TACMay 7, 2009

Meeting Update

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Highlights of May 7Highlights of May 7thth TAC Meeting TAC Meeting

ERCOT Board Update (April 22, 2009)ERCOT Board Update (April 22, 2009)

– Approved PRRs 768, 789, 790, 803, and 804Approved PRRs 768, 789, 790, 803, and 804

– Approved NPRR 149Approved NPRR 149

– ERCOT’s request to revise the Nodal Surcharge is ERCOT’s request to revise the Nodal Surcharge is

filed and pending before the PUCTfiled and pending before the PUCT

– ERCOT, at the request of the PUCT, expects to ERCOT, at the request of the PUCT, expects to

present at the May ERCOT Board meeting their present at the May ERCOT Board meeting their

evaluation of the possible impacts of CO2 legislation evaluation of the possible impacts of CO2 legislation

on Texas electricity consumers.on Texas electricity consumers.22

Highlights of May 7Highlights of May 7thth TAC Meeting TAC MeetingPRS UpdatePRS Update– PRR 796, Resource Plan Performance Metrics Revision - PRR 796, Resource Plan Performance Metrics Revision -

ApprovedApproved– PRR 800, QSE Day-Ahead Metric (URGENT) – PRR 800, QSE Day-Ahead Metric (URGENT) – ApprovedApproved– PRR 802, TCR Transition to CRR Refund Revision - PRR 802, TCR Transition to CRR Refund Revision - ApprovedApproved– NPRR 157, Extending Black start Service Bid Timeline – NPRR 157, Extending Black start Service Bid Timeline –

ApprovedApproved– NPRR 163, Removal of Late Fee Language – NPRR 163, Removal of Late Fee Language – ApprovedApproved– NPRR 166, Timing for Required Black Start Unit Load Carrying NPRR 166, Timing for Required Black Start Unit Load Carrying

Test – Test – ApprovedApproved– NPRR 167, Options for Filing Verifiable Costs – NPRR 167, Options for Filing Verifiable Costs – ApprovedApproved– Parking Deck Concept for NPRRs – Parking Deck Concept for NPRRs – Endorsed by TACEndorsed by TAC

Methodology for handing NPRRs that cannot be implemented prior to the Methodology for handing NPRRs that cannot be implemented prior to the Nodal Market Go-Life DateNodal Market Go-Life DateNPRRs approved and ranked by PRS, considered by TAC, and approved by NPRRs approved and ranked by PRS, considered by TAC, and approved by the Boardthe BoardIncluded as gray boxed language in the ProtocolsIncluded as gray boxed language in the ProtocolsPlaced in the Nodal tab of the Project Prioritization List (PPL), the “parking Placed in the Nodal tab of the Project Prioritization List (PPL), the “parking deck”deck”At a specified date (to be determined), ERCOT will begin completing IAsAt a specified date (to be determined), ERCOT will begin completing IAsThe 2012 PPL will include the selection of parking deck items for post-Go-The 2012 PPL will include the selection of parking deck items for post-Go-Live Live 33

Highlights of May 7Highlights of May 7thth TAC Meeting TAC MeetingTexas Nodal UpdateTexas Nodal Update– Nodal Project Timeline presentedNodal Project Timeline presented– Discussed the process to align Market Protocols, Applications, and Discussed the process to align Market Protocols, Applications, and

BusinessBusinessA review of the ProtocolsA review of the ProtocolsTracing Protocols back to market expectationsTracing Protocols back to market expectationsProducing ResultsProducing ResultsPlanning for Nodal Release 2 will begin prior to Go-LivePlanning for Nodal Release 2 will begin prior to Go-Live

– Top priority to assist MPs in preparing for Nodal and Linda Clark Top priority to assist MPs in preparing for Nodal and Linda Clark presented key items that the plan will includepresented key items that the plan will include

– SEM Go-Live, switchover on Aug 31 for TSP submissions of network SEM Go-Live, switchover on Aug 31 for TSP submissions of network operations model change requests from “Service Request” submission operations model change requests from “Service Request” submission via TML to NOMCR submissions via the NMMS via TML to NOMCR submissions via the NMMS

Single Entry system to update both the Nodal NMMS Model to Single Entry system to update both the Nodal NMMS Model to support Nodal testing and the Zonal Service Request uploads into support Nodal testing and the Zonal Service Request uploads into the Zonal Genesys Modelthe Zonal Genesys ModelTesting system access Jun 8 to Aug 10Testing system access Jun 8 to Aug 10Pre-SEM Instructor led training in Taylor Jun 22 to Aug 3Pre-SEM Instructor led training in Taylor Jun 22 to Aug 3Post-SEM Instruction led training in Taylor Sep 23 to Oct 20Post-SEM Instruction led training in Taylor Sep 23 to Oct 20

– ERCOT asked TAC if there are any concerns related to posting the ERCOT asked TAC if there are any concerns related to posting the Network Operations Model prior to Nodal Go-Live, Aug 31, 2009Network Operations Model prior to Nodal Go-Live, Aug 31, 2009

TAC asked ROS and WMS to review the data and report concernsTAC asked ROS and WMS to review the data and report concerns 44

Highlights of May 7Highlights of May 7thth TAC Meeting TAC MeetingStakeholder Engagement in Nodal ProcessStakeholder Engagement in Nodal Process– Mark Bruce presented the Nodal Implementation Advisory Board (NIAB) Mark Bruce presented the Nodal Implementation Advisory Board (NIAB)

conceptconcept– Shannon McClendon will present alternative proposals for consideration Shannon McClendon will present alternative proposals for consideration

at the June TAC meetingat the June TAC meeting

Regional Planning Group CharterRegional Planning Group Charter– Approved by the Board with language that requires generation Approved by the Board with language that requires generation

interconnection projects costing more than $15 million or requiring a interconnection projects costing more than $15 million or requiring a CCN to be reviewed by the RPGCCN to be reviewed by the RPG

– ROS suggested the original language and add generation ROS suggested the original language and add generation interconnection projects costing more than $50 million, as part of the interconnection projects costing more than $50 million, as part of the Full Interconnection Study for information purposes onlyFull Interconnection Study for information purposes only

– TAC deferred this issue until next monthTAC deferred this issue until next month

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Highlights of May 7Highlights of May 7thth TAC Meeting TAC MeetingNOGRR 025, Monitoring Programs for QSEs, TSPs, and NOGRR 025, Monitoring Programs for QSEs, TSPs, and ERCOTERCOT– Adds Section 9 to incorporate metrics to be monitoredAdds Section 9 to incorporate metrics to be monitored– ROS and WMS will continue to work on NOGRR 025 and in parallel ROS and WMS will continue to work on NOGRR 025 and in parallel

ERCOT is working with the Commission on Nodal metricsERCOT is working with the Commission on Nodal metrics

WMS UpdateWMS Update– WMS will provide an update to TAC in June on how PRR 776, WMS will provide an update to TAC in June on how PRR 776,

Automatic Adjustment During Intervals of Non-Spinning Reserve Automatic Adjustment During Intervals of Non-Spinning Reserve Service Deployment, is workingService Deployment, is working

Texas Regional Entity (TRE) ReportTexas Regional Entity (TRE) Report– NERC LSE Registration Process – JRO contractual language is being NERC LSE Registration Process – JRO contractual language is being

prepared and a draft will be sent to LSERWG on 5/8/09 for reviewprepared and a draft will be sent to LSERWG on 5/8/09 for review– Working with ERCOT, PUCT, ROS, and WMS on NOGRR 025 Working with ERCOT, PUCT, ROS, and WMS on NOGRR 025

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Questions ?Questions ?

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