Knowing peak demand is key to planning for reliable power systems. Peak demand determines the amount of power system capacity needed to meet reliability standards. Peak demand will be in decline each year but it is still a critical element of system planning. The peak demand will decrease by 0.14% per year by 2028.
ICAP
ICAP offers utilities pricing signals that encourage investments and promote resource adequacy. ICAP power plants are purchased by utilities in New York to meet peak load requirements. They also have to meet excess wholesale tariff regulations, which are approved and approved by federal regulators. ICAP is used in mandatory capacity markets like ISO New England or PJM Interconnection. It is also used to create ICAPs in Texas and other States.
IRM
IRM is an element of reliability rules that the New York electricity grid must follow. It defines the percentage of supply resources that can meet peak demand and is based on the latest load models. It also considers energy storage technologies and demand response. These devices keep the lights lit during power outages.
DERs
Distributed energy resources, or DERs, offer power quality value through varying production and usage. This can lower energy losses and reduce voltage excursions on distribution feeders. DERs can also supply more power to power plants in case of fluctuating demand.
Generator deactivation assessment
New York Independent System Operator NYISO is implementing stricter regulations on simple-cycle, combustion turbine plants in an effort to reduce ozone. By 2023 or 2025, power plant owners must adhere to the new rules. Currently, 648 MW of peak power generation capacity in New York is being phased out; 1,300 MW of peak capacity is being retrofitted. New York's power plants have higher average temperatures than the rest of the country. This can cause higher-than-normal demand if the plants are deactivated.
DER participation model
The DER participation model in NYISO is designed to ensure that DERs are connected to a transmission node that is capable of responding to dispatch instructions. This is a requirement to ensure reliability at New York's power plants. The DERs must adhere to the New York state Reliability Committee requirements. These requirements include inverter energy storage technology and aggregation abilities.
Capacity generation
The state has increased the capacity of its generators in recent years. Particular attention was given to the upstate. This is partly due to the fact that electricity produced in the state is mainly generated in areas with low population density and because lines running downstate can get gridlocked during peak demands. In recent years, the state has added 11,846 MW of new generation, a substantial portion of which has come from renewables.
Renewable energy credits
The state of New York has announced plans to expand its Renewable Energy Credits (RECs) program to help power plants produce more renewable energy. This will assist New York in reaching its 2030 goal to have 70 percent renewable energy, as well as the 2040 Zero Emission Target. It also will promote the use of existing renewable energy sources while improving local air quality and protecting local environments.