1. ColumbiaGrid Reliability Workshop October 1, 2007 Developmental and Staffing Reliability Functional Agreement (DSRFA) Details This program is the cornerstone of future reliability efforts and activities. The major objective of DSRFA is to outline the initial activities needed to design a program that assures ColumbiaGrids members of transmission reliability as the grid expands Staff will produce analyses and reports that will inform the development of the long-term Reliability Programs. These first reliability projects were established with the adoption of the Developmental and Staffing Reliability Functional Agreement (DSRFA), which covers activities in four key areas: Visibility Tools (West-Wide System Model) Outage Coordination Area Control Error (ACE) Diversity Interchange Reliability Re-dispatch

2. ColumbiaGrid Reliability Workshop October 1, 2007 Participants in the DSRFA Reliability Services are: Avista Corporation, Bonneville Power Administration, Chelan County PUD, Grant County PUD, Puget Sound Energy, Seattle City Light, Snohomish County PUD, and Tacoma Power

3. ColumbiaGrid Reliability Workshop October 1, 2007 Visibility Tools (Wide Area System Model) Under DSRFA, ColumbiaGrid will join in Western Interconnection and region-wide efforts to develop tools that assist reliability agreement parties with enhancing the visibility of their transmission systems and the regional interconnected systems. Visibility refers to the ability to monitor, understand, and predict the state and condition of the interconnected transmission operating system ColumbiaGrids role includes working with others to develop the Western Electricity Coordinating Councils (WECCs) West-wide System Model and help resolve implementation questions for parties to the DSRFA. ColumbiaGrid will provide a report with recommendations for its organizations future role in assisting them with access and implementation of visibility tools.

4. ColumbiaGrid Reliability Workshop October 1, 2007 Outage Coordination Under DSRFA, ColumbiaGrid will monitor the regional outage coordination processes. Becoming familiar with the Northwest Power Pools scheduled outage coordination procedure Learning about the operation of the associated software tools. ColumbiaGrids initial task is to provide a written report with recommendations for enhancing the outage coordination among parties to the reliability agreement. The report is expected to be completed in December 2007, and will be published on ColumbiaGrids website.

5. ColumbiaGrid Reliability Workshop October 1, 2007 ACE Diversity Interchange Under DSRFA, ColumbiaGrid will assist and evaluate the development of ADI programs including the Northwest Power Pool effort. ColumbiaGrid will work with others to understand the scope, benefits, and impacts of ADI programs and identify any constraints or concerns with implementation. The activity includes observing system tests and gathering data and other information about the results. ColumbiaGrids is to provide a written report on the benefits, impacts, constraints, concerns, and future implementation of implementing ADI programs. The report will be completed by December 2007, and will be published on ColumbiaGrids website.

6. ColumbiaGrid Reliability Workshop October 1, 2007 Redispatch Pilot Project Under DSRFA, ColumbiaGrid will monitor and evaluate the Bonneville Power Administrations Summer 2007 Reliability Redispatch Pilot project. The project aims to test a market based approach to re- dispatch generation in real time to to relieve congestion on congested transmission paths. ColumbiaGrid will evaluate the pilot and will provide a comprehensive report. The report will include recommendation for next steps, including any role for ColumbiaGrid in implementing a wide area re-dispatch program that involves more than one transmission system.

7. ColumbiaGrid Reliability Workshop October 1, 2007 DSRFA Conclusions should provide a road map for the future DSRFA efforts will be concluded by December 2007. There have been some encouraging results so far. There are lots of benefits that can be harvested. Lots of challenges lie ahead.