Market Readiness Seminar Update Nodal Cutover Update July 28, 2010 Market Readiness Seminar #5

Market Readiness Seminar Update

Nodal Cutover Update

July 28, 2010Market Readiness Seminar #5

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Nodal Cutover and Market Transition

Agenda

• Key Cutover Milestones • Major Cutover Activities – 4 Month Lookout• Cutover Communications Method• Discussion

7/28/2010 Market Readiness Seminar #5

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Nodal Cut-Over and Market Transition

• Topics That Will Be Covered TodayKey Cutover Dates - 4 Month Look Out (NMMS, CRR, OS, Credit, S&B, MMS)High-Level TimelineCutover Communication MethodUpcoming Events

• Topics That Will Not Be Covered Today•Beyond 4 Month Look Out (details) •Post Go-Live Activities•Contingency Plans•System Decommissioning/Retirement Plans


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05/03/23

Cut-Over Milestones


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Nodal Cutover and Market Transition – Key Cut-Over Milestones

Key Cut-Over Milestones

Network Model

Nodal Protocol Section 3.10 goes into effect (Sept. 1)• TAC Approval – July 1 (July 20)• Board Approval – July 20• Market Notice – July 30

Congestion Revenue Rights

Nodal Protocol Section 7 goes into effect (Oct. 13)• TAC Approval – August 5• Board Approval – August 17• Market Notice – September 13

Outage Scheduler

Nodal Protocol Section 3.1 goes into effect (Nov. 1)• TAC Approval – August 5• Board Approval – August 17• Market Notice – October 1

Full Nodal Operations

Nodal Protocol Sections 3, 4, 5 and 6 go into effect as well as all other unimplemented Protocol Sections (Nov. 23)

• TAC Approval – October 7th • Board Approval – October 19th • Market Notice – October 23rd


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05/03/23

Key Cutover Activities4 Month Look Out


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Cut-Over Timeline – 4 Month Look Out

7/28/2010 Market Readiness Seminar #54 Month Lookout

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Functional Area Task Plan

Data Prep

Decommission/Retirement Template

Contingency/Back-out Template

May June July Aug Sept Oct Nov Dec

Cut-Over Monthly Outlook – August

Key Cut-Over Activities for August 2010•(08/01) Model: Begin network modeling timelines •(08/13) OS: Outage Scheduler Zonal to Nodal Import process run •(08/13) CRR: Last day to register for CRR December monthly auction •(08/16) OS: ERCOT releases Outage Scheduler to Market •(08/16-09/17) OS: Market Participants synchronize / verify outages in the Nodal Outage Scheduler to the Zonal Outage Scheduler for Outages effective during and after December 2010

Network Model Outage Scheduler Congestion Revenue Rights

Entities InvolvedERCOTTSPREsCRRAHQSE

Impacts•TSPs/REs submit Transmission and Resource data for December model (05_Nodal_Load_transition_1_0.doc posted on 06/01 NATF Materials)•Resource outages will NOT be imported during Zonal to Nodal import into Outage Scheduler•CRRAH must register by deadline to be eligible to participate in the December Auction (Protocol 16.8.2)•TSPs/QSEs can begin entering outages in Outage Scheduler via Web Service or UI •TSPs/QSEs are responsible for verifying outages imported to Nodal Systems and correcting any missed outages or incorrect outages by 09/17/2010

Functional Area


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Key Cut-Over Activities for September 2010• (09/01) Model: Network Model Go-Live

• (09/01) Model: Deadline to submit Model changes for Month of December

• (09/02) Model: Begin interim update process

• (09/13) CRR: ERCOT publishes CRR Activity Calendar to MIS

• (09/17-12/01) OS: Outages are synched. Market Participants maintain outages in both the Zonal and Nodal Outage Scheduler for outages effective December and beyond.

Network ModelOutage SchedulerCongestion Revenue Rights

Functional Area


Cut-Over Monthly Outlook – September

Entities InvolvedERCOTTSPREsCRRAHQSE

Impacts•TSPs / REs that submit Model changes to ERCOT by 09/01 will be applied prior to Go-Live •From 09/02 forward until Go-Live any Model changes submitted to ERCOT for application prior to Go-Live will leverage the interim update process. •MPs can retrieve the CRR Activity Calendar from MIS public with a valid Digital Certificate


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Impacts

•MIS unavailable from 10/03-10/11 for production reconfiguration**

•CRRAH able to retrieve ACLs from CRR system each business day.

•MPs can post additional collateral until 11/08/2010 for Dec 2010 CRR Auction

•MPs able to start retrieving Go-Live postings on MIS. Refer to EMIL for dates per posting. More information in August workshop

•Dec 2010 CRR Model available on MIS

•Dec 2010 Monthly Auction Notice available on MIS

Functional Area

Network ModelOutage SchedulerCongestion Revenue RightsCredit


Cut-Over Monthly Outlook – October

Key Cut-Over Activities for October 2010

• (10/01) CRR: CRR system data clean up for Go-Live

• (10/01) Credit: ERCOT assesses each CPs credit worthiness for the Dec CRR Auction

• (10/02) OS: First pull of December Outages for CRR Network Model

• (10/02) Model: Network Model built for PCRR Allocation

• (10/03-10/11) MIS: ERCOT PERFORMS PRODUCTION RECONFIGURATIONS ON MIS**

• (10/13) OS: December Outages pulled for CRR Auction Model

• (10/13) Model: Model built for CRR December Auction


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Impacts

•MIS unavailable from 10/03-10/12 for production reconfiguration

•CRRAH able to retrieve ACLs from CRR system each business day.

