On 30 April 2012, a period of power oversupply on the Bonneville Power Administration (BPA) transmission system caused the organization to curtail 5.8 GWh of wind generation. In March 2012, the BPA submitted to the Federal Energy Regulatory Commission (FERC) a revised protocol for managing such periods of oversupply, which occur when the system is strained by especially high river flow at federal hydropower facilities corresponding with high wind generation potential and low power demand. The revision is a response to an order from FERC prompted by a coalition of wind owners, after unprecedented oversupply conditions in the spring of 2011 led to the curtailment of 1% of the system's annual wind generation potential. The BPA's revised plan proposes to reimburse existing generators for roughly 50% of revenue from lost renewable energy credits (RECs) and production tax credits (PTCs), and to provide new generators with either partial compensation, or no compensation at all. Key trends in this On Point include: BPA overproduction pressures Pacific Northwest wind industry. As integration challenges mount, regional players seek alternative uses for excess power and weigh storage solutions. Pacific Northwest wind growth drives temporary renewables surplus. California offtake opportunities diminish. In response to integration challenges and soft demand, large independent power producers (IPPs) slow build plans.
On 30 April 2012, a period of power oversupply on the Bonneville Power Administration (BPA) transmission system caused the organization to curtail 5.8 GWh of wind generation. In March 2012, the BPA submitted to the Federal Energy Regulatory Commission (FERC) a revised protocol for managing such periods of oversupply, which occur when the system is strained by especially high river flow at federal hydropower facilities corresponding with high wind generation potential and low power demand. The revision is a response to an order from FERC prompted by a coalition of wind owners, after unprecedented oversupply conditions in the spring of 2011 led to the curtailment of 1% of the system's annual wind generation potential. The BPA's revised plan proposes to reimburse existing generators for roughly 50% of revenue from lost renewable energy credits (RECs) and production tax credits (PTCs), and to provide new generators with either partial compensation, or no compensation at all. Key trends in this On Point include: