October 3, 2013 Technical Advisory Committee (TAC) Update to RMS

1. October 3, 2013 Technical Advisory Committee (TAC) Update to RMS Kathy Scott TAC Update to RMS

2. ERCOT Board Update • Strategic Planning Session: • TAC Goals need to align with ERCOT Strategic Goals • TAC Leadership requested that TAC/Subcommittees start now to gather 2014 Goals in order that TAC goals will be available for the February 2014 ERCOT Board meeting • 2014 ERCOT Meeting Calendar • TAC and all Subcommittees monthly meeting schedules have been rearranged to accommodate the change in the ERCOT Board’s meeting schedule for 2014: TAC Update to RMS

3. ERCOT Board Update • Real Time Market Settlement Timeline: • Continue to move forward with phased approach to implement Real Time Market Initial Settlements timeline with Operating Day +5 Days • Continue to discuss and examine data to determine if Real Time Market Initial Settlements can be less than Operating Day +5 Days? • COPS Leadership will provide the details of activities completed to date during Tuesday’s, October 8th, COPS meeting in support of the ERCOT Board and TAC’s action item. TAC Update to RMS

4. PRS Initiatives and Votes • Confirmation of PRS Leadership: • Chair, John Varnell- Tenaska • Vice-Chair, Chris Lyons – Exelon • Unanimously Approved • Nodal Protocol Revision Requests (NPRRs) (Vote): • NPRR550, Modifications to Planning Reserve Margin Inputs • Tabled for one-month to allow ERCOT time to provide additional information/responses to Market Participant’s questions. Request was granted to place NPRR550 on an urgent timeline to meet the ERCOT Board December meeting schedule • NPRR559, Revisions to MCE Calculation • Unanimously Approved by TAC TAC Update to RMS

5. ROS Initiatives and Votes • Reliability and Operations Subcommittee Report * • NOGRR109, Revisions to Definition of Credible Single Contingency for Operations Planning (Vote) – Tabled Pending NPRR540 Approval • NOGRR110, Synchronization with NPRR529, Congestion Management Plan (Vote) – Tabled Pending NPRR529 Approval • NOGRR114, Synchronization with NPRR540, Clarification of Credible Single Contingency (Vote) – Tabled Pending NPRR540 Approval • NOGRR116, Synchronization with NPRR542, Clarification of the Use of Emergency Condition (Vote) – Tabled Pending NPRR542 Approval • NOGRR120, Black Start Plan Template Revision(Vote) – Approved • ERCOT Resource Registration Glossary, Section 1: Overview and Revision Process • Document Approval (Vote) – Approved • Addition to list of Other Binding Documents (Vote) – Approved TAC Update to RMS

6. WMS/COPS/RMS Initiatives & Votes • Wholesale Market Subcommittee Report* • DAM Credit Parameters: Point to Point Obligation Discount Factor (Vote) - Approved • Commercial Operations Subcommittee Report* • Update only, leadership provided workshop update: • HOW LOW CAN WE GO with Reducing the Real Time Market Settlement Timelines for Initial and Final Settlement????? • Retail Market Subcommittee Report* • Update only, but there was interest from members requesting feedback at the November TAC concerning the TX SET Mass Transition discussions : • Are there Volume Limitations, if so, what are they? • Streamlining the process to reduce Mass Transition timelines? TAC Update to RMS

7. ERCOT Operations, Planning & IT Report • MP Online Project Update • New system will allow viewing of historical data, provide reporting functionality and query capability • Phase 1currently estimated cost is $1Million, but this estimate expected to be refined during the planning phase. • $300,000 will be needed for the planning phase that is estimated to take about 5-6 months • Generators have the most impacts due to manual workarounds with producing numerous spreadsheets. • No tracking or audit trail capability currently available • Hours spent error checking and making corrections • ERCOT’s requesting MP’s feedback concerning benefits and cost avoidance savings with project’s implementation TAC Update to RMS

8. Other Business • ERCOT Concept Paper on Future Ancillary Services: • The TAC consensus requested that TAC leadership should schedule a Future of Ancillary Services workshop for MPs to discuss ERCOT’s white paper. • Some MP’s felt ERCOT’s white paper was a complete overhaul of the current Ancillary Services market. • MP’s should check ERCOT.com calendar for Ancillary Services meeting date and time. TAC Update to RMS

9. Other Business • Annual TAC and Subcommittee Structural and Procedural Review • Revised TAC Procedures: • Includes language for appealing a subcommittee decision to TAC • Includes language that Working Groups (WGs) and Taskforces (TFs) must obtain permission from their reporting subcommittee before submitting comments or any type of Revision Request directly to TAC on behalf of their Working Group and/or Taskforce • The proposed redlined document has been tabled a TAC to allow time for MP review and comments before it is considered for voting by TAC on November 7, 2013. • Working Groups and Taskforces are encouraged to review to determine their impacts by the proposed changes. TAC’s proposal Key Document 07 at: http://www.ercot.com/calendar/2013/10/20131003-TAC TAC Update to RMS

10. Questions? TAC update to RMS