CMWG NATF 11/02/2010- CCT/DME update + Outages in the CRR Model follow-up Steve Reedy – Market Design and Analysis 1

CCT Status Current Plan Issues Going Forward 2

Current Plan Use 2010 CSC/CRE Combinations as Competitive Constraints for last 15 days of January and going forward. –3.19(1) “Unless the Board approves changes, the “Competitive Constraints” are the contingency/limiting Transmission Element pairs that represent the Commercially Significant Constraints (CSCs) and Closely Related Elements (CREs), as those terms were defined in the ERCOT Protocols, immediately prior to Texas Nodal Market Implementation Date.” –3.19(2) “An appropriate subcommittee approved by TAC (“TAC Subcommittee”) may develop an alternative list through the analysis described below for determining Competitive Constraints.” –Not running CCT until DME issues are resolved –Non-Thermal CSCs 3

Issues DME Affiliations –Definition of Control –Designation of who is responsible to manage affiliation –NPRR needed 3.19 in protocols is logically inconsistent 4

Competitive Constraints – Going Forward I will work on a draft of an NPRR to clean up 3.19 –Goal to have submitted by December 16 th PRS IMM currently working on an NPRR to resolve DME issues 5

Outages in the CRR Model Nodal Operating Guides 5.5(6) Congestion Revenue Right (CRR) Network Model Outage determination uses network topology of the CRR Network Model identified by ERCOT. This must include Planned Outages of Transmission Elements approved by ERCOT at the time the CRR Network Model is being built and that demonstrate significant impact to the transfer capability during the effective period. ERCOT will consider including Outages in the CRR Network Model that are scheduled to occur in the relevant time period and meet one or more of the following criteria: 6