1 Linked-Service Address Discussion Thursday - April 8, 2004 (Updated 4/12/04 to include meeting results) Airport Hilton - Austin

2 Objectives Introductions, Expectations and Meeting Rules Review Current Data Linked-Service Address Issue –Background –Tasks completed to date –ERCOT Analysis –ERCOT database “fix” activities Review TDSP insights gained during initial address compare Provide a forum for Market Participants to air concerns and proposals Gain Market consensus for further activities Note potential areas for process improvement Define Next Steps, Timelines and Objectives (Group agreement on these objectives) Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

3 Introductions and Meeting Rules Introduction by attendees –Company Representing –Role in this Effort –Expectations for today Today’s Meeting Rules –We will do our best to stay on agenda (Parking lot peripheral topics) –Keep discussion to one-at-a-time during meeting times –Focus on objectives –Focus on what is good for the market –Incorporate lessons learned from previous projects and recent analysis –Additional business process improvement suggestions will be captured –We will use this presentation as a working document Next Steps –Report results to RMS next week Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

4 Background On the 02/18/04 Retail Market Call, a CR reported a concern regarding discrepancies between ERCOT’s Portal and the TDSP’s customer information system. The CR provided specific example for ERCOT to research. Analysis, released by ERCOT on 3/8/04, has identified that linked service addresses were established in the ERCOT Siebel system based upon data provided during conversion in In these instances, a TDSP provided the same service address for multiple ESI IDs. During the conversion process, a single database record was created which linked a single service address to multiple ESI IDs. The Address Field components making up the address record in the ERCOT Siebel system are Address-street name, Address Overflow, City, State and Zip code. The current effect is that an 814_20 address change to any one of the address- linked ESI IDs effectively changes the address, in ERCOT’s system, of all ESI IDs linked to that same record. Approximately 11 percent of the ESI IDs in the ERCOT Siebel system are affected by this "linked address" issue. Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

5 Completed Items 3/8/04 - Information released to the Market during Retail Market Call 3/9/04 - Initial conference call with TDSPs to discuss issue and proposed process 3/10/04 - Retail Market Call additional information 3/12/04 - ERCOT provided TDSPs a list of all ESI IDs with linked-addresses 3/16/04 - Follow-up conference call with TDSPs to discuss process further - ERCOT had ad-hoc discussions with CRs 3/17/04 - Follow-up discussion with a CR - Follow-up at Retail Market Call to detail proposed process 3/31/04 - TDSPs responded to ERCOT with mismatched address analysis results 4/7/04 - ERCOT completed analysis of address mismatch data received from TDSP 4/8/04 - Market Meeting to discuss issues and further Market activities Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

6 TDSP ERCOT CR Original Lists Compare Analyze & Summarize Results Mismatch List w/ Addresses Post Master Mismatch List (130K) Compare CR Addresses to Mismatch List and determine any Inadvertents Compile Data for Meeting March 31 st April 2 nd March 12 th April 8 th Market Meeting Austin Airport Hilton Send CR Current Ownership List (17K) April 21 st Market Meeting CRs Report Analysis Results MPs Define Next Steps Send ERCOT Summary Count of Inadvertents Submit FasTrak Issue For Inadvertent Provide Information on Address Matching Mechanism

7 Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record) TDSP ERCOT CR “Fix” Database New List of all ESI IDs Compare Post Compare Results Mismatch List w/ Addresses Submit 814_20s Process 814_20 Receive 814_20 Schedule to Complete April 24 th Retrieve and Compare Hold till MP Agreed Date

8 TDSP Quantity Breakdown Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

9 ERCOT Analysis Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

10 ERCOT Analysis of Mismatched Addresses Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

11 ERCOT Analysis of Mismatched Addresses with non-AREP Activity Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

12 Activity Selection: Includes the following Statuses: –In Review –Permit Pending –Scheduled –Complete –Complete w/o Transactions For Transaction types: –Move-In –Move-In from CSA –Move Out to CSA –Move-In/Force Move Out –Switch –Drop to POLR Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record) Excludes the following Statuses and Transaction Types: –Cancelled –Cancel Pending –Cancelled by Customer Request –Cancelled by Customer Objection –Cancelled Permit not Received –Cancelled w/Exception –Rejected by TDSP –Unexecutable –MVO Date Update –CSA –Move Outs –Historical Usage

