By - Jon Brown

Automating Merchant & BA Workflows to Maximize Western EIM Benefits
November 13-14, 2019 | Anaheim, CA

Download PDF



The Western EIM Market has been a big success – generating over 650 M$ in terms of market benefits since November 2014.   The purpose for this EUCI workshop is to review the lessons learned from operating your portfolio (Resources, Loads, Bilateral Transactions) in the Western EIM, review the bid-to-bill workflow for EIM merchant and BA groups, and formulate best practices for bid to bill, portfolio optimization, outage management, fuel management, energy accounting, BA operations, and transmission billing to maximize benefits in the Western EIM. The workshop will help you connect the dots between front-office bidding strategies and settlement results and will provide case studies to illustrate how you can maximize the value of your generating assets and lower your costs for serving loads in the Western EIM.

The seminar covers the following “hot” issues:

  • What are the main objectives for the Western EIM?
  • What are the potential costs and benefits for the EIM?
  • What are the lessons learned for operating generating assets in the EIM?
  • Can the EIM be avoided while increasing solar or wind resources?
  • Can the EIM cause financial “pains” for selected market participants?
  • If your company decides to stay out of the EIM, but those around you join, how could it impact your operations?
  • What are the lessons learned from other EIM participants?
  • How do the RTUC and SCED engine work?
  • How do you derive your base schedule?
  • How do you create unit offers for combined-cycle plants, wind farms, solar plants, and cascaded hydro units to maximize market benefits?
  • Can the EIM work effectively for market participants that operate large cascaded hydro plants?
  • How should you bid wind & solar resources in the EIM to maximize benefits?
  • What are the pros and cons for modeling your EIM resources as multi-state generators?
  • How do you model ancillary-service requirements (RegUp, RegDown, Spin, Non-Spin Reserve) in the EIM?
  • How do you model GHG Costs for your EIM resources?
  • How should you operate your generating assets to maximize their value in the EIM?
  • What are the BA responsibilities in the Western EIM?
  • How do BAs update transfer limits for tie lines?
  • Understanding key EIM settlement charges for Merchant & BA groups
  • What are the potential settlement impacts when submitting late tags?
  • How does CAISO compute over/under scheduling penalties?
  • How does CAISO settle unaccounted-for-energy?
  • How does CAISO handle congestion revenues?
  • What are the CAISO offset charges for the BA group?
  • What are the business objectives for transmission billing?
  • How do BAs compute annual transmission revenue requirements?
  • How do BAs bill transmission customers for network and point-to-point services?
  • How do you allocate EIM settlement charges for BAs to transmission customers?
  • How is your OATT agreement affected by the EIM?
  • What data do you need to validate the EIM settlement statements and invoices?
  • Why perform shadow settlement? Do you need to have your own shadow settlement software to check the ISO invoices?
  • How can you validate bid-cost recovery payments for your generating assets in the Western EIM?
  • What are the main data sources to support shadow settlement?
  • What are the main causes for settlement disputes? What is the best way for managing settlement disputes?
  • How can you use settlement results to compute profit & loss metrics and provide feedback to traders on bidding strategies?
  • What are the potential impacts of market power mitigation on settlement results?
  • Should you build a data warehouse to store settlement data?
  • What IT infrastructure should you build to automate the bid-to-bill process?
  • How can you best prepare your team (front office, back office, BA, IT, plant personnel) for the Western EIM?


Wednesday, November 13, 2019

7:30 – 8:00 a.m. :: Registration & Continental Breakfast

8:00 a.m. – 5:00 p.m. :: Course Timing

12:00 – 1:00 p.m. :: Group Luncheon

Lessons Learned for Operating Generation & Transmission Assets in Western EIM

  • Objectives of Western EIM
  • Key Market Players
  • Understanding Full-Network Model and Commercial Model
  • Market Terminology
  • Key Responsibilities for Merchant and BA Groups
  • Reviewing RT Bidding Workflow for EIM Merchant Players and BAs
  • How do RT Unit Commitment (RTUC) and Security-Constrained Economic Dispatch (SCED) Work?
  • Bid-to-Bill Timeline & Challenges
  • Lessons Learned from First 4 Years of EIM Market Operations
  • Quantifying EIM Benefits
  • Bid-to-Bill Timeline & Challenges
  • Potential Impacts of EIM on Participants
  • New CAISO Initiatives (Energy Storage and Distributed Energy Resources, Extended Day-Ahead Market, RC Services, etc..)
  • Frequently-Asked Questions about EIM

