SPP Market

SPP Notification Service and Innotap


With its recent change to a Day 2 market, Southwest Power Pool (SPP) is an energy market with an expanding future. This Regional Transmission Organization (RTO) currently has members in nine states including Kansas, Oklahoma, most of Nebraska, and parts of New Mexico, Texas, Louisiana, Missouri, Mississippi and Arkansas.

As a non-profit status RTO, SPP has been around in its various forms since 1941 and recently became an integrated marketplace with big plans for expansion. SPP market has an October 2015 goal of doubling its size with the addition of 378,000 square miles spanning six states in a portion of the Western Area Power Administration known as the Upper Great Plains Region.

The winter peaking and summer peaking mix of the expanded market along with its fluctuating wind energy mix is sure to provide a variety of last-minute changes that will affect traders. With the recent change to accommodate FERC Order 1000, the competitive bidding model for projects in the market will certainly add some positive stability for energy traders leveraging the market. In addition, it is likely to open unforeseen potential for future gains as this market’s energy generation mix changes and expands.

This can either bode well for the prepared energy trader or prove more than problematic for those who are unprepared. Innotap’s SPP Notification Service Software helps put traders in the best position to make informed decisions that minimize risk and maximize potential profits in the SPP market.