1. Duke Energy Carolinas Quarterly Stakeholder Meeting
Independent Entity Services
Tuesday, July 21, 2009
2:00 to 3:00 p.m. EDT

2. Agenda Follow-up Action Items from April 21, 2009
Business Practice Clarification – Rollover Rights
Yearly TTC and Yearly ATC Offering Horizon
Review Designated Network Resource Form
Coordination of Transmission Service Queues
FERC NOPRs
NAESB Practices
NERC Standards
NAESB Wholesale Electric Quadrant Update
Accessing NAESB to View Business Practice Standards
Wrap-up 2 2

3. Action Items Follow-up from April 21, 2009
No Action Items

4. OASIS Business Practice Clarification – 3.J. Rollover Rights
Revised for clarification on July 17th, 2009
Yearly requests profiled by increment may be eligible for Rollover Rights
The MW value eligible for rollover will be the capacity granted in the last profiled segment 4

5. Yearly TTC & Yearly ATC Offering Horizon
Discontinue posting of yearly ATC offerings
No consistent methodology for Yearly ATC calculation
No regional studies for Yearly TTC/ATC calculation
Not required by FERC, NERC or NAESB
Yearly transmission service can still be requested
Submission timeline for yearly requests is unchanged
Yearly transmission service request evaluation is unchanged
Post 13 months TTC & ATC data
Code of Federal Regulations, NERC, & NAESB require 13 months (current month + 12) of posted TTC & ATC data 5

6. Review Designated Network Resource Form
Facilitates the collection of information required by FERC
Used to fulfill the Customer Attestation requirement
The Network Customer who has an OASIS certificate may be an agent to or acting as an authorized officer of the Network Customer
When the individual checks the boxes on the form they are attesting to fulfilling the requirements in the Tariff 6

7. Coordination of Transmission Service Queues
Customer requested Duke coordinate with other TPs on the acceptance of transmission service requests
Items that affect the timing of Transmission Provider’s responses
Queue time (higher queued requests)
Level of transmission congestion (System Impact Studies & Facilities Studies)
Number of requests in the queue
Reservation priority
Coordination is not required or facilitated by the FERC, NERC, & NAESB
TPs must follow the timing requirements set forth in their OATT’s and NAESB Business Practices Standards.
Service Requests are processed in the order that they are received 7

8. FERC NOPRs NAESB Business Practice Standards (RM05-013)
Duke Comments (link)
Request additional time for implementation
Request FERC not adopt standards that conflict with Order 717
Request the effective date for posting the ATC Information Link to coincide with the effective date for implementation of the NERC ATC standards
Request FERC not adopt Version 2.1 standards for Rollover Rights for Firm Redirects
No Final Order 8 8

9. FERC NOPRs
NERC ATC Standards (Docket Nos. RM , RM , RM , RM )
Duke Comments (link)
FERC should not direct NERC to perform audits unrelated to the reliability of the bulk-power system
FERC should not require the disclosure of implementation documents to parties who do not have a reliability need for the information
Clarification on modeling of designated network resources in ATC calculations
FAC-012 and FAC-013 should be retired or withdrawn
No Final Order 9 9

10. NAESB Update: Wholesale Electric Quadrant
NAESB Request & Standards Development Activity Applicable to WEQ (link to web page)
Rollover Rights on Redirect on a Firm Basis (Approved by WEQ EC and Membership)
Permits customers to decide whether to transfer rollover rights to a qualifying firm redirect or to retain them on the parent reservation
Establishes parameters to track rollover rights on OASIS
Order 717, Standards of Conduct (Approved by WEQ EC, Membership ballot due 7/27/09)
Removes requirements for posting standards of conduct information on OASIS
Retains option to keep OASIS templates if transmission provider wishes to post standards of conduct information
Duke IE will continue to post acts of discretion (e.g., annulment of reservation) on OASIS even though not required 10 10 10

11. NAESB Update: Wholesale Electric Quadrant
WEQ Executive Committee (EC) (link WEQ EC page)
May 12 meeting (link)
2009 WEQ Annual Plan item 3.d – “FERC Order No 717 Standards of Conduct” – Revised recommendation and passed by supermajority vote
Approved recommendation to restructure to WEQ subcommittees with the following changes:
Collapse the WEQ Electronic Scheduling Subcommittee and Information Technology Subcommittee into a single subcommittee named the OASIS Subcommittee.
Move the Joint Interchange Scheduling Working Group to a subcommittee named the Joint Electric Scheduling Subcommittee
Move the Seams Subcommittee to the Inactive Subcommittees and Task Forces
Rename the WEQ Joint BPS/ESS/ITS Meetings on ATC/AFC to the WEQ Joint BPS/OASIS Meetings on ATC to be consistent with merging the ESS/ITS into the OASIS subcommittee.
Next meeting is August 18. 11 11 11