Understanding Bid-to-Bill Workflow for EIM Merchant Groups

  • Reviewing Daily & Hourly Bidding Workflow in EIM for Merchant Groups
  • Detailed Walk-Through of EIM Bidding Workflow (bids, awards, dispatches, imbalance management, updating forecasts, updating outages)
  • Discuss What-if Scenarios (What if a plant outage occurs after T-40, What if wind forecast changes after T-55, What if a transmission schedule changes after the start of the hour, etc.)
  • Need to Forecast Hourly Loads
  • Run Unit Commitment to Derive Hourly Balanced Resource Plan and Capacity Plan
  • How do You Model Ancillary-Service Requirements in EIM Market?
  • Modeling GHG Costs in Bidding Process
  • Submitting Resource and Capacity Plans to ISO
  • Key Factors Influencing 3-Part Energy Offers
  • Modeling Combined-Cycle and Other Resources as Multi-State Generators in EIM
  • Operating Wind Farms and Cascaded Hydro Plants in EIM
  • Automating Data Exchange with CAISO
  • Deadline to Submit Meter Data
  • Timeline for Settlement Statements & Invoices
  • Lessons Learned from Operating Portfolio (Resources, Loads, and Bilateral Transactions) in EIM

Using Settlement & P&L Metrics to Provide Feedback to Traders on EIM Operations

  • Using Settlement and Production-Costing Results to Compute EIM Profits & Losses (P&L) for Your EIM Portfolio
  • Key Factors Influencing EIM Profits & Losses
  • Using P&L Metrics to Provide Feedback to Traders on Effectiveness of EIM Bidding Strategies
  • Using P&L Metrics to Identify when CAISO Dispatch may not be Optimal for Your Generating Unit
  • Using P&L Metrics to Validate CAISO Bid-Cost Recovery Payments
  • Using P&L Metrics to Provide Feedback to Plant Managers on Plant Performance
  • Lessons Learned for Using Business-Intelligence Tools to Analyze Settlement Results and Validate Market Operations

Thursday, November 14, 2019

7:30 – 8:00 a.m. :: Continental Breakfast

8:00 a.m. – 4:00 p.m. :: Course Timing

12:00 – 1:00 p.m. :: Group Luncheon

Managing BA Operations in EIM

  • Understanding Role of BA (Balancing Authority) in Western EIM
  • BA Responsibilities Before and After EIM
  • Reviewing Hourly Workflow for BA
  • BA Requirement to Submit Balanced Schedules
  • Monitoring CAISO Sufficiency Tests
  • Examples Illustrating How CAISO Checks to Make Sure that Base Schedule is Balanced, Meets Flexible-Ramp Constraints, and Free of Congestion
  • BA Penalties for Over and Under Scheduling
  • Updating Dynamic Tie Line Limits
  • Modeling Transmission Limits in RTUC and SCED Engines
  • Using Energy Accounting Software to Validate Meter Data for Units and Tie Lines and Compute Actual System Loads
  • Allocating CAISO Charge Codes to Transmission Customers
  • Interfacing with CAISO IT Platform to Support EIM Bid-to-Bill Workflow

Validating EIM Settlement Statements and Invoices

  • Understanding Settlement Workflow for Western EIM
  • Understanding Key Charge Codes for Merchant Groups (EIM Participating Resources) and BAs (EIM Entities)
  • Downloading Settlement Statements and Invoices
  • Why Perform Shadow Settlement?
  • Key Functions of Shadow Settlement Software
  • What Lessons can You Learn from Settlement Disputes?
  • Managing Settlement Disputes
  • Lessons Learned on Validating EIM Charge Codes for Merchant & BA Groups
  • Computing Energy Imbalances for Resources, Imports, Exports, and Loads
  • Validating GHG Payments for EIM Resources
  • Validating Bid-Cost Recovery (BCR) Payments
  • Validating Over/Under Scheduling Penalties
  • Understanding EIM Offset Charges for Loads
  • How does CAISO Compute EIM Settlement Charges for Unaccounted-for-Energy?
  • How does CAISO Handle Over-Collections for Congestion?
  • Understanding EIM Admin Charges

