Implications of market reforms in an RTO
For an RTO, Brattle experts evaluated the effects of coal retirements and increasing wind penetrations on resource adequacy and sub-hourly system performance. Our analysis included probabilistic simulations of several resource adequacy metrics across varied reserve margins and wind penetrations. We analyzed the ability of an energy-only market design to attract new entry and then found the resulting equilibrium reserve margin and level of resource adequacy. We simulated the implications of proposed market reforms on resource adequacy and operations, including increasing energy market price caps, capacity market reforms, and new ancillary services.