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PWG Update Report By Ernie Podraza of Reliant Energy ERCOT PWG Chair for RMS Meeting

PWG Update Report By Ernie Podraza of Reliant Energy ERCOT PWG Chair for RMS Meeting September 26, 2003. Next PWG Meetings 9/30, 10/1 and 10/22. PRR for NIDR to IDR Default Profile, VOTING ITEM. PRR for Protocols Section 18 to PRS.

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PWG Update Report By Ernie Podraza of Reliant Energy ERCOT PWG Chair for RMS Meeting

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  1. PWG Update Report By Ernie Podraza of Reliant Energy ERCOT PWG Chair for RMS Meeting September 26, 2003

  2. Next PWG Meetings 9/30, 10/1 and 10/22. • PRR for NIDR to IDR Default Profile, VOTING ITEM. • PRR for Protocols Section 18 to PRS. • New Profile Cost Recovery Method per PUCT Project 25516. • Annual Profile Type and Weather Zone Validation. • Protocols Section 18.6.5, Future IDRs Impact Analysis. • Oil and gas properties profile change request. • Gas/Convenience 24 hr Stores profile change request. • Direct Load Control (DLC) Project Status. • IDR Requirement Report. • Default Profiles.

  3. PRR for NIDR to IDR Default Profile VOTING ITEM Motion to approve the PRR draft made by the PWG entitled, “NIDR to IDR Default Profile Scaling” as submitted to the RMS exploder on 9/15/03 in file named, “PWG_PRR for nidr to idr default profile scaling.doc”. Discuss: ERCOT staff has reviewed the PWG suggestion to add a module to the ERCOT settlement process such that if an ESI ID migrates from a NIDR meter to a IDR meter and subsequently having a new profile id assignment of BUSIDRRQ, that if the IDR data is not available for settlement for 90 days then the BUSIDRRQ profile shall be scaled based on the most recent NIDR load data. This would be a module for only those ESI Ids migrating from NIDR to IDR and as such would be a relatively small population and hence the system change impact is expected to be under 40 hours of software modification and implementation.

  4. PRR for Protocols Section 18 to PRS. • On 9/15/03 the PWG submitted a draft PRR entitled, “Compliance for Competitive Metering and 25516 Rulings to Load Profiling” to update Protocols Section 18 per the PUCT Rulings on Project 25516 Load Research and Load Profiling and Project 26359 on Competitive Metering. • RMS Chair approved the PWG going directly to PRS to assist in the timeline for the PRR approval by year end before competitive metering becomes effective on 1/1/04.

  5. PUCT Project 25516, Load Profiling and Load Research Rule. • Approved at open meeting 3/05/03. Effective Date April 16, 2003 (Oct. 16, 2003 - end of 6 months). • ERCOT has 6 months to establish a procedure to provide a method of recovery of research costs associated with obtaining a new profile by a sponsoring Market Participant. • ERCOT presented a strawman at the 5/07/03 PWG meeting. • PWG refined the strawman at the 5/28/03 PWG Meeting. • PWG presented alternatives at the RMS meeting on 6/12, Pay As You Go was selected. • Per PWG meetings 6/18, 6/19 and 7/09, the PWG has drafted a PRR and LPGRR. • PRR442 and LPGRR2003-003. • 7/17/03 RMS approved , urgent status approved at 07/24/03 PRS and 8/6/03 TAC meetings, and PRS Comments due: 08/11/03. • PRS Reviewed: 08/21/03, Comments on PRS Recommendation: 09/03/03. • TAC Approved: 09/04/03. • Board Approved: 09/16/03.

  6. Annual Profile Type and Weather Zone Validation.

  7. Protocols Section 18.6.5, Future IDRs Impact Analysis. • Per 8/19/03 PWG meeting discussions began on compliance to Section 18.6.5. • 18.6.5    Future Requirements for IDRs • ERCOT and the appropriate ERCOT TAC subcommittee shall evaluate the impact of the IDR Requirement as defined in this Section for possible revision prior to the introduction of competitive metering services to the market on January 1, 2004. • 3. ERCOT staff is working on comparing current IDR premises below 1000 KW verses if the premise had been on a NIDR profile as the basis of the impact study.

  8. Oil and gas properties profile change request. • Submitted to ERCOT 3/6/03 by Pioneer Natural Resources, Priority Power Management, and Energy Data Source . • ERCOT to post to WEB. • Argument is that the aggregate profile is a very high load factor profile, close to flat. • ERCOT is to evaluate and submit recommendation to PWG. • May test the new PUCT Rule 25516 for reimbursement. • ERCOT shall post the methodology request to the Market Information System (MIS) and respond to the request within sixty (60) days of the posted date of the request. This period does not include the time to analyze and render the complete assessment of the request. • “ERCOT withholds a decision on making a recommendation on whether to adopt or to deny adoption of the suggested profile change; instead ERCOT finds the request, as submitted, is incomplete and deficient. The requestors are invited to address the incompleteness and deficiencies listed below and re-submit the request for further review.” • Per 6/19 PWG meeting, a straw-man in development for changes to the profile change request process and to allow lagged dynamic samples. PRR drafts to be reviewed at the 9/30 and 10/1 PWG meetings. • ERCOT staff has submitted a load research sample design to the requestor for approval.

  9. Gas/Convenience 24 hr Stores Profile Change Request. • Submitted to ERCOT by Coral Energy. • ERCOT staff is discussing a load research sample design with the requestor.

  10. Direct Load Control (DLC) Project Status. • PRR 385 Section 18 is complete with Board Approval 5/20/03. • LPGRR2003-001 is attached to PRR385, approved by TAC 7/02, reviewed by Board, and the LPG is updated). • ERCOT Schedule is pending, Project Manager assigned. • ERCOT and some Market Participants question priority going forward. • Memo, on Project 26359 on Competitive Metering, May 8, 2003, by Commissioner Perlman suggests that wires companies need to develop a rate structure that provides strong incentives for demand responsiveness by charging different rates during high load periods. • PRR388 and PRR400 does not completely cover DLC issues. • PRR Section 6 Language for DLC is being written for a PRR.

  11. IDR Requirement Report. • 07/03/03, ERCOT issues IDR_threshold_analysis_20030627.xls. • July 30, 2003, ERCOT issues a Market Notification for IDR Requirement File on Portal. • PWG discussed on 7/30/03. Background: • The report was issued in the spring of 2002 and manually sent to MP contacts. • The report was again issued in the spring of 2003 and manually sent to MP contacts. • The report was automated on monthly basis on 5/2, 6/2, and 7/2/03.

  12. Default Profiles. • PWG reviewed 7/30/03. • Requested ERCOT staff examine PWG suggestions if a new module can be added to the settlement software to allow ways of scaling the default profiles when both the IDR data is missing and/or a NIDR premise changes to IDR. • PWG and ERCOT staff to further discuss at the 8/19 PWG meeting. • PRR approved at 9/11/03 PWG meeting on NIDR to IDR scaling. • PRR352 for proxy day routine change for 8 weeks to 12 month look back for IDR is due for completion in 2-3 months. • NIDR default profile settlement routine to be discussed at the 9/30 PWG mtg.

  13. The PWG RMS to

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