[00:00:06]
WE'RE GONNA GO AHEAD AND GET STARTED HERE WITH THE, UH, JULY 31ST TAC MEETING.
WE'RE JUST GONNA GIVE EVERYBODY A FEW MINUTES TO GO AHEAD AND TAKE THEIR SEATS IN THE MEETING ROOM.
JUST GONNA ASK AGAIN IF EVERYBODY WILL TAKE THEIR SEATS, AND WE'LL GO AHEAD AND GET STARTED.
I'LL REAL QUICKLY GO OVER THE MEETING MANAGEMENT, UH, TIPS.
UH, THIS IS ALREADY IN THE CHAT, BUT IF YOU'RE HERE IN THE MEETING ROOM TODAY, UH, YOU CAN GO AHEAD AND HOLD YOUR CARD UP, AND BRITTANY WILL ENTER YOU INTO THE, UH, QUEUE FOR THE CHAT, AND, OR YOU CAN ENTER YOURSELF.
IF YOU'RE ON THE WEBEX, OBVIOUSLY, YOU'RE GOING TO BE USING THAT CHAT TO, UH, MAKE A MOTION OR FOR DISCUSSION, PLEASE WAIT FOR THE CHAIR TO RECOGNIZE YOU BEFORE YOU BEGIN SPEAKING.
UM, AS WE APPROACH YOUR SEGMENT, IF YOU'RE ON THE WEBEX, PLEASE MAKE SURE THAT YOU UNMUTE YOURSELF BEFORE WE BEGIN, UH, VOTING ON YOUR SEGMENT, AND THEN MUTE, UH, RETURN TO THE MUTE FUNCTION AFTER YOU HAVE FINISHED.
ALSO, UM, IF THE WEBEX ENDS FOR ANY REASON, GIVE US A FEW MINUTES AND WE'LL RESTART THE WEBEX.
AND IT SHOULD BE WITH THE SAME MEETING DETAILS, OR WE'LL SEND SOMETHING OUT TO THE TACT LIST.
ALSO, IF YOU'RE HERE AND PRESENT TODAY, PLEASE MAKE SURE THAT YOU SIGN IN.
THE SIGN IN SHEET IS OUTSIDE THE MEETING ROOM, AND THAT WILL HELP US CAPTURE YOU FOR THE MINUTES AS BEING HERE IN PERSON.
AND WITH THAT, KAITLYN, WE'RE READY TO GO AND WE DO HAVE A QUORUM.
THIS IS OUR REGULAR JULY ATTACK MEETING.
UM, WE, WE POSTPONED IT A LITTLE BIT FROM THE MORNING TO ACCOMMODATE THE STATE AFFAIRS HEARING, WHICH I THINK IS STILL GOING ON.
UM, FOR SEATED MEMBERS AND ALT REPS AND PROXIES, WE DO HAVE A NEWLY SEATED MEMBER.
IN THE IPM SEGMENT, WE HAVE MATT MARAY WITH NATIONAL GRID RENEWABLES, UM, FOR ALT REPS.
TODAY IN THE CO-OP SEGMENT, WE HAVE MIKE WEISS, UH, FROM GOLDEN SPREAD.
HIS ALTERNATE REP, JOE DAN WILSON FOR PROXIES, UM, NAVA AT OPEC HAS GIVEN HIS PROXY TO ERIC GOFF RESIDENTIAL CONSUMER.
AND CHRIS HENDRICKS AT DEMAND CONTROL HAS GIVEN HIS PROXY TO JENNIFER SCHMIDT AT RHYTHM.
[1. Antitrust Admonition]
REQUEST FROM BOB WHITMEYER TO DO THE ANTITRUST ADMONITION.AND SO WE WILL LET HIM DO THAT AND SEE WHAT HAPPENS.
TO AVOID CONCERNS ABOUT ANTITRUST LIABILITY ACTIVITIES SHOULD BE REFRAIN FROM ANY ACTION SEEN AIRCO AUTHORITY UNDER FEDERAL OR STATE LAW.
FOR ADDITIONAL INFORMATION, STAKEHOLDERS SHOULD CONSULT THE STATEMENT OPPOSITION ON ANTITRUST ISSUES FOR MEMBERS OF AIRCO COMMITTEES AND WORKING GROUPS, WHICH IS POSTED ON THE SPOTIFY.
WOULD YOU LIKE TO PLUG HOW THAT WAS MADE OR WHO MADE IT? THAT WAS AI BY ROBERT WHITMEYER.
NED, IS YOUR CARD UP ABOUT THE ANTITRUST SONG
THAT IS, THAT IS AREN'T ALL BE THE MATERIALS PUBLIC PER THIS DOCUMENT.
I'D ALSO LIKE TO NOMINATE IT FOR AN ERCOT MUSIC AWARD.
WE'LL HAVE, UM, LET'S, LET'S TALK THAT OVER.
WE'LL NEED DIFFERENT CATEGORIES, THOUGH.
WE'LL HAVE BEST PERFORMANCE, BEST MUSICAL ACT.
UH, RICHARD ROSS, ON THAT NOTE, DO YOU WANNA ADD ANY FUN TO THIS MONTH? IT'S STORY? WELL, IT'S JUST THE LAST DAY OF THE MONTH, SO YOU'LL, WE'RE JUST GONNA ROLL WITH IT, UH, TODAY.
UH, BUT SO Y'ALL GET READY FOR NEXT MONTH, THE, UH, PHRASE OF THE MONTH, NEXT MONTH WE'LL BE WING IT.
SO, UM, LET'S ROLL WITH IT TODAY AND YOU CAN WING IT TOMORROW.
WHAT'S THE DIFFERENCE BETWEEN ROLL
[00:05:01]
WITH IT AND WING IT? UM, SAY THAT AGAIN.I WOULD SAY THAT WOULD BE PASSIVE VERSUS ACTIVE.
ARE YOU AN ENGINEER? THEY'RE BOTH, NO, SIR.
WHICH BRINGS ME TO MY BONE TO PICK ABOUT HAVING A VERB, LIKE METERING IN A WORKING GROUP NAME.
UM, THANK YOU BOB WHITMEYER AND IAN AND NED AND RICHARD AND EVERYONE INVOLVED IN THAT CONVERSATION.
[2. Approval of TAC Meeting Minutes (Vote)]
BUSINESS IS TO APPROVE THE MEETING MINUTES AS PRESENTED.IS THAT RIGHT? FOR TODAY, IT'S THE, WE HAD A FEW SPECIAL MEETINGS.
SO IT IS MAY 31ST, JUNE 7TH, AND JUNE 24TH.
I AM NOT AWARE OF ANY EDITS OR COMMENTS.
CAN YOU CONFIRM THAT ANN OR SUSIE? OKAY.
SO I WOULD SUGGEST WE PLACE THAT ON THE COMBO BALLOT.
[3. Meeting Updates]
ON JULY 25TH.UH, WE, WE'VE ACTUALLY HAD A FEW OPEN MEETINGS SINCE THE LAST TECH, I BELIEVE JUNE 27TH, JULY 11TH, AND JULY 25TH.
BUT JULY 25TH WAS WHEN THE, UH, REVISION REQUESTS THAT HAD BEEN AT THE JUNE BOARD WERE IN FRONT OF THE PUC.
UH, THEY DID APPROVE ALL THE REVISION REQUESTS EXCEPT FOR NPR 1224, WHICH WAS REJECTED.
UM, IN THE COURSE OF REJECTING NPR 1224, THE PUC DIRECTED ICA ON A OPERATIONAL COURSE OF ACTION TO START AUGUST ONE REGARDING ECRS.
UH, THERE WAS ALSO A DISCUSSION REGARDING STAKEHOLDER PROCESS IMPROVEMENTS.
MY PLAN WAS TO HAVE THAT DISCUSSION ON THE PROCESS IMPROVEMENTS AT THE END OF THIS MEETING UNDER OTHER BUSINESS, BUT ON THE SUBSTANCE AND AND DIRECTION RELATED TO NPRR 1224.
I BELIEVE JEFF BILLOW IS HERE FOR AN UPDATE.
SO, AS KAITLYN MENTIONED, THE, UH, COMMISSION REJECTED NPR 1224.
UM, I, I, I THINK MY LAWYERS WOULD SAY THAT THEY DID NOT DIRECT US TO DO ANYTHING, BUT, UM, BUT THEY EXPRESSED SOME, UM, UH, I, I THINK SOME SUPPORT FOR, I THINK THE CONCEPT OF RELEASING ECRS WHEN WE, WHEN WE HIT THE, THE, UH, TRIGGERS THAT WERE, UH, DESCRIBED IN NPR 1224.
SO WE'RE GONNA, UH, ROLL WITH THAT.
AND WE HAVE, UM, UPDATED OUR REAL TIME DESK PROCEDURE, WHICH, UM, I THINK, UH, WAS, UM, POSTED TODAY, SENT OUT TODAY.
UH, AND SO THAT HAS THOSE, UH, TRIGGERS THAT WERE DESCRIBED IN, IN 1224 OF, UM, RELEASING ECRS WHEN WE HAVE UNDER GEN OF AT LEAST 40 MEGAWATTS FOR, UH, MORE THAN 10 MINUTES.
UH, SO THAT WILL EFFECTIVELY, UH, GO INTO EFFECT TOMORROW, UH, OPERATING DATE TOMORROW.
IS THE OPERATING DESK PROCEDURES, WILL THAT BE IN A PUBLIC DOCUMENT OR WILL THERE BE A MARKET NOTICE? MARKET NOTICE OUT? UH, WE HAVE NOT SENT A MARKET NOTICE, BUT WE DID SEND THE, THE BULLETIN ON THAT.
AND, AND I ALSO WANT TO ADD, UM, I, I DON'T RECALL THE COMMISSION DISCUSSING NPR 1232.
UM, BUT, UH, GIVEN THE DISCUSSION, SO WHEN THEY WERE TALKING ABOUT 1224, THEY EXPRESSED SOME CONCERNS WITH THE OFFER FLOOR CONCEPT THAT WAS IN 1224, AND IF YOU FOLLOWED 1232, IT HAS A, A KIND OF SIMILAR OFFER FLOOR, UH, CONCEPT.
UH, IN, IN ADDITION TO THAT, WE'VE ALSO, AS WE'VE TAKEN 1232 THROUGH, UM, UH, TO STAKEHOLDERS IN VARIOUS WORKING GROUPS, WE'VE HEARD SOME CONCERNS EXPRESSED FROM STAKEHOLDERS REGARDING 1232, UH, IN PARTICULAR THE IMPLEMENTATION OF THAT AND THE TIMELINES.
UH, AND SO BASED ON THE DISCUSSION, UH, THAT, THAT WE, UH, HEARD FROM THE, THE COMMISSION, EVEN THOUGH THEY DIDN'T DISCUSS 1232, UH, BUT THE, THE CONCERNS THEY HAD WITH THE CONCEPT OF THE OFFER FLOOR AND, UM, THE CONCERNS THAT WE'VE ALSO HEARD FROM STAKEHOLDERS, WE HAVE DECIDED TO WITHDRAW, UH, MPR 1232.
UH, AND WE ALSO DISCUSSED THAT WITH THE IMM, IT'S MY UNDERSTANDING THAT IMM WAS, UH, AGREEABLE TO THAT.
UH, SO WE'VE, UH, UH, SUBMITTED THAT REQUEST TO WITHDRAWAL 1232.
I DON'T THINK THAT HAS HIT THE EXPLODER YET, OR MAYBE IT HAS.
SO WE, UM, SO THERE WAS A BULLETIN ON THE DESK PROCEDURES THAT WOULD IMPLEMENT THE, THE TRIGGERS, AND THAT'LL BE EFFECTIVE TOMORROW.
[00:10:02]
WILL BE WITHDRAWN.ANY QUESTIONS OR COMMENTS? THE QUEUE IS CLEAR, BUT DOES ANYBODY HAVE ANY QUESTIONS OR COMMENTS THERE? ALL RIGHT.
[4. Review of Revision Request Summary/ERCOT Market Impact Statement/Opinions]
TO THE REVIEW OF REVISION REQUEST, UH, SUMMARIES,AND DO YOU WANNA GO AHEAD? SURE.
SO I BELIEVE ALL THE REVISION REQUESTS HERE THIS MONTH ARE ERCOT SPONSORED.
UM, ERCOT IS IN SUPPORT OF ALL THE REVISION REQUESTS, AND THERE ARE POSITIVE MARKET IMPACTS ON ALL OF THEM.
UM, CFSG DID REVIEW ALL OF THEM FOR CREDIT IMPACTS AND, UM, BELIEVE THAT THEY DO NOT HAVE ANY CREDIT IMPACTS TO THE MARKET.
UM, THE IMM SUPPORTS NPR 1230 AND 1233, AND DO NOT HAVE OPINIONS ON THE REMAINDER.
UM, FOR THE REASONS FOR REVISION, THREE OF THEM HIT STRATEGIC PLAN.
OBJECTIVE ONE, ONE OF THEM, UM, HIT STRATEGIC PLAN OBJECTIVE, TWO THREE OF THEM, UM, HIT THE GENERAL ASSISTANT PROCESS IMPROVEMENTS, ONE OF THEM REGULATORY REQUIREMENTS, AND ONE OF 'EM FOR ERCOT BOARD AND PUC REQUIREMENTS.
DID ANYONE WANT TO SPEAK TO THE IMM OPINIONS? HELLO? BLAKE OR I IN THE OPINIONS ARE REMAIN, IT'S THE MOST UPDATED.
YEAH, THIS IS JEFF MCDONALD WITH IMM.
UM, I JUST, SO I DON'T HAVE AN AWFUL LOT TO OFFER.
UM, WE DO SUPPORT, UH, UH, PULLING THE STANDING DEPLOYMENT, UM, NPRR AS MENTIONED EARLIER, AND I THINK YOU DID NOTE THAT WE SUPPORT TWO OF THE, UH, PENDING AND PS AND DON'T HAVE OPINION ON THE OTHERS.
AND SO I JUST WANTED TO REAFFIRM THAT I, WE DON'T HAVE ANY, ANYTHING IN PARTICULAR TO SAY ON ANY OF THEM.
ANY QUESTIONS OR COMMENTS, UM, ON THE SUMMARIES AND MARKET IMPACT STATEMENTS AND OPINIONS? OKAY.
DIANA, I THINK WE CAN GET TO THE
[5. PRS Report (Vote)]
PRS REPORT.AND ON THIS ONE, I THINK AS WE USUALLY DO, WE CAN GO AHEAD AND DO THIS FIRST SLIDE, UM, WITH THE UNOPPOSED, AND THEN TAKE A PAUSE AND SEE IF WE CAN PUT THESE ON THE COMBO BALLOT BEFORE WE MOVE ON.
DIANA COLEMAN WITH CPS ENERGY WITH THE JULY PRS REPORT.
THE FIRST ITEM THAT WE HAVE IS 1227.
I BELIEVE WE'RE GONNA REMAIN, UH, LET THIS ONE REMAIN TABLED, UH, TO ALLOW THE RETAIL MARKET GUIDE REVISION REQUEST TO CATCH UP TO THE NODAL PROTOCOL REVISION REQUEST.
AND SO WE'RE GONNA START WITH 1233, WHICH WAS, UH, APPROVED UNANIMOUSLY BY PRS WITH NO IMPACT.
AND THEN TWO, FOR TAX CONSIDERATION THIS AFTERNOON THAT WE'RE ALSO, UM, UNOPPOSED, BUT DID HAVE SOME COSTS ASSOCIATED WITH THEM 1217.
UM, ALL OF THESE COME TO US FROM ERCOT.
THIS IS COMING FROM ERCOT, WHICH IS REMOVING THE VDI LANGUAGE AND JUST KEEPING THE XML MESSAGING FOR, UM, DEPLOYMENT AND RECALL OF LOAD RESOURCES AND ERS RESOURCES COSTS THAT YOU CAN SEE IS 10 AND 20,000 WITH A PRIORITY OF 2024 AND A RANK OF 4,100.
AND THEN ON 1231, THIS IS ALSO FROM ERCOT WITH SOME IMPROVEMENTS AND CLARIFICATIONS TO THE FIRM.
FUEL SUPPLY SERVICE, THE COST IS LESS THAN 5,000, WHICH WOULD BE ABSORBED BY THE O AND M BUDGET, UM, THAT'S ASSOCIATED WITH THAT.
AND, UH, NO PROJECT REQUIRED ON 1231.
SO, AS DIANA SAID ON NPR 1227 PRS DID, UH, UNANIMOUSLY VOTE TO ENDORSE THIS, BUT WE WOULD BE LOOKING FOR, THE MOTION WOULD BE TO TABLE AT TAC AS WE ARE AWAITING THE R-M-G-R-R 180 1.
UM, FOR THE OTHER NPRS, WE WOULD BE LOOKING TO RECOMMEND APPROVAL, SO NPRR 1217 AS RECOMMENDED BY PRS AND THE SEVEN 18 PRS REPORT, NPR 1231 IS RECOMMENDED BY PRS IN THE SEVEN 18 PRS REPORT.
[00:15:01]
NPR 1233 IS RECOMMENDED BY PRS IN THE SEVEN 18 PRS REPORT.DOES ANYONE HAVE A PROBLEM WITH PUTTING THOSE RECOMMENDATIONS AND THE TABLE ON THE COMBO BALLOT? ALRIGHT, LET'S GO AHEAD AND DO THAT.
AND DIANA, YOU CAN GO TO THE NEXT SLIDE, PLEASE.
SO 1219 ALSO COMES TO US FROM ERCOT.
THERE IS A CHANGE THAT YOU'LL SEE ON THE SCREEN.
UH, THERE WAS A REVISED IMPACT ANALYSIS THAT WAS FILED ON MONDAY.
SO THE COST IS, UM, WHAT DOES THE COST, IT'S LESS THAN 20,000, WHICH WOULD ALSO BE ABSORBED BY THE O AND M BUDGET.
THERE WERE OPPOSING VOTES ON THIS ONE, AND THIS ONE WAS WITH AN URGENCY VOTE.
SO IF YOU'LL SEE A LITTLE BIT OF A DIFFERENCE ON 1219, THEN WE'VE SEEN IT IN THE PAST.
MOST OF THE, UM, SO IT WAS VOTED IN FAVOR OF 91%, 8% OPPOSED, AND FIVE ABSTENTIONS.
MOST OF THE CONVERSATION AROUND 1219 WAS, UM, THE URGENCY THAT WAS ON THE PROPOSED REVISION REQUESTS.
MOST OF PRS WAS NOT AWARE THAT THIS ONE WAS UP FOR A VOTE, MUCH LESS URGENCY.
SO THAT'S WHERE SOME OF THE CONCERN WAS ON THE URGENCY.
WHILE PRS IS SUPPORTIVE OF THE INFORMATION THAT ERCOT IS WANTING TO PROVIDE IN THE CDR, IT JUST WAS A LITTLE BIT OF A SURPRISE VOTE.
UM, JULY'S PRS WAS ALSO A WEBEX, AND SO WE WEREN'T ABLE TO REALLY, UM, SEE EVERYBODY'S FACIAL EXPRESSIONS WHEN THIS ONE CAME UP, BUT MY PHONE DID BLOW UP.
UM, BUT PRS WAS SUPPORTIVE, BUT I, WE DID HAVE SOME OPPOSING VOTES AND SOME ABSTENTIONS ASSOCIATED WITH THIS ONE.
UM, AND I'M USED TO THE PHONE BLOWING UP AS WELL.
SO SINCE PS I THINK WE HAVE HAD ERCOT COMMENTS AND THEN DESKTOP EDITS THAT ERCOT NEEDS TO MAKE AS WELL.
SO I'LL LET YOU PULL THOSE UP.
BUT I SEE WE HAVE A QUEUE, SO LET'S GO AHEAD AND TAKE THAT.
ERIC SCHUBERT? YES, THANK YOU.
UM, ONE OF THE CONCERNS I HAVE IS IT'S FINE TO CONSIDER USING ELCC OR, UH, SOME OF THE RENEWABLE RESOURCES, BUT THAT HAS TO BE UNDERSTOOD THAT IT'S ADVISORY ONLY.
