Commercial Operations Subcommittee (COPS) Update to RMS 6/2/2015

2 VOTING Item(s) for TAC LPGRR055, Extend Load Profile Model Calendar Inputs to 2030  Proposed Effective Date: June 1, 2015  Reason for Revision - Administrative  Extends the Load Profile Model calendar-related inputs in Appendix E, Profile Model Spreadsheets, from 2020 to The calendar inputs include calendar variables, daylight savings variables, sunrise/sunset times and holiday variables. Corresponding changes to calendar-related inputs will be made to the Load Profile Models in the MetrixIDR load forecast and backcast system.

3 Save the Date – DER Workshop Distributed Energy Resource (DER) Workshop  June 18, 2015, 9:30 AM – 3:30 PM  ERCOT Austin, Room 206  WebEx Conference available  A detailed agenda will be posted prior to the meeting The agenda will include:  Discussion of Protocol Section 16.5 (5), which requires a reset of the Distributed Generation (DG) registration threshold if the level of unregistered DG greater than 50kW in a Load Zone reaches 10 MWs. This issue is currently under discussion at CSWG and COPS.  Stakeholder input into ERCOT’s outline of the forthcoming white paper on DERs, which was released at the April 9, 2015 ETWG meeting

4 DG Registration Threshold Change Communication Plan Background:  DG Registration Threshold > 1 MW –ERCOT Market Participant –Non-modeled RARF  Aggregated unregistered DG > 50 kW and <= 1 MW is tracked and reported  Protocol Section 16.5, Registration of a Resource Entity, Paragraph (5) –If aggregated unregistered DG exceeds 10 MW in any Load Zone, ERCOT shall issue a Market Notice that states a lower DG registration threshold to reduce the total installed capacity of DG greater than 50 kW to no more than 7 MW in any Load Zone –To become effective 9 months after Market Notice is issued

5 DG Registration Threshold Change Communication Plan CSWG Special Meeting held  Assumptions: Existing Protocol Language –No Grandfathering for existing DG –Not a one time event –The communication will provide the necessary information and not address enforcement  Follow-up items for May 26 CSWG meeting: –ERCOT staff will verify that Customer Billing Contact Information (CBCI) cannot be used to provide DG Facility Owner contact information –ERCOT staff will create a straw man communication document for CSWG review –CSWG will review the DG Resource Webpage on ERCOT.com for possible improvements

6 DG Registration Threshold Change Communication Plan  TRIGGER: Unregistered DG reaches 10 MW in any one Load Zone  ERCOT: Determine new DG Registration Threshold  ERCOT: Issue Market Notice (Includes an to Authorized Representatives of all TDSP companies)  ERCOT: Meet with appropriate TAC Subcommittees to announce the new DG Registration Threshold  ERCOT: Contact NOIEs and TDSPs of specific DG Facilities impacted by the new Threshold  ERCOT: Work with TDSPs and NOIEs to obtain information needed to contact the DG Facility Owners  ERCOT: Send notice to impacted LSEs’ Authorized Representatives (This is just a heads up)  ERCOT: Contact impacted DG Facility Owners - Include information like ‘Who is ERCOT’ and step by step instructions on how to become a Market Participant and how to register a DG Resource

7 Q Settlement Stability Review  First Settlement Stability Report provided by Mandy Bauld and Blake Holt (See Appendix A)  Protocol Section 8.2 (2), Paragraphs (c) and (g)  Observations from Q report: 8.2(c)(i) Track number of price changes “after the fact” 2015 Q1 2 Intervals 3/25/2015 and 2 Intervals 3/30/ (c)(ii) Track number and types of disputes submitted 2014 Total 46, Granted 30 and Denied Q1 Total 27, Granted 13, Granted w/Exceptions 1, Denied (c)(iii) Response compliance of disputes (timeliness) 2014 Total 100%, Final 100% and True-up 100% 2015 Q1 Total 100% and True-up 100% 8.2(c)(iv) Other – Variance from Initial Settlement 2014 Final Variance 3.18%, True-up Variance 0.34% 2015 Q1 Final Variance 3.7%

