ERCOT vs NYISO: Risk Appetite ‘22 Roundup

January 09, 2023

The largest appetite for market-based risk in 2022 lived in Texas. The lowest was NYISO. Each week we track the ratio of pricing requests for fixed-price solutions versus those with some market-based risk via flex or index products. In ERCOT, pricing requests from brokers and buyers represented 23% of overall volume for customers with peak demand above 750 KW. NYSO participants occupied the other end of the spectrum as 96% of requests stipulated fixed-prices and only 4% including some measure of risk.