CARMEL, Ind. — Today, MISO released the results of its 2024 annual Planning Resource Auction (PRA) which is a means to assess the adequacy of generation capacity to meet demand over the upcoming planning year (June 2024 – May 2025). The 2024 PRA demonstrated sufficient capacity at the regional, sub-regional and zonal levels with one exception. This is the second year the grid operator utilized its seasonal capacity construct to better reflect the changing risks associated with the ongoing resource transition.
“Once again, our seasonal construct worked as designed by identifying the highest risk periods on the system,” said Clair Moeller, MISO’s president and chief operating officer. “These results continue to provide real-world examples of the urgent and complex challenges to the electric grid in the MISO region.”
The Auction Clearing Prices were identical across the MISO footprint except for the part of Missouri within the MISO footprint (Local Resource Zone #5). In Zone 5, the auction indicated inadequate capacity to meet its local clearing requirement, in the fall and spring seasons. As a result, Zone 5 cleared at the seasonal Cost of New Entry of $719.81/MW-day, which is the maximum Tariff-allowed price equivalent to the cost of building a new generation resource. The MISO-wide seasonal clearing prices were:
· Summer (June, July and August) prices cleared at $30.00/MW-day
· Fall (September, October and November) prices cleared at $15.00/MW-day
· Winter (December, January and February) prices cleared at $0.75/MW-day
· Spring (March, April and May) prices cleared at $34.10/MW-day
Load Serving Entities that entered the MISO auction without enough capacity to meet their resource adequacy requirements will pay the Auction Clearing Prices for their capacity shortfall. Impacts to consumer costs will depend upon the shortfall amount and other factors such as wholesale purchase agreements or retail rate arrangements with state regulators.
“This year’s results amplify the need and urgency for MISO’s efforts around resource availability and market redefinition as outlined in the Reliability Imperative.” Moeller continues. “We will continue working with our member utilities and states to hone regional planning processes and market mechanisms to meet the needs of our evolving fleet.”
MISO’s Independent Market Monitor (IMM) has reviewed the offers and results of the 2024 PRA and agrees with the results. MISO will host the 2024 Planning Resource Auction Results meeting April, 26 at 2 p.m. ET.