8 Market Information System User Group (MISUG) SCR775, Indicative LMP Display  ERCOT presented mock-ups  Layout and display time period finalized  Implementation target date: 6/26/2015

9 Market Information System User Group (MISUG) External Web Services (EWS) Modifications Workshop II  Preliminary discussions o Options for providing notifications o Data protection  Next Steps: o ERCOT is working on a demo of a streaming solution that could be used for smaller sets of high-demand data, e.g., LMPs o ERCOT will send out a survey to solicit MP feedback on the best solution for the Market o Results to be tabulated and distributed in a future MISUG meeting o Based on feedback, ERCOT will begin defining a revised EWS interface o MISUG will be used as the means for communicating progress and gathering feedback

10 Profiling Working Group (PWG)  Working with TDSPs on an ‘Initial Profile Code Assignments for Temporary Services’ draft LPGRR o Reviewing the possibility of modifying TDSP processes for handling initial load profile assignments for temporary services for non-residential customers o Currently, the profile “BUSMEDLF” is used, which has an associated backcast profile of approximately 500 kWh, which has caused credit and customer experience implications  Review of Protocol Section 18, Load Profiling o Ensure content is up-to-date and accurate o Face to face PWG meetings scheduled beginning May 27 th o Target completion by the end of 2015

11 The next COPS meeting is scheduled for July 15, Questions?

12 Appendix A

Settlement Stability 2015 Q1 Update to COPS Mandy Bauld ERCOT COPS 04/15/2015

ERCOT Performance Monitoring (c) Settlement stability: (i) Track number of price changes “after-the-fact”; (ii) Track number and types of disputes submitted to ERCOT; (iii) Report on compliance with timeliness of response and disposition of disputes; (iv) Other Settlement metrics; and (v) Availability of Electric Service Identifier (ESI ID) consumption data in conformance with Settlement timeline; (g) Uplift: ERCOT shall calculate and post the sum of all charges for all Qualified Scheduling Entities (QSEs) for each month and year-to-date due to each of the following: (i) The RUC Capacity-Short Charge, as described in Section , RUC Capacity-Short Charge; (ii) The RUC Decommitment Charge, as described in Section 5.7.6, RUC Decommitment Charge; (iii) The Load-Allocated Reliability Must Run Amount per QSE, as described in Section , RMR Service Charge; (iv) The Load-Allocated Voltage Support Service Amount per QSE, as described in Section , Voltage Support Charge; (v) The Load-Allocated Black Start Service Amount per QSE, as described in Section , Black Start Capacity Charge; (vi) The Load-Allocated Emergency Energy Amount per QSE, as described in Section , Charge for Emergency Power Increases; (vii) The Load-Allocated Real-Time Revenue Neutrality Amount per QSE, as described in Section , Real- Time Revenue Neutrality Allocation; and (viii) The total of the ERCOT System Administration Charge PR 8.2 (2) – Settlement stability

15 8.2(c)(i) Track number of price changes “after-the-fact” Reporting Period: 2015 Q1 Operating Day # of Corrected Prices# of Intervals Affected DASPPRTSPPRTRMPR ORDC Adders DASPPRTSPPRTRMPR ORDC Adders 03/25/ /30/ Notes: Price corrections for OD 3/25/2015 were due to the Tech Refresh Project production cutover. Price corrections for OD 3/30/2015 were due to an MMS application outage.

