Mar 21, 2023 Technical Advisory Committee

CAN CAN YOU MAYBE GET THE PHONE A LITTLE CLOSER? IT'S A LITTLE BIT MUFFLED.

IS THAT BETTER? YES, MUCH BETTER.

SO ERCOT DID POST THEIR OPINIONS AND THE MARKET IMPACT STATEMENTS LAST WEEK, UM, THAT ERCOT IS IN SUPPORT OF ALL THE REVISIONARY REQUESTS THAT WERE, UM, POSTED FOR TAX CONSIDERATION TODAY.

THE IMM, THEY ARE IN SUPPORT OF O B D R OH 44 THAT WILL BE CONSIDERED LATER ON, ON THIS AGENDA, AND THEY HAVE NO OPINION ON THE OTHER ION REQUEST.

THANK YOU, ANN.

CARRIE, ANYTHING YOU WANTED TO ADD IN ADDITION? OKAY.

MOVE ON TO THE PRS REPORT.

ANY COMMENTS OR QUESTIONS TO EITHER ANNE OR CARRIE ON THE, UH, OPINIONS AND IMPACT STATEMENTS? OKAY.

HEARING, THEN WE WILL

[5. PRS Report (Vote)]

MARTHA? MM-HMM.

GOOD MORNING EVERYONE.

MARTHA HENSON FROM ENCORE WITH THE P R S UPDATE.

[00:05:03]

THERE ARE THREE VOTING ITEMS FOR TACT TODAY.

TWO NPRS AND THE PR S GOALS.

UM, THE BOTH OF THESE NPRS WERE UNOPPOSED AND ACTUALLY BOTH WERE SPONSORED BY ERCOT.

SO 1155 LAYS OUT THAT A COMPANY CANNOT REGISTER OR MAINTAIN ITS REGISTRATION AS A MARKET PARTICIPANT WITH ERCOT.

IF THE COMPANY MEETS ANY OF THE PROHIBITED CITIZENSHIP OWNERSHIP OR HEADQUARTERS CRITERIA THAT'S ESTABLISHED IN THE LONE STAR INFRASTRUCTURE PROTECTION ACT, THIS NPR R WAS NO IMPACT.

AND SECOND, 1145 MODIFIES THE TRANSMISSION LOSS FACTOR CALCULATIONS.

UH, TODAY, THESE ARE BASED ON PLANNING MODEL INFORMATION, AND SO 1155 WOULD HAVE THEM BE CALCULATED IN REAL TIME BY ERCOT EMS, UH, WHICH SHOULD RESULT IN GREATER ACCURACY IN ERCOT SETTLEMENTS.

THIS NPR WAS 50 TO 80,000 IN COST.

UH, AND LAST THE 2023 PRS GOALS, JUST HAD ONE MINOR CHANGE.

THANKS TO ERIC GOFF LAST YEAR.

WE ONLY HAVE TO REVIEW THE OTHER BINDING DOCUMENT LIST ONCE EVERY FOUR YEARS NOW INSTEAD OF ANNUALLY.

SO THE GOALS WERE TWEAKED TO, YOU KNOW, INCORPORATE THAT, THAT'S LIKE AN AS NEEDED EXERCISE VERSUS AN ANNUAL ONE.

AND THAT'S ALL THE VOTING ITEMS, CLIFF.

NUMBER SIX IS OUR OTHER BINDING DOCUMENTS.

THANKS VERY MUCH.

MARTHA.

I BELIEVE WE DO HAVE ONE ADMINISTRATIVE DESKTOP EDIT FOR NPR R 1145.

UH, COREY, IF YOU DON'T MIND GRABBING THAT.

YEAH, NOT AT ALL.

UH, IN 1145, WE'VE, OH, FINISHED LOADING.

UH, UH, UH, ASTUTE GRAMER NOTICED THAT, UH, WE SHOULD DROP THE WORD THE, IN FRONT OF EMS IN A COUPLE PLACES WHERE WE WERE SAYING STATE ESTIMATOR IN ENERGY MANAGEMENT SYSTEM INSTEAD OF STATE ESTIMATOR IN THE ENERGY MANAGEMENT SYSTEM.

SO, ALL RIGHT, APPRECIATE THAT.

PLEASE THANK THE GRAMER FOR THAT ONE.

SO, OKAY, THAT BEING SAID, UM, WE'VE GOT, UH, TWO NPRS AND THE SET OF PRS GOALS.

ANY COMMENTS ON ANY OF THOSE? OKAY.

NO COMMENTS.

WE'LL GO AHEAD AND PLACE THOSE ON THE COMBO BALLOTS AND, UH, BLAZE CONTINUE BLAZING THROUGH OUR AGENDA.

SO, UH, AGENDA ITEM

[6. Other Binding Documents]

WE DO HAVE A, UH, OBD, UH, RATHER.

YES, WE'VE GOT AN OB D R R 0 44, UM, AT WHICH POINT IN TIME I THINK WE'RE READY TO GO AHEAD AND MOVE THAT FORWARD.

SO, UH, DAVE, DID YOU HAVE ANY COMMENTARY ON THAT IN PARTICULAR BEFORE WE MOVE IT FORWARDS, OR COME ON.

SORRY.

I, I, I DO NOT HAVE ANY COMMENTS, BUT I CAN ANSWER ANY QUESTIONS OR GET THE RIGHT PERSON TO ANSWER THEM.

ANY COMMENTS OR QUESTIONS ON O B D R R 0 4 4? OKAY.

HEARING NONE, LET'S GO AHEAD AND PLACE THAT ON THE COMBO BALLOT AS WELL.

AT AGENDA ITEM NUMBER SEVEN, WE'VE GOT REVISION REQUESTS TABLED AT TAC.

LOOKING

[7. Revision Requests Tabled at TAC (Vote)]

WE'VE GOT NPR R 1157, WHICH AS YOU MAY RECALL, WE WENT AHEAD AND HELD THAT ONE UP TO WAIT FOR A LITANY OF OTHER REVISION REQUESTS TO CATCH UP, WHICH HAVE REALLY, UH, PERMEATED THROUGH OUR AGENDA TODAY.

SO I BELIEVE WE DO HAVE A SET OF, UM, FEBRUARY 24TH, 2023 ERCOT COMMENTS.

UM, CAN WE GO AHEAD AND PULL THOSE UP, COREY? OKAY.

SO IN THIS PARTICULAR CASE, I BELIEVE WE WENT THROUGH AND MODIFIED APPROVED TO RECOMMENDED FOR APPROVAL, CORRECT? CORRECT.

AND YOU CAN CORRECT ME IF I'M WRONG, BUT YEAH, THERE WERE SOME ADDITIONAL INSTANCES THAT THE EXISTING PROTOCOLS SPOKE TO THE BOARD APPROVAL AS OPPOSED TO RECOMMENDING APPROVAL.

SO THESE, THE SET OF COMMENTS JUST ADDS THOSE ADDITIONAL SECTIONS INTO 1157, NOT CHANGING THE SCOPE OR REACH OR ANYTHING, BUT JUST HARMONIZING THE REST OF THE PROTOCOLS.

ANY COMMENTS OR QUESTIONS REGARDING NPR R 1157 TODAY? ALL RIGHT, SEEING NONE, WE ARE A QUIET GROUP TODAY.

WE'LL GO AHEAD AND PUT THAT ON THE, UH, COMBO BALLOT AS WELL.

[00:10:01]

MOVING ON.

WE WILL, UH, ADDRESS THE RMS REPORT AGENDA ITEM NUMBER EIGHT, DEBBIE.

ALL RIGHT, GOOD MORNING.

JUST A QUICK UPDATE FROM RMS. WE HAD THREE VOTING ITEMS AT OUR LAST MEETING.

UM, TWO ARE RELATED TO NPR R 1157.

I'M SURE THAT TINE MINI CHANGES DUE TO THAT MARKET CHANGE.

UM, IN ADDITION, THE THIRD VOTING ITEM IS L P G R R 1 71, AND THIS IS REDUCING THE TIMING FOR OPT-IN ENTITIES TO PROVIDE THEIR, UM, USAGE DATA AND, UM, DEMAND VALUES TO ERCOT.

AND WE'RE MOVING FROM 120 DAYS TO 60 DAYS.

WHILE THIS IS REALLY AN EFFICIENT CHANGE FOR THE FUTURE FOR OPT-IN ENTITIES, PARTICULARLY, IT IS GOING TO SUPPORT THE LUBBOCK POWER AND LIGHT INTEGRATION INTO RETAIL COMPETITION.

SO WE ARE ASKING THAT TAC APPROVE.

THESE THREE ITEMS TODAY ARE MGR R 1 73, LOAD PROFILING GUIDE, REVISION REQUEST 7 72, AND 71.

OKAY, THANK YOU, DEBBIE.

ANY COMMENTS OR QUESTIONS ON THESE THREE REVISION REQUESTS? ALL RIGHT.

SEEING NONE, WE'LL GO AHEAD AND MOVE THOSE TO THE, UH, TO THE COMBO BALLOT.

TO BRING EVERYBODY UP TO DATE ON SOME OF THE ACTIVITIES GOING ON WITH THE LUBBOCK POWER AND LIGHT INTEGRATION.

I WANTED

[8. RMS Report (Vote)]

I GET QUESTIONED ABOUT THIS ALMOST DAILY.

UM, THEY ARE MOVING INTO THE NEXT TEST FLIGHT.

THE TEST FLIGHT WAS DESIGNED TO TEST LUBBOCK AND THEIR ABILITY TO COMPLETE RETAIL MARKET PROCESSES FOR THE MARKET, PARTICULARLY WITH TEXAS DEBT TRANSACTIONS.

ALL OF THE PARTIES REGISTERED WILL NEED TO COMPLETE CONNECTIVITY TESTING AND THE PENNY TEST, WHICH PROVES THAT THE T DSPS CAN RECEIVE MONEY FROM THE RETAIL COMPANIES.

UM, IN ADDITION TO THAT, WE HAVE, I THINK, FIVE CRS THAT HAVE, UH, BEEN CHOSEN TO DO SOME END-TO-END SCRIPT TESTING WITH LUBBOCK, AND THAT WILL CERTIFY LUBBOCK FOR RETAIL COMPETITION.

THE, UM, 96 PARTIES, I HAVE HEARD DIFFERENT THINGS.

SOME OF 'EM, UM, THEY COULD, LUBBOCK COULD OPT TO DO THIS IN FRONT OF WHEN THE FIRST TRANSACTIONS FLY, OR AT THE END DURING THE CONTINGENCY PERIOD.

THE CONTINGENCY PERIOD FOR THIS FLIGHT IN PARTICULAR HAS BEEN EXTENDED TO ALLOW ANY KIND OF ADDITIONAL TESTING THEY WOULD LIKE TO DO OR ANYTHING ELSE RELATED TO, UM, RETAIL TRANSACTIONS OR QUESTIONS, RESOLVE THINGS, UM, THOSE TYPE, THOSE TYPE EFFORTS.

SO ONE OF OUR WORKING GROUPS, OH, I'M SORRY, ERIC.

OH, IT'S OKAY.

YOU MENTIONED YOU HAVE TO DO THE PENNY TESTING.

UH, YOU KNOW, GIVEN THE INFLATIONARY ENVIRONMENT RANCH, SHOULD WE DO A TWO PENNY TEST? I'M SORRY, WHAT? IT WAS A, IT WAS A JOKE.

NEVERMIND.

OH, HA HA HA HA HA.

YEAH, AND WE HAVE TO REFUND THE PENNY .

SO TEXAS SET HAS BEEN VERY BUSY BUTTONING UP TEXAS SET 5.0 IN PARTICULAR.

THEY WILL HAVE A DRAFT IN PR R COMING FORWARD EVENTUALLY.

AND, UM, ANOTHER RM, G R R RELATED TO THE CONTINUOUS SERVICE AGREEMENTS.

I EXPLAINED THIS LAST TIME, BUT CONTINUOUS SERVICE AGREEMENTS ARE, UM, THINK ABOUT THE MANAGEMENT COMPANY BETWEEN TENANTS AT AN APARTMENT COMPLEX.

THEY REALLY DON'T WANT THE SERVICE DISCONNECTED.

SO WE HAVE, UH, IN THE RETAIL MARKET CONTINUOUS SERVICE AGREEMENTS.

SO THESE ARE SOME OF THE TEXAS SET TRANSACTIONS COMING UP, ALL RIGHT, IN THE RETAIL MARKET TRAINING TASK FORCE, THIS TASK FORCE DOES A LOT OF WORK TO CREATE THE TRAINING FOR RETAIL.

AND, UM, IN PARTICULAR, I MIGHT HAVE MENTIONED THIS LAST TIME, WE ARE BRINGING BACK THE TEXAS SET INSTRUCTOR LED IN PERSON CLASSES.

WE HAVE TWO SCHEDULED THIS YEAR.

ONE IS GONNA BE HOSTED BY VISTRA, AND IN THE FALL CENTER POINT, WE'LL BE HOSTING ONE.

THE TEXAS SET ONLINE MODULE IS WHERE WE DIRECT PEOPLE IF THEY WANT TO FIND OUT SOMETHING, UH, QUICKLY AND WANNA GET CAUGHT UP TO SPEED ON WHAT TEXAS SET IS.

BUT THERE'S NOTHING LIKE IN-PERSON TRAINING.

SO WE'RE LOOKING FORWARD, FORWARD TO THAT.

THE TEXAS DATA TRANSPORT AND MARKET TRACK SYSTEMS IN THE RETAIL MARKET, WE USE THE INTERNET TO SEND OUR TRANSACTIONS AND NASBE ELECTRONIC DELIVERY MECHANISM.

VERSION 1.6 IS WHAT WE ARE USING.

SO THAT GROUP IS CONTINUALLY EVALUATING THE STRENGTH, UM, OF SECURITY, AND ALSO THE DIFFERENT TYPES OF MARKET TRACK TRANSACTIONS.

ONE OF THE

[00:15:01]

SO THAT'S WHEN A CUSTOMER GETS SWITCHED TO A RETAIL COMPANY THAT WASN'T THEIR CHOICE.

UM, ONE OF THE THINGS THAT RMS DOES IS WE LOOK AT THE INADVERTENT GAIN VALUES BY CR, AND YOU DON'T GET THE CR DONE OR THE CR NAME, IT IS BY A ANONYMOUS NUMBER.

SOME OF THE COMPETITIVE RETAILERS, THE REPS, THEY HAVE HAD HIGH PERCENTAGES CONTINUALLY.

SO WHAT WE'D LIKE TO DO IS ASK ERCOT CLIENT SERVICES TO JUST REACH OUT TO THEM AND LET THEM KNOW THIS INFORMATION'S AVAILABLE.

I BELIEVE MANY OF THEM DO NOT KNOW THAT THEY HAVE HIGH AND INADVERTENT GAIN COUNTS.

SO, UM, TD TMS IS DEVELOPING A STANDARD TEMPLATE, STANDARD EMAIL MESSAGE FOR ERCOT TO BE ABLE TO USE WHEN THEY CONTACT THOSE REPS DIRECTLY.

ALL RIGHT, IN THE LUBBOCK INTEGRATION TASK FORCE, AT THIS TIME, THE INTEGRATION TIMELINE INTO RETAIL COMPETITION IS SEEN AS ACHIEVABLE.

THERE ARE SOME DECISIONS THAT ARE NOT ABLE TO BE MADE IN THE ERCOT FORUMS. THEY ARE MADE AT THE LEGISLATURE AND THE PUC.

SO WE ARE STAYING ABREAST OF THOSE, AND THE TEAM HAS REALLY DONE A GOOD JOB AT IDENTIFYING CONTINGENCIES FOR THE PROCESSES THAT MIGHT NOT BE ABLE TO BE IMPLEMENTED DUE TO DELAYS.

UM, OUTSIDE OF ERCOT.

WE ENCOURAGE EVERYBODY TO PLEASE ATTEND THOSE MEETINGS IF YOU'RE INTERESTED IN JUST IN THE LUBBOCK POWERLIGHT, UH, TRANSITION, OR IF YOU ARE INTERESTED IN, UH, COMPETING IN THAT TERRITORY, EVENTUALLY WE WILL HAVE A WORKSHOP AND IT'LL COMMUNICATE TO EVERYONE.

SO WE'VE GOT A LOT OF OF BASE PIECES TOGETHER AND, UM, WE ARE ON TRACK.

OUR LEADERSHIP OF L R I T F WORKS WITH LUBBOCK ALMOST DAILY, SOMETIMES MULTIPLE TIMES A DAY JUST TO KEEP UP AND, UM, MAKE SURE THAT WE ARE ON TRACK.

WE ARE HAVING MEETING THIS COMING FRIDAY.

IT'S GONNA BE WEBEX ONLY, AND, UH, WE'RE GONNA COVER A LOT OF GROUND.

SO HOPE YOU CAN JOIN THAT MEETING.

LASTLY, I WANNA TALK ABOUT THE TNM P 3G REMEDIATION COUNTS.

UM, THEY ARE MAKING REALLY GOOD PROGRESS.

AS YOU CAN SEE, THEY'VE DEPLOYED 188,045 METERS.

WHAT, UM, THE PRIMARY PROBLEMS ARE, ARE ACCESS ISSUES.

SO THEY'RE WORKING WITH THE CUSTOMER, UM, I'VE MENTIONED THIS BEFORE.

THEY DO DOOR HANGERS, THEY CONTACT THEM, THEY'VE REACHED OUT TO THE, TO THE RETAIL ELECTRIC PROVIDERS FOR ADDITIONAL CONTACT INFORMATION.

CAN YOU PLEASE HELP US CONTACT THESE PEOPLE SO WE CAN GET IN AND CHANGE THE METER? SO THESE ARE, UM, JUST SOME OF THE LAST TIE UP, TIE UP THINGS, UM, GOING ON WITH THE TNM P THREE G PROJECT.

UM, ADDITIONALLY, THEIR MARKET TRACK ISSUES WERE EXTREMELY HIGH, UM, WHEN THIS STARTED BECAUSE OF ALL OF THE ESTIMATED READINGS.

SO WHEN YOU GET AN ESTIMATED READING, YOU GET AN ESTIMATED BILL, AND CUSTOMERS DON'T LIKE THOSE.

UM, SO THEY ARE GOING FORWARD IN TRYING TO ADDRESS THESE.

SO MAYBE WE WILL SEE LESS EXCEPTIONS AND A HIGHER COUNT OF, UH, DEPLOYMENT, UM, IN THE FEW COMING MONTHS.

YEAH, JUST, UH, QUICK QUESTIONS MORE ABOUT EDUCATIONAL SIDE FOR MYSELF IS FOR THAT, UM, IMPLEMENTATION BY TEAM OF MPS, THAT TECHNOLOGY CAPABLE TO SHUT DOWN INDIVIDUAL HOUSES AT A TIME OF NECESSARY DURING URI TYPE EVENTS.

I, I BELIEVE IT IS, IT'S CAPABLE OF SHUTTING DOWN, UH, PREMISES.

I DIDN'T THINK ABOUT URI, BUT I WAS REALLY THINKING ABOUT DISCONNECTS FOR NON-PAY, THOSE TYPE THINGS, BECAUSE THAT'S A BIG ADVANTAGE OF ADVANCED METERING.

UM, I THINK THEY HAD THAT CAPABILITY BEFORE.

UM, ARE YOU TALKING SPECIFICALLY MAYBE ABOUT LOAD SHED? THE LOAD SHED EVENTS? YEAH.

THAT HAVE THAT TECHNOLOGY TO BOTH, YOU KNOW, SHUT 'EM DOWN.

WE'LL ALSO BRING 'EM BACK.

THAT TECHNOLOGY DOES.

ITEM NUMBER NINE, THE OS REPORT.

OKAY, ANY QUESTIONS? ANY OTHER QUESTIONS FOR DEBBIE? ALL RIGHT, THANK YOU.

[9. ROS Report (Vote)]

UH, CHASE.

HI CLIFF.

CAN YOU HEAR ME? YES, SIR.

SURE CAN CHASE.

GREAT.

GOOD MORNING EVERYONE.

UH, THIS IS CHASE SMITH RS CHAIR.

I'VE GOT A QUICK, UM, RS UPDATE FOR EVERYONE.

UM, CAN

[00:20:01]

YOU GO BACK ONE SLIDE PLEASE? I THINK WE SKIPPED A SLIDE BY ACCIDENT.

YEAH, CHASE, I THINK WE JUST HAVE A TITLE SLIDE AND THEN WE ROLL INTO, IF YOU WANT TO SCROLL, SCROLL TO THE NEXT ONE.

RECENT R O S ACTIONS.

UM, I APOLOGIZE.

I'M NOT SURE WHAT'S HAPPENED, BUT I'M MISSING A, A SLIDE WITH VOTING ITEMS, BUT I'LL JUST TALK THROUGH THAT.

AND IT IS ON THE, THE VOTING ITEMS ARE ON THE, UM, TECH AGENDA, BUT, UM, THE FIRST VOTING ITEM IS NUMBER 2 48.

UM, WE'RE BRINGING A FEW OF THE, UM, OF THE, UM, THE REVISION REQUESTS THAT ARE RELATED TO NPR 1157 INCORPORATION, THE PK APPROVAL INTO THE, OUR, OUR PROCESS, UH, NO 48, UM, ALIGNS N OPERATING GUIDES, UM, WITH THE CHANGES IMPLEMENTED BY MPR 1157, UM, AS PARTY KIND OF DISCUSSED WITH SOME OF THE OTHER RELATED REVISION REQUESTS.

SO RWE IS, UH, BRINGING BOTH NUMBER 2 48, FIGURE 1 0 4 IN RIGOR 34.

UM, TO TACK FOR CONSIDERATION, UM, PROCEDURALLY ROS DID REVIEW ALL THESE REVISION REQUESTS AT OUR MARCH MEETING AND VOTED UNANIMOUSLY TO GRANTS URGENT STATUS, INTER DIRECT APPROVAL OF THE THREE REVISION REQUESTS AS SUBMITTED, AND TO FORWARD TOT THE THREE REVIS REQUESTS AND THE RELATED IAS.

THE FOURTH VOTING ITEM, UM, I HAVE FORT TO FOR TAX CONSIDERATION IS THE 2023 RS GOALS.

RS DID REVIEW HAS BEEN REVIEWING ITS GOALS OVER THE PAST COUPLE MONTHS AND APPROVED IT'S 2023 VERSION AT OUR MARCH MEETING.

UM, WE DID MAKE A FEW REVISIONS, BUT NO MAJOR CHANGES.

UM, SOME OF THE HIGHLIGHTS, WE DID REMOVE A GOAL RELATING TO THE SOUTHERN CROSS TRANSMISSION DIRECTIVES BECAUSE THOSE HAVE BEEN COMPLETED AT THIS TIME.

UH, AND WE ALSO UPDATED LANGUAGE IN, UH, GOAL, ONE OF OUR GOALS RELATING TO SUPPORTING WORK ON STATUTORY CHANGES, ORIGINING FROM THE TEXAS LEGISLATURE.

UM, THE PREVIOUS LANGUAGE HAD HAD SAID TO SUPPORT WORK FROM THE 87TH SESSION OF THE TEXAS LEGISLATURE.

AND, UH, WE HAVE, WE UPDATED THAT JUST BECAUSE OF, UM, THE WORK BEING HAPPENING IN THIS NEW SESSION.

UM, SO CLIFF, THOSE ARE THE VOTING ITEMS I'M BRINGING TO, UM, FOR TAX CONSIDERATION.

HAPPY TO TAKE ANY QUESTIONS OR I CAN GO, KEEP GOING THROUGH MY, UH, MY PRESENTATION, HOWEVER YOU'D LIKE TO HANDLE.

THE MINIMUM DELIVERABILITY CRITERIA TO OPERATE AT THEIR FULL RATING.

LET'S PAUSE HERE FOR JUST A SECOND.

ANY COMMENTS OR QUESTIONS FOR CHASE ON THESE RELATED REVISION REQUESTS HERE? ALL RIGHT.

SEEING NOTHING, CHASE, YOU CAN KEEP ROLLING.

GREAT, THANK YOU.

UM, SO, UH, GOT A FEW RECENT RS ACTIONS.

I WANTED TO TALK ABOUT SOME OF THIS.

UM, NUMBER TWO 15 LIMIT USE OF RAMO ACTION SCHEMES.

THIS IS A REVISION REQUEST FILED BY ERCOT.

UH, THIS WAS ORIGINALLY FILED IN JUNE OF 2020, AND HAS BEEN TABLED AT RS FOR DISCUSSION OVER THE PAST FEW YEARS.

I THINK THERE HAS BEEN SOME TIME OF WAITING FOR ADDITIONAL COMMENTS TO ALSO, UH, JUST A LOT OF OTHER, OTHER ITEMS ONGOING THAT, UM, JUST PRIORITIZATION DECISIONS ABOUT WHAT WAS BEING WORKED ON AT ANY GIVEN TIME.

SO THIS HAS BEEN, BEEN TABLED AND HAS GONE THROUGH PERIODS OF DISCUSSION, DEBATE, AND OTHER TIMES OF JUST CONTINUED TABLING WITHOUT DISCUSSION.

UM, NUMBER TWO 15 ALLOWS NEW REMEDIAL ACTION SCHEMES TO BE USED ONLY TO ADDRESS AN ACTUAL OR ANTICIPATED VIOLATION OF TRANSMISSION SECURITY CRITERIA WHEN MARKET TOOLS ARE INSUFFICIENT TO ADDRESS THOSE VIOLATIONS.

UM, ERCOT HAS EXPRESSED THEY ARE CONCERNED WITH POTENTIAL RELIABILITY RISKS THAT MAY RESULT FROM AN INCREASING NUMBER OF RAZZES AND THAT POTENTIAL COMPLEXITY IN HOW RA OPERATIONS IN THIS OPERATIONS MAY IMPACT THE SYSTEM.

UM, I THINK WE ALSO HAVE HEARD A LOT OF STAKEHOLDERS EXPRESS CONCERN WITH REMOVING RAZ AS AN AVAILABLE TOOL, AN AVAILABLE TOOL TO SUPPORT, UM, INTEGRATION OF YOUR NEW RESOURCES THAT ARE AWAITING LONGER TERM TRANSMISSION PROJECTS.

AND THAT ERCOT HAS THE ABILITY TO REJECT PROPOSED RAZZES, UM, AS THEY SEE FIT.

SO THIS, UM, MARCH R OS HAD A, A LONG, LENGTHY DISCUSSION ABOUT NOGA TWO 15 AND SOME OF THOSE, A LOT OF THOSE POINTS WERE MADE ULTIMATELY FOR RS DID VOTE TO RE APP APPROVE, RECOMMEND APPROVAL OF NOGA TWO 15 AS AMENDED BY THE MARCH 1ST, 2023 LCR A COMMENTS.

AND RS DID ALSO MAKE A FEW DESKTOP EDITS.

UM, I THINK THE, THE MAJOR CHANGES THAT WERE MADE TO THE ORIGINAL FI ORIGINALLY FILED REVISION REQUEST, UM, WERE, WERE SOME, WAS SOME LANGUAGE ADDED TO ALLOW THE USE OF A R TO ALLOW GENERATION RESOURCES, UM, THAT ARE AS DESCRIBED IN THE PLANNING GUIDE SECTION RELATED TO

[00:25:01]

AND ALSO A FEW ADDITIONAL CHANGES, UM, CLARIFYING THAT A RA SUBMISSION SHOULD IDENTIFY AN EXIT STRATEGY AND APPROVED TRANSMISSION PROJECT THAT WOULD REPLACE THE RAZ ANSWER, REDUCE THE REVIEW PERIOD FOR RAS FROM FIVE TO THREE YEARS.

SO I WANTED TO GIVE A LITTLE BIT OF BACKGROUND ON THAT REVISION REQUEST, UM, BECAUSE IT HAS BEEN SOME TIME BE SINCE WE HAVE TALKED ABOUT IT AT T.

UM, RS WILL CONSIDER THE IA FOR THE NO AT OUR MEETING NEXT MONTH, AND WE'LL BE BRINGING THAT BACK FOR, UM, TAX CONSIDERATION ONCE RS HAS APPROVED.

UM, THE IA AS FAR AS OTHER ITEMS ON THIS LIST, UM, WON'T GO TOO MUCH INTO DETAIL.

UM, NUMBER 2 46 RS DID RECOMMEND APPROVAL OF THAT.

THAT IS A, I WOULD SAY KIND OF MORE OF A CLARIFICATION ABOUT, UH, RE UH, INTERMITTENT RENEWABLE RESOURCES, UM, THAT ARE NOT ABLE TO PROVIDE REACTIVE POWER WHEN NOT PROVIDING REAL POWER.

THEY DO NOT HAVE TO NOTIFY ERCOT VERBALLY, AND THEY CAN DO SO VIA A REALTIME LIMITED STATUS.

UM, AND THEN NUMBER 2 45, I'M SORRY, NUMBER 2 47 PROPOSES A FEW CHANGES TO THE U FFLS PROGRAM, BUT, UH, THO WE'LL HAVE MORE ON THOSE REVISION REQUESTS ONCE, UM, RS HAS DONE FURTHER REVIEW AND RECOMMEND APPROVAL OF BOTH THE RRR AND THE IA.

UH, AND WE BRING THAT BACK TO TACK FOR A VOTE.

LAST ITEM I'LL MENTION IS, UM, WE DID HAVE A VICE-CHAIR POSITION THAT WAS OPEN AT, UH, THE OPERATIONS WORKING GROUP, AND, UH, WE HAVE ENDORSED TERESA NOYES WITH, WITH L C R A AS THE 2023 O WG VICE CHAIR.

SO THANK YOU TO TERESA FOR STEPPING INTO THAT LEADERSHIP POSITION.

UH, NEXT SLIDE PLEASE.

HERE IS A LIST OF THE ONGOING REVISION REQUEST THAT ARE UNDER RS REVIEW.

AND THIS, THESE SPAN FROM, UM, RS IS RECOMMENDED APPROVAL, AND WE'RE STILL WAITING TO REVIEW THE IA TO, UH, A VERY RECENT PROVISION REQUEST THAT HAS JUST COME TO ROS AND HAVE, WE HAVE JUST RECENTLY TABLED AND DEFERRED TO OTHER WORKING GROUPS.

NEXT SLIDE, PLEASE.

HOLD ON JUST A SECOND.

CHASE, WE'VE GOT A QUESTION FROM SETH.

YEAH, THANK YOU, CLIFF, THIS IS JUST A QUICK ONE ON 10 70.

IS THAT BEING TABLED JUST IN, IN AT ROSS, OR ARE THEY ACTIVELY HAVING DISCUSSIONS ON THAT ONE? YEAH.

HEY, SETH, THAT'S A GREAT QUESTION AND I THINK I SHOULD PROBABLY UPDATE THE SLIDE.

UM, 10 70 RELATES TO, UM, FOR JUST SOME CONTEXT FOR, FOR THOSE WHO MAY HAVE NOT BEEN FOLLOWING THIS REVISION REQUEST CLOSELY.

UM, THERE'S SOME PROPOSED CHANGES RELATING TO THE PLANNING CRITERIA FOR GTC EXIT SOLUTIONS.

AND THIS HAD BEEN CONSIDERED IN, IN A LOT OF DISCUSSION HAPPENED AT O WG AND PWG OVER TIME.

AT SOME POINT, UM, ERCO MADE A RECOMMENDATION TO PAUSE DISCUSSIONS ON THAT BECAUSE OF THE RELATED PUC RULEMAKING ON, UM, YOU KNOW, IMPLEMENTING CHANGES RELATED TO THE SENATE BILL 1281, I BELIEVE.

SO NOW THAT THE COMMISSION HAS APPROVED KIND OF THAT, THAT NEW HAS ISSUED THAT NEW ORDER RELATING TO THE PLANNING CRITERIA CHANGES, ERCOT HAS PROVIDED AN UPDATE THAT THEY'RE, UM, WORKING ON MAKING READY, MAKING CHANGES TO BE, TO INCORPORATE THOSE NEW CRITERIA.

AND SO ROS HAS DEBATED, YOU KNOW, WELL, SHOULD 10 70 MOVE FORWARD, SHOULD IT BE WITHDRAWN, UM, YOU KNOW, THE, THE SPONSOR OF 10 70 EDF HAS, HAS EXPRESSED THAT THEY WOULD LIKE TO SEE A LITTLE BIT MORE DETAILS FROM WHAT ERCOT IS GOING TO PROPOSE AND POTENTIALLY A NEW REVISION REQUEST RELATED TO SOME OF THE PLANNING CRITERIA ISSUES THAT 10 70 HAVE BROUGHT UP INITIALLY.

AND SO I THINK AT THE MOMENT, ROS AND IT'S WORKING GROUPS ARE NOT ACTIVELY DISCUSSING AND DEBATING 10 70, BUT, UM, WE HAD CONSIDERED POTENTIALLY REJECTING IT OR, OR, UM, THE, THE SPONSOR COULD HAVE WITHDRAWN IT.

AT THIS POINT IN TIME, ROS HAS NOT TAKEN ANY ACTIONS AND IT REMAINS TABLED, KIND OF WAITING FOR A LITTLE BIT FURTHER INFORMATION AND DETAILS TO COME OUT FROM ERCOT WORK, UM, THAT MAY RESULT IN SOME NEW REVISION REQUESTS RELATED TO THESE PLANNING CRITERIA CHANGES.

UM, SO I THINK THAT'S STILL, THERE'S STILL MULTIPLE DIFFERENT PATHS ROS COULD POTENTIALLY TAKE SETH, UM, BUT AT THE MOMENT IT IS BEING TABLED, WAITING FOR A LITTLE MORE INFORMATION ABOUT THE WORKER.

SCOTTS DOING.

AND ARE THE S IS THAT, DOES THAT, THAT YOUR QUESTION? YEAH.

I DON'T HAVE, I DON'T HAVE THAT ANSWER, JEFF, DO YOU KNOW? OKAY.

THAT'S VERY HELPFUL.

AND ARE THE, UH, SB ONE 12, WAS IT 1 2 81 OR WHATEVER, IS THAT BEING TAKEN UP AT RPG? IS THAT, DOES ANYONE HAVE THE ANSWER TO THAT QUESTION?

[00:30:02]

WE'LL, WE'LL TRY AND TRACK THAT DOWN AND GET IT BACK.

ANYBODY ON THE PHONE HAVE ANSWER TO THAT QUESTION? ANYBODY FROM PLANNING? I'LL, I'LL TRACK IT DOWN.

YEAH, SO SETH, I'LL TELL YOU THAT OUR, UM, ERCOT STAFF, PLAYING STAFF CAME TO RS, I THINK IN JANUARY AND GAVE A GOOD UPDATE ABOUT KIND OF THE LATEST STATUS AND SOME OF THEIR UPCOMING WORK ON IT.

SO THERE IS A GOOD PRESENTATION SLIDE DECK, I THINK ON THE JANUARY ROS PAGE, IF YOU'RE INTERESTED TO GO LOOK.

UM, I, I'M, YOU KNOW, I THINK THEY MAY, WE, THEY MAY BE PLANNING TO BRING SOME OF THIS DISCUSSION TO PPL WG, BUT I STILL THINK THEY'VE BEEN, UM, DOING SOME PRELIMINARY WORK IN PREPARATION TO MOVE FORWARD ON THAT.

SO I'M NOT SURE HOW MUCH DISCUSSIONS HAVE HAPPENED AT ANY PUBLIC FORMS YET EITHER.

THAT'S, THAT'S GOOD.

NO OTHER QUESTIONS IN THE ROOM, CHASE, YOU'RE WELCOME.

CAN KEEP GOING.

GREAT, THANK YOU.

UM, NEXT SLIDE.

I THINK THAT COMES TO, YEAH, JUST NEXT REGULAR SCHEDULED MEETING IS APRIL 6TH.

SO, UM, THAT CONCLUDES MY UPDATE CLIFF.

UM, HAPPY TO TAKE ANY, ANY QUESTIONS IF THERE ARE ANY.

OKAY, THANK YOU, CHASE.

UH, ANY QUESTIONS? LOOKS LIKE WE'VE GOT, UH, MARK IN THE QUEUE HERE.

JUST ON BACK TO SETH'S QUESTION ABOUT, UH, NPR 10 70 AND THE IMPLEMENTATION OF THE LANGUAGE AND SENATE BILL 1281, I WAS UNDER THE IMPRESSION THAT THAT WAS POSTED FOR TOMORROW'S MEETING OF THE PLANNING WORKING GROUP.

UM, UH, IF, IF THAT'S NOT THE CASE, I'D LIKE TO KNOW THAT IT'S NOT GONNA BE DISCUSSED AT TOMORROW'S PLANNING WORKING GROUP AGAIN.

UM, I, I PRESUME THAT IS GONNA BE DISCUSSED IF IT'S ON, ON THE AGENDA.

I DON'T, UH, I'M, IT DOESN'T APPEAR THAT ANYBODY FROM PLANNING IS ON THE CALL, SO I'M TRYING TO TO TRACK THAT DOWN.

THE AGENDA FOR TOMORROW FOR THE PLANNING WORKING GROUP, UH, HAS AN ITEM IMPLEMENT CHANGES TO PUCT SUBSTANTIVE RULES 25.10.

I THINK THAT'S A MISPRINT.

I THINK THAT'S 25.101.

AND THAT WOULD BE WHERE WE WOULD ADDRESS THIS ISSUE.

I'M PLANNING TO ATTEND TO DISCUSS IT.

THANKS FOR BRINGING THAT UP, MARK.

ANY OTHER QUESTIONS FOR CHASE? SEEING NONE.

MOVING ON TO THE WMS REPORT.

