How may a Qualified Scheduling Entity (QSE) submit a virtual or convergence trade in the Day-Ahead Market (DAM)?
“Convergence Trading” is not a term used in the ERCOT market. As to virtual offering/bidding, a Qualified Scheduling Entity (QSE) may submit a DAM energy-only offer which represents the QSE’s willingness to sell energy at or above a certain market price, at a certain quantity and at a specific settlement point in the DAM. Or, the QSE may submit a DAM energy bid which represents the QSE’s willingness to buy energy at or below a certain price, at a certain quantity and at a specific settlement point in the DAM. If awarded, they will either receive or be charged a payment by the DAM based on their energy offer or bid. Because there is no physical load or generation, the QSE will pay or be charged the amount awarded by the DAM at the real-time energy price in real-time settlement.
Related Questions
- Can a Qualified Scheduling Entity (QSE) set up more than one separated virtual Resource to offer Balancing Energy Service-Capable Non-Spinning Reserve Service (BESCNSRS)?
- May a Market Participant (MP) with a Qualified Scheduling Entity (QSE) role also register as a Congestion Revenue Right Account Holder (CRRAH)?
- How may a Qualified Scheduling Entity (QSE) submit a virtual or convergence trade in the Day-Ahead Market (DAM)?
