RMSUpdate May 5, 2005 Retail Market Subcommittee Update to TAC RMSUpdate Voting Items Agenda SCR 742 Automated Retail Transaction Verification (Submitted to PRS for prioritization, not taken up at TAC today) RMGRR 019 Estimated Meter Readings Residential Survey for Annual Validation RMSUpdate Voting Item SCR 742 Automated Retail Transaction Verification Developed by the Texas Test Plan Team to support automatic testing of retail transactions Allows market participants automated testing to verify internal system changes that do not require complete market testing Supports transaction validation prior to beginning a test flight Reduces the effort required to complete certification testing Will not replace a thorough end-to-end market testing RMSUpdate Voting Item - RMGRR 019 Estimated Meter Readings Creates a new section in the Retail Market Guide Contains guidelines for estimating meter readings Contains guidelines for notifying competitive retailers when estimates are made Note: (1). This captures what TDSPs are currently doing and does NOT attempt to standardize the processes. (2). Present discussion in Terms and Conditions rulemaking may require standardization RMSUpdate Voting Item Residential Survey Residential Survey for Annual Validation Jul 04 PWG recommended 2004 annual validation adjustment Aug 04 RMS recommended suspension of 2004 annual validation for residential customers Sep 04 TAC approved RMS recommendation/PRR 534 urgent resolution Sep 04 Board approved urgent PRR 534, requested timeline and scope of possible resolution by November 04 Oct 04 PWG developed a 5 point improvement plan in the validation process RMSUpdate Voting Item Residential Survey Residential Survey for Annual Validation Oct 04 RMS approved PWGs 5 point improvement plan Nov 04 TAC remanded improvement plan due to concerns with the Residential Survey for Annual Validation Dec 04 RMS recommended revised plan excluding the Residential Survey for Annual Validation Jan 05 TAC approved the revised plan Apr 05 RMS revised, improved and approved the Residential Survey for Annual Validation May 05 Seeking TAC approval of the New and Improved Residential Survey for Annual Validation RMSUpdate 7 Reviewed and investigated alternatives to conducting a customer survey Purchase information from a third-party vendor Visual inspections Reviewed and investigated various survey mediums survey to ERCOT exploder lists Telephone survey Door-to-door survey Mail survey Combinations of the above Mail survey is the most suitable alternative, given the timeline and budget constraints Survey Alternatives RMSUpdate 8 Reducing Customer Confusion Bilingual (English/Spanish), short, simple to understand cover letter and survey form ERCOT supported 24-hour, bilingual, toll-free telephone number ERCOT supported web page containing ERCOT background, survey question details, toll-free telephone number, and Frequently Asked Questions (FAQs) Minimizing Call Center Impacts Cover letter will refer customer questions/concerns to toll free number FAQs will be provided to REPs for training materials for the call centers Improving Response Rate Postage-paid return envelope ERCOT to purchase customer name associated with address information Correlating ESI-ID to Response Bar-coded survey form linking ESI-ID to response Survey Administration RMSUpdate 9 Phase 1: Pilot mail survey to 1,000 customers, equally distributed across all weather zones Estimate response rate for phase 2 Assess response accuracy Phase 2: Full mail survey Go/No-Go decision based on pilot responses Evaluate accuracy based on usage history Analyze response rate to determine sample size required to achieve statistically significant results Ensure the budget supports the required sample size Draw sample based on pilot response rate results Two Phased Approach RMSUpdate ??? Questions ???