FERC accepts SPP tariff changes for dispatch of co-located power resources
- Resources behind same interconnection point may be jointly dispatched
- Combined output capped at shared Interconnection Service Limit
- SPP targets implementation in third quarter of 2027
Photo: Wikimedia Commons - Quintin Soloviev, CC BY 4.0What changed The order lets market participants elect to have resources co-located behind the same point of interconnection jointly optimized and dispatched within their shared Interconnection Service Limit, instead of each resource being treated separately in SPP's Integrated Marketplace.
WASHINGTON, Oct 28 — The Federal Energy Regulatory Commission (FERC) on Oct 28 accepted Southwest Power Pool, Inc.'s (SPP) proposed tariff revisions that let it dispatch resources co-located behind the same point of interconnection consistent with their shared Interconnection Service Limit.
SPP said in its filing that its Integrated Marketplace treats each co-located resource separately, with each submitting separate bids and offers and receiving its own dispatch instructions. SPP said this design limits the optimal use of available capacity, according to the order in Docket No. ER26-3593-000.
Under the revisions, market participants representing co-located resources may elect to have them jointly optimized and dispatched within their Interconnection Service Limit. The tariff defines that limit as the maximum MW quantity of energy permitted to be injected onto the transmission system at a specific point of interconnection.
SPP gave the example of a resource that can generate 150 MW but has an Interconnection Service Limit of 100 MW. Under the proposal, SPP said, it could be jointly optimized with a co-located storage resource and generate 150 MW, with the excess 50 MW charging the storage resource.
SPP said it will limit market awards and self-commitments so that the combined output of co-located resources does not exceed the limit at that point of interconnection.
The commission found the revisions just and reasonable and said they will enhance market efficiency.
FERC accepted the revisions with a 12/31/9998 effective date, as SPP requested. SPP must make a compliance filing setting the actual effective date no less than seven days before it implements the changes. SPP said implementation is targeted for the third quarter of 2027.
SPP filed the proposal on Aug 24, 2026.