May 15, 2009 Regional Planning Group CREZ Implementation Study Update Warren Lasher Manager, System Assessment

2 Regional Planning GroupMay 15, 2009 Purpose : Default : Priority In the Final Order in Docket 35665, ERCOT was asked to file sequencing recommendations by May 29, 2009 for non-default and non-priority lines What is being sequenced at this point is the order of the CCN filings, but this will be based on the general order in which the lines should be completed

3 Regional Planning GroupMay 15, 2009 Overall Strategy for Sequencing Schedule projects so that construction is completed by end of 2013 consistent with PUCT Order CCNs for longest lines have to be near the top of the schedule Meet PUCT Staff request for CCN timing and frequency File CCN Applications for projects that connect to load centers first These projects are required in order to increase transfer capacity

4 Regional Planning GroupMay 15, 2009 Overall Strategy for Sequencing (II) Try to establish some level of connectivity to as many of the CREZ collection points as quickly as possible Complete the connection to the Odessa area quickly

5 Regional Planning GroupMay 15, 2009 Current Status of Sequencing Recommendations ERCOT developed a straw-man proposal based on the Joint Parties’ filing in docket Joint Parties’ plan was modified to reflect new start date and the goals stated above Comments were received from the TSPs and by PUCT staff Construction schedules were adjusted by TSPs that were awarded projects but who were not included in the Joint Parties ERCOT has submitted its third iteration to the TSPs and PUCT staff for review and comment

6 Regional Planning GroupMay 15, 2009 Finalize sequencing recommendations based on additional comments from TSPs and RPG Submit report to PUCT by May 29, 2009 Remaining Steps

7 Regional Planning GroupMay 15, 2009 The following slides represent the latest pass in an iterative process that has not yet been completed. Dates presented are based on estimated completion dates given the current iteration of the CCN filing sequence and are still being revised in discussions with the TSPs and PUCT staff. These dates are only general timeframes at this point Some projects may be combined in the CCN process Maps show quarterly progress - all lines brought into service in specified time period Latest Draft Proposal

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