1 protocol revision subcommittee presentation to the ercot technical advisory committee january 12,...

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Protocol Revision Protocol Revision SubcommitteeSubcommittee

Presentation to thePresentation to the

ERCOT Technical Advisory CommitteeERCOT Technical Advisory Committee

January 12, 2006January 12, 2006

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PRS SummaryPRS Summary

• 5 PRRs for Approval5 PRRs for Approval• 0 System Changes – IA/CBA0 System Changes – IA/CBA• 5 Non-System Changes – IA only5 Non-System Changes – IA only

• Prioritization ProcessPrioritization Process

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PRR 543 – Schedules & Emergency PRR 543 – Schedules & Emergency Assistance Over CFE-ERCOT DC TiesAssistance Over CFE-ERCOT DC Ties

PurposePurpose(ERCOT)(ERCOT)

Addresses the use of Back-to-Back ties and BLTs Addresses the use of Back-to-Back ties and BLTs with CFE during emergency conditionswith CFE during emergency conditions

BenefitBenefit Greater reliability in emergency conditionsGreater reliability in emergency conditions

Market ImpactMarket Impact NoneNone

System ChangeSystem Change NoNo N/AN/A

AssumptionsAssumptions N/AN/A

PRS VotePRS Vote Recommended approval unanimously; all Recommended approval unanimously; all segments presentsegments present

Effective DateEffective Date March 1, 2006March 1, 2006

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PRR 543 – Schedules & Emergency PRR 543 – Schedules & Emergency Assistance Over CFE-ERCOT DC TiesAssistance Over CFE-ERCOT DC Ties

Impact AnalysisImpact Analysis

Item ReviewedItem Reviewed DescriptionDescriptionNoNoImpactImpact

Credit Monitoring/LiabilityCredit Monitoring/Liability

BudgetBudget

StaffingStaffing

Computer SystemsComputer Systems

Business FunctionsBusiness Functions

Grid OperationsGrid Operations

ImpactImpact

Risk exists when energy flows toCFE from ERCOT

Contract required prior to ERCOTuse of PRR

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PRR 627 – RMR Transmission Issues & RMR PRR 627 – RMR Transmission Issues & RMR Contract ExtensionContract Extension

PurposePurpose(TXU, IOU)(TXU, IOU)

Establishes TDSP reporting requirements Establishes TDSP reporting requirements regarding RMR exit strategy implementation; regarding RMR exit strategy implementation; codifies ERCOT ability to extend RMR/MRA codifies ERCOT ability to extend RMR/MRA contract if exit strategy delayedcontract if exit strategy delayed

BenefitBenefit Increases transparency regarding RMR/MRA exit Increases transparency regarding RMR/MRA exit strategy implementationstrategy implementation

Market ImpactMarket Impact Increases transparency regarding RMR/MRA exit Increases transparency regarding RMR/MRA exit strategy implementation (Change from strategy implementation (Change from Recommendation Report)Recommendation Report)



PRS VotePRS Vote Recommended approval with 3 abstentions; all Recommended approval with 3 abstentions; all market segments were presentmarket segments were present


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PRR 627 – RMR Transmission Issues & RMR PRR 627 – RMR Transmission Issues & RMR Contract ExtensionContract Extension




BudgetBudget

StaffingStaffing




ImpactImpact

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PRR 638 – Change Settlement Invoice Due PRR 638 – Change Settlement Invoice Due Date from 16 Calendar Days to 5 Bank Date from 16 Calendar Days to 5 Bank

Business DaysBusiness Days

PurposePurpose(TXU, IOU, COPS)(TXU, IOU, COPS)

Changes the Settlement Invoice Due Date from Changes the Settlement Invoice Due Date from sixteen (16) calendar days to five (5) Bank sixteen (16) calendar days to five (5) Bank Business Days.Business Days.

BenefitBenefit Accurate settlement dataAccurate settlement data

Market ImpactMarket Impact Accurate settlement dataAccurate settlement data



PRS VotePRS Vote Unanimously approved; all segments presentUnanimously approved; all segments present


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PRR 638 – Change Settlement Invoice Due PRR 638 – Change Settlement Invoice Due Date from 16 Calendar Days to 5 Bank Date from 16 Calendar Days to 5 Bank

Business DaysBusiness DaysImpact AnalysisImpact Analysis



BudgetBudget

StaffingStaffing




ImpactImpact

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PRR 639 – Notification of Repairs to EPS PRR 639 – Notification of Repairs to EPS Facilities Under Emergency ConditionsFacilities Under Emergency Conditions

PurposePurpose(TXU, IOU, MWG)(TXU, IOU, MWG)

