July 9, 2007 TPTF Meeting Texas Nodal Program Update Jerry Sullivan

2 2 Texas Nodal Program UpdateJuly 9, 2007 Agenda ItemPurposePage Program StatusFor Information3 EMS CSD StatusFor information4 User Interface Development Schedule for Market-facing applications For Information and comment5 Appendix – More details on UI Development Schedule For information8

3 3 Texas Nodal Program UpdateJuly 9, 2007 CostScheduleScope / Quality Legend Summary The program has made significant progress on reducing the backlog of NPRRs to synchronize all projects Amber The program is spending under budget through May’s actuals. Discussions with the ERCOT Executive Committee outlined possible ways to ensure we are on budget at completion. Amber TPTF/PRS approved Baseline 1 on June 12 and Baseline 2 on June 21. TAC recommended baseline 1&2 NPRRs on June 28. Program scope can be declared Green subject to Board approval of NPRRs for Baseline 1 and 2. Red Amber Green Estimate at Complete = <$248m Estimate at Complete = $248 - $263m Estimate at Complete = >$263m Go-live = 12/1/08 Go-live = <30 days+ Go-live = >30 days+ Program is aligned with current protocols Program is aligned to previous version of protocols Program is not wholly aligned to protocols EDS1 and 2 proceeding on schedule. EDS3 approach approved by TPTF on June 11. There are schedule risks in Baseline 1 & 2 which we are mitigating. Scope/ Quality Schedule Cost Nodal Delivery Nodal Delivery

4 4 Texas Nodal Program UpdateJuly 9, 2007 Provisionally Approved EMS CSD, Ver Version Excluding AREVA IP Now Posted – Ver. 0.11a Complete Document Available To MP Employees –No NDA Required –Contact Stacy Bridges For Immediate Access EMS CSD Status Update

5 5 Texas Nodal Program UpdateJuly 9, 2007 TPTF have made clear their want for a plan and consultation to resolve dissatisfaction over the existing user experience offered by ERCOT… To address user experience issues ERCOT has:  Established User Experience and Visual Design Guidelines which contain the user interface (UI) Development Process and expected results in style and design approach  Provided these to the vendors as standards for UI for the applications being developed  Created a UI design schedule for each Nodal project that will be market-facing in the go-live market

6 6 Texas Nodal Program UpdateJuly 9, 2007 Q3 Nodal UI Schedule Summary Q2 Q4 JuneJulyAugustSeptemberOctoberNovemberDecember 2008 Outage Scheduler Network Model Management System Market Information System Congestion Revenue Rights Market Management System Data collection & base product evaluation With Market Participants (MPs) Evaluation of revised UI with MPs Created 2 nd design Define contents of landing pages Create initial redesign Internal Validate with MPs Sent to ABB From ABB Validate with MPs Sent to ABB Revisions from ABB (Jan) Validate with MPs (Feb) Evaluation of revised UI with MPs Created 2 nd design From ABB Validate with MPs Sent to ABB Revisions from ABB (Jan) Validate with MPs (Feb) Created 2 nd design Revised UI for PTC expected Validate with MPs Sent to Siemens Revisions from Siemens (Jan) Validate with MPs (Jan) Redesign provided to Siemens (Apr 2007) Data collection & base product evaluation Created initial re-design Sent to Nexant Received from Nexant Initial build received from vendor Navigation validation assessment w/MPs = Ongoing activity (Design, evaluation) = one-time activity (meeting/milestone) Prototype Evaluations MIS Validation with MPs Assessment of CRR system w/MPs Assessment of CRR prototypes w/MPs

7 7 Texas Nodal Program UpdateJuly 9, 2007 Our Long Range Plan  Make User Experience an essential element of the Change Process  Iterative process  Evolutionary process  Goal directed  Form the User Interface Design Council  Market Participant focused, extension of MIS subgroup  Collaborate on designs  Provide means for getting feedback  Structured  System reviews  Surveys  Unstructured  Help Desk ticket analysis  “Comment Box”

July 9, 2007 TPTF Meeting Texas Nodal Program Update UI Development Schedule – Appendix showing each project

9 9 Texas Nodal Program UpdateJuly 9, 2007 MMS UI Schedule  Data collection and Base product evaluation: Jun – Jul 2007  Internal: Jun – Jul 2007  With Market Participants: Jul 2007  Initial redesign  created: Jul 2007  validated with Market Participants: early Aug 2007  sent to ABB: Mid Aug 2007  from ABB: Mid Oct 2007  Evaluation of Revised UI with Market Participants: Oct – Nov 2007  Second Redesign  created: Nov 2007  validated with Market Participants: late Nov 2007  sent to ABB: early Dec 2007  Revisions from ABB: Jan 2008  Evaluation of Revised UI with Market Participants: Feb 2008

10 Texas Nodal Program UpdateJuly 9, 2007 Outage Scheduler UI Schedule  Initial Guidance – provided tutorial for OS system prepared by ERCOT with Market Participants  Forms basis for design  ABB assessing changes  from ABB: Mid Oct 2007  Evaluation of Revised UI with Market Participants: Oct – Nov 2007  Second Redesign  created: Nov 2007  validated with Market Participants: late Nov 2007  sent to ABB: early Dec 2007  Revisions from ABB: Jan 2008  Evaluation of Revised UI with Market Participants: Feb 2008

11 Texas Nodal Program UpdateJuly 9, 2007 Network Model Management System UI Schedule  Initial Review of Project Tracker (NOMCR submission and tracking system  Redesign provided to Siemens: Apr 2007  Evaluation of Revised UI with Market Participants:  Prototype evaluations: Jul 2007  Revised UI for PTC expected: Sep 2007  Second Redesign  Created: Oct 2007  Validated with Market Participants: late Oct 2007  Sent to Siemens: early Nov 2007  Revisions from Siemens: late Dec 2007  Evaluation of Revised UI with Market Participants: Jan 2008

12 Texas Nodal Program UpdateJuly 9, 2007 Congestion Revenue Rights UI Schedule  Data collection and Base product evaluation: Jun – Jul 2007  Initial redesign  created: Jun 2007  sent to Nexant: Jun 2007  from Nexant: Mid Oct 2007  Evaluation of Revised UI with Market Participants  Using prototypes: Aug 2007  Using CRR system: Oct 2007 (may not have all changes implemented)

13 Texas Nodal Program UpdateJuly 9, 2007 Market Information System UI Schedule  Collaborative effort between ERCOT, Market Participants, and vendor since mid 2006  Initial build of MIS received from vendor Jun 2007  Most links are broken – sources not in place yet  Define contents of Landing pages with Market Participants: Jul 2007  Navigation Validation assessment with Market participants: Sep 2007  MIS Validation with Market Participants: Dec 2008