TAC Report to the ERCOT Board

September 16, 2003 1

TAC Report to the TAC Report to the ERCOT BoardERCOT Board

September 16, 2003September 16, 2003


SummarySummary

• Load Profile Guide RevisionsLoad Profile Guide Revisions• Operating Guide Revisions Operating Guide Revisions

ApprovedApproved• PRRs 421, 433, 437, 442, 443, PRRs 421, 433, 437, 442, 443,

446, 448446, 448• Delay of True Up SettlementsDelay of True Up Settlements


Load Profiling Guide Load Profiling Guide ChangesChanges

• Developed procedures on how Developed procedures on how costs for new profile development costs for new profile development would be shared by others using would be shared by others using the profile.the profile.

• Participants who have paid for a Participants who have paid for a profile type are paid by future profile type are paid by future users on a pro rata basis.users on a pro rata basis.

• Also sets guidelines for conditional Also sets guidelines for conditional approval of new profiles.approval of new profiles.


Operating Guide Operating Guide RevisionsRevisions

• OGRR 132 – Transmission Operator OGRR 132 – Transmission Operator Clarification: Clarifies the responsibilities Clarification: Clarifies the responsibilities for Transmission Operators.for Transmission Operators.

• OGRR 133 – Section 1 Corrections and OGRR 133 – Section 1 Corrections and Clarifications: Implements Protocol and Clarifications: Implements Protocol and Operating Guides Reference Corrections, Operating Guides Reference Corrections, section title corrections, punctuation section title corrections, punctuation corrections, corrections to pre-corrections, corrections to pre-deregulation language. Eliminates deregulation language. Eliminates inaccuracies and inconsistenciesinaccuracies and inconsistencies..


PRR 421 – Conformance PRR 421 – Conformance with PUC Rule 25.362with PUC Rule 25.362

• PUCT adopted new rule 25.362 concerning PUCT adopted new rule 25.362 concerning independent organization oversight, independent organization oversight, including confidentiality provisionsincluding confidentiality provisions

• PRR conforms Protected Information section PRR conforms Protected Information section to the new ruleto the new rule

• No impact on computer systems; minimal No impact on computer systems; minimal staffing impact; minimal business practice staffing impact; minimal business practice impactsimpacts

• Recommended October 1, 2003 effective Recommended October 1, 2003 effective datedate


PRR 433 – Change REC Deficit PRR 433 – Change REC Deficit Banking PercentageBanking Percentage

• PUCT increased the deficit banking amount PUCT increased the deficit banking amount from 5% to 10% for CRs during the first 2 from 5% to 10% for CRs during the first 2 compliance periodscompliance periods

• PRR conforms REC provisions to rule changePRR conforms REC provisions to rule change• No impact on computer systems No impact on computer systems

(implemented); minimal staffing impact; (implemented); minimal staffing impact; minimal business practice impacts; no minimal business practice impacts; no operations impactoperations impact

• Recommended October 1, 2003 effective dateRecommended October 1, 2003 effective date


PRR 437 – 867_03 PRR 437 – 867_03 TimelineTimeline

• Adds timeline to Protocols for Adds timeline to Protocols for TDSP-ERCOT monthly meter read TDSP-ERCOT monthly meter read timelinetimeline

• Computer system changes Computer system changes implementedimplemented

• Recommended October 1, 2003 Recommended October 1, 2003 effective dateeffective date


PRR 442 – Profile PRR 442 – Profile Development Cost Development Cost

Recovery FeeRecovery Fee• Conforms Protocols to PUCT Order Conforms Protocols to PUCT Order

requiring process to collect a fee from requiring process to collect a fee from REPs requesting new load profileREPs requesting new load profile

• No impact on computer systems; No impact on computer systems; impacts staffing and business impacts staffing and business practicespractices



PRR 443 – Competitive PRR 443 – Competitive Metering Ownership Metering Ownership

ImplementationImplementation• Conforms Protocols to PUCT Order Conforms Protocols to PUCT Order

regarding competitive metering and regarding competitive metering and establishes reference to establishes reference to Competitive Metering GuideCompetitive Metering Guide

• No impact on computer systems; No impact on computer systems; impacts staffing and business impacts staffing and business practicespractices



PRR 446 – Disclosure of PRR 446 – Disclosure of OOMC DeploymentsOOMC Deployments

• Discloses OOMC aggregate data second Discloses OOMC aggregate data second day after trade day and posting of unit day after trade day and posting of unit specific information on the 30specific information on the 30thth day day after the trade dateafter the trade date

• Impact on computer systems; impacts Impact on computer systems; impacts staffingstaffing

