PJM MISO Pseudo-Tied Units Operating Procedure RTO-PTU-OP1-r1 Effective Date: 08/14/2017 Review Date: 09/01/ Purpose. 2.

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1 1. Purpse The purpse f this prcedure is t address peratinal cncerns due t multiple generating units that have pseud-tied ut f ne Balancing Authrity (BA) and int anther BA yet physically reside in the Reliability Ftprint f the riginal (native) area. This prcedure will: Prvide PJM and MISO System Operatrs with guidance regarding dispatch f the pseud-tied units. Dcument RC, TOP, and BA authrity fr pseud-tied units. Dcument actins and expectatins when the transmissin system is cngested. M2M prcess Lcal cngestin, nn-m2m prcess 2. References 2.1 Rate Schedule 05 MISO-PJM JOA and CMP 2.2 PJM s Manual 3: Transmissin Operatins 2.3 MISO s RTO-AOP-012 Safe Operating Mde with PJM Prcedure 2.4 NERC Standard TOP-001.1a, R1, R2, and R Prcedure Descriptin 3.1. Authrity: Authrities fr Pseud-Tied Units int PJM: MISO will be the native RC, respnsible fr transmissin related cngestin (SOLs and IROLs) n the transmissin system where the pseud-tied units are cnnected. PJM will be the attaining RC, respnsible fr the capacity and dispatch f the pseud-tied units physically within the MISO RC ftprint. Transmissin Operatrs within the MISO RC Ftprint will be TOP fr the pseud-tied units that are physically lcated within their respective TOP area. PJM will be the BA fr all pseud-tied units. During restratin activities when the pseud-tied unit is within the impacted area (i.e. when the TOP has implemented its System Restratin Plan), the TOP will wrk with MISO t determine dispatch requirements fr the pseud-tied unit and will cmmunicate directly with the Asset Owner f the unit. MISO will cmmunicate the units dispatch t PJM. PJM and MISO will wrk tgether with the impacted TO(s)/TOP(s) t determine at what stage Page 1 f 6

2 during restratin that the impacted units can be reliably pseud-tied int the attaining BA Authrities fr Pseud-Tied Units int MISO: PJM will be the native RC, respnsible fr transmissin related cngestin (SOLs and IROLs) n the transmissin system where the pseud-tied units are cnnected. MISO will be the attaining RC, respnsible fr the capacity and dispatch f the pseud-tied units physically within the PJM RC ftprint. PJM r PJM s Transmissin Owners (in the case f AEP) will be TOP f pseud-tied units that are physically lcated within their TOP zne. MISO will be the BA fr all pseud-tied units. During restratin activities when the pseud-tied unit is within the impacted area (i.e. when the PJM has implemented its System Restratin Plan), PJM will determine dispatch requirements fr the pseud-tied unit and will cmmunicate directly with the Asset Owner f the unit. PJM will cmmunicate the units dispatch t MISO. PJM and MISO will wrk tgether with the impacted TO(s)/TOP(s) t determine at what stage during restratin that the impacted units can be reliably pseud-tied int the attaining BA. Nte: TOP authrity is referenced in NERC Standard TOP Cngestin Management: M2M Prcess: PJM and MISO will fllw all existing M2M prcesses t bind n existing M2M flwgates t redispatch pseud-tied units via their respective SCED algrithms t relieve cngestin. PJM and MISO will perfrm flwgate tests n an as-needed basis t accmmdate new flwgates. Outage Crdinatin prcedures will be fllwed t determined new temprary M2M flwgates due t planned utages. PJM and MISO will make every effrt t practively create flwgates resulting frm planned utages fr inclusin in respective Day-Ahead Markets. Critical M2M Flwgate Request Prcess is available fr creating flwgates in real time. PJM and MISO shuld avid the use f substitute flwgates. Limited use is utlined in Sectin f the CMP. If vlatility ccurs n M2M flwgates and is significantly impacted by pseud-tie units, PJM and MISO will investigate the use f shadw price and market flw relief verrides prir t implementatin f Safe Op Mde (SOM). Page 2 f 6

3 As a last resrt, SOM will be available fr use in thse cases where pseudtied units have an appreciable impact n facilities withut an existing flwgate. Existing SOM prcedures will be fllwed in these cases Lcal Cngestin Mitigatin: The fllwing lcal cngestin prcess will be fllwed t mitigate nn-m2m cnstraints (thermal r vltage / actual r pst-cntingency) within the native RC s ftprint fr which the native RC des nt have any internal dispatch ptins and requires supprt frm pseud-tied units Units Pseud-Tied int PJM frm MISO: PJM will share Day-Ahead cmmitment f pseud-tied resurces with MISO fr use in MISO s Reliability Analysis studies. PJM sends the cmmitment via a secure path t MISO. Pseud-tied unit is n line and MISO (r a MISO TOP) needs t redispatch the unit fr a lcalized, nn-m2m cnstraint: MISO will cntact PJM t request unit be redispatched and will prvide a specific utput target PJM will lg the unit as running fr MISO MISO will cntact PJM t end redispatch MISO (r MISO TOP) will pay fr applicable PJM deviatin charges and MISO reactive charges nce settlement prcess is established Pseud-tied unit is ff-line and was nt picked up in PJM s Day-Ahead market: MISO will request unit peratin fr next day PJM will lg the unit as running fr MISO MISO will request PJM release unit when it is n lnger needed MISO (r MISO TOP) will pay unit start up plus applicable PJM deviatin charges and MISO reactive charges nce settlement prcess is established Units Pseud-Tied int MISO frm PJM: MISO will share Day-Ahead cmmitment f pseud-tied resurces with PJM fr use in PJM s Reliability Analysis studies. MISO shares the cmmitment by phne. Pseud-tied unit is n line and PJM (r a PJM TO) needs t redispatch the unit fr a lcalized, nn-m2m cnstraint: PJM will cntact MISO t request unit be redispatched and will prvide a specific utput target MISO will lg the unit as running fr PJM PJM will cntact MISO t end redispatch Page 3 f 6

