APX is pleased to present a summer update on current and future activities of the CAISO Market Redesign and Technology Upgrade (MRTU). This issue includes:

• APX MRTU Applications
• MRTU Market Simulation
• CAISO MRTU Training
• California Power Market Changes – Best Practices
• Key 2007 MRTU Dates

APX is actively engaged in the CAISO market simulations and confirms select functionality of the new Checkout, Bid/Offer and certain Settlement Verification Applications. Additionally, APX is making available to clients, market simulation related data through the APX Platform Explorer for review.

The APX team and our clients are using the APX Applications through all testing phases with the CAISO to better understand the specifics of the ISO implementation. This testing also provides our clients the ability to test their specific business cases. APX will expand the application functionality as various market simulation phases add functionality between now and go live.

During the various phases of market simulation, APX will continue to deploy added features and functionality of the APX Platform to our clients. Examples of these features include: Application for Inter-SC Trades entry, checkout detail for trades, and additional improvements in the Settlement Verification Application.

Integrated Market Simulation Release 3 (IMS R3)
The current phase of market simulation, IMS R3, is underway and scheduled to end on November 9th.  The goal of IMS R3 was to successfully trace data from bid to bill for certain market activities and their settlement. Over the past six weeks, the stability of the market simulation environment has improved; however there continued to be new CAISO issues. A primary challenge during simulation has been to successfully run the market software with market participants submitting bids directly into the CAISO systems rather than the relying on the CASIO to submit the bids.

Integrated Market Simulation Release 3 Update 1 (IMS R3U1)
The next stage of market simulation, known as Integrated Market Simulation Release 3 Update 1 (IMS R3U1), is scheduled to begin on November 13th. This stage will add a few market facing items and will be the first time that the underlying network model used in the market simulation software will be similar to the one that is expected to be used at go live.  The network model being used in IMS R3U1 simulation is the same network model used for allocating and auctioning Congestion Revenue Rights and represents the current configuration of the CAISO grid.

RDT & Market Simulation Bid Files
To keep everything synchronized and for use in IMS R3U1, the CASIO market simulation team has distributed updated Resource Data Templates (RDT). In addition to the RDTs for each phase of market simulation, the CAISO will distribute market simulation bid files. Please forward any RDT and Market Simulations Bid files you receive from CAISO to either Cris Gallegos or Spence Gerber. In doing so, we can provide an accurate representation of your resources and loads during the market simulation.

The CAISO is offering a 3 day Bid to Bill course November 12, 13 and 14. The majority of attendees give this course a favorable review. Each day covers the market from a different perspective with day 1 focusing on generators, day 2 on Interties and day 3 on Demand. While taking all three days may be optimal, attendance on a single day is useful. Although the official registration deadline was October 26, do contact your Client Representative at the CAISO directly to see if there is space available. If you are interested in the training and don't have a CAISO Client Representative assigned to you, contact Cris Gallegos.

The CAISO will also be providing settlement training specific to the IMS R3U1 market simulation. If consistent with the previous sessions, two or three select Charge Codes that are in scope for the simulation phase would be presented in a validation walkthrough. A specific numeric example is traced through the system from bid to bill including identification of the particular data elements required to validate the charge. The format isn't as overwhelming as some of the other MRTU Settlement training, but does assume a basic understanding of how the MRTU market works. The specific date and time for this training has not been set, but it will occur the week of November 12. There is no formal registration required and it will be made available via webinar. Keep an eye on the CAISO calendar or market notices for the specific dates.

The California MRTU market changes are both imminent and complex. By understanding these changes, you have an opportunity to turn them to your advantage.

For more information on what you need to know, download the best practices guide:
The Future of Power Markets in California and Texas.

Please contact Cris Gallegos at 408.517.2154, Spence Gerber at 916.351.9759 or Tony Frontino at 714.544.1774 if you have any questions about the APX MRTU applications and how you can become involved in market simulation activities.

Key 2007 MRTU Dates