Congestion Revenue Rights Market Trials Call 12 March, 2010 ANTITRUST ADMONITION ERCOT strictly prohibits Market Participants and their employees who are participating in ERCOT activities from using their participation in ERCOT activities as a forum for engaging in practices or communications that violate the antitrust laws. The ERCOT Board has approved guidelines for members of ERCOT Committees, Subcommittees and Working Groups to be reviewed and followed by each Market Participant attending ERCOT meetings. If you have not received a copy of these Guidelines, copies are available at the Client Relations desk. Please remember your ongoing obligation to comply with all applicable laws, including the antitrust laws. DISCLAIMER All presentations and materials submitted by Market Participants or any other Entity to ERCOT staff for this meeting are received and posted with the acknowledgement that the information will be considered public in accordance with the ERCOT Websites Content Management Operating Procedure. Agenda I.CRR Auction Credit II.Market Trials Roadmap III.Documents Posted Since Last CRR Market Call IV.Known issues V.Successful CRR Qualifications as of 4pm yesterday I.Amber Participants II.Red Participants VI.New Metric on Scorecard VII.Upcoming Activities VIII.Questions/Comments IX.FAQ Slide 3 CRR AUCTION CREDIT To Buy ANYTHING in a CRR Auction you NEED to Submit Credit You Need to Submit Credit with the Counterparty Certificate After the Auction Notice BEFORE THE LOCK DATE The Lock Date is Three Days Before the Close of the Bid Window This Typically Lines up with the Opening of the Bid Window The Counterparty Certificate Needs the MP_CRR_CREDIT_MANAGER role Market Trials 2010 Roadmap5 Documents Added Since Last Market Call All Documents Found athtmlhtml CRR Qualification Dashboard: 03/12/10 (will be posted tonight) CRR Known Issues Compiled 03/12/2010 (will be posted tonight) Known Issues - Fixed: validated and ready for deployment 0.1MW Error in awarded MW Some MW Flow values are not equal to Limit in Binding Constraint download file A resource that has been identified as "Restricted" cannot be requested in a "Buy" trade in the bilateral market. When entering nominations via the GUI, the numeric keypad does not properly function. The phone number in a bilateral trade contact information is limited to 20 characters. The error message for going over 20 characters is vague. Performance Test (2 Issues) 8 Known Issues - Fixed: validated and ready for deployment (03/19/2010 6:00 PM) - Continued Inactive link in MIS Applications tab for Counterparty Not able to sell (offer) OBL PCRR past 1st month Lock Time for self-imposed credit for an Account Holder is at 12:00:01am; but 5:00:00pm for Counterparty Not all settlement points from the Network Model database were mapped to the CRR Mode Invoices do not currently render when clicked on. Market Results Private Download file for Allocations does not contain all required information (clearing prices, and pricing factor) Market Results Public Download Bids and Offers file for Auctions shows awarded MW instead of bidded MW Known Issues - New Bilateral trades in Pending Credit Check status are subject to the bilateral trade cleaning process 10 Known Issues In Progress Awarded PTP CRR is.1 MW less than bid for Obligation but clearing price is above bid price Not all settlement points from the Network Model database were mapped to the CRR Model Invoices do not currently render when clicked on. Model Data Issues related to Planning Go-Live Connectivity Node Connectivity Node Group Mapping Connectivity Node Name 11 Known Issues - Closed Monitored Lines and Transformers contains no data JAN2010 CRR Monthly Network Model report file (11204) does not contain all the required network files. Portfolio upload - Portfolio Editor becomes unusable when uploading a "targeted" bid portfolio containing a valid source/sink that is not biddable for that specific auction. The slack bus in the March published models does not have a generator. See Known Issues list: Successful CRR Qualifications As of 1600 CPT Thursday 65 Congratulations! Slide 12 Successful CRR Qualifications as of 1600 CPT yesterday ACCENT ENERGY TEXAS LP (CRRAH)GEUS (CRRAH) CITY OF AUSTIN DBA AUSTIN ENERGY (CRRAH)GREEN MOUNTAIN ENERGY COMPANY (CRRAH) AEP ENERGY PARTNERS INC (CRRAH)CITY OF GEORGETOWN (CRRAH) AMERICAN ELECTRIC POWER SERVICE CORPORATION (CRRAH)IPA TRADING LLC (CRRAH) AIR LIQUIDE LARGE INDUSTRIES US LP (CRRAH)J ARON AND COMPANY (CRRAH) ANP FUNDING I LLC (CRRAH)JUST ENERGY TEXAS LP (CRRAH) BP ENERGY COMPANY (CRRAH)KEYSTONE ENERGY PARTNERS LP (CRRAH) BROWNSVILLE PUBLIC UTILITIES BOARD (CRRAH)LOWER COLORADO RIVER AUTHORITY (CRRAH) BRAZOS ELECTRIC POWER CO OP INC (CRRAH)LOUIS DREYFUS ENERGY SERVICES LP (CRRAH) BRYAN TEXAS UTILITIES (CRRAH)LUMINANT ENERGY COMPANY LLC (CRRAH) CARGILL POWER MARKETS LLC (CRRAH)MIDAMERICAN ENERGY COMPANY (CRRAH) CALPINE POWER MANAGEMENT LP (CRRAH)MORGAN STANLEY CAPITAL GROUP INC (CRRAH) CITIGROUP ENERGY INC (CRRAH)NRG TEXAS POWER LLC (CRRAH) CONOCOPHILLIPS COMPANY (CRRAH)OCCIDENTAL POWER SERVICES INC (CRRAH) CONSTELLATION ENERGY COMMODITIES GROUP INC (CRRAH)OCCIDENTAL POWER MARKETING LP (CRRAH) CPS ENERGY (CRRAH)OPTIM ENERGY MARKETING LLC (CRRAH) DB ENERGY TRADING LLC (CRRAH)RAINBOW ENERGY MARKETING CORPORATION (CRRAH) DIRECT ENERGY LP (CRRAH)RAYBURN COUNTRY ELECTRIC COOPERATIVE INC (CRRAH) DENTON MUNICIPAL ELECTRIC (CRRAH)THE ROYAL BANK OF SCOTLAND PLC (CRRAH) DESERT SKY WIND FARM LP (CRRAH)RELIANT ENERGY POWER SUPPLY LLC (CRRAH) DTE ENERGY TRADING INC (CRRAH)SEMPRA ENERGY SOLUTIONS LLC (CRRAH) EDF TRADING NORTH AMERICA LLC (CRRAH) SEMPRA ENERGY TRADING LLC (CRRAH) EC AND R ENERGY MARKETING LLC (CRRAH)SHELL ENERGY NORTH AMERICA (US) LP (CRRAH) EDISON MISSION MARKETING AND TRADING INC (CRRAH)STAR ELECTRICITY LLC DBA STARTEX POWER (CRRAH) EXELON GENERATION COMPANY LLC (CRRAH)SOUTH TEXAS ELECTRIC COOPERATIVE INC (CRRAH) FIRST CHOICE POWER LP (CRRAH)GDF SUEZ ENERGY MARKETING NA INC (CRRAH) FORMOSA UTILITY VENTURE LTD (CRRAH)GDF SUEZ ENERGY RESOURCES NA INC (CRRAH) FORTIS ENERGY MARKETING AND TRADING GP (CRRAH)TENASKA POWER SERVICES CO (CRRAH) NEXTERA ENERGY POWER MARKETING LLC (CRRAH)TRENT WIND FARM LP (CRRAH) CITY OF GARLAND (CRRAH)TRIEAGLE ENERGY LP (CRRAH) FRANKLIN POWER LLC (CRRAH)PSEG ENERGY RESOURCES AND TRADE LLS (CRRAH) EPIC MERCHANT ENERGY TX LLC (CRRAH)TEX-LA ELECTRIC COOPERATIVE OF TEXAS INC (CRRAH)) BJ ENERGY LLC (CRRAH)) If the Scorecard were run today, the following participants would be Amber MERRILL LYNCH COMMODITIES INC (CRRAH) If the Scorecard were run today, the following participants would be RED (No record of contact regarding Qualification) AMBRIDGE ENERGY LLC (CRRAH) COMMERCE ENERGY INC (CRRAH) CREDIT SUISSE ENERGY LLC (CRRAH) PEPCO ENERGY SERVICES INC (CRRAH) PRIVATEMARKETS INC (CRRAH) VELOCITY AMERICAN ENERGY MASTER I LP (CRRAH) CRR 3 Operation of CRR Auctions and Allocations Metric Going Live on Wednesday the 24 th of March Based on participation (submission of bids or credit) We will have preview of status on next Market Call If you are at risk of going red or amber you will be contacted by Wholesale Client services Upcoming CRR Market Trial Activities Sunday, 14 March (or earlier) Post April Auction results Tuesday, 16 March ERCOT Publishes April CRR Auction Invoices Can account holders submit bids for the April 2010 auction without submitting a PCRR for that auction? PCRR Nominations are for Non Opt-In Entities (NOIEs) only. PCRR Nominations is part of the allocation process as opposed to the auction, so Non-NOIE account holders do not have any action items associated with it. Once its complete well run the April Auction (which is open to all CRRAHs) This is where your tasks would start. 18 2/11/2016 I was reviewing the schedule in the CRR Market Trials handbook and on Monday 3/22/2010 it states that ERCOT is due to pay out to CRR Account Holders that are owed from 2010 April Monthly Auction. Is this date just when ERCOT would be making the payment if this was an actual auction, I am assuming this is a trial auction and no money is exchanged between ERCOT and the MP. Yes, this is a trial auction, so no real money will pass hands. But the Settlements group will be issuing invoices, as if it were real. 19 2/11/2016 In the Market Trials handbook for Phase 4, the CRRAH needs to participate in at least 50% of the available auctions. There are 4 monthly auctions and 1 Balance of the Year auction. If we participate in two monthly auctions, does that meet the 50% requirement? In MT Phase 4, we are requiring account holders to participate in 50% or more of the available actions. There are five auctions altogether. Two auctions would not sufficiently meet the requirement, but participating in three or more would. 