THANKS VERY MUCH, CHASE.

[10. WMS Report (Vote)]

WE'VE GOT ERIC BLAKEY.

GOOD MORNING TACK.

ERIC BLAKEY WITH A PARA ANALYSIS ELECTRIC CO-OP AND, UH, THE, UH, CHAIR OF WMS SUBCOMMITTEE.

WANNA FIRST APOLOGIZE.

I KNOW MY FRIEND CHRISTIE ASHLEY IS LISTENING.

I WANT TO ACKNOWLEDGE THAT OUR SLIDES WERE NOT POSTED UNTIL FIVE MINUTES AGO.

AND SO, UM, I WANNA ACKNOWLEDGE THAT AND JUST, UH, SAY WE HAD A LITTLE TECHNICAL, UH, DIFFICULTY ON THIS END.

BUT, UH, ANYWAY, SLIDES ARE, SHOULD BE OUT THERE NOW.

UM, AS FAR AS, UH, THE OVERVIEW, OUR, OUR MEETING WAS ON MARCH THE FIRST.

SO WE'LL BE TALKING ABOUT, UH, THE DISCUSSION AT THAT, UH, MARCH 1ST WMS MEETING.

UH, WE HAVE SOME VOTING ITEMS THAT ARE SIMILAR TO THOSE ALREADY APPROVED, UH, HERE TODAY.

UH, WE'LL DISCUSS THE REVISION REQUESTS THAT ARE UNDER REVIEW.

UH, WE HAVE THE ERCOT OPERATION ITEM, THE, UH, CARL RACE REPORT.

I'LL, I'LL MENTION THAT.

AND THEN SOME WMS ADMINISTRATIVE ITEMS. FIRST, THE, UH, THE, UH, REVISION REQUEST THAT ARE RELATED TO NPR 1157 INCORPORATION OF PUC APPROVAL INTO REVISION RE REQUEST PROCESS, UH, C O P G, UH, 0 4 9 SM O G 26 AND V C M 36.

THESE ARE ALL SIMILAR TO THOSE THAT YOU'VE ALREADY APPROVED.

UM, BUT I WANT TO PUT THESE BEFORE YOU FOR, UH, POSSIBLE INCLUSION ON THE CONSENT AGENDA.

ANY COMMENTS OR QUESTIONS ON THESE THREE REVISION REQUESTS? OKAY, HEARING NONE, WE'LL GO AHEAD AND PLACE THOSE ON THE COMBO BALLOT AS WELL.

ALL RIGHT, THANKS, ERIC.

UH, AND CLARIFYING LANGUAGE THAT WOULD DESCRIBE THE COOPERATING CONDITIONS UNDER WHICH ERCOT OPERATIONS WOULD AUTHORIZE ESRS TO CHARGE THEIR RESOURCES DURING AN EEA LEVEL THREE.

THESE ARE THE REVISION REQUESTS, UH, THAT WE HAVE TABLED AT, UM, AT, AT THE MOMENT.

UH, WE HAD A, A BRIEF DISCUSSION ON A COUPLE OF THESE.

UH, THE STEEL MILLS HAD FILED SOME COMMENTS AND NPR 1143,

[00:35:02]

AND ERCOT EXPRESSED, UH, APPRECIATION FOR THOSE COMMENTS AND, AND SEEMED, UH, INTERESTED IN DISCUSSING, UH, THOSE FURTHER.

SO I WE'RE HOPEFUL TO SEE SOME, SOME, UH, MOVEMENT ON THAT ISSUE.

AND THEN LUMINANT MENTIONED, UH, SOME UPDATES ON V CMR 33 AND 30 34, AND THAT THEY HAVE HIRED OUTSIDE COUNCIL TO, TO REVIEW AND GET WITH THE IMM AND ERCOT AS FAR AS THE, UH, THE OPERATION AND MARKET ITEMS. WE HAD A REPORT FROM CARL RA, AS, AS Y'ALL MAY RECALL, LAST TAG MEETING.

THERE WAS SOME DISCUSSION ABOUT THE DEMAND RESPONSE REPORT AND A, A REQUEST THAT HE, THAT HE PRESENT THAT TO WMS. AND SO HE DID THAT, AND IT WAS A VERY GOOD DISCUSSION.

UM, COUPLE OF THINGS THAT I WANNA CLARIFY THAT CAME OUT OF THIS MEETING WAS, UH, UH, SOME STATEMENTS ABOUT REP PARTICIPATION.

AND HE SAID THAT REP PARTICIPATION, UH, IS REQUIRED, BUT IT'S BASED ON THEIR PREVIOUS YEAR'S SUMMER WEEKDAY CONSUMPTION.

AND THAT 104 REPS WERE SURVEYED, AND A HUNDRED PERCENT RESPONDED.

72 REPS, UH, REPORTED, UH, DEMAND RESPONSE PARTICIPATION.

AND THEN AS FAR AS NOE'S, PARTICIPATION IN THE SURVEY IS ALSO REQUIRED BASED ON THE SUMMER YEAR, UH, PREVIOUS SUMMER YEARS, NON-CONSISTENT PEAK 46 NOE'S WERE SURVEYED, AND A HUNDRED PERCENT RESPONDED WITH 24 REPORTING DEMAND RESPONSE PARTICIPATION.

UH, THERE ARE ALSO SOME QUESTIONS ABOUT LARGE FLEXIBLE LOADS, UH, AND SOME, SOME QUESTIONS ABOUT SURVEYING WINTER MONTHS.

AND THOSE ARE ALL THINGS THAT ARE UNDER DISCUSSION AS WELL.

SO IT WAS A VERY GOOD REPORT.

FINALLY, JUST, UH, AN UPDATE ON, UH, SOME ADMINISTRATIVE ITEMS. JIM AND I ARE, UH, JIM, MAINLY IS WORKING ON OUR, UH, GOALS AND, AND OPEN ACTION ITEMS. WE INTEND TO BRING THOSE BEFORE YOU NEXT MONTH.

UH, WE'RE STILL WORKING WITH OUR WORKING GROUPS TO GET THOSE UPDATED.

UH, WE HAD QUITE A LONG LIST OF OPEN ACTION ITEMS, THAT, UH, APPEARED TO BE, UH, SORT OF THERE BECAUSE NO ONE HAD LOOKED AT 'EM IN A WHILE.

SO WE ARE TAKING A FRESH LOOK AT OUR OPEN ACTION ITEMS OR SOME TACK ASSIGNMENTS THAT WE'RE TAKING A FRESH LOOK AT.

UH, WE WANNA BE SURE THAT, THAT WE HAVE OUR LIST, YOU KNOW, AS EFFICIENT AS POSSIBLE, UH, AS WE EXPECT SOME ADDITIONAL WORK THIS YEAR.

UM, AND THEN ON, UH, WORKING GROUP LEADERSHIP, I WANTED TO GIVE YOU AN UPDATE.

UH, THIS IS A LIST OF ALL OF OUR WORKING GROUPS, UH, AND ALL OF OUR CHAIRS AND VICE CHAIRS FOR THE COMING YEAR.

AND I WANNA FIRST SAY THANK YOU TO ALL OF THESE, UH, FOR STEPPING UP.

UH, WE, WE JUST, UH, APPOINTED KEVIN AT OUR LAST WMS MEETING TO BE THE VICE CHAIR OF, OF THE DS WORKING GROUP.

UM, BUT WE ARE JUST VERY THANKFUL TO ALL OF THEM AND, AND FOR THEIR CONTRIBUTION.

BUT I DID WANNA HIGHLIGHT ONE GROUP, YOU SEE, STILL MISSING A CHAIR AND A VICE CHAIR, AND THAT'S THE RESOURCE WORKING GROUP.

UH, THIS IS SOMETHING THAT, THAT I INTEND TO BRING, BRING UP TO OUR NEXT MEETING TO DISCUSS, UH, YOU KNOW, IS THIS ONE OF THOSE GROUPS THAT WE MIGHT WANNA RECOMMEND, UH, YOU KNOW, TABLING FOR A WHILE OR MAYBE MAKING A TASK FORCE.

UM, IT, IT APPEARS THAT THIS GROUP HAS NOT HAD LEADERSHIP IN SOME, SOME TIME, AND I'M ALSO TOLD THERE'S SOME ISSUES THAT HAVE COME UP THAT COULD HAVE GONE TO THIS GROUP, BUT BECAUSE THEY DIDN'T HAVE LEADERSHIP, UH, THEY PASSED AND WENT TO SOMEWHERE ELSE.

SO, I DO THINK THIS IS SOMETHING WE NEED TO TALK ABOUT AS FAR AS EFFICIENCY.

MAYBE IT, WE NEED TO CONTINUE HAVING A PLACEHOLDER LIKE THIS, BUT I DID WANNA RAISE THE ISSUE AS SOMETHING THAT I'D LIKE TO DISCUSS AT THE NEXT WMS. AND IF YOU GUYS HAVE ANY FEEDBACK OR INPUT, I'D BE GLAD TO, TO, TO, UH, INCORPORATE THAT.

I THINK ERIC GOFF RAISED HIS CARD TO VOLUNTEER .

UH, SECOND, WELL, PRACTICALLY, I THINK THIS ISSUE IS GOING TO COME UP BECAUSE THE VC, I CAN'T REMEMBER THE ACRONYM.

VCR, MARS, WHAT WAS IT? VCRS ARE, THERE'S AN IN THERE SOMEWHERE.

IT SEEMS LIKE BRIAN IS AN EXPERT ON THIS, AND HE JUST STEPPED FROM THE OTHER WORKING GROUP DOWN, SO MAYBE HE'D BE A GOOD VOLUNTEER.

UM, BUT I, I THINK PRACTICALLY THOSE ARE GONNA COME UP FOR A DISCUSSION SOON.

UM, I THINK LAST, LAST TIME WE TALKED ABOUT IT, WE TABLED IT BECAUSE VISTA WAS HIRING AS HEAD

[00:40:01]

COUNCIL.

AND SO A TASK FORCE ON THOSE TOPICS MIGHT MAKE SENSE.

AND I THINK I, I TELEGRAPHED AT THE LAST WMS THAT CONSUMERS WERE WORKING ON A RESPONSE TO, TO THAT.

SO, UM, BUT IT DOESN'T HAVE FREQUENT DEBATES, BUT IT MIGHT HAVE, UM, YOU KNOW, A LOT OF DISCUSSION IN THE NEXT FEW MONTHS.

AND SO, UM, HAVING A HOME FOR THAT WILL BE NECESSARY, BUT IT, IT COULD JUST BE IN A TASK FORCE.

UM, OKAY.

THANKS, ERIC.

IAN, UM, ERIC AGREE WITH, UM, WHAT YOU SAID? UM, THE, THE, THE INTERESTING THING WITH, UM, RC W G HAS ALWAYS BEEN, THAT HAS BEEN A VERY SMALL GROUP OF PEOPLE YEAH.

WHO FELT, UM, THAT THEY NEEDED TO PARTICIPATE.

UM, AND THOSE, THAT SMALL GROUP OF PEOPLE, UM, ALSO FELT CONFLICTED TO BE LEADERSHIP IN THAT GROUP.

UM, AND, UH, THE, THE BEATING THAT WAS GIVEN TO A FEW OF THE LEADERSHIP OF THAT GROUP OVER THE YEARS, JUST OVER THE DEBATES THAT WENT ON IN THAT GROUP, I THINK, UM, YOU KNOW, MADE IT A LITTLE DIFFICULT TO GET MORE VOLUNTEERS, UH, TO LEAD THAT GROUP.

BUT I DEFINITELY AGREE, UM, EITHER RESTARTING THE GROUP, UH, WHEN, WHEN WE'RE TIME TO GO OR A TASK FORCE, I THINK WILL BE NEEDED, UM, BECAUSE THESE DO GET INTO VERY IN-DEPTH DEBATES.

UM, SO, UM, SINCE WE'LL BE OPPOSING EACH OTHER IN THIS PENDING DEBATE, IAN, I WONDER IF WE CAN JUST, UM, CO-HOST THE TASK FORCE WITHOUT NECESSARILY CHAIRING IT.

UH, AS LONG AS NEITHER OF US CAN ADVOCATE AS WELL.

HOSTING AND, AND, AND OTHERWISE, BUT I, I THINK WE'LL BE A LOT OF DISCUSSIONS BETWEEN US IN THE FUTURE AND, AND THEY'LL NEED A HOME.

BUT I WOULD HATE TO STICK ANYONE WITH, UM, YOU KNOW, BEING A REFEREE AND OUR, OUR, OUR PENDING DISCUSSION.

NOPE, ABSOLUTELY.

THANKS ERIC.

NOTHING ELSE IN THE QUEUE, SO.

OUR NEXT MEETING IS APRIL 5TH.

YOU'RE ALL WELCOME TO, TO JOIN US AND THANK YOU.

THANK YOU VERY MUCH.

ANY OTHER QUESTIONS FOR ERIC ? YES.

UH, SO THAT CLOSES OUT THAT ITEM.

I DID WANT TO BACK UP.

WE'VE GOT PBU ON THE PHONE TO TALK ABOUT, UH, NPR R 1170, PROBABLY.

CAN YOU GO AHEAD AND PROVIDE US AN UPDATE IF YOU WOULD? HEY, CASE, CAN YOU HEAR ME? YES, SURE CAN.

HANG ON FOR A SECOND.

SO I, I APOLOGIZE.

I WAS IN ANOTHER MEETING.

SO WHAT, WHAT WAS THE QUESTION? I THINK THERE WERE TWO QUESTIONS.

THE FIRST IS, IS P L W G TAKING UP N P R R 10 70 TOMORROW? SO THAT'S THE FIRST QUESTION.

, IT, IT IS THAT, ARE THEY, IT'S APPEARS TO BE ON THE AGENDA, BUT THE CITATION TO THE SUBSTANTIVE RULE SEEMS TO BE AN ERROR.

THIS DISCUSSION ON THE NPR 10 70 MARK, DO YOU WANT TO ASK A FOLLOW UP ON THAT? WELL, I, MY INTEREST IS NOT IN, IN THE NPR R SPECIFICALLY, BUT IT'S IN MAKING SOME PROGRESS ON THE IMPLEMENTATION OF THE COMMISSION RULES IN 25,000 1 0 1 THAT IMPLEMENT SENATE BILL 1281.

SO I, I GUESS, UH, YOU KNOW, THE LAST DISCUSSION WE HAD IS THE, YOU KNOW, THE LAST COMMENTS ON 10 70 WAS ERCOT SAID WITH THE, WITH THE PROPOSED RULE MAKING WITH, UH, SENATOR 81, WE WANTED TO PUT THAT ON HOLD.

UM, SO THE DISCUSSION THAT LAST P L WG, IF I REMEMBER CORRECTLY, IS, YOU KNOW, RIGHT NOW ERCOT IS IN THE PROCESS OF, UM, UM, ADAPTING SOME OF THE RECOMMENDATIONS FROM THE, UH, SB 1281 RULEMAKING FROM THE COMMISSION.

SO AS PART OF THAT, WE ARE IN THE PROCESS OF, UM, HIRING A CONSULTANT TO IDENTIFY SOME OF THE BEST PRACTICES, UH, RELATED TO THE CONGESTION COST TEST THAT THE COMMISSION HAS ASKED OR CUT TO, UH, TO DOUBLE UP BASED ON WHAT WAS IN WHAT WAS APPROVED IN THE RULE.

SO, UM, THE LAST DISCUSSION OF THE P W G, UH, WE SAID WE WOULD WAIT.

UM, RIGHT NOW ERCOT HAS ISSUED AN RFP FOR, FOR HIRING A CONSULTANT, AND WE ARE IN THE PROCESS OF HIRING SOMEBODY TO IDENTIFY THE BEST PRACTICES RELATED TO THE CONGESTION COST TEST.

AND ONCE THAT'S DONE, WE WILL HAVE THE, YOU KNOW, THE NEXT PHASE OF, UM, COMING UP WITH THE RULE OR OF MAKING CHANGES TO THE, TO THE EXISTING IF NEEDED, UM, TO INCORPORATE ANY CHANGES RELATED TO THE CONSUMER BENEFIT TEST.

SO, UM, THAT'S WHERE WE ARE.

SO THE THINKING WAS WHEN WE DO THAT, WE WILL HAVE

[00:45:01]

IT'S, IT'S ESSENTIALLY TWO YEARS SINCE THAT BILL HAS PASSED, AND, AND WE HAVEN'T TAKEN A CRACK AT OUR PROCESSES YET.

AND I HAD ALSO NOTE THERE ARE OTHER PROVISIONS IN THAT BILL, OTHER THAN JUST THE PROVISION TO CHANGE THE ECONOMIC TEST.

AND I'VE BROUGHT THAT UP SEVERAL TIMES IN CONVERSATIONS WITH ERICA STAFF AND AT MEETINGS AND, AND HAD NO RESPONSE ON WHERE THAT'S HEADED.

SO I HOPE I SEE THAT THAT IS POSTED FOR TOMORROW AT THE P L W G, AND I'D LIKE TO, UH, DISCUSS THAT ISSUE THEN, AND I'LL BE, UH, BRINGING IT UP UNDER THAT ITEM IF IT DOESN'T COME UP OTHERWISE.

SO, SO THANKS.

THIS, THIS IS WHAT I WAS LOOKING FOR.

YEAH, WE, WE, YEAH.

WE ARE FINDING GIVE AN UPDATE, UH, THE P W G TOMORROW.

THAT'S CURRENTLY EFFECTIVE.

WE'LL, OKAY.

THE OTHER QUESTION WAS DISCUSSION WAS FROM SETH, AND IT WAS A LITTLE MORE COMPLEX THAN MY MEMORY COULD HANDLE, SO YOU MIGHT WANNA AN ASK THAT ON YOUR OWN.

GO AHEAD, SETH.

YOU GOT EVERYTHING YOU NEED.

YEAH, I WAS JUST WONDERING, UH, WITH THE, UH, IMPLEMENTATION OF, UH, SB 1, 2 81, UH, IF ERCOT HAD A DEFINED PLAN FOR THAT, WHEN THEY WERE GONNA ROLL OUT THE, UM, I THINK IT WAS A CONGESTION TEST, CONGESTION SAVINGS TEST.

SO YOU'RE ASKING ABOUT THE TIMELINE? YEAH.

FOR, FOR RIGHT NOW, WHAT WE HAVE IS WITH THE, WITH THE 1281 IN PLACE, ARE THE RULE MAKING FROM THE PC, WE HAVE REINSTATED BOTH THE, UH, PROTECTION COST AND GENERATOR REVENUE TEST.

RIGHT.

, THIS IS, THIS IS STILL THE OLD TEST FOR THE CONSUMER BENEFIT TEST.

SO WE ARE CURRENTLY, UM, EVALUATING ECONOMIC PROJECTS BASED ON BOTH THE PRODUCTION COST AND GENERATION GENERATION REVENUE PRODUCTION TEST.

RIGHT.

UM, WHAT WE HAVE DONE IS WE HAVE LOOKED, UM, WE HAVE WENT BACK AND, UM, DID SOME ANALYSIS LOOKING AT 2022.

UH, WE ARE IN THE PROCESS OF DOING THAT.

SO LAST YEAR, 2022 RTP, WE DID NOT DO AN ECONOMIC ANALYSIS.

SO WITH THIS, WITH THIS NEW RULE AND EFFECTIVE, UH, WE ARE GOING AND LOOKING BACK AT THE 2022 ANALYSIS AND, UM, ANY, ANY R PPG PROJECTS THAT'S SUBMITTED NOW, UH, ANY ECONOMIC PROJECTS WE DO HAVE THE, WHAT, THE CRITERIA WHICH WE CAN USE, RIGHT.

WITH RESPECT TO THIS NEW ONE OR, OR, OR THE CHANGE, OR THE POTENTIAL CHANGE.

UH, THAT ONE, WE DON'T HAVE A TIMELINE, BUT I THINK WE ARE WORKING ON AN EXPEDITED MANNER.

SO THE FIRST PHASE IS TO HIRE THE CONSULTANTS, AND ONCE WE DO THAT, WE WILL HAVE A CLEAR TIMELINE OF WHAT THE NEXT PHASE WOULD BE.

AND ARE THOSE DISCUSSIONS GONNA CONTINUE IN THE P L W G? UH, YES.

RIGHT NOW THAT'S THE PLAN, YES.

ANY OTHER QUESTIONS FOR PBU? ALL RIGHT.

PROBABLY THANKS FOR JOINING US.

ALL RIGHT, MOVING ON TO AGENDA ITEM NUMBER 11, MARKET CREDIT WORKING GROUP REPORT.

UM, BRENDAN, ARE YOU AVAILABLE, BRENDAN, YOU ON THE PHONE? HOLD ON JUST A SECOND.

WE'RE CHECKING ON HIM.

WE SEE THAT YOU'RE REPLYING, BUT WE, WE DON'T HEAR YOU.

THE COMMENTS THAT, THAT WE RECEIVED.

WE'LL GO AHEAD AND, UH, SKIP THAT ITEM FOR RIGHT NOW.

UH, WE'LL SKIP BOTH ITEM 11, UH, SKIP ITEM 12 FOR RIGHT NOW, CUZ THEY ARE RELATED.

AND WE'LL GO AHEAD AND MOVE ON TO AGENDA ITEM

[13. Phase 2 Bridging Options (Possible Vote)]

13.

SO IT MAY BE A LITTLE BIT BEFORE WE GET BACK TO YOU, BRENDAN.

SO I'M GONNA TALK ABOUT BRIDGING OPTIONS.

SO CANON'S GOT, UH, A SHORT, UH, PRESENTATION AND SOME DISCUSSION HERE.

AND THEN, UH, AFTER THAT, WANT TO TALK ABOUT A PATH FORWARD FOR TAC AT THAT POINT.

YEAH, I MEAN, I, I THINK THE KEY THING I WANTED TO SHARE, AND THIS, THIS IS JUST A SUMMARY OF ALL THE COMMENTS THAT, THAT WE'VE GOTTEN, BUT REALLY WHAT I WANTED TO SHARE WITH EVERYBODY IS THAT WE ARE, UH, CONSUMING

[00:50:01]

UM, WE DON'T HAVE A RECOMMENDATION AT THIS POINT THAT I, I CAN SHARE WITH YOU, BUT I CAN COMMIT TO, IF TAC WANTS TO DO A SPECIAL WORKSHOP OR SOME, SOMETHING ALONG THOSE LINES WHEN I'VE GOT, YOU KNOW, FULL BUY-IN, UH, I, I CAN REPORT THAT, UH, TO TACK, UH, IN, IN HOWEVER, WHATEVER FORM YOU WANT.

BUT AT THIS POINT, I COULDN'T TELL YOU WHAT OUR RECOMMENDATIONS GOING TO BE.

UM, OUR, OUR SENSE IS THAT WE HAVE GIVEN EVERYBODY THE OPPORTUNITY TO WEIGH IN.

WE WILL CONTINUE TO TAKE COMMENTS, UH, LIKE I SAID AT THE, AT THE LAST WORKSHOP.

AND, UM, I CAN, UH, WHEN, WHEN WE'VE ARRIVED AT, UH, A PROPOSAL THAT WE WOULD TAKE TO THE BOARD, I SHOULD SAY IT THAT WAY, REALLY, BECAUSE THE COMMISSION ASKED FOR THE BOARD TO MAKE A RECOMMENDATION, NOT, NOT ERCOT.

UM, THEN THE ERCOT BOARD IS EXPECTING A RECOMMENDATION FROM ERCOT STAFF.

UM, I, I CAN SHARE THAT WITH YOU, BUT WE ARE STILL KIND OF WORKING THROUGH THE COMMENTS AND FINALIZING OUR POSITION.

UM, IF I WERE TO MAKE A SUMMARY OF THE COMMENTS THAT WE'VE GOTTEN SO FAR, THERE IS A, UH, YOU KNOW, UH, SOME KIND OF A CONVERGENCE AROUND, UH, SOME ENHANCEMENTS TO O R D C AND TO DO SOME INDICATIVE PCM VALUE, BUT THE INDICATIVE PCM VALUE ON ITS OWN WOULD NOT BE A BRIDGE SOLUTION.

UM, AND SO WE'RE, WE'RE WEIGHING THAT, UM, AND WE'LL ULTIMATELY, UM, PUT TOGETHER A RECOMMENDATION.

AND I'M HAPPY TO TAKE, I THINK WE HAVE LOTS OF CARDS UP, SO I'M HAPPY TO TAKE AN, HEY, COULD WE HAVE A MOTION TO LIMIT DEBATE, THE TWO HOURS LIMIT DEBATE ? I'M HOPING TO MAKE IT A LOT QUICKER THAN THAT.

SO WE, WE CERTAINLY CAN.

IF, I MEAN, THAT'S CERTAINLY THE WILL OF THE GROUP.

WE CAN CERTAINLY HAVE A LUNCH.

I THINK THAT'S, WE, WE COULD TALK ALL DAY.

WE COULD.

AND SO I THINK IT'D BE GOOD TO HAVE A, YOU KNOW, TWO HOURS IS MORE THAN ENOUGH TIME AND IF WE EXCEED THAT, WE SHOULD STOP.

YEAH, LET ME, LET ME LAY THIS OUT FIRST OF ALL AND THEN WE CAN CIRCLE BACK TO A POTENTIAL MOTION ON THAT, ERIC, IN THAT REGARD.

SO, SO MY THOUGHTS, YOU KNOW, TO ERIC'S POINT, WE'VE GOT A LOT OF GROUND TO COVER IN THAT REGARD.

AND I DON'T KNOW THAT TODAY'S T MEETING WHERE WE'VE ALLOCATED 35 MINUTES IS NECESSARILY GONNA BE ENOUGH TIME FOR US TO FULLY DEVELOP THAT SET OF RECOMMENDATIONS THAT WE'D LIKE TO BRING TO R AND M AND TO THE BOARD.

UM, I DON'T, YOU KNOW, TO KENNAN'S POINT, CERTAINLY, UH, WELCOME ERCOT INPUT IN TERMS OF WHERE THEY'RE GONNA SETTLE IN TERMS OF A RECOMMENDATION, THE ONE THING THAT I GATHERED FROM THE LAST BOARD MEETING WAS THAT, UM, ERCOT, THE ERCOT BOARD IS LOOKING FOR AN INDEPENDENT EVALUATION BY TAG, AN INDEPENDENT SET OF, UH, INPUTS FOR THEM TO CONSIDER AS THEY MAKE THEIR RECOMMENDATION ULTIMATELY TO THE COMMISSION.

AND SO I, I WOULD LIKE US TO CONTINUE TO USE THE WORK THAT'S BEEN DONE BY ERCOT AT THIS POINT ALREADY.

I THINK WHAT I WOULD LIKE TO SEE US DO IS TO HAVE ANOTHER MEETING.

UM, WE'VE SET OUT A FEW DATES TO POTENTIALLY LOOK AT, UH, FIRST ONE BEING WEDNESDAY, MARCH 29TH, SECOND ONE BEING FRIDAY, MARCH 31ST, AND THE THIRD ONE BEING MONDAY APRIL 10TH.

UM, BUT I, I THINK WHAT I'D LIKE TO SEE US DO IS HAVE THOSE DISCUSSIONS, FORMULATE A SET OF RECOMMENDATIONS FOR THE ERCOT BOARD AND FOR THE R AND M AND, UH, FORMULATE PROS AND CONS TO EACH OF THE DIFFERENT OPTIONS THAT, THAT WE'RE PUTTING OUT THERE.

THE ONE THING I LEARNED AS WE WERE DOING THE DEBATES ON NPRS 1120, WHICH WAS THE UNSECURED CREDIT NPR R AND 1145, IF I REMEMBER RIGHT, WHICH ESTABLISHED THE OUTAGE RATIONING PROCESS, UH, WAS THAT THE ERCOT BOARD WAS LOOKING TO US TO NOT NECESSARILY PROVIDE A SINGLE RECOMMENDATION, BUT IN CASES WHERE WE HAD MULTIPLE OPTIONS TO PROVIDE THAT MENU TO THEM AND PROVIDE THE UPDATE AND THE, THE PROS AND CONS TO EACH.

AND SO I THINK WE'VE GOT AN OPPORTUNITY HERE TO DEVELOP THAT TYPE OF RECOMMENDATION TO DEVELOP THAT TYPE OF RECORD AND PROVIDE THAT TO 'EM INDEPENDENT OF WHAT ERCOT STAFF'S GONNA BE PROVIDING AS WELL, SO THAT THEY'VE GOT A FULL RANGE OF INPUTS AND A FULL UNDERSTANDING OF WHERE TAC IS AND WHERE ERCOT STAFF IS IN THAT REGARD.

SO THAT'S MY PROPOSAL AT THIS POINT IN TIME.

UM, IF WE WANT TO ENTERTAIN A MOTION TO LIMIT DEBATE TODAY, THAT'S STILL OKAY, BUT I'M HOPING THAT WE DON'T NEED THAT TIME TODAY THAT WE CAN DEFER THAT, UH, TO ONE OF THOSE OTHER MEETING DAYS.

SO THAT BEING SAID, WE DO HAVE A FULL CUE AT THIS POINT IN TIME, INTERESTED IN HEARING ANY DISCUSSION IN TERMS OF HOW WAS YOUR THIRD DATE? I'M SORRY.

SO WE'VE GOT YOU REPEAT THOSE.

YES, REPEAT THOSE DAYS PLEASE.

WEDNESDAY, MARCH 29TH, FRIDAY, MARCH 31ST, OR MONDAY, APRIL 10TH.

AND IF WE FIND WE NEED MORE THAN ONE MEETING, I'M SURE WE CAN SCHEDULE TWO MEETINGS IF NEED BE.

[00:55:01]

SO 29TH SOUNDS GREAT.

OH, OKAY.

SO INTERESTED IN HEARING ANY THOUGHTS IN TERMS OF A PATH FORWARD? ALSO INTERESTED IN HEARING ANY THOUGHTS IN TERMS OF, UH, WHAT'S ON THE TABLE TODAY? AND SO WE'VE GOT A LONG LIST OF CARDS HERE.

SO WE'LL START WITH BILL, EMILY, CARRIE, BRIAN, IAN, AND THEN MIKE WISE, UH, RE RESPECTFULLY, MR. CHAIR.

EMILY'S CARD WAS UP BEFORE MINE.

SOUNDS GOOD.

SHE'S SEATING TO YOU.

UM, APPRECIATE THOSE COMMENTS.

UM, JUST THOUGHTS ON HOW TAC PRESENTS ITS RECOMMENDATIONS TO THE RMC AND THE BOARD.

UM, I LIKE YOUR THOUGHT CLIFF THAT WE HAVE, UH, RECOMMENDATIONS AND EXPLANATION OF THOSE RECOMMENDATIONS.

ANOTHER THOUGHT THAT OCCURRED TO ME IS, SINCE THERE ISN'T A SINGLE OPTION WHERE THERE'S A UNANIMOUS OPINION OF, UM, STAKEHOLDERS POTENTIALLY WHAT WE COULD ALSO DO IS, UH, ASSIGN A CHAMPION TO PRESENT THE PRO AND THE CON OF EACH OPTION SO THE, THEIR ARMC GETS A FULL EXPLANATION FROM STAKEHOLDERS AS TO, UM, THE MERITS OF EACH OPTION IN THE DOWNSIDE.

AND IF, IF WE'RE LOOKING TO MAKE THIS AS EDUCATIONAL AS POSSIBLE, I MEAN, WE COULD SAY A LOT ABOUT EVERY OPTION.

LIKE FOR INSTANCE, THE CONTRACTS FOR CAPACITY, WHICH IS THE R R, UM, I THINK THERE'S A, THERE'S A LOT TO BE SAID THAT THEY NEED TO UNDERSTAND, UH, ABOUT THAT OPTION.

UM, I THINK YOU'RE SEEING A LOT OF CONSENSUS AROUND, UH, WHY ENHANCING THE RDC CAN CHECK A LOT OF BOXES FOR US FROM AN INTERIM PERSPECTIVE FOR BRIDGE SOLUTION.

BUT THERE'S, IF THIS, WE'RE GONNA USE THIS OPPORTUNITY TO EDUCATE THE RMC AND THE BOARD, THAT'S ANOTHER WAY WE CAN GO IS NOT JUST HERE'S OUR RECOMMENDATION, IT'S ALSO HERE'S A STAKEHOLDER OPINION OF EACH OPTION.

UH, AND HERE'S WHY SOME THINK IT'S A GOOD IDEA, HERE'S WHY SOME DON'T THINK IT'S A GOOD IDEA.

SO I JUST WANNA OFFER THAT FOR CONSIDERATION BY TECH MEMBERS.

I, I APPRECIATE THAT.

WELL, I CAN COORDINATE THAT AND I, AND I LIKE, FRANKLY, I LIKE THAT IDEA.

I CAN COORDINATE THAT WITH THE CHAIR OF RMC AND THE VICE CHAIR OF RMC AND SEE IF WE CAN ACCOMMODATE THAT TYPE OF DISCUSSION.

SO WE'LL, WE'LL FOLLOW UP BETWEEN NOW AND HOPEFULLY OUR NEXT MEETING SO THAT WE CAN, WE CAN HAVE A PATH FORWARD IN THAT REGARD.

EMILY, THANK YOU.

UH, GLAD I LET BILL GO AHEAD OF ME CUZ I'M, I'M REALLY, I THINK IN THE CAMP THAT ERIC IS, I DON'T KNOW THAT THERE'S A LOT OF VALUE TO US DEBATING ONE ANOTHER, LOBBYING ONE ANOTHER BASED ON THE COMMENTS FILED AND THE TWO WORKSHOPS WE'VE BEEN IN.

I THINK PEOPLE HAVE A GOOD IDEA OF THE POSITIONS THAT ARE OUT THERE.

AND SO I AGREE A BETTER USE OF THE TIME IS LIKELY MAKING SURE THAT SOMEONE IS FAITHFULLY REPRESENTING THE PROS AND CONS OF THE OPTIONS.

UM, I THINK THAT'S A GOOD PATH FORWARD AND I APPRECIATE CLIFF, YOU PROPOSING AND CANAN YOU SUPPORTING ADDITIONAL MEETINGS FOR US TO BE ABLE TO SOLIDIFY THAT PRESENTATION TO THE BOARD.

I THINK THAT WILL BE THE BEST USE OF EVERYONE'S TIME.

UM, I DO WANNA KNOW THOUGH, AS WE THINK ABOUT HOW TO USE RESOURCES GOING FORWARD, IF THERE ARE OPTIONS THAT ERCOT WOULD NOT CONSIDER, YOU KNOW, VIABLE OR THAT WE COULD TAKE OFF THE TABLE, UM, SO THAT WE DON'T NEED TO SPEND A LOT OF TIME, UM, DISCUSSING PROS OR CONS OF ANY OF THOSE.

I THINK, UM, FROM OUR PERSPECTIVE, THE CONTRACTS FOR CAPACITY AS A BACKSTOP IS NOT SOMETHING WE WOULD BE WILLING TO ABSOLUTELY SAY NO TO, UM, AND WOULD WANT THAT OPTION AVAILABLE TO US, UH, AS, AS THINGS GO FORWARD.

AND TO ME, THAT THAT'S ONE THAT STANDS OUT WHERE FROM A STAKEHOLDER STANDPOINT, AND I UNDERSTAND WHY, UM, THERE'S NOT MUCH APPETITE FOR THAT, BUT FROM THE, FROM A RELIABILITY STANDPOINT AS A BACKSTOP, UM, THERE'S A LOT OF APPEAL TO THE SYSTEM OPERATOR.

SO I I UNDERSTAND THAT DI DICHOTOMY, THAT'S THE ONE THAT STANDS OUT TO ME AS ONE THAT WE WOULD, YOU KNOW, POTENTIALLY ALWAYS CONSIDER EXERCISING PROTOCOLS ALREADY ALLOW US TO DO THAT.

IN ALL THE PRESENTATIONS, BUT, UM, THE, THE MAIN THING FOR US IS TO POSSIBLY CONTEMPLATE A LONGER TIME HORIZON THAN I BELIEVE THE ONE OR TWO SEASONS THAT ARE CONTEMPLATED IN THE PROTOCOLS.

IF I COULD COULD GET A CLARIFICATION ON THAT.

IT IS, IS IT THE CASE, RIGHT, THAT YOU DON'T NEED THAT ON THE LIST HERE, RIGHT? BECAUSE THE PROTOCOLS ALLOW IT AND YOU DON'T NEED ANY CHANGES TO THE PROTOCOLS TO CONTINUE TO HAVE THAT OPTION FOR SYSTEM OPERATIONS PURPOSES.

I GUESS MAYBE THE CLARIFICATION WE MIGHT ALL BE SEEKING IS HOW ERCOT WOULD UTILIZE THAT AS A BRIDGING SOLUTION DIFFERENTLY FROM HOW THEY UTILIZE RMR TODAY.

AND I THINK THAT'S SOMETHING THAT DIDN'T REALLY GET FULLY TEASED OUT IN OUR LAST DISCUSSIONS.

WHAT CHANGES WOULD ERCOT PROPOSE HERE? SO I THINK THE ONLY THING THAT WE'VE, AND AND WE'VE DISCUSSED THIS I THINK

[01:00:01]

UM, I THINK THAT IS THE ONE THING WE HAVE COME ACROSS THAT MIGHT NEED TO BE CHANGED.

AND JUST TO CLARIFY, THAT'S SOMETHING ERCOT COULD BRING IT IN PR R TODAY REGARDLESS OF WHAT THE COMMISSION OR THE BOARD SUGGESTS IN TERMS OF A BRIDGING SOLUTION? A ABSOLUTELY.