•MPs can post additional collateral until 11/08/2010 for Dec 2010 CRR Auction

•MPs able to start retrieving Go-Live postings on MIS. Refer to EMIL for dates per posting. More information in August workshop

•Dec 2010 CRR Model available on MIS

•Dec 2010 Monthly Auction Notice available on MIS

Functional Area

Network ModelOutage SchedulerCongestion Revenue RightsCredit


Cut-Over Monthly Outlook – October

Key Cut-Over Activities for October 2010

• (10/13-10/18) CRR: ERCOT begins accepting PCRR Nominations for December Monthly Auction

• (10/15-11/15) Model: Model posted to MIS and Market Participant begin validation process

• (10/26) CRR: ERCOT shall allocate PCRRs to NOIEs for the 2010 December Monthly Auction and publish to MIS

• (10/26) CRR: ERCOT shall post CRR Network Model for the 2010 December Monthly Auction to MIS

• (10/28-11/08) Credit: ERCOT posts ACLs daily for CRR December monthly auction to CRR

• (10/29) CRR: ERCOT to post December 2010 Monthly Auction Notice to MIS


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Cut-Over Monthly Outlook – High-Level Remaining Outlook to Go-Live

**Tentative dates that will be firmed up with details in the next month

October10/12 MIS Portal will be presenting production data postings and applications – (refer to MIS – ERCOT Market Information List v8.20 posted on Nodal.ercot.com for specific dates)

November 11/04/10 ERCOT sends notification to NOIE's regarding Open Date for Nominations for Jan 2011 Allocation11/05/10 January 2011 Monthly PCRR Allocation nomination window opens11/08/10 ERCOT to Lock CRR Credit and Send First Non-Zero ACL Data to CMM11/08/10 December 2010 CRR Auction Lock Date11/08/10 Deadline for Market Participants to post additional collateral for December 2010 Monthly Auction11/09/10 00:00:01 CPT December 2010 Monthly CRR Auction Bid window opens11/11/10 23:59:59 CPT December 2010 Monthly CRR Auction Bid window closes11/12/10 December 2010 Monthly CRR Auction begins execution11/12/10 January 2011 Monthly PCRR Allocation nomination window closes11/15/10 December 2010 Monthly CRR Auction Results published to Market11/16/10 December Monthly 2010 CRR Auction Invoice published to Market11/19/10 17:00 CPT Payment Due for December 2010 Monthly CRR Auction Invoices11/19/10 ERCOT allocates PCRR to NOIEs for the January 2011 Monthly Auction11/19/10 January 2011 CRR Network Model published to Market11/22/10 ERCOT pay CRRAH owed from December 2010 Monthly CRR Auction11/23/10 ERCOT to Release ACL (TPE and ACL Reports Available on MIS)11/23/10 ERCOT to publish ACL to CRR system for January Auction11/23/10 Day-Ahead Market Submission Opens11/24/10 January 2011 Monthly Auction Notice published to Market


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Starting October 1, 2010, the ERCOT Nodal Production Environment will be undergoing a series of preparation activities required for Go-Live. During this time, all market facing testing will need to be coordinated around these cutover activities.

Exceptions to this are as follows:– Any system that has entered into a production mode. If these systems must be

taken offline, ERCOT will notify MPs via a Market Notice. • Examples are Nodal Outage Scheduler, CRR Application or Network Model

Management System (NMMS ).– Telemetry will remain in place and online from both ERCOT and MPs. – When ERCOT elects to perform a Market facing test during the Nodal Cutover

plan, those systems will remain available to support the test unless otherwise communicated by ERCOT.

Cut-Over Production Environment Availability


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05/03/23

Cut-Over Communication Plan


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Nodal Cutover and Market Transition – Communication Plan

Friday Market Calls Starting 08/27/2010 at 9AM-12noon these calls will be combined, without breaks, into a single Market Trials and Cut-over Activities call

Market Participants should plan on attending the full duration of this call as it will provide the primary means of communication between ERCOT and the Market.

Information and materials covered in this call will continue to be posted to the ERCOT calendar website every Friday at the following URL: http://www.ercot.com/committees/nodal/mt/

Monday Kick-Off Calls As needed to review the cutover activities for the week

Market Notices and Market Participant Contact ListsERCOT will continue to leverage Market Notices to communicate pertinent information that is required to be consumed by the Market as a whole.

