ESC Use Case Review Joint OASIS Implementation Task Force Paul R. Sorenson August 30-31, 2004

1. ESC Use Case ReviewJoint OASIS Implementation Task ForcePaul R. SorensonAugust 30-31, 2004

2. ESC Use Case Review • Use Case Categories • Registration • Participants, Users, Facilities, Resources, Subscriptions • Operations • Outages, Load Forecasts, (Operating) Schedules • Transmission Rights Markets • Auctions, Bilateral and Secondary Markets • Energy Markets • Day-ahead Energy, Real-time Energy • Bilateral and Self Schedules • Physical Schedules, Financial Schedules, Self Schedules • Coordination • Coordinate Interchange

3. ESC Use Case Review • OASIS II Implementation (Proposed) • Stage 1 • Target – Fall 2006 • Functionality – TBD • Stage 2 • Target – Fall 2007 • Functionality – TBD • Stage 3 • Target – Fall 2008 • Functionality - TBD

4. ESC Use Case Review • For Staged Implementation • Re-categorize Use Cases by Functionality • Make Groupings as Autonomous as Possible • Company/User Registration • Publish/Subscribe • Bilateral Transmission Markets • Physical Bilateral Schedules • Self Schedules • Market Resource Registration • Auction Transmission Markets • Financial Bilateral Schedules • Energy Markets

5. ESC Use Case Review • Use Case Naming Convention • Submit – Initial entry of data into OASIS • Modify – Change data element(s) submitted • Set – Change to specific data element; acknowledgement/status • View – Generic query function • Post – Unilateral entry of data for viewing

6. ESC Use Case Review • Use Case Contents • Summary* • Actor/Role • Participating Functions • Triggers • Pre-Conditions • Flow of Events* • Alternative Flows* • Post Conditions • Related Use Cases • Assumptions • Data Exchange* • Comments • Revision History

7. Company/User Registration • Registration • Request User Credentials • Login • Submit Participant Registration • Modify Participant Registration • Set Participant Registration State • Submit User Registration • Modify User Registration • Set User Registration State • View Registration

8. Publish/Subscribe • Registration • Submit Subscription • Modify Subscription • Notify Subscribers • Post Market Services • View Registration

9. Publish/Subscribe • Important Concepts • Generic extension to OASIS dynamic notification • Published events may be broad or very specific • Notify when reservation x is modified • Notify when price at location y changes by more than 2% or $10.00 • Once framework established should be easily extended as add new functionality to OASIS

10. Bilateral Transmission Markets • Transmission Rights Market • Assess Transfer Capability • Submit TR Proposal • Modify TR Proposal • Submit TR Deal • Modify TR Deal • Set TR Deal State • Post Transmission Rights • Post Transfer Capability • View TR Market

11. Bilateral Transmission Markets • Important Concepts • Used for primary physical rights markets, and both physical and financial secondary markets • Proposals can be posted by both Buyers and Sellers • OASIS 1A – Offers only posted by Sellers • Deals can be submitted by either Buyer or Seller • OASIS 1A – Requests only posted by Buyers (Customers) • Negotiation can include product, quantity, price, time, etc. • OASIS 1A – Negotiations limited to price • Separate the concept of rights held from the transactions used to acquire those rights

12. Physical Bilateral Schedules • Bilateral and Self Schedules • Submit Bilateral Schedule • Modify Bilateral Schedule • Adjust Bilateral Schedule • Set Bilateral Schedule State • Distribute Schedule • View Bilateral & Self Schedules • Coordination • Coordinate Interchange

13. Physical Bilateral Schedules • Important Concepts • Energy schedule requires balanced Source BA –to- Sink BA transaction (RFI) • Partial/fragment submission and assembly was not proposed • Ancillary commitment schedule for reserves, etc. • GPE may designate specific resource(s) to be used (if required by BA or Market) as part of their review/approval process; may be multiple resources as long as in the same BA • LSE may designate specific resource(s) to be served (if required by BA or Market) as part of their review/approval process; may be multiple loads as long as in the same BA

14. Physical Bilateral Schedules • Important Concepts • Generation, Load and wheeling components may all include market pricing or dispatch options • ALL APPROVALS ARE TIME DEPENDENT • Market participants may approve the entire schedule • Market operators may approve only after market clearing and only for time interval cleared • GPE/LSE may change resources with approval over different time periods (still can’t change Source BA and Sink BA)

15. Physical Bilateral Schedules • Important Concepts

16. Physical Bilateral Schedules • Important Concepts • SUBMITTED: The schedule or contract is valid and has been recorded on OASIS. • ACCEPTED: The Market Participant has acknowledged that the schedule or contract data, for which they are responsible, is entered and correct. OASIS validates that required data is entered before allowing this state change. • MODIFIED: A Market Participant or an Operational Entity has changed some data previously submitted or agreed to by others. • DENIED: A Market Participant or an Operational Entity disagrees with all or part of the schedule or contract. • WITHDRAWN: Original submitter of the schedule or contract has removed it from consideration. This is a final state. • PENDING: All Market Participants involved in the schedule or contract have agreed that it is correct. This state is automatically set by OASIS. • APPROVED: The appropriate Operational Entity (such as MO, BA, or TSP) has acknowledged their intent to implement the schedule or to include the contract in their settlement process. • REJECTED: The appropriate Operational Entity (such as MO, BA, or TSP) has rejected the schedule or contract. This is a final state. • CONFIRMED: All Operational Entities have agreed to implement the schedule. • ADJUSTED: The previously CONFIRMED schedule has been changed.