I THINK THAT WOULD BE HELPFUL INFORMATION TO COLOR THAT WHEN IT'S PRESENTED TO THE R AND M COMMITTEE, THAT THERE'S A, A SEPARATE OPERATIONAL OPPORTUNITY ADVANTAGE FROM ERCOT PERSPECTIVE ASSOCIATED WITH THAT, THAT'S REALLY SEPARATE AND APART FROM THE BRIDGING SOLUTIONS.

Y YES.

AND, UM, I, I, I UNDERSTAND YOUR POINT AND, AND WE CAN EMPHASIZE THAT THAT WAS ACTUALLY THE WAY THE PRESENTATION WAS ORGANIZED.

IT WAS THIS ITEM WAS IN A CATEGORY WHERE IT DOESN'T, DOESN'T SOLVE ALL THE PROBLEMS KIND OF THING AS A BRIDGE SOLUTION.

AND, AND WE CAN EMPHASIZE THAT AGAIN AND HIGHLIGHT WHAT WE MIGHT WANT TO CHANGE IN THE FUTURE.

AND THAT, AND THAT WE CAN DO THAT ON OUR, YOU KNOW, ON OUR OWN INITIATIVE TO YOUR POINT.

ALL RIGHT, CARRIE, HERE NEXT, UH, QUESTION FOR CANAN.

UH, HOW SPECIFIC DOES ERCOT TEND TO BE IN ITS RECOMMENDATION TO THE BOARD SPECIFICALLY FOR THE, LIKE THE O RDC OPTION? WILL YOU JUST BE RECOMMENDING IT AS A CONCEPT IF YOU WERE TO GO TO THAT ROUTE? OR WOULD YOU BE RECOMMENDING SPECIFIC LEVEL, LIKE WHAT THE ACTUAL FLOOR WOULD BE? AT WHAT RESERVE LEVEL? UH, I WOULD LIKE TO GET TO A POINT WHERE, UM, THE RECOMMENDATION OF THE EXACT CHANGES TO THE O R D C OKAY.

ARE SHARED WITH THE BOARD.

UM, JUST LIKE WE DID, I BELIEVE IN THE FIRST WORKSHOP WHERE WE EXPRESSED THE PREFERENCE MM-HMM.

UM, BUT I, IT'S HARD FOR ME TO PROMISE THAT BECAUSE, UH, I WE'RE STILL VETTING THE ISSUE, BUT THAT WOULD BE THE GOAL.

IS A RISK THAT A DECISION COULD BE MADE WITHOUT YOUR INPUT.

BRIAN SAMSON.

HEY, GOOD MORNING.

UM, I JUST WANTED TO RECONCILE KIND OF WHAT I THINK T'S OBLIGATIONS ARE TO THE COMMISSION ALONG WITH THE TIMELINE THAT WE TALKED ABOUT.

SO, UH, AND I ALSO, I REALLY LIKE THE IDEA THAT THAT, UH, BILL AND EMILY SUPPORTED ABOUT HAVING CHAMPIONS FOR INDIVIDUAL IDEAS.

UM, SO THE TIMELINE THAT I HAVE IN MY HEAD IS, UH, WE HAVE A COUPLE MEETINGS OR, OR A MEETING, UM, AND THEN YOU'VE GOT YOUR RMC MEETING ON THE APRIL, UM, 16TH AND 17TH.

IS THAT RIGHT? UH, THAT SOUNDS RIGHT.

AND THEN I, I VAGUELY RECALL, UH, CHRISTIE HOBBS, OR MAYBE IT WAS CHAD COMMITTING TO SENDING A MEMO TO THE COMMISSIONERS, UM, ON APRIL 20TH AND THEN FOR THE COMMISSION TO TAKE THIS UP ON APRIL 27TH.

UM, AND THEN THERE'S A ATTACK MEETING IN BETWEEN ON THE 25TH.

SO I'M JUST TRYING TO UNDERSTAND HOW ALL OF THIS FITS TOGETHER IN TERMS OF, UM, ATTACK ENDORSEMENT, IF THERE IS ATTACK ENDORSEMENT.

SOUNDS LIKE MAYBE WE'RE HEADED TO A PATH TO NOT HAVE ATTACK ENDORSEMENT OF ANY CONCEPT.

JUST CHAMPIONS.

LET, YEAH, LET ME, UM, LET ME SEE IF I CAN WALK YOU THROUGH WHAT I, WHAT I'M THINKING.

AND I THINK IT DOES ALIGN WITH WHAT, WHAT BILL SAID, BUT THE, UM, I, I DON'T, I, I AGREE WITH ALL OF THE STATEMENTS THAT YOU ATTRIBUTED TO ERCOT NOW THAT IN NO WAY TIES THE COMMISSION'S HANDS AND I OF DIDN'T WANT TO SAY THEY'RE GONNA VOTE ON IT ON THE 27TH OR, OR NOT, RIGHT.

UM, SO TO ME, WHAT IS DRIVING THE IMMEDIATE NEED IS FOR THE BOARD AND THE RMM R AND M COMMITTEE IN PARTICULAR TO CONSIDER, UM, ALL THE VIEWPOINTS.

UM, SO THAT FOR ME IS WHAT'S DRIVING THE, THE, THE FIRST LAYER.

UM, AND THERE COULD BE A LOT OF DIFFERENT OUTCOMES FROM THE BOARD, UM, INCLUDING MAYBE WANTING MORE TIME.

I'M ALSO NOT, UH, ENTRUSTED TO TIE THE BOARD'S HANDS.

UM, BUT THE COMMISSION DID WANT SOMETHING FROM THE BOARD ON, ON THE 17TH NOW, UH, 17TH OR 18TH.

SO THE TWO DAYS OF THE BOARD MEETINGS ARE THE 17TH AND, AND 18TH.

UM, SO I THINK TAX FIRST WINDOW OF OPPORTUNITY TO SHARE ITS PERSPECTIVE IS THIS UPCOMING BOARD MEETING.

AND IF TAC WERE SILENT, I, THERE

[01:05:01]

SO I THINK THAT HAS TO BE THE FIRST GOAL.

UM, I KNOW THERE IS OTHER T MEETINGS AND YOU ARE ABSOLUTELY FREE TO REACT TO WHATEVER HAPPENS, UH, AT, AT THE BOARD MEETING.

UM, SO I, I WOULDN'T TAKE THAT O THAT OFF THE TABLE, BUT I DON'T WANT TO, UM, I DON'T WANT THE BOARD TO MISS OUT ON THE OPPORTUNITY TO GET STAKEHOLDER FEEDBACK.

TO ME, THAT ENDS UP BEING REALLY IMPORTANT.

I, I, I APPRECIATE THAT, AND I, I, UM, WANT THAT TO HAPPEN.

AND I GUESS TO THAT END, I'D SUPPORT HAVING A WORKSHOP SOONER RATHER THAN LATER IN THE SCHEDULE YOU OUTLINED.

THANK YOU SO MUCH.

UM, I DID HAVE A COUPLE ADDITIONAL THOUGHTS, BUT I'LL TAG THOSE ON AT THE END.

SO, IAN, UH, FOLLOWED BY MIKE WISE.

I WAS JUST GOING TO, UM, THANK YOU GUYS FOR PROVIDING THOSE DATES, UM, AND MAKING ERCOT, UM, AVAILABLE FOR THOSE.

I DO THINK THIS IS A VERY IMPORTANT ISSUE, AND LIKE BRIAN SAID, I DO, I WOULD LIKE TO SEE THAT MEETING SOONER THAN LATER.

UM, IN CASE THE SECOND MEETING IS NEEDED, I WOULD MUCH RATHER, UM, I WOULD MUCH RATHER, UH, HAVE THAT OPPORTUNITY TO CLARIFY, UH, TAX POSITIONS TO CLARIFY HOW TAC WISHES TO PRESENT TO, UH, THE RMC.

SO THAT WAS JUST MY ONLY THOUGHTS, AND THANK YOU VERY MUCH AGAIN FOR BEING AVAILABLE.

HERE'S WHY I CAME TO THIS CONCLUSION.

THANKS, IAN.

MIKE WISE? YEAH, I, I CONCUR WITH, UH, IAN'S COMMENTS.

I THINK THAT'S REALLY GOOD IDEA.

NOW, MIND A REAL QUICK QUESTION MORE THAN ANYTHING ELSE, UH, KENAN, I MAY HAVE MISSED IT, BUT, UH, IS ERCOT STAFF, UH, YOUR FOLKS, ARE YOU GONNA HAVE A RECOMMENDATION FOR US PRIOR TO US MEETING IN OUR WORKSHOPS THAT WE'RE TALKING ABOUT? WERE, ARE ARE ADDITIONAL T MEETINGS THAT WE'RE TALKING ABOUT HERE WITH, UH, WITH CLIFF? TH THAT IS MY GOAL.

WE, WE WOULD LIKE TO SHARE, RIGHT? HERE'S WHAT OUR RECOMMENDATION IS.

UM, THE TIMING OF THAT IS KIND OF DEPENDENT ON GETTING A CONSENSUS POSITION ALSO WITHIN ERCOT, AND WE'RE WORKING ON THAT.

SO HOW THAT LINES UP WITH THE WORKSHOPS ARE, UH, ARE SOMETHING WE'RE TRYING TO WORK THROUGH.

I WOULD JUST SAY THAT I DON'T SEE THEIR, I MEAN, IF WE CAN BE ALIGNED, UM, I THINK THAT WOULD BE FANTASTIC.

BUT JUST LOOKING AT THESE NUMBERS, I'M NOT SURE WE'RE GOING TO BE E E EXACTLY.

ALIGNED.

I THINK, UH, WAS IT BILL'S OBSERVATION THAT WE PROBABLY ARE GONNA HAVE FROM THE TAC PERSPECTIVE, TWO OR THREE OPTIONS THAT PARTIES ATTAC WANT THE, THE BOARD TO CONSIDER.

AND THEN THERE WILL BE PROBAB.

AND, AND ONE OF THOSE MIGHT ALIGN WITH ERCOT STAFF RECOMMENDATION, UH, OR MAYBE TWO OF THEM DO, OR SOMETHING LIKE THAT.

BUT I SEE OUR RECOMMENDATION BEING OUT THERE AT AS A STANDALONE AND THERE BEING, UH, ATTACK, UH, POSITION OR POSITIONS THAT, UH, Y'ALL WANT TO SHARE WITH THE BOARD TO INFORM THEIR ULTIMATE DECISION.

KENAN, WHAT, TO WHAT EXTENT WILL OUR ADDITIONAL TECH MEETINGS, WORKSHOPS, WHATEVER WE'RE CALLING IT, INFLUENCE YOUR STAFF? WILL IT HAVE ANY INFLUENCE AT ALL? I BELIEVE SO, SO, UH, AS ALWAYS, UM, THE FEEDBACK WE'VE GOTTEN HAS BEEN EXTREMELY VALUABLE.

I DON'T SEE THAT STOPPING AS WE TALK THROUGH THIS.

UM, SO, UH, IT, IT, IT DOES, BUT WE ALSO HAVE TO COME TO A RECOMMENDATION.

SO AT SOME POINT WE MIGHT BE A LITTLE BIT MORE SET.

BUT MY EXPECTATION IS THAT ALL THE WAY UP UNTIL THE, THE BOARD MEETING, WE WOULD CONTEMPLATE EVERY INPUT THAT THE STAKEHOLDERS, AND I DO MEAN THE BROAD SET OF STAKEHOLDERS WERE TO OFFER, UH, OFFER TO US.

I THINK THE PRIMARY THINGS, AND THIS GOT HIGHLIGHTED, THIS WAS HIGHLIGHTED IN THE WORKSHOP, UM, YOU KNOW, UH, I, WE ARE INTERPRETING WHAT THE COMMISSION ASKED FOR FROM THE BOARD.

AND I THINK THAT INTERPRETATION IS, HAS SOME BANDWIDTH AROUND IT THAT, YOU KNOW, YOU MIGHT NOT SEE EYE TO EYE WITH MY EXACT, UH, INTERPRETATION OF, OF THAT.

AND THAT MIGHT LEAD US TO DIFFERENT CONCLUSIONS.

AND I THINK ULTIMATELY THAT'S FAIR.

UH, ULTIMATELY IT'S THE COMMISSION'S DECISION, UH, TO MAKE, UH, SO, YOU KNOW, I, I MIGHT NEED TO REALLY EFFECTIVELY COMMUNICATE THIS IS WHAT MY EMPHASIS WAS, AND

[01:10:01]

AND JUST AS AN EXAMPLE, YOU MIGHT SAY, LOOK, I, I THINK THIS IS MORE IMPORTANT AND THIS IS WHY I'M CONCLUDING THIS WAY, OR TACK IS CONCLUDING, UH, THIS WAY.

AND THE BOARD NEEDS TO HEAR THAT THERE NEEDS TO BE, OR PROBABLY A RECORD OF THAT.

AND I'M SURE THE COMMISSION WANTS TO CONTEMPLATE THAT FEEDBACK AS WELL.

WITH THAT SAID, WHICH IS WELL SAID, BY THE WAY, UH, IS IT POSSIBLE THAT, UH, ERCOT STAFF COULD HAVE A DRAFT STRAWMAN, UH, THAT'S YOU'RE NOT SOLID SOLIDLY BEHIND, BUT YOU'RE THROWING IT OUT THERE FOR A, A POSITION, UH, PRIOR TO OUR NEXT, YOU KNOW, UH, SPECIAL T MEETING, WHAT'S THAT FIRST ONE? IS IT THE 28TH? SO MARCH 29TH, WHICH WILL BE A WEEK FROM TOMORROW.

UM, AND JUST TO CLARIFY, I THINK WHAT WILL, WE'LL DEFINITELY CALL 'EM TACK MEETINGS IN THAT REGARD SO THAT WE PRESERVE OUR RIGHT TO VOTE, AND WE MAY JUST GO AHEAD AND BOOK ALL THREE OF THOSE DAYS AND JUST CANCEL WHAT WE DON'T NEED IF NECESSARY.

SO I WILL WORK ON HAVING A STRAW MAN OR SOMETHING STRONGER BY THAT DATE.

AS EVERYBODY IN THE ROOM'S AWARE, THERE'S LOTS OF DYNAMICS THAT ARE OUTSIDE ERCOT AND THIS ROOM THAT, THAT ARE ALSO FACTORS THAT LEAD TO ERCOT, UH, ANALYSIS AS WELL AS AS YOURS.

UM, SO, UH, THO THOSE ARE SOME OF THE DYNAMICS THAT WE HAVE TO WRESTLE WITH.

SO, UH, YEAH, UH, I THINK WE WOULD LIKE TO HAVE SOMETHING, UH, THAT WE SHARE WITH YOU THAT MIGHT BE OUR CURRENT PREFERENCE OR, OR SOMETHING LIKE THAT.

UH, BUT I WOULD LIKE TO LEAVE US SOME, UH, FLEXIBILITY AS, AS CONDITIONS CHANGE, UM, TO MAKE SURE I'M NOT IN ANY WAY, UH, UH, YOU KNOW, IF THE LEGISLATURE WERE TO PASS SOMETHING OR, OR SOME OTHER, UH, PREFERENCE WAS EXPRESSED THAT I WAS NOT ON THE WRONG SIDE OF THAT.

YEAH, I AGREE WITH YOU THERE PERSONALLY.

UH, UH, WE'RE NOT TRYING TO LOCK YOU DOWN, AND I THINK, UH, THIS IS A VERY FLUID ENVIRONMENT, BUT, UH, HAVING SOME DIRECTION FROM WHERE YOU GUYS ARE SITTING IS AN INDEPENDENT AUTHORITY, UH, I THINK WOULD BE VERY HELPFUL TO OUR DISCUSSIONS.

AND, UH, SO I THANK YOU FOR THE DIALOGUE.

THANKS, KEN.

THANKS, MIKE.

WE'VE GOT KEVIN HANSEN FOLLOWED BY IAN HALEY.

YEAH, I WAS JUST CURIOUS.

UM, WE'VE BEEN THINKING ABOUT OTHER POSSIBILITIES FOR THIS, THESE CONCEPTS, AND DO WE WANNA DISCUSS THOSE TODAY? I WANNA WAIT, OR DO WE WANNA WAIT TILL THE WORKSHOP HAS ITS DISCUSSIONS? WE CAN, IF, IF THERE ARE NOVEL CONCEPTS, I MEAN, WE CAN THROW 'EM OUT THERE SO FOLKS CAN START THINKING ABOUT 'EM.

I'D PROBABLY PREFER WE LIMIT THE DEBATE ON THOSE SURE.

TODAY, AS FAR AS THAT'S CONCERNED.

SO, UM, SO IT'S, IT'S YOUR PREFERENCE IF YOU WANT TO THROW IT OUT THERE NOW, OR IF YOU WANT.

UM, SO WE WERE CONSIDERING, THE BIG ISSUE WE HEARD FROM, FROM THE COMMISSION IS THE CONCERN OF HAVING, UM, SUFFICIENT, UH, SIGNALS FOR GETTING NEW CAPACITY BUILT INTO THE MARKET.

AND THE CONCEPT IS AROUND, UH, MAKING SURE THE MARKET CLEARS AT CONE EVERY YEAR WITH THE IDEA BEING, UM, THE CONE VALUE BEING DETERMINED PRIOR TO, PRIOR TO THE YEAR STARTING.

UM, AND THEN THE PEAKER NET MARGIN, WHICH IS CALCULATED EVERY YEAR, UH, WHICH CALCULATED BY THE IM METHODOLOGY, IS SOLVER CONE AFTER EACH YEAR.

SO FOR SHORT OR LONG, IT'S IDENTIFIED AS SUCH.

UM, SO DURING URI TYPE OF YEARS, THERE'D BE CLAWBACKS OF MONEY.

DID WE BEGIN GET TO CONE IN ANOTHER YEARS, FOR INSTANCE, THE YEARS WE SAW FROM 2013 TO 2018 TO READ PAYOUTS, AURS TO FUND IT AND OTHER CONCEPT THERE IN ORDER TO DEAL WITH ROCK ISSUES REQUIRING ALL THIS GENERATION PARTICIPATING IN THE DAY AHEAD MARKET.

AND THAT'S THE BASICS OF IT.

WE, WE CAN CERTAINLY HAVE DISCUSSION ON THAT.

UM, I THINK THERE'S MERITS TO IT.

KEVIN.

MY ONLY CONCERN IS THAT THAT'S NOT NECESSARILY A BRIDGE OPTION IN THAT REGARD, BUT WHETHER WE WOULD GET THERE, UM, BUT LET'S, LET'S NOT DEBATE THAT TOO MUCH TODAY, BUT LET'S CERTAINLY MAKE IT A TOPIC OF DISCUSSION.

IF YOU CAN PRESENT ON IT NEXT WEEK, THEN ABSOLUTELY.

UH, I'M HAPPY TO, UH, TAKE THAT HOMEWORK ASSIGNMENT AND, UH, PROVIDE YOU THE INFORMATION THAT YOU'RE ASKING FOR.

ALL RIGHT, IAN, THANK YOU, CLIFF.

UM, I JUST WANTED TO VOICE SUPPORT FOR BOOKING ALL THREE TACT MEETINGS.

UM, AND ALSO I WOULD, UH, WELCOME ERCOT AT THAT FIRST MEETING IF IT WAS NEEDED TO BE MORE OF AN OPEN FORUM TO DISCUSS WHERE ERCOT IS, UH, RATHER THAN HAVING THAT STRAW MAN.

I THINK THAT WOULD BE A GREAT DISCUSSION AS WELL, IF ERCOT, UM, YOU KNOW, HAS SOME QUESTIONS THEY WOULD LIKE TACK TO, TO THINK ON.

SO, UM, APPRECIATE BOTH OF YOUR THOUGHTS ON THIS.

[01:15:02]

YEAH, MY THOUGHT IS, ALRIGHT, MY THOUGHT IS JUST, UM, WHATEVER TACK IN WHATEVER WAY TACK CAN BE MOST HELPFUL TO YOU IN THOSE THREE MEETINGS, PLEASE LET US KNOW AND, AND WE'D BE VERY HELP.

WE'D BE VERY HAPPY TO PROVIDE THAT HELP.

I, I, I THINK YOU ARE ASSIGNING, I MEAN, I THINK BOTH THE COMMISSION AND ERCOT ARE EXTREMELY CONCERNED ABOUT THIS EVENT, BUT I DON'T KNOW IF A BRIDGE SOLUTION ON ITS OWN CAN ENTIRELY SOLVE THAT PROBLEM.

KEVIN, ARE YOU STILL IN THE QUEUE AGAIN OR, OKAY, SOUNDS GOOD.

AND WE, AND, AND I'M, I'M GONNA HAVE TO APOLOGIZE.

I'VE GOT AN L BLOCK IN THE QUEUE AND I DON'T KNOW WHO L BLOCK IS.

HEY, CANON, UM, THIS IS GONNA BE SORT OF AN UNFAIR QUESTION TO YOU, SO I APOLOGIZE, BUT, UM, I DON'T KNOW IF ERCOT HAD AN OPPORTUNITY TO REALLY GET DELVE INTO THE EPAS RECENT ORDER ON INTERSTATE TRANSPORT.

UM, BUT THERE'S SOME PRETTY SIGNIFICANT NOX REDUCTIONS, UM, THAT WILL BE IMPOSED ON TEXAS AND ON EGUS, INCLUDING SOME PRETTY HEFTY PENALTIES FOR INDIVIDUAL UNITS THAT EXCEED SORT OF THE, UM, TARGET, UM, THAT EPA HAS IDENTIFIED.

UM, HAVE Y'ALL HAD AN OPPORTUNITY TO SORT OF PUT THESE RECOMMENDATIONS THROUGH THE LENS OF WHAT THAT MEANS IN TERMS OF WHAT CAN ACTUALLY BE ACHIEVED IN LIGHT OF THAT ORDER? I, I'M GONNA BREAK, UM, YOUR QUESTION DOWN INTO TWO PARTS, IF IS IT OKAY? YEAH.

SORRY, I DIDN'T CHECK.

UM, SO THE FIRST ANSWER IS, WE HAVE BEEN LOOKING AT THAT, UM, THERE ARE LIKELY TO BE SIGNIFICANT RETIREMENTS AS A RESULT OF, OF, OF THE RULE AS, UH, OR AS, UH, COSTS INCREASE FOR PARTICULAR UNITS.

UM, THE SECOND PART OF YOUR QUESTION, I BELIEVE IS, DID WE LOOK AT THAT IN TERMS OF THE BRIDGE SOLUTIONS? AND THE ANSWER IS A, UH, UH, UH, A PARTIAL YES.

SO WE, UM, WHEN YOU LOOK AT THIS CONTRACTS FOR CAPACITY, THAT'S A POTENTIAL BACKSTOP TO, UH, UNITS RETIRING, BUT IT DOESN'T FIX THE ISSUE OF INCENTIVIZING ENOUGH NEW CAPACITY TO COME INTO THE MARKET, UH, WITH THAT GAP.

AND IN THREE YEARS, I DON'T KNOW IF WE WOULD BE ABLE TO FULLY, UH, BRIDGE ANY, ANY LARGE EXIT, UH, FROM, FROM THE MARKET.

SO, UH, UH, THE APPROACH HAS BEEN TO CREATE INCENTIVES TO KEEP RESOURCES IN THE MARKET AND TO ATTRACT NEW RESOURCES.

UH, BUT THAT DOESN'T NECESSARILY GUARANTEE ANYTHING, UH, AS A BRIDGE SOLUTION.

AND REMEMBER, THE BRIDGE SOLUTION ARE THINGS THAT WE CAN DO IN ABOUT EIGHT TO 12 MONTHS, IS, IS THE WAY WE'RE LOOKING AT IT.

SO I THINK THAT ANSWERED BOTH OF YOUR QUEST, BOTH PARTS OF YOUR QUESTION.

I GUESS KENON, WHAT I WAS IT, IT, IT DID, BUT THERE'S STILL LIKE AN IMPORTANT ELEMENT THAT'S STILL UNANSWERED.

UM, THESE NOX REDUCTIONS ARE GOING TO BE GOING INTO EFFECT FOR THE 2023 OZONE SEASON.

SO THIS IS SOMETHING THAT'S GONNA BE HAPPENING IN THE SHORT TERM AS WELL.

AND IF WE'RE DEPENDING ON MORE THERMAL GENERATION, UM, WHICH OF COURSE IS A DIRECTION THAT WE'RE, YOU KNOW, WE'RE GOING IN WITH, HAVE BEEN DIRECTED BY THE P, HOW ARE WE GOING TO ACCOMPLISH THAT WITH THESE, UM, PRETTY ONEROUS NOX REDUCTION REQUIREMENTS? UM, AND AS YOU SAID, SOME PROBABLY ADDITIONAL RETIREMENTS IS, I MEAN, THAT, I THINK THAT'S MORE OF A STATEMENT THAN, THAN A QUESTION.

I MEAN, THE MARKET CONSTRUCT FOR THAT DYNAMIC IS, IS WHAT WE HAVE IN PLACE RIGHT NOW.

SO THE BRIDGE MIGHT, A BRIDGE SOLUTION MIGHT, UH, IMPROVE SOME OF THE PROSPECTS, BUT, UH, A LARGE SCALE RETIREMENT, UH, THAT IS, UH, THE, THERE'S VOLUMETRICALLY VERY HIGH WILL, UH, CREATE AN IMBALANCE AND THEN THE MARKET REACTS TO IT.

[01:20:01]

ANYTHING MORE, LORI? NO, NO, NO.

SETH, YOUR CARD WENT UP AND WENT BACK DOWN.

YOU DOWN.

OKAY, SOUNDS GOOD.

UM, I DID HAVE A COUPLE OF ADDITIONAL THOUGHTS, SO I, I THINK, AGAIN, WE'LL GO AHEAD AND PENCIL IN THOSE THREE MEETINGS FOR RIGHT NOW.

IF WE NEED TO CANCEL, WE'LL GO AHEAD AND CANCEL THOSE.

TO KENNAN'S POINT, I THINK I, I THINK I'D LIKE TO SEE US WORK IN KIND OF, UH, PARALLEL DIRECTIONS OR CONCURRENT DIRECTIONS MAYBE.

UM, SO NOT ONLY WOULD I LIKE, YOU KNOW, I WANNA FOLLOW UP WITH THE CHAIR AND VICE CHAIR OF RMC TO SEE IF WE CAN GET SOME FOLKS UP THERE AS CHAMPIONS FOR SOME OF THESE SPECIFIC ITEMS. BUT I THINK IT WOULD BEHOOVE US TO CANON'S POINT, I THINK IF WE DID HAVE, YOU KNOW, SOME FORM OF ATTACK RECOMMENDATION, UM, YOU KNOW, WHETHER, AND, AND I DON'T KNOW HOW WE GET THERE BECAUSE OBVIOUSLY WE'VE GOT A LOT OF DIVERSITY OF OPINION IF WE LOOK AT THE WAY THAT THIS IS FRAMED UP ON THE SCREEN IN FRONT OF US HERE.

BUT, YOU KNOW, IT MAY BE A MATTER OF RANKED VOTING OR SOMETHING LIKE THAT, THAT'S A LITTLE BIT OUT OF THE ORDINARY AND, AND NOT TRADITIONAL IN TERMS OF THE WAY THAT TAC LOOKS AT THIS.

AND SO, YOU KNOW, I WANT YOU TO BE THINKING ABOUT THAT AS WE APPROACH THE NEXT MEETING AS WELL, SO THAT WE FULLY UNDERSTAND HOW WE CAN ARRIVE AT A POINT WHERE WE CAN PROVIDE, UM, OBVIOUSLY I'D BE HIGHLY DOUBTFUL THAT WE GOT TO A UNANIMOUS OPINION, BUT AT LEAST SOMETHING THAT WE FELT AS A BODY WE COULD RE RECOMMEND TO RMC AND TO THE BOARD IN THAT REGARD.

SO BE THINKING ABOUT THAT AS WE APPROACH OUR MEETING, OUR FIRST MEETING NEXT WEDNESDAY.

UM, AND I SEE CARRIE OVER HERE.

IF THERE ARE ADDITIONAL COMMENTS FILED, LET'S SAY KEVIN HAS AN IDEA AND WANTS TO FILE COMMENTS OR, UM, PEOPLE WANT TO FILE COMMENTS ON THE COMMENTS THAT WERE PUT IN THE LAST WORKSHOP BECAUSE THERE WERE SOME NEW IDEAS THERE, UM, SOUNDS LIKE THAT'S OPEN TO EVERYBODY.

WHERE WILL THOSE BE POSTED AND HOW CAN WE SEE THEM? UH, SO, UH, WE'D LIKE THAT COMMENT FORM TO BE USED FOR THAT, AND WE WILL TRY AND PROCESS THAT AS, AS QUICKLY AS WE CAN.

AND, UH, SO THAT, AND, AND THAT WOULD GO INTO THE, THE PAGE THAT WE'VE CREATED FOR, UH, THIS ISSUE.

SO THAT WOULD BE, UH, A REPOSITORY FOR THAT.

I GUESS.

I'M NOT SURE WE WOULD COMPILE THAT INTO THIS CATEGORY OR NOT.

THAT'S TAKING UP QUITE A BIT OF TIME.

UH, BUT I'M GONNA GO, I'M GONNA TALK TO DAVE AFTERWARDS AND SEE WHAT WE, WE CAN AND CAN'T DO ON THAT FRONT.

UM, AND I DO, I SHOULD SAY THIS, SO I, I WENT BACK AND CHECKED, BUT, UH, KEVIN'S, UH, CONCEPT IS NOT SOMETHING THAT'S BEEN FILED WITH US, SO I DON'T HAVE AN IDEA ON, ON HOW TO EXECUTE OR, UH, THE NUTS AND BOLTS OF IT.

THAT DOES NOT MEAN THAT WE SHOULDN'T OR WOULDN'T CONSIDER IT, JUST HAVEN'T HAD THE OPPORTUNITY TO CONSIDER IT UP UNTIL NOW.

SO PERHAPS IF YOU GET ADDITIONAL COMMENTS, THEY COULD BE POSTED ON THIS TAC MEETING PAGE FOR THE NEXT MEETING WOULD SO THAT EVERYBODY CAN SEE THEM.

IS IS THAT THE PREFERENCE? I MEAN, WE HAVE A, THAT'S WHAT I ASKED HIM FOR.

LIKE TO COMMENT UPON THOSE COMMENTS.

I'M SORRY, I DIDN'T UNDERSTAND THAT THAT WAS THE ASK, SO WE CAN PUT IT ON THE TACK PAGE.

UM, BUT IT, THERE EXISTS A PAGE THAT IS TRACKING THIS ISSUE ON ITS OWN.

OH.

WHERE IS THAT? OR WE, WE'VE PRIMARILY BEEN USING, THIS IS DAY MODULE WITH ERCOT.

WE'VE PRIMARILY BEEN USING THE WORKSHOP MEETING PAGES FOR CAPTURING ALL THIS.

SO IF YOU GO BACK TO THE MEETING FOR THE 15TH, THAT IS WHERE THE FULL COLLECTION OF COMMENTS ARE.

I, I THINK WE WOULD CONTINUE TO USE THE, SORT OF THE MEETING PAGES WOULD BE OUR PRIMARY WAY FOR MANAGING IT.

I, I GUESS IF, IF FOLKS DID HAVE A QUESTION AROUND THE FORM, REALLY ALL OF THE MATERIALS AT THE TWO WORKSHOP MEETING PAGES, THERE IS THE LINK TO THE FORM INCLUDED, UH, IN THE PRESENTATION, UH, HERE THAT WE'LL HAVE POSTED FOR TACK.

UM, BUT, BUT I, AS OF NOW, MY ASSUMPTION THAT WE'D BE POSTING IT TO THOSE, THOSE MEETING PAGES FOR THE INDIVIDUAL.

UH, SO LET ME, LET ME JUST MAKE SURE, DO YOU WANT SOMETHING JUST SITTING AS A STAND ON THE TACK PAGE? IS, IS THAT THE ASK OR IF WE JUST KEEP POSTING IT TO THE WORKSHOP PAGES, IS THAT SUFFICIENT? I'M FINE WITH THAT.

I JUST DON'T WANT THEM TO GO INTO THE ETHER, OR I UNDERSTAND YOU MIGHT BE CONSIDERING THEM, BUT YOU KNOW, IF THERE'S A NEW PROPOSAL, UM, YOU KNOW, THE WHOLE STAKEHOLDER BODY MIGHT

[01:25:01]

AND SO WE'D LIKE TO HAVE THAT BE TRANSPARENT.

SO CLIFF WAS JUST TELLING ME THAT ALL WE'RE DOING IS POSTING IT TO EACH WORKSHOP PAGE.

SO THERE MAY BE SOMETHING MORE PERMANENT THAT THAT'S NEEDED THAN THAT.

SO, WE'LL, WE'LL WORK ON THAT, I GUESS IS, IS THE SHORT ANSWER.

SO MY PREFERENCE WOULD BE PERSONALLY, IS THAT IF WE HAVE A SINGLE SOLE REPOSITORY PAGE THAT HAS ITEMS FROM EACH, AND THEN WE'RE NOT HAVING TO FIND ERCOT WORKSHOPS, T MEETINGS AND SO FORTH TO TRY TO IDENTIFY ALL THIS.

SO IF THAT'S POSSIBLE, THAT WOULD BE MY PERSONAL PREFERENCE.

I'LL CHECK.

BUT I BELIEVE THAT IS POSSIBLE SINCE IT'S JUST THIS LINK AND THAT COULD EXIST ON THE TAC PAGE OR, OR SOMEWHAT MORE PERMANENT.

FAIR ENOUGH.

UH, BUT I NEED TO DOUBLE CHECK THAT OKAY.

SINCE I'M NOT MANAGING THAT PAGE.

VERY WELL, KEVIN HANSEN.

YEAH, JUST FOR CLARITY, WE'LL HAVE OUR COMMENTS FILED BY END TODAY, TOMORROW, JUST TO, WELL POST IT WHEREVER YOU POST DOWN AS POSTED, SO, OKAY.

THANKS A BUNCH, KEVIN.

THAT'D BE HELPFUL.

ANY OTHER COMMENTS, QUESTIONS, SUGGESTIONS ON THIS PARTICULAR ITEM? Q LOOKS TO BE INPUT.

CLIFF, WOULD YOU RUN DOWN THE DATES AGAIN? IT'S, UH, 29TH, THE FIRST AND, UH, 31ST.

SO REPEATING THOSE DAYS AGAIN, WE'VE GOT WEDNESDAY, MARCH 29TH, FRIDAY, MARCH 31ST, AND THEN MONDAY, APRIL 10TH.

CLIFF, WHAT TIME? YOU'RE BEING DIFFICULT.

SO NO, WE'LL, WE'LL, WE'LL, WE'LL PLAN ON NINE 30.

START AT EIGHT 15.

NO, WE'LL NINE 30.

WE'LL, WE'LL PLAN ON NORMAL START TIME IF THAT, IF THAT'S, IS THAT PM OR AM RICHARD ? YEAH, WE'LL, WE'LL START 29TH, 29TH, 30 30TH, 29TH, 31ST, AND THEN APRIL 10TH, WE'LL PLAN ON STARTING AT NINE 30 EACH MORNING.

MAYBE JUST SEND IT ON THE EXPLODER.

WELL, WE'LL SEND IT OUT ON THE EXPLODER.

SOMETHING TO SUMMARIZE ALL THOSE TOGETHER MAY HELP.

WE WILL SEND THAT OUT ON THE EXPLODER.

NO PROBLEM AT ALL.

ALL RIGHT, SOUNDS GOOD.

SO YOU BACK IN THE QUEUE, KEVIN.

I'M SORRY.

UH, JUST ONE CLARITY THING, UM, KAAN, IF I REMEMBER FROM THE LAST WORKSHOP YOU SAID YOU HAD OF YOUR FINAL, UM, INFORMATION FOR THE BOARD BY THE 1ST OF APRIL, UH, READING WITH THE APRIL 10TH MEETING, OR ARE WE GONNA ALREADY HAVE A DECISION OF WHAT YOU'RE CONSIDERING? SO BY THE, THE 10TH? UH, I BELIEVE YOU SHOULD.

IT'S JUST MAKING THE 29TH AND SOME OF THOSE OTHER DATES, UH, WHICH I STILL THINK THERE'S VALUE TO YOU OF AT LEAST SHARING WHAT WE'RE THINKING.

AND, UM, BUT, UH, YEAH, I MEAN THE MATERIALS WILL BE DUE TO THE BOARD AT THAT TIME AND NEEDS TO GO THROUGH A REVIEW.

SO, UH, WE NEED TO BE KIND OF PRETTY FINALIZED BY THEN.

I JUST WONDER ABOUT THE APRIL 10TH DATE.

THAT WAS ALL, THAT WAS ALL THAT WAS CONCERNING THERE.

SO AGAIN, I MEAN, WE, THE MATERIALS HAVE TO BE FINALIZED, BUT THERE COULD BE A GROUNDBREAKING IDEA THAT EVERYBODY LIKES.

AND I WOULDN'T BE SURPRISED IF IT MEETS KIND OF THE CRITERIA FROM OUR PERSPECTIVE THAT THE COMMISSION ASKED FOR THAT WE WOULDN'T PIVOT OFF OF THAT.

SO, UH, BUT, BUT THAT DATE, I HAVE TO HAVE A LOT OF MY DOCUMENTATION READY BY THAT DATE.

WILL GO AHEAD AND CIRCLE BACK TO ITEM NUMBER 11.

