1. Structured / Unstructured Market Trials Weekly Update – Friday Meeting August 9, 2013

2. Call Reminders Please help to minimize disruptions: Mute your phones Do not dial-in from a recorded line Do not put the call on hold, even if you are on mute 2

3. Agenda TCR / ECT Update (5 min) 9:00-9:05A Analysis July 29 – Aug 4 (30 min) 9:05-9:35A Settlements (20 min) 9:35-9:55A Outstanding Questions (10 min) 9:55-10:05A Scheduling Questions Solution Optimality Look-Ahead Aug 12 – Aug 18 (10 min) 10:05-10:15A Updates (10 min) 10:15-10:25A Release Scorecard Migration and Maintenance Report Known Issues Log Questions (5 min) 10:25-10:30A 3

4. TCR Market Trials TCR Survey Analyzing the results received and determining next steps Will discuss next steps at the next MWG & CWG (8/19) Incremental ARR Allocation Allocation Results: Posted on 8/5 September Monthly Auction Auction Window: August 12 th & 13 th Results Posted: August 16 th 4 Brett Crane

5. Nomination Window Run ARR Post ARR Bid Window Run TCR Post TCR Model Posting August SuMoTuWeThFrSa 123 45678910 11121314151617 18192021222324 25262728293031 September SuMoTuWeThFrSa 1234567 891011121314 15161718192021 22232425262728 2930 TCR Market Trials Upcoming Activities Phase II Monthly Processes Remaining Brett Crane 5

6. Extended Connectivity Testing 6 Brett Crane ECT Test Execution (occurs between 8/5 and 8/30): MPs have been assigned a week during test execution time frame to perform their testing. Weekly Execution Assignments Tests are performed independently during the assigned week. No appointment is necessary. Issues with test execution handled via RMS.RMS Metrics updated as of Wednesday 8/7 at 12:00pm CPT iDashboard – Market Trials Connectivity External Dashboard

7. Extended Connectivity Testing 7 Test Execution: Brett Crane Test Execution WeekMarket Participant Week #1: August 5th - August 9th APX, Inc DC Energy Midwest, LLC DTE Energy Trading Inc Entegra Power Services ETC ENDURE ENERGY LLC JP MORGAN VENTURES ENERGY CORP MONTEREY SW, LLC MONTEREY SWF, LLC BJ Energy, LLC Franklin Power, LLC Week #2: August 12th - August 16th ETC ENDURE ENERGY LLC Vitol, Inc. Sustaining Power Solutions APEX BLUE CANYON 5 BUFFALO DUNES WIND PROJECT City of Fremont Merrill Lynch Commodities, Inc. TWIN EAGLE RESOURCE MANAGEMENT, LLC Active Power Investments, LLC

8. Analysis: July 29 – August 4 8 Alan Adams Structured Market Trials Statistics posted the day after each OD Structured Market Trials Statistics spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Presentations, Statistics, MP Meetings Analysis of July 31 and Aug 1 Operating Days posted Tues to spp.org Analysis spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Presentations, Statistics, MP Meetings

9. Settlements: Market Settlement System (MSS) Known Issues 9 The MSS is experiencing random failures. KIL #342: If a settlement run fails for an OD, the process will lock up the day and we will need to skip the failed OD and the failed OD+1. This means that statements will not be available for the days that were skipped. Invoices for the week will also be missing the skipped days. KIL #414: If Settlements uncovers a critical defect, the system will require a complete refresh and Settlements will need to re-run all of the days in the past. Some defects can be fixed surgically but if the defect is deep within the system, ETSE will require a complete refresh. Weekly invoicing and month end settlement at risk. The vendor is working on fixes for these issues that may require 1 or 2 releases during SMT. Tony Alexander

