Transmission Tariff and Market Design Rulemaking

1. Transmission Tariff and Market Design Rulemaking Alice Fernandez, Mark Hegerle, Kevin Kelly, Dave Mead, Ed Murrell, Joe Power, and Dave Withnell

2. Reasons for Standard Market Design Rulemaking • Objective is a seamless national electricity marketplace • Need to look at power markets together with transmission markets • Greater standardization is needed

3. Plan for NOPR • Build off of RTO Week discussions and work of the Electronic Scheduling Collaborative • Make key policy decisions on the elements of standard market design • Use industry collaborative process to develop detailed standards

4. Elements of the NOPR • Changes required in the pro forma tariff • Energy markets • Market for transmission services • Operating reserves • Ensuring adequate generation capacity • Market Monitoring • Market Mitigation

5. Timeline for the Rule • Issue staff paper – Dec 2001 • Industry workshops – Jan/Feb 2002 • Issue NOPR -- March 2002 • Industry workshops– April/May 2002 • Comments – May 2002 • Rule – July 2002

6. Pre-NOPR Outreach • Multi-day workshop in mid-January • Conference with state commissioners in early February • Individual meetings with industry segments

7. Conclusion • Getting the right market design is critical • Need input from all stakeholder interests to do that