20 2/11/2016 On page 6 in the Market Trials handbook, it states that the Market participants should also be aware that should they be awarded CRRs that extend into phase 5 of market trials, those awards will affect how their market trials credit is calculated by the CMM application, and hence how much credit they have available in other CRR markets and the DAM. Can we request more credit at that time if we need to? Yes, CPs can request for additional credit in the Market Trials. But this request need to be made before noon on the day on which ACL will be sent to CRR (by 4:30PM). The Credit Group has scheduled workshops to Market Participants to go through the timeline, Credit Exposure and Credit Limit Calculations and processes. Interested market participants may register online via the Learning Management System. If you have any further questions, please contact your ERCOT Account Manager or contact ERCOT Nodal Training viaat 21 2/11/2016 I was reading through the CRR MUI User Handbook and it looks like there is a Cert we would need to set up for someone in our Credit Group and then they would go into the system to allocate the money? Each entity (i.e., MP) will do it differently some will have their Credit group allocate money, while for others the CP and the CRRAH are the same person(s). It will be up to your organization to whom you will wish to allocate this task both during market trials and production. 22 2/11/2016 Where can I find from resource name to settlement point name? This is published at the front page of the market trials section of nodal.ercot.com in the key documents section /11/2016 What are the correct certificate role(s) I need for my certificates? How can I tell them apart? The Account Holder certificate ends in 5000 The Counter Party certificate ends in 9999 The roles that you will need to assign to the certificates are as follows: 24 2/11/2016 RoleAccount Holder 5000Counter Party 9999 CRR_Extracts PB_MYPage1 PB_MyPage2 MP_CRR_Account_Hold er MP_CRR_Credit Manager Under my MIS interface I currently do not have authorization for the CRR entry screen or to see awards that come from the auction. What do I need to have updated to get this authorization? Most likely, your SA did not assign the appropriate roles to your certificates, or you may have logged on with the CP cert (9999) or a QSE cert rather than the Account Holder cert (5000). Do you have a link to the Edit Counterparty Available Credit page under CRR Application? If so, you logged on with the CP cert. If you have no links for CRR Application on MIS, perhaps the roles on your certs were not set up correctly. Contact your SA to verify the roles assigned. 25 2/11/2016 I am able to enter the Self-Imposed Limit but not the Counterparty Credit. It is the Counterparty Credit that I need to assign the money to - correct? You need to log onto the system using the Counterparty certificate (the one ending in 9999) to assign money to the auction, then if you want, you can assign a self-imposed credit limit using the CRRAH certificate (ending in 5000). Please be aware, the system will allow you to put in bids and offers w/o the counterparty assigning credit to the auction, but you wont be awarded anything when the auction is run. Therefore, its very important to remember to log on w/ the counterparty cert first, before uploading an auction portfolio. 26 2/11/2016 How do I allocate money to an auction? Must I submit a self-imposed credit limit as well? It is good practice to allocate money to the auction prior to submitting bids and offers. In Market Trials, we give you 10 million dollars to play with in the April auction. As a counterparty, you may allocate some or all of that amount to that auction. The CRRAH can then log on with their 5000 cert and either accept the credit limit that the counterparty put in and do nothing with the credit screen, or input a self-imposed credit limit of their own (the amount must be smaller than the amount allocated by the Counterparty). IF YOU WANT TO BUY ANYTHING IN AN AUCTION YOU MUST SUBMIT CREDIT WITH YOUR COUNTERPARTY (9999) CERTIFICATE. YOU MUST DO THIS BEFORE THE LOCK DATE The CRRAH (5000) can then submit bids up to the credit amount specified. 27 2/11/2016 Open Question Time Questions? Slide 28