UH, IT SHOULDN'T BE LEADING TO SOME KIND OF MANDATED RESERVE MARGIN AND THE LIKE.
UM, BECAUSE THERE ARE SO MANY PERMUTATIONS WHEN YOU'RE TALKING ABOUT THE WEATHER.
AND FOR EXAMPLE, WE HAD VERY LOW WIND IN THE PAST WEEK.
WE ALSO HAD CONDITIONS THAT WERE 65,000 MEGAWATTS FOR PEAK THAT DAY.
SO I THINK TRYING TO USE A STATIC NUMBER TO TALK ABOUT THE NEAR INFINITE PERMUTATIONS THAT YOU MAY SEE AS YOU SEE INCREASING WIND AND SOLAR IN THE SYSTEM, THEN YOU'VE GOT STORAGE AS WELL, AND YOU HAVE TO PROPERLY MEASURE THAT.
UH, I WOULD URGE CAUTION IN TERMS OF HOW THIS IS USED.
UH, I, I THINK THE E-L-E-L-C-C COM, UH, CONCEPT IS FAIRLY LIMITED IN THIS SITUATION, AND IT KIND OF COMES OUT OF CAPACITY MARKETS, AND I THINK THAT'S A CONSTRUCT THAT IS NOT REALLY WELL SUITED FOR WHAT WE'RE DOING HERE.
SO, UM, JUST WANTED TO PASS THAT COMMON WALL.
I THINK, LIKE DIANA MENTIONED, THIS WAS CHANGED TO URGENT, UM, AND I HAVEN'T SEEN ANYTHING COME OUTTA WMSI KNOW THIS WAS, TALKED ABOUT THIS HOG A LOT, AND JUST WONDERING IF, UH, I COULD GET SOME, A BETTER UNDERSTANDING OF WHY WE DIDN'T GET A, UH, VOTE ON THIS AT WMS. IS THAT A QUESTION FOR ERCOT ERCOT OR WMS LEADERSHIP? WHOEVER IS ABLE TO ANSWER, I THINK ERIC BLAKEY IS ON THE PHONE, AND MAYBE SOMEBODY FROM
CAN YOU HEAR ME OKAY, CAITLIN? ERIC, WE CAN'T HEAR YOU IF YOU'RE TALKING, I, OKAY.
SOMEBODY FROM ERCOT WANNA WEIGH IN ON THAT.
YES, THIS IS, UH, PETE KIN ON THE PHONE.
SO WHAT THE ISSUE IS, UH, IS THAT THE, UH, THIS NPRR HAS BEEN, YOU KNOW, TABLED FOR SEVERAL MONTHS, SO HAS, UH, REVIEWED IT, YOU KNOW, I'VE GIVEN PRESENTATIONS ON, YOU KNOW, UPDATES TO THE, THE NPRR, AND WHAT, WHAT HAPPENED IS, UH, WE, WE LEARNED THAT IN ORDER TO MAKE, UM, THESE CHANGES FOR THE DECEMBER CDR REPORT, THIS IS, UH, 2024, THAT WE NEEDED TO PUT THIS IN, IN URGENT STATUS SO THAT, YOU KNOW, THAT WAS A BIT OF A SURPRISE AND THAT THAT'S WHY THIS HAPPENED.
UM, SO WE GOT CONFIRMATION THAT, UH, BY THE TIME YOU GET, UH, YOU KNOW, COMMISSION APPROVAL,
[00:20:01]
THERE WON'T BE SUFFICIENT LEAD TIME TO INTRODUCE THESE CHANGES IN THE DECEMBER CDR.SO IF, UH, MARKET PARTICIPANTS WANT THIS TO GO THROUGH WMS, THEN UM, THE IMPLICATION IS THAT WE WOULD HAVE TO WAIT TILL THE MAY, 2025 CDR TO REFLECT THESE CHANGES.
I THINK I'M JUST A LITTLE CONCERNED OVER PROCESS.
UM, WE'VE GOTTEN SOME ISSUE, WE'VE SEEN SOME ISSUES AT THE COMMISSION WITH GETTING THINGS APPROVED AND PUSHING 'EM THROUGH THE PROCESS A LITTLE QUICKLY.
SO I JUST WANTED TO RAISE THAT.
I DON'T KNOW THAT I'M OPPOSED TO ANY OF THIS.
I'M JUST WANTED TO RAISE THAT AS AN ISSUE THAT COULD POSSIBLY SHOW UP IF WE HAVE THINGS CHANGING, WE PUSH THINGS THROUGH IN AN URGENT TIMELINE, MAKE DESKTOP CHANGES HERE, UM, THAT CAN LEAD TO CONFUSION AND POSSIBLY ISSUES, UH, AS I GET APPROVED UP THE UP THE LINE.
SO I WANT TO RAISE THAT FOR THE, THE COMMITTEE HERE TO THINK ABOUT.
UM, I'VE GOT, UH, A COUPLE COMMENTS AND, AND A COUPLE QUESTIONS.
UH, FIRST COMMENT IS, UM, I, I, I HEARD ERIC SCHUBERT'S COMMENT, AND I THINK, UM, THAT'S NOTABLE THAT, YOU KNOW, THE CDR IS, IS REALLY INTENDED TO GIVE VERY SPECIFIC SNAPSHOTS IN TIME AND NOT A HOLISTIC, UH, RELIABILITY OR RESOURCE ADEQUACY, UM, UH, YOU KNOW, VIEW.
THAT'S, THAT'S ESSENTIALLY WHAT THE, WHAT THE, WHAT OUR COTS MONTE CARLO ANALYSES THAT THEY'VE BEEN DOING WITH THE SERVA MODEL AND THE COMMISSION HAS BEEN CONSIDERING, AND THE RELIABILITY STANDARD RULEMAKING.
THAT'S, THAT'S REALLY WHAT'S INTENDED TO HELP COVER ALL OF THAT.
AND OF COURSE, YOU KNOW, THE PCM IS THE, IS THE, THE SAFETY NET THAT HELPS ENSURE THAT YOU HAVE A SYSTEM THAT CAN, UH, CAN LIVE UP TO THOSE REQUIREMENTS.
UM, SO I WANTED TO AT LEAST AGREE ON THAT POINT AND UNDERSCORE THE, THE, THE DIFFERENCE BETWEEN WHAT THE CDR IS INTENDED TO SHOW VERSUS THOSE MORE, UH, MORE ROBUST ANALYSES, UM, ON THE NPR ITSELF.
UM, I THINK ALL, ALMOST ALL OF THESE CHANGES ARE, ARE, YOU KNOW, IF NOT ALL OF THEM ARE UNAMBIGUOUSLY IMPROVEMENTS.
AND, UH, A LOT OF THESE ARE JUST THINGS THAT HAVE BEEN NEEDING TO HAPPEN FOR A LONG TIME TO HELP MAKE, EVEN THOUGH, AGAIN, IT'S NOT THE HOLISTIC RESOURCE ADEQUACY REPORT, IT IS ONE THAT FOLKS LOOK TO AS A WAY TO, TO SEE SOME SIMPLIFIED INFORMATION THAT GIVES THEM A SNAPSHOT OF THE, UH, THE RESOURCE ADEQUACY IN THE SYSTEM OVER, UH, OVER THE NEXT FEW YEARS.
AND SO, UH, A LOT OF THESE CHANGES WILL REALLY GO A LONG WAY TO HELPING, UH, MAKE SURE THAT THAT IS, THAT IS CLEAR, CLEARER.
UM, BUT THERE ARE TWO THINGS THAT I THINK WE SHOULD, THE TECH SHOULD BE COGNIZANT OF AS WE'RE, WE'RE, WE'RE CONSIDERING THIS.
UM, AND IT, IT REALLY COMES DOWN TO, YOU KNOW, HOW THIS WILL ALIGN WITH WHAT THE OUTLOOK IS THAT YOU SEE IN THE REGIONAL TRANSMISSION PLAN AND THE LOAD FORECAST WE'VE SEEN IN THERE.
UM, NOW I'VE, I'VE SEEN THAT IN THE 2024 LONG-TERM LOAD FORECAST, IT LOOKS LIKE THAT IS NOW, UH, MUCH MORE ALIGNED WITH WHAT WE'VE SEEN IN THE REGIONAL TRANSMISSION PLAN, UM, PROCESS.
SO I, I, AND, AND PETE PLEASE CHIME IN AND CORRECT ME IF I'M WRONG, BUT I THINK WE SHOULD SEE THOSE LOAD FORECASTS START TO HARMONIZE, UM, WHICH WILL HELP TO REDUCE CONFUSION, UM, ABOUT WHAT THE, WHAT THE, THE FORECAST IS.
UM, BUT THEN THERE IS ANOTHER ELEMENT THERE, AND THAT IS, UH, YOU KNOW, IN THIS NPRR, WE ARE SHIFTING TO, UH, ONLY SHOWING PRO, UH, PROSPECTIVE GENERATION THAT HAS NOT ONLY GOTTEN ITS AIR PERMITS AND, UH, SHOWN, UH, SITE CONTROL AND, UH, ACCESS TO WATER, BUT ALSO, UM, HAS ITS INTERCONNECTION AGREEMENT AND GIVEN NOTICE TO PROCEED AND POSTED FINANCIAL SECURITY WITH THE TRANSMISSION, UH, SERVICE PROVIDER.
AND SO THAT SHOULD ALL ELSE EQUAL MAKE IT LOOK LIKE THERE'S LESS RESOURCES AVAILABLE TO MEET THE, THE, THE GROWTH AND LOAD.
UM, AND, YOU KNOW, THE, THE REGIONAL TRANSMISSION PLAN IS ACTUALLY GOING THE OPPOSITE DIRECTION THERE.
THEY'RE BEING A LITTLE BIT MORE LIBERAL IN WHAT THEY'RE, UM, WHAT THEY'RE CONSIDERING.
AND, YOU KNOW, IT'S A DIFFERENT USE CASE BECAUSE WHAT THEY'RE TRYING TO DO IS SOLVE FOR A, UH, YOU KNOW, A TRANSMISSION SYSTEM NEED.
UM, BUT I WANTED US TO BE CLEAR ABOUT THAT AND MAKE SURE THAT, YOU KNOW, UM, AS TAC IS CONSIDERING THIS, WE, WE ALL UNDERSTAND AND AGREE THAT, YOU KNOW, THIS IS MEANT TO GIVE A MORE CONSERVATIVE VIEW, BUT NOT NECESSARILY SAY THAT THERE IS NOT, UH, NOT NEW GENERATION COMING ONTO THE SYSTEM.
UM, BECAUSE I, I DO HAVE SOME CONCERNS THAT THEY COULD BE INTERPRETED THAT WAY.
UM, SO THOSE WERE THE, THE COMMENTS AND, AND BEAT THE ONE QUESTION FOR YOU ON THE, ON THE LOAD FORECAST, THE LTLF, UH, SLOTTING INTO THIS.
PETE, DO YOU WANNA GO AHEAD? YES.
SO WE'VE HAD INTERNAL DISCUSSIONS ABOUT HOW TO DEAL WITH THIS IN THE CDR,
[00:25:01]
AND YEAH, THERE'S A LOT OF MOVING PARTS, A LOT OF UNCERTAINTY COMING UP WITH WHAT'S HAPPENING IN THE, UM, YOU KNOW, THE LEGISLATURE AND, UH, YOU KNOW, COMMISSION DEBATE OVER THIS WHOLE ISSUE.SO, YOU KNOW, THE SENSE IS WE'RE, WE'RE NOT READY TO TRY TO CRAFT SOME LANGUAGE TO ADDRESS THAT, YOU KNOW, FOR THE CDR AT THIS POINT IN TIME.
AND THE INTENT ALL ALONG IS TO HAVE, UM, A FEW NPR R YOU KNOW, TO CAPTURE, UH, THESE CHANGES OVER TIME.
FOR EXAMPLE, UH, AGAIN, THERE'S THE, THIS CON CON CONTRACTED VERSUS NON-CONTRACTED LOAD SITUATION.
UH, THERE'S, UH, DEALING WITH, UH, DISTRIBUTED ENERGY RESOURCES AND OTHER THINGS THAT WE WANTED TO TACKLE IN A SUBSEQUENT NPRR.
SO I THINK ONCE THINGS DIE DOWN AND THERE'S MORE DIRECTION AND CERTAINTY ABOUT, YOU KNOW, HOW THESE NEW LOAD FORECASTS ARE REFLECTED HOLISTICALLY IN, IN, IN THE PLANNING ENVIRONMENT, UM, THAT WE CAN WAIT AND CAPTURE THAT IN A SUBSEQUENT NPRR.
AND THEN, IN TERMS OF GETTING THIS INFORMATION OUT THERE, UH, I THINK AS, AS MANY OF YOU KNOW, WE INCLUDE SUPPLEMENTAL TABS IN THE CDR REPORT, UH, A LOT OF THAT'S FOCUSED ON SCENARIO INFORMATION.
SO THE PLAN WOULD BE IS TO INCLUDE, UM, UH, THIS NON-CONTRACTED LOAD INFORMATION IN THERE.
SO ANYONE READING THE REPORT CAN SEE THAT AND, YOU KNOW, MAKE THEIR OWN COMPARISONS OR, OR DEAL WITH IT IN THEIR OWN FORECASTING, YOU KNOW, PROCESSES.
SO THAT WOULD BE A TRANSITIONAL APPROACH AND TELL, UH, YOU KNOW, IF AND WHEN WE DO AN NPRR, UH, TO REFLECT, UH, YOU KNOW, THIS ADDITIONAL PLANNING LOAD.
THANK YOU, PETE, THAT, THAT LARGELY, UM, THAT LARGELY ADDRESSES THE, THE, THE CONCERN.
AND I, YOU KNOW, I CERTAINLY APPRECIATE THE WORK YOU'VE DONE IN THE PAST TO HELP PROVIDE THAT INFORMATION AS, UH, YOU KNOW, ADDITIONAL CONTEXT WITHIN THE CDR.
AND, UM, I HOPE THAT OVER THE, OVER THE NEAR TERM, WE CAN, UH, YOU KNOW, CONTINUE TO BE CLEAR ABOUT WHAT THOSE IMPLICATIONS ARE AND WHAT THE DIFFERENT, UH, SCENARIOS ARE SO THAT POLICYMAKERS ARE ADEQUATELY FORMED.
LET'S GO TO ERIC BLAKEY FIRST SINCE WE CALLED ON HIM.
AND I THINK HE WAS GONNA INFORM US ON THE, THE WMS PROCESS.
ERIC, SEEMS LIKE YOU'RE ON MUTE.
I'M HAVING, IT'S A LITTLE FAINT, BUT IT'LL BE FINE.
I JUST WANTED TO SAY, UH, IN RESPONSE TO DAVID THAT, UH, I THINK THE WAY THINGS FELL, HE WAS ASKING IF WE'D HAD A CHANCE TO DISCUSS, AND I THINK JUST THE WAY THE DATES FELL, UM, WE WERE, WE WERE LOOKING TO HAVE A-A-W-M-W-G DISCUSSION, UM, AND THEN, UH, YOU KNOW, THIS URGENCY MATTER CAME UP.
SO, UH, I WAS JUST GONNA COMMIT TO, WE HAVE A WMS MEETING NEXT WEEK, AND I CAN COMMIT TO, TO HAVING A DISCUSSION THERE AND, AND MAYBE WMWG COULD TO TAKE A LOOK AT THE RECENT, UH, YOU KNOW, COMMENTS AND FILING AND, AND STATUS.
AND I REALIZE IT'S GONNA GO TO THE BOARD, BUT IF THERE WAS SOMETHING UNCOVERED THAT NEEDED TO BE ADDRESSED, I THINK, YOU KNOW, SOMEONE COULD FILE COMMENTS TO THE BOARD IF IT WAS THAT SERIOUS.
SO, UM, I KNOW PETE WENT OVER THIS, BUT WE ARE CUT.
WOULD LIKE THIS OUT OF TAC TODAY? SO IT CAN GO TO THE AUGUST BOARD? THAT'S A QUESTION.
AGAIN, YEAH, IF WE WANNA HAVE THIS BY, UH, THE DECEMBER CDR, THEN YEAH, WE, WE'D NEED TO GET TAC APPROVAL TODAY.
SO IN ORDER TO IMPLEMENT THIS BY THE DECEMBER CDR, YOU NEEDED VOTED OUT OF TECH TODAY.
OKAY, LET'S GO BACK TO THE QUEUE.
S SO I ABSTAINED ON THIS, UM, AT PRS AND EXPRESSED SOME CONCERN ABOUT RUSHING IT THROUGH WITHOUT WMS. AND, UM, ONE OF MY SPECIFIC CONCERNS HERE IS NOT JUST THE PROCESS, BUT THE FACT THAT THE COMMISSION IS CONCURRENTLY WORKING ON THE RELIABILITY STANDARD, WHICH WILL BE DIFFERENT THAN WHAT IS IN THE CDR.
[00:30:01]
UM, AND, UM, ERCOT HAS TALKED ABOUT USING THE CDR IN ORDER TO HELP MEASURE THE RELIABILITY STANDARD.UM, BUT I THINK THAT WE COULD BE MUDDLING, UM, THE MESSAGING THAT, UM, THE COMMISSION IS TRYING TO ORCHESTRATE ON THIS TOPIC.
UM, NED, UM, YOU SAID THAT THE CDR ISN'T FOR RESOURCE ADEQUACY, AND I AGREE, BUT THAT'S HOW PEOPLE USE IT AS POLICY MAKERS AND, YOU KNOW, AND THE CAPITAL, THEY SEE IT AS THE HEALTH OF THE MARKET.
AND, UM, I, I THINK WE NEED TO BE REALLY CAREFUL.
THIS IS THE MOST HIGH PROFILE THING THAT ERCOT DOES, UM, UNLESS SOMETHING GOES WRONG, IN WHICH CASE THAT'S THE MOST HIGH PROFILE THING.
AND I, I'M CONCERNED THAT WE MIGHT BE MUDDLING THE MESSAGE ON WHAT IS THE RELIABILITY STANDARD IF WE DO BOTH THESE THINGS AT THE SAME TIME, AROUND THE SAME DATES.
UH, SO I, I WOULD PREFER THAT WE WAIT FOR THE COMMISSION TO ADOPT A RELIABILITY STANDARD AND THEN COME BACK AND, UM, MODIFY THE CDR TO BE IN, IN CONCORD WITH THAT, UH, RELIABILITY STANDARD.
AND I DON'T KNOW THAT WE NECESSARILY BENEFIT BY INTRODUCING CHANGES TO THE ELCC AND EVERYTHING ELSE HERE, AND THEN POTENTIALLY COME BACK AND DO IT AGAIN, YOU KNOW, IN SIX MONTHS OR A YEAR.
UM, SO I'M CURIOUS IF ERCOT SHARES THAT CONCERN, UM, AND IT, AND THEN I'D LIKE TO HOLD AND ASK A FOLLOW UP QUESTION.
OKAY, PETE, IS THAT, CAN YOU GIVE US AN ANSWER THERE? UH, YES.
SO THE CDR IS NOT DEPENDENT ON THE RELIABILITY STANDARD.
UH, WHAT'S GONNA HAPPEN FOR THAT IS, UH, YOU KNOW, ASSUMING, UH, IT GETS APPROVED AS THE, YOU KNOW, WHAT IT CURRENTLY LOOKS LIKE, THEN WE WOULD BE DOING A, A, A RELIABILITY ASSESSMENT, AND THAT WOULD BE INDEPENDENT OF THE CDR.
UM, IN TERMS OF ELCC, THOSE WILL HELP GET THE CDR ALIGNED WITH THE, YOU KNOW, THE PROBABILISTIC STUDIES THAT WE WOULD DO FOR THE RELIABILITY STANDARD.
YOU KNOW, RIGHT NOW THE CAPACITY CONTRIBUTION VALUES FOR WIND AND SOLAR ARE BASED ON, YOU KNOW, HISTORICAL CAPACITY FACTORS.
