Under FERC rules, SOO Green must allocate transmission capacity rights through an Open Solicitation process. Given current market conditions, some parties interested in acquiring transmission capacity rights may desire to mitigate market risk by first negotiating commercial arrangements for the purchase and sale of the electricity transmitted by the SOO Green HVDC Link. To enable this process, the SOO Green Open Solicitation will allocate transmission capacity rights and facilitate long-term commercial arrangements that underpin the transmission capacity rights.
As such, SOO Green is soliciting not only parties interested in acquiring transmission capacity rights (“Shippers”), but also electric generation owners (“Suppliers”), entities that own, represent, or supply end-users (“Buyers”), and power marketers who are looking to contract with both Suppliers and Buyers. Buyers and Suppliers can take on the roles of Shipper, and Shippers can contract with Buyers and/or Suppliers. These roles are not mutually exclusive.
A Shipper is a Registered Participant who wishes to subscribe for firm transmission capacity rights on the SOO Green HVDC Link.
Shippers may elect to become Anchor Shippers, willing to execute a binding Precedent Agreement in Phase 1 of the Open Solicitation process. Shippers that desire more time to make supporting commercial arrangements (e.g., with upstream Suppliers and/or downstream Buyers) may participate in a voluntary Matching process with Suppliers and Buyers, before participating in the Phase 3 auction for the remaining capacity transmission rights.
A Supplier is a Registered Participant interested in offering products (energy, capacity, and/or RECs) delivered over the SOO Green HVDC Link. Suppliers can own or have control over the output from one or more generation resources, existing or under development. Power marketers can also participate in the OS as Suppliers. Thus, a Supplier can be a physical owner of the generation resources or an entity that contractually acquires the Products from other parties.
During the Open Solicitation process, a Supplier might explore the sale of Products to a Shipper or, alternatively, to a Buyer, which could result in one, the other, or both jointly becoming a Shipper.
A Buyer is a Registered Participant interested in purchasing Products delivered over the SOO Green HVDC Link. Buyers can include load-serving entities, retail service providers, aggregators or end-users; they can be either regulated or unregulated, wholesale or retail customers. Power marketers can also participate in the OS as Buyers.
During the Open Solicitation process, a Buyer might explore purchasing Products from a Shipper or, alternatively, from a Supplier, which could result in one, the other, or both jointly becoming a Shipper.