1. Market Operations Standing Committee Change Management – Market Rule Amendment Update John MacKenzie, Supervisor Market Rules 19 Oct 2005

2. Update stakeholders on status of market rules approved, coming into force, under development Identify any current requests for specific stakeholder review and comment Solicit feedback on general market rule development issues e.g. process Purpose of Update

3. New in Baseline 14.0 MR-00261: Metering and Technical Requirements for Small Embedded Facilities MR-00263: Correct Non-Material Discrepancies Dispatch Scheduling Algorithm Description MR-00288: Reactive Power Capability Requirements for Induction Generators MR-00290: Align Market Rules with OEB-IESO Protocol on Market Surveillance Panel MR-00296: Emergency Control Actions and Counter-Intuitive Pricing – Inputs to DSO* MR-00298: Emergency Control Actions and Counter-Intuitive Pricing – Admin Pricing** * in effect 12 Aug 05 ** in effect 12 Aug 05, sunset 1 Oct 05

4. Approved by IESO Board 23 Sep 05 In effect 19 Oct 05 –MR-00295: Clarify Local Market Power Mitigation In effect 7 Dec 05 (Baseline 14.1) –MR-00289: 14-Day Advance Outage Approval and Generator Testing –MR-00291: Adjustment Period Allocation –MR-00292: Additional Compensation for Dispatchable Loads under Admin Pricing

5. Under Development High Priority –MR-00121: Treatment of Facilities with More than One Connection Point (part of Dispatch Issues; plan published 14 Oct 05) –MR-00297: IESO Processing of MP De-Rate Submissions (historical analysis to TP 25 Oct 05)

6. Under Development – 2 Medium Priority –MR-00042: Dispatch Data Reqts for Self-Scheduling and Intermittent Generators (recommended by TP; to IESO Board 18 Nov 05) –MR-00247: Operation and Compensation for Special Protection Systems (posted for review/comment; deadline 27 Oct 05) –MR-00294: Transmission Station Service Supplied through Distribution System (to be withdrawn?) –MR-00299: Regional Reserve Sharing (posted for review/comment; deadline 20 Oct 05) Low Priority –MR-00293: Transmission Equipment Thermal Limits (amendment proposal under development)

7. Under Development – 3 Pending –MR-00283: Revenue Metering for Load Facility Connection Station Service (to be withdrawn?) –MR-00284: Include Reliability Impact as Factor in Determining Non-Compliance Sanction (amendment submission under development)

8. On Hold MR-00287: Resource Adequacy Market MR-00264-MR-00276; MR-00286: Market Rules Related to Day-Ahead Market MR-00212: Prudential Security for LDCs

9. Emerging Issues Day-Ahead Commitment Processes Renewable Energy Supply Contracted Generation Contracted Ancillary Services Settlement Information IESO Authorities for High-Risk and Emergency Operating States Intertie Transaction Failure Penalties

10. Feedback: Comments, Questions… Any questions or comments on this update or the rule amendment process in general?