ANY OTHER COMMENTS OR QUESTIONS? OKAY, SEEING NONE, HEARING NONE, WE'LL GO AHEAD AND CLOSE OUT THAT ITEM.

I APPRECIATE THE CONVERSATION ON THAT.

UM, AND LOOK FORWARD TO THE MEETINGS NEXT WEEK.

SO WE

[11. Market Credit Working Group (MCWG) Report (Vote)]

BRENDAN, ARE YOU, UH, ABLE TO GET SOME AUDIO? CAN YOU HEAR ME NOW? YES, WE CAN HEAR YOU NOW.

OKAY, GREAT.

UM, YES, THANK YOU FOR, UH, GOING PAST THAT.

MY, UH, PHONE OR MY, UH, COMPUTER MIKE FAILED ME.

UM, BUT, UH, YEAH, WE JUST BASICALLY COMPLETED OUR, UH, REVIEW OF THE, UH, CHARTER FOR THE NEW GROUP, THE, UH, CREDIT FINANCE SUBGROUP.

UH, WE WANTED TO, HEY, THANK YOU ERCOT FOR HELPING US DO THAT.

UM, YES, BRANDON, I THINK YOUR PHONE MAY BE CUTTING IN AND OUT.

SO, , UM, CAN YOU, CAN YOU HEAR ME OKAY? YEAH, WE HEAR YOU.

I DON'T KNOW IF YOU WANNA MOVE CLOSER TO WINDOW OR ANYTHING, BUT

[01:30:01]

UM, YEAH, THE, THE MAIN THING WE DID WAS, UH, COMPLETE THE CHARTER FOR THE CREDIT FINANCE SUBCOMMITTEE.

UH, JUST WANTED TO THANK ERCOT FOR HELPING US OUT WITH THAT.

UH, THAT'S THE HEADLINE ITEM.

UH, I'LL JUST MENTION, UH, THAT WE, UH, HAVE AN, UH, I THINK IT'S MPR 1165 FROM ERCOT FOR INDEPENDENT AMOUNTS.

AND, UH, WE ARE REVIEWING THAT, UH, AND A COUPLE OTHER ITEMS WHERE WE'RE REVIEWING THE, UH, CREDIT OBLIGATIONS, UH, THE COLLATERAL POSTINGS TO OUR COPY.

THERE VIEWED, UH, OVER COLLATERALIZATION AND UNDER COLLATERALIZATION.

SO WE'LL BE TAKING A LOOK AT THAT.

UM, BUT THAT'S IT FROM THIS NEW GROUP.

UH, ANY QUESTIONS? OKAY, THANKS, BRENDAN.

ANY COMMENTS OR QUESTIONS ON ANY OF WHAT BRENDAN REPORTED IN PARTICULAR AS IT PERTAINS TO THE CHARTER FOR THE CREDIT FINANCE SUBGROUP? UH, GOT ERIC GOFF, FOLLOWED BY SETH COCHRAN.

I JUST WANTED TO GO AHEAD.

THANK WHOEVER IT WAS THAT NOTICED THAT THE TACT PROCEDURES ALSO NEEDED TO BE UPDATED TO INCLUDE THE WORD SUBGROUP.

WHOEVER THAT WAS IS EXTRAORDINARILY DILIGENT AND DESERVES SOME PRAISE IF THEY WANNA SPEAK UP FOR THEMSELVES.

BUT OTHERWISE, THIS LOOKS PRETTY GOOD.

I UNDERSTAND ANNE IS ON THE PHONE, SO THANK YOU.

ANNE .

VERY GOOD.

SETH COCKER, I JUST HAVE A QUESTION.

SO THIS BASICALLY FOLLOWS THE PRS FORMAT.

IS THAT AN ACCURATE WAY OF LOOKING AT IT? YEAH, I, I THINK THAT'S PROBABLY THE CLOSEST THING.

TO LIKEN IT TO, YES.

SO EVERYONE HAS A VOTE, BUT THERE'S, THERE'S REPRESENTATIVES FOR THE SEGMENTS, LIKE AT PS, IS THAT YEAH, I'M NOT FAMILIAR WITH PRS MYSELF, SO THAT'S GONNA BE QUESTION.

SO I THINK SETH, IT'S PROBABLY FAIR ENOUGH TO ASSUME THAT, I MEAN, VOTING STRUCTURE IS VERY SIMILAR TO PRS NOW.

THERE ARE QUALIFICATIONS THAT EXIST FOR SUBGROUP PARTICIPANTS PERTAINING TO THEIR CREDIT OR FINANCE.

UM, YEAH.

CAN WE GO TO THE QUALIFICATIONS? I WILL.

IT'S LISTED AT THE BOTTOM.

I JUST WANNA POINT OUT ONE OF THE CHANGES.

SO PREVIOUSLY THE DESIGNATION OF A CREDIT WORK GROUP MANAGER WAS SENT TO THE ERCOT CREDIT MANAGER TO DETERMINE WHO THE ROSTER OF WHO COULD VOTE AT CREDIT WORK GROUP WAS.

SINCE THIS HAS NOW BEEN MOVED UNDERNEATH TACK, AND THIS IS A SUBGROUP THAT'S REPORTING UP TO TACK, THE ROSTER WOULD BE APPROVED BY TACK.

SO IN TERMS OF WHO GETS TO VOTE, IT'S THE ROSTER OF CF S G MEMBERS.

THAT TACK WOULD VOTE ON.

AND THEN T VOTING ON THAT TO DECIDE WHO IS ELIGIBLE OR WHO'S QUALIFIED TO SIT ON THAT ROSTER.

THAT'S WHERE THE QUALIFICATIONS ARE DOWN HERE AT THE BOTTOM OF CONSIDER.

SO THIS STUFF, SO TACK IS BOUND TO APPROVE THEM WITHIN THIS CRITERIA, OR I MEAN, IT, IT'S CURRENTLY A MUST, SO IT'S OKAY.

ONE OR MORE OF THE FOLLOWING.

I'M JUST WONDERING IF, IF TAC IS APPROVING THE, UH, THE REPRESENTATIVES THEN, IS IT ACCORDING TO THIS CRITERIA, IS IT ACCORDING TO LIKE MAYBE SOMEONE ON TACT JUST DOESN'T THINK FOR OTHER REASONS THAT THEY SHOULDN'T BE ON IT? IS IT, IS IT KIND OF OPEN-ENDED LIKE THAT? SO I'M, I'M NOT SURE I UNDERSTAND YOUR QUESTION, BUT THINK OF IT IN THE CONTEXT OF WHAT THE BOARD WAS LOOKING FOR.

THEY WERE LOOKING TO MAKE SURE THAT OUR CREDIT, IN THIS CASE, IT'LL BE CREDIT SUBGROUP OR THE FOLKS THAT ARE REVIEWING THIS YES.

ACTUALLY HAVE CREDIT BACKGROUND, FINANCE BACKGROUND AND THAT SORT OF THING.

SO WHEN TAC APPROVES IT, THE FOLKS THAT, UM, CFS SG WILL BRING TO US WILL ADMIT THOSE CRITERIA AND THEY'LL HAVE BEEN, YOU KNOW, VETTED THROUGH A PROCESS WHERE, UM, THOSE CREDENTIALS WILL HAVE TO BE SUBMITTED UP FOR PARTICIPATION IN THE, BUT ULTIMATELY TAC LOOKS AT THAT SLATE AND THEY VOTE ON IT.

THAT'S CORRECT.

AND SO IF THERE'S OPTIONS TO CHOOSE FROM AMONG PEOPLE THAT HAVE THESE REQUIREMENTS, THEN TACK FIGURES OUT WHO OUT OF THOSE OPTIONS THEY WANT TO HAVE ON THAT.

YEAH, I'M LOOKING AT COREY COREY'S.

AND THEN WITH THESE, THESE OPTIONS, UM, MUST HAVE EXPERIENCE, YOU KNOW, WE, SO THERE'S NO TIME ON THIS.

LIKE YOU COULD HAVE DID SIX MONTHS.

AND, AND HONESTLY THAT WAS INTENTIONALLY, I, AND I'LL THROW BILL OUT THERE, CAUSE THIS, IN OUR PREVIOUS DISCUSSIONS, THERE WAS ALL THIS, NO MATTER WHAT RULER YOU PUT DOWN THERE, THERE WAS THE, UNLESS IT'S BILL BARNES, CAUSE WE DEFINITELY WANT HIM.

SO WE DIDN'T WANT TO PUT ANY KIND OF ARBITRARY TIMELINE BECAUSE THERE COULD BE A BRIGHT SHINING, CHARISMATIC STAR.

THAT WAS ONE WEEK SHY OF WHATEVER THRESHOLD YOU PUT.

AND YOU WOULDN'T WANT PRECLUDE TACK FROM CONSIDERING THAT PERSON.

NOW I'M JUST GONNA GET INTO THIS A LITTLE BIT FURTHER AND MAYBE THIS ISN'T AS IMPORTANT AS, AS WHAT I THINK, BUT HOW DO YOU VET THIS? SO IF SOMEONE COMES IN AND SAYS, I'VE GOT ALL THAT EXPERIENCE, TRUST ME CUZ I TOLD YOU I DID .

WHAT? LIKE HOW DOES THAT WORK? LOOK HIM IN THE EYE.

DO WE HAVE LIKE A POLYGRAPH IN

[01:35:01]

THE BACK? .

I'M JUST LEAVING THAT OUT THERE.

I'M NOT TRYING TO THROW A WRENCH IN IT, BUT IT'S, YEAH, I, I THINK THAT'S A FAIR QUESTION.

I I, I THINK YOU'VE, I THINK YOU'VE IDENTIFIED SOMETHING THERE THAT WE DO NEED TO BE THINKING ABOUT IN THAT REGARD.

UM, I DON'T KNOW IF BRENDAN HAS ANY PARTICULAR THOUGHTS.

MY INITIAL THOUGHT IS MAYBE WE START WITH WHERE WE'RE AT RIGHT NOW AND THEN WE STRENGTHEN THOSE CRITERIA, STRENGTHEN THAT VETTING PROCESS.

CORY'S RAISING, I WAS JUST GONNA START, TO YOUR POINT, SETH, THAT'S PART OF THE REASON WHY WE CHANGED IT TO BE TACKED.

CUZ PRIOR IT WAS JUST SEND IT TO THE ARCO CREDIT MANAGER.

AND SO HOW WOULD THAT PERSON VET EVERYONE, AT LEAST UNDER THIS ONE.

SOMEONE WHO WANTS TO COME IN AND THINK THEIR WAY THROUGH AT LEAST HAS TO CONVINCE TWO THIRDS OF Y'ALL THAT HE OR SHE OR THEY HAVE THE QUALIFICATION.

SO IT'S AT LEAST A HIGHER THRESHOLD OF FOOL ALL OF YOU, NOT JUST FOOL ONE PERSON.

I, I LIKE IT AND WE ALL KNOW EACH OTHER AND WE ALL, WE ALL GENERALLY IT'S A PRETTY TIGHT COMMUNITY.

WE'LL PLAY COREY .

I, I'M FINE WITH IT AND I, I LIKE WHERE YOU'RE GOING WITH THAT.

OKAY, WELL DONE.

SO YEAH, WE HAVE, WE HAVE A, YOU KNOW, A BUFFER WITHIN OUR GROUP.

SO, UM, YOU KNOW, HOPEFULLY SOMETHING WOULD EMERGE IF THERE WAS A BAD ACTOR THAT, THAT WOULD, THAT WOULD, UH, RISE UP AT OUR LEVEL.

VERY GOOD.

THANKS BRENDAN.

SO WE'VE GOT CHRISTIE FOLLOWED BY ERIC GOFF AND BO, EMILY JOLLY AND IAN HALEY.

SO CHRISTIE, YOU'RE UP.

HI.

THANKS CLIFF.

UM, I JUST HAVE A PROCESS QUESTION PRIMARILY.

UM, AT WHAT POINT, AT WHAT POINT IS THIS OFFICIALLY THE C F S G? DOES THE BOARD NEED TO WEIGH IN AND APPROVE THIS? OR IF CAC GIVES ITS BLESSING ON THIS CHARTER TODAY IS THE NEXT MEETING THAT IS SCHEDULED, THE CF S G, UM, OR ARE THERE OTHER, ARE THERE OTHER STEPS THAT NEED TO TAKE PLACE? IF SOMEONE COULD JUST BRIEFLY WALK THROUGH WHERE WE STAND ON THIS NEW GROUP? OKAY, LET'S, I'M GONNA LET ANNE PINE ON THAT.

UH, THIS IS ANNE.

CAN YOU HEAR ME? YES, WE CAN HEAR YOU ANNE.

GOOD.

UH, SO AFTER TACK APPROVES IT TODAY, IT'LL BE OFFICIALLY THE CFS G WE WOULD JUST REPORT IT TO THE BOARD, BUT THE BOARD DOES NOT APPROVE THIS ONE.

ALL RIGHT, GREAT.

OKAY, THANKS CHRISTIE.

WE'VE GOT ERIC GOFF NEXT.

UH, I APPRECIATE IT.

I HAVE MORE SUBSTANTIVE COMMENT THIS TIME.

UM, BUT JUST LIKE, UH, Y'ALL INDULGED US ON THE TAX PROCEDURES THEMSELVES IN REGARDS TO THE CONSUMER APPOINTED REPRESENTATIVE NOT NECESSARILY HAVING THESE, THESE, UH, REQUIREMENTS, UH, WE'D APPRECIATE IT IF YOU ALSO SAY EXCEPT FOR THE MEMBER APPOINTED BY THE CONSUMER REPRESENTATIVE.

SO IF IN THE FUTURE SOME FUTURE PUBLIC COUNCIL WANTS TO APPOINT SOMEONE THAT DOESN'T HAVE IT, THAT THAT'S COVERED.

SO THERE'S A PRECEDENT THERE FOR, FOR ATTACK SUPPORTING SIMILAR EXCEPTION FOR THE TAC PROFESSIONAL REQUIREMENTS.

AND WE'D JUST LIKE TO EXTEND THAT TO THIS.

MY BRENDAN TRYING TO REMEMBER.

I DID WE NOT ADDRESS THAT IN THE, UM, LANGUAGE OR IN MY, WELL, THERE'S TWO, IF YOU UP ABOVE IT SAYS, OTHER THAN A MEMBER POINT ABOUT THE CONSUMER, EACH MUST BE AN EMPLOYEE, BUT IT DOESN'T, IT GOES TO SAY ALL MEMBERS MUST HAVE THE FOLLOWING.

I, I THINK THAT'S, THAT'S PROBABLY FAIR AND I THINK CONSISTENT WITH THE APPLICATION THAT WE WERE LOOKING AT IN THE PAST FOR, FOR T PARTICIPATION.

SO I MEAN, DO YOU HAVE LANGUAGE THAT YOU'D WANT TO PROPOSE YOU COULD JUST TODAY OR DO YOU WANT TO TAKE THAT UP? YOU COULD JUST SAY THE, OTHER THAN THE MEMBER APPOINTED BY THE CONSUMER MEMBER AND CONTINUE THAT FOR EVERYTHING WHERE IT SAYS BELOW ALL MUST YOU, YOU COULD JUST SAY EXCEPT FOR THE MEMBER APPOINTED BY THE CONSUMER DIRECTOR RATHER THAN ALL, SO THEY'RE IN LINE THREE, WHICH SAYS ALL JUST REPLACE IT OTHER THAN THE MEMBER APPOINTED BY THE CONSUMER BOARD MEMBER BY THE CONSUMER BOARD MEMBER HERE.

SO YOU'RE TRYING TO ALLOW A CART OUT FOR THE BOARD TO APPOINT A MEMBER.

YEAH, SO THE, THE CONSUMER BOARD MEMBER, UH, IS THE PUBLIC COUNCIL APPOINTED BY THE GOVERNOR AND THEY APPOINT ME AND NABA TO THIS COMMITTEE.

UM, AND WELL, I DON'T WANT TO LIMIT THAT.

UM, GOVERNOR APPOINTEE'S ABILITY TO APPOINT WHOEVER THEY DESIRE TO TO THIS COMMITTEE IN THE FUTURE.

COREY, JUST TO CATCH RIGHT THERE, YOU'VE GOT CONSUMER BOARD MEMBER, THE WORD MEMBER EARLIER AS LOWER CASE I, FOR CONSISTENCY'S SAKE.

I ASSUME YOU WANT THE SAME HERE.

UH, IN THE NEXT PARAGRAPH AND THAT'S MAYBE THE, THE MOST WORDY WAY TO SOLVED MY PROBLEM.

UM, I, AND THEN WE HAVE ANOTHER ALL, UM,

[01:40:01]

I, I'D WELCOME A CORRECTION FROM SOMEONE ELSE, BUT THIS LEADS TO MY INTENT.

I APPRECIATE IT.

OKAY, FAIR ENOUGH.

THANKS ERIC.

SO, UH, OPEN TO ANYBODY'S THOUGHTS AND COMMENTS ON THAT.

UM, ANNE, YOU'RE NEXT, FOLLOWED BY EMILY, IAN AND THEN BILL BARNES.

YEAH, I JUST WANTED TO CLARIFY, UH, SOMEBODY ASKED THE QUESTION OF THIS WAS FOLLOWING THE PRS VOTING STRUCTURE.

UM, THIS IS FOLLOWING THE PREVIOUS CREDIT WORK GROUP STRUCTURE IS MUCH LIKE PRS WHERE THE QUORUM ESTABLISHMENT AND VOTING BY SEGMENT IS THE SAME, BUT NOT ALL MEMBERS OR NOT ALL PARTICIPANTS CAN VOTE LIKE PS AND I THINK COREY HAD MENTIONED THAT AS WELL.

SO JUST CLARIFYING THAT.

OKAY, THANKS ANNE.

UH, WE'VE GOT EMILY NEXT.

UM, ANOTHER PROCESS QUESTION.

UM, IF Y'ALL COULD LAY OUT THE SPECIFIC TIMELINES, UM, THAT WE'RE FOLLOWING TO INITIALLY, YOU KNOW, GET THIS GROUP OFF THE GROUND AND THEN HELP ME UNDERSTAND, YOU KNOW, IF FOR EXAMPLE, I HAVE MY MEMBER, UH, REPRESENTING MY, YOU KNOW, AS A CORPORATE MEMBER AND HE'S RETIRING AND IS THERE GOING TO BE A SUCCESSOR ELECTION PROCESS? WHAT WILL THAT LOOK LIKE? CUZ I DON'T SEE THAT THIS TRACKS THE SAME, UH, ELECTION PROCESS AS THE SUBCOMMITTEES AND T ANN, WOULD YOU LIKE TO SPEAK TO THAT? SURE.

THERE'S NOT AN ELECTION PROCESS.

UM, I BELIEVE IT SAYS UP THERE THAT THE THREAT MEMBER, WHOEVER THE ERCOT MEMBER IS A APPOINT THERE REPRESENTATIVE.

UM, AND THAT WOULD JUST BE CONFIRMED BY TACK ON A ROLLING BASIS.

SO WHEN WILL THE FIRST APPROVAL ROUND GO FOR ALL OF US? SO THE FIRST APPROVAL SOT APPROVES THIS TODAY AND THE CHARTER, THEN AT THE NEXT CF SG MEETING, THEY'LL SUBMIT THEIR SLATE FOR MEMBERSHIP AND LEADERSHIP AND THAT WILL COME BACK TO THE APRIL TAX FOR APPROVAL.

I THINK I GOT IT.

WE'VE GOT, UH, IAN FOLLOWED BY BILL AND LOOKS LIKE WE'VE GOT SETH CARTER NOW TOO.

UH, JUST ALSO ANOTHER PROCESS QUESTION.

UM, WILL THIS GROUP NEED VOTING AUTHORITY IN THEIR NEXT MEETING AND THEREFORE GRANDFATHERING IN THE PREVIOUS MC WG ELECTED OR MC WG VOTING MEMBERS, UH, FOR ONE MEETING? I'M JUST, IF THE GROUP NEEDS TO VOTE ON SOMETHING IN THEIR NEXT MEETING, DO WE WANNA JUST GRANDFATHER IN THE PEOPLE THAT WERE PREVIOUSLY ALLOWED TO VOTE FOR ONE MEETING AND THEN, RIGHT.

SO MC WG HAS NOT BEEN VOTING CAUSE THEY AREN'T A VOTING BODY.

UM, SO WHAT THEY'VE BEEN DOING IS COMING TO CONSENSUS ON CERTAIN ITEMS. SO THIS NEXT ONE, THEY'LL BE ABLE TO VOTE, UH, TENTATIVELY I GUESS WITH THE NUMBERS THAT THEY HAVE AND THEN CONFIRM THOSE NUMBERS AT THE NEXT MEETING.

YEAH, I BELIEVE THAT LI UH, VANESSA SPELLS USED TO KEEP IT, I THINK, AND SHE USED TO SEND OUT THE APPLICATION.

SO, UM, I BELIEVE ERCOT CREDIT SHOULD HAVE THAT.

AND I, I DID ASK THAT.

SO I THINK IT'D BE, BE NICE FOR US TO WORK OFF THAT AS A STARTING POINT.

SO I THINK I UNDERSTAND IAN'S POINT.

WE DON'T HAVE A GROUP OF FOLKS THAT'S BEEN APPROVED BY TAC AS MEETING THE QUALIFICATIONS.

THEREFORE, IF WE DON'T HAVE A GROUP OF, OF FOLKS THAT MEET THE QUALIFICATIONS, THAT CAN BE PART OF THE CFS G YOU CAN'T VOTE, THEY'RE NOT GONNA NECESSARILY GONNA BE ABLE TO VOTE ON ANY ITEMS, MUCH LESS LEADERSHIP AT THIS POINT IN TIME.

SO IT SEEMS LIKE WE MAY HAVE A TWO MONTH PROCESS OR A TWO MEETING PROCESS.

WE'VE GOT MAYBE TO GET THE NOMINEES BACK TO TACT NEXT MONTH FOR APPROVAL AND THEN THE FOLLOWING MONTH FOR ELECTION OF LEADERSHIP AND VOTING ON VOTING ITEMS, IF I'M UNDERSTANDING CORRECTLY.

IS THAT FAIR ENOUGH? WE CAN ABSOLUTELY DO IT OVER TWO MONTHS.

MY THOUGHT WAS JUST GRANDFATHER IN THE PREVIOUSLY ERCOT APPROVED M C W G, I'M SORRY, CW G VOTING MEMBERS, I'M SORRY, CWG VOTING MEMBERS FOR THE NEXT MEETING.

SO THERE CAN BE VOTES THAT CAN MOVE THROUGH BUSINESS AND THEN AT THE NEXT TACT MEETING, THE SLATE CAN BE APPROVED.

UM, AND THEN ALSO, I'M GUESSING, BUT WAS JUST SAID THERE WILL ALSO BE A DISCUSSION WHO THOSE MEMBERS PREVIOUSLY WERE.

YOU CAN SAY FOR THE FIRST MEETING, UH, THE TAC CHAIR APPOINT ALL THE MEMBERS AND LEADERSHIP AND THAT WAY JUST YOU APPOINT CWG IN THE FIRST MEETING AND THEN AFTER THAT IT FOLLOW UP THIS PROCESS.

OKAY,

[01:45:01]

I UNDERSTAND.

SO, OKAY.

AND ANY THOUGHTS? AND, AND JUST FOR A LITTLE ADDITIONAL GO AHEAD, FOR A LITTLE ADDITIONAL BACKGROUND, UM, I, YOU KNOW, VOLUNTEERED TO BE THE CHAIR.

LORETTO VOLUNTEERED TO BE THE VICE CHAIR.

NOBODY ELSE SAID THEY WANTED TO DO IT.

, I GUESS.

AND THOUGH SORT OF BY REVERSE ACCLIMATION, I THINK WE, WE AGREED TO MOVE FORWARD WITH THAT LEADERSHIP TEAM.

BUT IF THERE'S A MORE FORMAL PROCESS, UM, THAT WE NEED TO FOLLOW OVER A MEETING OR A COUPLE MEETINGS, I GUESS JUST ONE CONCERN THAT I HAVE ERCOT UH, THE, THE CREDIT TEAM SEEMS TO WANT TO MOVE PRETTY AGGRESSIVELY ON THIS 1165 INDEPENDENT AMOUNT, UM, AND PR R SO IF THEY'RE LOOKING TO HAVE A VOTE ON THAT, UM, YOU KNOW, WE, WE WANT TO STAND UP OUR VOTING GROUP A AS FAST AS POSSIBLE.

OKAY, THANKS BRENDA.

I'M GONNA PAUSE THERE AND LET AINE IF, IF YOU DON'T MIND.

I JUST WANTED TO MAKE EVERYBODY AWARE THAT CREDIT WAR GROUP WAS DISBANDED IN DECEMBER.

SO THE MCW G HAS TECHNICALLY BEEN MEETING AND THEY ARE NOT A VOTING BODY.

SO ANYTHING THAT YOU'VE COME THROUGH THAT HAS COME THROUGH SUCH AS CREDIT OPINIONS AND STUFF HAVE BEEN A CONSENSUS OF THE MCW G UM, NOT, IT HAS NOT BEEN VOTED ON.

SO THIS NEW MEETING WILL BE THE CFS C AND IF YOU WANT TO HAVE THEIR MEMBERS APPOINT THIS MEETING CONFIRMED BY TAC AND THEN GO BACK, VOTE ON THEIR LEADERSHIP AND THEN COME BACK TO TECH IN MAY, WE COULD DO THAT.

AND, AND AS FAR AS APPOINTMENT BY THE TAC CHAIR AT THIS POINT FOR FIRST ROUND MEETING, YOU KNOW, APPOINTING THE MEMBERS FOR THAT, IS THAT EVEN A POSSIBILITY, ANNE, TO ERIC'S POINT, I MEAN I DON'T, IT'S NOT A CHARTER .

SO IF WE'RE APPROVING THIS CHARTER, YEAH, WE NEED TO DO IT, DO IT BY, BY THE CHARTER BRIEF, THEN I DON'T, I MEAN I GUESS WE COULD PUT IT IN CHARTER.

YEAH, I GUESS THE THINKING WAS WE COULD PUT IN THE CHARTER THAT FOR THE FIRST MEETING OF THIS GROUP, THE TAC CHAIR APPOINTS ALL THE MEMBERS AND LEADERSHIP AND THEN FOLLOWING THAT FIRST MEETING, UH, WE FOLLOW THE PROCESS LAID OUT HERE FROM THE OUT OF THE FUTURE.

AND THAT WAY WE JUST DON'T HAVE TO HAVE THIS TWO MEETING, UH, SONG AND DANCE.

UM, SO WELL WE HAVE, UH, I THINK WE HAVE THREE TRACK MEETINGS SCHEDULED COMING UP, SO I THINK WE COULD GET THAT.

THAT'S A GREAT POINT, .

VERY WELL, IT'S A GOOD POINT.

BRENDA, DO YOU THINK YOU COULD GET FOLKS TURNED AROUND WITH APPLICATIONS IN ONE OF THE NEXT THREE MEETINGS? UH, I CAN TRY .

MARCH 31ST AND APRIL 10TH.

UM, YEAH, I'VE BEEN WORKING WITH .

HOPEFULLY WE CAN, WE CAN GET SOMETHING SENT OUT.

GOOD POINT, ANNE.

SO LET'S SEE IF WE CAN DO IT THAT WAY.

AND THEN WE'RE IN, WITHOUT HAVING TO MODIFY THE CHARTER, WE CAN GO AHEAD AND AND, AND GET SOMETHING SLATED HERE PRETTY QUICK.

TECHNICALLY, I THINK WE ONLY THE TECH MEETING BY THE WAY, UH, , YOU'RE GONNA MAKE ME REPEAT THOSE DATES AGAIN.

MARCH 29TH.

OH, OH, OH, THAT WAS THE 29TH.

OKAY, GOT IT.

MARCH 29TH.

AND I GUESS TECHNICALLY WE ONLY NEED FOUR, FOUR SEATED MEMBERS FOR THAT MEETING.

SO ANYHOW.

UM, WE'VE GOT BILL FOLLOWED BY SETH AND THEN CHRISTIE AND I SEE YOUR CARD GOING UP AND DOWN, RICHARD.

I HATE TO FOR WHATEVER IT TAKES TO MOVE ON.

ALL RIGHT, BILL? YEAH, JUST QUESTION ON EACH MEMBER, IT SAYS EACH MEMBER OF ERCOT MAY DESIGNATE ONE EMPLOYEE THAT MEETS THE QUALIFICATIONS FOR THE CREDIT FINANCES SUBGROUP THAT IS CORPORATE ASSOCIATE AND ADJUNCT OR JUST CORPORATE AND ASSOCIATE MEMBERS CAN HAVE A SEATED PARTICIPANT ON THIS NEW GROUP.

COULD BE CORPORATE OR IS IT JUST CORPORATE? JUST CORPORATE.

CORPORATE.

GOOD.

DOESN'T SAY THAT MEMBER.

I JUST WAS WONDERING WHAT THE INTENT WAS WITH THAT.

DID WE COPY THE PS CHARTER WHEN WE CREATED THIS OR WAS IT EACH MEMBER OF ERCOT? WHAT WE GOT A QUESTION FOR ANNE, PROBABLY ITS AROUND OR COREY'S BLACK LINE LANGUAGE IS WHAT'S BEEN THERE IN THE EXISTENCE IN THE PREVIOUS CREDIT WORK GROUP CHARGE IN THE CREDIT WORKING GROUP.

SO THAT'S PROBABLY MEANT CORPORATE ANYTHING THAT'S BLACK LINE WAS THE PRIOR CREDIT WORK GROUP THAT WAS DISBANDED IN DECEMBER.

THAT'S, THIS IS THEIR CHARGE.

SO WE MAY, SO WE STARTED FROM WHAT WAS THERE AND MADE RED LINES TO THAT TURN IT INTO A TAX SUBGROUP.

I'M JUST MAKING SURE I UNDERSTAND THE STRUCTURE.

BUT ANY, ANY QUESTIONS YOU HAVE ABOUT THE BLACK LINE IS WHAT WAS THERE ALL ALONG.

SO IF IT AIN'T BROKE, WE DIDN'T TRY TO FIX IT.

BUT IF, IF THERE'S CLARIFICATIONS NEEDED BECAUSE YOU THINK MOVING IT UNDER ATTACK WOULD NOW BREAK IT, LET US KNOW.

I'M JUST, I'M JUST ASKING WHAT WE MEAN THERE.

IF IF IT'S EVERY TYPE OF MEMBER, THE THREE MEMBER CATEGORIES WE HAVE, THEN IT'S FINE.

IF, IF WE THINK IT SHOULD BE A CORPORATE, THEN IT SHOULD SAY CORPORATE OR A CORPORATE ASSOCIATE, THAT'S ALL.

AND THEN

[01:50:02]

SO QUORUM, CUZ I KNOW THIS WAS A BIG DEBATE FOR THIS QUORUM, IS WE JUST NEED FOUR MEMBERS OF ANY OF THE SEGMENTS.

FOUR SEGMENTS NEED TO HAVE A A MEMBER PRESENT.

CORRECT.

AND THEN IN TERMS OF PR, GOING BACK TO SETH'S POINT, THIS IS WHERE IT'S MORE LIKE PRS, WHERE AS LONG AS YOU'VE GOT AT LEAST FOUR DISTINCT REPRESENTATIVES FROM THE SEVEN, YOU'VE GOT A QUORUM.

SO IN, IN EXTREME CASE, YOU COULD HAVE FOUR PEOPLE IN THE ROOM JUST LIKE A PRS.

AND THE VOTING IS JUST LIKE PRS WHERE IT'S, IT'S SEGMENT VOTE FRACTIONAL SHARES, 51% AND THEN WE NEED THREE, A MINIMUM OF THREE MEMBERS TO BE PRESENT FOR THE VOTE.

FOR THAT TO COUNT IS WHAT IT LOOKS LIKE.

AND WHO'S, THIS IS MY BIGGEST CONCERN.

WHO'S RUNNING THE BALLOT? CUZ IT'S KIND OF COMPLICATED.

IS THAT GONNA BE A VOLUNTEER OR ARE THE CHAIR VICE CHAIR, OR IS ERCOT GONNA HAVE A SOMEONE FROM MARKET ROLLS RUNNING THE BALLOT? IT, IT SOUNDS LIKE THEY WANT AT LEAST ON AN INTERIM BASIS, THE THE CHAIR AND THE, AND THE VICE CHAIR TO, I'M DOING THE MINUTES NOW AND, UM, YOU KNOW, SO WE'LL, WE'LL, UH, I'LL PROBABLY END UP DOING THE VOTING TO OR WHOEVER THE CHAIR IS.

SO YEAH, WE WE'RE GONNA HAVE TO STAND UP SOME, YOU KNOW, SOME FORMAL PROCESSES, UH, AFTER WE GET TO THIS POINT.

AND I'M HAPPY TO WORK WITH ANYONE TO DO THAT.

THANKS BILL.

THANKS, BRENDA.

BACK TO THE POINT OF THE MEMBER, I BELIEVE IF I'M NOT, ISN'T IT JUST THE CORPORATE MEMBERS THAT ARE ALLOWED TO VOTE ON SUBCOMMITTEES? CORRECT.

SO I WOULD THINK THAT WE'D WANT TO PARALLEL THAT IN, IN THIS LANGUAGE AS WELL FOR THIS SUBGROUP.

SO, UM, IF I'M MISSPEAKING, I'D LIKE TO STAND CORRECTED, BUT I I WOULD PROBABLY PREFER THAT WE GO AHEAD AND CORRECT THAT I, I MEAN, OR CLARIFY THAT WE SHOULD DO IT THE SAME WAY WE DO IT FOR PRS SO THAT N R G CAN BE RELIANT BUT NOT RELIANT ON N ENERGY.

SO I CAN JUST COPY IT.

JUST, I MEAN, IT'S UP TO YOU BILL, IF YOU WANT TO JOIN THE GENERATORS.

I MEAN, AT ONE POINT I WORKED FOR A TRADING COMPANY AND WE HAD AN AFFILIATE THAT WAS A RETAILER.

AND WE WOULD EFFECTIVELY GET TWO VOTES.

SO, SO WE SHOULD JUST COPY WHATEVER THE PRS IS SO THAT WAY IT, A COMPANY COULD BE ONE MEMBER.

AGREE.

SO DOES THAT REQUIRE A, A WORDING CHANGE THEN COREY? OR I'LL, I'LL LEAN ON ANNE TO, AND HOW MUCH THE, WHAT THE TAC PROCEDURES ALREADY COVER, HOW MUCH OF THAT DO WE HAVE TO REPLICATE HERE? THAT THIS IS A CHARTER OF A SUBGROUP THAT'S REPORTING TO T.

SO HOW MUCH OF THE TAC PROCEDURES DOES IT ALREADY INHERIT? SO IF WE DON'T EXPLICITLY SPELL SOMETHING OUT HERE, DOES THE TAC PROCEDURE STILL GOVERN IT OR IS NONE OF THIS THIS SUCH A NEW AND UNIQUE THING THAT WE NEED TO COPY PASTE A BUNCH OF STUFF OVER? I THINK MY, YEAH, I, I DON'T THINK THAT THE TAC PROCEDURES SAY ANYTHING ABOUT WHO'S ELECTED ON THE MEMBERSHIP AS FAR AS LIKE AND, UM, ASSOCIATE, BUT I DO BELIEVE HOW THE SUBCOMMITTEE IMPACT DO IT IS THAT YOU HAVE TO BE, I THINK A CORPORATE MEMBER HAS TO, UM, NOMINATE THOSE, THOSE ARE THE ONLY PEOPLE THAT CAN NOMINATE.

I'M GETTING AFFIRMATION OVER HERE.

SO, SO I THINK AS INCLUSION OF JUST A SIMPLE WORD CORPORATE IN FRONT OF MEMBER, I THINK FIXES OUR ISSUE HERE, CORRECT? YES.

THE ADJUNCT MEMBERS, BILL, THIS IS BRITNEY ALL PROC.

UM, JUST TO CONFIRM, ADJUNCT MEMBERS DO NOT HAVE VOTING RIGHTS.

IT'S JUST CORPORATE AND ASSOCIATE.

PUT MYSELF OUT THERE TO SOMEBODY WHO CAN, UM, YOU KNOW, ASSIST THEM IN GETTING THIS, UH, DONE.

SO HAVE WE SETTLED ON IN INCLUDING CORPORATE IN THIS LANGUAGE? ALL RIGHT, GOOD DEAL.

OKAY, SETH, YOU'RE NEXT IN THE QUEUE.

YEAH, JUST GETTING BACK TO THE TIMING QUESTION.

I I, I DIDN'T GET A CLEAR, UM, FEELING FOR THAT.

WHEN, WHEN DO, WHEN DOES ERCOT RECEIVE, OR WHO TAKES IN THE NOMINATIONS FOR THE GROUP? LIKE WHERE DO YOU SEND THOSE, WHEN DOES THAT PROCESS KICK OFF? I'M JUST TRYING TO GET A FEEL FOR THAT.

SO I JUST, I'M TRYING TO COORDINATE.

OBVIOUSLY, YOU KNOW, THE, THE CREDIT TEAM LEADERSHIP IS COMPLETELY NEW AND YOU KNOW, THEY'RE REALLY DRINKING FROM THE FIRE HOSE.

SO I HAVE, UH,

[01:55:01]

I, I CAN COMPILE, BUT THEY HAVE TO BE SORT OF THE, THE AGENT OF RECORD AS FAR AS, YOU KNOW, UM, YOU KNOW, YOU CAN SEND 'EM TO ME AND I'LL SEND 'EM TO THEM JUST, UH, IN ONE BATCH.

