Case Study: Electric Reliability Council of Texas achieves improved CRR auction accuracy and stronger bidding strategies with Resource Innovations' iHedge Simulator

Gain Market Advantage With Improved CRR Bidding Strategies

The Electric Reliability Council of Texas needed better tools to develop and test Congestion Revenue Rights (CRR) bidding strategies and to increase transparency into auction outcomes. Resource Innovations stepped in with the Nexant iHedge™ FTR Market Simulator to recreate ERCOT CRR auctions from published data and give market participants a realistic platform for price discovery, strategy testing, and award audits.

Resource Innovations deployed the iHedge Simulator to automate scenario construction, run replica auction clearing calculations, and provide detailed post‑auction analysis (including congested paths, awards, and price differentials). In a 13‑month validation the simulator produced a very close match to actual ERCOT results—near‑identical total CRR MWs and only minimal MW/price differences for most products—enabling clearer bid refinement, competitor insight, and measurable improvement in CRR decision support.

Electric Reliability Council of Texas