12. Accessing NAESB Standards
NAESB Business Practices Standards (BP) are incorporated in the Code of Federal Regulations
NAESB BP Standards are under copyright
Full text is not viewable in the CFRs
Link to Version 1.4 (Duke Business Practices 2.E.)
Link to Version 2.1 (FERC NOPR – slide 8 and 17)
NAESB Contact
Home Page:
Contact Page:
NAESB phone: 12 12

13. Wrap-up Proposed Next Quarterly Stakeholder Meeting
Thursday, November 5, 2009 – 2 p.m. to 3 p.m. ET
Customer Suggested Topics?
This is the forum for discussing emergent topics (Upcoming changes, stakeholder input)
Questions and Comments 13 13

14. Appendix Slide 15 - Reference points Designated Network Resource Form
Slide 16 - Reference points Designated Network Resource Attestation
Slide 17 - FERC NOPR NAESB Business Practice Standards
Slide 18 - FERC NOPR NERC Reliability Standards 14 14

15. Designated Network Resource Form
18 CFR 37.6 vi - The Transmission Provider shall post
a list of its current designated network resources and all network customers' current designated network resources on OASIS.
The list of network resources should include:
the name of the resource
its geographic and electrical location
its total installed capacity
the amount of capacity to be designated as a network resource.
The posting of DNR’s pursuant to 18 CFR 37.6 vi is created from gathering information from several steps in the process
Information required by 29.2 of the OATT
NITSA initiates the process to become a network customer
OASIS request
A statement signed by an authorized officer from or agent of the Network Customer attesting that all of the network resources listed pursuant to OATT Section 29.2(v)
Attestation in Customer Comment field (OATT Section 29.2 viii)
DNR form
Accompanies every OASIS request for Designated Network Resources 15

16. Designated Network Resource Attestation
Section 29.2 of the Duke OATT is the Application Process for Network Service
29.2 viii - Accompanying an application for a new DNR
A statement signed by an authorized officer or agent of the Network Customer attests
Networks Customer owns or has committed to purchase a generation under an executed contract
Network Resources do not include any resources, or any portion thereof, that are committed for sale to non-designated third party load or otherwise cannot be called upon to meet the Network Customer's Network Load on a non-interruptible basis
Agent/Network Customer Relationship with respect to the Attestation and OASIS posting
If through Contracts your Company has been enabled to acquire Network Service then our software will not fail your access to Network Service
The Network Customer who has an OASIS certificate may be an agent to or acting as an authorized officer of the Network Customer
When the individual checks the boxes on the form they are attesting to fulfilling the requirements in the Tariff.
FERC Order 890-B
P182
“In Order No. 890, the Commission adopted the attestation requirement as the means by which the network customer can make this demonstration”
“We affirm this requirement, consistent with the network customer’s obligations under section 30.7” 16

17. FERC NOPR NAESB Business Practice Standards
NAESB Business Practice Standards (Docket RM )
(FERC filed Document)
Official Version NAESB NOPR in the Federal Register
Proposal to incorporate the latest version (Version 002.1) of certain business practice standards adopted by NAESB Wholesale Electric Quadrant
This version includes Standards in response to Order 890, 890-A & 890-B
NAESB booklet version 2.1 NAESB link (requires login to view booklet)
ATC related reforms
New business practices include rules for treatment of requests with no value for bid price, treatment of pre-confirmed STF & NF requests, customer rebid of capacity, treatment of competing bids when insufficient ATC is available, treatment of rollover rights, conditional firm reservations, and other items
Issued March 19, 2009 17

18. FERC NOPR NERC Reliability Standards
NERC Reliability Standards (Docket Nos. RM , RM , RM , RM )
(FERC filed Document)
Official Version NERC NOPR in the Federal Register
Proposal to approve 6 Modeling, Data and Analysis Reliability Standards submitted by NERC
Available Transmission System Capability
Capacity Benefit Margin
Transmission Reliability Margin Calculation Methodology
Area Interchange Methodology
Rated System Path Methodology
Flowgate Methodology
Consistency and Transparency of ATC and AFC Calculations
Issued March 19, 2009 18