13 Data Files Prepped by ERCOT: A Single Master Mismatch File list containing: –ESI Id –TDSP Duns –TDSP Address Data (Address, Overflow, City, State, Zip) –ERCOT Address Data (Address, Overflow, City, State, Zip) –ERCOT Status (Active, De-energized, Inactive) –ERCOT Premise Type Separate Current Rep of Record Data for Mismatch ESI Id Lists containing: –CR Duns Number –ESI D Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

14 Points for Consideration There will continue to exist a subset of ESI ID that will have the same service address. For example a house, guard light and barn may all have the same address. CRs will continue to find multiple ESI IDs at a single service address in the future. Based upon the TDSP response, there are 447,458 ERCOT ESI Ids that are part of the Link-Service Address discussion that have correct addresses. The TDSP will not be sending 814_20s on these and they will continue to have same addresses on the Portal and the Extract. All ESI IDs with the same service address are not included in the stats – only those with linked-address issues at ERCOT Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

15 TDSPs to provide Address matching experience insights (Detail Data of inclusion/exclusion criteria to be provided) Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

16 Next Steps – (Determine if CRs have inadvertently gained any ESI IDs) 1.ERCOT to provide MPs with the Master Mismatch list of ESI IDs the TDSP have identified by 04/12/04 2.ERCOT to provide current CRs list of ESI IDs they own that are part of the Master Mismatch List - filtered to ESI IDs that have had non-AREP activity 3.From 1 and 2 above, the CR determines if they were ever ROR for an ESI ID (additionally if they were ever ROR for an address in the list) –CR could prioritize by status, premise type, age of ownership or if relationship terminated in the past 4.In instances where the CR determines current or previous ownership of the ESI ID, the CR compare TDSP address to CR address(es) to determine if the ESI ID was gained inadvertently a.If yes, the CR will file an inadvertent gain FasTrak issue i.Additionally, the CR will report back to ERCOT a list of ESI IDs they believe were gained inadvertently by 4/19/04. 5.ERCOT to provide summary data at the 04/21/04 Market Meeting on this subject Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

17 Next Steps – (ERCOT Database correction) Updates to be given at least once weekly on the Monday Retail Market Call and summarized at RMS until process is complete ERCOT to determine a process to establish a one-to-one relationship between impacted ESI ID and service address record in the ERCOT Siebel system. Process initiation will begin 04/12/04 and will flow through the testing environment and a roll-out to production on 4/24/04. –ERCOT to add the address overflow field to the ESI Id look-up function on the Portal (SIR 8012) –ERCOT to add the address overflow field to the TDSP ESI Id Extract (SIR 8668) ERCOT to provide TDSPs with a list of affected ESI IDs after final database fix TDSPs to compare final list to their system addresses and submit 814_20 address modification for any address mismatches –Date for TDSPs to release 814_20 corrections to be determined at the 04/21/04 Market meeting on this subject Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

18 Additional Action Items: 1.Centerpoint to send ERCOT a list of retired ESI IDs that CNP was unable to perform the address comparison –ERCOT to post the above list for MP’s use 2.TDSPs to detail their address matching analysis process by 4/16/03 –ERCOT to compile data for the 4/21/04 meeting 3.ERCOT to schedule next meeting for 04/21/04 4.ERCOT to send CRs, upon request, the entire list of 577K ERCOT ESI IDs associated to the linked-service address issue 5.ERCOT’s next list to TDSPs (after ERCOT database correction) will contain a field for a common identifier (ie. If 5 ESI IDs are linked those 5 will have a common identifier) 6.Market to discuss potential areas of process improvements 7.Market to discuss parking lot items Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

19 Potential Areas of Process Improvement CRs to create an exception process when the TDSP provides an 814_04 (which ERCOT send to the CR in 814_05 transaction) that has a different address than the CR originally submitted TDSPs to perform a periodic synchronization of TDSP system service addresses to ERCOT system service addresses and provide 814_20 updates to resolve inconsistencies. (using the TDSP ESI ID Extract as the ERCOT data source) Define a Market Process CR should use when they find multiple ESI IDs at the same service address using either the ESI ID look-up or on the TDSP ESI ID extract Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)

20 Parking Lot Items 1.Other ESI IDs with same address? (There is the potential for other ESI IDs in the ERCOT system that were not linked, but have the same address which could also have caused the same customer switching issues.) 2.Is there a way to make addresses unique? 3.What is plan for clean up of Non ERCOT areas? – will capture correction when they enter the Market because most haven’t been updating the ERCOT system. Linked-Service Address (Multiple ESI IDs Linked to a Single Service Address Record)