10. Settlements: Mitigation Steps for MSS Random Failures 10 At the start of Settlements SMT we will be running settlements on OD+2 to allow additional time to recover from potential failures. BSS and Meter windows will remain open until 12:00 PM on OD+4, but data submitted after OD+1 may not be included in Initial settlements. Settlement results may be posted earlier than the date shown on the Marketplace Settlements Calendar. Settlement results “Settlement Date” may change to reflect earlier posting time. These issues should be resolved before the start of Parallel Ops and settlements will be running according to regular settlement timelines. Tony Alexander

11. Settlement Results Known Issues 11 Higher than normal Day Ahead Over Collected Losses Distribution Amounts (source data issue). Settlements is researching an issue with the TCR Uplift Daily Amount. Settlement Results Notifications are missing (fix in progress). Tony Alexander

12. Settlements Data Available to MPs 12 Initials are available on the portal for the following ODs: Tony Alexander Statement DateOD 8/5/20137/28/20137/29/2013 8/6/20137/30/2013 8/7/20137/31/2013 8/12/20138/5/2013

13. Settlements Data Quality 13 Data Quality is being added to the Settlements Scorecard (in progress). Tony Alexander

14. Settlements Data Quality 14 Tony Alexander

15. Settlements Data Quality 15 Tony Alexander

16. Settlements Data Quality Known Issues 16 Higher than normal Day Ahead Over Collected Losses Distribution Amounts. High and negative MLC values. Higher than normal dispatch values for some resources. RTGEN is producing unreasonable set points for 2 resources (fix expected end of August). POPS is sharing unreasonable set points with other resources (fixed Aug 6). Tony Alexander

17. Outstanding Questions and Reminders LMP contour map scheduled to be available October 1, 2013 RMS Tickets - please include the following details: API Issues: Input and Output XML UI Issues: Screenshots of errors found in UIs Please include these details for issues that apply to any UIs and APIs, not just Markets issues If these items are provided when the Ticket is opened, SPP will not have to request them and issues will be resolved more quickly. 17 Ginny Watson

18. Scheduling: Tagging and Oasis Members should be submitting TSRs and tags to test new Integrated Marketplace tagging functionality for Dispatchable, Up-To-TUC, Ramp Reservation System, and Marketplace Import Service. There is not a specific scenario for testing tags; however, this is part of the base scenario testing. Day Ahead will only use tags submitted by the market participants. 18 Wendy Reynolds

19. Scheduling: Tagging and Oasis Submitting tags will allow members to see tags through Day Ahead Market Clearing to Settlements. A SWPP Oasis TSR must be referenced on the tag to be mapped correctly for the market system. SPP will be tracking participation in Tagging and RRS testing for readiness. 19

20. Scheduling: Tag and TSR Replication SPP is replicating the EIS market import/export tags in order to keep RTBM and RTGEN NSI as close as possible to production EIS. These replicated tags are submitted as Real- Time Fixed transactions only. This is why it is important for members to submit tags for DA. SPP is also replicating production Oasis TSRs. Entities may tag against those TSRs as well as create new TSRs. Because a valid SWPP reservation is required for mapping, any production EIS tags that do not use SWPP transmission will not be replicated to this IM environment. 20 Wendy Reynolds

21. Scheduling: NSI True Up Because we have a need to keep NSI for RTBM and RTGEN as close as possible to EIS NSI, SPP will be submitting True-Up tags each day at 4:00 PM for the next day. The True-Up tag will counter any tags entered by members. Members should not be concerned about doubling up by submitting a tag as DA and SPP replicating that tag for real time. This is taken care of by the True Up tag. Should a user submit a real-time tag after 4:00 PM OD-1 (after the True Up process), the user should also submit a counter tag, having a 0 net affect on NSI. 21 Wendy Reynolds

22. Scheduling: Tagging and Oasis Environment The WebTrans URL is https://demo.spp.oati.com/ and for those that use OATI, the tagging URL is https://demo1.spp.tag.oati.com.https://demo.spp.oati.com/ https://demo1.spp.tag.oati.com Users will need to enable the SPP market information under Misc  Tagging Settings in order to see the new market information section of the tag. 22 Wendy Reynolds

