1. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N Commercially Similar Taskforce Report Taskforce Update January 15, 2013

2. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 2 1.The reservation capacity released by the defender or group of defenders should provide roughly equal or greater reservation capacity to the challenger. AND 2.Competition should be limited to commercially similar paths (similar flowgate impacts). 3.These principles will apply or behave the same for Mod 28, Mod 29, and Mod 30 systems. 4.These same principles will apply to Defenders of both PTP and NT Challengers. Principles to be Strived For

3. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 3 Commercially Equivalent Paths

4. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 4 Commercially Equivalent Paths

5. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 5 Commercially Equivalent Paths Test 1 - A valid commercially similar defender must have 67% of the significantly impacted FGs of the Challenger.

6. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 6 Commercially Equivalent Paths Test 2 - A valid commercially similar defender must have 67% of the constrained FGs of the Challenger impacted by applying the 90% rule. 90% Rule - To relieve a constrained flowgate or path, a Defenders TDF must be at least 90 % of the Challengers TDF. For MOD 028 and MOD 029, the TDFs are assumed to be either 0 or 1. For example, if the challenger TDF on a constrained element is 0.15, the defender must have an impact on the same constrained element with a TDF of 0.135 or greater.

7. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 7 Commercially Equivalent Paths If Test 1 and Test 2 are both true, it passes the equivalency test. Identify the largest recall percentage required from the flowgates that passed the 90% rule. Compute credits to all flowgates based upon that recall amount.

8. B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 8 Commercially Equivalent Paths Discussion Is the concept OK? 67% OK for Test 1 and Test 2? 90% Rule OK? Do we eliminate individual Defenders only, or do we total all defenders who pass and apply 90% rule to the total as well? The actual system impact of the 100 MW defenders ranged from 38 MW to 167 MW. Do we care? Next Meetings January 29 th, 9:00 – 12:00 Central Time February 8 th, 9:00 – 12:00 Central Time