Category: 📘 Glossary & Acronyms
Uplift
Additional payments or charges used in electricity markets to ensure that system operating costs are fully recovered.
Uplift charges are used when electricity market revenues alone are insufficient to cover certain system costs.
These costs may include:
Uplift ensures that electricity market participants are compensated when system operators must take actions to maintain reliability.
In Ontario's electricity market, similar settlement mechanisms include Congestion Management Settlement Credits (CMSC) and other adjustments administered by the Independent Electricity System Operator (IESO).
If a generator must operate to maintain system reliability even though market prices are low, uplift payments may compensate the generator for operating costs.
Last Updated: YYYY-MM-DD