16 8.2(c)(ii) Track number and types of disputes submitted YEAR2014 QUARTER(All) Row LabelsDeniedGrantedTotal Ancillary Services-RTM1 1 Congestion Revenue Rights-RTM 11 Emergency Operations-RTM 22 Energy-DAM3 3 Energy-RTM72128 Gene. Res. Base Pt Deviation-RTM246 Reliability Unit Commitment-RTM325 Grand Total163046

17 8.2(c)(ii) Track number and types of disputes submitted YEAR2015 QUARTERQ1 Row LabelsDeniedGranted Granted w/Exc. Grand Total Congestion Revenue Rights- RTM1 1 Energy-DAM1 1 Energy-RTM26 8 Emergency Operations-RTM97117 Grand Total13 127

18 8.2(c)(iii) Response compliance and disposition of disputes (timeliness) YEAR2014 QUARTER(All) Row LabelsFINALTRUE-UPTotal Ancillary Services-RTM100% Congestion Revenue Rights-RTM100% Emergency Operations-RTM 100% Energy-DAM100% Energy-RTM100% Gene. Res. Base Pt Deviation-RTM100% Reliability Unit Commitment-RTM100% Grand Total100%

19 8.2(c)(iii) Response compliance and disposition of disputes (timeliness) YEAR2015 QUARTERQ1 Row LabelsTRUE-UPGrand Total Congestion Revenue Rights-RTM100% Energy-DAM100% Energy-RTM100% Emergency Operations-RTM100% Grand Total100%

20 8.2(c)(iv) Other Settlement metrics NOTE: ERS Final settlement data is not represented in graph. Average per year

21 8.2(c)(iv) Other Settlement metrics NOTE: “Total of Charges” represents the sum of statements that are a net charge to the Market Participant (i.e., the amount due to ERCOT)

22 8.2(c)(iv) Other Settlement metrics NOTE: “Total of Charges” represents the sum of statements that are a net charge to the Market Participant (i.e., the amount due to ERCOT)

23 8.2(c)(v) Availability of ESIID consumption data March 2015: At month end, settling 6.7M ESIIDs using Advanced Meter data. March 2015: 98.4% of the load in ERCOT is settled with 15-min interval data (AMS, Competitive IDR, and NOIE IDR).

24 8.2(c)(v) Availability of ESIID consumption data

25 8.2(g) Uplift ($Millions) $205.90

ERCOT Performance Monitoring (c) Settlement stability: (i) Track number of price changes changes “after-the-fact” ; (ii) Track number and types of disputes submitted to ERCOT; (iii) Report on compliance with timeliness of response and disposition of disputes; (iv) Other Settlement metrics; and (v) Availability of Electric Service Identifier (ESI ID) consumption data in conformance with Settlement timeline; (g) Uplift: ERCOT shall calculate and post the sum of all charges for all Qualified Scheduling Entities (QSEs) for each month and year-to-date due to each of the following: (i) The RUC Capacity-Short Charge, as described in Section , RUC Capacity-Short Charge; (ii) The RUC Decommitment Charge, as described in Section 5.7.6, RUC Decommitment Charge; (iii) The Load-Allocated Reliability Must Run Amount per QSE, as described in Section , RMR Service Charge; (iv) The Load-Allocated Voltage Support Service Amount per QSE, as described in Section , Voltage Support Charge; (v) The Load-Allocated Black Start Service Amount per QSE, as described in Section , Black Start Capacity Charge; (vi) The Load-Allocated Emergency Energy Amount per QSE, as described in Section , Charge for Emergency Power Increases; (vii) The Load-Allocated Real-Time Revenue Neutrality Amount per QSE, as described in Section , Real- Time Revenue Neutrality Allocation; and (viii) The total of the ERCOT System Administration Charge; (ix) The Load-Allocated Ancillary Service Imbalance Revenue Neutrality Amount, as described in Section 6.7.5, Real Time Ancillary Service Imbalance Revenue Neutrality Allocation; and (x) The Load-Allocated Reliability Deployment Ancillary Service Imbalance Revenue Neutrality Amount, as described in Section 6.7.5, Real-Time Ancillary Service Imbalance Revenue Neutrality Allocation PR 8.2 (2) – Settlement stability – potential protocol improvements Seeking input - Should (g) monitor 1)All costs/credits allocated to load, or 2)Only the unpreventable load ratio share based charge-types? Seeking input: 1)Should (c)(iv) remain general so that COPS has the flexibility to change the focus, as needed? (our recommendation) 2)What information should be provided in support of (c)(iv)? 3)Other changes?