E3_EDT_Phase2_Methodology_and_Sensitivities_2011-04-22

Phase 2 Overview & MotivationOverall Goal: Estimate the societal benefits of implementingan EIM throughout the West (excluding CAISO and AESO)Phase 1 (completed):• Identified significant benefit to more coordinated operations bycomparing a scenario with existing operations to a consolidatedbalancing energy market across the West• Indicated those results are sensitive to zone definitions, reserveprocurement, and hydro assumptionsPhase 2 will seek to improve precision of EIM benefitestimation by:• Increasing zonal resolution• Improving quality of assumptions regarding reserve procurement &hydro under Benchmark & EIM Cases• Testing sensitivity to partial participation and other factors, as timepermits8