AND SO AGAIN, THEY'RE, THEY'RE INFERIOR MEASURES OF WHAT THE RELIABILITY BENEFITS WOULD BE FOR, YOU KNOW, WIND AND SOLAR AND, UH, AND BATTERY TECHNOLOGIES.
SO THAT'S A VERY IMPORTANT PLUS IS TO GET EVERYTHING ALIGNED, YOU KNOW, AT THE START AND GET THE MARKET AND ALL THE STAKEHOLDERS USED TO SEEING ELC.
UM, SO AGAIN, I THINK, I'M SORRY, I DON'T KNOW IF THAT YOU'RE ANSWERING MY EXACT QUESTION.
BUT SPECIFICALLY, UM, WILL WE NEED TO UPDATE THE CDR AGAIN AFTER THE COMMISSION ADOPTS THE RELIABILITY STANDARD? I DON'T BELIEVE THAT THAT'S NECESSARY.
AND WHY IS THAT? WELL, BECAUSE BOTH THE RELIABILITY STANDARD AND THE CDR WILL RELY ON, AGAIN, THE SNAPSHOT CONCEPT, YOU KNOW, WHAT, UH, WHAT THE EXPECTED RESOURCES ARE GONNA BE, WHAT THE EXPECTED LOAD FORECASTS ARE.
SO AGAIN, THEY'RE GONNA BE BASED ON ROUGHLY THE SAME METHODOLOGY.
YOU KNOW, ONE DIFFERENCE IS YOU'VE GOT A DETERMINISTIC VIEW, UH, OF THE FUTURE, YOU KNOW, GOING OUT SEVERAL YEARS, YOU KNOW, VERSUS A PROBABILISTIC VIEW.
SO, YOU KNOW, THEY'RE, THEY'RE INDEPENDENT IN THAT REGARD.
SO WE'LL HAVE, SO I DON'T SEE ANY, YOU KNOW, OPEN UP A NEW NRR, YOU KNOW, AFTER THEIR LIABILITY STANDARD TO TRY TO, UH, YOU KNOW, ALIGN THEM.
I JUST DON'T THINK THAT'S NECESSARY.
SO WE'LL HAVE TWO SEPARATE HIGH PROFILE MEASURES FOR THEIR RELIABILITY OF RCO THAT ARE DIFFERENT THAN EACH OTHER.
WELL, AGAIN, THE, THE CDR WILL PROVIDE, YOU KNOW, RESERVE MARGIN SNAPSHOT VALUE.
UH, AGAIN, THE INTENT IS ALSO TO LOOK AT, UH, YOU KNOW, THE, THE PEAK LOAD HOUR LIKE WE CURRENTLY DO AND, AND A NET PEAK LOAD HOUR.
UM, BUT, UH, AGAIN, THE, THE RELIABILITY STANDARD, UH, I THINK AGAIN, IT IS JUST A DIFFERENT TYPE OF ANALYSIS.
SO, UH, I MEAN, I THINK EVERYONE'S USED TO THE CDR, SO, YOU KNOW, I, I, I DON'T THINK FOLKS ARE GONNA BE CONFUSED, UH, BY THAT.
UM, I, I'M REALLY NERVOUS ABOUT ERCOT PUBLISHING TWO DIFFERENT METRICS FOR RELIABILITY.
UM, I THINK THIS DESERVES FURTHER CONSIDERATION.
[00:35:02]
I WOULD SUPPORT A MOTION TO TABLE THIS, BUT I'M NOT GONNA TRY TO MAKE THAT MOTION.I'D LIKE TO HEAR FROM, IF OTHER PEOPLE ARE CONCERNED ABOUT THAT, UM, I'D BE HAPPY TO MAKE THAT MOTION OR SECOND THAT MOTION.
UM, BUT, UM, IT SEEMS LIKE WE NEED TO BE DELIBERATIVE ABOUT THE INTERACTION BETWEEN THESE TWO REPORTS, AND THAT HASN'T BEEN DISCUSSED IN THE RELIABILITY STANDARD DOCKET, OR AS FAR AS I KNOW, UM, AT WMS OR SAWG.
SO IS THAT A MOTION OR NOT A MOTION RIGHT NOW? I WOULD, I WOULD MAKE A MOTION IF, IF OTHER PEOPLE ARE INTERESTED IN, IN THAT LINE OF QUESTIONING.
UM, BUT I, I DON'T WANT TO, YOU KNOW, DIE ON A HILL IF PEOPLE DISAGREE WITH ME, BUT IT, IT SEEMS LIKE WE NEED TO BE DELIBERATIVE WITH THIS, AND, AND IT'S, IT'S WORTH TAKING OUR TIME TO MAKE SURE WE UNDERSTAND THE INTERACTIONS HERE.
SO IT IS A MOTION, IF THERE'S A SECOND.
IS THERE A SECOND TO THE MOTION TO TABLE? OKAY, LET'S, UH, LET'S CONTINUE DISCUSSION.
IT DOESN'T LOOK LIKE THERE'S A SECOND.
BRIAN, DID YOU JUMP INTO SECOND? NO.
LET'S KEEP GOING AND THEN I'M SURE ERIC WILL GET BACK IN THE QUEUE IF HE, HE NEEDS TO MAKE A MOTION.
SO, UM, I BELIEVE WE'RE ON TWO BILL BARNES.
I WAS GONNA PROVIDE MY PERSPECTIVE ON THIS.
UM, KIND OF RELATED TO DAVID KEY'S QUESTION SINCE I MADE THE MOTION TO, UH, DISLODGE IT AT PRS, UM, AND REALLY OUR CONCERN WITH THIS IS MAINLY RELATED TO THE CURRENT STATE OF THE EXISTING CDR, WHICH IS, I I DIDN'T THINK WAS CONTROVERSIAL.
I THOUGHT WE ALL UNDERSTOOD THAT WHAT WE'RE CURRENTLY PRODUCING IS AT A MINIMUM INACCURATE, AND THAT IS STAKEHOLDERS, UH, WE WOULD CERTAINLY WANNA SUPPORT ERCOT IN THEIR EFFORTS TO PROVIDE THE MOST ACCURATE REPORT POSSIBLE ON SOMETHING THAT I AGREE WITH, ERIC, IS EXTREMELY HIGH PROFILE AND IMPORTANT FOR CONSUMERS TO UNDERSTAND.
UM, SO, UH, AND I LOOKED AT THE RECORD ON THE NPRR, THERE HAD BEEN ZERO STAKEHOLDER COMMENTS FILED.
UH, IT WAS, IT WAS INITIALLY SUBMITTED BY ERCOT IN, IN EARLY MARCH.
UM, BUT I WOULD ALSO POINT OUT THAT THIS METHODOLOGY HAD BEEN PREVIEWED BY PETE AT SAWG NUMEROUS TIMES WELL BEFORE THAT.
UH, SO I JUST FELT LIKE IT FELL IN ONE OF THOSE BLACK HOLES THAT OUR NPRS DO SOMETIMES WHERE IT JUST SITS TABLED.
UM, WE HAVE THE DISCUSSION AT THE LOWER, UH, WORKING GROUP LEVELS, BUT IT KIND OF GETS STUCK AT THE SUBCOMMITTEE LEVEL.
SO I ADMITTEDLY DIDN'T REALIZE IT WOULD BE CONTROVERSIAL TO MOVE THIS FORWARD, PARTICULARLY WITH ERCOT SAYING THAT THEY NEED IT, UH, THEY NEED APPROVAL AT THE PRS TO GET TO THIS TAC TO GET TO THE BOARD SO THAT WE CAN GET A MORE ACCURATE REPORT OUT IN DECEMBER, WHICH IS REALLY OUR MOTIVATION FOR MOVING THIS.
UM, AND SO HOPEFULLY THAT HELPS EXPLAIN WHAT HAPPENED AT, AT PRS.
AND I ALSO NOTE THERE'S, THERE WASN'T ANY COMMENTS FILED BY COMMISSION STAFF IF THEY HAD CONCERNS ABOUT THE REPORT.
I HAVE FAITH THAT PETE HAS BEEN, UH, WORKING CLOSELY WITH COMMISSION STAFF ON THE RELIABILITY STANDARD, AND IF THERE ARE CONCERNS ABOUT ANY REPORTING NEEDS THERE, UH, THAT THIS WOULDN'T CONTRADICT IF THERE HAPPENS TO BE AN ADOPTION OF THE RELIABILITY STANDARD RULE THAT INCLUDES DIFFERENT REPORTS, WE CAN UPDATE IT.
BUT I'M, I'M JUST REALLY CONCERNED ABOUT CONTINUING FORWARD WITH THE CURRENT STATE OF THE CDAR, WHICH WE ALL KNOW IT IS NOT DOING ANYONE ANY SERVICE ON, UH, ANY ACCURACY ON REPORTING OF OUR RELIABILITY RISKS.
LET'S GO TO, UH, JOHN HUBBARD.
I, I, I SHARE A LOT OF THE CONCERNS ERIC MENTIONED, UM, BUT, YOU KNOW, SETTING THOSE ASIDE, UM, I I'M CURIOUS FROM KO'S PERSPECTIVE ABOUT THE FREQUENCY OF CALCULATING THE AVERAGE ELCC.
SO CURRENTLY THIS DRAFT REQUIRES IT TO BE CALCULATED EVERY THREE YEARS, BUT AS PENETRATION OF RESOURCES INCREASE, THE MARGINAL ELCC WILL DECLINE MORE RAPIDLY THAN THE AVERAGE ELCC.
SO FOR EXAMPLE, IF IT WAS DONE NOW, THE E AND THE ELCC STUDY SHOWED THAT FOR SOLAR RESOURCES, THE AVERAGE ELCC WAS 50% BY 2027, IT WOULD BE SIGNIFICANTLY LESS JUST BECAUSE NEW RESOURCES WERE COMING TO THE MARKET.
UM, A AND SO I THINK AT A MINIMUM THE AVERAGE ELCC SHOULD BE CALCULATED MORE OFTEN IF, IF WE DO WANT TO ENSURE THAT THE CDR IS MORE ACCURATE.
UM, SO I GUESS FROM ERCO PERSPECTIVE, WOULD Y'ALL BE WILLING TO MAKE DESKTOP EDITS TO UPDATE IT MORE FREQUENTLY? THINK THE CHALLENGE IS THAT THREE YEARS IS MENTIONED THROUGHOUT, UM, THROUGHOUT THE NPR.
[00:40:01]
SO I'M NOT SURE HOW EASY THE CHANGES CAN BE MADE.SO THAT'S A QUESTION FOR PETE AND THE, WE WOULD BE MAKING DESKTOP EDITS TO CHANGE THE UPDATE FREQUENCY TO YEAH, THERE'S, GO AHEAD.
SO DOING THESE ELCC STUDIES ARE, UH, A MASSIVE UNDERTAKING.
AND THE APPROACH THAT, UH, A STR A HAS COME UP WITH, YOU KNOW, WITH OUR PARTICIPATION, UM, IS TO COME UP WITH ESSENTIALLY A LIBRARY OF, OF ELCC VALUES WHICH ALIGN, UH, TO A GIVEN MIX OF RESOURCES.
SO, UH, IT'S BASED ON A VERY SOPHISTICATED INTERPOLATION METHOD, BUT WHAT YOU CAN DO IS YOU CAN LOOK AT A, UH, A RESOURCE PORTFOLIO, UM, AND IT HAS, AGAIN, A DIFFERENT RESOURCE MIX, AND YOU CAN ASSIGN ECCS BASED ON THAT RESOURCE MIX.
SO IT ACCOUNTS ALL THE, YOU KNOW, INTERACTIVE EFFECTS OF, OF THE RESOURCES AND THINGS LIKE THAT.
SO BASED ON THAT APPROACH, YOU DON'T NEED TO DO AN ELCC STUDY EVERY ONE OR TWO YEARS.
UH, AGAIN, YOU HAVE THESE, THIS LIBRARY OF, OF VALUES THAT YOU CAN PLUG IN, UM, TO THE, THE REPORT.
AND AGAIN, YOU'LL HAVE, UM, YOU KNOW, IT'S KINDA A DYNAMIC PARAMETER, SO YOU KNOW, AS YOU SUGGEST YOU, YOU MIGHT SEE LCCS, UH, DECREASE OVER TIME.
AND SO THIS APPROACH ACCOUNTS FOR THAT.
SO YOU CAN HAVE, YOU KNOW, LOWER ECCS, UH, FOR EACH OF THE TECHNOLOGIES.
SO I, I, I GUESS I'M, I'M MISUNDERSTANDING BECAUSE IT SOUNDS LIKE IT'S BACKING THE ECCS WITH A CERTAIN RESOURCE MIX, BUT IF THAT RESOURCE MIX IS CHANGING EACH YEAR, IT DOESN'T SOUND LIKE THAT AVERAGE ELCC FOR THAT RESOURCE MIX WILL ACCOUNT FOR THAT CHANGE.
SO IT, IT ACCOUNTS FOR, YOU KNOW, INCREMENTAL CHANGES IN THE RESOURCE MIX OVER TIME.
IT, I WOULD SUGGEST, UH, IF YOU HAVEN'T LOOKED AT THE ELCC REPORT, UH, THAT'S POSTED ON THE RESOURCE ADEQUACY WEBSITE THAT HAS A LOT OF BACKGROUND, UH, IN THIS, ABOUT THIS, AND IT BRINGS UP, UH, THE CONCEPT OF A SURFACE, A MULTIDIMENSIONAL SURFACE.
SO IF YOU HAVE A CERTAIN MIX OF WIND, SOLAR, AND BATTERY, THERE'S A SET OF E LCCS ASSOCIATED WITH THAT.
UM, AS THE PENETRATION GOES UP FOR THOSE RESOURCES OR THEY CHANGE RELATIVE TO EACH OTHER, UH, THE ECCS WILL REFLECT THAT.
YEAH, I, I GUESS I'M JUST STRUGGLING TO UNDERSTAND HOW WHEN THE AVERAGE ELCC VALUE ISN'T CHANGING, HOW IT WILL BE UPDATED, IF IT'S NOT WITHIN ONE OF THE STUDY, IT WILL BE UPDATED.
UM, SO LET'S SAY YOU HAVE, YOU KNOW, A SUMMER, YOU KNOW, 2026, THERE'LL BE A SET OF, UH, ELCC VALUES BASED ON THE FORECASTED MIX, UM, OF THE IBR TECHNOLOGIES THAT'S REFLECTED IN THE CDR.
UH, YOU MOVE TO SUMMER 2027, UM, YOU'LL HAVE A, A DIFFERENT SET OF ECCS, WHICH WILL REFLECT THE, A DIFFERENT RESOURCE MIX.
AND, YOU KNOW, AS YOU ADD TECH, UH, ADD RESOURCES, YOU KNOW, ECCS WILL, WILL DECREASE.
I MEAN, THAT'S A, UM, YOU KNOW, SYSTEMATIC, UM, YOU KNOW, PART OF THE ELCC.
SO YOU WILL SEE, YOU KNOW, FOR WIND SOLAR BATTERIES, YOU'LL SEE E LCCS DECREASE FOR EACH FORECAST YEAR, UH, IN THE CDR.
BUT THE FOLLOWING, SO LET, LET'S SAY THE EL, THE CDR COMES OUT FOR DECEMBER, 2025, USING THIS PROCESS AT THE NEXT CDR, WHEN THE NEXT CDR COMES OUT, IT WON'T ACCOUNT FOR WHAT HAS ACTUALLY OCCURRED, IT'LL JUST BE BASED OFF FORECASTS FOR THE FORWARD YEARS, RIGHT? YES, THAT'S CORRECT.
BECAUSE IT'S ALWAYS A, YOU KNOW, FORWARD LOOKING REPORT.
SO IT, SO THAT MIGHT CHANGE WHAT, SO IN 2026, BASED OFF WHAT HAS ARRIVED IN THE MARKET, THE CDR MIGHT NOT BE ACCURATE BECAUSE IT'S NOT ACCOUNTING FOR WHAT ACTUALLY DID COME IN VERSUS WHAT WAS PREDICTED IN 2025 WHEN THE, WHEN THE STUDY WAS DONE, RIGHT? YEAH.
I MEAN, ELCC IS, IS A FORWARD LOOKING VALUE, RIGHT? IT'S A, IT'S A, THE AVERAGE ELCC IS A, A PLANNING MEASURE.
SO YES, I MEAN, YOU'D HAVE TO LOOK AT, UH, ACTUAL CAPACITY FACTORS
[00:45:01]
AND GENERATION, UH, YOU KNOW, TO SEE WHAT ACTUALLY HAPPENS IN TERMS OF, UH, YOU KNOW, ADDITIONAL RESOURCES AND YOU KNOW, HOW THAT, HOW THAT IMPACTS, UH, YOU KNOW, RESOURCE ADEQUACY.BUT AGAIN, THE, THE CDR IS ALWAYS FORWARD LOOKING.
AND SO EVERY TIME YOU GET, UH, AN UPDATE A CDR UPDATE, WHICH IS TWICE A YEAR, UH, WE WILL REFRESH ALL THOSE ELCC VALUES BASED ON, YOU KNOW, WHAT'S IN THE INTERCONNECTION QUEUE.
AND, UH, YOU KNOW, UH, LOOKING AT THE, THE FORECAST FOR EACH OF THESE RESOURCES, YEAH, I, I, I GUESS MY CONCERN STILL STANDS THEN THAT ONLY UPDATING EVERY THREE YEARS MEANS THOSE, ALL THE CDRS BETWEEN WHEN THE STUDY WAS DONE AND, AND BUT BEFORE THE NEXT STUDY WILL BE BASED MAJORITY ON FORECAST AND NOT BASED ON WHAT HAS OCCURRED UP UNTIL, UP UNTIL THEN IN THE INTERIM.
CAN WE LEAVE IT AT THERE FOR NOW, JOHN? YEAH, SORRY.
DID, DID YOU HAVE ANYTHING ELSE TO ADD BESIDES THESE ANSWERS TO PEOPLE'S QUESTIONS? WELL, I, I JUST WANTED TO, UH, FOLLOW UP ON ERIC'S COMMENT ABOUT THE CDR.
SO AGAIN, WE, WE ALREADY PUBLISHED THE CDR, SO YOU KNOW, THE IMPLICATIONS.
IF YOU'RE WORRIED ABOUT HAVING TWO REPORTS OUT THERE, THEN, UH, DOES THAT IMPLY THAT YOU, UH, YOU STOP REPORTING A CDR, UH, BECAUSE WE ALREADY HAVE THAT INFORMATION OUT THERE.
AND AS BILL MENTIONED, WHAT WE WANT TO DO IS GET IT MORE ACCURATE AND AND MORE PERTINENT TO WHAT WE'RE SEEING HAPPEN IN THE MARKET.
SO, UM, THAT WOULD BE THE ISSUE.
IF, IF YOU'RE CONCERNED ABOUT HAVING THE CDR CHANGE, THEN YOU KNOW, WE SHOULD BE CONCERNED WITH HAVING THE CDR PUBLISHED AT ALL.
YEAH, I THINK THAT THAT'S NOT EXACTLY MY CONCERN.
MY CONCERN IS, UM, IF ERCOT PUBLISHES INFORMATION ABOUT WHETHER OR NOT ERCOT IS MEETING THE RELIABILITY STANDARD AND ALSO PUBLISHES INFORMATION ABOUT THE CDR AND THOSE HAVE DIFFERENT NUMBERS IN THEM, THEN IT WILL LEAD TO CONFUSION AMONG POLICYMAKERS.
UM, MICHAEL, JEWEL, ARE YOU WITH US? YEAH, KAYLYN, CAN YOU HEAR ME? WE CAN.
UM, SO I THINK THAT THE QUESTIONS AND CONCERNS THAT ERIC HAVE RAISED ARE, ARE VERY VALUABLE.
I WANNA RAISE ONE OTHER ONE, AND THAT IS, THERE IS A MISMATCH WITHIN THE NPRR WITH REGARD TO THE INFORMATION THAT'S BEING USED.
