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Ensuring the smooth launch of Ontario’s enhanced day-ahead electricity market for the Independent Electricity System Operator

Clearing software for electricity markets is so complex that vendors and users are not always able to determine in advance whether it will operate correctly. So when the Independent Electricity System Operator (IESO) planned changes to the day-ahead electricity market in Ontario, it asked PA to review the mathematical design that would implement the enhanced market and test the software that would clear and settle the enhanced market. 

Although the vendor and the IESO had both carried out extensive testing of the day-ahead clearing software, PA’s mathematically focused testing uncovered ten defects, seven of which were deemed to have a material impact on the results of the market. Our experts identified the changes required to correct the software parameters and the mathematical formulation of market rules.

Following PA’s confirmation testing of the improved software, the enhanced market launched without a hitch. The design of the new market and improved system operation will bring about efficiencies that are expected to reduce costs to consumers by up to $17 million per year.

To learn more about PA's energy technology tools, please
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