Dr. Gary Dorris (CEO) and Dr. Brock Mosovsky (Sr. Analyst) of Ascend Analytics recently presented to the CEO and board of directors of a multi-billion dollar equipment supplier. The supplier is working closely with their customers to identify the most effective locations for flexible generation and requested Ascend Analytics’ expertise to assist them and their customers in their planning efforts. The supplier was keenly interested in the following points:

• Translating price volatility in the real-time energy markets into extrinsic value for flexible generation assets
• Market fundamentals and their impact on prices and volatility including: coal retirements, resource addition, intermittent generation assets (e.g., wind and solar)
• Persistence value for natural gas generation assets serving a more valuable role in the U.S. supply stack because of increasing amounts of renewables being integrated into the grid. There will always be a risk associated with the lack of control over wind and solar generation; natural gas “peaking” units can fill this gap.

The invitation to present to the board was preceded by the recent release of Ascend Analytics’ report on the Identification of Market Opportunities for Flexible Generation.  The report includes interactive geospatial maps by ISO and highlights market price volatility by LMP for Day-Ahead and Real-Time markets.  Also, included is a detailed analysis of market fundamentals that includes a graphical view of generation supply stack and load, both present and future.  Finally, the report provides an analysis of ISO market rules to support maximizing value from Flexible Generation (inclusive of expected market changes to comply with the new FERC pay for performance regulation mandate).

For more information, please contact Ascend Analytics at (303) 415-1400 at info@ascendanalytics.com