SO THE WAY THAT THIS IS SET UP IS ELCC WILL BE APPLIED TO WIND, SOLAR, AND STORAGE, BUT WHEN IT COMES TO THERMAL GENERATION AND ALL OTHER RESOURCES, IT'S GONNA BE LOOKING AT SEASONAL NET, UH, MAXIMUM SUSTAINABLE RATING IN RIO BACKWARDS LOOKING.
AND SO, YOU KNOW, TO PETE'S POINT, HE'S SAYING, AS ELCC GOES FORWARD, WE'RE GONNA SEE A DECLINE IN THE VALUE.
SO YOU'RE GONNA SEE A DECLINE IN THE VALUE IN ONE SET OF RESOURCES, BUT THE OTHER SET IS NOT GOING TO BE DECLINING.
AND SO THE RELATIVE, UM, UH, UH, WAY THAT THIS IS PRESENTED TO THE PUBLIC HAS A, UM, UH, HAS A CONCERN FOR DRAWING SOME MAYBE UNINTENDED CONSEQUENCES AND VIEWS.
PETE, DID YOU WANNA RESPOND TO THAT? IS THAT WHY YOU GOT IN THE QUEUE? THAT'S, THAT'S CORRECT.
WHY DON'T YOU GO AHEAD AND RESPOND.
SO MICHAEL, WE'VE TALKED ABOUT THERMAL ECCS AT SOG MEETINGS, AND AS A MATTER OF FACT, THE, THE LAST ELCC STUDY, UH, THAT WE PERFORMED DID COME UP WITH SOME THERMAL E LCCS.
AND AGAIN, THOSE WERE TIED TO, UH, YOU KNOW, WINTER EVENTS AND, YOU KNOW, SUMMER, YOU KNOW, HIGH TEMPERATURE.
AND THAT WAS REALLY A PROOF OF CONCEPT.
AND SO WHAT WE WANNA DO IS EXTEND THE ANALYSIS AND THEN IF IN A FUTURE TIME, INCORPORATE THERMAL ECCS INTO THE CDR, JUST THAT, YOU KNOW, WE'RE NOT READY TO DO THAT RIGHT NOW AND IT NEEDS MORE RESEARCH.
UH, BUT THAT'S THE INTENDED DIRECTION.
AND AND I, CAITLIN YEAH, AND I APPRECIATE THAT.
I THINK THE CONCERN IS THE WAY THAT 1219 IS SET UP IS IT'S TYING YOU TO A PARTICULAR APPROACH FOR RIGHT NOW.
UM, AND, AND THEREIN LIES KIND OF THE CONCERN.
[00:50:03]
OKAY, THANKS MICHAEL.UM, I, I DID WANNA RESPOND TO, TO ONE COMMENT MR. GOFF HAD MADE, AND I THINK BILL, UH, BARNES HAD HAD COVERED IT FAIRLY WELL.
BUT, UM, ERIC, I I DO APOLOGIZE IF I HAD, IF I HAD INTENDED OR NOT INTENDED, IF I HAD, UH, INDICATED THAT THE CDR IS NOT A RESOURCE ADEQUACY REPORT.
MY POINT WAS THAT IT IS NOT THE HOLISTIC RELIABILITY STANDARD ANALYSIS THAT THE, THE COMMISSION IS CONSIDERING.
AND, UM, YOU KNOW, I OBVIOUSLY SHARE YOUR, UM, YOU KNOW, SHARE YOUR CONCERNS ABOUT HOW, HOW MUCH ATTENTION THE CDR GETS AND WANTING TO MAKE SURE THAT IT REPRESENTS, YOU KNOW, UM, YOU KNOW, QUALITY INFORMATION THAT HAS THE APPROPRIATE, UM, YOU KNOW, EXPLANATIONS, CAVEATS, SCENARIOS, ET CETERA.
BUT IT'S ALSO A P 50 REPORT, RIGHT? YOU'RE USING P 50 LOAD, YOU'RE USING P 50, UH, UM, P 90, UH, WELL THAT MAY BE INCORRECT ABOUT THAT.
UM, BUT IT'S USING ONLY A SINGLE SET OF, UH, LOAD AND, UM, YOU KNOW, FORECASTED, UH, CONDITIONS FOR, FOR INTERMITTENT RESOURCES.
SO IT IS A, IT'S A SNAPSHOT AND IT'S INDICATIVE, BUT IT'S NOT THE, IT'S NOT THE WHOLE, THE WHOLE DEAL.
BUT, UM, I, I SEE THAT WE'VE GOT A SECOND ON THE MOTION TO TABLE.
UM, IT SOUNDS LIKE THERE'S PROBABLY SOME FOLKS THAT ARE WILLING TO VOTE FOR THAT.
I, I PERSONALLY THINK THAT THIS, THESE ARE UNAMBIGUOUS IMPROVEMENTS OVERALL, UH, FROM THE EXISTING CDR.
AND SO I, I DON'T INTEND TO VOTE FOR THE MOTION TO TABLE.
I WOULD ACTUALLY SUPPORT MOVING IT FORWARD, BUT, UM, JUST TO, IN THE INTEREST OF TIME, I'D CALL THE QUESTION ON THE MOTION TO TABLE.
SO, UH, WE DON'T HAVE A MOTION ACTUALLY, BECAUSE THE MOTION DOESN'T JUST LIVE FOREVER.
SO WHEN WE FIRST HAD THE MOTION, WE DIDN'T GET A SECOND, AND THAT MOTION DIED.
I SUSPECT HE WILL MAKE THAT MOTION, AND I SUSPECT OTHER ERIC WILL SECOND IT.
BUT YEAH, THE, THE MOTION DOES NOT JUST LIVE FOREVER UNTIL SOMEONE SECONDS IT.
WE, WE CALLED AROUND AND THE FIRST MOTION DIED, I SUSPECT THEN THE MOTION WILL BE MADE AGAIN.
UM, BUT THERE'S NOT, THERE'S NOT A MOTION ON THE TABLE RIGHT NOW.
SO I'M NOT SURE IF YOU CAN CALL THE QUESTION ON ANYTHING.
BUT WE, WE LOVE YOUR INTENT AND, UH, I WILL MAKE THE MOTION THEN TO ENDORSE IN V 12.
YOU'LL MAKE THE MOTION TO ENDORSE.
IS THERE A SECOND ON THAT MOTION? THAT'S THE SECOND GOES TO BILL.
BUT YOU DID NOT MAKE A MOTION TO CALL THE QUESTION.
SO CAN WE LET BRIAN SAMS MAKE HIS POINT, PLEASE? I'M VOTING FOR IT.
I THINK IT'S INCREMENTAL IMPROVEMENT.
UM, SENSITIVE TO SOME OF THE COMMENTS I HEARD ABOUT, LIKE, YOU KNOW, APPLYING ELC TO SUBSET OF RESOURCES.
I THINK IF YOU'RE GONNA USE IT, IT SHOULD BE APPLIED TO ALL RESOURCES.
UH, ONE OF THE BIGGEST IMPROVEMENTS I SEE IS THE INCLUSION OF ENERGY STORAGE RESOURCES IN THE CDR CURRENTLY, THEY'RE GIVING ZERO CONTRIBUTION.
AND SO, UH, PROSPECTIVELY, UH, THIS IS A, AN IMPROVEMENT TO INCLUDE ENERGY STORAGE RESOURCES IN THE CAPACITY.
UM, YOU KNOW, THE CDR IS A STARTING POINT.
I THINK EVERY SINGLE SHOP HERE, UH, PROBABLY DISSECTS IT HAS THEIR OWN VIEW OPINION ON, ON EVERYTHING, INCLUDING THE LOAD FORECAST.
I MEAN, WE'VE GOT THREE VERSIONS OF A LOAD FORECAST NOW.
WE'VE GOT THE BASE FORECAST, WE'VE GOT THE, UH, FORECAST PLUS SIGN LOAD, AND THEN WE'VE GOT THE UNSIGNED LOAD FORECAST.
AND SO, YOU KNOW, EVERYONE JUST HAS TO TAKE A, A COMMERCIAL VIEW ON, ON THE, THE CDR.
AND SO, UH, HAVING BETTER BASE INFORMATION IS AN IMPROVEMENT.
AND THAT'S THE REASON I'LL BE VOTING FOR THIS.
FIRST, IF I CAN MAKE A MOTION AND THEN I'LL HAVE SOME COMMENTS.
IS THERE A SECOND FOR THE MOTION TO TABLE, ERIC? LET'S JUST SEE IF THE MOTION PASSES OR FAILS.
SO YOU WILL NOT SECOND HIS MOTION TO TABLE.
SO THERE'S NO SECOND ERIC, SO GO AHEAD AND MAKE YOUR COMMENTS.
WELL, I WILL MAKE SOME POINTS.
I THINK I HAVE SOME REAL CONCERNS WITH THIS CONVERSATION.
UH, BEEN DEALING WITH THIS ISSUE FOR 20 YEARS.
UH, AND IT'S IMPORTANT, I THINK, GIVEN THE IMPORTANCE THAT CDR HAS, IT'S A HIGH PROFILE ITEM, IT'S GONNA BE DISCUSSED AT THE LEGISLATURE, AND THEY'RE NOT GONNA BE UP ON THE SUBTLETIES THAT ARE DISCUSSED HERE.
THE OTHER THING IS, UM, I'M NOT SURE, FOR EXAMPLE, YES, YOU'RE MEASURING BATTERIES, BUT HOW DO BATTERIES INTERACT WITH INTERMITTENT RESOURCES, PARTICULARLY IF THEY'RE BEHIND THE
[00:55:01]
METER? YOU'VE GOT OTHER ISSUES INVOLVED.UH, AND YOU'RE TALKING ABOUT TRYING TO MEASURE A DYNA DYNAMIC COMPLEX SYSTEM WITH STATIC MODELING.
AND THAT'S ONE OF THE BIG ISSUES I HAVE WITH ELCC.
UM, SO ANYWAY, I THINK IT'S IMPORTANT TO MEASURE TWICE AND CUT ONCE.
AND SO I THINK MORE TIME WOULD BE HELPFUL.
UH, AND I AM SYMPATHETIC WITH THE IDEA AS WELL THAT WE NEED SOME CLARITY ON THE RELIABILITY STANDARD FROM THE COMMISSION.
UH, 'CAUSE I THINK THERE, THERE'S A RISK, WHATEVER IMPROVEMENTS THERE ARE ON THIS OF MUDDYING THE WATERS AND, UH, THERE'S ENOUGH FLOWING AT THE, AT THE LEGISLATURE IN THIS NEXT SESSION AS IT IS.
BILL BARNES, I JUST, UM, OUTTA CURIOSITY AND ONE, 'CAUSE I KNOW DR.
SCHUBERT HAS BEEN IN THIS MARKET FOR A WHILE, BUT I'M, I'M CURIOUS, ERIC, DO YOU BELIEVE THE CURRENT VERSION OF THE CDR IS ACCURATE? WELL, OR MORE ACCURATE THAN THIS? SORRY, THAT'S, THAT'S A MORE FAIR QUESTION.
WELL, IT'S NOT, IT'S NOT A MATTER OF WHETHER IT'S MORE, THIS IS MORE ACCURATE THAN THE CURRENT ONE.
IF YOU HAVE SOMETHING THAT'S INCOMPLETE OR POTENTIALLY MISLEADING, INADVERTENTLY, I THINK IT WOULD BE BETTER TO TAKE SOME MORE TIME TO MAKE SURE THAT WE UNDERSTAND WHAT'S GOING ON, MAKE SURE THAT WE'RE COORDINATING IT WITH THE COMMISSION'S EFFORTS ON RELIABILITY STANDARD.
BECAUSE I WOULDN'T NOT BE SURPRISED IF SOMEONE USES WHATEVER NUMBERS TO THAT THAT WE MAY DISPUTE AND THEN SAY, HEY, LOOK AT THIS.
WE NEED TO DO THIS DRASTIC ACTION.
UM, SO I THINK IT'S IMPORTANT IF THIS IS GOING TO BE SOME FORM OF MEASURE FOR, UH, INFORMED POLICY DEBATE OVER THE NEXT YEAR OR TWO, THAT WE GET IT RIGHT.
AND I THINK THAT THE COMMISSION NEEDS TO OPINE ON ITS RELIABILITY STANDARD AS AN INPUT FOR WHATEVER DECISIONS ARE MADE ON THE CDR, GIVEN THE IMPORTANCE OF, OF THE ISSUES INVOLVED.
YOU GOOD, BRIAN, BILL? YEAH, THANKS.
UM, TO THE MOTION, NED AND BILL, SO ERCOT DID FILE COMMENTS AFTER PRS, AND THEN THEY HAD A DESKTOP EDIT AS WELL.
I, I DON'T KNOW IF YOUR MOTION WAS MEANT TO BE INCLUSIVE OF THOSE, BUT THAT IS WHAT ERCOT WOULD PROPOSE.
AND SO I WILL LET THEM WALK THROUGH THOSE COMMENTS AND THE DESKTOP EDITS.
IS THAT GOOD WITH NED AND BILL, WHO MADE THE MOTION? WELL, LET'S SEE THEM BEFORE YOU.
THE, THE MOTION WAS TO ENDORSE THE, THE ERCOT COMMENTS, BUT, UH, RECOGNIZING THAT THERE ARE DESKTOP EDITS TO REVIEW, UH, OKAY.
PETE, DO YOU WANNA WALK THROUGH THE ERCOT COMMENTS SINCE THERE'S ADDITIONAL GRAY BOXES THAT WE PUT IN THERE WITH THE BIFURCATED EFFECTIVE DATES? SURE, SURE.
SO THE IDEA IS TO PHASE IN CDR CHANGES, AND WE WANTED TO GET, UM, THE MOST CONSEQUENTIAL ONES IN FOR THE DECEMBER CDR.
AND THEN THE IDEA WAS TO WAIT FOR THE MAY, 2025 CDR, UH, TO IMPLEMENT, UH, REPORTING OF THE SPRING AND FALL SEASONS.
AGAIN, THE COMMISSION WAS INTERESTED IN, IN GETTING INFORMATION FOR ALL SEASONS.
SO THAT, THAT WAS THE GENESIS OF THIS.
SO THE GRAY BOX, UM, AGAIN, THIS, THIS BIFURCATES, UM, YOU KNOW, THE IMPLEMENTATION INTO WHAT'S GOING IN, UM, AS SOON AS THE COMMISSION, UH, APPROVES THE LANGUAGE, YOU KNOW, ASSUMING, UH, THAT WE CAN GET THIS DONE IN TIME FOR THE DECEMBER CDR AND THEN THE, ALL THE, THE SEASONAL REPORTING, UH, SPRING AND FALL, THAT WOULD BE IMPLEMENTED AT THE START OF NEXT YEAR.
AND THEN YOU WOULD SEE, UH, THAT SEASONAL REPORTING IN THE MAY CDR.
SO, UH, THAT'S EXPLANATION FOR THE, THE GRAY BOXING.
IN TERMS OF THE COMMENTS, UM, WE'VE HAD SOME FURTHER DISCUSSIONS WITH THERAPE CONSULTING, YOU KNOW, UM, ON THE ELCC.
AND THIS PERTAINS TO, UM, HOW WE DEFINE OR WHAT ARE CALLED, UH, RESERVE RISK PERIODS, UH, BECAUSE THE INTENT IS TO HAVE ECCS, UH, FOR THE DIFFERENT RISK PERIODS.
SO WE WOULD LOOK AT, UH, FOR EXAMPLE, AN EVENING ELCC, YOU KNOW, VERSUS AN AFTERNOON ELCC AND, AND A AND A MORNING ELCC, WHICH BE WOULD BE IMPORTANT FOR THE WINTER.
UM, AND THEN FOR, FOR BATTERY DURATIONS, WE HAD A VARIABLE TO DEFINE THAT AS A, ON A KIND OF A RIGID BASIS, UH, YOU KNOW, RANGES.
SO, UH, IN FURTHER TALKING WITH THERAPE AND THE METHODOLOGY THAT WE'RE GONNA BE USING GOING FORWARD TO DO ECCS, UH, THE IDEA IS NOT TO MAKE THOSE RIGID DEFINITIONS.
[01:00:01]
THE IDEA WOULD BE WE WOULD DO AN ELCC STUDY AND THAT WOULD INFORM THE SELECTIONS OF WHAT THE APPROPRIATE, UH, RESERVE RISK PERIOD WOULD BE.AND A RESULT OF THAT WE REMOVED, UH, THAT, UM, UH, THAT RIGID DEFINITION.
SO WE WOULD HAVE IT AS A, YOU KNOW, A START AND END TIME, BUT WE'RE JUST SAYING WE'RE GONNA USE THE ELCC STUDY AS THE BASIS TO DEFINE WHAT THOSE RISK PERIODS WOULD BE.
AND THEN ON THE BATTERY DURATION SIDE, IT'S THE SAME STORY THAT WE HAD, UM, YOU KNOW, SPECIFIC VALUES FOR THESE RANGES.
AND, UH, TROPI CAME UP WITH AN APPROACH TO, UH, TO CALCULATE THOSE ON A CONTINUOUS BASIS.
AN ISSUE IS, IS, AGAIN, YOU DON'T HAVE JUST A ONE OR TWO OR FOUR HOUR DURATION BATTERY.
AND AGAIN, THAT'S THE, THE DESIGN BASIS AGAIN, YOU COULD HAVE LIKE A, A A 1.3 OR A 2.5.
AND SO THEY'RE GONNA COME UP WITH A WAY THAT YOU CAN, UH, ADD A, UH, AN ELC OR EXCUSE ME,
SO BY VIRTUE OF THAT CHANGE OF METHODOLOGY, WE DON'T NEED TO DEFINE, UH, THOSE RANGES ANYMORE.
SO WE DELETED, UH, THAT VARIABLE FROM HERE.
SO THOSE WERE THE CHANGES, UH, THAT WERE MADE.
UM, AND THEN IN TERMS OF THE, UH, UH, THE DESKTOP EDITS THIS, UH, AGAIN, THIS IS, UH, SECTION FOUR THAT YOU SEE ON THE SCREEN.
SO THIS JUST GETS, UH, THIS IN BETTER ALIGNMENT, UH, WITH WHAT WE INTEND TO DO IN THE ELCC STUDY.
SO, UH, AGAIN, WE NO LONGER HAVE STANDARD DURATION CATEGORIES AND WE'RE JUST RELYING ON WHAT, UH, WILL BE SPECIFIED IN THE ELCC STUDY.
SO THAT'S THE, THAT'S THE DESKTOP EDIT.
NED AND BILL, YOU FINE WITH THE DESKTOP EDITS? YES, I'M FINE WITH THOSE DESKTOP EDITS.
SO WOULD, UH, INCORPORATE THOSE INTO THE MOTION TO ENDORSE.
CORY, DO YOU WANNA READ THAT MOTION FOR US? ABSOLUTELY.
THIS WOULD BE A MOTION TO RECOMMEND APPROVAL OF 1219 AS RECOMMENDED BY PRS AND THE SEVEN 18 PRS REPORT AS AMENDED BY THE 7 29 ERCOT COMMENTS AS REVISED BY TAC, WHICH PETE JUST WALKED US THROUGH, AND THE SEVEN 30 REVISED IA, WHICH, UH, DIANA HAD MENTIONED IN HER PRESENTATION THAT THE IA ACTUALLY WENT DOWN FROM WHAT IT WAS ORIGINALLY POSTED, SO NOW WE'RE DOWN TO A LESS THAN 20 O AND M COST.
SO WE WOULD HAVE THAT IN THERE AS WELL.
AND AS PETE WAS LAYING OUT, RECOMMENDED EFFECTIVE DATE OF NO EARLIER THAN JANUARY 1ST, 2025 FOR THE GRAY BOX LANGUAGE AND THE FIRST OF THE MONTH FOLLOWING POC APPROVAL FOR ALL REMAINING LANGUAGE.
SO THAT GETS THE BIFURCATION THAT PETE WAS WALKING THROUGH.
THIS IS SUSIE CLIFTON WITH
THE ONE THAT YOU HAVE IN THE MEETING RIGHT NOW IS CORRECT, SO IF YOU CAN JUST SEND ME AN EMAIL TO STAKEHOLDER SERVICES THAT YOU'RE PARTICIPATING, WE CAN VALIDATE YOU FOR THIS VOTE.
