Reliability in an SMD market environment: the New York experience

This presentation will review the operation of these three processes and will show that despite the radical change this system represented to the operation of the electric system in New York state and despite the almost complete conversion of all generation in NY to merchant ownership, the system continues to operate reliably and with a viable and smoothly functioning market. In addition to providing a market environment that has excellent price visibility and a level "playing field" for all types of market participants, the open market structure presents the transmission system operator with good visibility of all transaction, a basic necessity when trying to manage a highly congested system. Finally, with virtually all generation owned by independent merchants, it provides a viable and orderly way to reliably guarantee an adequate supply of energy for all load in the state under a wide range of operating conditions.