17. Physical Bilateral Schedules • Important Concepts • MP sends schedule/contract to OASIS. OASIS performs validation. If it is valid, it is added to database with state of SUBMITTED. • Each MP indicates their agreement that the schedule/contract is correct by setting the state (for that MP) to ACCEPTED. • Any party to the schedule/contract (MP or OE) may change it. OASIS will then reset the state for all parties to MODIFIED. (The MP making the change may set their state to ACCEPTED if all required data is entered.) • Any party to the schedule/contract (MP or OE) may set the state to DENIED to indicate disagreement with all or part of the schedule/contract. This state is used to communicate what information is incorrect or incomplete. • Original submitter may remove the schedule/contract from consideration by setting the state to WITHDRAWN. • Once the state for all MP parties has reached ACCEPTED, OASIS will set the state to PENDING. (Note: If the state is PENDING for any entity, it must be PENDING for all entities.) At this point, the OE(s) for this market area considers the schedule for clearing/implementation, and the MO considers the contract for settlement.

18. Physical Bilateral Schedules • Important Concepts • If OE can implement the schedule as stated, they set the state to APPROVED. • If MO will use the contract for settlement, they set the state to APPROVED. • Both Self Schedules and Bilateral Contracts default to CONFIRMED after they are APPROVED. This is because only one balancing area or market area is involved. • If OE can implement part of the schedule, they change it accordingly. There are two options for the state change at this point. It is controlled by a flag previously set by the MPs: • If MPs want to review OE changes, the state is set to MODIFIED. • If MPs have agreed to accept whatever is available, the state is set to APPROVED. • If OE cannot implement the schedule, they set the state to REJECTED. • OASIS monitors APPROVED schedules to determine whether they can be CONFIRMED. • If the schedule is internal (handled by a single OE), it is immediately set to CONFIRMED. • If the schedule is external (handled by multiple OEs), OASIS will set the state to CONFIRMED when all responsible OEs have set the state to APPROVED for their area. • If an Operational Entity needs to change a CONFIRMED schedule, they set the state to ADJUSTED. If other OEs are involved, they need to change and re-approve the schedule for their area.

19. Self Schedules • Bilateral and Self Schedules • Submit Self Schedule • Modify Self Schedule • Adjust Self Schedule • Set Self Schedule State • View Bilateral & Self Schedules

20. Self Schedules • Important Concepts • Unbalanced generation or load schedule by definition • Always within bounds of single BA or Market • Market Participant submits to BA or Market Operator • Ancillary commitment schedule for reserves, etc.

21. Market Resource Registration • Registration • Submit Facility Registration • Modify Facility Registration • Set Facility Registration State • Submit Resource Registration • Modify Resource Registration • Set Resource Registration State • Post Market Services • View Registration

22. Market Resource Registration • Important Concepts • Facility is a physical asset with ratings, etc. • Resource is a commercial asset that may be bid into the market (i.e., plant, hub, etc.) • Resource may be associated with one or more facilities • May be a totally back-office function for certain markets

23. Auction Transmission Markets • Transmission Rights Market • Assess Transfer Capability • Create TR Allocation • Post TR Auction Announcement • Submit TR Auction Offer • Modify TR Auction Offer • Submit TR Auction Bid • Modify TR Auction Bid • Clear TR Auction • Set TR Auction Bid/Offer State • Post Transmission Rights • Post Transfer Capability • View TR Market

24. Auction Transmission Markets • Important Concepts • Used primarily for financial rights markets • Not necessarily restricted to financial rights

25. Financial Bilateral Schedules • Bilateral and Self Schedules • Submit Bilateral Contract • Modify Bilateral Contract • Set Bilateral Contract State • Submit Bilateral Schedule • Modify Bilateral Schedule • Adjust Bilateral Schedule • Set Bilateral Schedule State • Distribute Schedule • View Bilateral & Self Schedules

26. Financial Bilateral Schedules • Important Concepts • Purely financial in nature • Contracts will contain one or more bilateral schedules • Use the same constructs as Physical Bilateral Scheduling for schedule amounts • Counter-party and Market Operator approvals required

27. Energy Markets • Energy Markets • Submit Energy Market Offer • Modify Energy Market Offer • Submit Energy Market Bid • Modify Energy Market Bid • Clear DAM • Clear RTM • Assess Resource Adequacy • Post Market Results • View Energy Market Results • Monitor Market Compliance • Invoke Market Mitigation Measures • Post Market Mitigation Invocation • Operations • Submit Outage • Modify Outage • Set Outage State • Submit Load Forecast • Modify Load Forecast • Set Load Forecast State • Create System Load Forecast • Create Unit Commitment • Determine Schedules • Post Schedule • Dispatch Generation • Follow Dispatch Orders • Declare Abnormal Condition • Post Reliability Directive • Post Operations Data • View Operations Data

28. Energy Markets • Important Concepts • Patterned after FERC SMD and existing LMP markets • Day-ahead and Real-time markets • Ancillary Services as well as Energy

29. ESC Use Case Review • What Goes Where? • Bilateral Transmission Markets • Financial Bilateral Schedules • Market Resource Registration • Self Schedules • Publish/Subscribe • Auction Transmission Markets • Energy Markets • Company/User Registration • Physical Bilateral Schedules