WE WILL START UP WITH THE CONSUMERS, WITH ERIC GOFF ABSTAIN, AND THEN ERIC AVA ABSTAIN.
AND SUSIE, DID NICK EVER JOIN US? I BELIEVE SO.
ERIC BLAKEY, I GOT YOU IN CHAT, ERIC.
ONTO OUR INDEPENDENT GENERATORS, BRIAN? YES.
I'M GONNA STAIN AS SOON AS I GET THAT TOUR
DO WE HAVE JENNIFER YET? SUSIE? I DON'T THINK SO.
[01:05:01]
MEANS WE DON'T HAVE CHRIS EITHER.TWO VOTES OPPOSED, AND FOUR ABSTENTIONS.
OKAY, I THINK WE ARE WRAPPED UP ON PRS.
[6. Revision Requests Tabled at TAC (Possible Vote)]
REVISION REQUESTS, UH, TABLED.UM, THIS HAS BEEN TABLED, I BELIEVE, SINCE MAY.
AND THE 5 29 COMMENTS WE'VE ALREADY REVIEWED HERE, AND I THINK WE TABLED IT AT THE 5 31 MEETING.
WE DO HAVE AN ERCOT PRESENTATION TODAY.
IS, IS THAT GORDON PRESENTING? GOOD AFTERNOON, UH, GORDON DRAKE MARKET DESIGN ANALYSIS AT ERCOT.
AND PLEASED TO BE HERE, UH, TO TALK ABOUT AND BRING BACK ANALYSIS THAT HAD BEEN REQUESTED BY TAC ON NPRR 1230, UH, RELATED TO, UH, SETTING THE, AND, AND MANAGING, UH, TRANSMISSION FLOWS ON IOLS THROUGH A MARKET, UH, MARKET-BASED MECHANISM AND TRANSPARENT MARKET-BASED MECHANISM TO DO SO.
UM, UH, SO WHAT WE'LL BE DOING TODAY IS I SAY PROVIDING SOME OF THAT ANALYSIS THAT LOOKS BACK, UH, OVER SELECTED OPERATING DAYS IN 2023, UM, AND APPLYING THE, THE PRINCIPLES AND METHODOLOGY THAT ARE OUTLINED IN NPRR 1230 TO THOSE DAYS, TO, TO SEE THE EFFECTS THAT IT HAS ON MARKET IN TERMS OF THE OVERALL VALUE AND ENERGY AND, AND HOW THAT MANIFESTS ITSELF ACROSS THE, THE VARIOUS LOANS, UH, LOAD ZONES ON THE SYSTEM.
UM, AND ALSO AN OPPORTUNITY TO ANSWER QUESTIONS, UM, AND, AND TALK ABOUT, UH, HOW WE WANT TO MOVE FORWARD WITH NPRR 1230.
UH, JOINING ME TODAY ARE, UH, OTHER SUBJECT MATTER EXPERTS FROM ERCOT REPRESENTING BOTH OPERATIONS AS WELL AS THE, UH, THE ANALYTICAL TEAM WHO PERFORMED THE ANALYSIS.
SO, JUST AS A REMINDER, UH, BECAUSE IT'S BEEN A FEW MONTHS SINCE WE TALKED ABOUT NPRR 1230, UM, THE METHODOLOGY OUTLINED IN, IN 1230 IS A TRANSPARENT AND MARKET BASED MECHANISM TO, UM, A, A ADDRESS TRANSMISSION FLOWS ON, UM, PARTICULARLY ARISING FROM OBSERVED TRANSMISSION FLOWS ON THE SOUTH TEXAS EXPORT IRL INTERCONNECTION RELIABILITY OPERATING LIMITS.
UM, THIS IS, UH, AN APPROACH THAT, UM, IS IN RESPONSE TO MANUAL ACTIONS THAT THE, THE CONTROL ROOM WAS, WAS TAKEN IN ORDER TO MAINTAIN RELIABILITY, UM, PARTICULARLY THE USE OF, UH, HIGH DISPATCH LIMIT OVERRIDES TO HELP MITIGATE, UH, FLOWS THAT WERE, UM, UH, BINDING AND CASES VIOLATING THE CONSTRAINT, UM, IN THE SUMMER OF 2023.
AND THAT APPROACH OBVIOUSLY PROVIDES, UH, AND PRESENTS A, UM, A MANUAL INTERVENTION IN THE MARKET.
IT IS AT A TIME WHEN, UH, CONTROL ROOM OPERATORS ARE MANAGING A NUMBER OF, OF ISSUES CONCURRENTLY, AND WE SEE THAT THIS IS, UH, AN OUTCOME IN THE MARKET THAT CAN BE DIFFICULT TO, UH, PREDICT AND FOR THE MARKET TO HEDGE AGAINST.
UM, SO WE SEE BENEFITS IN NPRR 1230 IN BOTH, UM, USING THE, THE MARKET TO RESOLVE THIS TO FREE THAT, UH, ATTENTION AND BURDEN ON CONTROL ROOM OPERATORS THROUGH USING MANUAL ACTIONS AND ALSO PROVIDE THAT, THAT CLEAR AND TRANSPARENT SIGNAL TO THE MARKET ABOUT HOW TO, UM, HOW TO USE THE MARKET TO RESOLVE THOSE SITUATIONS.
SO NPRR 1230 AT ITS CORE, UH, PROPOSES TO INCREASE THE MAXIMUM SHADOW PRICE CAP ON, UH, CERTAIN INTERCONNECTION RELIABILITY OPERATING LIMITS.
UM, IT DOES THAT IN A TRANSPARENT WAY, UM, AND IS APPLIED IF NEEDED BASED ON THE, UH, OBSERVED PATTERNS ON THE IOLS.
UH, IT ALLOWS SCED ACCESS TO RESOURCES THAT OTHERWISE, UH, IT WOULDN'T HAVE TO HAVE ACCESS TO, UM, AND AGAIN, ALLOWS THAT, THAT THE MARKET TO SOLVE IT.
UM, AND ALLOWS CONTROL ROOM OPERATORS TO FOCUS ON THE OTHER THINGS THAT ARE HAPPENING IN, IN THE CONTROL ROOM, ESPECIALLY IN, IN TIMES WHEN, UH, SYSTEM CONDITIONS ARE, ARE, UH, ARE TIGHT AND NEAR SCARCITY, AND THERE ARE OTHER THINGS THAT ARE, THAT ARE HAPPENING IN THE ROOM.
THIS GIVES THEM ANOTHER TOOL, UH, THROUGH THE MARKET TO, TO MANAGE THOSE SITUATIONS.
[01:10:01]
THE METHODOLOGY FOR DETERMINING THAT SHADOW PRICE CAP FOR EACH IRL, UM, THAT WOULD BE APPLIED UPON IMPLEMENTATION OF THE NPRR, EITHER THE, THE CURRENT SHADOW PRICE CAP FOR A BASE CASE IRL CONSTRAINT, WHICH IS $5,251 PER MEGAWATT HOUR, OR THE FORMULA THAT'S, THAT'S SHOWN ON THE SLIDE TAKES INTO ACCOUNT THE POWER BALANCE PENALTY.UM, THE MITIGATED OFFER FLOOR FOR THE, UH, FOR THE SELECTED RESOURCE, UH, WHICH, UH, LOOKS AT, UH, THE, THE DIFFERENCE BETWEEN A HIGH SUSTAINABLE LIMIT, LOW SUSTAINABLE LIMIT AND ITS RELATIONSHIP TO THE, UH, OBSERVED FREQUENCY BIAS ON THE ERCOT SYSTEM.
UM, AND THE SHIFT FACTOR OF THAT RESOURCE TO COME UP WITH, UH, THE IRL SHADOW PRICE CAP FOR THE, THE SPECIFIED, UH, SPECIFIED IRL.
I'LL, AT THIS POINT, TURN IT OVER TO MATTHEW SCHMIDT FROM OUR MARKET ANALYSIS AND VALIDATION TEAM TO TALK THROUGH THE SPECIFICS OF THE ANALYSIS AND HOW IT WAS PERFORMED AS WELL AS THE OUTCOMES THAT WE OBSERVED.
THIS IS, UH, MATTHEW SCHMIDT WITH MARKET VALIDATION.
CAN YOU HEAR ME? UH, IT'S A, IT'S A LITTLE FAINT, FAINT, LITTLE BIT FAINT.
MATTHEW, IF, IF YOU CAN, I, MATTHEW IS JOINING US, UH, REMOTELY 'CAUSE HE'S A LITTLE UNDER THE WEATHER, SO I
UM, IS THIS A LITTLE BIT BETTER? IT'S A LITTLE BETTER.
UM, TRY TO, TRY TO GET LOUDER.
UM, SO YES, UH, WE ARE BRINGING THIS ANALYSIS AS GORDON JUST ALLUDED TO, UM, BASED ON REQUEST FOR FURTHER ANALYSIS, BASICALLY LOOKING AT SOME OF THE PRICING IMPACTS THAT WE COULD SEE, UH, UH, WITH THE IMPLEMENTATION OF 1230.
UM, AND SO THE NEXT SLIDES PROVIDE A LITTLE BIT OF AN OVERVIEW OF THE BACKCAST TO GIVE KIND OF THE MAIN, UH, TAKEAWAYS, RESULTS WISE, VERY HIGH LEVEL.
UM, BUT BEFORE WE GET STARTED, THERE ARE A COUPLE THINGS, AND I'LL FLESH THIS OUT A LITTLE BIT MORE IN THE NEXT SLIDE.
A COUPLE OF THINGS TO KEEP IN MIND WHEN, UM, WHEN LOOKING AT, UH, THE BACK CAST THAT WE PERFORMED, UM, IN PARTICULAR, UH, SINCE WE WERE, YOU KNOW, HERE, UH, TRYING TO PERFORM A COUNTERFACTUAL, UM, TAKING BASICALLY THE I RLS THAT DID NOT EXIST IN 2023, THOSE, UH, SOUTH TEXAS EXPORT I RLS AND INTRODUCING THOSE BASICALLY INTO SCED, UM, AND RUNNING THIS ANALYSIS, UM, THERE WAS ONE PIECE OF INFORMATION THAT WE LACKED.
AND SO WE HAD TO KIND OF, UH, WORK, USE A WORKAROUND, UM, IN ORDER TO PROVIDE SOME INDICATIVE RESULTS.
UM, AND ONE OF THOSE, AND THAT IS PRIMARILY THE FACT THAT THE IOLS, THE LIMITS ARE CALCULATED AS THERMAL CASCADING LIMITS.
UH, SO DYNAMICALLY SCED RUN THE SCED RUN.
SO IN REAL TIME, UM, AND SINCE THESE I RLS DID NOT EXIST IN 2023, FORTUNATELY WE COULDN'T RECOVER, YOU KNOW, THE DI THE FULL, UM, NATURE OF THESE DYNAMIC LIMITS KNOWN FROM SCATTER INTERVAL TO SCATTER INTERVAL.
AND SO WE HAD TO RELY ON COMING UP WITH SOME SCENARIOS BASED ON STATIC LIMITS THAT WE DERIVED FROM, UM, LOOKING AT THE, UM, THE ROL LIMITS FOR THESE SOUTH TEXAS EXPORT RLS, UM, THAT WE WERE ABLE TO, UH, UM, UM, THAT WE WERE ABLE TO TAKE FROM THE, UH, YOU KNOW, PRODUCTION AND WHENEVER THESE I RLS WERE BINDING, UM, IN 2024 BETWEEN WHEN THEY WERE INTRODUCED AT THE BEGINNING OF MARCH AND JUNE, BASICALLY WHEN WE RAN THIS ANALYSIS.
UM, AND I'LL GO INTO MORE DETAIL ON THE EXACT SCENARIOS, BUT THAT IS DEFINITELY ONE MAJOR, I'D SAY LIMITATION ON THE ANALYSIS THAT WE HAD TO, YOU KNOW, JUST THE NATURE OF THE COUNTERFACTUAL.
UM, AND, UH, I DON'T BELIEVE WE HAVE ANY MORE OF THE DETAILED ANALYSIS IN THE APPENDIX.
UM, BUT I CAN, YOU CAN CORRECT ME I GUESS GORDON.
UH, I THINK THESE ARE AVAILABLE UPON REQUESTS SOME MORE, UM, DETAILED RESULTS AS TO THE INDIVIDUAL OPERATING DAYS.
WE ANALYZE, UM, I GUESS NEXT SLIDE PLEASE.
SO LOOKING AT THE INPUT, UH, INPUTS AND THE ASSUMPTIONS FOR THE BACKCAST, UM, VERY IMPORTANT ASPECT HERE IS THAT WE WERE TRYING TO HERE ISOLATE THE IMPACT OF RAISING THE, UM, MAC SHADOW PRICE CAP ON THE IOLS.
UM, IN ORDER, IN ORDER TO DO THAT, TO HAVE MORE OF AN APPLES TO APPLES ANALYSIS, UH, WE DECIDED TO ESTABLISH A BASELINE, UH, WHICH MEANT BASICALLY RUNNING THIS COUNTERFACTUAL BY INCLUDING THE SOUTH TEXAS EXPORT IOLS, UM, FOR THE SELECTED DAYS THAT WE DID ANALYSIS FOR WITH THE
[01:15:01]
CURRENT MAX SHADOW PRICE CAP OR THE GENERIC CAP OF 52 51.SO, UM, THAT WAS THE FIRST STEP TO COME UP WITH THIS BASELINE.
SO WE COULD BASICALLY, WHEN WE THEN RUN THE ANALYSIS AND WE RAISE THE SHADOW PRICE CAP THAT WE CAN ACT ISOLATE, UM, OR TRY TO ISOLATE THE, THE IMPACT, UM, AND HAVE MORE, LIKE I SAID, OF AN APPLES TO APPLES COMPARISON.
UM, SO JUST LOOKING AT THE ANALYSIS ITSELF AND, UM, MOST OF THESE ASSUMPTIONS ARE ALSO APPLICABLE TO THE BASE, TO THE BASELINE, UH, ANALYSIS THAT WE PERFORM OR BASE, NOT BASELINE RUNS THAT WE PERFORMED, EXCEPT FOR OF COURSE, THE SHADOW PRICE CAP.
THAT'S THE ONE MAJOR DIFFERENCE.
UM, UM, AND THE ANALYSIS WAS RAISING IT TO 19 7 5 1, WHICH IS PROPOSED FOR THE, UH, SOUTH TEXAS EXPORT IOLS.
UM, BUT IN EACH CASE IN THE BASELINE AND ALSO FOR THE, UM, THE RUNS WITH THE ELEVATED SHADOW PRICE CAP, WE DID NOT ADJUST THE ANCILLARY SERVICE, UM, RELEASE, UH, IN THE INDIVIDUAL SC INTERVALS THAT WE ANALYZED.
UM, WE DID RELAX THE HDL OVERRIDES, BASICALLY RESET THOSE, UM, SO THAT SC CAN DEFINITELY, YOU KNOW, CHOOSE, UH, DETERMINE WHICH, UM, RESOURCES TO DISPATCH DOWN, UM, OR, OR UP, UM, OR IN THIS CASE MORE DOWN.
UM, AND THEN, UH, FOR 2023, WE WERE, FOR THE ELEMENTS OF THE SOUTH TEXAS I RLS WE WERE ABLE TO USE THE HISTORICAL LOADINGS, UM, WHEN PERFORMING THE ANALYSIS.
UM, AND AS I JUST MENTIONED, WE DID USE THEN OR CONSTRUCT SCENARIOS USING STATIC LIMITS, UH, BASED ON 2024 HISTORICAL LINE LIMITS FOR THE SOUTH TEXAS IOLS.
UM, IT'S A COUPLE POINT POINTS DOWN WHERE I DISCUSSED THE, THE, IN THE CONSTRUCTION OF THE TWO SCENARIOS.
BUT ONE OTHER POINT THAT I DID WANNA MENTION IS THE DENI.
THIS IS SOMEWHAT OF A RECENT DEVELOPMENT AND SOMETHING ALSO NOT BE, WE WEREN'T ABLE TO CAPTURE IN THE ANALYSIS.
UM, AND THAT WERE, UM, THOSE WERE THE, UH, SO THE DY DYNAMIC LINE RATINGS THAT HAVE BEEN APPLIED NOW TO THE, UH, LINES COMPRISING THE IOLS.
UM, SO YEAH, LOOKING MORE IN DETAIL AT THE TWO SCENARIOS, AS MENTIONED, WE HAD TO RELY ON THESE STATIC LIMITS FOR THE, UM, FOR THE ANALYSIS.
AND SO WE DECIDED IN ORDER TO GIVE SOME KIND OF A SENSITIVITY OR SOME KIND OF RANGE OF VALUE SINCE, YOU KNOW, WE CAN'T PAY, YOU KNOW, THIS ISN'T, UM, UH, YOU KNOW, THE STATIC LIMITS OF COURSE ARE NOT, ARE NOT THE BEST, UH, BEST WAY TO GET BACK TO LIKE THE DYNAMIC LIMITS.
SO WE SET UP TWO SCENARIOS, UM, AND ONE OF THOSE SCENARIO ONE IS WHERE WE USED THE AVERAGE HISTORICAL LIMITS OF SOUTH TEXAS EXPORT OLS IN THE REAL TIME MARKET WHEN BINDING, LIKE I SAID, FROM MARCH TO JUNE, 2024.
SO HERE WE USED THE AVERAGE LIMITS.
UM, SO THESE ARE MORE KIND OF RELAXED OR LOOSER LIMITS.
AND THEN THE SECOND SCENARIO, WE'VE APPLIED MORE CONSERVATIVE LIMITS AND WE JUST HERE TOOK THE 25TH PERCENTILE OF THOSE LIMITS OBSERVED, UM, ON THE SOUTH TEXAS EXPORT LLS BETWEEN THIS, YOU KNOW, MARCH AND JUNE 20, 24 TIME PERIOD.
UM, AND, UH, RIGHT, AND, UH, SO BASICALLY, YOU KNOW, BETWEEN, WITHIN EACH SCENARIO WE HAVE, YOU KNOW, THE BASELINE AND THE ELEVATED CHATTER PRICE CAP.
AND THEN BETWEEN SCENARIOS, OF COURSE WE CHANGED, UM, THE LIMITS, THE STATIC LIMITS ON THE IOLS.
AND AS I MENTIONED, THE IDEA HERE IS TO TRY TO ISOLATE THE IMPACTS, UM, OF THE, UH, ELEVATED SHADOW PRICE CAP.
ONE THING I DID WANNA MENTION UP HERE WHERE I MENTIONED ESTABLISH THE BASELINE, UM, UH, YEAH, I THINK I GET SOME MISTAKE.
UM, YOU SAID WE RERAN THOSE INTERVALS WHERE IT WAS VIOLATED.
UM, AND THIS IS SOMETHING WE WILL ALSO SHOWN IN THE NEXT SLIDE, BUT WE TOOK, WE ANALYZED THOSE DAYS WHERE HANI, WHERE THE SOUTH TEXAS TO SAN ANTONIO, UH, CONSTRAINT WAS VIOLATED FOR ONE SCT INTERVAL.
SO WE LOOKED AT THOSE DAYS, BUT WE RAN THE ANALYSIS THEN FOR EVERY SCT INTERVAL THAT IT WAS ACTIVE IN SKET.
SO I JUST WANNA MENTION THAT, 'CAUSE I THINK THAT FIRST POINT SAYS WHEN IT WAS VIOLATED, THAT'S HOW WE CHOSE TO DETERMINE THE DAYS, BUT WE, UM, RAN THE ANALYSIS FOR ALL THE SC INTERVALS WHERE IT WAS ACTIVE.
AND ONE OTHER POINT, WHICH IS A SMALL LITTLE ASTERISK HERE AT THE BOTTOM, WE USED BASICALLY
[01:20:01]
A SEQUENTIAL RUN WHENEVER, UH, APPROACH WHEN WE DID THIS ANALYSIS, MEANING WE FED THE BASE POINTS FROM A PREVIOUS SC PO SC INTERVAL INTO THE NEXT, UM, IT WASN'T JUST RUN ISOLATED FROM, YOU KNOW, SC INTERVAL, UH, OR EACH ISOLATED SC INTERVAL.UM, IT'S ALSO REALLY IMPORTANT TO, TO MENTION HERE.
