Protocol Revision Subcommittee

Sandy Morris

February 3, 2011

2

Summary of Revision Requests

5 NPRRs Recommended for Approval

1 NPRR Recommended for Impact Assessment Approval

0 Rejections or Withdrawals

3

Items for a Vote

• Unanimous RecommendationsNPRR289, Clarify Use of Raise/Lower Block Status Telemetry NPRR296, Remove Posting Requirement for the Annual Planning Model

for the CRR Auction NPRR297, Add Administrative NPRR Process to Nodal Protocols NPRR305, Timeline for Calculating the Value of X - URGENT

NPRR285, Generation Resource Base Point Deviation Charge Corrections

4

Items for a Vote

• Non-unanimous RecommendationsNPRR283, Clarification of PCRR Allocation Eligibility

NPRR283, Clarification of PCRR Allocation Eligibility

Purpose

(Tex-La)

This NPRR extends Pre-Assigned Congestion Revenue Right (PCRR) eligibility for certain wholesale supply over the high voltage Direct Current Ties (DC Ties).

Market Impact No Impacts

System Change No N/A

PRS Vote On 12/16/10, PRS voted to recommend approval of NPRR283 as amended by the 12/15/10 WMS comments. There were three abstentions from the Consumer, Independent Power Marketer (IPM), and Investor Owned Utility (IOU) Market Segments. On 1/20/11, PRS unanimously voted to endorse and forward the 12/16/10 PRS Report and Impact Analysis for NPRR283 to TAC.

Effective Date/Priority

April 1, 2011

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR283, Clarification of PCRR Allocation Eligibility

NPRR289, Clarify Use of Raise/Lower Block Status Telemetry

Purpose

(ERCOT)

This NPRR inserts language into Section 6.5.5.2, Operational Data Requirements, to clarify the proper use of Raise Block Status and Lower Block Status telemetry points by Resource operators in Real-Time operations.

Market Impact No Impacts

System Change No N/A

PRS Vote On 12/16/10, PRS unanimously voted to recommend approval of NPRR289 as amended by the 12/15/10 WMS comments. On 1/20/11, PRS unanimously voted to endorse and forward the 12/16/10 PRS Report and Impact Analysis for NPRR289 to TAC.

Effective Date/Priority

April 1, 2011

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR289, Clarify Use of Raise/Lower Block Status Telemetry

NPRR296, Remove Posting Requirement for the Annual Planning Model for the CRR Auction

Purpose

(ERCOT)

This NPRR removes the requirement to post a schedule for updating transmission information for the Annual Planning Model six months prior to the annual and two-year Congestion Revenue Right (CRR) Auctions.

Market Impact No Impacts

System Change No N/A

PRS Vote On 12/16/10, PRS unanimously voted to recommend approval of NPRR296 as submitted. On 1/20/11, PRS unanimously voted to endorse and forward the 12/16/10 PRS Report and Impact Analysis for NPRR296 to TAC.

Effective Date/Priority

April 1, 2011

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR296, Remove Posting Requirement for the Annual Planning Model for the CRR Auction

NPRR297, Add Administrative NPRR Process to Nodal Protocols

Purpose

(ERCOT)

This NPRR adds a process for “Administrative NPRRs” to the Nodal Protocols modeled on the similar process for administrative market guide revisions contained in each of the market guides.

Market Impact No Impacts

System Change No N/A

PRS Vote On 12/16/10, PRS unanimously voted to recommend approval of NPRR297 as submitted. On 1/20/11, PRS unanimously voted to endorse and forward the 12/16/10 PRS Report and Impact Analysis for NPRR297 to TAC.

Effective Date/Priority

April 1, 2011

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR297, Add Administrative NPRR Process to Nodal Protocols

NPRR305, Timeline for Calculating the Value of X - URGENT

Purpose

(ERCOT)

This NPRR removes from the Nodal Protocols language describing the effective date for the value of X for the purpose of determining verifiable startup costs and instead refers to the Verifiable Cost Manual as the source for such information.

Market Impact No Impacts

System Change No N/A

PRS Vote On 1/13/11, PRS granted NPRR305 Urgent status via PRS email vote. On 1/20/11, PRS unanimously voted to recommend approval of NPRR305 as submitted and to forward NPRR305 and its Impact Analysis to TAC.

Effective Date/Priority

March 1, 2011

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR305, Timeline for Calculating the Value of X - URGENT

NPRR285, Generation Resource Base Point Deviation Charge Corrections

Purpose

(WMS)

This NPRR provides that an exception to the Generation Resource Base Point Deviation Charge for any 15-minute Settlement Interval which includes a Security-Constrained Economic Dispatch (SCED) that is less than four minutes in duration. This NPRR also removes the Base Point Deviation Charge for all Intermittent Renewable Resources (IRRs) until corrections to the Nodal systems can be implemented so that the charge applies to IRRs only when there is clear indication that the Base Point received needs to be followed. This NPRR also requires that ERCOT send a flag to the Qualified Scheduling Entity (QSE) for each Resource indicating SCED has Dispatched a Generation Resource below the High Dispatch Limit (HDL) used by SCED.

Market Impact Increases reliability; reduces information time delay; eliminates non productive admin. burdens; reduces amount of Regulation Service required; increases wind-powered generation thus reducing fuel costs

System Change Yes EMS; MMS; Settlements & Billing

PRS Vote On 1/27/11, PRS unanimously voted to endorse and forward the draft Impact Analysis and Cost-Benefit Analysis for NPRR285 to TAC. The Independent Retail Electric Provider (IREP) and Independent Generator Market Segments were not present for the vote.

Effective Date/Priority

Upon System Implementation – Priority Critical (next achievable release window is June 2011)

Item Reviewed DescriptionNoImpact

Credit Monitoring/Liability

Budget

Staffing

Computer Systems

Business Functions

Grid Operations

Impact

NPRR285, Generation Resource Base Point Deviation Charge Corrections

$30k - $40k

EMS, MMS, and S&B

ERCOT will send flag to QSE for each Resource

17

PRS 2010 Accomplishments

• Process PRRs and NPRRs (Section 21 requirement)– Processed in 2010 (new PRRs & NPRRs):

• 7 PRRs, 100 NPRRs

– Processed in 2010 (including carry over from 2009):• 18 PRRs, 119 NPRRs

• Facilitate and make recommendations for 2010 Project Priorities as requested by ERCOT

• Collaborate with ERCOT PMO to structure a process for “releasing” NPRRs to be included in “go-live plus ‘x’”

18

PRS 2011 Goals

• Process NPRRs (Section 21 requirement)

• Facilitate and make recommendations for 2012 Project Priorities as requested by ERCOT

• Collaborate with ERCOT PMO to organize parking deck NPRRs which will be included in “Nodal 2.0” and beyond