New York ISO

The New York ISO operates both a day-ahead market (DAM) and a real-time (RT) market for energy and ancillary services. Market participants can submit bids into the markets to sell or acquire energy or ancillary services. They can also submit bilateral transactions for energy products. Generators selling into the markets are paid locational-based marginal prices (LBMP), while loads buying in the markets are charged a zonal average based on LBMP in the zone (there are 11 zones). The LBMP is determined on an hourly basis for the DAM. There are also hourly boundary prices for the 4 neighboring areas (New England, Hydro Quebec, Ontario Hydro, and PJM). Typically, bilateral contracts account for about 50 percent of total energy volume. DAM energy accounts for about 45 percent, and the RT accounts for the balance. The average daily prices shown below are DAM LBMP and are load-weighted averages of the 11 zonal prices.

Daily Clearing Price and System Demand Information, December 10 - 16, 2001

New York ISO Day-Ahead Market (DAM) Daily Prices December 10 - 16, 2001	New York ISO Day-Ahead Demand Forecast December 10 - 16, 2001

Highlights
During the past week, prices and demand at the NY ISO were slightly higher than those of the previous week. Temperatures in the area are slowly falling to more normal levels for the season, which may account for this week's increases. In addition, natural gas values are rising in the northeast, according to the December 10, 2001 Bloomberg Power Lines.

   Notes:
   MW = Megawatt.
   MWh = Megawatthour.
   LBMP = a pricing mechanism that prices energy congestion and marginal losses at every generator bus in the New York control area.
   The prices presented here represent the energy prices of LBMP energy and do not include bilateral contract prices.