Business Practices Subcommittee Update October 27, 2009

2 Free Template from 2 WEQ BPS Update Meetings –September 14, 2009 –September 28, 2009 –October 21, 2009 Accomplishments –Approved recommendation to address annual plan items 5.a.2 Gas / Electric Communication Consistency Changes (R08004) 5.i Change Power Plant Operator to Power Plant Gas Coordinator (R09011) Addresses consistency of definitions/terms between WEQ and WGQ Expected to complete in 4 th quarter (completed end of 3 rd quarter)

3 Free Template from 3 Current Assignments WEQ AP Item 1.b.i “Parallel Flow Visualization/Mitigation for Reliability Coordinators in the Eastern Interconnection” –Highlights of October 21 Meeting Overview of the Merits of Parallel Flow Visualization Future NERC/NAESB Coordination for this Project Received Update on NERC Operating Reliability Subcommittee (ORS) Activity Related to Parallel Flow Visualization Reviewed Presentation Made by NERC IDC Working Group to NERC ORS Regarding Minimum Data Requirements to Support Parallel Flow Visualization Initiated Concept Based Discussion of Commercial/Equity Issues Related to Parallel Flow Visualization (for example, generation priority) with Assignments

4 Free Template from 4 Joint NERC TLRSDT/ NAESB BPS Update Meetings –August 25, 2009 Market Flow Threshold Recommendation –Approvals Market Flow Threshold Task Force (September 1, 2009) Operations Reliability Subcommittee (September 1, 2009) –Presentations Operating Committee (September 15, 2009) Standards Committee (October 7, 2009) Ongoing Coordination –Posting revised draft standards IRO and IRO-006-EAST.1 is pending Upcoming Activities –Review comments to proposed standards IRO and IRO-006-EAST.1 –Post response to comments based on review of comments standards may be posted Initial Ballot Note: –EPSA, NRG, and Constellation received request for rehearing on NERC TLR Standards (awaiting FERC Order)

5 Free Template from 5 Joint NERC BACSDT/ NAESB TIMTF Update Meetings –August 27, 2009 –September 30, 2009 –October 20-21, 2009 NERC/NAESB Conference Call October 5, 2009 –Agreed to NAESB monitoring position until NERC is further along in their standards development process.

6 Free Template from 6 Questions/Feedback WEQ/WGQ discussion on triage of interpretations –INT-001 related to WEQ and WGQ Business Practices WGQ was not involved (should they have been involved/notified) –Potential changes in future Demand Response e-Tariff