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GPCM® Power Model Interface (GPCM-PMI™)

RBAC’s GPCM Power Model Interface (GPCM-PMI™) has been specifically designed to minimize the effort and maximize the flexibility for interfacing GPCM to the leading North American power market models. Power market analysts have a chicken-and-egg dilemma: how can they provide their model with realistic fuel price forecasts to compute which plants will be dispatched and, therefore, how much of each type of fuel will be used, when those prices depend in turn on the amount of each fuel used?

This dilemma is particularly important with regard to natural gas prices, since gas has become the preferred fuel due to its abundance and low environmental impact compared to coal.  Further pushing the use of gas over coal are regulations such as the “Clean Power Plan”.

GPCM-PMI solves this dilemma by providing a smooth and simple means for gas price forecasts using GPCM to be provided directly to a power market model and its forecast gas burns to be fed back to GPCM in an iterative process which leads to a consistent forecast for both the integrated gas and power market.

electricitymap 4

In today’s market environment, one cannot produce realistic power market forecasts without taking into account the specifics of the gas market.  And one cannot produce realistic gas market forecasts without accounting for important factors in the power market.  The dilemma is resolved by combining the industry standard gas market model, GPCM, with an industry standard power market model using GPCM-PMI.

Special features of the GPCM-PMI include:

  • A data map connecting more than 4,000 gas-fired units in the three major North American interconnects (Eastern, Western, and ERCOT) to GPCM entities representing power market gas demand in each geographic area of the United States, Canada, and Baja California, Mexico.
  • A data mapping procedure which uniquely ties any new resource generated by the power market model to a specific GPCM customer-location entity.
  • Means for speeding convergence between GPCM and the power market model.
  • Error-catching procedures designed to reduce or eliminate lost time due to data inconsistencies between the two models or within either one of them.

GPCM-PMI is available to any licensee of both GPCM and power market models such as AURORAxmp, PROMOD and GE-MAPS.

GPCM PMI Flow Model Chart 3

Implications:

  • Better insight from both GPCM and the Power Market Model being used.
  • Better negotiating stance with more insights into possible future outcomes.
  • Improved strategic planning to mitigate risks and capture opportunities.
  • Increased efficiency in both gas and power fundamentals analysis.

For additional information about GPCM-PMI™ and any other RBAC product, contact James Brooks directly at (281) 506-0588 ext. 126.

© 2016 RBAC, Inc. All rights reserved.  GPCM, GPCM Natural Gas Market Forecasting System, GPCM Daily, GPCM Viewpoints, GPCM-PMI, G2M2 and NGL-NA are trademarks of RT7K, LLC and are used with its permission.