1 Market Trials Congestion Revenue Rights Weekly Update May 6, 2010

2 Antitrust Admonition ANTITRUST ADMONITION ERCOT strictly prohibits Market Participants and their employees who are participating in ERCOT activities from using their participation in ERCOT activities as a forum for engaging in practices or communications that violate the antitrust laws. The ERCOT Board has approved guidelines for members of ERCOT Committees, Subcommittees and Working Groups to be reviewed and followed by each Market Participant attending ERCOT meetings. If you have not received a copy of these Guidelines, copies are available at the Client Relations desk. Please remember your ongoing obligation to comply with all applicable laws, including the antitrust laws. DISCLAIMER All presentations and materials submitted by Market Participants or any other Entity to ERCOT staff for this meeting are received and posted with the acknowledgement that the information will be considered public in accordance with the ERCOT Websites Content Management Operating Procedure.

3 Agenda Anti-trust Admonition Environment Report –Planned / unplanned outages –Known Issues Standing Reports and Updates –Future activities –Registration for Credit Sharing –Balance of Year Results Qualification Update Question and Answers / General Discussion –FAQ –Credit Constraints ERCOT asks that Market Participants log into the WebEx session using their company name and then their name. This will allow ERCOT to take roll-call offline

Market Trials 2010 Roadmap 4

5 Day-to-day operations summary: Planned / Unplanned Outages of EDS Planned Outages –Planned Outages No Planned Outages this coming week Unplanned Outages There were no unplanned CRR outages this week

Known Issues No new issues with CRR application CRR Oneline map included in the June 2010 Network model contains some islands –We will repost the network model file when we get this fixed.

7 Standing Reports and Updates: General reminders / updates Next week’s activities –Credit (ACL) integrates with CRR/DAM by 14 May To view credit extracts on MIS you (or someone in your organization) will need to have a Counter Party digital certificate with a CRR_EXTRACTS role (even to view QSE related credit information) Your credit will no longer be defaulted to $10M, but rather to an amount that reflects your current zonal market activity. (You can send an to have it raised – details in the COMS/Credit call at 1p.m. today) Your activities in the CRR Market will affect your ability to participate in the DAM and vice versa. –Bilateral trade verification will not integrate next week Please continue to contact us at to report bilateral Further in the Future –June Auction window May –June Credit Locks 17 May

8 Q&A FAQ/Follow Up

Q) I did not get to sit in for the CRR WebEx held this past Friday due to scheduling conflicts. How can I get copies of the slides that were presented? A) You may get them off the ERCOT.com website: 1.Go to 2.Select “View Calendar”, situated to the right of Find a Meeting (under Quick Links) 3.Navigate to the date of the meeting (if it’s the same month, you will use the scroll bar to get to that date, if it’s a previous month- as in this case, you will click on the name of the month then scroll to the date. 4.Click on the Market Trials Market Call hyperlink for the date you wish to view the slides 5.Under “Key Documents”, you will see the slides not only for the CRR market, but for Day Ahead, and Real Time as well. 9

Q) For NOIES, does information that was submitted two years ago for the nodal CRRs meet the protocol requirement below? "2.2.a. Qualification for NOIE Allocation Eligibility A NOIE must complete and submit a Standard Form Agreement and submit both a CRR AH application and Allocation Eligibility Form (and supporting documentation) 6-months prior to first CRR auction. If the NOIE wishes to declare Load Zones, the NOIE Load Zone form must be included as well. This form may be found at Any contracts previously submitted for Zonal Market PCR allocation will need to be re-submitted for PCRR allocations. There is no carry-over from TCR to CRR.“ A) You will very likely have to resubmit data. We are working with ERCOT legal to define the procedure and will have dates and details shortly. 10

11 Q&A Q&A / Open Forum

Appendix 12