23. Solution Optimality: Day Ahead SCUC vs SCED Difference Some Operating Day results have shown non-optimal Resources clearing caused by a difference in the clearing engine’s SCUC and SCED solutions. The issue is caused by the internal coordination of the SCUC and SCED algorithms in the MCE SCUC: responsible for determining the optimal Resources commitment and regulation selection schedule SCED: responsible for determining the optimal clearing Resources schedule based on SCUC commitment decision SCED clearing results in SCED LMPs/MCPs for settlement SCED Resources clearing and margin outcome mostly correlates with SCUC commitment decision SCUC / SCED difference in DA solution exists in all other markets and is expected to some degree SPP continues to analyze and review submissions from MPs 23 Jarrett Friddle

24. Look-Ahead: August 12 - 18 24 Aug 12 – Aug 18 Daily Calendar Aug 12 – Aug 18 spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Includes some Settlements Dates. All details on Settlements Calendar marketplace.spp.org > Public > Settlements > Calendars Settlements Calendar Scheduled Scenarios 1.0 Delay Market Close 11.0 EDR Deployment SMT Hotline Monday Aug 12 All SPP Meeting Monday AM Hotline will be open, but SMEs needed to resolve issues quickly will not be available. Today Friday Aug 9 Maintenance Window extended 1-5P CPT Extended due to installation of MDB 1.4.1.3 Any case data for ODs prior to 8/8 will no longer be available in the MOI or MUI 3 Official Operating Days – Tues Aug 13, Weds Aug 14, Thurs Aug 15 Ginny Watson

25. 1.0 Delay Market Scenario Description The DA Market process begins with the submittal or updates of Offers and Bids for use in the DA Market clearing. MPs must submit final Offers and Bids no later than 1100 Day-Ahead Immediately following the close of the DA Market at 1100, SPP begins the process of clearing the DA Market and completes the process by 1600. No later than 1600, SPP electronically communicates the DA Market results for each hour of the OD to MPs SPP may delay the DA Market closing time and/or posting for unforeseen circumstances. SPP will notify MPs for any such timing delays 25 Alan Adams

26. 1.0 Delay Market Expected Result Delay DA Market Closing Times MPs will receive a notification that the DA Market closing time has been extended with the new closing time provided. MPs will receive a notification via MUI/API of the updated DA Market Closing time. Normal deadline of 1100 will be extended to allow MPs to submit / update bids/offers up to the new posted closing time. RTOSS will extend normal deadline of 1100 in conjunction with the extended DA Market close time. RTOSS will allow MPS to submit new DA Interchange Transactions / updates up to the new posted closing time. Delay Market Publication MPs will receive a notification via MUI/API that the results of the DA Market are being delayed past 1600. No new time may be provided. Once SPP approves a DA Market case for the OD, MPs will receive notification via MUI/API. 26 Alan Adams

27. 1.0 Delay Market Market Participant Activities *applicable to all Market Participants Delay DA Market Closing Times Verify notification of delay of DA Market Closing time is received. Modify or submit new bids/offers between 1100 and new closing time. Confirm modifications are accepted. Modify or submit new DA Interchange Transactions between 1100 and new closing time. Confirm modifications are submitted. Modify or submit new DA Interchange Transactions after new closing time. Confirm modifications are not allowed. Resource offers and parameters can also be modified during the extension period. Not an explicit part of this Scenario; not designated as expected As an optional verification, MPs can test this functionality with reasonable and minimal modifications. DA transactions, bids and offers are the priority. 27 Alan Adams

28. 1.0 Delay Market Market Participant Activities *applicable to all Market Participants Delay Market Publication Verify notification that the results of the DA Market are being delayed past 1600 is received via the MUI/API. Once DA Market results are made available, verify notification via MUI/API is received and all applicable information is available. 28 Alan Adams

