What you Need to Know: Energy Trader Southwest Power Pool

If you are an energy trader Southwest Power Pool (SPP), you know the that the SPP is one of the nine Independent System Operators/Regional Transmission Organizations (ISO/RTO) as well as one of the eight Regional Entities empowered by NERC and FERC to enforce compliance with the NERC standards.  It serves in the capacity of ensuring compliance, while also ensuring fair and equitable access to the North American Power Grid in its region.

Here’s the scoop on what an energy trader southwest power pool needs to know to compete and thrive in the SPP marketplace.

SPP Historical Backgroundsouthwest_power_pool_logo

The SPP dates back to 1941 when a group of regional power companies joined together to ensure the grid was powered to meet critical defense needs during World War II. After the war, the SPP’s leadership decided the organization should continue to coordinate and ensure the reliability of the power grid.

Following the Northeast power interruption in 1965, SPP joined with other entities to form what later became NERC. In 2004, SPP became an RTO and then in 2007, it became a Regional Entity for NERC.

The organization is based in Little Rock, Arkansas and has over 570 staff members. The SPP geography covers nine states, which are:

  • Arkansas

  • Kansas

  • Louisiana

  • Mississippi

  • Missouri

  • Nebraska

  • New Mexico

  • Oklahoma

  • Texas

Key Roles of the SPP

For an energy trader Southwest Power Pool, it is important to understand the key roles of the RTO and Regional Entities.  In general the SPP helps unify and coordinate its members to ensure the delivery of electricity to customers. It does this through a variety of activities and key roles which include:

  • Reliability Coordination

  • Tariff Administration

  • Regional Scheduling

  • Transmission Expansion Planning

  • Market Operations

  • NERC Compliance

  • Training and Education

  • Contract Services for Non-Members

Energy Trader Southwest Power Pool Tools

For an energy trader, Southwest Power Pool offers their Integrated Marketplace a high functioning, high tech approach to market management. The Integrated Marketplace aims to maximize the cost-effective generation and transmission of energy while improving regional balancing of supply and demand. Launched on March 1, 2014, the Integrated Marketplace includes:

  • Day-Ahead Market Reports with Transmission Congestion Rights

  • Reliability Unit Commitment

  • Real-Time Balancing Market

  • Price-based Operating Reserve Market

  • One single SPP Balancing Authority

The Integrated Marketplace is constantly refining itself. The next phase of development will include additional tools.

Call Versify Solutions today for more information about energy trader Southwest Power Pool Tools, tips and insights!