Goals for Transmission Billing

  • Understanding OATT Agreement
  • Computing Annual Transmission Revenue Requirements
  • Computing Transmission Charges for NITS Customers
  • Computing Transmission Charges for Point-to-Point Customers
  • Computing Transmission Charges for Grand Fathered Agreements
  • Revising OATT Agreement to Reflect EIM Charges
  • Allocating EIM Settlement Charges to Transmission Customers
  • Computing Monthly Invoices for Transmission Customers
  • Lessons Learned on Transmission Billing

Uses of Locational Marginal Prices in Bidding & Settlement

  • Using Full Network Model to Compute Nodal Locational Marginal Prices
  • How are LMPs Computed?
  • Understanding 4 Components of LMPs:    Energy, Loss, Congestion, and GHG
  • Understanding Impacts of Flowgates on Congestion
  • Can LMPs be Negative?
  • Real-Time Settlement Calculations

Preparing for Western EIM

  • What Software Tools and IT Infrastructure do You Need to Automate your Bid-to-Bill Workflow for Merchant Groups and BAs in the Western EIM?
  • Training Key Personnel (Traders, Power-Plant Managers, Fuel Procurement, Risk Managers, Load Forecasters, etc…) for Market-Based Operations
  • Reviewing Lessons Learned from other EIM Participants
  • What are the Key Risks in the New EIM?

Course Review & Round-Table Discussion


Khai Le, Sr. Vice President, PCI:    Over the past 43 years, Khai Le has conducted over 700 seminars on market-based operations, bidding strategies, portfolio optimization, and shadow settlement for utilities and ISOs worldwide. He is currently working with market participants in CAISO, MISO, SPP, PJM, ISO-NE, NYISO, and ERCOT to deploy the PCI Suite to automate their bid-to-bill, portfolio-optimization, ETRM, and BA-operations workflows.    Khai authored over 100 technical papers on unit commitment, hydro-thermal coordination, emission dispatch, optimization of ancillary services, post analysis, and short-term planning.  Five of his papers received prize awards.  Khai received his BS from Harvey Mudd College and his MS from Carnegie Mellon University.  He is a Fellow of the IEEE and a Registered Professional Engineer in Pennsylvania.

Justin Shearer, Director, PCI: Justin Shearer actively participates in all phases of solution development, deployment, and consulting for market participants in the CAISO MRTU and EIM markets. Justin has been closely involved with the deployment of the PCI EIM suite at NV Energy, Arizona Public Service, Puget Sound Energy, Portland General Electric, Sacramento Municipal Utility District, and Salt River Project. Justin received both his BA and MBA from the University of Oklahoma.

Suiyi Su, Manager, PCI:  Suiyi is the PCI subject matter expert on EIM transmission operations and billing. Suiyi led the implementation of the PCI Transmission-Billing suite at Arizona Public Service, Puget Sound Energy, and Salt River Project.   Suiyi obtained his Master’s degree in Industrial and Systems Engineering from the University of Florida.

Patrick McGarry, Senior Director, PCI:    Pat provides leadership, business development, and product management for the PCI suite of products.   Pat has over 32 years of experience with power trading, risk management, portfolio management, outage management, and bid-to-bill workflows.   Pat received his bachelor’s degree in finance from Fairfield University and his MBA from the University of Florida.


Hyatt Regency Orange County

11999 Harbor Blvd

Garden Grove, CA 92840

Reserve your room:

please call 1-714-750-1234

click here to book online


Room Block Reserved For:

Nights of November 12 – 13, 2019

Room rate through EUCI:

$169 single or double plus applicable taxes
Make your reservations prior to October 25, 2019.

Venue Information

About the Hotel

Things to Do


Event Standard RateAttendees

By clicking Accept or closing this message, you consent to our cookies on this device in accordance with our cookie policy unless you have disabled them. more information

By clicking Accept or closing this message, you consent to our cookies on this device in accordance with our cookie policy unless you have disabled them. You can change your cookie settings at any time but parts of our site will not function correctly without them. We use cookies during the registration process and to remember member settings.