29. 11.0 EDR Deployment Scenario Description An External Dynamic Resource (EDR) is an external Resource, not Pseudo- Tied, or external fleet of resources that will be participating in the Energy and Operating Reserve Markets. EDRS in the Eastern Interconnection may only submit a fixed delivery of energy represented in an e-Tagged Dynamic Interchange Schedule. The Schedule will be submitted via RTOSS. They may also submit Regulation offers. EDRs associated with DC Ties will have a e-Tagged Dynamic Interchange Schedule and are allowed to submit energy and Operating Reserve offers. This scenario will demonstrate the clearing and dispatch of an EDR resource for all qualified products. The scenario will be executed on 8/14, 09:00 to 12:00 CPT. 29 Alan Adams

30. 11.0 EDR Deployment Expected Result AC connected EDRs and DC connected EDRs will submit an e-tagged Dynamic Interchange Schedule. AC connected EDRs will clear a fixed amount of energy identified by the e-tagged Schedule. If qualified, then Participants can submit regulation offers. DC connected EDRs will submit energy offers. If qualified, then participants can submit Operating Reserve offers. Market Participants will observe the clearing of Energy and Operating Reserve products. 30 Alan Adams

31. 11.0 EDR Deployment Market Participant Activities *applicable MPs with registered EDRs are in contact with SPP Commit Status of ‘SELF’ for both AC and DC EDRs For AC EDRs: –energy dispatch status of ‘Not Qualified’. –May submit Regulation offers. For DC EDRs: –submit Energy offer. –May submit Operating Reserve Offers. Participants must submit an Eco Min and Eco Max for the EDRs. These limits will also be used for the Emergency Min, Emergency Max, Regulation Min and Regulation Max. 31 Alan Adams

32. 11.0 EDR Deployment Market Participant Activities *applicable MPs with registered EDRs are in contact with SPP If the Participant will be participating with an EcoMin greater than or equal to 0, then it is required that an accompanying Dynamic Schedule sourcing from the EDR BA to the SPP BA be submitted via RTOSS. If the Participant will be participating with an EcoMin less than 0, then it is required that an accompanying Dynamic Schedule sourcing from the SPP BA to the EDR BA be submitted via RTOSS. Offer products should be submitted sufficiently low enough or with a Fixed Dispatch Status in order to ensure clearing in the RTBM. 32 Alan Adams

33. Scenario Tracker 33 Casey Cathey Please reply to Scenario Tracker emails Reference Documents for Success Criteria: SMT Performance Support Tool found on spp.org SMT Performance Support Tool spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Scenarios Detailed Scenario Documents found on spp.org Detailed Scenario Documents Spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Scenarios

34. Release Scorecard 34 Release ScorecardRelease Scorecard posted to spp.org: spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Ginny Watson

35. Migration and Maintenance Report 35 Migration and Maintenance Report Migration and Maintenance Report posted to spp.org spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder MT Tagged Transactions MT Tagged Transactions documentation posted to spp.org spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Reference Documents Wendy Reynolds

36. Known Issues Log 36 Market Trials Known Issues Log Market Trials Known Issues Log posted to spp.org spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Carrie Simpson

37. Scheduled Scenarios 37 Aug 12 – Aug 18 1.0 - Delay Market Publication / Delay Market Close 11.0 – EDR Deployment Aug 19 - 25 5.1 – Capacity Shortage 6.1 – Capacity Excess Ginny Watson

38. Market Trials Useful Resources SMT Hotline: 501-482-2222 for critical & high issues Mon-Fri 8A – 5P Please submit all other inquiries via the Request Management System (RMS)Request Management System (RMS) Settlements Calendar marketplace.spp.org > Public > Settlements > Calendars Integrated Marketplace Market Trials Project Documentation Folder spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Documents found here include: Daily Calendar, Release Scorecard, Migration Report, Known Issues Log, Market Participant Guidehere SMT Presentations, Statistics, MP Meetings Folder SMT Reference Documents Folder SMT Scenarios Folder Change Tracker spp.org > Integrated Marketplace > Marketplace Documents 38