1. TDTWG NAESB EDM v1.6 Project Update to RMS Thursday October 16, 2003

2. TDTWG Project History GISB EDM v1.4 –July 08, 2002 RMS votes to approve: Data transport change from FTP to GISB EDM v1.4 Targeted FTP Retirement date - April 1, 2003 Market participants agreed to migrate to GISB EDM v1.4 via ERCOT/TDTWG project plan –Market migration concluded on Q2, 2003 NAESB EDM v1.6 –July 08, 2002 RMS votes to approve: Data transport change from GISB EDM v1.4 to NAESB EDM v1.6 Target GISB EDM v1.4 Retirement date – Q1, 2004 TDTWG would create Market Survey necessary for project planning for timing and readiness of project testing and implementation Testing and migration would be coordinated with Market Test Flights

3. TDTWG Where We Are! AreaTaskDescriptionComment PLANNING TDTWG Project CharterProject description, Objective, Scope, Deliverables, Project Team and governance of the project Published – Market review and agreement achieved Market SurveySurvey of Market Readiness for implementation/migration to NAESB EDM v1.6. Identifies contingencies, dependencies, and primary contact information for market coordination. Survey was emailed from ERCOT Client Relations to the Primary Market Participant Registration contacts and TDTWG. Completed Results compiled and incorporated into detailed project plan Project Plan / TimelineProject schedule to include development, testing, and migration schedules/timeline for each Market Participant. Market Participant sign-off for key milestone dates will be required. Completed 10/01/03 Vendor SW AvailableVendor NAESB EDM V1.6 software available to its users.Delivered 08/15/03 Market Implementation Guide Document for Market Participants to use in support of project implementation. Identifies methodology for implementation, testing/migration requirements, and project contacts. Reviewed and received agreement from the Market Testing Approach Document Document is to define a detailed, comprehensive plan for controlling and testing the NAESB EDM 1.6 data transport effort by organizing the testing activities. Includes detail test schedules for ERCOT-TDSP, ERCOT-CR, TDSP-CR. Published – Market review and agreement achieved EXECUTION Planning – Execution Market Project Kickoff Conference Calls Market participant understanding and compliance of the testing and implementation approach for the NAESB EDM v1.6 project. 100 % agreement was achieved on the call. Completed 10/03/03 Market Update Distribute to RMS List Serve Distributed N AESB EDM v1.6 project update addressing latest project timeline and approach Completed 09/26/03

4. TDTWG Testing Project Approach ERCOT TDSPs CRs Phase 1: ERCOT and TDSPs 1 st Phase of testing will be between ERCOT and the TDSPs 3 week duration 1 week of initial testing 1 week for rework 1 week for retest Phase 2: ERCOT and CRs 2 nd Phase of testing will be between ERCOT and the CRs 6 week duration 3 weeks of initial testing 1 week for rework 2 weeks for retest Phase 3: TDSPs and CRs 3 rd Phase of testing will be between the TDSPs and the CRs 6 week duration 3 weeks of initial testing 1 week for rework 2 weeks for retest TESTING ENTITY

5. TDTWG NAESB EDM v1.6 Timeline/Milestones Initiation Initial strategy sessions Draft survey compiled Draft guideline compiled High-level time line identified Project sourced at ERCOT Planning Survey issued; results gathered Guideline approved and published Schedules & dependencies identified Project Charter approved Plan finalized and approved Vendor SW available MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB 03 03 03 03 03 03 03 03 04 03 6/27 Timeline, Survey, & Imp. Guide Review 7/7 Initial Charter & High-level Project Plan developed 7/14 Implementation Guide Sent to Market for Review 9/5 Survey Results back from Market 10/01: Signed Charter Docs Returned/ Plan Finalized/ Testing Schedules Approved/ Vendor SW Available 7/31FERC NAESB Standard Decision 8/25 Survey, Guide, and Project Charter published to Market Continued on Next Slide

6. TDTWG NAESB EDM v1.6 Timeline/Milestones Execution ERCOT chges implemented MP changes implemented Cycled Testing Scheduled Migrations Closure Lessons Learned Operations support OCT NOV DEC JAN FEB MAR APR MAY JUN JUL 03 03 03 04 04 04 04 04 04 04 1/05 Phase 2 Test Start: ERCOT- CR’s 2/13 Phase 2 Test End 2/16 Phase 3 Test Start: TDSP’s- CR’s 3/26 Phase 3 Test End 12/19 Phase 1 Test End 4/05 Migration Start 12/01 Phase 1 Test Start: ERCOT- TDSP’s 4/16 Migration End 4/26 TX SET 2.0 Connectivity Test Start for New MPs 10/01 Market Dev Start Mid-May: Close Project 4/23 Lessons Learned Mtg 10/27 TCW form sent to Market for Completion 11/14 TCW Forms Ret- urned

7. TDTWG Market Participant Comments & Concerns Market Participant comments and concerns received to date have been addressed Comments and concerns have primarily included: –TDTWG NAESB EDM v1.6 Guideline interpretations –Running GISB v1.4 and NAESB v1.6 concurrently, possibly requiring support for multiple test environments –Overlapping testing timelines – Flight Test (0104 & 0304) vs. NAESB EDM V1.6 –Compliance with NAESB – Required vs. Mutually Agreed –Vendor Software Availability –Resource constraints

8. TDTWG Reference Documents Documentation supporting the project is available on the ERCOT web-site: –TDTWG NAESB EDM v1.6 Implementation Guide –Market Participant Survey –Project Charter document –NAESB EDM v1.6 survey results –Project Timeline document –Testing Approach document (Identifies Testing Phase I – III Schedules) http://www.ercot.com/participants/committees/tdtwg_comm.htm

9. TDTWG Next Steps RMS Update - 10/16/03 TDTWG Meeting - 10/24/03 Update TDTWG Website with “FAQs” Scheduled Project Testing Activities –Phase I - TDSP & ERCOT Testing Readiness Call – 11/22/03 –Phase II - CR & ERCOT Testing Readiness Call – 12/17/03 –Phase III - CR & TDSP Testing Readiness Call – 02/11/04 Project Team updates will be provided to RMS as needed via the ERCOT – Retail Market Services Post April 03, 2004 NAESB EDM v1.6 migration –New Market Participants entering the market must support NAESB EDM v1.6

10. TDTWG Project Support Team As the project moves forward, the Project Team will ensure that all communications, questions and concerns will continued to be addressed –Project Team Support TDTWG –Debbie McKeever – Chair –Susan Tope – Vice Chair –TDTWG Technical Experts ERCOT Team –Rob Connell – IT PM Director –John Kassell – Business Project Manager –Jill Prince – IT Project Manager –Dave Farley – IT Delivery Manager –Clay Katskee – NAESB EDM v1.6 / Paperfree Analyst –Nagaraju (Naga) Valasagandla – NAESB EDM v1.6 –Michael Taylor – Paperfree Analyst –Suzette Wilburn – Retail Market Liaison

11. TDTWG Questions?