Western Energy Market set to launch Extended Day Ahead Market in 2026

This article was created by AI using a video recording of the meeting. It summarizes the key points discussed, but for full details and context, please refer to the video of the full meeting. Link to Full Meeting

The meeting held on June 14, 2025, in Utah focused on discussions with representatives from the California Independent System Operator (CAISO) regarding the implementation of the Extended Day-Ahead Market (EDAM). The primary agenda was to outline the structure, benefits, and voluntary nature of the EDAM, which is set to launch in 2026.

The session began with an explanation of the EDAM, which aims to extend the day-ahead market to participants in the Western Energy Imbalance Market (WEIM). It was emphasized that participation in EDAM is voluntary, allowing entities to choose whether to remain in WEIM or join the new market. The representatives expressed excitement about the ongoing implementation efforts and the potential benefits of optimizing resources across a larger footprint.

Key discussions highlighted the advantages of the EDAM, including the ability to optimize a full portfolio of resources in the day-ahead timeframe. This optimization is expected to enhance reliability and provide incremental benefits compared to current real-time operations. The representatives noted that the EDAM would not require entities to transfer their transmission planning responsibilities to the market operator, allowing them to maintain control over their systems.

Further, the meeting addressed the operational mechanics of the EDAM, including how it collects bids for load and supply, optimizes the transmission grid, and ensures reliability through a residual unit commitment process. This process commits additional resources as necessary to meet load requirements, thereby enhancing system reliability.

A significant point of discussion was the voluntary nature of both the WEIM and EDAM markets. It was clarified that entities can decide at the Balancing Authority Area (BAA) level whether to participate, and they retain discretion over how they manage their transmission services. The representatives acknowledged ongoing controversies regarding transmission rights and the implications of market participation, emphasizing the importance of maintaining a cohesive market structure for economic efficiency.

The meeting concluded with a commitment to continue engaging with stakeholders to address concerns related to transmission rights and congestion management. The representatives expressed their dedication to facilitating a smooth transition to the EDAM while ensuring that entities retain their autonomy in managing their resources and transmission services.

Overall, the discussions underscored the significance of the EDAM in enhancing market efficiency and reliability, while also respecting the voluntary nature of participation for entities within the Western energy market.

Converted from Meeting with CAISO Representatives meeting on June 14, 2025
Link to Full Meeting

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