UM, BUT YES, WE'RE, WE'RE, WE'RE STILL WORKING THAT OUT.

WE, AND WE DON'T HAVE AN APPLICATION, UH, PUT TOGETHER.

UH, I WAS GONNA PUT THAT UP FOR THE NEXT MEETING, BUT WE CAN PROBABLY GET IT DONE A LITTLE BIT FASTER.

UH, I JUST NEED TO RECORD, YOU KNOW, THE PERSON'S BACKGROUND, WHAT, UH, THEIR COMPANY AND WHAT SEGMENT THEY REPRESENT.

SO I THINK, YOU KNOW, WE CAN GET SOMETHING SPREAD OUT.

AND SO I WOULD ASK YOU GUYS TO HELP ME TO EDIT OUT TO PEOPLE THAT I MAY NOT HAVE ON MY LIST.

I I DO NOT HAVE LISTS.

SO, SO IT'S GONNA BE A TEAM EFFORT.

CHRISTIE, ASHLEY, YOU'RE NEXT.

AND WHEN YOU, SO WHEN YOU THROW YOUR NAME IN THE HOPPER, THERE'LL BE AN APPLICATION THAT'S ASSOCIATED WITH THAT.

SO YOU HAVE TO FILL THAT OUT, SUBMIT IT WITH YOUR YEAH, WE'D HAVE TO CONFORM TO THAT CHARTER SPECIFICATIONS.

QUICK QUESTION FOR, UM, IN TERMS OF THE LISTSERVE, WILL EVERYONE THAT WAS ON MC W G JUST AUTOMATICALLY BE MIGRATED OVER OR DO WE ALL NEED TO SIGN UP FOR THIS NEW GROUP UNDER THE LISTS SERVE? AND IF SO, IS IT ALREADY, HAS IT ALREADY BEEN CREATED? IT HAS NOT BEEN CREATED YET, AND I'M NOT SURE IF EVERYBODY'S AUTOMATICALLY MIGRATED OVER THERE.

UM, I'M PRETTY SURE WHEN WE CREATE A NEW ONE, YOU'LL NEED TO SIGN UP AGAIN, BUT I CAN CONFIRM.

I SEE NO OTHER CARDS IN THE ROOM.

ANY, ANY ADDITIONAL QUESTIONS OR COMMENTS? OKAY, HEARING NONE.

I THINK WE'LL TRY TO JUST PUT THIS ON THE COMBO BALLOT IT LOOKS LIKE.

SO, UNLESS I HEAR ANY OBJECTION OTHERWISE.

APPRECIATE THAT DISCUSSION EVERYONE.

NEXT THING IS THE MODIFICATION OF THE TAC PROCEDURES.

SO THANKS BRENDAN.

UH,

[12. TAC Procedures (Vote)]

ERIC ALLUDED TO THIS ALREADY.

UH, THESE MODIFICATIONS ARE NECESSARY TO RECOGNIZE THE NEW, THE CREATION OF A SUBGROUP CATEGORY OF, OF FOLKS THAT MEET.

UM, AND SO THERE'S A LIMITED SET OF EDITS TO OUR TAC PROCEDURES THAT WE WILL NEED TO ADOPT TO, IN ESSENCE ALLOW THE SF S G TO EXIST.

SO THESE ARE THE COMMENTS ON THE SCREEN HERE.

ANY, UH, QUESTIONS OR, OR COMMENTS ON THIS IN PARTICULAR? OKAY.

SEEING NONE, WE'LL GO AHEAD AND MOVE THAT TO THE COMBO BALLOT AS WELL.

GTC IS, IS REALLY A FUNCTION OF OUTAGES WE SEE IN THE AREA.

THANKS FOR THE ROBUST DISCUSSION, EVERYONE.

MOVING ON TO ERCOT

[14. ERCOT Reports]

REPORTS.

AGENDA ITEM NUMBER 14.

UH, WE'LL START OUT WITH DAVE MAGGIO, THE REVIEW OF POTENTIAL PRICE CORRECTION FOR FEBRUARY 5TH.

ALL RIGHT, WELL THANK YOU FOR THE, THE TIME THIS MORNING.

SO, UH, AS IMPLIED BY THE TITLE, I'M GONNA BE GOING OVER A PRICE CORRECTION THAT WILL BE TAKEN TO THE BOARD FOR THEIR REVIEW IN APRIL.

AND SPECIFICALLY RELATED TO AN ERROR WE FOUND RELATED TO, UH, THE, UH, MODELING, OR NOT EVEN THE MODELING, THE, THE MANAGEMENT OF ONE OF THE GENERIC TRANSMISSION CONSTRAINTS IN, UH, AFFECTING REAL TIME.

UH, BEFORE I JUMP THROUGH THE MATERIAL, ONE OF THE THINGS I WANTED TO POINT OUT FOR THE GROUP IS THAT INCLUDED IN THE MATERIAL TODAY, YOU ACTUALLY WILL SEE A ZIP FILE WITHIN THE, THE, THE LARGER ZIP FILE THAT CONTAINS ALL THE PRICING INFORMATION.

SO THAT WILL ACTUALLY HAVE ALL OF THE ORIGINAL PRICES AS WELL AS ALL THE CORRECTED PRICES.

AND THAT WILL BE THE FILE THAT WE EVENTUALLY TAKE TO THE BOARD, UH, FOR THEIR REVIEW AND, UH, AT THE APRIL MEETING, UH, IN, UH, THE 17TH.

SO JUST TO PROVIDE A LITTLE BIT OF BACKGROUND ON THE ISSUE, ON FEBRUARY 7TH, WE FOUND AN AIR RELATED TO THE FLOW, UH, AND THE MANAGEMENT OF THE FLOW OF THE VALLEY EXPORT GTC.

AND IT WAS SPECIFICALLY FOR THE REAL-TIME MARKET, UH, IMPACTING OPERATING DAYS, UH, FEBRUARY 5TH AND SIXTH.

AND, AND JUST, UH, FOLKS ARE PROBABLY FAMILIAR WITH THIS, UH, THIS GTC, BUT ON THE VALLEY EXPORT, UH, GTC THAT WE HAVE CONSISTS OF, UH, SIX TRANSMISSION LINES IN THE REGION, UH, 33 45 AND 31 38 KV LINES.

AND, AND IT'S, UH, A, A CONSTRAINT THAT WE HAVE MANAGING SOME, UH, TRANSIENT VOLTAGE INSTABILITY COMING OUT OF THAT AREA WHEN WE SEE FLOWS, UH, EXCEEDING A CERTAIN LEVEL COMING OUT OF THAT AREA.

UH, THE ONE THING I WANT TO POINT OUT, AND THIS WILL TIE TO SORT OF HOW THIS ERROR WAS IDENTIFIED AND WHY IT BECAME A PROBLEM, IS, UH, LIKE A NUMBER OF THE GTCS, THE LIMIT ON THIS

[02:00:01]

UH, AND PARTICULARLY FOR THIS GTC, THE, THE RANGE THAT WE SEE FOR THOSE LIMITS IS FAIRLY LARGE.

UH, AND IN FACT, DEPENDING ON THE OUTAGE CONDITIONS, THE, THE LIMIT GOES FROM EVERYWHERE AS LOW AS AROUND 145 MEGAWATTS TO JUST OVER 700 MEGAWATTS.

AND AGAIN, THAT, UH, HAD SOME ROLE IN TERMS OF SORT OF HOW THIS WAS IDENTIFIED AND, AND WHY THIS HASN'T BEEN A BROADER PROBLEM IN THE PAST.

UH, AGAIN, JUST FOCUSING ON A LITTLE BIT OF BACKGROUND, UH, FOR A TYPICAL THERMAL CONSTRAINT, THOSE ARE REALLY NONDIRECTIONAL.

SO REALLY WE'RE TRYING TO MANAGE FLOW ACROSS THE LINE FROM A THERMAL POINT OF VIEW, REGARDLESS OF THAT'S GOING FROM SORT OF A TO B OR OR OR B TO A.

AND, AND THE WAY WE MANAGE THAT IN TERMS OF THE DATA FLOW GOING FROM THE SYSTEMS IS THERE'S THIS APPLICATION WITHIN THE ENERGY MANAGEMENT SYSTEM CALLED THE TRANSMISSION CONSTRAINT MANAGER.

AND WHEN IT'S PASSING INFORMATION OVER FROM THE FLOW POINT OF VIEW, IT ACTUALLY PASSES AN ABSOLUTE VALUE OF THAT FLOW.

AND THE WAY IT'S REALLY MANAGING THE DIRECTION IS BY CHANGING THE SIGN OF THE SHIFT FACTORS THAT GETS SENT OVER TO SCHEDULE FOUR INCLUSION IN THE OPTIMIZATION.

SO FOR EXAMPLE, IF IT'S GOING, UH, A TO B, THE FLOWS THE ABSOLUTE VALUE AND THE SHIFT FACTORS ARE ONE WAY, IF IT REVERSES DIRECTION, IT'S NOW GOING FROM B TO A, THE SAME FLOW COULD POTENTIALLY GO OVER AGAIN.

IT'S JUST AN ABSOLUTE VALUE, BUT THE SHIP FACTOR WILL FLIP DIRECTION TO REFLECT THE, THE, THE WAY IN WHICH THAT POWER IS FLOWING AT THE GIVEN TIME AND THE WAY THAT WE'RE TRYING TO MANAGE IT NOW.

NOW GTCS ARE DIFFERENT AND REALLY THE ASSOCIATED PHENOMENON THAT RESULTS IN GTCS IS DIFFERENT.

SO THOSE ARE REALLY DIRECTIONAL.

AND THE WAY THAT THAT'S TYPICALLY MANAGED WITHIN OUR SYSTEM IS AS IT'S PASSING OVER INFORMATION, IT WON'T CHANGE THE SIGN IN THE SHIFT FACTORS.

IT DOESN'T WANT TO NECESSARILY MANAGE THAT CONSTRAINT IN BOTH DIRECTIONS.

AND SO SPECIFICALLY DESIGNED TO ONLY, WELL ONLY SEND THE SHIFT FACTORS WITH ONE DIRECTION BASED ON THE WAY THE INTERFACE WAS DESIGNED OR DEFINED ACROSS ALL OF THOSE PARTICULAR LINES THAT MAKE UP THE INTERFACE.

NOW, WHERE THIS AIR CAME IN IS THAT WITHIN TCM, WHILE IT'S DOING THE CORRECT THING FOR THE SHIFT FACTORS, IT DOESN'T KNOW THIS DISTINCTION FOR HOW IT'S GONNA PASS OVER THE FLOW INFORMATION.

UH, AND SO, UH, YOU CAN ACTUALLY GET IN A CIRCUMSTANCE IN WHICH IF THE FLOW ON THE GTC IS CHANGING DIRECTION, IT WILL SEND THE ABSOLUTE VALUE OF THAT FLOW, BUT THE SHIFT FACTORS WON'T ADJUST FOR THE FLOW.

AND, AND WHAT YOU GET IN THAT CASE IS THIS INSTANCE IN WHICH THE FLOW THAT YOU'RE LOOKING AT AND TRYING TO MANAGE THE CONSTRAINT IS NOT ALIGNED WITH THE ACTUAL SHIFT ACTORS AND FLOW INFORMATION.

THOSE TWO ARE MISALIGNED IN, IN IMPACTING THE DISPATCH.

UH, I GUESS THE, AS THIS, AS WE'VE SEEN THIS SORT OF FUNCTIONALITY WITHIN THE SYSTEM, HOW WOULD WE'VE HISTORICALLY MANAGED THE, THAT THERE'S BEEN THIS DEPENDENCY TO DEGREE, WE SEE, UM, THE, ESSENTIALLY THE FLOW ON A GTC DROPPING, THERE'S USUALLY SIGNIFICANT TIME IN WHICH WE ACTUALLY CAN DEACTIVATE THAT CONSTRAINT BEFORE WE ACTUALLY WOULD EVER GET INTO A CIRCUMSTANCE WHERE WE, WE WOULD SEE THIS MISALIGNMENT OF THE FLOW AND SHIFT ACTOR INFORMATION.

NOW TALKING MORE SPECIFICALLY, AND I, AND I MENTIONED THE, THE, THE LIMIT PLAYED SOMEWHAT OF A ROLE ON IT, UH, ON THE GIVING OPERATING DAYS.

THIS IS FEBRUARY 5TH AND SIXTH.

THERE WERE SPECIFIC OUTAGES IN THE AREA THAT WE WERE ON THE VERY LOW END OF THAT RANGE OF LIMIT FOR THE GTC.

SO WE ARE MUCH CLOSER TO THAT 145.

AND IN ADDITION TO THAT, WE WERE SEEING WIND CONDITIONS IN THE AREA WHERE THERE WAS MUCH MORE PROBABILITY THAT THE, THAT THE FLOW WAS GOING TO REVERSE DIRECTIONS AS IT WAS BEING MANAGED.

SO TYPICALLY IT MAY BE SEVERAL HOURS WHEN YOU'RE MANAGING CONSTRAINT AS THE FLOW BEGINS TO DECREASE.

THERE'S, YOU KNOW, HOURS AND, AND QUITE A BIT OF TIME FOR US TO DEACTIVATE THE CONSTRAINT BEFORE ANYTHING LIKE, UH, WHAT WOULD HAPPEN, UH, DOES HAPPEN.

IN THE CASE OF OPERATING, UH, DAYS FIFTH AND SIXTH, WE ACTUALLY SAW CONDITIONS WHERE WE WOULD GO FROM THE CONSTRAINT BINDING IN THE CORRECT DIRECTION AND WITHIN AN INTERVAL OR TWO, THE FLOW OF REVERSING DIRECTION AND, AND EFFECTIVELY RESULTING IN THIS ISSUE WHERE, AGAIN, THE, THE FLOW WAS REFLECTING ESSENTIALLY ONE DIRECTION, AND THE SHIFT FACTORS WERE REFLECTING THE OTHER, BRINGING THOSE TWO, UH, IN MISALIGNMENT.

AND SO SPECIFICALLY ON THESE TWO DAYS, WE HAD INSTANCES WHICH THE, THE MANAGEMENT OF THE CONSTRAINT WAS ACTUALLY OPPOSITE OF WHAT WE WANTED TO, TO, SO AGAIN, THERE WAS THIS MISALIGNMENT, UH, AND WE SAW THIS INCORRECT CONGESTION MANAGEMENT, UH, AND ALONG WITH THE INCORRECT PRICES IN THE REAL TIME MARKET.

SO I, I MENTIONED WE FOUND THIS, THIS WAS SOMEWHAT EARLY IN THE DAY ON FEBRUARY 7TH, AS WE WERE LOOKING AT THE OUTCOMES OF THE FIFTH AND SIXTH.

UH, AND WE DID A NOTICE LATER THAT DAY, UH, TELLING FOLKS THAT PRICES WERE UNDER INVESTIGATION.

[02:05:01]

SO AS WE GOT INTO THAT INVESTIGATION, WE DID FIND, UH, THAT THERE WAS ESSENTIALLY THE, THE FIFTH AND THE SIXTH DID MEET THE INITIAL CRITERIA FOR TRYING TO CORRECT PRICES BEFORE THEY WERE FINAL.

UH, IN FACT, THE, THE DEADLINE FOR THE SIXTH WAS THE AFTERNOON OF FEBRUARY 8TH.

AND SO WE DID CORRECT PRICES FOR FEBRUARY 6TH BEFORE THEY BECAME FINAL.

BUT BY THE TIME WE WERE ABLE TO COMPLETE THE ANALYSIS, THE DEADLINE FOR FEBRUARY 5TH HAD PASSED.

SO WE HAD GONE TO THAT SECOND PHASE IN WHICH WE HAD LOOKED AT THE SECONDARY CRITERIA FOR, UM, TAKING IT TO THE BOARD FOR THEIR REVIEW.

AND, AND FOR FOLKS WHO ARE NOT FAMILIAR, WE'VE INCLUDED THE, THE CRITERIA HERE.

THERE'S ESSENTIALLY SORT OF, UH, TWO DIFFERENT CRITERIA THAT ARE INVOLVED.

UH, BOTH ARE LOOKING AT, UH, COUNTERPARTY, UH, IMPACTS FOR THE, THE REAL-TIME MARKET SETTLEMENT FOR THAT GIVEN OPERATING DAY.

UH, AND THERE'S, UH, ONE, IT'S, IT'S, IT'S LOOKING AT THE IMPACT BEING GREATER THAN 2% AND ALSO GREATER THAN $20,000 OR A CASE IN WHICH THE PERCENTAGE IS MUCH LARGER AT 20%, BUT THE DOLLAR IMPACT IS A LITTLE BIT LOWER AT, UH, $2,000.

AND FOR THAT CRITERIA, ONE, WE SAW TWO COUNTERPARTIES MEETING THAT CRITERIA.

AND FOR THE, UM, SECOND CRITERIA, WE SAW THREE COUNTERPARTIES MEETING THAT CRITERIA.

UH, JUST SORT OF FINISHING UP THE BACKGROUND, UH, AS WE HAD DONE ALL THE ANALYSIS, WE DID THE, UH, MARKET NOTICE TO, UH, ALL YOU ALL ON THE, UH, FEBRUARY 21ST, TELLING, UH, EVERYONE THAT IT HAD MET THE CRITERIA FOR REVIEW BY THE BOARD.

AND THEN IN ADDITION TO THAT, WE DID MAKE A CHANGE TO THE SYSTEM, SPECIFICALLY TO THE APPLICATION WITHIN THE EMS THAT I MENTIONED, TO ACCOUNT FOR THE TCM BEING ABLE TO RECOGNIZE THAT THE GTC IS DISTINCT FROM ALL OF OUR THERMAL CONGESTION.

SO REALLY THE PRIMARY CHANGE IS THAT IT DOESN'T SEND FOR THESE CONSTRAINTS, THE ABSOLUTE VALUE OF THE FLOW IT SENDS, JUST THE, THE ACTUAL VALUE, WHETHER THAT'S A POSITIVE OR NEGATIVE VALUE.

AND THEN IT WILL ENSURE THAT IT'S IN ALIGNMENT WITH THE SHIFT FACTORS, WHICH AGAIN, ARE, ARE ONLY IN ONE DIRECTION.

UH, AND THAT'LL STILL BE COUNTERED TO HOW WE MANAGE IT FOR THERMAL CONSTRAINTS.

WE LEFT ALL THAT FUNCTIONALITY, UH, AS IS IN THE SYSTEM TODAY.

UH, LOOKING AT THE, UM, MARKET QUESTION, MICHAEL, DAVID GOT A QUESTION SECOND.

I CAN WAIT THAT SLIDE GO.

ALRIGHT, LET ME, I GUESS I'LL FINISH UP THE SLIDES AND THEN, AND THEN I CAN TAKE QUESTIONS FROM THERE.

UH, JUST GETTING INTO THE, THE SETTLEMENT IMPACTS, UH, WE KIND OF LOOKED AT THIS IN TWO WAYS.

ON THE SYSTEM TOTAL, WE LOOKED AT THE CHANGE IN TOTAL CHARGES DUE TO ERCOT.

OF COURSE, THERE'S SORT OF THE TWO SIDES OF IT.

FROM OUR POINT OF VIEW, THERE'S THE CHARGES COMING INTO US, AND THEN OF COURSE, THE MONEY FLOWING OUT.

SO THE, OBVIOUSLY THE NET CHANGE IS ZERO FROM ERCOT POINT OF VIEW.

SO THE WAY WE TYPICALLY LOOK AT THIS IS JUST THE CHANGE IN TOTAL CHARGES.

UH, FOR THE OPERATING DAY OF FIFTH, THE, THE TOTAL CHANGE ACROSS ALL COUNTERPARTIES, UH, WAS, UH, JUST OVER $83,000.

AND THAT REPRESENTS AN INCREASE IN CHARGES OF ABOUT 2.1% FOR THE OPERATING DAY, FOR THE REAL-TIME MARKET SETTLEMENTS.

IF YOU LOOK AT THE INDIVIDUAL COUNTERPARTIES, THE HIGHEST MAXIMUM CHANGE WE SAW WAS JUST OVER $60,000.

THAT WAS ACTUALLY AN INCREASED PAYMENT TO A PARTICULAR COUNTERPARTY.

AND THEN FROM THE PERCENT CHANGES, UH, YOU SEE A 16.5, THAT WAS THE HIGHEST PERCENTAGE WE SAW FOR THE ENTITIES THAT MET THAT $20,000 MARK.

IN FACT, THAT IS ASSOCIATED WITH THE SAME COUNTERPARTY THAT HAD THE $60,000 IMPACT.

AND THEN FOR THE FOLKS WHO HAD THE HIGHER PERCENTAGES, BUT LOWER DOLLAR IMPACTS THAT MET THE CRITERIA, THE HIGHEST PERCENT CHANGE WAS, UH, 33.1%.

UH, AND THEN LASTLY, AGAIN, I MENTIONED THIS EARLIER, BUT, UH, OF COURSE OUR NEXT STEP IS HERE.

JUST WANT, THIS IS REALLY MORE OF A JUST REPORTING TO YOU ALL.

THIS IS NOT NECESSARILY A VOTING ITEM, BUT DO WANT TO SHARE WITH YOU THIS INITIAL PRESENTATION, AND WE'LL BE TAKING IT TO THE R AND M COMMITTEE, UH, ON APRIL 17TH FOR CONSIDERATION AT THE BOARD AT THEIR MEETING ON THE 18TH.

AND WITH THAT, I'LL, I'LL STOP AND GO TO QUESTIONS.

CLIFF.

THANKS VERY MUCH, DAVE.

SO SETH, YEAH, THIS WAS ON THE GTC, UH, THE VALLEY EXPORT.

IS THAT CORRECT? NO, THAT'S, THAT'S CORRECT.

WE ACTUALLY WENT TO GO PAST THAT SYSTEM TO SCAD, EVEN THOUGH IT'S MINUS 200, IT SAID, OH, I'M SENDING THE ABSOLUTE VALUE, IT WOULD ACTUALLY SEND A 200 MEGAWATT FLOW, BUT THE SHIFT FACTORS WOULD STILL REPRESENT AS IF THE FLOW WAS GOING OUT OF THE VALLEY.

SO THE, THE ISSUE WAS YOU, THAT CAN ONLY BIND OBVIOUSLY IN THE EXPORT DIRECTION, UH, BUT IT ACTUALLY HAD FLOW REVERSAL, UH, AND, UH, YOU, THE, THE LIMITS STAYED THE SAME AND BECAUSE OF ALL OF THAT, IT STAYED.

DID IT STAY BINDING? BUT YET IT SHOULDN'T HAVE? IS THAT, YEAH, ACTUALLY I, LET ME USE AN NUMERICAL EXAMPLE.

SO OBVIOUSLY WE WERE CONTROLLING IT TO, LET'S SAY, THIS MAY NOT BE, IT WAS PROBABLY MOVING AROUND A LITTLE BIT, BUT WE WERE CONTROLLING IT TO 145 MEGAWATTS COMING OUT OF THE VALLEY.

AND WE WERE DOING THAT FAIRLY CONSISTENTLY THROUGHOUT THE, THE, THE EVENING OF THE FIFTH AND THE MORNING OF THE SIXTH.

WHAT WE SAW SOME CASES IS WITH SOME MORE RAPID WIND CHANGES THAT FLOW FROM ONE INTERVAL TO THE NEXT MEGA, FROM POSITIVE 145 TO LET'S SAY MINUS 200 MM-HMM.

AND WHEN

[02:10:01]

AND SO, YOU KNOW, THERE WAS ACTUALLY SOME CIRCUMSTANCES IN WHICH THE FLOW WAS NEGATIVE, BUT IT WASN'T BINDING ANYWAY.

SO THERE WASN'T NECESSARILY A MARKET IMPACT, OR THERE WERE SOME CASES WHERE IT WAS EFFECTIVELY BINDING AT 200 WHEN IT WAS ACTUALLY FLOWING IN THE OPPOSITE DIRECTION.

AND BECAUSE OF THAT, YOU WOULD ACTUALLY, ACTUALLY START TO SEE MORE NEGATIVE FLOWS BECAUSE YOU PROBABLY WEREN'T COUNTER FLOWING IT.

YEAH, ESSENTIALLY WE WERE, WE WERE CONTROLLING ABOVE AND BEYOND WHAT WAS ABSOLUTELY NECESSARY.

WE WERE ACTUALLY TRYING TO CONTROL SOMETHING WHEN THE FLOW WAS ALREADY IN THAT REVERSE DIRECTION.

AND THERE IS A VALLEY IMPORT LIMIT AS WELL, RIGHT? THEY ARE, YES.

NOW, I GUESS THAT'S A LITTLE DISTINCT FOR THAT GTC WHERE THERE ARE, THERE ARE GTCS FOR BOTH DIRECTIONS, BUT BOTH OF THOSE ARE TRYING TO ADDRESS DISTINCT DIRECTIONAL PHENOMENON.

THAT'S ACTUALLY WHY WE HAVE TWO SEPARATE GTCS AS OPPOSED TO A SINGLE GTC THAT WOULD MANAGE FLOW IN BOTH DIRECTIONS.

AND, UM, OKAY.

AND THE, THE IMPORT VALLEY IMPORT SHOULD NOT HAVE BEEN BINDING.

THE ISLAND BRANCH SHOULD NOT HAVE BEEN BINDING THEN.

UH, I THINK THAT'S ALL FOR NOW.

OKAY, GO AHEAD, KEVIN.

AND THEN FOLLOWED BY CHRISTIAN.

DAVE, QUICK QUESTION.

UM, FOR THIS PURPOSES, I UNDERSTAND WE'RE UNDER THE, UH, TIME LIMITATIONS.

DID YOUR TEAM LOOK AT THE PRIOR SITUATIONS LIKE THAT OCCURRED IN THE PRIOR YEARS? WE SAID SOUNDATION? YEAH, WE DID FIND SOME CIRCUMSTANCE THAT THIS HAD OCCURRED.

IT WAS ACTUALLY ABOUT A, MAYBE A YEAR AND A HALF BEFORE THIS PARTICULAR INCIDENT.

AND WE, WE ACTUALLY HAD CORRECTED PRICES FOR IT.

UH, THE, AT THE TIME THE THOUGHT WAS THAT WE COULD MANAGE IT THROUGH SOME PROCEDURAL CHANGES.

UH, UN UNFORTUNATELY THAT THAT DID NOT WORK THE WAY WE HAD HOPED.

AND, AND I THINK IN PART IT WAS DRIVEN BY THE FACT THAT WE HAD SUCH A LOW LIMIT ON THIS GT THERE, THERE JUST WASN'T SUFFICIENT TIME TO TRY TO, TO MANAGE IT.

BUT, BUT BEYOND THAT, WE ARE NOT AWARE OF ANY OTHER ONES BESIDES THE ONE THAT WAS CORRECTED FOR 2021.

I GUESS IT WOULD'VE BEEN.

I THINK IT WAS A SINGLE DAY FOR 2021, IF THAT'S, IF THAT'S ALL HELPFUL.

WE'VE GOT CHRISTIAN FOLLOWED BY SHAMS. HEY, DAVE.

UM, SO BECAUSE OF THE, THE IMPORT AND EXPORT SEPARATE, UM, GTC, IS THIS UNIQUE TO THE VALLEY? WELL, UH, NO.

SO ALL GTCS ARE SINGLE DIRECTIONAL IN, IN NATURE.

NOW, THE FACT THAT THE VALLEY HAS A GTC SORT OF, SORT OF FOUR BOTH DIRECTIONS, I WOULD SAY THAT IS UNIQUE.

I DON'T KNOW OF ANY OF THEIR GTCS THAT HAVE ANYTHING LIKE THAT.

SO THE FIX THAT YOU PUT IN, UM, THAT'S A PERMANENT THING.

SO THAT'LL TAKE CARE OF ALL OF THESE.

ARE YOU STILL GONNA HAVE TO SORT OF MANUALLY WATCH THE OTHERS? NO, I'M SORRY THAT THAT IS A, IT IS BROADLY BEING APPLIED TO ALL GCS, SO IT'S A PERMANENT FIX FOR ALL GTCS.

SHAS, YEAH, I GUESS THEY, ONCE TCM, UM, YOU KNOW, HAS DETERMINED THAT THIS CONSTRAINT IS BINDING AND PARCELS THAT ONTO SKID, UM, I GUESS THE SHIFT FACTOR SKIDS USING IS THE NEGATIVE OF THE FLOW IN THE, BECAUSE SCALE IS DIRECTIONAL, RIGHT? IT WOULD USE THE NEGATIVE OF THE SHIFT FACTORS ON THE GTCS TO TRY TO RESOLVE THIS.

NO, I GUESS THAT'S THE EXACT PROBLEM.

AND IT'S ACTUALLY NOT THAT ALL THAT, THE SHIFT FACTOR INFORMATION AND FLOW INFORMATION IS ALL COMING FROM TCM.

THE WAY IT WORKS FOR THERMALS IS IT RECOGNIZE, AND, AND YOU'RE RIGHT, SKET IS TRYING TO IMAGINE IN A SPECIFIC DIRECTION, BUT IT'S DOING THAT BASED ON INFORMATION FROM THAT TRANSMISSION CONSTRAINT MANAGER AND THAT, AND THAT'S REALLY THE, THE HEART OF THE PROBLEM SHAMS. SO IN THE CASE OF THE THERMAL CONSTRAINTS, THE WAY TCM WORKS IS IT TAKES ALWAYS TAKES THE ABSOLUTE VALUE OF THE FLOW, BUT THEN DOES EXACTLY WHAT YOU'RE DESCRIBING, IT'LL, IT'LL SWITCH THE SIGNS ON THE SHIFT FACTOR GTCS ARE, ARE NOT DEFINED THAT WAY.

AND THAT'S REALLY THE PROBLEM WHERE THE FLOWS IS STILL THE ABSOLUTE VALUE, BUT THE SHIFT FACTORS DON'T CHANGE SIGNS.

THE SHIFT VECTORS ARE ONLY DESIGNED TO REFLECT TRYING TO MANAGE THE CONSTRAINT IN ONE DIRECTION BECAUSE THEY'RE IN THEIR SIMPLE, BY THEIR SIMPLE NATURE NOT, UH, BIDIRECTIONAL LIKE THAT.

I SEE NO OTHER CARDS.

NO OTHER QUESTIONS.

ALL RIGHT, DAVE.

APPRECIATE IT VERY MUCH.

THANK YOU FOR THE TIME.

NEXT, WE'VE GOT AN UPDATE ON WINTER STORM ELLIOT.

LOOKS LIKE JEFF WILL BE HANDLING THAT.

SO OH, MT IS THE M OKAY.

UPDATES ON WINTER STORM ELLIOT, UH, DAVID GAZELLE AND I WILL BE TAG TEAMING.

UH, GOOD MORNING.

WE HAVE TWO

[02:15:01]

UH, I DREW THE SHORT STAR AND I GET THE LOAD FORECAST REVIEW.

UH, DAVID WILL BE GOING OVER WEATHERIZATION AND, AND SORT OF WHAT, WHAT WE SAW DURING ELLIOT FROM THAT.

SO ON THE LOAD FORECAST, I'D LIKE TO START OFF WITH A LITTLE BIT OF BACKGROUND FOR THOSE THAT AREN'T AS FAMILIAR WITH, WITH THE, UH, MIDTERM LOAD FORECAST.

THIS IS, UH, ONE OF OUR OPERATIONAL LOAD FORECASTS THAT WE USE.

IT'S A 168 HOUR FORWARD LOOKING FORECAST.

SO, SO IT GIVES US A ROLLING, UH, FOR EVERY HOUR, A ROLLING 168 HOUR FORECAST.

UH, FOR THE MTL F WE USE TWO, UH, DIFFERENT FORECASTING SYSTEMS. UH, SO WE HAVE OUR INTERNALLY DEVELOPED FORECASTING SYSTEM, WHICH WE USE THE TRON SOFTWARE.

AND, AND THAT'S JUST A WAY OF THAT, THAT, THAT'S JUST A SOFTWARE.

SO THAT'S LIKE SAYING I USE EXCEL TO MAKE A SPREADSHEET.

WE USE THE TRON SOFTWARE TO CREATE THE LOAD FORECAST THAT WE USE.

AND, UH, IF YOU'RE FAMILIAR WITH THE, THE TERMS E E ONE, E TWO, AND E THREE, THOSE FORECASTS COME FROM THAT INTERNALLY DEVELOPED FORECASTING SYSTEM.

UH, WE ALSO HAVE A, A, UH, BACKUP SYSTEM, IF YOU WILL, THAT WE USE, WHICH IS, UH, VENDOR PROVIDED FORECAST THROUGH THE, UH, THE LEGACY ARIBA SYSTEM.

UH, AND, AND THIS, UH, PRIMARILY WE'RE, WE'RE USING THE, UH, THIS TO PRODUCE THE A THREE AND A SIX FORECAST.

UH, NOW THE, UM, THE TRON FORECAST, WE USE, UH, WHAT WE CALL THE TRON FORECAST, THE INTERNALLY DEVELOPED FORECAST.

UH, WE USE THAT ABOUT 95% OF THE TIME.

UH, SO, SO IT'S WHAT WE PRIMARILY USE.

I, I WOULD SAY THE EFFORTS THAT WE PUT INTO OUR FORECASTING, MOST OF THE EFFORTS GO INTO THAT, UH, THAT INTERNALLY DEVELOPED FORECAST.

UM, BUT WE DO, FROM TIME TO TIME, WE, WE WILL SEE THAT WE WILL, UH, USE THE, UH, THE RIVA FORECAST.

UH, NOW, UH, UH, SO ON PURPOSE, WE HA WE HAVE THESE SEPARATE FORECASTS IN CASE SOMETHING WHEREVER TO HAPPEN TO ONE OF THE SYSTEMS OR, YOU KNOW, SOMETHING IN THE SOFTWARE WHERE WERE TO HAPPEN THAT THAT'S WHY WE, WE DO MAINTAIN TWO, UH, SEPARATE FORECASTS.

E EVEN THOUGH WE FOUND THAT THE INTERNALLY DEVELOPED FORECAST IS, UH, MORE RELIABLE AND IT GIVES US BETTER RESULTS GENERALLY, MOST OF THE TIME.

UM, THE, THE OTHER NOTE I'LL MAKE ON THE INTERNALLY DEVELOPED FORECAST IS WE HAVE THE ABILITY TO SELECT DIFFERENT WEATHER MODELS.

SO, YOU KNOW, IF YOU'VE EVER PAID ATTENTION TO YOUR LOCAL WEATHERMAN OR, OR WEATHER WOMAN, AND THEY SAY, HEY, YOU KNOW, WE, WE ARE LOOKING AT THIS GFS MODEL, OR WE'RE LOOKING AT THE EUROPEAN MODEL, AND, YOU KNOW, WE, WE THINK THAT THIS IS WHAT'S GONNA HAPPEN.

WE, WE HAVE THAT ABILITY TO SWITCH BETWEEN THOSE FORECASTS.

AND, AND ALSO HAVING FOUR DIFFERENT MODELS ALLOWS US TO KIND OF PLAY WITH WHAT WE'RE SEEING FROM THE DIFFERENT WEATHER, UH, WEATHER FORECASTS THAT WE'RE GETTING.

UH, SO THAT LITTLE BIT OF BACKGROUND ON THE MTL F SO, UH, THIS IS, UH, THIS SLIDE IS SHOWING THE FORECAST THAT, THAT, UH, THE MODELS WE'RE PRODUCING ON DECEMBER 17TH.

I THINK THAT WAS SATURDAY, LOOKING AT WHAT ENDED UP BEING THE COLDEST DAY, THE HIGHEST LOAD DAY ON, UH, THE 23RD.

AND AS YOU CAN SEE, THE, UM, THE INTERNALLY DEVELOPED FORECAST R REALLY HARDLY HAS ANY SHAPE TO IT AT ALL, AND REALLY DID NOT HANDLE THAT FORECAST VERY WELL.

UH, AS A RESULT, WE ENDED UP USING THE VENDOR FORECAST, SORT OF OUR, OUR BACKUP FORECAST SYSTEM FOR THAT.

AND I WANNA EXPLAIN A LITTLE BIT WHAT HAPPENED AND, AND, AND WHY WE DID THAT AND, AND WHAT WAS GOING ON THERE.

SO, UM, THE, UH, YOU KNOW, I MENTIONED THE INTERNALLY DEVELOPED FORECAST.

UH, THEY HAVE A LOT MORE SOPHISTICATION THAT THAT'S BUILT INTO THE ALGORITHM, THAT THIS IS A LINEAR REGRESSION MACHINE LEARNING TYPE OF A MODEL, AND HAS A LOT OF SOPHISTICATION.

AND ONE OF THE THINGS, ONE OF THE FEATURES THAT HAS IS IT LOOKS AT, UH, HOLIDAYS AS WELL AS NEAR, NEAR HOLIDAYS, WHAT WE CALL NEAR HOLIDAYS, DAYS LEADING UP TO A HOLIDAY, YOU KNOW, EITHER BEFORE OR IT COULD BE AFTER THE HOLIDAY.

AND THE MODEL KNOWS THAT WHEN YOU HAVE THOSE KINDS OF DAYS, YOU'RE, YOU'RE GONNA SEE REDUCED DEMAND ON THE SYSTEM.

YOU'RE, YOU'RE GONNA SEE THAT CERTAIN BUSINESSES ARE CLOSED AND, UH, YOU KNOW, SCHOOLS ARE GONNA BE OUT.

AND, UH, YOU KNOW, GENERALLY PEOPLE ARE USING LESS ELECTRIC ON THOSE DAYS THAN THEY THEY WOULD ON OTHER DAYS.

