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Electree ESCO Opposes ConEd ‘s FERC Waiver Request To Correct Billing Data Previously Provided To NYISO
Electree’s responds to ConEd’s February 16 petition saying that, “on November 12, 2023, Con Edison made an inadvertent error with respect to its role as the metering authority for its transmission district resulting in a significant underreporting of the generation production values from the Astoria Energy, LLC (‘Astoria Energy’) Unit 1 Facility located in NYISO Zone J (the ‘Astoria 1 Facility’).”
As background, on February 16, 2024, Consolidated Edison Company of New York, Inc. (‘Con Edison’, ‘ConEd’, or the ‘Company’) filed a petition at FERC filed by in which ConEd moved for a limited one-time waiver of section 7.4.1 of the New York Independent System Operator’s (‘NYISO’s’) Market Administration and Control Area Services Tariff (‘Services Tariff’)
In its opposition to the filing Electree poses,
Threat to Market Integrity and Procedural Discipline
“Granting the requested waiver poses a severe threat to the integrity of NYISO’s market operations and the procedural discipline that is essential for an orderly, rules-based marketplace. Allowing retroactive data corrections of this magnitude, even if unintentional, compromises the strict standards of accuracy and accountability. It enables a dangerous precedent of leniency that could diminish the overall integrity of the market’s processes. Market participants must have full confidence that billing data cannot be adjusted once reporting deadlines have passed.”
- Undue Financial Burden on LSEs and Consumers
“Con Edison’s errors have directly and unduly burdened LSEs through issuing inaccurate energy billing data and the prospect of unplanned, retroactive payment adjustments. This situation threatens the financial planning capabilities and stability of LSEs. Ultimately, the costs and risks created by Con Edison’s mistakes get passed through to consumers in the form of unexpected rate increases, eroding consumer confidence and violating principles of market transparency. LSEs and consumers should not bear the financial repercussions of a utility’s avoidable errors.”
- Lack of Transparency and Due Process
Any process to adjust billing data after the NYISO’s established reporting deadlines have lapsed must adhere to the highest standards of transparency and due process. This is critical to protect all market participants from potential disadvantages. Con Edison has not provided adequate justification for why its error warrants the extraordinary remedy of a full waiver that 3 could unfairly impact other parties financially. The Commission should require strict adherence to its rules and processes to ensure an equitable playing field. D. Accountability for Reporting Inaccuracies To uphold market integrity and discipline, Con Edison must be held fully accountable and responsible for bearing the principal consequences of its own reporting inaccuracies. Granting an extraordinary waiver without requiring Con Edison to bear the majority of the financial impact would set a deeply concerning precedent – that errors by market participants can be rectified at the expense of others. This moral hazard undermines market fairness.
ER24-1291
Motion To Intervene And Opposition Of Electree LLC
