1. March 26, 2015 Technical Advisory Committee (TAC) Update to RMS Kathy Scott April 7, 2015 TAC Update to RMS 1

2. PRS Initiatives Nodal Protocol Revision Requests (NPRRs) ◦ NPRR670, Clarification of Portfolio Weighted Auction Clearing Price (PWACP)  Unanimously Approved by TAC ◦ NPRR671, Incorporation of DAM Credit Parameters into Protocols  Unanimously Approved by TAC ◦ NPRR672, Clarification of EMR Status  Motion to Approve NPRR672 with a June 1 st Implementation date - Approved by TAC with 1 abstention ◦ NPRR673, Correction to Estimated Aggregate Liability (EAL) for a QSE that Represents Neither Load nor Generation  Unanimously Approved by TAC April 7, 2015TAC Update to RMS2

3. PRS Initiatives (cont.) NPRRs, Goals and PRS Actions: ◦ NPRR678, Posting of Wind Peak Average Capacity Percentage Data  Unanimously Approved by TAC ◦ 2015 Goals (Vote)  http://www.ercot.com/content/wcm/key_documents_lists/52272/03._2015_ PRS_Goals.doc http://www.ercot.com/content/wcm/key_documents_lists/52272/03._2015_ PRS_Goals.doc  Unanimously Approved by TAC ◦ Revision to 2015 Market System Enhancements Scope (Possible Vote) –  Note: Move from Phase 1 (June 27-28, 2015) to Phase II expected delivery 9/21/15-9/25/15  NPRR568 Real Time Reserve Price Adder Based on ORDC  NPRR644 – Operating Reserve Demand Curve Phase 2 Revisions.  Unanimously Approved and recommended by WMS and PRS  This was only an update with NO action required of TAC. ◦ April 7, 2015TAC Update to RMS3

4. PRS Initiatives (cont.) NPRRs, Goals and PRS Actions: ◦ Annual Review of Other Binding Document (OBD) List (Vote)  TAC Unanimously Approved Other Binding Document List for 2015.  Note: ERCOT’s Staff continues to evaluate OBD documents to determine if OBD should be included into ERCOT protocols.  Link to Approved List of Other Binding Documents (OBD): http://www.ercot.com/content/wcm/key_documents_lists/52272/03._ Other_Binding_Documents_List.xls http://www.ercot.com/content/wcm/key_documents_lists/52272/03._ Other_Binding_Documents_List.xls April 7, 2015TAC Update to RMS4

5. Tabled and/or Withdrawn Revisions Request Previously Tabled at TAC (Possible Vote): ◦ NPRR642, Constraint Management During Energy Emergency Alerts  The associated NOGRR135 was created and TAC will “Table” the NOGRR waiting Board approval of this NPRR642.  TAC Unanimously Approved NPRR642 ◦ NPRR668, Updates to Texas SET Implementation Guide Process  February’s TAC “Motion to Table” continued awaiting RMS’ approval of TX SET Change Control Process Implementation Guide that completes the process associated to this NPRR. ◦ LPGRR054, Alignment with NPRR661, Discontinue Posting Profile Data Evaluation Report  Per ERCOT LPGRR054 needed to move forward first prior to NPRR661’s consideration at the Board in April, therefore, TAC’s approval was required on LPGRR054.  TAC Unanimously Approved LPGRR054 April 7, 2015TAC Update to RMS5

6. Wholesale Market Subcommittee (WMS) ◦ 2015 Goals (Vote)  http://www.ercot.com/content/wcm/key_documents_lists/52272/06. _2015_WMS_Goals.doc http://www.ercot.com/content/wcm/key_documents_lists/52272/06. _2015_WMS_Goals.doc  TAC Unanimously Approved the 2015 WMS Goals. ◦ Change to CRR Account Holder Transaction Limits for CRR Auctions (Vote)  Both Motion to Waive notice and Motion to Approve recommended Change to CRR Account Holder Transaction Limits for CRR Auctions received Unanimous Approval. ◦ VCMRR006, Fuel Adder Timeline Update (Vote)  TAC Unanimously Approved VCMRR006 ◦ Discussion Related to NPRR638 (Possible Vote)  Several elements of NPRR638 are still being discussed at WMS April 7, 2015TAC Update to RMS6 WMS Initiatives

