Should Balancing Authorities agree to adjust inadvertent interchange accounts for a transaction that was not previously reported?

The concept of inadvertent interchange accounts is fundamentally tied to the way Balancing Authorities manage discrepancies in power transactions that have not been properly reported or accounted for. When a transaction occurs but is not reported in a timely manner, adjusting the inadvertent interchange accounts for that transaction can lead to inaccurate data and misrepresentation of actual system operations.

Inadvertent interchange accounting is designed to account for differences in scheduled versus actual transactions due to various factors, such as transmission losses or errors in reporting. If Balancing Authorities were to accept adjustments for transactions not previously reported, it could undermine the integrity of the accounting system, making it difficult to assess the true state of balancing and reliability within the power system. Therefore, the assertion that Balancing Authorities should not agree to adjust these accounts aligns with proper practices and maintains the integrity of the energy market.

The reasoning behind this is that adherence to the established guidelines ensures transparency, reliability, and trust in the balancing process among the entities involved. Adjusting for unreported transactions could introduce confusion and disputes, ultimately leading to complications in compliance and regulatory oversight within the interconnected power grid.