UH, AND, AND SO IT TAKES THAT INTO ACCOUNT AS IT IS PRODUCING A LOAD FORECAST.

SO, UH, EARLIER IN THE MONTH OF DECEMBER, UH, THE TRON SOFTWARE THAT WE USED TO PRODUCE THE FORECAST, IT HAD AN UP UPDATE AN AN UPGRADE, AND WE WENT THROUGH OUR NORMAL TESTING PROCEDURES, TESTED IT E EVERYTHING SEEMED FINE TO US.

UH,

[02:20:01]

BUT WHAT WE DID NOT CATCH WAS THAT THE, UH, THE SOFTWARE MADE A CHANGE.

THE, THE, THE SOFTWARE VENDOR MADE A CHANGE IN HOW THEY LOOK AT HOLIDAYS.

AND THE RESULT OF THAT WAS ESSENTIALLY THAT IT WAS DOUBLE COUNTING THAT HOLIDAY EFFECT WHERE, WHERE YOU GET REDUCED DEMAND.

UH, AND THAT'S SOMETHING THAT WE DIDN'T REALIZE, UH, REALLY UNTIL, UH, THAT WEEKEND BEFORE THE, THE, THE, THE STORM THAT IT WAS DOUBLE COUNTING THAT WHICH, WHICH WAS GIVING US THAT SORT OF FLAT FORECAST WHERE IT WAS JUST WEREN'T SEEING MUCH, MUCH, UH, DEMAND.

UH, SO AS A RESULT, WE, UH, UH, DETERMINED THAT WE WERE NOT ABLE TO USE THAT INTERNALLY DEVELOPED FORECAST, AND WE HAD TO ROLL OVER TO THE, UH, THE VENDOR SUPPLIED FORECAST.

UH, AND THE, THE ISSUE WITH THAT IS, YOU KNOW, THAT WHILE THAT VENDOR'S, THAT VENDOR FORECAST, UH, YOU KNOW, IT, IT'S GENERALLY A, A PRETTY GOOD FORECAST.

UH, THERE ARE TIMES WHERE IT DOESN'T PERFORM AS WELL.

AND OBVIOUSLY THAT THAT'S WHY 95% OF THE TIME WE USE OUR OWN INTERNAL AND DEVELOPED FORECAST.

AND IN THIS CASE, UH, YOU KNOW, OBVIOUSLY IT PERFORMED BETTER THAN INTERNAL BECAUSE INTERNAL HAD THIS FLAW, BUT IT DIDN'T PERFORM AS WELL.

AND, AND THAT'S WHY WE HAD THE ISSUES THAT, THAT WE WERE SEEING.

UH, SO THAT, I THINK THAT THAT'S THE PRIMARY ISSUE THAT WE WERE SEEING GOING INTO, UH, THAT WEEK, ESPECIALLY THE DAYS THAT, THAT WHERE WE GOT CLOSER TO, UH, THE HOLIDAY.

JEFF, DO YOU WANT TO TAKE QUESTIONS NOW OR AT THE END? YEAH, THAT, THAT'S FINE.

GO AHEAD, BILL.

FOLLOWED BY EMILY.

SO I THINK I GOT IT.

SO WHEN YOU SAY COULD NOT USE, IT WASN'T, UH, A SOFTWARE LIMITATION WHERE YOU ACTUALLY COULDN'T SELECT THEM, OR TECHNICALLY THE DATA WASN'T COMING OVER, IT WAS, YOU KNEW THEY WERE BAD BECAUSE OF THIS, UM, IN THE ROLLOUT.

IT WASN'T COUNTING THE HOLIDAYS PROPERLY, WHICH IS WHY IN THE PRIOR SLIDE THEY DON'T MAKE ANY SENSE.

SO THAT'S CORRECT.

YOU HAD TO IGNORE THEM.

EMILY, A COUPLE QUESTIONS ON THIS SLIDE.

WHEN DID ERCOT REALIZE THAT THAT ERROR EXISTED? UH, I, I, IT WAS OVER THE WEEKEND, UM, PROBABLY SATURDAY OR SUNDAY.

UH, I, I THINK SATURDAY IS WHEN WE IN INITIALLY, UH, DIAGNOSED THAT.

AND HAS ERCOT GONE BACK AND DETERMINED WITH THAT, WITH THE FIX IN PLACE TO REMOVE THE DOUBLE COUNTING WHAT THE ERCOT FORECASTS WOULD'VE BEEN? UM, SO, UH, IT'S, IT'S A LITTLE BIT OF A COMPLEX ANSWER TO THAT.

SO, UH, WE HAVE GONE AND DONE SOME BACKCAST ANALYSIS.

UH, SO, SO WE HAVE THE ABILITY TO GO IN AND, AND SAY, GIVEN THE WEATHER THAT OCCURRED, WHAT WOULD THE FORECAST MODEL HAVE PREDICTED? UH, SO WE HAVE DONE THAT.

WHAT WE, UM, DON'T HAVE THE ABILITY TO DO, OR IT'S VERY CHALLENGING, IS TO SAY, WHAT WAS THE, TAKE THE WEATHER FORECAST THAT WE HAD ON SAY, DECEMBER 17TH, AND PLUG THAT INTO THE MODEL TO SEE, YOU KNOW, WHAT, WHAT WOULD THE FORECAST HAVE BEEN? SO IT'S, IT'S, UH, IT, IT'S COMPLEX TO DO THAT.

UH, BUT THE, I I THINK THE, THE POINT IN DOING THE BACKCAST IS TO SEE HOW, HOW GOOD IS YOUR MODEL? UH, SO IF YOU HAD PERFECT INSIGHT INTO WHAT THE WEATHER WOULD'VE BEEN, HOW, HOW GOOD IS YOUR MODEL? AND I, I DON'T HAVE THE EXACT NUMBERS OFF THE TOP OF MY HEAD, BUT IN THAT ANALYSIS, THE MODEL WOULD HAVE DONE A, I WOULD SAY, PRETTY GOOD JOB.

YOU KNOW, WE, WE FELT LIKE IT WAS WITHIN REASON THAT THE, UH, THE FORECAST THAT WOULD HAVE BEEN PRODUCED GIVEN THE PERFECT INSIGHTS IN THE WEATHER.

SO THERE, THERE'S STILL SOME, YOU KNOW, MODEL ERROR IN THERE, BUT IT WAS, YOU KNOW, MUCH CLOSER THAN, THAN WHAT WE SAW WITH THE, THE A THREE AND ASIC MODELS.

CAN YOU GIVE US A FLAVOR OF HOW MUCH CLOSER? I, UH, I APOLOGIZE.

I DON'T KNOW THAT OFF THE TOP OF MY HEAD.

I CAN GO BACK AND OKAY.

NO OTHER QUESTIONS, JEFF.

YOU CAN KEEP ROLLING.

UH, DECEMBER 23RD, FROM A SYSTEM WIDE PERSPECTIVE, THE ONLY TWO DAYS THAT WERE COLDER WERE DURING URI WHEN WE WERE IN LOAD SHED.

SO, UM, THE, THE, UH, THE SECOND CHALLENGE THAT WE HAD IS, UH, SO, YOU KNOW, SO I JUST MENTIONED IT WOULD'VE BEEN CLOSER.

IT, IT, I THINK WE STILL SAW THAT THERE WERE SOME MODEL ERROR IN THERE.

AND PART OF THAT IS, IF YOU THINK ABOUT HOW THESE MODELS WORK, YOU KNOW, IT'S A, ESSENTIALLY IT'S A MACHINE LEARNING ALGORITHM, UH, AND IT'S USING HISTORICAL DATA.

SO WHEN, WHEN IT'S COLD, WHAT DOES, WHAT, WHAT, WHAT DO, WHAT DOES LOAD DO WHEN IT GETS REALLY COLD? AND THERE IS A LACK OF HISTORIC DATA WHEN IT GETS THE, THESE EXTREME COLD TEMPERATURES.

AND, AND THERE'S SOME PHENOMENA THAT, THAT YOU'RE TRYING TO OBSERVE ON THE, ON THE SYSTEM, UH, THAT IT IS JUST HARD TO CAPTURE UN UNLESS YOU HAVE THESE REALLY EXTREME COLD DAYS.

AND, UH, I THINK THERE'S A SLIDE IN THE APPENDIX THAT, UH, SHOWS THAT RE REALLY IN THE LAST 15 YEARS, UH, THE ONLY TWO DAYS THAT WERE COLDER THAN,

[02:25:01]

UH, AND THAT, YOU KNOW, BEING IN LOAD SHED DOESN'T REALLY GIVE US USEFUL DATA BY WHICH TO TRAIN THE MODELS.

AND, AND AGAIN, THERE, THERE'S THESE PHENOMENA THAT YOU'RE, YOU'RE SORT OF, YOU'RE LOOKING AT, OKAY, IF YOU LIVE IN A, YOU KNOW, A TRAILER HOME OR YOU KNOW, A HOME THAT'S NOT VERY WELL INSULATED, IF IT'S 20 DEGREES OR NEGATIVE 50 DEGREES, IT DOESN'T REALLY MATTER.

YOUR, YOUR, YOUR HEAT'S GONNA BE RUNNING THE ENTIRE TIME YOU'RE NOT GOING COLDER.

DOESN'T REALLY DRAW MORE POWER FROM THE SYSTEM WHEN, WHEN YOU'RE IN THAT SITUATION.

UH, BUT YOU KNOW, YOU ALSO HAVE THE EFFECTS OF, OKAY, IF I HAVE A HEAT PUMP SYSTEM, THEN AT SOME POINT IT'S, IT'S, YOU KNOW, NOT GONNA BE AS EFFECTIVE.

AND IF YOU HAVE THE EMERGENCY, THE STRIP HEATERS, THOSE ARE GONNA KICK ON.

AND THAT'S ALMOST, THAT'S GONNA HAVE AN OPPOSITE EFFECT, RIGHT? THAT'S GONNA HAVE ALMOST AN EXPONENTIAL EFFECT.

BUT, YOU KNOW, EVENTUALLY YOU'LL GET TO KIND OF A ROLLOVER POINT ON THOSE AS WELL, WHERE THE HEAT IS JUST RUNNING.

AND, AND SO THE, THERE'S NOT A LOT OF HISTORIC DATA.

WE'RE, WE'RE LOOKING INTO SOME WAYS TO, UH, TO, TO TAKE THAT INTO ACCOUNT GOING FORWARD.

UH, WE, WE DO HAVE MORE DATA NOW BY WHICH TO USE THAT.

BUT, BUT IN ANY CASE, I THINK THAT THAT WAS ONE OF THE SOURCES OF THE, THE MODEL, UH, ERROR THAT WE WERE SEEING, UH, OR WOULD'VE SEEN HAD WE BEEN ABLE TO USE THE MODELS BETTER.

UM, AND, AND THEN THE THIRD ISSUE WAS THAT THE, UM, THE GLOBAL WEATHER MODELS THAT WE HAVE FOR INPUTS, UH, THEY, THEY REALLY, UH, MISSED THE TIMING AND THE INTENSITY OF THE COLD.

UH, AND I THINK IF YOU LOOK AT SOME OF, UH, OUR NEIGHBORS AROUND THE COUNTRY, THEY, THEY REALLY STRUGGLED WITH THIS, UH, AS WELL, MAY MAYBE, UH, MUCH WORSE THAN WE DID.

BUT, UH, BUT I THINK THAT WAS ONE OF THE FACTORS THAT, UH, AND ESPECIALLY LOOKING AT EVEN LIKE THE A THREE AND THE A SIX MODELS, UH, YOU KNOW, THEY, THEY, THEY JUST, THE WEATHER, THE WEATHER FORECASTERS, UH, YOU KNOW, I'LL SAY GLOBAL METEOROLOGISTS KIND OF MISSED WHAT WAS GOING ON OR THE, THE MODELS MISSED WHAT WAS GOING ON THERE.

I GOT A QUESTION FROM KEVIN.

YEAH, JEFF, I WAS JUST CURIOUS.

WE HAVE ALL THIS HISTORICAL 15 MINUTE DATA THAT YOU GUYS HAVE PROCURED.

I WAS WONDERING IF YOU'VE CONSIDERED GOING BACK AND LOOKING AT, FOR INSTANCE, ON, YOU KNOW, FEBRUARY 13TH, 2021, COMPARISON TO DECEMBER, YOU KNOW, 23RD, 24TH OF 2022, AND LOOKING AT THE RELATIONSHIP AT, YOU KNOW, THEORETICALLY YOU COULD LOOK AT PREMISE BY PREMISE IF YOU REALLY WANT TO, YOU GOT THE DATA FOR IT YEAH.

TO SEE IF THERE'S BEHAVIOR CHANGES THAT WE SAW FROM ERI LEADING UP TO ELLIOT, LEADING UP TO FUTURE STORMS AS WELL, FROM THE PERSPECTIVE THAT, FOR INSTANCE, YOU KNOW, LIKE WE WAS TALKING ABOUT, A TRAILER MIGHT HAVE ONE TYPE TYPE OF HEATING, BUT THEY MIGHT HAVE WENT OUT AND BOUGHT FIVE SPACE HEATERS, WHICH MIGHT HAVE BEEN REFLECTIVE IN THEIR USAGE.

AND WE MIGHT HAVE SEEN THAT CHANGE FROM, LIKE I SAID, FROM A, UH, FEBRUARY 13TH, 2021 PRIOR TO URATE, WHICH COMES TO THE DATE, LIKE YOU'RE SAYING, AND, UH, FEBRUARY YOU NO, DECEMBER 23RD, 24TH OF THIS YEAR, OR 2022.

SO, SO, UH, HAVEN'T DONE THAT ON A METER BY METER BASIS, UH, BUT THAT IS ACTUALLY BUILT INTO THE WAY THAT THE, THE MODEL LEARNS.

UH, SO, SO THAT, THAT IS INHERENTLY WE, WE ARE TAKING THAT INTO ACCOUNT, UH, AS WE ARE, UH, YOU KNOW, UPDATING THE MODEL AND, YOU KNOW, AS IT'S LEARNING FROM HISTORY AND LEARNING HOW THE SYSTEM IS CHANGING, YOU KNOW, OUR OUR LOAD IN GENERAL IS, IS CHANGING ON THE SYSTEM AND, AND IT'S, YOU KNOW, IT, THERE'S A PROCESS THAT WE GO THROUGH THAT IS ALWAYS LOOKING AT THAT.

I GOT A QUESTION FROM THE PHONE.

UH, WAS STEVE REEDY? YEAH.

HI, JEFF.

UH, JUST TO BE CLEAR, THE, UH, THE URI DATA AFTER, UH, FEBRUARY 14TH WAS, WAS AND ALWAYS HAS BEEN EXCLUDED FROM THE TRAINING SET FOR THE, UH, MTL F IS THAT ACCURATE? SO STEVE, I'M, I'M HAVING A HARD TIME HEARING YOU, BUT I THINK THAT YOU ASKED IF IT WAS EXCLUDED FROM THE TRAINING SET IF, IF THE AFTER FEBRUARY 14TH, AND I, I BELIEVE THAT'S CORRECT, BE BECAUSE THE, UH, THE, THE LOAD WHEN WHEN YOU'RE IN LOAD SHED, THEN THE LOAD FORECAST IS SOMEWHAT MEANINGLESS.

IT, IT, IT'S REALLY, YOU'RE, YOU'RE SERVING AS MUCH LOAD AS THE GENERATION CAN ALLOW.

UH, AND, AND SO ANY TRAINING THAT WE'RE, ANY TRAINING DATA THAT, THAT WOULD BE EXCLUDED FROM THAT.

THAT'S ALL WE HAVE, JEFF.

AND, AND, AND SO ON THAT, THAT GO INTO THE MODELS.

AND THEN, UH, YOU KNOW, OF COURSE, EVEN IF WE DID ALL THESE THINGS PERFECTLY, THAT THERE'S STILL GONNA BE SOME AMOUNT OF ERROR, YOU KNOW, OBVIOUSLY MUCH SMALLER AMOUNT OF ERROR, BUT THERE'S, THERE'S STILL GONNA BE SOME AMOUNT OF ERROR.

AND, AND AGAIN, WE, YOU KNOW, WE, WE HAVE A PROCESS IN PLACE.

WE ARE, WE ARE CONSTANTLY TRAINING THE MODELS AND LOOKING TO IMPROVE THE INPUTS

[02:30:01]

SO, UH, BASED ON THAT EXPERIENCE, WE IDENTIFIED FOUR CORRECTIVE ACTIONS THAT, THAT WE WANT TO IMPLEMENT TO, UH, MAKE THINGS BETTER NEXT TIME.

UH, AND, AND THE FIRST, UH, REALLY THE OBJECTIVE FOR THE FIRST ACTION IS TO REDUCE OUR FORECAST ERROR FROM OUR ALTERNATIVE LOAD FORECASTING SOURCE.

UH, AND OUR, OUR PLAN RIGHT NOW IS TO GO OUT WITH AN RFP FOR AN ADDITIONAL EXTERNAL LOAD FORECAST FROM, FROM A VENDOR, UH, THAT WOULD COMPLIMENT THE, UH, THE FORECAST THAT WE ALREADY HAVE.

SO THAT, THAT THAT'S THE, UH, THE FIRST, THE, THE SECOND IS THAT WE ARE LOOKING AT CREATING A LOAD FORECAST MODEL THAT IS SPECIFIC TO EXTREME COLD WEATHER.

UH, SO, YOU KNOW, MENTIONED THAT THE, UM, UH, YOU KNOW, AFTER, UH, FEBRUARY 14TH WHEN WE WERE IN LOAD SHED, URI DATA WASN'T SO GOOD BECAUSE WE'RE IN LOCHE.

UH, HOWEVER, WE DO HAVE THE METER DATA FOR IN, IN THE COMPETITIVE CHOICE AREAS FOR THE, UH, CUSTOMERS THAT NEVER LOST POWER DURING THAT TIME.

AND SO WE CAN TAKE THAT DATA AND WE CAN LEARN FROM THAT.

WE, WE ALSO, YOU KNOW, NOW, NOW WE HAVE, YOU KNOW, ANOTHER DAY THAT, UH, THAT WE CAN, OR ANOTHER COUPLE OF DAYS OF, OF REALLY EXTREME COLD THAT WE CAN USE.

UH, AND SO WE ARE WORKING ON BUILDING A MODEL THAT IS REALLY SPECIFIC TO EX THESE EXTREME COLD EVENTS.

OKAY, GO AHEAD, BILL.

UH, ON NUMBER ONE, ARE YOU, ARE YOU SUGGESTING YOU'RE GONNA HAVE ANOTHER, UH, SET OF INTERNALLY GENERATED FORECAST MODELS BESIDES THE SUITE OF THE E MODELS? AND THIS WOULD BE A COMPLETE SEPARATE EXTERNAL VENDOR OTHER THAN ARIBA, UH, OR WHATEVER THEY'RE CALLED NOW? YEAH.

RIGHT.

OTHER THAN THE GE WE, WE WOULD HAVE A, A, YOU KNOW, WE WOULD PROCURE FROM AN EXTERNAL VENDOR, A, A LOAD FORECAST THAT THEY PRODUCE, UH, FOR THE MTL F OKAY.

THEN ON TWO, UH, ONE JUST SUGGESTION THAT OUR LOAD FORECAST TEAM NOTICED IS WHENEVER YOU GET BELOW A CERTAIN TEMPERATURE, YOU REALLY START TO SEE LIKE RESISTANCE HEAT COMPLETELY SPIKE UP, LIKE IN A MASSIVE WAY.

SO, I MEAN, THAT'S ONE THING WHEN WE GET TO EXTREME COLD WEATHER, YOU, YOU JUST SEE THAT SPEAKS HEAT OR LOAD GO CRAZY.

SO THAT'S ONE THING YOU COULD FOCUS ON WITH, UM, SOME OF THE WORK THAT I THINK CARL HAS DONE WITH EASY ID PROFILE ANALYSIS AND RESIDENTIAL CUSTOMERS IN CERTAIN AREAS.

SO, YEP.

THANKS BILL, SETH? YEAH.

DOES THIS ALSO WORK FOR THE OTHER SIDE OF THE EQUATION WHERE YOU HAVE EXTREME HEAT? LET'S SEE HERE IT SAYS EXTREME COLD.

ARE YOU ALSO LOOKING AT THAT AS WELL? SO I, I THINK WE, WE HAVEN'T SEEN THE CHALLENGES WITH EXTREME HEAT AS MUCH AS WE HAVE WITH THE EXTREME COLD.

UH, I THINK THAT THAT'S WHERE YOU, YOU, YOU START TO GET THESE DIFFERENT PHENOMENA OF THE, YOU KNOW, WITH THE HEAT PUMPS AND THE RESISTIVE HEATING, UH, AND THE, THE SATURATION THAT, UM, MAYBE YOU, YOU STILL SEE SOME AC SATURATION AT TIMES, BUT IT'S, IT'S, UH, I THINK THAT THE EXTREME COLD IS MUCH MORE CHALLENGING TO FORECAST THAN THE TEXANS DEAL WITH THE HEAT A LITTLE BIT BETTER THAN THEY DO THE COLD .

MAYBE YOU COULD SAY THAT.

SO MY OTHER QUESTION IS, ARE YOU GOING THIS OP OBJECTIVE ONE HERE WHERE YOU HAVE ANOTHER LOAD FORECAST FROM ANOTHER VENDOR, ARE YOU GOING TO POST THAT FORECAST LIKE YOU DO WITH ALL THE OTHER ONES? YES.

THAT, THAT WOULD BE OUR INTENTION.

KEVIN? YEAH, JEFF, I'M JUST CURIOUS, WITH THE AMOUNT OF LARGE FLEXIBLE LOADS THAT ARE COMING TO THE MARKET, ARE YOU GUYS ALSO INCORPORATING, UH, THOSE ISSUES INTO BOTH YOUR STEPS IN ONE AND STEP TWO HERE AS WELL? UH, YEAH, I THINK SO.

SO THAT, THAT IS A SEPARATE EFFORT THAT WE HAVE, BUT I, I THINK IT WOULD BE INCORPORATED INTO, UH, ONE AND TWO AS WELL.

I MEAN, I THINK NATURALLY, UH, BUT YEAH, BUT THAT, THAT'S A SEPARATE EFFORT AND, AND, UH, ANOTHER FOCUS THAT WE HAVE RIGHT NOW.

UH, CANADIAN MODEL ACTUALLY WAS, UH, PROBABLY, UH, DID, DID THE BEST IN THE DAYS LEADING UP TO THE, THE, UH, STORM THAT THEY, THEY DID THE BEST JOB OF FORECASTING WHAT, WHAT THE WEATHER WAS GONNA BE.

THANKS KEVIN.

NO OTHER QUESTIONS IN THE QUEUE, JEFF? SO, OKAY.

SO OUR, OUR THIRD, UH, ACTION THAT WE'RE PLANNING ON TAKING IS TO LOOK AT, UH, BRINGING IN ADDITIONAL, UH, RAW WEATHER FORECASTING MODELS.

UH, ORCO WAS ACTUALLY THE FIRST ISO TO BRING IN THOSE, THOSE WHAT WE CALL THE, THE RAW FORECASTING MODELS.

SO THAT'S LIKE YOUR, YOUR EUROPEAN AND YOUR GFS, ET CETERA.

UH, WE, UH, SO RATHER THAN JUST USING A VENDOR SUPPLIED WEATHER FORECAST, UH, WE, WE CAN ALSO USE THOSE RAW MODELS, THOSE GLOBAL WEATHER FORECAST MODELS.

UH, BUT THEY'RE, WE, WE DON'T HAVE ALL OF THEM.

UH, AND IN THIS PARTICULAR CASE, WE, WE DIDN'T HAVE THE CANADIAN MODEL.

[02:35:01]

AND THEN ONCE WE GOT INTO THE STORM ITSELF, UH, THE HER MODEL, UM, IT'S A HIGH RESOLUTION SOMETHING, SOMETHING I APOLOGIZE, UH, BUT THAT, THAT ONE DID THE BEST REALLY WITH, WITH, UH, HANDLING WHAT WAS GOING ON ONCE WE GOT INTO THE STORM.

UH, AND, AND SO HAVING THESE TOOLS IN THE, THE, THE TOOL BELT, SO TO SPEAK, UH, THEY, THEY WOULD BE, UH, VERY BENEFICIAL IN HELPING TO MAKE THE, THE, THE FORECAST MORE ACCURATE BY REDUCING OUR WEATHER FORECAST AIR.

UH, AND THEN, UH, FINALLY WE'VE UPDATED OUR, UH, SOFTWARE UPDATE, UH, TESTING PROCEDURE.

SO, YOU KNOW, AGAIN MENTIONED, IT WAS EARLY DECEMBER, WE, WE GOT THIS UPDATE IN, AND WE, WE FELT LIKE WE HAD A PRETTY ROBUST, UH, TESTING PROCESS, BUT, YOU KNOW, WE, WE OBVIOUSLY MISSED THIS CHANGE IN THE SOFTWARE.

AND, UH, AND SO WE'VE UPDATED OUR TESTING PROCEDURES TO INCLUDE MORE SCRIPTS AND THOSE SORTS OF THINGS SO WE COULD CATCH SOMETHING LIKE THIS.

UH, I IF IT WERE TO HAPPEN AGAIN IN THE FUTURE.

UH, JUST, UH, TWO NOTES.

UH, I, I DID WANT TO MENTION BEFORE WRAPPING UP HERE IS, UM, SO YOU, WE, WE TALK ABOUT CONSERVATIVE OPERATIONS A LOT, UH, IN, IN THIS INSTANCE.

UH, YOU KNOW, I, I THINK THAT REALLY HELPED US BECAUSE, UH, WE DID NOT, UH, JUST PLAN TO OPERATE THE SYSTEM BASED ON THE, THESE FORECASTS.

WE WERE, UH, ANTICIPATING THAT THE LOAD COULD BE HIGHER THAN WHAT WAS FORECAST.

AND WE OPERATED AS SUCH.

WE, WE, YOU KNOW, MADE SURE THAT WE WERE PLANNING FOR THAT AS, AS WE WERE GOING INTO THE, THE WEEK.

UM, AND, AND SO REALLY, UH, I, I DON'T WANT TO MINIMIZE THE, THE, THE FORECAST MISSES.

WE, WE TAKE THOSE VERY SERIOUSLY.

UH, BUT I ALSO WANT TO BALANCE THAT WITH, AT THE END OF THE DAY, DID, DID NOT IMPACT RELIABILITY.

UH, AND THEN, UH, CALVIN OPINE PRESENTED A MORE DETAILED VERSION OF THIS PRESENTATION AT THE OPERATIONS WORKING GROUP.

UH, I'VE INCLUDED A LOT OF THOSE SLIDES IN THE APPENDIX FOR YOUR REFERENCE, BUT IF YOU WANT TO GET MORE DETAILS, I'LL, I'LL REFER YOU TO THAT, UH, THAT PRESENTATION.

GO AHEAD, SETH.

FROM A MARKET PERSPECTIVE, DO YOU THINK THAT THE UNDER FORECASTING THAT YOU'VE SEEN DURING THESE EVENTS LEADS TO MORE RELIANCE ON ROCK? HAVE YOU SEEN THAT PERHAPS IF THE FORECAST WOULD'VE BEEN CORRECT, WE WOULD'VE SEEN MORE SELF-COMMITMENT, OR DO YOU, DO YOU HAVE ANY FEELING ABOUT THAT? SO I, UM, I'M, I'M TRYING TO REMEMBER.

I, I DON'T THINK THAT WE ROCKED A LOT ON THOSE DAYS, IF ANY.

I, I THINK THE, UM, SO, YOU KNOW, SOMEONE MAY CORRECT ME ON THAT, BUT I, I THINK THAT THE MARKET COMMITTED DID, DID A PRETTY GOOD JOB OF COMMITTING ON THOSE DAYS.

I, I THINK ALMOST EVERYTHING THAT COULD BE ON WAS ON RUNNING.

GO AHEAD, KEVIN.

YEAH, JEFF, JUST CURIOUS, YOUR FIRST, UH, BOLT THERE, IS THAT LOW? DID YOUR EYES ACTUALLY APPLYING TO PUBLISH ANYWHERE IN REAL TIME? I'M SORRY TO, IS THAT, IS THAT LOAD ASSUMPTION TO HIGHER DEMAND, YOU SAID YOU USED FOR, UH, RELI RELIABILITY ANALYSIS, IS THAT PUBLISHED SOMEWHERE RIGHT NOW? NO.

WHEN I SAY THAT, UH, I'M, I AM SPEAKING MORE FROM A, A GENERAL SENSE AND HOW ARE OPERATORS WERE POSTURED, HOW THEY WERE LOOKING AT, YOU KNOW, THINKING ABOUT THE SYSTEM, THINKING ABOUT, YOU KNOW, THE COMMITMENT ON THE SYSTEM AND, AND THOSE SORTS OF THINGS.

UH, YOU KNOW, WE, WE, WE WERE ANTICIPATING THAT THE LOAD COULD BE HIGHER, UH, FOR, YOU KNOW, FOR VARIOUS REASONS AND, AND, UH, YOU KNOW, OPERATED ACCORDINGLY.

GOOD AFTERNOON EVERYBODY.

AND ALSO, JUST FOR CLARITY, ALSO THE SAME PRESENTATION CALVIN GAVE AT O W G WILL BE GIVEN TO, UH, S A W G ON FRIDAY AS WELL.

SO, ALL RIGHT.

THANKS, KEVIN.

ANY OTHER QUESTIONS FOR JEFF? SEEING NONE, APPRECIATE THE UPDATE.

I, UH, PUT TOGETHER A, A SHORT PRESENTATION TO BASICALLY UPDATE YOU ON, UH, THE, THE WINTER WEATHERIZATION INSPECTION EFFORT AND ALSO GIVE YOU SOME INFORMATION ON, UH, WHAT WE'RE LEARNING FROM WINTER STORM ELLIOT.

[02:40:06]

SO, JUST AS BACKGROUND, JUST TO KIND OF ORIENT EVERYONE, THE VAST MAJORITY OF YOU ARE LIKELY AWARE THAT, UH, THE PHASE ONE OF THE PUC WEATHERIZATION EMERGENCY PREPARATION PREPAREDNESS RULE WAS IN PLACE THE WINTER BEFORE LAST.

UH, WE WENT OUT AND DID SOME INSPECTIONS, THEN TOTAL OF 302, PHASE TWO OF THAT SAME RULE WAS, UH, ADOPTED IN LATE SEPTEMBER OF 2022, AND WAS EFFECTIVE FOR THIS PAST WINTER THAT WE JUST WENT THROUGH.

AND WE WENT OUT AND INSPECTED AGAIN AT A HIGHER PACE, AND WE DID A TOTAL OF 774 WINTER WEATHERIZATION INSPECTIONS.

IN TERMS OF, UH, OF, OF JUST A, WHAT KIND OF SUMMARY CAN WE DRAW ON THE EFFECTIVENESS OF THE PROGRAM, THE EFFECTIVENESS OF THE WORK THAT REALLY ALL OF YOUR PEOPLE DO IN PREPARING FOR WINTER? I THINK THERE HAS BEEN A SIGNIFICANT IMPACT.

THE LAST BULLET THERE DESCRIBES THE REDUCTION IN THE AMOUNT OF OUTAGES THAT WE SAW THAT WERE WEATHER RELATED, UH, BETWEEN WINTER STORM URI, WHICH OF COURSE WAS PREVIOUS TO ANY OF THESE RULES COMING OUT.

AND, UH, AND WINTER STORM ELLIOT IN DECEMBER OF THIS PAST YEAR.

NOW THE, THE TWO STORMS WERE NOT EQUIVALENT, YOU KNOW, IT, IT LASTED LONGER WITH URI, THERE WAS MORE PRECIPITATION IN URI.

SO URI WAS A, A MORE DIFFICULT TEST FOR SURE, BUT THE TEMPERATURES ACTUALLY DID GET QUITE COLD DURING ELLIOT.

AND, AND, AND THOSE COLD TEMPERATURES DID HAVE AN IMPACT.

I, I DON'T WANT TO, UH, DIMINISH THE FACT THAT WE DID SEE SOME OUTAGES AND WERE DISAPPOINTED THAT THAT HAPPENED, BUT WE CERTAINLY ARE ENCOURAGED BY, UH, YOU KNOW, A, A VERY SIGNIFICANT, NEARLY AN ORDER OF MAGNITUDE, UH, REDUCTION IN THE OUTAGES.

SO THIS IS JUST A VISUAL TO GIVE YOU.

JUST A SECOND.

DAVID, WE GOT A QUESTION FROM MIKE WISE.

OH, PLEASE.

YEAH, DAVID, UH, LOOKING AT THAT SLIDE, UH, ARE YOU DIFFERENTIATING UNITS THAT HAVE WEATHER OUTAGE FROM, UH, UNITS THAT COULD NOT GET FUEL DUE TO, UH, NATURAL GAS WEATHER OUTAGES NOT ASSOCIATED WITH THEIR ACTUAL GENERATION FACILITIES? I BELIEVE THAT, AND I'LL HAVE A SLIDE HERE, THE NEXT SLIDE, AS A MATTER OF FACT, HAS WEATHER RELATED OUTAGES IN IT.

UM, AND I BELIEVE THAT IT INCLUDES, UH, FUEL RELATED PROBLEMS AS WELL ASSOCIATED WITH WEATHER.

SO THE, THE 30,000 THAT THAT WE REFERRED TO DURING URI ALSO INCLUDED, UM, YOU KNOW, LACK OF GAS FOR MANY FACILITIES.

AND WHAT WE, WITH THE 4,500 THAT WE CAME UP WITH DURING ELLIOT, ALSO INCLUDED SOME THAT WERE AFFECTED BY, BY A LACK OF FUEL.

I THINK IT'S IMPORTANT TO DIFFERENTIATE COMPLETELY, UH, FOR A LOT OF REASONS.

BUT WE'RE DEALING WITH THIS AT THE FUR LEVEL AND AT NASBE, THE ELECTRIC GAS COORDINATION IS HIGHLIGHTED BY NERC RIGHT NOW AND WILL BE IN THE NEXT RISK REPORT THAT THIS IS AN ESSENTIAL PROBLEM IN OUR INDUSTRY.

AND IT, IT NEEDS TO BE HIGHLIGHTED HERE AT ERCOT AS WELL.

THE NUMBER OF UNITS THAT WERE AVAILABLE, THE MEGAWATTS THAT WERE AVAILABLE THAT DID NOT OPERATE SIMPLY BECAUSE THE FUEL WAS NOT THERE.

AND YOU CAN LOOK DOWNSTREAM AND IDENTIFY, ESPECIALLY IN URI, THAT MUCH OF THAT FUEL WAS, WAS WEATHER RELATED, BUT IT WAS NOT RELATED TO WEATHER OUTAGES ON THOSE PARTICULAR POWER PLANTS.

AND I, I THINK THE MESSAGE GETS CONVOLUTED, IT GETS, UH, CONFUSING.

AND I CAN TELL YOU THAT OUR LEGISLATORS AND REGULATORS DO NOT FULLY UNDERSTAND THAT, UH, THAT DIFFERENTIATION, AND I THINK IT'S IMPORTANT FOR ERCOT, IS AN INDEPENDENT AUTHORITY TO ENSURE THAT WE GET THAT MESSAGE COMPLETELY COMMUNICATED SUCH THAT WE DO KNOW WHAT THE FUEL PROBLEM IS COMPARED TO THE WEATHERIZATION OF OUR INDIVIDUAL UNITS.

CUZ WE ARE TOTALLY DEPENDENT IN MANY CASES UPON, UH, THAT FUEL WEATHERIZATION.

AND MANY OF THESE UNITS THAT YOU'VE IDENTIFIED, THE 30,000, I I CAN SAY MINE ARE PROBABLY IN THERE, HAVE FIRM TRANSPORTATION ARRANGEMENTS THAT WERE TOTALLY FORCE MAUR DURING THOSE TIMES BECAUSE THERE WASN'T ANY FUEL TO PUT IN THE PIPELINES.

THIS IS A PROBLEM CANAN, WE'VE GOT TO ADDRESS GOOD COMMUNICATION AND DIFFERENTIATION TO ENSURE THAT WE GET GOOD PUBLIC POLICY COMING OUT OF THESE, THIS DATA.

I'M, I'M GONNA LET DAVID ANSWER THAT, BUT I, I, I THINK I HAVE A FOLLOW UP FOR YOU, BUT I I'M GONNA GIVE YOU THE

[02:45:01]

PODIUM FIRST AND WELL, THANK YOU KAAN AND POINT WELL TAKEN.

UH, I THINK IT IS VERY IMPORTANT TO DIFFERENTIATE WHAT'S CAUSING IT, UH, BECAUSE, YOU KNOW, IT BASICALLY COMES DOWN TO, UH, WHO'S RESPONSIBLE TO TRY TO RESOLVE THE PROBLEM, RIGHT? AND SO POINT WELL TAKEN, UH, I I WILL MENTION THAT IN WOODY DICKERSON'S, UH, MOST RECENT PRESENTATION TO THE ERCOT BOARD, HE DID DIFFERENTIATE BETWEEN, UM, WEATHER RELATED VERSUS FUEL RELATED OUTAGES, NUMBERS OF OUTAGES.

AND WE COULD GO BACK AND PROBABLY TRY TO, UH, QUANTIFY THE MEGAWATT HOURS LOST FROM BOTH AS WELL, RATHER THAN JUST NUMBERS OF OUTAGES.

THE MAGNITUDE OF THE IMPACT IS ALSO AN IMPORTANT ASPECT.

