A recent vote by the Western Resource Adequacy Program’s Resource Adequacy Participant Committee paves the way for WRAP participants to enter a binding program in 2027.
WRAP, which is the first region-wide reliability planning and compliance program in the history of the West, is being launched by the Western Power Pool. WRAP members include public power utilities.
RAPC members approved a new transition plan that outlines a gradual path to fully implement the WRAP. The plan pushes back the deadline to elect to go binding in 2027 and temporarily reduces charges when participants are short on capacity.
“The plan helps in three critical ways,” said Sarah Edmonds, Western Power Pool President and CEO. “It moves the program forward with participants engaged and committed and on a path to fully binding in 2027, which was essential after the concerns they raised in April. It allows the program to pool resources and provide support for participants in need, helping reliability in the region. And it allows participants to work to address resource adequacy.”
In April, WRAP participants notified WPP they would not elect to move to a binding program for Summer 2026, citing headwinds in addressing resource adequacy challenges.
“The conditions that made WRAP necessary have become more acute,” Edmonds said.
The notable changes to the transition plan include:
- Notice of intent to go binding for Summer 2027 would be due January 2026 (instead of May 2025). The extra time to resolve uncertainties may enable more binding participation. All participants will be binding for Winter 27/28.
- Once binding, deficiency charges will be reduced through Winter 2028/2029. These charges apply when a participant tries but is not able to procure enough capacity to meet WRAP metrics.
- Participants who are deficient and pay the charges would have the same priority access to surplus capacity as other participants in the Operations Program.
- Participants are required to provide more granular operational forecasts and actual data to enable better quality control and analysis of regional events.
- WRAP metrics will now account for some diversity sharing between subregions, lowering planning reserve margins in each subregion’s peak season.
“The important thing is getting the program off the ground and addressing reliability in the region,” Edmonds said. “These changes allow us to do that. Everyone can be part of and benefit from the program, while working to add resources to address any deficiencies. Meanwhile, we’ll continue to get critical insights about resource adequacy gaps from the non-binding period.”
The new transition plan will be open for public comment and then review by the Committee of State Representatives. It must be approved by the Western Power Pool Board of Directors. The Board is expected to vote in September.
Changes to the tariff must then be approved by the Federal Energy Regulatory Commission.
Current WRAP participants are:
- Arizona Public Service Company
- Avista Corp
- Bonneville Power Administration
- Calpine Energy Solutions
- PUD No. 1 of Chelan County
- Clatskanie People’s Utility District
- Eugene Water & Electric Board
- PUD #2 of Grant County
- Idaho Power
- NorthWestern Energy
- NV Energy
- PacifiCorp
- Portland General Electric Company
- Powerex Corp.
- Public Service Company of New Mexico
- Puget Sound Energy
- Salt River Project Agricultural Improvement and Power District
- Seattle City Light
- Shell Energy North America
- PUD No. 1 of Snohomish County
- Tacoma Power
- The Energy Authority, Inc.