7. Reliability Operations Subcommittee (ROS) ◦ 2015 Goals (Vote)  http://www.ercot.com/content/wcm/key_documents_lists/52272/05._2015_ ROS_Goals.doc http://www.ercot.com/content/wcm/key_documents_lists/52272/05._2015_ ROS_Goals.doc  TAC Unanimously Approved the 2015 ROS Goals. ◦ NOGRR135, Constraint Management During Energy Emergency Alert (Vote)  Approved ‘Tabling” NOGRR135 awaiting Board approval of NPRR642 ◦ NOGRR138, Delete Grey Box for Reporting of Back-up Control Plan Submittal (Vote)  Approved ‘Tabling” NOGRR138 awaiting Board approval of NPRR657 ◦ NOGRR139, Under/Over-Frequency Relaying Requirements (Vote)  TAC Unanimously Approved NOGRR139 ◦ PGRR041, Revise and Add Requirements for NERC TPL-001-4 Standard (Vote)  TAC Unanimously Approved PGRR041 April 7, 2015TAC Update to RMS7 ROS Initiatives

8. Retail Market Subcommittee (RMS): ◦ 2015 Goals (Vote)  http://www.ercot.com/content/wcm/key_documents_lists/52272/07._2015_ RMS_Goals.docx http://www.ercot.com/content/wcm/key_documents_lists/52272/07._2015_ RMS_Goals.docx  TAC Unanimously Approved the 2015 RMS Goals ◦ RMGRR126, Additional ERCOT Validations for Customer Billing Contact Information File (Vote)  TAC Unanimously Approved Priority 2015 and Rank of 1290, however, since there is cost to implement associated with this RMGRR it will require Board Approval.  ERCOT Board meeting for this agenda item is scheduled on 4/14/15. ◦ RMGRR128, Reinstate Critical Care Status After Resolution of an Inadvertent Gain (Vote)  TAC Unanimously Approved which became effective on April 1, 2015.  http://www.ercot.com/mktrules/guides/retail/current http://www.ercot.com/mktrules/guides/retail/current April 7, 2015TAC Update to RMS8 RMS Initiatives

9. Commercial Operations Subcommittee ◦ 2015 Goals (Vote)  http://www.ercot.com/content/wcm/key_documents_list s/52272/08._2015_COPS_Goals.docx http://www.ercot.com/content/wcm/key_documents_list s/52272/08._2015_COPS_Goals.docx  TAC Unanimously Approved the 2015 COPS Goals April 7, 2015TAC Update to RMS9 COPS Initiatives

10. Ancillary Services Re-design Update Ancillary Services Re-design Update FAS (NPRR 667) Workshop scheduled 4/20/15 ◦ The six Procurement & Pricing Options identified during the March 11, 2015 Workshop are:  The FAST Proposal, as described at the 9-25-14 TAC meeting but with NO cap on the FFRS MCPC.  Alternative 1 Proposal, as described at the 9-25-14 TAC meeting.  Alternative 2 proposal, as described at the 9-25-14 TAC meeting. (This is essentially NPRR 018)  The Luminant Proposal, as described at the 3-11-15 FAS Workshop  Alternative 2 proposal, as described at the 9-25-14 TAC meeting but with the “Linked Load Bids – AS Offers Concept” as presented by the IMM  The 2015 Approach (more description to be provided) April 7, 2015TAC Update to RMS10

11. Operations, Planning and IT Report Annual Emergency Response Service (ERS) Report to TAC (Q&A Only) ◦ http://www.ercot.com/content/wcm/key_documents_lists/52272/10._Attachm ent_B_2014_ERS_Annual_Report_03xx15.ppt http://www.ercot.com/content/wcm/key_documents_lists/52272/10._Attachm ent_B_2014_ERS_Annual_Report_03xx15.ppt ◦ http://www.ercot.com/content/wcm/key_documents_lists/52272/10._ERS_201 4_Annual_Report_final.doc http://www.ercot.com/content/wcm/key_documents_lists/52272/10._ERS_201 4_Annual_Report_final.doc ◦ TAC leadership requests that Market Participants bring their additional questions and concerns to WMS. LCRA TSC and CPS Energy Transmission System Additions RPG Project (Possible Vote) ◦ TAC Unanimously Approved 2015 Seasonal Adjustment Factor ◦ TAC members agreed with the proposed 2015 Seasonal Adjustment Factor.  http://www.ercot.com/content/wcm/key_documents_lists/52272/10._TAC_2015_03 _26_Seasonal_Adjustment_Factor_v1.pptx http://www.ercot.com/content/wcm/key_documents_lists/52272/10._TAC_2015_03 _26_Seasonal_Adjustment_Factor_v1.pptx April 7, 2015TAC Update to RMS11

12. Other Business A TAC member asked should a “Consensus Agenda” be considered going forward since there were a lot of items on the March 26 th agenda that TAC unanimously approved very quickly? ◦ This question will require additional discussions and investigation. April 7, 2015TAC Update to RMS12

13. Questions? 13April 7, 2015TAC update to RMS