TAC Update Kyle Patrick

2 Nodal ERCOT Program Update –Nodal Market Go-Live (Vote)- vote passed in which TAC certified full nodal systems for Dec 1, 2010 Go-Live based off ERCOT’s management certification on Oct 1, 2010 and on the Oct 5, 2010 NATF recommendation (with issues identified). One consumer opposed the motion

3 Subcommittees PRS Nodal Protocol Revision Requests (NPRRs), 6 Votes All Approved: –NPRR244, Clarification of Other Binding Documents- approved with PSEG language change that redacted procedures are still posted. –NPRR246, Requirement for Resource Entities to Update Resource Parameters- approved –NPRR253, CRR Balancing Account Invoice and Settlement and Billing Dispute Process- approved –NPRR261, Revision of Data Submission Timeline for Network Model approved –NPRR262, Protocol Synchronization for Nodal Implementation Surcharge approved –NPRR273, Allow Use of the ONTEST Resource Status to Indicate Resource Startup, Shutdown and Test Operations approved Notice of Rejection of NPRR275, Clarify QSE’s Ability to Make Changes to Ancillary Service Resource Responsibility In Real Time

4 Additional Items from the October 4, 2010 Special PRS Meeting (Possible Vote), 10 Votes : –NPRR219, Resolution of Alignment Items A33, A92, A106, and A150 - TSPs Must Submit Outages for Resource Owned Equipment and Clarification of Changes in Status of Transmission Element Postings- ERCOT approved the SCR that would allow RE to submit these outage but it will not be implemented until ERCOT system are built with the functionality. Resource entities will need to enter their outages once ERCOT builds that capabilities. Until then their designated TDSP will enter them for resource entities. Motion approved with TAC changes. –NOGRR050, Resolution of Reporting Issues Related to NPRR219- approved –NPRR255, Resolution of Alignment Item A81 - DRUC Timing and Execution when DAM is Delayed or Aborted approved –NPRR259, Resolution of Alignment Items A175 and A176 - Settlement of Generation Resources Dispatched to Meet System Reliability Requirements approved –NPRR263, Resolution of Alignment Item A99 - Settlement Point Price Calculation When Busses are De-energized- minor language change and approved –NPRR274, Generic Startup Costs for Combined Cycle Generation Resources – Removal of Temporal Constraint approved –NPRR279, Resolution of Alignment Item A144 - Clarify Posting of MCPC for DAM and SASM approved –NPRR280, Move Shift Factor Posting Requirement to Real-Time-approved –NPRR284, Cost Allocation Zones as They Relate to NOIE Load Zones – As Built Systems approved –Other Binding Documents List- approved and did NOT include the ICCP handbook.

5 Subcommittees ROS –NOGRR041, Synchronization of Section 2 with Nodal Protocols (Vote) approved –NOGRR042, Synchronization of Section 3 with Nodal Protocols (Vote) –NOGRR043, Synchronization with OGRR208, Voltage Ride-Through (VRT) Requirement (Vote) approved –NOGRR045, Synchronization of OGRR219, Time Error Correction (Vote) approved –NOGRR046, Synchronization of Sections 4 and 5 with Nodal Protocols (Vote) approved –NOGRR047, Synchronization of Sections 6 and 7 with Nodal Protocols (Vote) approved –NOGRR051, Synchronization with OGRR192 and OGRR238 – URGENT (Vote) – changed 3% to 2% and approved –NOGRR053, Synchronization with OGRR226, Generation Resource Response Time Requirement (Vote) approved

6 Subcommittees & Working Groups RMS –RMGRRR089, Revisions for Texas Nodal Market Implementation (Part 3) (Vote) approved with ERCOT comments –RMGRR090, Revisions for Texas Nodal Market Implementation (Part 4) (Vote) approved with ERCOT comments WMS –Market Reform and IMM Nodal Issues –WMS Assignments related to CRR Derate (Possible Vote)- WMS/CMWG will take up the CRR derating issue and will report back to TAC. –CRR Credit Parameters (Possible Vote) after numerous failed motions, our compromise of a=.75 and m= 0 was approved. ERCOT Operations, Planning, and IT Report –2011 Project Priority List (PPL) (Vote)- motion approved

7 TAC Subcommittee Restructure TAC Leadership Requesting Subcommittees take discuss PRS voting structure and take an official vote on “Voting Structure” Consent Agenda Approved for NPRRs TAC asking PRS to develop procedures to get comments in advance –Also address the 21 day comment period in protocols TAC’s RTWG to move its responsibilities under ETWG that reports to WMS in

8 TAC Calendar Discussion