UM, SO THOSE WERE, UH, I MEAN, A LOT OF ASSUMPTIONS, UM, THAT WE HAD HAD TO MAKE.
UM, I GUESS I'D PAUSE HERE IF THERE ARE ANY QUESTIONS OR I CAN KEEP GOING.
IF NOT, NO QUESTIONS RIGHT NOW.
ONE QUESTION YOU WEREN'T IN THE QUEUE, STEVE.
UM, SO, UH, STEVE REY, UH, SIM VIEW CONSULTING, HEY, I WAS JUST CURIOUS, UH, WHAT DID YOU RECALCULATE SHIFT FACTORS FOR THESE CONSTRAINTS? OR DID YOU USE THE SHIFT FACTORS FOR THE EXISTING ACTIVE CONSTRAINTS? RIGHT.
WE TOOK THOSE, UM, ALSO AS, UH, AN AVERAGE SHIFT FACTORS FOR THOSE IOLS THAT WE OBSERVED IN 2024.
UH, SINCE YOU ARE DOING THE SEQUENTIAL RUN, ARE YOU RECALCULATING THE TRANSMISSION FLOWS ON THOSE LINE ALSO FOR EACH OF THE INPUT TRANSMISSION FLOWS? UM, NO.
UM, WE ARE, WE ARE TAKING FOR EACH RUN THE HISTORICAL, UM, LOADING IN 2023 FOR EACH SC INTERVAL.
WOULDN'T THAT THEN KEEP WRONG RESULTS BECAUSE YOU, ARE YOU CHANGING THE BASE POINTS THEN THE MEGAWATTS, UM, TO, UH, I HAVE TO THINK ABOUT THAT.
I, MAYBE I'LL COME BACK TO THAT AT THE, AT THE END, LET ME, YEAH, AND WHEN YOU CHANGE THE MEGAWATTS, THE FLOWS WILL ACTUALLY CHANGE AS WELL, RIGHT? GOOD.
UM, I HAVE TO LOOK BACK AT THE, YOU KNOW, METHODOLOGY THAT WE HAVE APPLIED FOR THIS, UH, SEQUENTIAL RUN SOMETHING OFF THE TOP OF, TOP OF MY HEAD.
I WILL, LIKE I SAID, IF I DON'T, UNLESS SOMEONE ELSE IS AVAILABLE, UH, IN THE CALL TO ANSWER THAT, I'LL HAVE TO LOOK BACK AT, UH, AT THE, UH, YOU KNOW, WHAT WE HAVE APPLIED IN THE METHODOLOGY WHENEVER WE DO THIS SEQUENTIAL RUN.
I'M NOT A HUNDRED PERCENT SURE I'LL, I'LL HAVE TO RESPOND TO, TO THAT QUESTION.
SO, UM, IN TERMS OF THE OUTPUTS OR SOME OF THE RESULTS, JUST TO CLARIFY HERE, WE'VE, I DON'T THINK IN THE HIGH LEVEL RESULTS OR KEY TAKEAWAYS, WHAT WE HAVE HERE, UM, IN THE PRESENTATION HERE, FOCUSING MORE ON THE VALUE OF ENERGY.
UM, AND WHENEVER WE HAVE VALUE OF ENERGY DELTA, IT'S ALWAYS SET IN RELATION TO THE BASELINE SCENARIO, NOT, YOU KNOW, THE HISTORICAL, UM, PRICING OUTCOMES IN 2023.
UM, AND THEN, UM, ALSO HERE, JUST IN TERMS OF THE DEFINITION, WHICH, SPEAKING OF THE LOAD ZONE VALUE OF ENERGY, UM, THIS IS DEFINED AS THE PRODUCT OF THE 15 MINUTE LOAD ZONE SETTLEMENT POINT PRICE IN THE REALTIME MARKET.
UM, AND ITS ASSOCIATED REALTIME ADJUSTED METERED LOAD.
AND JUST ALSO AS A FOR CLARIFICATION, UH, THE PRICES, UM, DO NOT, OR THE LOW, UH, SETTLEMENT POINT PRICES DO NOT INCLUDE, UH, ADDERS.
AND YES, THIS IS WHAT I WAS ALLUDING TO WHEN I SAID WE ONLY ANALYZE THOSE OPERATING DAYS WHERE WE HAD ONE, UM, OR WHERE THE SOUTH TEXAS SAN ANTONIO CONSTRAINT WAS VIOLATING FOR ONE SKID INTERVAL.
UM, AND THAT'S ENDED UP BEING, UH, 20 DAYS THAT WE, WE RAN THIS ANALYSIS FOR.
UM, AND FOR THOSE OTHER DAYS WHERE IT WAS ONLY
[01:25:01]
BINDING BUT NOT VIOLATED IN 2023, UM, WE MADE THE ASSUMPTION THAT THE I RLS WOULD NOT BE VIOLATED, HENCE, WE WOULD NOT SEE ANY REAL MATERIALLY IMPACT ON, ON PRICING OUTCOMES.UM, SO HERE, JUST THE TAKEAWAY, WE ONLY LOOKED AT THOSE 20 DAYS, AND THOSE WERE THOSE DAYS WHERE ONE SC INTERVAL WAS, OR THAT SOUTH SAN SOUTH TEXAS, THE SAN ANTONIO CONSTRAINT WAS VIOLATED FOR ONE, UH, SC INTERVAL.
UH, NOW WE'RE COMING TO SOME OF THE, UH, KEY TAKEAWAYS FROM THE ANALYSIS.
UM, AND HERE, JUST FROM A RELIABILITY PERSPECTIVE, UM, WHAT WE SAW WHENEVER WE, UH, WITH THIS ANALYSIS, LOOKING AT, YOU KNOW, IMPLEMENTING THE ELEVATED SHADOW PRICE CAP, UH, ON THE IOLS, WE DID SEE SIGNIFICANT REDUCTIONS, UM, ON THE, UH, ON CONSTRAINT VIOLATION.
UM, HERE LOOKING AT THE GRAPHS, UM, ON THE LEFT SIDE HERE, WE HAVE ABSOLUTE VALUES FOR THE TWO IOLS AND THE ONE POST CONTINGENCY CONSTRAINT, SOUTH TEXAS AND SAN ANTONIO CONSTRAINT FOR EACH SCENARIO.
SO WITHIN THE SCENARIOS, THAT'S BASICALLY LOOKING AT THE DE UH, THE DIFFERENCE BETWEEN THE BASELINE VALUE AND THE, UM, ELEVATED SHADOW PRICE CAP.
AND THE SAME THING FOR THE OTHER SCENARIO.
AND THEN BETWEEN THE TWO SCENARIOS IS THE DIFFERENCE IN, IN THE LIMIT.
AND JUST AS A REMINDER, SCENARIO ONE IS A MORE, UM, LOOSER LIMIT, MORE THE AVERAGE LIMITS IN SCENARIO TWO IS THE, UH, 25 FIFTH PERCENTILE LIMITS OR MORE CONSERVATIVE LIMITS.
UM, AND WE DO SEE, LIKE I SAID, A SIGNIFICANT REDUCTION ON THE IOLS.
IN EACH SCENARIO WE SEE THE MORE, UM,
AND HERE WE SEE BY, UH, REDUCING OR HAVING, APPLYING MORE CONSERVATIVE LIMITS, THAT ON THE IOLS THAT THIS INDIRECTLY HELPS TO RESOLVE A LOT OF, UH, A MUCH MORE VIOLATION ON THE SOUTH TEXAS OF SAN ANTONIO CONSTRAINT.
UM, WHICH, UH, I THINK, WHICH IS, WHICH IS VISIBLE IN, IN THE, IN THE, UH, THE VALUES FOR SCENARIO TWO.
SO WE FEEL LIKE, YEAH, WE ARE ACCOMPLISHING WHAT WE'RE TRYING TO, WHAT WE SET OUT TO ACCOMPLISH BY WHAT'S INSTITUTING THIS OR APPLYING THIS ELEVATED SHADOW PRICE, UH, CAP FROM A RELIABILITY PERSPECTIVE.
UM, I GUESS, UH, NEXT SLIDE PLEASE.
AND THEN JUST COMING TO SOME OF THE, UM, PRICING IMPACTS HERE LOOKING OR, YEAH, AND, AND, AND ITS IMPACT ON THE VALUE OF ENERGY OR LOAD ZONE VALUE OF ENERGY.
HERE WE HAVE, UM, THE SCENARIO ONE AND SCENARIO TWO, UH, WE SEE THE DELTAS.
SO ON THE LEFT SIDE, AGAIN, THESE ARE ABSOLUTE VALUES ON THE RIGHT SIDE, THE DELTA, UM, IN THIS SCENARIO.
SO, LIKE I SAID, SO WE'RE LOOKING HERE MORE BETWEEN, BETWEEN, UH, SO INSIDE OF THE SCENARIOS, OF COURSE, THE DELTA, ONCE AGAIN FROM THE, UH, RERUN WITH THE ELEVATED SHADOW PRICE CAP AND THE BASELINE.
AND WE SEE, OF COURSE, A SIGNIFICANT DIFFERENCE BETWEEN SCENARIO ONE AND SCENARIO TWO WITH THE MORE CONSERVATIVE LIMITS AND SCENARIO TWO, RESULTING IN A VALUE OF ENERGY DELTA, UM, OF, UH, JUST ABOVE 16 OR $1.6 BILLION.
UM, AND BETWEEN THE SCENARIOS, WE SEE A DELTA OF, UH, AROUND $1.2 BILLION.
AND THIS JUST BREAKS IT DOWN BY LOAD ZONE.
UM, ONCE AGAIN, THE LEFT SIDE, UM, LOOKING AT THE ABSOLUTE VALUES RIGHT SIDE, UM, THE DELTAS, AND THIS IS THEN ONCE AGAIN LOOKING AT THE VALUE OF ENERGY.
UM, AND WE CAN SEE WHICH THINKS RELATIVELY INTUITIVE THAT LARGEST IMPACT HERE IS ABSOLUTE IMPACT, UM, IS IN THE, UH, LOAD ZONE NORTH AND LOAD ZONE.
HOUSTON IS ONE THING THAT MIGHT BE NOT AS INTUITIVE OR, UM, IS THAT WE DID SEE A POSITIVE DIFFERENCE IN THE LOAD ZONE SOUTH.
UM, UM, THIS IS ACROSS OF COURSE, YOU KNOW, TAKING OVER ALL 20 DAYS.
UM, AND WHAT WE NOTICED THERE DRILLING IN A LITTLE BIT FURTHER
[01:30:02]
IS THAT, UM, UM, EVEN WITH, YOU KNOW, WHAT WE ARE ANTICIPATING THE SUPPRESSIVE IMPACT OF THE INCREASED CONGESTION PRICE, UM, THAT, UM, UNCERTAIN OPERATING DAYS, ESPECIALLY THOSE WHERE WE SAW, UM, IN THE BASE CASE, OR NOT IN THE BASE CASE, BUT IN THE BASELINE, UM, RELATIVELY MILD PRICES, UM, THAT DUE TO INSTITUTING, YOU KNOW, THE, OR APPLYING, UM, OR YEAH, INSTITUTING THESE, UH, THE ELEVATED SHADOW PRICE CAP AT THAT CAUSED PRICES, UM, TO JUMP SIGNIFICANTLY UP TOWARDS THE CAP.UM, AND SO WHAT WE SAW ON SOME DAYS IN LOADS ON SOUTH IS THAT THIS ENERGY COMPONENT, UM, CERTAIN ELECTRIC ELECTRICAL BUSES IN LOAD SUM SOUTH, UM, BASICALLY OUT, YOU KNOW, THE, THE INCREASE OF IN THE ENERGY COMPONENT OUTWEIGHED THE SUPPRESSIVE IMPACT OF THE CONGESTION COMPONENT ON THE LMPS.
UM, AND THEN IN NET OR IN TOTAL, THAT, UH, CAUSED THERE TO BE A, UH, A POSITIVE, UM, YEAH, IN TOTAL A, A POSITIVE, UH, VALUE OF ENERGY, UM, UH, DELTA IN THIS CASE.
UM, I THINK THAT'S THE LAST SLIDE WITH THE ANALYSIS.
SO WE JUST HAVE THOSE THREE SLIDES BASICALLY, YOU KNOW, UM, HIGH TECH LEVEL TAKEAWAYS.
I DON'T KNOW IF THERE ARE ANY OTHER QUESTIONS, UM, PERTAINING ALL RIGHT, TO THE RESULTS I SEE, I THINK, UH, BLAKE HOLT IN THE QUEUE.
HEY, MATTHEW, BLAKE HOLT, LCRA.
I WANT TO THANK THE ERCOT TEAM FOR, FOR PUTTING THIS TOGETHER.
IT'S BEEN PRETTY EYE-OPENING FOR ME.
UH, IF WE COULD GO BACK TO SLIDE 10, I WANNA MAKE SURE I'M UNDERSTANDING THIS CORRECTLY.
UH, SO WHAT Y'ALL DID IS Y'ALL RAN A BACKCAST ON 20 OPERATING DAYS FROM 2023 WITH MPRR 1230 IN EFFECT AND SCENARIO ONE, AND SCENARIO TWO IS BASICALLY THE RANGE OF OUTCOMES WE COULD HAVE EXPECTED ON THOSE 20 OPERATING DAYS.
SO LOOKING BETWEEN SCENARIO ONE AND SCENARIO TWO, WE'RE LOOKING AT AN INCREASED IN COST TO LOAD BETWEEN $500 MILLION AND $1.2 BILLION.
IS THAT, AM I INTERPRETING THOSE RESULTS CORRECTLY? YEAH, CORRECT.
YEAH, THESE ARE, YEAH, GO AHEAD, MATTHEW.
UH, YEAH, THESE ARE, UH, YOU KNOW, INDICATIVE VALUES.
I MEAN, WE HAVE, YOU KNOW, THESE, USING THESE SCENARIOS WITH THE, THE LIMITS, UH, SOMEWHAT, YOU KNOW, LIKE I SAID, IT'S A LIMITING, UH, FACTOR HERE FOR US AND, AND CONDUCTING THE ANALYSIS, BUT WE DID WANT TO GIVE LIKE AN INDICATIVE RANGE.
SO, YES, UH, I DO BELIEVE YOU'RE INTERPRETING THE RESULTS CORRECTLY.
YEAH, THAT'S, THIS IS EXACTLY WHAT I WANTED TO SEE.
AND IT'S, UH, YOU KNOW, REALLY HELPFUL IN MY VOTE.
IF THIS COMES TO HERE, THIS IS SOMETHING THAT WE JUST CANNOT SUPPORT.
UH, THE COST SEEMS MUCH TOO HIGH, UH, WHEN WE HAVE A SOLUTION OUT THERE, ALBEIT A MANUAL SOLUTION, WE HAVE ONE THAT IS SIGNIFICANTLY CHEAPER, UH, TO LOAD.
AND THAT WOULD BE SOMETHING WE WOULD PREFER, UH, INSTEAD OF THIS.
UM, I, I'D ALSO LIKE TO HEAR FROM JEFF MCDONALD WITH THE IMM, UM, AND WANNA SEE IF THEY STILL SUPPORT THIS, GIVEN THE, THE, THE HIGH INCREASE TO LOAD.
HI, THIS IS JEFF MCDONALD WITH IMM.
IT'S CONSISTENT WITH THE RECOMMENDATION THAT WE MADE PREVIOUSLY.
AND, UM, YOU KNOW, WALKING THROUGH, UH, THE SIMULATION RESULTS.
IT IS, IT IS, UH, I WOULD SAY INSIGHTFUL TO SEE, UH, THE INCREASE IN COST.
THE REASON THAT WE FAVOR THIS APPROACH IS IT DOES HELP REACH ADDITIONAL DISPATCHABLE GENERATION TO HELP MANAGE THE CONGESTION IN MARKET.
SO I THINK, UH, AND I'M, I'M SORRY, WHO, WHO WAS IT THAT? YEAH, THANK YOU.
SO, SO I DO UNDERSTAND YOUR CONCERN WITH INCREASED COST TO LOAD, BUT WE LIKE TO SEE COSTS INCURRED IN MARKET AS OPPOSED TO OUTTA MARKET.
AND ONE OF THE INTERESTING THINGS ABOUT THIS IS THE COST IS ACTUALLY FAIRLY LOCALIZED, SO YOU DON'T SEE THAT COST,
[01:35:01]
UM, TRANSFERRING TO LMPS OUTSIDE OF THE REGION.SO IT'S A LOCALIZED COST AND IT SIGNALS, UH, THAT THERE IS OPPORTUNITY FOR ADDITIONAL INVESTMENT IN THE AREA, UM, HOPEFULLY WITH HIGHER SHIFT FACTORS, UH, THAT CAN HELP RELIEVE THIS CONGESTION, UH, YOU KNOW, GOING FORWARD.
UM, I'D ALSO JUST, UM, LET TAC MEMBERS KNOW THAT I BELIEVE THERE'S AN OUR, UH, SOUTH TEXAS GTC EXIT STRATEGY DISCUSSION THAT WILL BE AT ROSS TOMORROW.
UH, IT MIGHT BE HELPFUL TO, TO HEAR HOW THAT, UH, IS GONNA PLAY OUT.
I, I GUESS JUST ONE THING I WANTED TO MAKE CLEAR, BLAKE, BASED ON YOUR QUESTIONS, UH, YOU HAD NOTED THAT THERE WERE ONLY 20 DAYS.
I, I GUESS THIS ONE DISTINCTION I WANNA MAKE SURE IS CLEAR TO FOLKS AND, AND BOTH, UH, I THINK GORDON MENTIONED THIS, AND, AND MATTHEW CERTAINLY MENTIONED AS PART OF THE PRESENTATION, YES, THERE WERE ONLY 20 DAYS THAT WERE ANALYZED, BUT THE EXPECTATION HERE IS THAT THOSE WERE THE 20 DAYS IN WHICH THIS NEW CAC WOULD'VE HAD AN EFFECT.
SO THE INTENT ISN'T JUST TO SAY, HEY, WHAT WOULD THE IMPACT HAVE BEEN FOR THESE 20 DAYS THAT WERE LOOKED AT? THIS IS TRYING TO LOOK AT THE FULL EFFECT OF, OF HAVING THIS NEW SHADOW PRICE CAP IN PLAY.
SO, I, I DON'T WANT FOLKS TO COME AWAY FROM THIS PRESENTATION SAYING, THIS IS A, YOU KNOW, 20 DIVIDED BY 365, LOOKING AT THE IMPACT.
THIS IS REALLY INTENDED TO LOOK OVER A MUCH BROADER TIMEFRAME THAN THAT IN TERMS OF WHEN THIS WOULD'VE HAD AN IMPACT IN LOOKING AT THE BACKCAST.
HOPEFULLY THAT PROVIDES SOME CLARITY AS FOLKS THINKS ABOUT THIS.
AND, UH, ALSO WANTED TO EXTEND APPRECIATION TO ERCOT FOR, FOR BRINGING THIS ANALYSIS FORWARD.
UM, I THINK IT'S, IT'S, YOU KNOW, TO SOME OF THE, THE CONCERNS THAT BLAKE'S RAISED, UM, I THINK IT'S, I WOULD BE REMISS IF I DIDN'T, UH, YOU KNOW, GO TO MY, UH, MY NORMAL COMMENT, WHICH IS, YOU KNOW, WHAT HAPPENS IN THE REAL TIME MARKET IS NOT NECESSARILY WHAT LOADS PAY DIRECTLY, RIGHT? THE LOADS ARE PAYING A, A HEDGED COST.
AND SO IF THERE'S, SAY, UNDER A FIXED PRICE CONTRACT, THEN THEY'RE NOT GONNA HAVE DIRECT EXPOSURE TO TO THAT.
UM, YOU KNOW, AND, AND CONGESTION COSTS CAN BE HEDGED.