• Recommended effective upon ERCOT Recommended effective upon ERCOT staffing for manual workaround/system staffing for manual workaround/system implementationimplementation


PRR 448 – BUL PRR 448 – BUL ImplementationImplementation

• Clarifies how BUL formulae treat static Clarifies how BUL formulae treat static or dynamically scheduled loadsor dynamically scheduled loads

• Clarifies capacity payment calculationsClarifies capacity payment calculations• Impact on computer systems; impacts Impact on computer systems; impacts

staffing and impacts business practicesstaffing and impacts business practices• Recommended effective upon Recommended effective upon

implementationimplementation


Other PRR ItemsOther PRR Items

• PRR 445 – Amendments Regarding PRR 445 – Amendments Regarding “Urgent” Status was rejected at PRS“Urgent” Status was rejected at PRS

• The following were withdrawn by The following were withdrawn by author:author:– PRR 281 – Allowance for Site-Specific PRR 281 – Allowance for Site-Specific

Resource Dispatch InstructionsResource Dispatch Instructions– PRR 434 – Adjustment to Allocation of PRR 434 – Adjustment to Allocation of

REC Purchase RequirementsREC Purchase Requirements– PRR 438 – REC TimelinesPRR 438 – REC Timelines


Delay of True Up Delay of True Up SettlementsSettlements

• Variances between extracts and SCR 727 Variances between extracts and SCR 727 data have caused delays in retailers ability data have caused delays in retailers ability to validate settlement data.to validate settlement data.

• ERCOT Staff is working to correct ERCOT Staff is working to correct variances, but True Ups continue.variances, but True Ups continue.

• Thus any corrections would be uplifted Thus any corrections would be uplifted instead of being properly settled against instead of being properly settled against the market.the market.

• Proposal would continue to provide Proposal would continue to provide settlement updates, but would allow for settlement updates, but would allow for True Up after data corrections have been True Up after data corrections have been made.made.


Proposed languageProposed languageThe Board finds that due to unusual circumstances arising from errors The Board finds that due to unusual circumstances arising from errors

in Data Archive extracts needed by market participants to reconcile in Data Archive extracts needed by market participants to reconcile retail customer assignments and usage data, ERCOT should delay retail customer assignments and usage data, ERCOT should delay 2003 True-Up Settlement Statements to allow market participants to 2003 True-Up Settlement Statements to allow market participants to verify their settlement statements using complete data extracts verify their settlement statements using complete data extracts obtained from ERCOT. obtained from ERCOT.

Pursuant to the authority of the Board of Directors Section 9.2.7 of the Pursuant to the authority of the Board of Directors Section 9.2.7 of the ERCOT Protocols, all true-ups for 2003 shall be delayed until market ERCOT Protocols, all true-ups for 2003 shall be delayed until market participants have a reasonable amount of time to load complete data participants have a reasonable amount of time to load complete data extracts and analyze the data, and sufficient time to process any extracts and analyze the data, and sufficient time to process any alleged variances as follows: (1) 2003 True-Up Settlement alleged variances as follows: (1) 2003 True-Up Settlement Statements will begin no earlier than 120 days from the date that Statements will begin no earlier than 120 days from the date that ERCOT provides the first complete SCR 727 data extracts related to ERCOT provides the first complete SCR 727 data extracts related to 2003 to market participants, as determined by ERCOT, and (2) 2003 to market participants, as determined by ERCOT, and (2) alleged data variances indicated in the extracts affecting 2003 True-alleged data variances indicated in the extracts affecting 2003 True-Up Settlement Statements must be submitted to ERCOT in Up Settlement Statements must be submitted to ERCOT in chronological order beginning 90 days from the date that ERCOT chronological order beginning 90 days from the date that ERCOT provides the first extract related to 2003. provides the first extract related to 2003.

Pursuant to the authority of the Board of Directors Section 9.2.5 of the Pursuant to the authority of the Board of Directors Section 9.2.5 of the ERCOT Protocols, beginning October 1, 2003, ERCOT shall issue ERCOT Protocols, beginning October 1, 2003, ERCOT shall issue Resettlement Statements beginning with 2003 Trade Days June 10, Resettlement Statements beginning with 2003 Trade Days June 10, 11, 12, 13, 16, 17, 19, 20, 21, 22, 24, and 25 and continue thereafter 11, 12, 13, 16, 17, 19, 20, 21, 22, 24, and 25 and continue thereafter with Resettlement Statements for January 1, 2003, and following with Resettlement Statements for January 1, 2003, and following Trade Days, until such time as the True Up Settlement Statements Trade Days, until such time as the True Up Settlement Statements for 2003 begin, as provided in this resolution.for 2003 begin, as provided in this resolution.

Documents

TAC Report to the ERCOT Board