Folsom, Calif. (April 1, 2021) – The largest publicly owned utility in California and the largest electric power provider in New Mexico began participating in the California Independent System Operator’s (ISO) Western Energy Imbalance Market (EIM) today.
Los Angeles Department of Water and Power (LADWP) and the Public Service Company of New Mexico (PNM) make up the most recent wave of new Western EIM entities joining the market this year. PNM’s entrance into the Western EIM expands the real-time energy market into New Mexico.
“We are very pleased to welcome LADWP and PNM as new participants in the Western EIM,” said ISO President and CEO Elliot Mainzer. “We look forward to working with both utilities to bring additional economic and environmental benefits to their customers as we further expand the geographical scope of the real-time energy market.”
On March 25, the Balancing Area of Northern California (BANC) Phase 2, and the Turlock Irrigation District (TID) began participating in the Western EIM, marking the start of a record-setting year for the number of new participants scheduled to join the realtime energy market. In June, NorthWestern Energy is slated to join, extending the Western EIM’s footprint to Montana.
With five participants coming online, the Western EIM will provide increased economic and reliability benefits through the real-time transfer of energy. Because of the West’s expansive geographical and resource diversity, savings to consumers in California have surpassed $300 million, and overall benefits to participants in the Western EIM have exceeded $1 billion.
The ISO Board of Governors and the Western EIM Governing Body view the Western EIM’s success as just the start. Last week, they jointly met to discuss strategic issues including the growth of the Western EIM, summer preparedness, and the continued interest in providing additional benefits through enhanced regional collaboration. The March 25 joint executive session was an opportunity for both bodies to strengthen their relationships and alignment around issues of West-wide interest.
“We are committed to strong collaboration with our regional partners which is the best path forward to achieving reliable system operations in a world of extreme weather and an evolving resource mix,” said Angelina Galiteva, chair of the ISO Board of Governors.
“The hard work and collaboration that has occurred since the heat events of last summer demonstrate that the industry, as a whole, is facing common reliability challenges and can all benefit from solving them together,” added John Prescott, chair of the Western EIM’s Governing Body.
The Board of Governors and the Western EIM Governing Body meet periodically every year to discuss strategic planning, current issues, and energy market trends. The success of the Western EIM is in large part due to their commitment to transparency, and the valuable stakeholder engagement embedded in the ISO’s public processes.
Since its launch in 2014, the Western EIM has provided more than $1.18 billion in economic and environmental benefits using state-of-the-art technology to find and deliver low-cost energy to meet real-time demand. By 2023, 22 active Western EIM participants will represent over 83 percent of the load within the Western Electricity Coordinating Council (WECC).
For information about the real-time energy market, quarterly benefits, reports, governance, initiatives, and upcoming meetings, visit the Western EIM website.
Source: California ISO