SO, UM, YOU KNOW, AND PLUS WHEN WE'RE LOOKING AT A BACKCAST OF LAST YEAR, UM, I THINK WE'VE
AND, UM, SO I, I WOULD NOT NECESSARILY CONSIDER THIS TO BE A, YOU KNOW, EVERY YEAR TEMPLATE, BUT RATHER, YOU KNOW, THIS IS PERHAPS A MORE EXTREME, UM, EXTREME, UH, POTENTIAL, UH, SCENARIO.
SO, UM, YOU KNOW, MY, MY RECOLLECTION FROM OUR PRIOR DISCUSSIONS AT ATT WAS THAT, YOU KNOW, THERE WAS GENERALLY THE RECOGNITION THAT THIS IS AN EFFICIENT WAY TO, TO ADDRESS SOME OF THE CONCERNS THAT, UH, YOU KNOW, GAVE RISE TO THE SEPTEMBER SIX EEA, UH, CONDITIONS AND HELP, UH, YOU KNOW, PUT SOME OF THOSE ACTIONS IN SED AND LET THE MARKET SOLVE FOR IT.
UM, SAME REASONS THAT, YOU KNOW, THE IMM JUST JUST REVIEWED HIS BASIS FOR THEIR SUPPORT.
SO, UM, YOU KNOW, AT THAT, WHEN WE TALKED ABOUT THIS LAST, I WAS ACTUALLY A LITTLE CONCERNED THAT WE WEREN'T BRINGING THIS FORWARD TO THE BOARD, UM, FOR CONSIDERATION IN JUNE.
UM, BECAUSE, YOU KNOW, THERE WAS CONCERNED THAT THIS WOULD, UH, YOU KNOW, BE ANOTHER TIGHT SUMMER AND WE WOULD SEE THIS HAPPEN MORE, UH, YOU KNOW, OVER THE, THE SUMMER MONTHS.
SO I, I THINK WE WOULD BE WISE TO BRING THIS TO THE BOARD FOR AUGUST, UH, FOR THEIR CONSIDERATION IN THE AUGUST MEETINGS.
UM, SO I'D BE WILLING TO OFFER A MOTION TO ENDORSE WITH THE, LET ME LET DO MY HOMEWORK HERE WITH THE ERCOT.
I BELIEVE THOSE ARE THE LATEST.
WOULD BE THE, UH, AS RECOMMENDED BY PRS ON FIVE NINE AS AMENDED BY THE 5 29 ERCOT COMMENTS? OKAY.
IS THERE A SECOND TO THAT MOTION? SECOND.
OKAY, LET'S TAKE THE REST OF THE QUEUE.
UH, REMI, UM, I JUST WANTED TO, UH, DOUBLE CHECK ON THE, UM, COMMENT THAT I MADE EARLIER.
IF WE ARE DOING THE SEQUENTIAL RUN AND WE ARE NOT RECALCULATING THE FLOWS,
[01:40:01]
THEN I THINK IT MIGHT SHOW, UM, THE ESTIMATE TO BE MUCH HIGH.THERE'S A POTENTIAL FOR THE STUDY TO SHOW AN ESTIMATE TO BE HIGHER THAN WHAT IT REALLY IS BECAUSE, UM, IN EACH RUN, THE SYSTEM IS TRYING TO SOLVE THE CONSTRAINT, BUT, UM, FOR THE NEXT RUN, WE ARE ASSUMING THAT THE CONSTRAINT IS NOT SOLVED, AGAIN, BECAUSE YOU ARE USING THE HISTORIC VALUE AND NOT RECALCULATING IT.
I DON'T HAVE THE STUDY RESULTS, SO I DON'T KNOW HOW MUCH OF AN IMPACT IS, BUT I THINK THERE IS A POSSIBILITY THAT THE STUDY IS SHOWING HIGHER VALUE THAN WHAT IT REALLY MIGHT COME OUT TO BE.
IS THERE A RESPONSE FROM
UM, I MEAN, SO BASICALLY THOSE RUN THE SAME.
SO THE DELTA BETWEEN THE TWO, YOU KNOW, I THINK STILL IT STILL WAS AN APPLES TO APPLES COMPARISON.
WE WEREN'T USING, WE WEREN'T COMPARING THIS TO HISTORICAL VALUES FROM 2023.
SO YEAH, I, I DO BELIEVE IT HAS SOME VALIDITY, THAT STATEMENT.
I WOULD HAVE TO DIG BACK INTO THE SEQUENTIAL RUN.
I, I DON'T THINK, YEAH, I'D HAVE TO DOUBLE CHECK.
UM, UM, IN PARTICULAR, IF THAT'S FED FOUR TWO, I DON'T THINK SO BECAUSE IT IS COMING FROM, UH, TCM.
SO, UM, YEAH, I DON'T KNOW, I, I SAW DAVE JUMPED IN THE QUEUE.
MAYBE HE CAN ADD SOMETHING TO, TO THAT.
I, I JUST WANNA NOTE THAT YEAH, EVERYTHING MATTHEW SAID IS CORRECT.
SO, UM, JUST FOR FOLKS WHO AREN'T FAMILIAR WITH THE, THE WAY THE SYSTEMS GENERALLY WORK IS THOSE, THOSE FLOWS ARE ACTUALLY ALL BEING CALCULATED WITHIN OUR ENERGY MANAGEMENT SYSTEM.
AND, AND MATTHEW MENTIONED TCM, THAT'S THE TRANSMISSION CONSTRAINT MANAGER THAT IS WITHIN THE EMS, WHERE THE FLOWS ARE CALCULATED AND WHERE THE SHIFT FACTORS LIVE AND ALL THAT'S PASSED OVER TO SCED.
SO IN, IN DOING THESE RERUNS, WE AREN'T NECESSARILY ABLE TO CAPTURE THOSE CHANGES AND FLOWS.
I, I DON'T KNOW THAT WE, WE'LL, WE HAVE A PROCESS FOR, FOR NECESSARILY TRYING TO ADDRESS THAT.
UM, SO THAT IS A LIMITATION, OUR ANALYSIS.
I THINK THERE ARE SOME CIRCUMSTANCES WHERE, UM, THAT COULD IMPACT THE RESULTS, BUT AS MATTHEW SAID, I, AT LEAST WHAT WE ARE ATTEMPTING TO DO HERE IS TO DO THE, THE BASELINE APPROACH THAT, THAT MATTHEW WALKED THROUGH TO, TO GIVE YOU AS MUCH OF AN APPLES TO APPLES COMPARISON AND LOOKING AT THESE DELTAS.
ARE YOU GOOD, REMI? YEAH, THANKS.
DID WE, BRIAN SAMS, DID WE EVER GET TO YOUR QUESTION ON IMPLEMENTATION? NO, BUT I JUST, I WANT TO SAY THIS OUT LOUD AND HAVE, UH, Y'ALL GRADE MY PAPER.
UM, SO, UH, IF IT PASSES TODAY, THIS IS THE HAPPY PATH, BY THE WAY.
UH, PASSES TODAY, GOES TO THE AUGUST BOARD, UH, THEN IT WOULD BE AT THE COMMISSION FOR THEIR 30 DAY LAYOUT PROCESS.
SO IT WOULD BE APPROVED SOMETIME IN SEPTEMBER, AND THEN WE WOULD EXPECT ERCOT TO IMPLEMENT IT, UH, OCTOBER 1ST.
I'M, I'M GETTING A YES FROM ANNE.
YEAH, AND I BELIEVE THERE ARE SOME HARD CODED DATES IN THE NPR THAT WE'RE GONNA HAVE TO CHANGE.
UM, AND COREY'S GONNA BRING THAT UP AND MAKE SOME DESKTOP EDITS.
ON THAT CONVERSATION DOVETAILS NICELY.
SO IF YOU'LL RECALL THE LAST TIME WE WERE HERE, WE WERE HAVING DISCUSSIONS ABOUT, ON THE PREVIOUS SUNNY DAY PATH, THIS REACHING A JULY T TO BE EFFECTIVE AUGUST 1ST, AND MAYBE IT WAS REMI, WE SPEARHEADED SOME, UH, CHANGES TO ALLOW THE SOUTH TEXAS IOL TO BE SET ON THE, IMMEDIATELY UPON PUC APPROVAL.
BUT THEN WE HAD GRAY BOX LANGUAGE THAT WOULD SAY, MOVING FORWARD, YOU WOULD HAVE TO ISSUE A MARKET NOTICE BEFORE DOING THAT TO GIVE EVERYONE ENOUGH HEADS UP THAT IT WAS CHANGING SO THAT WE WOULDN'T BE ABLE TO MAKE, THERE YOU GO.
SO THIS LANGUAGE, ALLOWING ERCOT TO MAKE THE CHANGE THAT WOULD BE REPLACED WITH THIS GRAY BOX LANGUAGE THAT WOULD REQUIRE AT LEAST A 30 DAY MARKET NOTICE.
SO PREVIOUSLY WE HAD HARD CODED THE DATE WITH AUGUST 2ND,
[01:45:01]
BUT AGAIN, THAT WAS APPLYING A EX, THAT WAS ASSUMING A JULY PUC APPROVAL.THIS LANGUAGE WOULD APPLY FOR THAT DAY, AND THEN WE WOULD IMMEDIATELY REPLACE IT WITH THE GRAY BOX.
SO NOW AS BRIAN LAID OUT, WE'D BE NOW BE LOOKING AT A SEPTEMBER PUC APPROVAL.
SO THIS IS THE LANGUAGE THAT WOULD GO IN FOR OCTOBER 1ST.
WE WOULD USE THAT LANGUAGE FOR OCTOBER 1ST TO GET EVERYTHING SET.
AND THEN MOVING FORWARD ON OCTOBER 2ND, WE WOULD IMMEDIATELY REPLACE THAT LANGUAGE SO THAT ANY IRL SHADOW PRICE CAP UPDATES MOVING FORWARD WOULD HAVE A 30 DAY MARKET NOTICE.
SO IF Y'ALL WANTED TO MOVE THIS FORWARD, IT WOULD BE WITH THE MAY 29TH ERCOT COMMENTS AS REVISED BY TAC TO CHANGE THIS DATE FROM AUGUST 2ND TO OCTOBER 2ND.
SO WE CHANGED THE AUGUST 2ND TO OCTOBER 2ND OR FIRST, SECOND.
CHANGE THE GRAY BOX TO SECOND, BECAUSE ON THE FIRST IS WHEN THIS LANGUAGE WOULD GO LIVE.
SO FOR THE FIRST, WE WOULD BE ABLE TO SET THE, THE SOUTH TEXAS ROL SHADOW PRICE CAP IMMEDIATELY, AND THEN THE NEXT DAY WE WOULD UNBOX THE LANGUAGE HERE THAT WOULD PROVIDE ANY FUTURE UPDATES WITH A 30 DAY MARKET NOTICE.
IS THAT FINE WITH NED AND JOSE? YES.
HAPPY TO MODIFY THE MOTION TO INCORPORATE THESE DESKTOP EDITS.
OKAY, SO LET'S TAKE OUR, WE HAVE TWO LAST COMMENTS IN THE QUEUE, THOUGH, SO DAVID KEY.
UH, WANTED TO THANK
AND MY OTHER QUESTION WAS GONNA BE ON IMPLEMENTATION DATES, SO I THINK THAT'S GOOD.
I WANTED TO ASK FOR, UM, THE TACK AND SEE IF WE CAN GET A WMS UM, UH, ACTION ITEM JUST TO LOOK AT THIS AND MONITOR AS IT WE GO THROUGH THE NEXT SUMMARY.
THAT COULD BE SOMETHING THAT WE LOOK AT TO SEE, UM, HOW THE EFFECTIVENESS IS AND IF WE'RE STILL RUNNING INTO ISSUES.
AND IF WE TAKE FURTHER ACTION, I'D LIKE TO HAVE SOME VISIBILITY ON THIS INSTEAD OF HAVING A, THE PROPOSAL TO SHOW UP KIND OF AT THE, AT THE LAST MINUTE.
SO I'D LIKE A BIT MORE VISIBILITY OF THE PERFORMANCE OF THIS, UH, GOING FORWARD, BUT, UM, SUPPORTING THE MOTION TODAY.
SO THAT WOULD BE AN ASSIGNMENT TO WMS. DO WE NEED TO DO ANYTHING FORMALLY FOR THAT? WE JUST ASK, I I KNOW ERIC'S LISTENING.
SO WE WOULD ASK, UH, WMS TO, TO LOOK AT THE PERFORMANCE OF THIS KIND OF HOW IT AFFECTS PERFORMANCE NEXT SUMMER.
RIGHT? SO WE SAW THAT THERE'S A REDUCTION AND WE WANT TO JUST VALIDATE THAT WE'RE SEEING THE SAME, UH, DIRECTIONAL, UM, EFFECTIVENESS OF, OF THIS SOLUTION.
DOES THAT SOUND OKAY TO YOU? OKAY, THANKS JIM.
UH, BILL BARNES, I HAD A QUESTION JUST TRYING TO REFRESH MY MEMORY ON THIS ONE.
UM, AND I AGREE WITH SOME COMMENTS THAT BOTH REMI AND NED MADE.
I, I APPRECIATE THE WORK BY ERCOT STAFF ON THE ANALYSIS, BUT I, I DON'T KNOW HOW REFLECTIVE IT IS GIVING THE KIND OF MODELING LIMITATIONS AND THE FACT THAT YOU 2023 SUMMER WEATHER, WHICH THAT WAS THE DATASET, IT'S MOST RECENT, WHICH WE COULDN'T BE HAVING A MORE DIFFERENT SUMMER, UH, THIS YEAR, WHICH IS GOOD IN SOME ASPECTS.
UM, SO I, I JUST DON'T KNOW HOW MUCH I RELY ON THE MODELING RESULTS TO MAKE MY DECISION HERE.
THE QUESTION I DID HAVE THOUGH IS WHAT WERE THE ALTERNATIVES? FROM WHAT I RECALL, THERE REALLY WEREN'T ANY, WE TRIED TO DO THE RFP FOR ANY TYPE OF DEMAND RESPONSE RESOURCES FOR CAPACITY THAT COULD HELP RESOLVE THIS.
UH, WE'VE GOT TRANSMISSION IN THE WORKS POTENTIAL RMR COMING, BUT IN THE NEAR TERM, I, I, I DON'T SEE ANOTHER ALTERNATIVE THAT SOLVES THIS MORE EFFICIENTLY UP.
WILL YOU WANNA, UM, BRING BACK UM, NO, THANKS.
[01:50:01]
IS AS WE HAVE GREAT, UH, I'LL REPEAT THAT.I THINK THE, THE ONLY ALTERNATIVE THAT WE'VE SEEN IS IN THE CONTROL ROOM USING THE HIGH DISPATCH LIMIT OVERRIDES OUT OF MARKET, AND IN A, IN AN MANUAL WAY.
THERE IS NOT WHAT WE'VE SEEN AS A, AS A COMPETING MARKET BASED SOLUTION THAT PROVIDES THAT TRANSPARENCY AT THE MARKET.
BUT I THINK IF YOU'RE TALKING ABOUT SEPTEMBER 6TH, I DON'T, I DON'T THINK THAT'S A BETTER SOLUTION THAN THIS, MAINLY BECAUSE IT HELPED EXACERBATE A RESOURCE ADEQUACY PROBLEM AND BECAUSE OF THE MANUAL IMPACTS, UM, JUST WASN'T AS EFFICIENT.
SO, UM, OBVIOUSLY THE COSTS AND THE ANALYSIS ARE CONCERNING, BUT I DON'T, I DON'T KNOW IF THERE'S A BETTER WAY TO DO IT IN THE NEAR TERM.
SO THANKS FOR THE INFORMATION.
JEFF BILLOW? YEAH, JUST BILL TO ADD TO THAT A LITTLE BIT THOUGH, FROM A, A RELIABILITY PERSPECTIVE, THAT THERE HAVE BEEN SOME OTHER STEPS THAT HAVE BEEN TAKING, UH, TAKING THE, THE TRANSMISSION OWNERS.
UH, THEY HAVE, UM, LOOKED AT AND IMPLEMENTED SOME DYNAMIC RATINGS.
UM, AND SO THAT HAS SIGNIFICANTLY HELPED.
UH, I THINK THEY MAY HAVE DONE SOME SUBSTATION WORK AS WELL.
AND SO THAT HAS SIGNIFICANTLY INCREASED THE LIMITS.
UM, AND SO I, I THINK THE COMBINATION OF THAT, AND AS YOU NOTED, IT'S BEEN A MUCH DIFFERENT SUMMER THIS, THIS YEAR.
UH, YOU, WE, WE HAVE, THIS HAS NOT BEEN VIOLATED THIS YEAR, SO THIS WOULD NOT HAVE, THUS FAR, HAD 1230 BEEN IN PLACE, IT WOULD NOT HAVE HAD ANY IMPACT IN 2024.
UM, AND I, I, I DON'T KNOW, YOU KNOW, KIND OF THAT DIFFERENCE BETWEEN, YOU KNOW, HOW MUCH THE INCREASED RATINGS HAVE HELPED AND, AND HOW MUCH THE, THE, YOU KNOW, COOLER TEMPERATURES HAVE HELPED.
BUT, UM, I, I DID WANNA GIVE CREDIT TO THE TRANSMISSION OWNERS FOR THAT.
THEY'VE PUT A LOT OF WORK INTO TRYING TO GET THOSE RATINGS UP AND, AND DO WHAT THEY CAN IN THE MEANTIME.
AND, AND I'M, I'M ACTUALLY GONNA TURN TO FREDDY AND PUT FREDDY ON THE SPOT.
IS, IS THERE ANYTHING YOU WOULD ADD TO THAT, FREDDY? NO, I MEAN, I MEAN, I THINK A LOT OF THE FOCUS TODAY HAS REALLY BEEN ON MARKET TRANSPARENCY AND AS, AS PEOPLE VOTE, I THINK JUST, JUST KEEP IN MIND THAT THIS DOES PROVIDE A LOT OF, UH, OPERATIONAL RELIABILITY BENEFIT TO THE ERCOT CONTROL ROOM.
UM, WE WILL REMIND FOLKS, THIS IS AN IOL, SO IF, IF NOT MANAGED, IT COULD LEAD TO, UH, ERCOT WIDE POTENTIAL BLACKOUT.
SO WE, WE DEFINITELY HAVE TO MANAGE THIS CONSTRAINT THERE WITH EVERYTHING WE CAN DO.
UM, AND SO, UH, ALLOWING THIS TO MOVE FORWARD TAKES A LOT OF BURDEN OFF THE ERCOT OPERATOR AND HAVING TO ENTER, UH, MULTIPLE HCO OVERRIDE.
SO, UH, FROM A OPERATIONAL PERSPECTIVE, THIS DOES PROVIDE A, A HUGE AMOUNT OF BENEFIT TO, TO RELIABILITY.
I SEE SOME PEOPLE BACK IN THE QUEUE.
THOSE ALTERNATIVES ARE HDL OVERRIDES.
UH, AS THE OTHER FOLKS HAVE MADE A COMMENT, I'M CURIOUS IF ERCOT CAN PROVIDE CONTEXT TO THE UPLIFT THAT LOAD EXPERIENCES DURING, UH, SOME OF THEIR HDL OVERRIDES LAST YEAR.
DO Y'ALL HAVE UPLIFT TOTALS IN TERMS OF DOLLAR AMOUNTS UPLIFTED TO LOAD ON HAND? I DON'T, DON'T HAVE THEM ON HAND.
UM, SOMETHING THAT, SOMETHING THAT WE COULD LOOK AT IN RELATION TO NO, I, I, I THINK I CAN BALLPARK IT.
IT'S NO MORE THAN A COUPLE HUNDRED THOUSAND DOLLARS.
SO THE DECISION POINT HERE IS BETWEEN THAT AMOUNT AND, YOU KNOW, THE MILLIONS AND BILLIONS OF DOLLARS THAT, THAT WE SAW ON THE ANALYSIS.
UH, I CAN APPRECIATE THE OPERATIONAL EFFICIENCY, UH, BUT THAT'S WHAT'S KEEPING US FROM BEING SUPPORTIVE.
