attention Contractors!

Cal ISO (Independent System Operator) Predicts Power Outages Due to Excessive Heat

Due to record high temperatures throughout the west beginning June 20th, Cal ISO is cautioning businesses and residents in Southern California that power outages may occur over several days due to high demand and a lack of natural gas to fuel the local power plants as a result of the closure of the Aliso natural gas facility in Porter Ranch.

As a precaution, restricted maintenance procedures are in place and the South Coast Air Quality Management District has granted local power plants a 90-day exemption to burn diesel fuel to keep the plants in operation. This event could also trigger “Flex Alerts” which could result in power curtailments for those operations which have agreed to voluntary reductions with their power provider.

The following is the full text of the Cal ISO announcement.

The ISO is anticipating potentially record high temperatures and therefore higher than normal loads on the California ISO system, particularly in the south,

Due to the anticipated high loads, there is a possibility that we will experience gas constraints resulting from the limited operability of the Aliso Canyon natural gas storage facility.  The ISO is expecting to call upon a significant portion of the generation fleet to meet the forecasted load and is closely coordinating with Southern California Gas Company (SoCalGas), LADWP and other adjacent Balancing Areas to mitigate and manage any potential reliability issues.  Market participants are encouraged to anticipate the potential operational demand on their natural gas resources and procure their gas supplies accordingly. Electric generators should take all actions to ensure that they bring in gas supplies to cover their burns, especially for Monday June 20, 2016 and should closely monitor SoCalGas ENVOY for updates on the natural gas situation.

The ISO will be following standard operating procedures as well as the new guidelines and communication plan established for improved gas-electric coordination.  Per the communication plan listed below, ISO Operations will utilize its Market Notification System (MNS) and Automated Dispatch System (ADS) as well as the ISO Today App (available at your phone App store) to notify Market Participants of actions being taken to mitigate gas constraints and gas curtailments, should they be issued by SoCalGas.

Documents for your reference:

Aliso Canyon Preparedness Plan
http://www.caiso.com/Documents/AlisoCanyonPreparednessPlan.pdf

Aliso Canyon - Gas Electric Coordination Communication Plan
http://www.caiso.com/Documents/AlisoCanyon-GasElectricCoordinationCommunicationPlan.pdf

Operating Procedure 4120 - Gas Transmission Pipeline Derates or Outages
http://www.caiso.com/Documents/4120.pdf

Gas Price Spike Process - Section C.3.2 of the Market Instruments BPM
https://bpmcm.caiso.com/BPM%20Document%20Library/Market%20Instruments/Market%20%20Instruments%20BPM%20Version%2039_clean.doc

For More Information Contact

Your ISO Client Representative or submit your questions via the ISO Contact Us website

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