TSP Nodal Engagement Market Participant Call

1. TSP Nodal Engagement Market Participant Call ERCOT August 04, 2010 http://nodal.ercot.com 1

2. Agenda • General Reminders / Updates • SSWG update • NDSWG Update – None this week http://nodal.ercot.com 2

3. Market Trials 2010 Roadmap http://nodal.ercot.com 3

4. Full System Market and Reliability Testing Update http://nodal.ercot.com 4

5. LFC Update • Next Full System Test • 24-Hours in duration • To start on Thursday 8/19/2010 12:00 PM and complete on 8/20/2010 12:00 PM • Operational scenarios will be discussed on the Friday Real Time Market call • 168-Hour update • Additional discussions on the format and objectives were discussed at the NATF session on 8/9/2010 • It was agreed that a revised Handbook would be published and discussed at a Special TAC session • The special TAC session will occur on 8/12/2010 http://nodal.ercot.com 5

6. General Reminders http://nodal.ercot.com 6

7. General Reminders • Joint NDSQG and NATF session to occur on Tuesday 8/17/2010 • Session will be dedicated locking in modeling expectations • Details are posted at: http://www.ercot.com/calendar/2010/08/20100817-NATFNDSWG • Reminder: Outage Scheduler with Zonal Outage Transfer • Delete all Outages and run Zonal to Nodal Transfer Tool Friday, 8/13 (Note that 80% to 85% of the outages are transferred) • Resource Outages will not be transferred by the Transfer tool • The target is to make available for outage transfer validation and outage submissions Monday 8/16, 7:00 am, for the upcoming tests, optional months of October & November and for December and beyond • A Market Notice will be sent out once ERCOT has completed this work. It is important that MPs do not start validation prior to receiving this Market Notice. • Request list of Outages not transferred from MarketTrials@ERCOT.com • Send email to Market MarketTrials@ERCOT.comconfirming outages have been validated by 9/17 for all Outages December and beyond • First production pull of OS data is scheduled for 10/2 for the first CRR Auction • TSPs and QSEs are responsible to ensure that the outages in the Nodal Outage Scheduler are correct • Outages previously approved in zonal will be automatically approved in Nodal http://nodal.ercot.com 7

8. Nodal Model Effort Activity Operations Model (NMMS) Topology Processor (Software) Long Term Planning Model CRR Model SSWG Support SSWG & ERCOT Development SSWG Support NDSWG Support ERCOT TAC Meeting - ROS Report

9. SSWG Planning Model Activities • Correcting Connectivity Node Groups • Aug 6 TP output: 87 CNGs needing correction • Phase II Corrections: Area #, Zone #, Load ID, Branch ID, Generator ID, mileage • ERCOT sent correction spreadsheet July 9 • Due July 30 • August 15 Deadline for submitting NOMCRs to correct planning data

10. SSWG Planning Model Activities • New Topology Processor update delivered to ERCOT • Being tested by ERCOT and SSWG • SSWG has submitted a System Change Request (SCR759) related to the Topology Processor changes • ROS approved with “High” priority at July 15 meeting • ROS to formally approve and place in Priority List at Aug 13 meeting • Identifying important modeling issues • Categorize these and determine if additional SCRs are necessary • SSWG to work on drafting next SCR • MOD/PMCR Training complete • MOD Sandbox to be opened for TSP access until Sept 1 • Aug 18 meeting • Plan 2010 Test Case procedure • First test of creating case with new method • Many unknowns to be discussed

11. SSWG Modeling Issues Annual Planning Model related issues: • SPS: Additional equipment modeled in IMM • Off-nominal transformers: TP not calculating impedances correctly • Transformer modeling: 2 winding vs 3 winding • No ratings on zero impedance line segments • Ownership • Loads and cap banks being collapsed to the correct CNGs • Cap banks connected to distribution voltage • FACTS devices • Future versions of PSSE • MOD issues: submission process, access, project types, user-defined fields, PMCR to NOMCR transition • TSPs without PSSE or MOD File Builder

12. SSWG Nodal Schedule June – August Make remaining changes to IMM prior to Planning Go-Live July TSPs Complete changes based on TP enhancements Aug 15 Deadline for submitting NOMCRs with planning changes Aug 18 SSWG 2010 test case meeting Aug Compare TP output to SSWG 2010 summer peak case Nov Create 2012 summer peak case using TP and MOD Dec – Feb 2011 Review, update, and modify TP/MOD process for case creation Dec 1 Nodal Go-Live Mar – April 2011 Assuming Nov test meets SSWG approval, begin work to create 12DSA using Nodal method

13. Telemetry Quality Update • July SE Telemetry Standards Report Posted on MIS Secure • Monthly and Quarterly Telemetry Point Availability Statistics Report (June and July 2010) • Quarterly Point Availability Statistics Report (Q2 2010) • Reports => Reports and Extracts Index • TSPs • 11 out of 20 TSPs above 98% for June, No TSPs below 90% • 18 out of 20 TSPs above 98% for July, No TSPs below 96% • QSEs • 58 out of 79 QSEs above 98% for July. 95.66% average for the 21 QSEs below 98% http://nodal.ercot.com 13

14. Telemetry Quality Update • MP23 Telemetry Quality Metric • Needed for Nodal Readiness. Scheduled to light up 8/25 (using July 2010 statistics) • ERCOT will use the 98% threshold. If the Telemetry Standards are modified and approved by TAC, ERCOT will adopt the new threshold in the metric. • Will be updated monthly until Nodal Go-Live (based on monthly statistics) • From 8/25 to 9/30 • Green >= 98%, Amber >= 90% and < 98%, Red < 90% • From 10/1 – Nodal Go-Live • Green >= 98% • Red < 90% • For new equipment and outages, TSPs and QSEs can manually override telemetry to ensure that availability statistics are as accurate as possible • Communication • For any concerns over reports, contact markettrials@ercot.com • For resolution to telemetry issues, contact ercoticcpsupport@ercot.com http://nodal.ercot.com 14