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HomeMy WebLinkAbout~Master - Market participation in MISO RESOLUTION NO. 09-302 RESOLUTION APPROVING MARKET PARTICIPATION IN MIDWEST INDEPENDENT SYSTEM OPERATOR FOR THE CITY OF AMES WHEREAS, as the Electric Utility interacts with other utilities in the purchase and sale of power,there are basically three interaction levels—transmission connections,host control area,and regional reliability; and, WHEREAS, the City of Ames electrical system is connected to the outside world through two tie linesa 161-kV line to Central Iowa Power Cooperative's Boone Junction substation and a 69-kV line to MidAmerican Energy's (MEC) Alleman substation; and, WHEREAS, our Host Control Area, also called a Balancing Authority, is MEC, and a Balancing Authority is responsible for the safe and reliable operation of the transmission grid within its purview, and monitors flows, maintains voltage, coordinates facility outages, etc.; and, WHEREAS,over the past 100+years that the Ames Municipal Electric System(AMES)has existed,utilities have moved from isolated, independent systems to an industry where cooperation, connection, and inter-dependence is the norm; and, WHEREAS, to facilitate this inter-dependence, Regional Reliability Organizations were formed, and AMES currently is a member of the Mid-Continent Area Power Pool (MAPP), and MAPP is governed by the members it serves; and, WHEREAS, over the years, AMES has gained access to other sources of generation, increased reliability, and improved power quality, and MAPP membership has afforded municipalities like AMES fair and equal access to these markets; and, WHEREAS, in the mid-to late 1990s,the Federal Energy Regulatory Commission(FERC) came out with orders which required the "unbundling of services" and allowed equal and open access to the service grid; and, WHEREAS, in 2001, FERC approved Midwest Independent System Operator's (MISO's) application to become a Regional Transmission Organization(RTC),and MISO is independent(not run by the member utilities it serves), and is a non-profit organization; and, WHEREAS, in 2005, MISO changed to allow access to the open market; and, WHEREAS, from a transmission standpoint, MISO and MAPP perform similar functions, however, since MISO's inception, utilities had an option of choosing which operating model best suited their needs; and, WHEREAS,over time,MISO has become the favored model by many of the original creators of MAPP; and, WHEREAS, MAPP would remain as the Regional Reliability Organization for the time being,however,it will soon shrink to a size where some of the most beneficial services it offers will cease; and, WHEREAS, over the long term, Ames is well positioned to participate and benefit from being a market participant in MISO; and, WHEREAS, on June 24, 2009,the Electric Utility Operations Review and Advisory Board (EUORAB)unanimously approved entering into the agreements to join MISO. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the market participation in Midwest Independent System Operator(MISO)is hereby approved. ADOPTED THIS 6`'day of July, 2009. C��'*"R. (Y-11& A. Vim' �L�v Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Popken Seconded by: Goodman Voting aye: Doll, Goodman, Larson, Mahayni, Popken Voting nay: None Absent: Rice Resolution declared adopted and signed by the Mayor this 6" day of July, 2009.