Allows TDSP to repair EPS meter prior to notifying Allows TDSP to repair EPS meter prior to notifying ERCOT in emergency situationsERCOT in emergency situations

BenefitBenefit Allows for more timely repairs of EPS meters Allows for more timely repairs of EPS meters during emergency situationsduring emergency situations

Market ImpactMarket Impact N/AN/A



PRS VotePRS Vote Unanimously approved; all segments presentUnanimously approved; all segments present


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PRR 639 – Notification of Repairs to EPS PRR 639 – Notification of Repairs to EPS Facilities Under Emergency ConditionsFacilities Under Emergency Conditions




BudgetBudget

StaffingStaffing




ImpactImpact

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PRR 646 – Establish a Floor for Responsive PRR 646 – Establish a Floor for Responsive Reserve Service -- Reserve Service -- URGENTURGENT

PurposePurpose

(ERCOT, ISO, CWG)(ERCOT, ISO, CWG)

Provides that until 1/1/07, all bids to provide Provides that until 1/1/07, all bids to provide Responsive Reserve must be equal to or greater Responsive Reserve must be equal to or greater than –$1,000than –$1,000

BenefitBenefit Prevents large negative bids reduces credit Prevents large negative bids reduces credit exposure or liability in ERCOTexposure or liability in ERCOT

Market ImpactMarket Impact N/AN/A



PRS VotePRS Vote Approved as amended by PRS with 2 abstentions; Approved as amended by PRS with 2 abstentions; all segments presentall segments present

Effective DateEffective Date February 1, 2006February 1, 2006

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PRR 643 – Shorten Payment Default Timelines PRR 643 – Shorten Payment Default Timelines -- -- URGENTURGENT




BudgetBudget

StaffingStaffing




ImpactImpact

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Recommended TAC ActionsRecommended TAC Actions

• ApprovalApproval• PRR 543 – Schedules & Emergency Assistance Over CFE-PRR 543 – Schedules & Emergency Assistance Over CFE-

ERCOT DC TiesERCOT DC Ties• PRR 627 – RMR Transmission Issues & RMR Contract PRR 627 – RMR Transmission Issues & RMR Contract

ExtensionExtension• PRR 638 – Change Settlement Invoice Due Date from 16 PRR 638 – Change Settlement Invoice Due Date from 16

Calendar Days to 5 Bank Business DaysCalendar Days to 5 Bank Business Days• PRR 639 – Notification of Repairs to EPS Meter Facilities PRR 639 – Notification of Repairs to EPS Meter Facilities

Under Emergency ConditionsUnder Emergency Conditions• PRR 646 – Establish a Floor for Responsive Reserve PRR 646 – Establish a Floor for Responsive Reserve

Service Bids -- URGENTService Bids -- URGENT

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Amendment to System Amendment to System Project Prioritization Project Prioritization

ProcessProcess

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2006 System Change Prioritization Criteria2006 System Change Prioritization Criteria

• PRS reviewed categorization of system PRS reviewed categorization of system projects based on review of 2005 projects based on review of 2005 Prioritization ProcessPrioritization Process

• New criteria would be used to review existing New criteria would be used to review existing and future system prioritizationsand future system prioritizations

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• Priority DesignationsPriority Designations• #1 – Projects required by statute, PUCT Order, #1 – Projects required by statute, PUCT Order,

NERC Compliance or critical reliability of grid NERC Compliance or critical reliability of grid operations, IT infrastructure or commercial operations, IT infrastructure or commercial settlementsettlement

• #2 – High value for a majority of market segments #2 – High value for a majority of market segments or ERCOTor ERCOT

• #3 – High value for one or two segments#3 – High value for one or two segments• #4 -- Medium value for a majority of market #4 -- Medium value for a majority of market

segments or ERCOTsegments or ERCOT• #5 – Medium value for only one segment#5 – Medium value for only one segment• #9 – Parking lot for non-prioritized projects#9 – Parking lot for non-prioritized projects

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• Important considerationsImportant considerations• Consistent application by all parties is criticalConsistent application by all parties is critical• DefinitionsDefinitions

• Critical – operational necessity that must be addressed Critical – operational necessity that must be addressed immediatelyimmediately

• High Value – operational requirement that if left unaddressed will High Value – operational requirement that if left unaddressed will become criticalbecome critical

• Medium Value – important to improve service or efficiency of Medium Value – important to improve service or efficiency of operations of the marketoperations of the market

• Effective project prioritization is a combination of the Effective project prioritization is a combination of the following elements:following elements:• Change RequestChange Request• Impact AnalysisImpact Analysis• CBA OutputCBA Output• OtherOther

1 protocol revision subcommittee presentation to the ercot technical advisory committee january 12,...

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