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Proposed Expedited Switch Rulemaking Changes Follow-Up

This document outlines ERCOT's understanding of the proposed rulemaking changes for Expedited Switch transactions, including potential system adjustments, timeline modifications, and customer notification processes. It addresses the impact on On-Cycle and Out-of-Cycle switches, possible system changes required, and the potential need for market collaboration for successful implementation.

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Proposed Expedited Switch Rulemaking Changes Follow-Up

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  1. ERCOT Follow up on questions from 2/18 meeting on proposed Expedited Switch rulemaking changes…

  2. ERCOT’s understanding of the proposed rulemaking: • Currently there are 2 types of Switch transactions: • On-Cycle – ERCOT sends the First Available Switch Date (FASD) to the TDU • Out-of-Cycle – ERCOT sends the FASD and the Special Read Date Requested by the Rep to the TDU • After the rule making ERCOT believes the Expedited Switch will replace the On-Cycle Switch: • Expedited – ERCOT sends the FASD to the TDU. TDU returns a Scheduled Meter Read Date (SMRD) for the Switch within the 6 calendar day window. • Out-of-Cycle – ERCOT sends the FASD and the Special Read Date Requested by the Rep to the TDU

  3. Two or Three Types? • If with proposed rulemaking the Expedited Switch replaces the On-Cycle Switch: • ERCOT believes we may have to make minor system changes. • No TX SET version change foreseen. • Cancels inside the window(s) to be managed with the MarkeTrak process. • If proposed rulemaking has 3 types of switches – Off-cycle, On-cycle and Expedited: • ERCOT would work with the market to add the expedited switch processes into the stacking logic. • TX SET change would be required to accommodate the expedited switch transaction. • ERCOT believes we may have to make major system changes and facilitate a flight test with the market prior to implementation.

  4. Parking Lot / Questions for follow up? • What other questions would MPs like ERCOT to research to bring back to future meetings? • Changes to the timeline that allows the market to maintain the customer notification process for switching, while shortening the time it takes to switch.

  5. Current Trans flow for Customer Notification • Scenario 1 – no waiver • Current – prior to any expedited switch changes Switch FASD is calculated after customer rescission period Switch for REP A is Scheduled for ? Next cycle date REP A submits Switch REP C is Rep of Record Thursday 02/12 Friday 02/20 Monday 02/09 Tuesday 02/24 Tuesday 03/10 Monday 03/01 FASD Customer Rescission Process Cancellation The FASD for a Switch Request where notification has not been waived is calculated as follows: FASD = EPD + 3BD (Mailing to notify Customer of the pending Switch Request) + 7CD (Customer Rescission Period) + 3BD (Processing time to allow for potential cancellation by Customer)

  6. Current Trans flow for Customer Notification • Scenario 2 - waiver • Current – prior to any expedited switch changes Switch FASD is calculated at 3 Business days Switch for REP A is Scheduled for ? Next cycle date REP A submits Switch REP C is Rep of Record Thursday 02/12 Thursday 2/19 Monday 02/09 Sunday 02/15 Tuesday 02/24 FASD The FASD is calculated as follows for a waiver of notification: FASD = EPD + 3BD (Processing time)

  7. After Expedited Switch • Scenario 1 – • Timeline for customer notification / TDSP schedules for last day in the window Switch for REP A is Scheduled for 02/18 Switch FASD is calculated at 3 Business days REP A submits Switch TDSP schedules Switch within the 6 day window REP C is Rep of Record Thursday 02/12 Thursday 2/19 Monday 02/09 Sunday 02/15 Tuesday 02/24 FASD Customer Rescission X Process Cancellation The FASD for a Switch Request where notification has not been waived is calculated as follows: FASD = EPD + 3BD (Mailing to notify Customer of the pending Switch Request) + 7CD (Customer Rescission Period) + 3BD (Processing time to allow for potential cancellation by Customer)

  8. After Expedited Switch • Scenario 2 – • Timeline for customer notification / TDSP schedules for first day in window Switch for REP A is Scheduled for 02/12 Switch FASD is calculated at 3 Business days REP A submits Switch TDSP schedules Switch within the 6 day window REP C is Rep of Record Thursday 02/12 Thursday 2/19 Monday 02/09 Sunday 02/15 Tuesday 02/24 FASD Customer Rescission X Process Cancellation The FASD for a Switch Request where notification has not been waived is calculated as follows: FASD = EPD + 3BD (Mailing to notify Customer of the pending Switch Request) + 7CD (Customer Rescission Period) + 3BD (Processing time to allow for potential cancellation by Customer)

  9. REP / TDSP Questions for follow up? • What other questions were brought up for MPs to review and bring back for next time? • TDSPs provide an expected ratio of estimated reads to actual reads that would be generated from the various scenarios under discussion.

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