4 PJM (r PJM TO) will pay fr applicable MISO deviatin charges nce the settlement prcess is established Pseud-tied unit is ff-line and was nt picked up in MISO s Day-Ahead market: PJM will request unit peratin fr next day MISO will lg the unit as running fr PJM PJM will request MISO release unit when it is n lnger needed PJM (r PJM TO) will pay unit start up plus applicable MISO deviatin charges nce the settlement prcess is established 3.3. Cmmunicatin: Exceptins t this cmmunicatin prcess will ccur during restratin activities as nted abve. Fr pseud-tied units int PJM all cmmunicatins frm a MISO TOP t PJM shall include MISO Fr pseud-tied unit int MISO all cmmunicatins frm a PJM TO t MISO shall include PJM Fr pseud-tied units int PJM, all pseud-tie generatin instructins shuld cme frm PJM MISO RC and MISO TOPs can direct units t take actin in extreme emergency cnditins t preserve public safety, persnnel safety, and/r prevent equipment damage. Fr pseud-tied units int MISO, all pseud-tie generatin instructins shuld cme frm MISO PJM RC and PJM TOs can direct units t take actin in extreme emergency cnditins t preserve public safety, persnnel safety, and/r prevent equipment damage Outage Crdinatin: PJM and MISO pseud-tie generatin planned utages are submitted in advance with respect t PJM and MISO utage submittal rules. MISO and PJM respective transmissin utages shall be crdinated with PJM and MISO respective pseud-tied generatr utages with respect t PJM and MISO utage submittal rules. PJM and MISO shall wrk tgether t accmmdate all utages, hwever, as a last resrt, cnflicting utages will be rescheduled based n First-In, Last-Out apprach. M2M Flwgate creatin and unit cmmitment needs fr planned utages will be addressed as nted in the prcesses abve. Page 4 f 6

5 PJM and MISO will make every effrt t practively create flwgates resulting frm planned utages fr inclusin in respective Day-Ahead Markets. PJM and MISO shuld avid the use f prxy flwgates. A new flwgate definitin must be requested as sn as reasnably practicable. Limited use is utlined in Sectin f the CMP. 4. Revisin Histry Issue N Reasn fr Issue Revised By RTO-PTU-OP1- r0 RTO-PTU-OP1- r1 Issue Effective Annual Review Prcedure Creatin Andy Witmeier 2/15/16 2/8/16 9/1/2016 Annual Review Andy Witmeier 8/14/17 8/14/17 9/1/ Prcedure Apprvals Revisin: Name Title MISO Apprver r1: Andy Witmeier Sr. Manager Central Regin Reliability Crdinatin Apprval 8/11/2017 PJM Apprver r1: Dnnie Bielak Manager, Reliability Engineering 8/11/2017 MISO Apprver r0: Andy Witmeier Sr. Manager Central Regin Reliability Crdinatin 2/2/2016 PJM Apprver r0: Phil D Antni Manager, Reliability Engineering 2/8/2016 Page 5 f 6

6 Appendix List f Pseud-Tied Units List f units shuld be reviewed quarterly t crrespnd t MISO mdel changes. Pseud-Tied Units in MISO: Pseud-Tie Unit MP Attaining BA/(LBA) Native RC Original BA/LBA TO / TOP Madisn CTs (1-8) DEI MISO PJM PJM DEOK / (CIN) PJM Fwler Ridge SIGE MISO PJM PJM AEP/ Wind Farm PJM Capacit Start y 40MW 1/1/12 each 50 MW 3/1/10 Pseud-Tied Units in PJM: Pseud-Tie Unit MP Attaining BA/(LBA) Native RC Original BA/LBA TO / TOP Capacit y Start Tiltn CTs 1-4 Calpine PJM MISO AMIL AMRN 45MW 3/1/16 each Gibsn unit 5 DEI PJM MISO CIN CIN 156MW 3/1/16 Duck Creek unit 1 Dynegy PJM MISO AMIL AMRN 329MW 6/1/16 Cffeen unit 1 Dynegy PJM MISO AMIL AMRN 151MW 6/1/16 Cffeen unit 2 Dynegy PJM MISO AMIL AMRN 50MW 6/1/16 Prairie State unit 1 AMP, IMEA, and NIMPA PJM MISO AMIL AMRN 325MW 6/1/16 Prairie State unit 2 Edwards unit 2 Newtn unit 1 AMP, IMEA, and NIMPA PJM MISO AMIL AMRN 325MW 6/1/16 Dynegy PJM MISO AMIL AMRN 150MW 6/1/16 Dynegy and IMEA PJM MISO AMIL AMRN 395MW 6/1/16 Page 6 f 6