Market Participants employees can subscribe to the Market Notices on the ERCOT Lists website at the following URL: http://lists.ercot.com/scripts/wa-ercot.exe?HOME.Market Participants may verify their contact information on file with ERCOT through their assigned Whole Client Services Representative.


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Nodal Cutover and Market Transition – Communication Plan (Cont.)

Market Participants Contacting ERCOT

•Market Trials email inbox: [email protected]. This inbox will continue to be maintained throughout Nodal Cutover. This will serve as a “catch-all” forum for questions if there is any doubt as to where a question should be submitted.•Friday Market Calls: In line with the previously mentioned schedule, these Market Calls not only serve as the primary means for ERCOT to communicate to the Market, but also for MPs to field general questions concerning the Nodal Cutover plan. •ICCP email inbox: [email protected] for specific MP questions regarding their Nodal ICCP / Telemetry, this email address should be leveraged for the fastest response.•ERCOT Wholesale Client Services Account Manager: Whenever possible MPs should leverage the Market Trials email inbox, however, MP’s Wholesale Client Services Account Manager will also be equipped to either answer your questions or route you to the correct support personnel.•Nodal Advisory Task Force (NATF): NATF will serve as a forum for initially reviewing changes in activities during the ERCOT Nodal Cutover, NPRRs and any concerns from the Market that would impact the overall Cutover plan. To that end, NATF will be meeting more frequently to ensure expedient coverage of these types of issues. Details regarding meeting agendas and materials from past meetings will continue to be maintained at the following URL: http://www.ercot.com/committees/board/tac/natf/


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Nodal Cutover and Market Transition – Communication Plan (Cont.)

Go-Live Communication StrategyPurpose and Objectives •Maintain reliable grid operations during the Go-Live period•Maintain constant interaction to respond quickly and effectively to issues that arise during the go-live period•Respond and report any observed anomalies in market performance or behavior

Go-Live Period Communication•Market Calls•Daily and at times hourly conference calls between ERCOT and Market Participants will start, at a minimum, two days prior to Go-Live. ERCOT will set up the logistics of the calls and communicate via a Market Notice and the Cutover Handbook

Stabilization Period Communication•Market Calls•Post DAM Daily Market Calls

•Daily Issue / Inquiry •Wholesale Client Service Reps•ERCOT Helpdesk

**More details and updates on the Go-Live Communication plan to be presented in the coming months


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Nodal Cutover and Market Transition – Upcoming Events

Event Agenda Date LocationNodal Market Call

Combined Market Trials and Cutover call between ERCOT and Market Participants begins

Aug. 279am-12pm

Conf. Call/Web Ex

NATF - Nodal Cutover Update

Remaining and updated Go-Live Activities for October, November, December (Credit, Settlements, Extract/Postings, Registration, MMS, MIS, etc.)

Aug. 319:30am-3:30pm

ERCOT Austin Room 206B

NATF – Nodal Cutover Update

Post Go-Live Activities for January, February, March, and Reversion Plan

Sep. 289:30am-3:30pm

ERCOT Austin Room 206A


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Next 60-days of Nodal Classes/Workshops

Market Readiness Seminar #5

Course Start Date LocationDay-Ahead Workshop Follow Up July 29 ERCOT (Taylor)

Transmission 101 August 3 ERCOT Met Center (Austin)

Basic Training Program August 10 Calpine (Houston)

NPRR206 E-Factors Workshop August 10 Hilton Austin Airport (Austin)

ERCOT Nodal 101 August 10 ERCOT Met Center (Austin)

Basic Training Program August 10 Calpine (Houston)

Network Model/Outage Scheduler Workshop (new)

August 10 ERCOT (Taylor)

Load Serving Entity 201 August 16 Reliant Energy (Houston)

Market Settlements 301 August 17 City of Garland Fire Administration Building (Dallas)

Network Model/Outage Scheduler Workshop (new)

August 18 ERCOT (Taylor)

GCPA Retail Workshop August 19 Centerpoint (Houston)

28 July 2010

Enrollment at: http://nodal.ercot.com/training/courses/index.html

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Next 60-days of Nodal Classes/Workshops - continued

Market Readiness Seminar #5

Course Start Date Location

NOIE QSE Operations August 20 City of Garland Fire Administration Building (Dallas)

Congestion Revenue Rights August 24 University of Delaware (Newark, DE)

Generation 201 August 25 University of Delaware (Newark, DE)

Congestion Revenue Rights August 31 ERCOT Met Center (Austin)

Generation 201 September 1 Hilton Austin Airport (Austin)

Economics of LMP September 13 ERCOT Met Center (Austin)

ERCOT 101 for Wind Generation September 13 Optim Energy (Dallas)

ERCOT Nodal 101 September 14 StarTex Power (Houston)

Generation 101 September 15 Hilton Austin Airport (Austin)

Basic Training Program September 20 LCRA (Austin)

Load Serving Entity 201 September 27 ERCOT Met Center (Austin)

Enrollment at: http://nodal.ercot.com/training/courses/index.html

28 July 2010


Documents

Market Readiness Seminar Update Nodal Cutover Update July 28, 2010 Market Readiness Seminar #5