SO I MEAN, I THINK WE CAN WORK ON THAT.

UM, THE OTHER POINT I WAS GONNA MAKE IS THAT THERE IS SOME INTERESTING INTERDEPENDENCY HERE THAT DOES NOT LET YOU CONVERGE ON AN ABSOLUTE FINAL ANSWER BECAUSE SOME OF THE WEATHER, WEATHER RELATED OUTAGES FREED UP FUEL FOR SOME OF THE UNITS, RIGHT? SO THIS IS ONE OF THE THINGS ACTUALLY WE'RE WRESTLING WITH IN THE FIRM FUEL PROGRAM AS TO WHAT'S A IN-STATE, WHAT SHOULD BE, SORRY, I WAS WHAT, WHERE THAT SHOULD END UP LONG RUN.

SO, UH, POINT TAKEN, BUT I'M NOT SURE, UH, AND, AND I, AS DAVID MENTIONED, WE CAN BREAK IT OUT BETTER.

UM, BUT JUST REMEMBER THAT THERE IS SOME INTERDEPENDENCY THERE, BUT I'M COMFORTED, UH, BY THE DIALOGUE ANYWAY BECAUSE I KNOW YOU'RE ON THE ISSUE AND IT'S REALLY IMPORTANT, I CAN TELL YOU FROM, UH, PEOPLE OUTSIDE OF ERCOT AS WELL, UH, THAT THIS IS A MAJOR YEAR.

LET ME JUST POINT OUT QUICKLY, AND I WANT TO GO DOWN RAPID TRAIL, BUT, UH, THE SOUTHWEST POWER POOL IS DEPENDENT UPON THE FUEL THAT'S IN ERCOT, THE NATURAL GAS THAT'S, UH, SERVED BY THE ELECTRIC, UH, SYSTEMS OF ERCOT.

AND THAT WAS CLEARLY IDENTIFIED AS WELL.

SO WE'VE GOT IMPACTS BEYOND JUST ERCOT WITH DEALING WITH FUEL ISSUES THAT ARE IN TEXAS.

AND, UH, I'LL LEAVE IT AT THAT FOR THE MOMENT.

OKAY, THANKS BRIAN.

UH, AND TO YOUR POINT, KAAN, UH, WITH THE INTERRELATEDNESS, UH, WE DID ALSO CALL FOR, UH, SOME, SOME OF THE FUR FIRM FUEL SUPPLY.

UM, CONTRACTS WERE, UM, INITIATED DURING, UH, ELLIOT, WHICH MAY HAVE MITIGATED SOME NATURAL GAS PROBLEMS AS WELL.

SO THEY, THEY ALL, ALL ARE INTERRELATED, BUT CERTAINLY BEING ABLE TO DISTINGUISH BETWEEN THEM IS, IS VALUABLE.

SO THE PURPOSE OF THIS SLIDE WAS BASICALLY JUST TO LET YOU KNOW THE NUMBER OF INSPECTIONS THAT THAT WERE DONE THIS PAST WINTER.

AND, AND I'LL ALSO JUST, UH, OFFER A THANK YOU FOR THE SUPPORT THAT WE GOT FROM YOUR FOLKS WHILE WE WERE ONSITE INSPECTING.

IT WAS BY AND LARGE, UH, WE WERE WELL RECEIVED, HAD VERY GOOD OPEN DIALOGUES.

THERE WERE MANY TIMES WHEN WE FOUND MINOR, UH, ISSUES THAT GOT RESOLVED WITHIN DAYS OF US BEING ON SITE.

AND SO I I JUST ASK YOU TO CARRY BACK TO YOUR FOLKS, UM, YOU KNOW, A A THANK YOU AND KUDOS FOR THEIR DILIGENCE IN TRYING TO PREPARE.

AND THEN WHEN WE DID FIND SOME CHINKS IN THE ARMOR IN, IN MAKING THOSE CORRECTIONS AS QUICKLY AS THEY COULD, DAVID HAD JUST A FEW QUESTIONS, BRIAN FOLLOWED BY, UH, THIS, THIS REALLY IS A FOLLOW UP TO, UM, MIKE'S REQUEST FOR, UH, ADDITIONAL INFORMATION ON, UH, I GUESS THE CURTAILMENTS.

UM, I THINK THERE IS A DIFFERENCE BETWEEN, UH, FIRM TRANSPORT AND FIRM TRANSPORT PLUS STORAGE.

SO I'D JUST ASK IF ANY ANALYSIS YOU ALL DO, UH, IN TERMS OF, UH, DELIVERIES OR, UH, YOU KNOW, FOUR OUTAGES RELATED TO FUEL DELIVERIES HAVE THAT KIND OF ADDITIONAL GRANULARITY WITH FT PLUS STORAGE VERSUS JUST FT.

DOES THAT MAKE SENSE? UH, I THINK SO, BUT IT'S MORE IMPORTANT THAT IT MAKES SENSE TO HIM THAT YEAH.

THAN, THAN ME .

SO IT, IT, IT DOES MAKE SENSE TO ME.

I UNDERSTAND CONCEPTUALLY WHAT YOU'RE TALKING ABOUT THERE, BRIAN.

BUT, BUT I, I DON'T KNOW THAT WE HAVE, UH, A LOT OF INSIGHT AND MAYBE WE SHOULD, MAYBE WE DO HAVE IT.

AND I, I'M NOT AWARE OF IT AS TO WHO'S GOT STORAGE ON TOP OF A FIRM FUEL CONTRACT.

YOU ALL JUST DID A, A SURVEY OF, OF, UH, ASKING THOSE TYPES OF QUESTIONS AND UM, YOU KNOW, I THINK YOU HAVE THE ABILITY TO ISSUE RFIS TO GENERATORS, UM, THAT I THINK CAN PROVIDE THAT EXTRA LEVEL OF DETAIL.

I'M JUST SAYING THAT THERE'S A, A VERY DIFFERENT PERFORMANCE WITH, UH, STORAGE

[02:50:01]

HAVE A COUPLE MORE QUESTIONS.

KEVIN, FOLLOWED BY EMILY.

YEAH, I GUESS IS CONTINUING THE SAME STREAM OF THOUGHT HERE WITH REGARDS TO, UM, SO CLEARLY DURING ELLIOTT PGM SAW ISSUES, TENNESSEE SAW ISSUES, WE ACTUALLY SAW ISSUES HERE IN TEXAS WITH REGARDS TO RESIDENTIAL GASKET AND, YOU KNOW, SHUT OFF MULTIPLE HOUSES, UM, DURING THE EVENT.

AND WITH CASPER BEING THE CURRENT VERSIONS IN PLACE RIGHT NOW, THERE'S GONNA BE PROBABLY, YOU KNOW, BEYOND NO RISK TO GENERATION HERE HAS BEEN DISCUSSED BY WOODY.

THERE'S OTHER GENERATION AT RISK IN OTHER PARTS OF THE COUNTRY THAT ARE COAL-FIRED AND PROBABLY CONVERTING, POTENTIALLY CONVERTING NATURAL GAS.

MAYBE NOT.

THE ISSUE IS IT'S SAYING MORE OF A NATIONWIDE OR RISK THAT IS IMPACTING TEXAS.

I'M JUST CURIOUS IF ERCOT IS LOOKING AT THE NATIONWIDE PERSPECTIVE OR WE'RE STILL JUST FOCUSING WITHIN THE ERCOT AREA.

I DON'T, I DON'T KNOW THAT I CAN ANSWER THAT ADEQUATELY, BUT CERTAINLY I UNDERSTAND WHAT YOU'RE TALKING ABOUT.

AND, AND WITH PERHAPS ADDITIONAL COAL RESOURCES COMING OUT OF THE MIX NATIONWIDE, UH, AND NOT A LOT OF NEW GAS LINE DEVELOPMENT GOING ON, YOU CAN ANTICIPATE IT'S ONLY GONNA EXACERBATE THE ISSUE.

I GUESS ADDITIONALLY ALSO THE LG, UM, TERMINALS THAT WE'RE SEEING, YOU KNOW, COMING ON SURE.

AND THAT RISK AS WELL.

EMILY, THANK YOU DAVID.

I DO HAVE A QUESTION ON THIS SLIDE.

UM, OF THE 69 FACILITIES THAT WERE, UM, I GUESS INITIALLY IDENTIFIED WITH A DEFICIENCY AND ASSIGNED CURE PERIOD, DO YOU HAVE THE SAME BREAKDOWN AS BETWEEN TRANSMISSION DISPATCHABLE AND IRS FOR THOSE 69? I DO.

UH, I'LL, I'LL JUST BROADLY STATE THAT PROBABLY TWO THIRDS OR MORE WERE ACTUALLY WITH THE TRANSMISSION FACILITIES.

UM, THE, THERE WERE SOME GENERIC ISSUES THAT WE'VE FOUND WITH MANY OF THE TRANSMISSION FACILITIES THAT THEY'VE JUMPED ON.

AND AGAIN, THEY'RE, THEY'RE WELL ON THEIR WAY IF THEY HAVEN'T CURED THEM ALREADY, THEY'RE ON IT.

BUT REMARKABLY, UH, WE DID FAR LESS TRANSMISSION FACILITIES, BUT THE TOTAL NUMBER OF THOSE WITH CURE PERIODS WAS HIGHER AMONG THE TRANSMISSION FACILITIES THAN IT WAS AMONG THE GENERATION RESOURCES.

SO, AS A FOLLOW UP TO THAT, UM, WHAT'S THE APPROPRIATE PLACE TO BRING BACK THAT INFORMATION IF THERE IS SOME SORT OF CHRONIC, UM, PERHAPS MAYBE MISUNDERSTANDING OF THE RULE OR THE EXPECTATION OR THE INSPECTION OR SOMETHING THAT YOU'VE IDENTIFIED THAT, THAT FOLKS GENERALLY NEED TO ADDRESS? WHAT'S THE RIGHT FORUM FOR THAT? I, I WOULDN'T SAY THAT THERE'S A CHRONIC, UH, PROBLEM.

UH, I THINK IT WAS MORE JUST AN AWARENESS AND I THINK THE FOLKS THAT WE HAVE TALKED TO ARE, ARE NOW VERY MUCH AWARE OF WHAT THE EXPECTATION IS.

SO I DOUBT THAT WE WILL SEE THAT SAME TYPE OF PATTERN NEXT WINTER.

UM, SO WE ARE ADDRESSING IT DIRECTLY WITH THE FOLKS THAT, THAT HAVE THE CURE PERIODS AND, AND THEY'RE ON IT.

UH, WE, WE HAVE NO INDICATION OF ANYONE, YOU KNOW, BALKING AT IT OR ANYTHING OF THAT SORT.

UM, SO I DO BELIEVE IT'S A SHORT TERM PERHAPS OVERSIGHT THAT NOW THEY, NOW THAT THEY UNDERSTAND IT BETTER, THEY'RE, THEY'RE ON IT AND, AND THEY'RE CORRECTING IT.

I, I THINK I STILL WOULD MAKE A REQUEST THOUGH FOR SOME SORT OF LESSONS LEARNED, UM, IF THERE'S AN OPPORTUNITY TO ANONYMIZE OR AGGREGATE THE INFORMATION AND TO, UH, CUZ YOU KNOW, THOSE OF US WHO MAYBE DIDN'T HAVE THAT ISSUE THIS TIME, BUT NOT BEING AWARE OF THE ISSUE MIGHT SEE IT IN A FUTURE INSPECTION.

SO GREAT IDEA.

THAT WOULD BE HELPFUL.

GREAT POINT.

AND, AND CERTAINLY, UH, I, I DO WANT TO JUST LET EVERYONE KNOW THAT WE WILL CONTINUE THE PRACTICE OF HAVING WORKSHOPS.

UH, WE WE'RE JUST IN THE PROCESS OF SCHEDULING ONE FOR APRIL NOW AS WE COME UPON THE SUMMER TIMEFRAME.

SO WE WILL GET A MARKET NOTICE OUT, UH, IDEALLY THIS WEEK, UH, ABOUT, ABOUT THAT ONE.

AND WE WILL DO THAT ONE CUR FOR THE, UM, FOR THE RESOURCE ENTITIES AND THE TSPS TOGETHER BECAUSE THEIR, THEIR ACTIVITIES ARE HIGHLY SIMILAR.

UM, SO I, WE THINK, UH, WE'RE JUST CONSOLIDATE THAT INTO ONE MEETING, BUT WE WILL ALSO CONTINUE IN THE FALL TO HAVE WORKSHOPS AND PROBABLY IN THAT FALL WORKSHOP WE WOULD GO INTO SOME DETAIL ON WHAT DID WE SEE, WHAT, WHAT ARE THE ISSUES? BUT CERTAINLY WE'LL, WE'LL, UH, BEGIN TO QUANTIFY THAT AND, AND COME UP WITH SOME GENERAL STATEMENTS A ABOUT HERE ARE THINGS THAT WE FOUND THAT YOU SHOULD BE LOOKING AT, UH, THAT WERE NOT UNIQUE.

SO THIS, THIS IS MORE, UH, JUST FACTS THAT WE PULLED TOGETHER FROM THE RFI RESPONSES ON ELLIOT AND, UH, WHAT, AND THIS IS A SORT OF A SUBSET OF ANALYSES.

NO OTHER QUESTIONS RIGHT NOW.

YOU CAN KEEP ROLLING, DAVID.

OKAY, GREAT.

[02:55:03]

OKAY? THIS IS ONE THAT WE KIND OF FOCUSED ON IS CAN WE FIND ANY CORRELATION BETWEEN AGE OF UNIT AND FAILURE RATES? AND MY FIRST GUT RESPONSE IS NOT REALLY, UM, AS YOU CAN SEE IN THE BULLETS THERE, UM, THE, THE 40 PLUS, WHICH ARE THE OLDER UNITS, RIGHT? UM, WITH WITHIN ERCOT PEAKED AT AN OUTAGE LEVEL OF 2209, BUT WITHIN FIVE HOURS THEY WERE DOWN TO 15.

SO IT WAS A SHORT TERM ISSUE THAT HIT THEM.

UM, JUST AFTER THE, THE COLDEST PERIOD THAT WE HAD, WHICH YOU CAN SEE ON THE RED LINES ON BOTH CHARTS, UH, WAS IN THE EARLY MORNING ON 1223.

AND YOU CAN SEE THAT JUST SUBSEQUENT TO THAT IS WHEN WE HAD THE HIGHEST LEVELS OF OUTAGES.

SO THERE IS CERTAINLY, UH, CORRELATION BETWEEN DROPPING INTO THOSE EXTREME COLD TEMPERATURES AND THE NUMBER OF OUTAGES THAT WE SAW, UH, BUT REMARKABLY, UH, THE, THE OLD UNITS WERE ABLE TO COME BACK ONLINE VERY QUICKLY.

SO WE WERE ENCOURAGED BY THAT.

UH, ANOTHER BULLET IS THAT THE 10 TO 20 YEAR OLD UNITS HAD A SIMILAR BUT SLIGHTLY LESS NUMBER OF PEAK MEGAWATTS, THAT PEAK PEAK OF ALL THE, THE OUTAGE PERIODS.

UM, BUT SEVERAL DAYS LATER THEY STILL HAD NOT RECOVERED, UH, ROUGHLY A THIRD OF, OF WHAT WAS OUT.

AND SO, YOU KNOW, IT DOES MAKE YOU QUESTION, WELL, IS IT THE OLD ONES THAT HAVE THE BIGGEST PROBLEM AND WELL IN MAGNITUDE FOR THAT INSTANT, YES, IT WAS ON THIS OCCURRENCE, BUT YOU KNOW, IT WAS ALSO CORRECTED QUICKLY AND WE HAD MORE OF A CHALLENGE IN THE 2010 TO 20 YEAR.

AND THE LAST BULLET THERE JUST KIND OF GIVES YOU THE, UM, THAT THAT BREAKDOWN REMARKABLY THE 30 TO 40 YEAR OLD PLANTS, I DON'T KNOW IF WE JUST DIDN'T BUILD ANY THEN OR WHAT, BUT, UH, THERE WERE NO OUTAGES IN 30 TO 40 YEAR OLD PLANTS.

SO I, I GUESS THE, A COUPLE OF OTHER HIGHLIGHTS, JUST TO BE AWARE OF THE, THE CHART ON THE LEFT IS PURELY THERMAL UNITS, AND THEN THE CHART ON THE RIGHT IS ALL UNITS.

SO THAT INCLUDES, UH, THE IRRS, THE, THE WIND, AND THE SOLAR.

UM, AND, AND YOU CAN SEE THAT, UH, DURING THAT PEAK, THE PEAK AMONG THE THERMALS WAS ABOUT 3000 MEGAWATTS AND WE LOST ABOUT AN ADDITIONAL 1500 OF THE IRRS DURING THAT PEAK.

UM, SO THERE'S A, A LOT OF, UH, JUST INTERESTING INFORMATION THERE.

I JUST WANTED TO SHARE THAT TO GIVE YOU SOME GRANULARITY.

IT'S A LITTLE BIT MORE INFORMATION THAT WAS SHARED IN THE LAST, UH, BOARD PRESENTATION.

ANY QUESTIONS ON THAT ONE? YEP.

YOU GOT BILL FOLLOWED BY KEVIN.

I THOUGHT THEY WERE, I THOUGHT ERCOT HAD REPORTED LIKE 10,000 OR 14,000 MEGAWATTS OF, OH, THAT'S, THIS IS JUST WEATHER RELATED.

THAT'S CORRECT.

AND, AND, AND WEATHER RELATED ALL IN THE RIGHT CHART.

SO THE, THE REST WOULD'VE BEEN ROUTINE FORCED OUTAGES THAT WE TYPICALLY SEE TWO BLEAKS.

THAT'S RIGHT.

THAT WE INCLUDED, UM, WE, WE INCLUDED, UH, HYDRO IN THE I R COUNT, BUT I DON'T KNOW THAT WE HAD ANY HYDRO OUTAGES.

UM, I'M STILL CONFUSED AS WHAT, HOW A WEATHER RELATED OUTAGE CAN LAST FOR DAYS.

IS THAT MAYBE A, SOME TYPE OF SENSING EQUIPMENT MAYBE BROKE AS A RESULT OF THE STORM OR COLD WEATHER OR, I, I DON'T HAVE A GOOD ANSWER FOR YOU.

CERTAINLY YOU COULD HAVE TUBES THAT BURST IT, YOU KNOW, IF YOU FREEZE A TUBE, IT COULD EXPAND TO THE POINT WHERE IT BREAKS AND IT TAKE A COUPLE DAYS TO REPLACE IT.

UM, BUT I, I, I DON'T REALLY HAVE A GOOD ANSWER TO THAT.

OKAY, THANKS.

OKAY, KEVIN? YEAH, I'M JUST CURIOUS READING THE CHART THERE BETWEEN, UH, THE ALL UNITS VERSUS THE THERMAL UNITS.

LOOKS LIKE YOU HAVE A SUBSTANTIAL AMOUNT OF NON-THERMAL OLDER THAN 40 YEAR OLD UNITS, ABOUT A THOUSAND MEGAWATTS READING THE CHART.

I'M JUST CURIOUS WHAT TECHNOLOGY, SINCE I DON'T BELIEVE WE HAVE RENEWABLES THAT OLD, THAT FILLS THAT GAP THERE.

YEAH, SO IT, IT IS THE, A GREEN, THE GREEN BAR, IF YOU LOOK AT IT IN THE LEFT CHART, LET'S SAY IT WAS, IT HAD A SHELF AT ABOUT JUST BELOW 2000, JUMPED UP TO CLOSE TO 3000.

SO ABOUT A THOUSAND IN THE THERMALS.

AND WHEN YOU LOOK AT ALL OF 'EM, YOU'RE AT MAYBE 2,400 TO 4,500.

SO YOU'RE LOOKING AT ANOTHER 1400 OF, I GUESS OLDER WIND IS WHAT I WOULD GUESS.

CAUSE WE, SO I DON'T, THAT'S WHAT I'M SAYING.

I DON'T THINK THERE'S A WIND THAT'S 40 YEARS OLD HERE IN ER.

I JUST CURIOUS IN TERMS OF THE MATH THERE, , IT'S, IT'S A GREAT QUESTION.

IT IT, IT IS POSSIBLE.

I, I DO BELIEVE

[03:00:01]

SO I'LL, I'LL GO BACK AND CHECK ON THAT.

OKAY, THANK YOU.

YEAH, YEAH, GOOD QUESTION.

OKAY, THANKS KEVIN.

NO, NO QUESTIONS IN THE QUEUE.

YOU CAN KEEP ROLLING, DAVID.

OKAY, THANK YOU.

SO THIS IS JUST SORT OF SOME SUM SUMMARY BULLETS.

UH, WHAT WE WOULD REQUEST, AND I'M SURE THE STATE WOULD AS WELL, IS THAT EVERYONE JUST CONTINUED TO DILIGENTLY PURSUE THE, THE WEATHERIZATION, UH, MEASURES THAT ARE REQUIRED BY THE STANDARD AND THOSE THAT, THAT ARE PRACTICAL FOR VARIOUS FACILITIES.

UM, WE ARE SCHEDULING, AS I INDICATED, THAT UH, SUMMER WEATHERIZATION WORKSHOP, UH, JOINTLY FOR THE RESOURCE ENTITIES IN TSPS ON WEDNESDAY THE 19TH HERE AT THE VET CENTER.

IT WILL ALSO ALSO BE BROADCAST.

I KNOW THERE ARE PEOPLE THAT ARE AT, UH, OTHER, UH, ACTIVITIES EARLIER IN THAT MORNING.

WE SCHEDULED IT DELIBERATELY AFTER, UH, OTHER STUFF ENDED SO THAT IDEALLY YOU'D BE ABLE TO JOIN ONLINE IF YOU'RE NOT ABLE TO GET HERE IN PERSON.

UM, WITH RESPECT TO THE CURE PERIODS, THE, THE STATE RULE, I JUST WANNA MAKE THIS STATEMENT, UH, DOES ALLOW ERCOT TO ASSIGN THESE CURE PERIODS.

IT, IT ALLOWS PEOPLE THAT RECEIVE THE CURE PERIODS TO REQUEST AN EXTENSION.

WHEN THEY DO REQUEST AN EXTENSION, THEY NEED TO PROVIDE EVIDENCE OF WHY THAT EXTENSION IS NECESSARY.

AND THEN WE TALK JOINTLY WITH THE PUC AND COME UP WITH A FINAL CURE PERIOD.

UM, BY AND LARGE PEOPLE HAVE ACCEPTED THE CURE PERIODS THAT WE'VE GIVEN THEM WITHOUT REQUESTING AN EXTENSION.

UM, AND PEOPLE ARE DILIGENTLY WORKING TO CLOSE THESE THINGS.

AND WE'RE, WHAT WE'RE SEEING IS THAT, UH, MANY OF THE, OF THESE DEFICIENCIES ARE CURED WELL BEFORE THE END OF THE CURE PERIOD.

SO AGAIN, KUDOS TO, TO YOUR STAFF THAT'S WORKING HARD ON THAT.

AND I ALSO WANTED TO MAKE A, A GENERAL STATEMENT ABOUT WHEN THE INSPECTORS COME OUT, THERE ARE PROVISIONS OF THE RULE THAT SAYS YOU HAVE TO APPLY THESE MEASURES BEFORE THE SEASON STARTS AND YOU HAVE TO MAINTAIN THEM THROUGH THE SEASON.

AND IN SOME CASES THE, THE RULE REQUIRES YOU TO CHECK OR TEST SOMETHING ON A MONTHLY BASIS.

SO IF, IF WE COME OUT FOR, UH, AN INSPECTION IN SEPTEMBER, FOR EXAMPLE, WE'LL WANT TO SEE EVIDENCE THAT YOU MADE SURE THAT STUFF WAS READY BY SEPTEMBER 1ST, AS YOU PRESUMABLY WOULD'VE STATED IN YOUR DECLARATION OF PREPAREDNESS.

BUT THEN THAT DURING THE MONTH OF JUNE, JULY, AUGUST, YOU ALSO WENT BACK AND CHECKED ON THOSE THINGS.

AND SO THE, THE POINT THAT I'M TRYING TO MAKE IS, IT'S IMPORTANT TO KEEP RECORDS OF THOSE CHECKS SO THAT YOU CAN DEMONSTRATE TO US THAT YOU ARE MAINTAINING, UH, THESE MEASURES THROUGHOUT THE APPROPRIATE SEASON, SUMMER OR WINTER.

AND, AND THAT'S CRITICAL.

AND, AND SOMETIMES PEOPLE MAYBE FORGET TO DO THAT.

THEY, THEY DO IT, BUT MAYBE THEY DON'T HAVE GOOD EVIDENCE OF IT.

SO IF YOU WOULD JUST PLEASE COMMUNICATE OUT TO THE APPROPRIATE PEOPLE WITHIN YOUR ORGANIZATIONS THAT RECORD KEEPING IS, IS HIGHLY VALUABLE.

WHEN WE SEE GOOD RECORDS IN OUR, INITIALLY WHEN WE COME OUT AND DO THE INSPECTIONS, WE TYPICALLY SIT DOWN WITH YOUR STAFF, GO OVER IT, ASK QUESTIONS, GET ANSWERS, AND JUST HAVE A GOOD DIALOGUE.

AND THEN AFTER THAT WE GO OUT AND TAKE A WALK AROUND IN THE FIELD AND, AND LOOK AT SOME STUFF.

UM, AND IF WE SEE ALL THE EVIDENCE THAT YOU'VE BEEN DOING THE CHECKS ON A MONTHLY BASIS WHILE WE'RE SITTING THERE IN A ROOM, UM, THAT, THAT GIVES US HIGH DEGREE OF CONFIDENCE THAT, UH, THAT, THAT THE RULE AND ITS REQUIREMENTS ARE BEING TAKEN SERIOUSLY.

AND SO HAVING THAT DOCUMENTATION IS VERY HELPFUL.

AND THAT'S, THAT'S JUST A PLUG TO, TO KEEP US ALL, UM, IN COMPLIANCE.

AND THAT'S ALL FOR ME.

DAVID, DO YOU HAVE A FEW, FEW MORE QUESTIONS? SO WE GOT BRIAN FOLLOWED BY IAN, FOLLOWED BY SETH.

UM, THAT WILL, WE'LL MAKE IT CLEAR EXACTLY WHAT THAT MEANS.

UH, THANK YOU FOR THIS UPDATE.

UH, MY, MY QUESTION IS ABOUT, UM, THE CHANGING STANDARD FOR, UH, WINTER 2324.

THE STANDARD IS CHANGING TO A, UM, WINDSHIELD STANDARD.

AND, UH, UM, I, I KNOW THAT I STILL HAVE AN OBLIGATION TO HAVE, UH, AN EXECUTIVE ATTESTATION THAT, THAT THE SIGN THAT WE'RE GONNA MEET THAT STANDARD AND, UM, I, I THINK LIKE, UM, PROBABLY EVERYONE THAT OWNS A GENERATOR OR A WIRE HERE, YOU HAVE TO DO SOME TYPE OF ENGINEERING ANALYSIS TO, UH, SHOW THAT YOU'RE MEETING THAT STANDARD.

WHEN DO WE EXPECT TO KNOW WHAT THOSE WINDCHILL STANDARDS ARE GONNA BE, UM, SO THAT WE CAN GET GOING ON THAT? THANK YOU.

THANK, THANK YOU FOR THAT QUESTION, BRIAN.

AND, AND IT, IT HAS BEEN ON OUR MINDS.

WE'RE, WE'RE ACTUALLY ENGAGED IN DISCUSSING THAT WITH THE P C NOW, AND WE HOPE, UH, THAT OVER THE COURSE OF THE NEXT MONTH OR TWO, WE'LL HAVE A VERY SOLID ANSWER TO DELIVER OUT.

[03:05:01]

PERFECT.

I I, THAT'S ALSO GOOD FOR ME JUST TO MAKE SURE I DIDN'T MISS IT CUZ UH, NO, YOU DIDN'T AND, AND BELIEVE THERE'S A LOT HAPPENING.

SO WE, WE'VE HAD, WE'VE HAD NUMEROUS INTERNAL DISCUSSIONS ABOUT THAT AND, AND RECOGNIZE THAT THERE'S SOME AMBIGUITY IN THE LANGUAGE.

SO WE WANT TO CLARIFY WHAT IS THE OFFICIAL INTERPRETATION.

OKAY, SETH? YEAH, I JUST HAD A QUESTION.

ARE YOU SEEING REPEAT OFFENDERS? SO IN OTHER WORDS, GENERATORS THAT ARE HAVING CHRONIC ISSUES WITH MEETING, UH, THE WINTERIZATION OR WHERE YOU MAY HAVE INSPECTED THEM AND PAT AND THEY PASSED, BUT THEN THEY END UP FAILING DURING THE EVENT? SO I, I, I WOULD NOT SAY THAT WE'VE SEEN REPEAT OFFENDERS PEOPLE THAT EVERY TIME WE GO BACK WE FIND STUFF THAT'S WRONG.

UM, WE, WE DID HAVE INSTANCES WHERE WE GOT OUT EARLY IN DECEMBER THIS YEAR, HAD AN INSPECTION, MAYBE FOUND A COUPLE OF THINGS, THEY CURED IT VERY QUICKLY, UM, IN AND OR OTHERWISE WE WENT, DID AN INSPECTION AND WE FOUND NO MATERIAL DEFICIENCIES AND YET THEY STILL HAD A FAILURE DURING WINTER STORM ELLIOT.

AND SO, I, I DON'T WANT TO CREATE THE PERCEPTION THAT THE FACT THAT YOU GOT INSPECTED MEANS THAT YOUR PLANT IS PERFECT.

WE, WE OBVIOUSLY CAN'T LOOK AT EVERYTHING WITHIN YOUR PLANT.

IT'S, IT'S LIKE EXPECTING THAT BY GETTING A TUNE-UP ON YOUR CAR THAT YOUR CAR CAN'T POSSIBLY BREAK DOWN DURING DIFFICULT CONDITIONS.

IT'S JUST AN INAPPROPRIATE CONCLUSION.

NOW, I OBVIOUSLY THE INSPECTIONS ARE THERE TO FOSTER THIS LEVEL OF COMPLIANCE THAT WE'RE LOOKING FOR, THE STATE IS LOOKING FOR.

UH, BUT REALLY THE, WHERE THE RUBBER MEETS THE ROAD IS, IS AT THE INDIVIDUAL FACILITIES.

SO WE, UH, WOODY ACTUALLY REPORTED IN, UM, HIS FEBRUARY REPORT TO OUR BOARD THAT WE HAD DONE, I THINK 255 INSPECTIONS OF RESOURCES PRIOR TO ELLIOT, AND WE FOUND FOUR THAT STILL HAD FAILURES, EVEN POST INSPECTION.

SO THAT'S, THAT'S NOT A TON.

UM, BUT IT IS SOME, AND, UH, SO I DON'T WANT ANY, ANYONE TO BELIEVE THAT JUST BECAUSE YOU'VE BEEN INSPECTED, IT MEANS YOUR PLANT IS PERFECT.

YOU DON'T HAVE TO WORRY ABOUT MAKING SURE YOUR HEATERS ARE WORKING, YOUR, YOU PERFORM, UH, YOUR WIND BREAKS ARE IN PLACE.

YOU PERFORM POSTMORTEM ON THOSE THAT FAILED.

THANKS, SETH.

ANY OTHER COMMENTS OR QUESTIONS FOR DAVID? ALL RIGHT, DAVID.

HEY, WANTED TO SAY THANKS FOR COMING.

I WILL SAY, FROM OUR PERSPECTIVE, OUR EXPERIENCE HAS BEEN THAT THE INSPECTORS HAVE DONE A VERY GOOD JOB, BEEN VERY COLLEGIAL, VERY PROFESSIONAL IN THAT REGARD, AND SO WANTED TO SHARE THAT WITH YOU AS WELL.

SO, WANTED TO SAY THANKS FOR THAT.

THANK YOU FOR SAYING SO, CLIFF.

APRIL 14TH, INITIAL DEADLINE FOR CUI DECLARATION OF RESOURCES TO PARTICIPATE IN THE ECR R S IT SHOULD SAY QUALIFIED.

OKAY, NEXT UP, WE'VE GOT, UH, TWO ITEMS THAT ARE IN MATT'S WORLD TO TALK ABOUT.

SO WE'VE GOT E C R S, MARKET READINESS AND REALTIME CO-OPT OPTIMIZATION, MATT.

ALL RIGHT, YOU'LL BE RELIEVED.

I HAVE TWO SHORT ONES FOR YOU TODAY.

SO ON E C R S NEXT MONTH WILL NOT BE SO SHORT, BUT JUST TO SET THE STAGE FOR IT.

SO WE'VE BEEN IN A POSTURE OF GETTING READY.

UH, AT ERCOT, WE'RE IN THE INTEGRATION TEST ENVIRONMENT.

WE'RE SHAKING OUT OUR SYSTEMS, MAKING SURE EVERYTHING IS READY TO THROW OUT INTO THE MARKET OPERATIONS TEST ENVIRONMENT FOR THE REST OF THE MARKET TO CATCH UP.

SO WE HAD POSTED THE, JUST, THIS IS THE, IF YOU'RE GONNA HAND SOMETHING TO YOUR STAFF WHEN YOU GO BACK TO SAY, WHAT DOES ECR R S LOOK LIKE? THIS IS THE ON-RAMP, THESE ARE THE DATES, THESE ARE THE PLACES TO BE.

SO WE'VE BEEN IN THIS, UM, INTERFACE CHANGES.

WERE BACK LAST YEAR, FEBRUARY AND MARCH IS THE TALKING ABOUT IT.

AND THEN THE RUBBER MEETS THE ROAD ON APRIL 3RD, THAT'LL BE THE CHANCE.

SO YOU GET A HAND ON ALL OF THE PROCEDURES, THE C C P I CCP HANDBOOK, THE DETAILS OF OPERATIONAL EXPECTATIONS AROUND IT.

AND WITH ALL OF THAT INFORMATION THAT WE ARE LOOKING TO HAVE THAT MARKET READINESS SO THAT YOU KNOW WHAT NEED TO BE READY, BUT ALSO QUALIFICATION, POSTURE, WHAT DOES IT LOOK LIKE TO BE QUALIFIED AND READY.

SO WE'LL TALK ABOUT MORE THAT ON THE NEXT SCREEN.

AND THEN WE DO HAVE THAT READINESS WORKSHOP THAT EVERYONE'S BEEN WAITING ON.

THAT'S THE NICA, UH, KIND OF WALKING THROUGH, HERE'S WHAT HAPPENS, HERE'S WHAT ERCOT EXPECTS TO SEE IN TERMS OF RESPONSE.

AND THAT'LL BE A TWO TO FOUR O'CLOCK MEETING, TWO MONDAYS AWAY HERE AT THE MET CENTER AND ALSO WEBEX.

AND THEN WHAT WE'LL ALSO BE DOING IS SOLICITING OUT A, UM, WE'RE GONNA CALL IT A DECLARATION, WORKING WITH LEGAL ON THE RIGHT TERM FOR IT.

BUT WE WANT TO UNDERSTAND WHICH QUES AND HOW MANY MEGAWATTS PLAN TO BE QUALIFIED FOR GO LIVE.

AND SO WE TALKED ABOUT THAT CONCEPT OF KIND OF A, A ONE AND DONE.

IF I TEST ONE RESOURCE TO HOW WILL THAT COUNT FOR PROVISIONALLY QUALIFYING OTHERS? SO WE'LL TALK MORE ABOUT THAT AS WE UNFOLD IT.

BUT WE REALLY WANT TO KNOW, AND I HAVE, I HAVE THE WRONG WORD ON THE SLIDE.

IT SAYS, UNDER FRIDAY,

[03:10:01]

YOU DON'T HAVE TO PARTICIPATE IN E C R S, BUT WE DO WANT TO KNOW IF WE HAVE A FLEET THAT WILL MEET THE AS REQUIREMENTS BEFORE WE GET TO DAY ONE OF RUNNING IT.

AND SO I WILL BE RUNNING, YOU KNOW, SOME KIND OF, SOME NUMBERS BEHIND THE SCENES AND IN AGGREGATE TO SHARE WITH, YOU KNOW, THE PC WITH OUR CELLS WITH Y'ALL TO SAY, DO WE HAVE A THOUSAND MEGAWATTS LOOKING QUALIFY, OR 5,000 MEGAWATTS? SO THAT'S A GOOD RISK FACTOR FOR US TO BE MONITORING AS WE GET CLOSER TO GO LIVE.

UM, AND THEN IN TERMS OF THE, UH, DEPLOYING INTO THE TEST ENVIRONMENT ITSELF TO GET YOUR HANDS ON THE SYSTEM AND BEING SUBMITTING IN, THAT WOULD BE IN THE APRIL 20TH TIMEFRAME.

AND THEN WE'LL START OUR BI-WEEK ON THE WEEKLY MARKET READINESS PHONE CALLS.

WE FOUND THAT WAS GOOD, NOT JUST FOR THE IT FOLKS, BUT ALSO FOR THE OPERATIONS FOLKS TO ASK THOSE.

WHAT IF QUESTIONS? WHAT IF I HAVE A GENERATOR THAT DOES THIS OR A LOAD RESOURCE THAT DOES THAT, OR I'M A BATTERY, WHAT DO WE DO? SO THAT ONGOING CONVERSATION WAS REALLY HELPFUL LAST YEAR IN GETTING PEOPLE UP AND RUNNING.

AND THEN AGAIN, KIND OF THE SCORECARDS TO MONITOR THE RISK OF BEING READY.

