1. 1 Profiling Working Group Update to COPS October 14, 2015 Jim Lee (AEP) – Chair Sheri Wiegand (TXU) – Vice Chair

2. Annual Validation Update 2

3. ERCOT presented the UFE weighting factors associated with NIDR, IDR-Distribution, and IDR-Transmission and the background history. At market open, a survey taken by TDSPs indicated that “high voltage customers and interval data recorders contribute less to UFE on an interval by interval basis.” Therefore, the market decided on the following allocation factors: NIDR: 1.0 IDR-Distribution:0.5 IDR-Transmission: 0.1 UFE Allocation Factor Review 3

4. When evaluating whether the market is due for a change in allocation factors, the following questions were asked at PWG:  “If designing methodology today, would we come up with the same solution/weighting factors?”  “Should the weighting factors remain as-is?”  “Should UFE be allocated based upon straight (non-weighted) load ratio share? Answers to each question was the same: “Allocation factors should remain status quo because the overarching principle remains the same – high voltage customers and interval data recorders contribute less to UFE on an interval by interval basis.” PWG consensus: No changes to any of the UFE allocation factors UFE Allocation Factor Review 4

5. New Valley Weather Zone Update 5 ERCOT proposes to create a ‘virtual’ weather zone on ERCOT’s system because the need for a new Valley WZ is mainly for ERCOT forecasting purposes. Therefore, a new market-facing weather zone will not be needed. ERCOT is still evaluating how to distribute the Valley weather zone data, whether it is through reports & extracts or another method. PWG agreed that ERCOT’s proposed solution is the best option. It has the least amount of system changes and impacts to Market Participants.

6. Protocol Section 18 EditsProtocol Section 18 Edits  Hyperlink to document Protocol Section 18 – Load Profiling 6 PWG Mtg DateProtocol/LPG Sections to Cover 05/27/1518.1, 18.2, 18.2.1 - 18.2.4 06/24/1518.2.5 - 18.2.10 07/29/1518.3 - 18.5 08/26/1518.6 - 18.7 09/21/15LPG Sections 1-7; 14; 16-19 10/28/15LPG Sections 8-11 11/18/15LPG Sections 12, 13, 15 12/11/15LPG Appendices D, E

7. PWG completed the task of reviewing and updating Protocol Section 18, Load Profiling. We ask that Market Participants review the edits and provide any feedback at the October 28 th or the November 18 th PWG meetings. Protocol Section 18 EditsProtocol Section 18 Edits  Hyperlink to document As the next step, PWG has begun a full review of the Load Profiling Guide. Protocol Section 18 – Load Profiling 7

8. After initial review of the Load Profiling Guide, PWG identified several sections which are outdated or no longer needed. Additionally, it was brought to light that ERCOT utilizes the published Association of Edison Illuminating Companies (AEIC) Load Research standard for creating and maintaining Load Profiles. Therefore, PWG proposes to remove the outdated/not needed sections in the LPG by making the following changes: Keep sections: 1-4; 7; 8.8-8.9; 9-14; Appendix D & E ØRemove sections: 5; 6; 8.1-8.7; 15 & 16 Load Profiling Guide Review 8

9. SECTIONS TO RETAIN: 1 – Intro 2 – Load Profiling Guide Revision Request 3 – [Reserved] 4 – The Profiling Working Group 8.8 - Procedures for Requesting a Change to Load Profile Models 8.9 - Approval Process for Load Profile Model Changes 9 – Load Profile IDs 10 – kVa to kW conversion 11 – Validation of Load Profile ID 12 – Request for Load Profile Segment Changes, Additions, or Removals 13 – Changes to Weather Zone Definitions 14 – Load Profile ID Dispute Procedure Appendix D & E Load Profiling Guide Review 9

10. SECTIONS TO REMOVE: Ø5 – Guidelines for Load Profile Development Ø6 – Load Profiling Methodology Ø8.1  8.7 – Load Profile Methodology & Evaluation using Load Research Ø15 – Load Research Samples Ø16 – Supplemental Load Profiling ** Information contained in these sections are currently being evaluated to determine whether the content can be replaced by referencing the AIEC industry standards.*** Load Profiling Guide Review 10

11. 11 Next PWG meeting date: Wednesday, October 28th, 9:30am start time (In-person METCenter) Agenda items: September Action Items for Section 18 Continue work on Load Profiling Guide http://www.ercot.com/committees/board/tac/cops/pwg/

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