AND THEN AGAIN, THE GO LIVE DATE TO CIRCLE ON YOUR CALENDAR IS, UM, THE MIGRATION OCCURS ON A THURSDAY, JUNE 8TH.

FRIDAY IS THE FIRST DAY AHEAD MARKET THAT WILL INCLUDE ECR R S FOR SATURDAY.

SO THAT'S THAT DATE FOR Y'ALL.

AGAIN, IF PEOPLE ARE TRYING TO FIGURE OUT THE KEY REFERENCES, WHERE THE INTERFACES ARE POSTED, WHERE THE EXISTING BUSINESS REQUIREMENTS HAVE BEEN POSTED, WHICH WAS LAST YEAR, AND THEN WHAT THE NEW WORKSHOP IS IN TERMS OF THE UPDATED MATERIALS.

SO, UM, AGAIN, THE QUALIFICATION PRINCIPLES WILL BE A BIG DEAL.

THAT'S WHERE WE WANNA WALK THAT DOWN NEXT, UM, IN A COUPLE WEEKS TO REVIEW WHAT THE EXPECTATIONS ARE.

I WISH I COULD GIVE THEM TO YOU NOW, BUT WE ARE WORKING WITH OUR OPERATION STAFF AND OUR LEGAL STAFF OF WHAT'S REASONABLE, WHAT'S ALLOWED WITHIN PROTOCOLS TO MAKE SURE WE'RE LEVERAGING WHAT ALREADY EXISTS AND NOT COMING UP WITH NEW, UH, NEW CONCEPTS.

AND AGAIN, WHAT I WANNA RING THE BELL ON IS YOU SHOULD BE TALKING TO YOUR GROUPS ALREADY ABOUT IS OUR COMPANY PLAN TO PARTICIPATE IN THIS PRODUCT? BECAUSE ERCOT IS GONNA WANT TO KNOW JUST FROM A RISK MANAGEMENT PERSPECTIVE.

UM, AND THEN AGAIN, THE LAST PART, NUMBER THREE THERE IS THE QUALIFICATION APPROACH.

AGAIN, WE DON'T WANT TO TEST EVERY RESOURCE.

YOU DON'T WANT TO TEST EVERY RESOURCE.

SO THE IDEA IS WHAT DOES IT LOOK LIKE FOR, UH, PROVISIONAL QUALIFICATION? WHAT DOES IT LOOK LIKE TO TEST ONE OR A SAMPLING OF GENERATORS OR LOAD RESOURCES THAT WILL THEN APPLY TO YOUR REST OF YOUR FLEET AND GIVE PROVISIONAL QUALIFICATION? SO THAT, AGAIN, THAT'S KIND OF THE QUICK TRAJECTORY THAT WE'RE ON WITHOUT THE DETAILS.

BUT AGAIN, I WILL TAKE MORE TIME AT THE NEXT ATTACK MEETING WITH PERMISSION TO KIND OF OPEN UP DETAILS AROUND THAT AND TAKE MORE QUESTIONS.

OKAY, THANKS MATT.

WE DO HAVE A QUESTION FROM THE PHONE FROM AMANDA DA ON YOU.

HI, MAAM.

UM, DO YOU HAVE A FORM WHICH WE WOULD LIKE TO? YEAH, AMANDA, WE'RE, WE'RE NOT ABLE TO HEAR YOU.

IT'S COMING ACROSS PRETTY GARBLED.

CAN YOU TRY AGAIN? YOU HEAR IT BETTER? NO.

MAYBE YOU CAN TRY TYPING YOUR QUESTION IN THE, IN THE QUEUE WHEN WE CAN.

I HEARD THE WORD FORM, SO I CAN TRY TO GUESS THE QUESTION.

UM, WE WILL, AT THAT WORKSHOP, HAVE A FORM THAT SAYS, HERE IS THE LIST IN A MARKET NOTICE.

IT'S BEING SENT OUT.

SO IT'S A FORM TO FILL OUT, HERE'S MY RESOURCES, MEGAWATT AMOUNTS, AND MY QUALIFIED, UM, EXPECTATIONS.

DOES THAT HELP? SHE SAID THANK YOU.

SHE'S, CONGRATULATIONS, MATT.

SPECULATION IS NOT MY STRONG SUIT.

GOOD JOB, MATT.

MY WIFE TELLS ME THAT ALL THE TIME.

, I'M SMILING A LOT TODAY.

WE JUST HAD A GRAND BABY AN HOUR AGO, SO IT'S LIKE, OH, THEY DON'T LET GRANDPARENTS IN THE HOSPITAL ANYMORE.

IT'S REALLY WEIRD NOW.

BUT ANYWAYS, BE FUN.

OKAY, SO ANY OTHER QUESTIONS ON THIS? SORRY, I'M JUST GOOFY.

HAPPY IS THE BABY NAMED D C R S.

THIS IS THE BABY.

NO ACRONYMS AROUND THAT NAME.

HER NAME'S HOLLAND.

AND DID WANNA SAY THANKS FOR GOING THROUGH THE EXERCISE OF GOING THROUGH THESE MARKET READINESS, UH, ACTIVITIES OR WHATEVER.

I THINK THAT'S EXTREMELY HELPFUL FOR MARKET PARTICIPANTS, MARK MARKET PARTICIPANTS TO BE ABLE TO ENGAGE WITH OUR CUT ON THIS AND MAKE SURE WE IRON OUT ANY WRINKLES IN ADVANCE.

SO AGAIN, THANKS FOR BEING PROACTIVE IN THAT REGARD.

SO THANKS CLIFF.

YEAH, I I DON'T WANNA FALL INTO THE, IF YOU BUILD IT, WILL THEY COME TRAPPED FOR THIS ONE? THAT'S BEEN, THAT'S THE DIFFERENT RISK ON THIS ONE.

FFR A WAS WHAT WAS NESTED RISK INSIDE THAT WAS UNKNOWN.

THIS IS A BIGGER THING OF ERCOT NEEDS A RELIABILITY TOOL WHEN WE GET TO GO LIVE AND MAKE SURE WE HAVE THAT TOOL IN PLACE.

ABSOLUTELY, BRIAN.

ARE QUALIFIED TO PROVIDE THE SERVICE.

I HAD ONE QUESTION ABOUT THE QUALIFICATION, UH, QUANTITIES.

ARE YOU PLANNING ON, UM, PUBLISHING THAT ANYWHERE IN AGGREGATE? YEAH, WE WILL BE MONITORING THE AMOUNT AND FOR EACH RESOURCE YOU WOULD ACTUALLY SPECIFY A MEGAWATT AMOUNT OFF THAT RESOURCE.

UM, MY QUESTION IS REALLY THE MARKET TOTAL, WILL THAT BE PUBLISHED SOMEWHERE AHEAD OF TIME? OH, LIKE NICU'S AS PLAN? YEAH.

EXPECTATIONS FOR DAY ONE.

UM, I'M THE RANGE, LIKE JUST THE QUANTITY OF MEGAWATTS THAT

[03:15:01]

IS THAT SOMETHING THAT THE MARKET WILL SEE? YES.

I WOULD LIKE TO SHARE THAT AND HOPEFULLY MY COMRADES AGREE, BUT IT WOULD BE, I'M HOPING THAT BY, SO FOR EXAMPLE, I HAVE ON HERE, THIS IS PURPOSEFUL, I SHOULD HAVE EXPLAINED IT.

I'D LIKE TO HAVE THAT DECLARATION OF RESOURCES THAT PLAN TO QUALIFY AS AN INITIAL DATA POINT.

SO IF THE BOARD ASKS DO, ARE PEOPLE PLANNING TO QUALIFY WHEN SAY, YES, ACTUALLY WE HAVE DECLARATIONS FROM UP TO 2000 MEGAWATTS AT THIS POINT, RIGHT? THANK YOU.

OR WE DON'T HAVE THE ENOUGH AND WE'D LIKE, WE DON'T HAVE ENOUGH.

WHAT'S IT LOOK LIKE TO GET OUTREACH TO GET MORE AND WHY AREN'T PEOPLE QUALIFYING? OKAY.

THANKS MATT.

AND THE QUESTION ABOUT THE SLIDES, I DON'T THINK THEY'RE POSTED YET TO THE MEETING PAGE, BUT WE'LL MAKE SURE THESE DO GET POSTED.

THEY ARE, BUT THEY WERE YESTERDAY.

SO IF YOU OPEN THE ZIP FILE YESTERDAY AND OPEN IT TODAY, SOMETIMES IT'S BUFFERED.

SO IT PEOPLE SAY, CLEAR YOUR CASH AND DO SMART THINGS AND THEN IT OPENS.

I KNOW YOU, I THANK YOU.

YES, YES.

ALL RIGHT, MATT, WE CAN ROLL INTO REALTIME CO-OP.

CAUSE SOME TROUBLE UP HERE.

OH, I HAVE TO OPEN.

GOT, YEP, I'M WITH YOU, BUDDY.

ALL RIGHT, ONE SLIDE.

WILL ALSO BE ACCOMMODATING WHATEVER IS EVOLVING OVER THE NEXT FEW YEARS, WE WOULD HAVE TO BAKE INTO RUCK.

THE TOP PATH YOU'VE SEEN BEFORE, IT'S, WHY ARE WE TALKING ABOUT REAL-TIME CO-OPT OPTIMIZATION AGAIN, AND WHY NOW IT'S REALLY BUSY.

WHY WOULD WE TALK ABOUT REAL-TIME COOP OPTIMIZATION RIGHT NOW? UM, AGAIN, IT WAS THE IDEA MANAGEMENT LOOKED AND SAID, HERE'S THE FLEET, HERE'S WHAT'S DEVELOPING OVER THE YEARS TO COME LONG RANGE RISK.

UH, THAT LONG RANGE RISK COULD BE MITIGATED BY EVERY FIVE MINUTES, ENSURING THAT WE HAVE THE ANCILLARY SERVICES THAT WE SECURE AND THAT WE CAN REPLACE THOSE ANCILLARY SERVICES AS WE CONTINUE TO, UM, ADVANCE AND EVOLVE, UH, THE MARKET AND THE OPERATION SIDE.

AND SO THE POTENTIAL PATH TO RESTART AS WE ARE REEVALUATING THE SCOPE OF THE RTC, WE'RE CALLING RTC PLUS B RTC PLUS BATTERIES TYPE PROGRAM.

IT'S REAL-TIME CO-OP OPTIMIZATION AND BATTERIES.

SO THAT'S NPR 1007 THROUGH 1013.

THAT WAS A THREE AND A HALF YEAR, 50 ISH MILLION DOLLAR PROGRAM ON TOP OF THE SINGLE MODEL.

IT'S HAVING BATTERIES MODELED AS A SINGLE DEVICE.

THAT'S NPR 10 14.

THAT WAS A TWO TO THREE YEAR PROJECT, $4 MILLION.

SO THE OTHER ITEM THAT WE'RE CONSIDERING IS WHAT FROM A FUNCTIONAL NEED TO HAVE A STATE OF CHARGE MODELED OR ACCOUNTED FOR INSTEAD AND RUCK AS TOOLS.

SO ERCOT IS WORKING IN PARALLEL TO DEVELOP THAT CONCEPT TO GET OUT IN FRONT OF THE MARKET PARTICIPANTS.

BUT FOR PLANNING PURPOSES AND BUDGET PURPOSES, WE CAN STILL GET A CUT AT HOW BIG OF A PROGRAM IT IS WITHOUT ALL OF THE NUMBERS ON EVERYTHING.

PERFECT, BECAUSE THE, THE FIRST TWO ITEMS ARE A 55 MILLION PROJECT ALREADY.

SO THAT STATE OF CHARGE WOULD BE VERY MUCH AN INTERNAL TYPE, UM, WHAT DO YOU CALL IT, MORE OF AN ENGINE TYPE CHANGE WITHIN IT RATHER THAN A UBIQUITOUS CHANGE THAT HITS SETTLEMENTS AND EVERYTHING LIKE THAT.

IT'S REALLY RELIABILITY PIECE OF SKID AND R THAT WE'RE LOOKING TO INCORPORATE.

SO THE MARKET WILL GET TO SEE THAT WHITE PAPER THAT BECOMES PROTOCOLS.

AND RIGHT NOW WE'RE EXPLORING WHAT HAVE OTHER ISOS DONE, WHAT CAN OUR VENDORS DO AND HOW TO ACCOUNT FOR THAT MOST ACCURATELY TO BRING IT FORWARD AND THEN, UM, ROLL IT FROM THERE.

SO IN PARALLEL TO THAT, WE ARE STARTING TO LOOK AT THE, UH, GAPS IN OVERLAPS IN ANY PROTOCOLS.

IT'LL BE HELPED TO GET ECR R S OFF THE BOOKS AND CLEAR OUT ALL THE NPR 8 63 PROTOCOLS TO START C RTC REEMERGE.

UM, WE'RE ALSO ASSESSING THE DELIVERY RISK, THOUGH OBVIOUSLY ERCOT JUST CAN'T PUT RTC ON TOP OF EVERYTHING ELSE THAT'S ALREADY GOING ON.

AND SO IT IS NAVIGATING NOT ONLY THE EXTERNAL, WHAT'S HAPPENING AT THE COMMISSION, AT THE LEDGE, BRIDGE SOLUTIONS, ALL THE OTHER THINGS, HOW DOES THIS FIT IN? AND SO THE STORY WE'RE TRYING TO BRING BACK IS, THIS ISN'T EASY NECESSARILY, IT WILL COST MONEY AND RESOURCES, AND HERE'S THE RISK TO GETTING A PROGRAM LIKE THIS DONE.

AND SO AGAIN, UH, WE'RE TRYING TO GIVE THE BOARD THE INFORMATION NEEDED TO MAKE A, A DECISION INFORMED DECISION OF WHAT IT MEANS TO REENGAGE THIS PROGRAM.

AND SO THE GOAL IS TO COMPLETE THE PROSPECTIVE BUDGET SCHEDULE AND RISK TO THE PROJECT, UH, FOR CONSIDERATION OF THE JUNE 20TH MEETING.

AND AGAIN, UH, KAAN HAD OFFERED, I'LL CONTINUE TO COME TO EACH OF THESE MEETINGS.

I DON'T HAVE NEW INFORMATION TO OFFER, BUT AS WE START TO RERUN THE COSTS WITH NEW VENDOR COSTS WITH INFLATION AND ALL THOSE, YOU'LL START TO HEAR SOME NUMBERS AS WE GET CLOSE TO THE BOARD MEETING.

ARE, ARE THINGS GETTING BIGGER OR SMALLER OR HOW ARE THINGS LOOKING? AND, UH, JUST HAVE AN OPEN DISCUSSION ABOUT THAT.

SO ANY QUESTIONS ON REAL TIME COOPTATION? ALL RIGHT, GOT IAN.

THANKS MATT.

UM, THE LINE, CONSIDERING IF OTHER CRITICAL FUNCTIONALITY NEEDED SUCH AS STATE OF CHARGE, SCARED AND OR RUCK, UM, IS ERCOT NOW THINKING ABOUT RUCKING BATTERIES THAT IS NOT PART OF THE REALTIME IZATION DESIGN? OKAY.

WHAT WE ARE DOING IS WE KNOW THAT WHEN WE DO RTC IS THAT RUCK WILL BE CHANGED BECAUSE RUCK NOW STUDIES THE FULL CAPA CAPABILITY AND WE

[03:20:01]

SO IT'S MORE OF A PUTTING THE TOOLS IN RUCK AS INPUT SO IT CAN PICK THAT UP FOR AN OPTIMIZATION TYPE SOLUTION.

SO IT'S MORE GIVING RUCK THE STATE OF CHARGE OF BATTERIES AS AN INPUT, NOT LOOKING AT RUCKING BATTERIES? YES.

AND DO YOU USE YOUR COP OR DO YOU USE TELEMETRY, THOSE TYPES OF INPUTS AND OUTPUTS? YES.

CAN I JUST, UM, BUT THERE IS A SCENARIO AS BATTERIES INCREASE ON THE SYSTEM THAT WE MIGHT HAVE TO DO THE VERY THING THAT YOU ORIGINALLY ASKED, ALTHOUGH THAT'S NOT PART OF THIS, I THINK THAT'S A OPEN QUESTION THAT WE WOULD WANT TO ENGAGE STAKEHOLDERS AND, AND WORK THROUGH OVER TIME.

NO, BECAUSE, UM, THAT MIGHT BE ALL WE, UH, YOU KNOW, WE MIGHT NOT BE ABLE TO MEET OUR GOALS WITHOUT THAT ELEMENT BEING THERE.

NO, THAT MAKES COMPLETE SENSE.

I JUST WANNA MAKE SURE THAT THERE WASN'T A LITTLE BIT MORE I NEED TO READ INTO THAT ONE LINE THAN THAT, BUT UNDERSTAND AS WE GET FARTHER DOWN THE PATH IS DEFINITELY SOMETHING WE HAVE TO DISCUSS.

OKAY, THANKS BRIAN.

SO THE RED BULLET AT THE BOTTOM SAYS THAT THE GOAL IS TO COMPLETE THE PROSPECTIVE BUDGET BY JUNE 20TH.

UM, I THINK THERE'S, UH, IN APRIL I'M EXPECTING TO SEE THE SYSTEM ADMIN FEE BUDGET, UH, INCREASE.

UH, ARE THESE, HOW, HOW ARE THOSE TIED TOGETHER, IF AT ALL? I'M SORRY.

GREAT QUESTION.

, IF IT, IF ALL PROCEEDS AS EXPECTED, I BELIEVE THE APRIL BOARD IS AN INITIAL LOOK AT THE FEES AT THE JUNE IS THEN APPROVAL OF THE FEES.

IN PARALLEL THOSE FEES THAT COULD BE BAKED IN, IT WOULD ALMOST BE REALTIME CO-OPT OPTIMIZATION BECOMES PART OF THAT CONSIDERATION, THE JUNE 20TH BOARD APPROVAL OF THE BUDGET, WHICH COULD INCLUDE REALTIME CO-OPT OPTIMIZATION.

SO IN A WAY, IT ALMOST, THE PHRASE I USE INTERNALLY IS WHETHER OR NOT IT'S LIKE A LINE ITEM VETO.

IT'S LIKE, IF YOU DO IT, HERE'S YOUR BUDGET.

IF YOU DON'T, YEAH, THAT, THAT'S HELPFUL.

AND I ALSO JUST HELPFUL TO UNDERSTAND IF THIS IS GONNA BE IN THE ADMIN FEE OR POTENTIALLY IF THERE'S SOME TYPE OF SEPARATE, UM, FEE FOR RTC.

UM, AT THIS POINT, THERE ARE NO SPECIAL, THERE'S NO LEFTOVER MONEY BEING USED, ANYTHING THAT'S IN THIS POINT FROM WHAT I'VE SEEN AS A CONTINUED PLACEHOLDER THAT SEAN TAYLOR HAS USED AS IT IS PART OF THE ERCOT ADMIN FEE.

AND I HAVE NOT HEARD DISCUSSIONS OF A SPECIAL PHOEBE BEYOND THAT.

SO IT'S GREAT ERCOT ADMIN FEE.

I'M AMAZED YOU CAN ANSWER ANY OF THESE QUESTIONS RIGHT NOW WITH LIKE, YOU KNOW, THE, YOUR, UH, GRAND BABY.

KAAN, I THINK HAD FOLLOW UP.

I, I, I THINK MATT, MATT COVERED IT, BUT I MEAN, I THINK THE KEY THING IS THAT THERE'S AN ORDER THAT SAYS YOU, YOU'LL DO RTC.

THERE WERE DOLLARS BUDGETED, THE FUTURE BUDGET REQUESTS INCLUDES THOSE DOLLARS.

I THINK MATT SAID ALL OF THOSE THINGS.

THAT'S THE STARTING POINT.

SO I, I'M NOT SURE I'M ADDING MUCH.

NO, I, I APPRECIATE THAT.

I JUST KNOW I'M GONNA GET QUESTIONS AND I WANT TO MAKE SURE I'M SAYING THE RIGHT THING, SO THANK YOU.

OKAY, ERIC.

UM, THE PHRASE LINE ITEM VETO AND THE DESCRIPTION, UM, IT MADE ME EXTREMELY NERVOUS.

AND SO I JUST WANNA HAVE A CONVERSATION ABOUT IT.

AH, BECAUSE I TAKE IT BACK.

YOU CAN TAKE IT BACK.

CAN I TAKE IT BACK? YEAH.

LET ME, LEMME TAKE IT BACK.

LET ME SAY THIS.

THE, OKAY, HERE'S A BETTER WAY TO SAY IT.

IT'LL BE INTERESTING THAT YOU NOTE THAT WHEN THE BUDGET IS LINED OUT, YEAH, LIKE DATA CENTER FIVE AND OTHER REALLY LARGE PROJECTS AT ERCOT, WITHIN THAT BUDGET FILING, THERE IS A LINE ITEM THAT HAPPENS TO BE CALLED REALTIME CO OPTIMIZATION.

GREAT.

THAT'S PARKED THERE.

SO, AND JUST TO FINISH THE POINT THOUGH, UM, YES, RTC HAS A COST, UM, AND IT MIGHT HAVE A BIGGER COST THAN IT DID BEFORE BASED ON THE THINGS YOU'RE ALLUDING TO.

BUT WE HAVE A, A COST BENEFIT ANALYSIS THAT SHOWS ENORMOUS SAVINGS TO CONSUMERS.

AND I WOULD HATE FOR THE BOARD TO ONLY GET THE PERSPECTIVE OF HERE'S THE TAX UNDER ONE SCENARIO OR THE TAX UNDER THE OTHER SCENARIO WITHOUT UNDERSTANDING THE BENEFITS.

AND SO I, I'D LIKE TO MAKE SURE THAT'S WELL COMMUNICATED IF WE'RE GONNA BREAK IT OUT BECAUSE, UM, YOU KNOW, THERE'S A REASON THAT WE HAVE AN ORDER AND WE SPENT SO MUCH TIME ADOPTING, YOU KNOW, THOSE PROTOCOLS BECAUSE OF THE ENORMOUS BENEFITS TO THE PROGRAM.

AND I, I WOULDN'T WANT TO SEE AN ACCIDENTAL, UNINTENDED PRESENTATION OF THAT THAT SHOWS THAT ONLY IS AN INCREASE IN COST.

I, I'LL, I'LL TRY AND ANSWER THAT.

UM, YEAH, I THINK THE LINE ITEM VETO MIGHT NOT HAVE BEEN THE BEST CHOICE OF FAIR MOVE OF WORDS.

TO GET WRONG BY SOME CONTINGENCY IS MORE LIKELY TO IMPACT THE FEE AND THINGS LIKE THAT.

BUT THE POINT I THINK THAT MATT'S MAKING IS IT BECAUSE OF ITS LARGE BUDGET, IT IS A LINE ITEM SURE.

THAT IF WE WERE

[03:25:01]

I I APPRECIATE THAT.

BUT IN THE CONTEXT OF THEM DECIDING WHAT THEY WANT THE FEE TO BE, I, I WOULD HATE FOR THEM TO NOT HAVE THE COMPLETE PICTURE AS TO ALL OF THE MANY BENEFITS OF RTC AND THE OTHER ITEMS LIKE THE, THE NEW DATA CENTER.

UM, BECAUSE IT'S, IT, IT'S AN ENORMOUS PAYOFF AND IT HAS MANY CO-BENEFITS AND I, I, I WOULDN'T WANT IT TO HAVE A, A LAST MINUTE DECISION TO SAY, OH, THIS IS A BIG NUMBER AND I, WE CAN AVOID HAVING A BIGGER FEE IF WE DON'T DO THIS THING.

SO IT'D BE GREAT IF THOSE BENEFITS WERE INCLUDED IN YOUR PRESENTATION.

GO AHEAD, MATT.

YEAH, AND I WAS GONNA SAY, KENAN HAS STARTED TO PREP MYSELF AND DAVE TO START TO TELL THE STORY OF REALTIME CO-OPTATION.

SO PART OF IT IS THE BACKGROUND ON THE HISTORICAL BENEFITS AS WELL AS THE NEW RELIABILITY BENEFITS THAT WEREN'T NECESSARILY THERE BACK IN 2017 AND 2018 THAT ARE NOW EMERGING.

SO WE'RE HOPING TO GIVE YOU THE CONTEXT AND THE IMPORTANCE OF IT.

EMILY, I GUESS THIS IS A QUESTION FOR CANAN.

UM, APROPO OF ERIC'S COMMENT, IS THERE AN UPDATED REFRESH ON THE COST BENEFIT ANALYSIS OR WILL BE ERCOT BE LOOKING AT THE OLD, UH, STALE ANALYSIS THAT WAS DONE STALE ? UM, MATT, YOU WANT TO ANSWER THAT TODAY? SO IT'S NOT, AT THIS POINT WE HAVE NOT ENGAGED RUNNING A NEW MARKET IMPACT ANALYSIS IN TERMS OF THAT.

JUST, I WOULD CAUTION ERCOT ABOUT RELYING ON BENEFITS THAT ARE NOT NECESSARILY REFLECTIVE OF TODAY'S DOLLARS AND MARKET.

IT HAD A PRETTY BIG MULTIPLIER.

UM, I I, I WOULD JUST SAY THAT, UH, I MEAN THE PLAN WOULD BE TO, TO MAKE SURE THAT WAS REFLECTIVE OF CERTAIN COSTS, BUT, UH, I, I WOULD NEED TO GO BACK.

I, I, I UNDERSTAND YOUR POINT.

UM, NOBODY'S, UH, I I, I THINK WE WOULD DO OUR BEST TO, TO UPDATE THAT.

I DON'T KNOW, UM, WHERE EVERYTHING STANDS.

SO AS, AS I LOOK BACK AT THAT, THERE WERE INCREASED COSTS IN OUR LABOR RATE AND SOME OTHER THINGS AND DECREASES IN SOME OF THE VENDOR AND TIME REQUIREMENTS.

AND WE'VE BEEN TRYING TO WORK THROUGH THOSE.

MATT, I DON'T KNOW IF YOU HAVE YEAH, SORRY.

WE'VE BEEN FOCUSED ON THE BOTTOMS UP COST TO ERCOT TO IMPLEMENT THAT.

I THOUGHT THAT'S WHAT SHE ASKED.

OH, I'M SORRY.

WAS THAT WHAT YOU WERE ASKING? YOU ASKED FOR THE TOTAL BUDGET THAT'S IN THE LINE ITEM THERE.

YOU HAVE BEEN UPDATE ON THAT.

I WAS ON THE, THE BENEFITS STUDY.

I THOUGHT YOU'RE ASKING FOR HIS ERCOT REFRESHED.

MY APOLOGIES.

REFRESHED BENEFIT STUDY.

IF, IF ER IF ERIC IS ASKING YOU ALL TO TALK ABOUT THE RELATIVE COSTS AND BENEFITS, I'D LIKE TO KNOW CURRENT INFORMATION ABOUT THE, SO OUR PLAN IS TO UPDATE THE COST DATA.

THE BENEFIT DATA IS NOT SOMETHING WE WERE PLANNING ON UPDATING.

IT IS SIGNIFICANT ENOUGH THAT THAT IS NOT MATERIAL.

UH, I MEAN, IT, IT, IT'S GONNA GO UP IF THAT'S WHAT IF I USE 2022, IT'S GONNA GO UP DRAMATICALLY.

THE BENEFITS, IT WOULD BE HELPFUL IF ERCOT WOULD PREVIEW THE INFORMATION THEY PLAN TO SHARE THE JUNE BOARD ATTACK.

DID THE IMM DO THE BENEFIT STUDY? EXACTLY, CORRECT.

I MEAN, WE, WE DID NOT CONDUCT THAT.

AND BY THE WAY, IT WAS OPEN CODE.

SO I THINK EVERYBODY CAN RUN THAT AGAIN, STEVE REEDY , I THINK, WELL THE, SO I MEAN, I, I CAN DISCUSS WHETHER THOSE COSTS HAVE, UH, I MEAN IF THE DISCUSSION NEEDS TO BE ABOUT WHETHER THOSE BENEFITS HAVE GONE DOWN OVER TIME, UH, THAT'S AN EASY ENOUGH THING TO ADDRESS.

UH, I THINK WE WOULD WANT TO UPDATE THE COST SIDE OF IT FROM OUR END.

FOR THE OVAL OR LEFT OVERALL EFFORT.

SUPPORTIVE.

BUT, BUT YOU SAID SOMETHING MORE THAN THAT.

WELL, SO THERE'S OTHER FACTORS.

THERE'S OTHER CHANGES IN THE MARKET, THERE'S OTHER CONSIDERATIONS INCLUDING THE EXAMINATION OF BRIDGING SOLUTIONS AND THE IMPACT OF RUCK AND, AND THE CONSERVATIVE OPERATIONS AND OTHER CONSIDERATIONS THAT I THINK CHANGED THE CONTEXT AROUND THE DISCUSSION THAT WE HAD ABOUT RTC FIVE YEARS AGO.

SO, SO THAT'S DIFFERENT THAN THE BENEFITS.

I MEAN, THE BENEFITS ARE GONNA GO UP IN EVERY ONE OF THE THINGS THAT YOU JUST MENTIONED.

SO IF I CAN BUTT IN CANAN, WHAT I'M GATHERING YOU'RE GONNA DO IS YOU'RE GONNA DO A NEW BUDGET

[03:30:01]

YOU'RE GONNA BRING THE INFORMATION ON THE BENEFITS STUDY THAT WAS DONE AND SAY, HERE IS THE BENEFIT STUDY THAT WAS DONE, 2, 3, 5, WHATEVER IT IS YEARS AGO.

AND THE BOARD AND THE COMMISSION IS GONNA SAY, HEY, WE'D LOVE IT, GO FORWARD.

OR THEY'RE GONNA SAY, HEY, WE'D LIKE YOU TO UPDATE THE BENEFITS STUDY AND YOU'RE GONNA DO WHICHEVER ONE THEY SAY.

AND IF, IF I DON'T LIKE THE NUMBERS OR I THINK WE SHOULD CHALLENGE THE NUMBERS BECAUSE WE NEED AN UPDATED BENEFIT STUDY, THEN I'LL BE THERE AND HAVE THE OPPORTUNITY TO SPEAK THAT THOUGHT.

I PROBABLY WON'T, BUT, BUT AN INDIVIDUAL THAT WANTS TO, OR THAT'S THE WAY YOU'VE GOT IT PLANNED RIGHT NOW, EVEN THOUGH SOMETIME TOMORROW YOU MAY CHANGE YOUR MIND.

YEAH, I MEAN, UH, I WOULD JUST SHARE WITH YOU THAT I DON'T YES, JUST SAY YES.

YOU'RE NOT GONNA CHANGE YOUR MIND.

THAT'S, I UNDERSTAND YOUR PLAN.

ANY OTHER COMMENTS OR QUESTIONS FOR MATT? ALL RIGHT, THANKS.

UH, WHAT WILL THE MEETING MINUTES SAY? SO ANYWAY, MY APOLOGIES FOR THE, THE WAY THAT IT FRAMED IT OUT.

I WAS TRYING TO BE A LITTLE PITHY ABOUT IT, BUT THE IDEA IS WE ARE DOING A BOTTOMS UP COST ESTIMATE SO THAT THE BOARD KNOWS IT AND ALL THE RISKS OF TRYING TO GET IT DONE, FROM PERSONNEL TO STAFFING, TO COST TO VENDOR, TO INFLATION, TO DATA STUFF, AND CAN ERCOT DELIVER SOMETHING.

AND WHETHER OR NOT THE COST BENEFIT COMES BACK IN FROM THE IMM OR OTHER PIECES.

BUT ERCOT HAS REALLY MADE BACK TO THOSE FIRST FEW BULLETS.

A RELIABILITY ARGUMENT IS WHY THIS IS A MUST FOR ERCOT STRATEGICALLY TO ENGAGE AND TO TAKE IT TO THE BOARD TO SAY, IS THIS THE RIGHT TIME TO BEGIN IMPLEMENTATION AGAIN? SO THAT'S THE APPROACH.

ANY OTHER COMMENTS OR QUESTIONS? MINUTES WILL REFLECT GRANDBABY AND LINE ITO.

OH, THANKS FOR THE HELP.

NAME, WEIGHT LENGTH.

ITEM NUMBER 15, OTHER BUSINESS.

TO BRITNEY'S POINT, WE NEED NAME, WEIGHT, AND LENGTH JUST TO COMPLETE THE .

OKAY, THANKS MATT.

OKAY, THAT BEING SAID, THAT CLOSES OUT.

AGENDA ITEM NUMBER 14.

UH, WE'RE MOVING ON TO AGENDA

[15. Other Business]

I KNOW MARK HAD SOMETHING UNDER OTHER BUSINESS.

THANKS, CLIFF.

I HAVE, UH, TWO QUICK ITEMS. ONE IS, UH, LAST MONTH WE ADOPTED A NEW GOAL, UM, YOU RECALL, UH, TO REVIEW MARKET DESIGN CHANGES AND RELIABILITY ENHANCEMENTS.

AND I JUST WANNA POINT OUT, WE KIND OF NEED TO DEVELOP A PROCESS FOR HOW WE'RE GOING TO, UH, IDENTIFY THOSE ITEMS, BRING 'EM FORWARD TO, UH, TACK AND HAVE THOSE DISCUSSIONS.

I DON'T KNOW WE NEED TO SOLVE THAT TODAY, BUT, BUT I THINK IT NEEDS TO BE ON OUR TO-DO LIST TO FOLLOW UP ON.

AND THEN MY SECOND ITEM IS, UH, AN ANNOUNCEMENT ON BEHALF OF THE GULF COAST POWER ASSOCIATION, UM, THE GULF COAST POWER ASSOCIATION.

SHIRLEY APPRECIATES ALL OF YOUR PARTICIPATION AND MEMBERSHIP.

AND IF YOU'D LIKE TO KNOW MORE ABOUT PARTICIPATION IN MEMBERSHIP, YOU'RE NOT A MEMBER, PLEASE, OF COURSE.

UH, COME TALK TO ME, UM, EACH YEAR AT OUR SPRING CONFERENCE, WHICH THIS YEAR IS APRIL 18TH AND 19TH, DESPITE THE MANY CONFLICTS WITH THE ERCOT MEETING CALENDAR, WE HOPE YOU WILL, UH, JOIN US AND ATTEND.

UH, WE, WE PRESENT THE G C P A POWER STAR AWARD, WHICH ANNUALLY RECOGNIZES AN INDIVIDUAL WITH A DISTINGUISHED CAREER WHO SERVED AS A PRIME MOVER IN ADVANCING ELECTRIC MARKETS.

AND THIS YEAR, YOU MAY HAVE SEEN THE PRESS RELEASE THAT JUST CAME OUT.

WE ARE PROUD TO ANNOUNCE THAT THE G C P A POWER STAR AWARD WILL GO TO OUR OWN BRAD JONES, WHO WE HAVE ALL WORKED WITH FOR SO MANY YEARS, AND AS WELL DESERVING OF THE RECOGNITION.

AND I REFER YOU TO THE PRESS RELEASE FOR THE PITHY COMMENTS OF MANY DISTINGUISHED MEMBERS OF OUR COMMUNITY.

ALL RIGHT, THANK YOU, MARK.

AND CONGRATULATIONS TO BRAD.

APPROVE THE COMBO BALLOT.

ANY OTHER BUSINESS TODAY? ALL RIGHT, SEE YOU.

NONE.

WE'LL MOVE ON TO THE COMBO BALLOT.

UH, IF YOU LOOK AT THE SCREEN THERE, WE'VE GOT ALL OF THE DIFFERENT ITEMS THAT WE HAVE DISCUSSED TODAY.

UM, QUITE A LONG LIST TODAY IN THAT REGARD.

BUT, UH, THAT BEING SAID, I NEED A MOTION AND A SECOND FOR, GOT A MOTION FROM BRIAN, A SECOND FROM KEVIN TO

[16. Combo Ballot (Vote)]

COREY, IT'S ALL YOURS.

THANK YOU ALL VERY MUCH.

AND SUSIE, KEEP ME HONEST IF I'M MISSING ANY PROXIES OR ALTS AS WE MOVE THROUGH.

I THINK I HAVE IT ALL UPDATED, BUT STOP ME IF I GO TOO FAR ASTRAY.

WE WILL START UP WITH CONSUMERS, WITH MARK.

AND I BELIEVE MARK, YOU'RE REPRESENTING, UH, NICK NOW.

[03:35:01]

BILL SMITH, SEE YOU LOGGED INTO THE WEBEX.

BILL, YOU'RE STILL MUTED.

I WILL CIRCLE BACK.

UH, ERIC? YES.

ONTO OUR INDEPENDENT GENERATORS.

NARAJ? YES, THANK YOU.

NO, OUR CO-OPS, MIKE? YES.

IAN? YES.

THANK YOU, COREY.

THANK YOU, BRIAN.

YES, THANK YOU, CAITLIN.

AND CAITLIN FOR BOB? YES.

UNDER OUR THANKS, COREY, UNDER OUR IPMS, UH, AMANDA, FOR JEREMY.

AND KEVIN FOR RESUME.

BILL, YOU WANNA TAKE YOUR TRIO? YES, YES.

THANK YOU, SIR.

AND JENNIFER? YES, THANK YOU.

ONTO OUR IUS, KEITH? YES, THANK YOU, COLIN.

YES, THANK YOU, DAVID.

YES, THANK YOU, RICHARD.

UNDER OUR MUNIS, JOSE? YES.

THANK YOU, DAVID.

AND DAVID FOR ALICIA.

AND RUSSELL? YES, THANK YOU.

AND THEN LAST CALL FOR BILL SMITH.