UM, WE WE'RE LOOKING FORWARD TO VOTING FOR THIS, UM, BECAUSE MARKET PRICES ARE A GOOD WAY TO MANAGE THIS SORT OF PROBLEM.
AND IT, IF PEOPLE EXPECT, UH, PRICES TO GO WITH THEM OR AGAINST THEM, THEY'LL TAKE ACTIONS TO ADDRESS THE ISSUES.
UM, THAT'S THE FUNDAMENTAL NATURE OF OUR MARKET.
I WAS GONNA CALL THE QUESTION, BUT NOW I'M THE LAST PERSON, SO I JUST WANNA SAY GOD BLESS, UM, DYNAMIC LINE RATINGS AND, AND LET'S TAKE A VOTE.
DO YOU HAVE A COUNTRY SONG PREPARED? NO, BUT I WAS
[01:55:01]
GONNA ASK, DO YOU HAVE A AI SONG VERSION OF THAT? I HAD TIME TO MAKE IT 'CAUSE THIS DISCUSSION WENT SO LONG, BUT, OKAY.I WANTED TO GIVE A SHOUT OUT TO GORDON AND TEAM, UM, YOU KNOW, AS, AS BLAKE ENGAGED IN SOME GOOD DISCUSSION ON THE IMPACTS, AND YOU DID HAVE THIS PRESENTATION POSTED, I THINK ACTUALLY SIX OR SEVEN DAYS IN ADVANCE.
AND SO AS WE TALK ABOUT KIND OF PROCESS IMPROVEMENTS LATER IN THE MEETING, I THINK THAT'S A REALLY GOOD START TO MAKING SURE EVERYONE HAS THE INFORMATION THEY NEED.
ON THE MOTION TO RECOMMEND APPROVAL OF 1230 AS RECOMMENDED BY PRS IN THE MAY PRS REPORT, AS AMENDED BY THE MAY 29TH, ERCOT COMMENTS AS REVISED BY T THROUGH THOSE DESKTOP EDITS WE SHOWED ON JUST CHANGING THE DATES ON THAT GRAY BOX.
WE WILL BEGIN UP WITH THE CONSUMERS.
ERIC SCHUBERT? YES, THANK YOU.
NICK, I BELIEVE NICK'S WITH US YET ONTO OUR CO-OPS, JOE DAN FOR MIKE ABSTAIN.
ONTO OUR INDEPENDENT GENERATORS, BRIAN? YES.
NED, I'M HAPPY TO JOIN THE CONSUMER SEGMENT IN VOTING YES ON THIS ONE.
DEEP DOWN, WE'RE ALL CONSUMERS ONTO THE IPMS REMI? YES.
AND THEN JENNIFER, CHRIS? YES.
MOTION CARRIES 92% IN FAVOR, TWO OPPOSED FOR ABSTENTIONS.
UM, WE ARE STILL ON REVISION REQUEST TABLED AT TECH.
NEXT IS OB, DRR 46, I BELIEVE THAT CAN REMAIN TABLED BECAUSE RELATED NPR 1188, STILL AT PRS.
[7. OBDRR051, Related to NPRR1216, Implementation of Emergency Pricing Program – Impact Analysis (Vote)]
TO AGENDA ITEM SEVEN, WHICH IS O-B-D-R-R 51.UM, AND I BELIEVE WE VOTED ON THIS AT THE LAST MEETING, BUT WE FORGOT TO VOTE ON THE IMPACT ANALYSIS.
SO THIS IS, UM, THE O-B-D-R-R WAS IMPLEMENTATION OF THE EMERGENCY PRICING PROGRAM.
WE UNANIMOUSLY RECOMMENDED APPROVAL AT THE JUNE TECH, BUT WE DID NOT DO THE IA.
SO WE ARE LOOKING TO APPROVE, UM, THE 1 23 24 IMPACT ANALYSIS COMBO BALLOT.
OKAY, I THINK WE CAN MOVE ON TO THE
[8. RMS Report]
RMS REPORT.SHOTS WITH RMS. UM, RMS WAS ON HOLIDAY IN JULY, AND WE DIDN'T MEET, BUT I DID WANNA COME BACK TO TAC, PROVIDE AN UPDATE ON THE TEXAS SET 5.0 TESTING.
AND I'M PLEASED TO ANNOUNCE THAT EVERY LSE THAT IS SERVING CUSTOMERS HAD REGISTERED FOR THE TEXAS SET 5.0 FLIGHT TEST.
SO WE'LL, UH, CONTINUE TO PROVIDE UPDATES ON THE, UH, ON THE IMPLEMENTATION OF, OF TEXAS SET 5.0.
BRIAN HAS A QUESTION ABOUT HOW GREAT WE'RE DOING AT TEXAS SET.
IT'S, IT'S NOT TEXAS SET RELATED, ALTHOUGH I AM ECSTATIC TO HEAR HOW AWESOME IT'S GOING.
UH, MY, MY QUESTION IS, THERE ARE GONNA BE ANY KIND OF REPORTING FROM RMS ON, UH, UTILIZATION OF MOBILE GEN.
UH, HOW MANY UNITS WERE USED, IMPACTED
[02:00:01]
CUSTOMERS, NUMBER OF MINUTES, UH, NUMBER OF KWH, THAT KIND OF THING.BRIAN, WE HAVE NOT, UM, WE HAVE NOT REQUESTED THAT INFORMATION.
UH, LIKELY WILL COME THROUGH OTHER AVENUES IF I WERE SPECULATING.
UM, BUT THE, THE CDUS, UH, CENTERPOINT, TNNP AND A EP ARE PROVIDING, UM, JUST A RECAP OF, OF THEIR ACTIVITIES RELATED TO BARRELL AT THE A AUGUST 6TH RMS. SO, AND THERE'LL BE, THERE'LL BE AN OPPORTUNITY FOR QUESTIONS.
[9. ROS Report]
RUSS REPORT.SO KIND OF AN EASY REPORT FOR YOU THIS MONTH.
NO VOTING ITEMS. WE HAD TWO ITEMS COMING OUT OF OWG.
SO 1221 CAN NOW BE OVER AT PRS, AND THEN THE NOGA WILL COME BACK FOR AN IA REVIEW.
UM, AND THEN WE HAD QUITE A FEW REFERRALS THIS MONTH.
IF YOU COULD GO TO THE NEXT SLIDE SO YOU CAN SEE WHERE ALL OF THOSE HAVE BEEN ASSIGNED.
UM, AND MOST OF THE WORKING GROUPS HAVE ALREADY HAD AT LEAST AN INITIAL DISCUSSION ON THOSE NEW ASSIGNMENTS.
SECOND PAGE IS JUST, UH, A FEW MORE.
AND THEN OUR NEXT MEETING IS TOMORROW.
I'M IN SAFE DRIVING MODE FOR WHATEVER REASON.
SO, UH, ARE YOU SUPPOSED TO BE MUTED? HEY, STEVE REY, WE HEAR EVERYTHING YOU'RE SAYING, BUT WE'RE GLAD YOU'RE SAFE DRIVING AND HE WON'T HAVE TO DO THAT TOMORROW AT ROSS, SO HE CAN BE ON WEBEX.
[10. WMS Report (Vote)]
DO HAVE ONE VOTING ITEM HERE.ERIC BLAKEY, I BELIEVE YOU'RE ON THE PHONE.
CAN YOU HEAR ME OKAY? IT'S A LITTLE FAINT.
I AM, UH, GOING TO TRY AND SPEAK LOUDER.
WE HAD A WMS MEETING ON JULY THE 10TH, AND A COUPLE ITEMS TO HIGHLIGHT THE AUCTION REVENUE DISTRIBUTION OR CARD AND CRR BALANCING ACCOUNT, IMM CARD ANALYSIS, UH, ERCOT AND THE IMM DISCUSS CHANGES THAT ARE NEEDED, UH, TO THE CARD.
AN ISSUE WAS IDENTIFIED THAT THERE MAY BE AN INCENTIVE FOR FLEXIBLE PRICE RESPONSIVE LOADS TO INCREASE THEIR LOAD IN ORDER TO GET AS MUCH CARD REVENUE AS POSSIBLE.
ERCOT OUTLINED THREE OPTIONS, UH, FOR CHANGING THE EXISTING METHODOLOGY, AND WE INTEND TO DISCUSS THIS AGAIN IN OUR MEETING NEXT WEEK.
WE ALSO DISCUSSED, UH, THE REPORT TEMPLATE TO TRACK AS PROVISION AND PERFORMANCE ISSUES, UH, RELATED TO INSUFFICIENT STATE OF CHARGE.
I BELIEVE THIS ITEM IS ON THE TAC AGENDA FOR LATER ON, SO I WILL NOT SPOIL THE, THE PARTY AND TALK ABOUT THAT AHEAD OF TIME.
BUT WE DID DISCUSS IT AT WMS, AND WE DO HAVE THIS ONE VOTING ITEM, UH, VCMR OH FOUR ZERO METHODOLOGY FOR CALCULATING FUEL LADDERS FOR COAL FIRED RESOURCES.
AND SO, UH, WE CAN TAKE THAT UP AN HOUR AFTER I, I FINISH UP.
I WILL JUST CON I'LL JUST CONTINUE.
YEAH, WHY DON'T YOU FINISH, UH, NPR 1220, YEAH, 1229, UH, WAS TABLED AND REFERRED TO WMWG.
UH, 1232 HAS SINCE BEEN WITHDRAWN, BUT WE DID TALK ABOUT IT.
UH, BUT NOW WE CAN, WE CAN, UH, MOVE ON FROM THAT.
UH, 1235 IS DRRS, AND WE REFERRED THAT TABLE AND REFERRED THAT TO SO, AND WMWG.
NEXT SLIDE IS, UH, NPR, UH, 1219.
AND WE'VE ALREADY DISCUSSED THAT TODAY, SO I WON'T REPEAT ANY OF THAT.
THEY WANNA GIVE YOU A MONTHLY THIS MONTH'S UPDATE OF OUR WORKING GROUP LEADERSHIP.
WE, UH, HAS, HAS BEEN TRADITIONALLY THE CASE THIS YEAR.
WE'VE HAD A LOT OF CHANGEOVER THIS MONTH.
WE HAD OUR CHAIR OF, OF, SO KEVIN HANSEN, UH, MOVED TO BLACK
[02:05:01]
MOUNTAIN ENERGY STORAGE, AND SO WE'RE GLAD FOR HIM AND WE APPROVED THAT, THAT CHANGE IN EMPLOYER.WE ALSO, UM, UH, APPROVED NEW LEADERSHIP, UH, AT WMWG BECAUSE, UH, KEVIN STEPPED DOWN.
AND SO WE MOVED BLAKE INTO THE CHAIR, UH, POSITION.
AND SO HAPPY TO BRING AMANDA FRAZIER FROM TREAT OAK TREATY, OAK CLEAN ENERGY AS THE VICE CHAIR.
AND THEN WE'RE ALSO CHANGING THE METERING, OR I SHOULD SAY METER WORKING GROUP TO BE CLEAR THAT IT IS THE METER WORKING GROUP, NOT THE METERING WORKING GROUP.
WE MEET NEXT WEEK ON AUGUST 7TH.
I WILL HIGHLIGHT THAT WE HAVE INVITED THE IMS TO DISCUSS THE SCOPE COMPETITION OR THE SCOPE, UH, REPORT THAT HE DOES EVERY YEAR.
SO WE'RE LOOKING FORWARD TO THAT AND SOME OTHER THINGS WE'VE ADDED TO THE AGENDA.
AND, UH, OTHER THAN GETTING APPROVAL FOR VCMR 0 4 0, UH, BE HAPPY TO ANSWER ANY QUESTIONS.
RIGHT? WE HAVE A QUESTION FROM ERIC GOFF.
J JUST A COMMENT, UM, ON DRRS, THE MARKET MONITOR ASKS A QUESTION, I THINK, AT WMWG ABOUT THE QUANTITY THAT ERCOT MIGHT PROCURE.
AND ERCOT SAID WE WILL ADDRESS THAT IN THE ANNUAL METHODOLOGY.
SO I THINK THAT'S AN IMPORTANT CONSIDERATION.
I'D LIKE FOR IT TO GET DISCUSSION.
AND SO I'M JUST RAISING IT TACK TO, UM, SEE IF ERCOT CAN THINK ABOUT WHAT QUANTITY THEY MIGHT WANNA BUY OF THAT SERVICE.
SO WE ARE LOOKING TO RECOMMEND APPROVAL OF VCMR 40 AS RECOMMENDED BY WMS IN THE SEVEN 10 WMS REPORT.
CAN WE PUT THAT ON THE COMBO BALLOT? I GOT A THUMBS UP.
OKAY, LET'S PUT THAT ON THE COMBO BA COMBO BALLOT.
ALRIGHT, SO NOW WE ARE ONTO THE CREDIT FINANCE
[11. Credit Finance Sub Group Report]
SUBGROUP REPORT.BRENDAN, HEY, CAN YOU HEAR ME OKAY? WE CAN HEAR YOU.
UH, HEY, UH, BRENDAN SAGER HERE, UH, WITH THE JULY 24TH CFSG METER VOTING MATTERS, WHICH I THINK YOU'VE ALREADY SEEN WERE THE OPERATIONAL NPRS DISCUSSION ITEMS. WE CONTINUE TO DISCUSS THE, UH, ESTIMATE AGGREGATE LIABILITY, UH, CHANGE PROPOSALS THAT DRIVE, UH, COLLATERAL OBLIGATIONS TO THE MARKET BASED ON YOUR ECONOMIC ACTIVITY.
UH, DC ENERGY AND ERCOT GAVE, UH, PRESENTATIONS.
WE LOOKED AT, UH, NPR 1205, THE REVISIONS TO CREDIT QUALIFICATIONS FOR REQUIREMENTS FOR BANKS AND INSURANCE COMPANIES.
AND JUST I'LL, UH, MAKE A BRIEF COMMENT FOR AWARENESS ON THE PCM PROPOSAL DISCUSSION AND NEXT STEPS.
SO, NPR 1205 REVISIONS TO CREDIT QUALIFICATION REQUIREMENTS OF BANKS AND INSURANCE COMPANIES.
SO THIS INTRODUCES THE FOLLOWING CHANGES AS IT RELATES TO LCS, UH, ESTABLISHED MINIMUM RATING OF A A THREE RATING FROM ALL AVAILABLE RATING AGENCIES INSTEAD OF AT LEAST ONE, USE.
THE LOWER OF RULE FOR DIFFERENT RATINGS WITHIN THE SAME RATING AGENCY AND AMONG DIFFERENT RATING AGENCIES, UH, DEFINES THE BANK RATINGS AS FOLLOWS, AS LONG-TERM ISSUER RISK RATE, LONG-TERM ISSUER RATING, LONG-TERM SENIOR UNSECURED, OR LONG-TERM COUNTERPARTY RISK ASSESSMENT FOR MOODY'S, AND REQUIRES FOREIGN BANKS TO HAVE A US BRANCH OFFICE TO HAVE AN, UH, A RATING WITHIN THIS RUBRIC ON ITS OWN BY AT LEAST ONE OF THE RATING AGENCIES.
UM, AND IT HAVE AN ISSUER BANK RATING IF THOSE RATINGS ARE AVAILABLE.
SO THIS WAS APPROVED BY PUC THIS MONTH.
UH, THE, UH, THE CREDIT GROUP ALSO, UH, DOUBLED THE, UH, CREDIT LIMITS BY RATING TRENCH.
UM, SO AS OF NOVEMBER, THERE WILL BE SIX BANKS.
WHEN, WHEN, UH, THIS IS IMPLEMENTED, THERE WILL BE SIX BANKS THAT WON'T MEET THESE UPDATED REQUIREMENTS.
UH, THE CREDIT GROUP WILL BE SENDING OUT MARKET NOTICES IN SEPTEMBER, AND, AND THEY'RE TALKING TO PEOPLE NOW.
UH, SO THEY EXPECT UP TO SEVEN MARKET, UH, COUNTERPARTIES WILL BE AFFECTED.
THERE WAS A QUESTION FROM SOMEBODY TO OUR GROUP, UH, WHETHER THE CHANGES WERE TOO STRINGENT RELATIVE TO STANDARDS OF THE DERIVATIVES INDUSTRY.
AND WE NOTED THAT THESE TERMS ARE MARKET STANDARD AND NEGOTIATED ISDAS AND BILATERAL ENERGY TRADING CONTRACTS.
SO HERE, UH, PROBABLY, I DON'T KNOW, SEVERAL MONTHS AGO WHEN THIS PROBLEM CAME UP, I THINK IT WAS EARLY THIS YEAR, UM, THERE WERE, UH, CLOSE TO 10, UM, BANKS THAT HAD EITHER EXCEEDED OR WERE WITHIN 90% OF EXCEEDING, UH, THEIR LIMITS, UH, UNDER THE PREVIOUS POLICY.
SO AS YOU CAN SEE, PRETTY MUCH EVERYBODY'S IN COMPLIANCE, UH, WITH THE EXCEPTION OF THOSE BANKS THAT,
[02:10:01]
UM, WILL BE IMPACTED BY THE NEW RATINGS REQUIREMENTS.UH, SO WE'RE CONTINUING OUR DISCUSSION ON ESTIMATE AGGREGATE LIABILITY.
UM, SO THIS IS THE, UH, THE SECTION OF THE PROTOCOLS THAT DRIVES THE COLLATERAL REQUIREMENTS TO ERCOT AND JUST KIND OF, THIS IS A THUMBNAIL.
UM, YOU KNOW, NEW, NEW MARKET PARTICIPANTS GET THEIR, UH, HAVE THEIR EAL DEFINED BY THEIR, UH, 40 DAY PERIOD OF, OF THEIR ECONOMIC ACTIVITY WHEN THEY FIRST JOINED THE MARKET.
UM, MORE ESTABLISHED COUNTERPARTIES HAVE THEIR, UH, MAX REALTIME, UH, LIABILITY MULTIPLIED BY THE, UH, RF, WHICH IS THE FORWARD ADJUSTMENT FACTORS, PLUS THEIR DAY AHEAD MARKET ACTIVITY TIMES THE DEFECT, WHICH IS THE DAY AHEAD FORWARD ADJUSTMENT FACTOR.
UM, AND THEN OTHER, UH, BUILD AND UNBUILD ACTIVITY.
UM, YOU KNOW, IT, THAT COMPRISED THE INVOICE EXPOSURE.
UH, SO WE'RE FOCUSING A LOT ON, UM, THE RFAS AND THE, UH, REAL TIME EXPOSURE BECAUSE, UH, YOU KNOW, WHEN, WHEN A CHANGE HAPPENS, UH, BASICALLY THE, YOU KNOW, YOU AS PRICES GO UP, UH, THE RATIO OF FORWARD PRICES TO SETTLE PRICES, UH, CREATES A MULTIPLIER FROM YOUR, UH, MAX 40 DAY INVOICE HISTORY.
AND THAT'S SORT OF THE HEADLINE, UH, AS FAR AS, UH, A SUDDEN INCREASE OR A PERSISTENT INCREASE IN YOUR COLLATERAL REQUIREMENTS.
UM, WE'RE LOOKING AT, UH, UNDER THE CURRENT SYSTEM REAL TIME AND DAY AHEAD, INVOICES ARE NOT NETTED.
UM, AND THERE ARE SEPARATE, UH, FORWARD ADJUSTMENT FACTORS FOR EACH.
UH, AND WE MAY BE LOOKING AT NETTING THOSE.
UH, DC ENERGY PROPOSED, UH, SOME, SOME CHANGES ON THIS AND WANTED TO RAISE AWARENESS.
UH, THERE WAS CONCERNS FROM THEM AND OTHERS.
UH, WE FREQUENTLY OBSERVE THESE DOUBLE TOP SPIKES, UM, THAT HAVE BEEN SHOWN IN BACK TESTS AND CAN REASONABLY EXPECT IT TO OCCUR.
UH, THEY NOTED THE SEQUENCE OF EVENTS DRIVING THESE DOUBLE TOPS ARE AN EXTREME VOLATILITY EVENT FOLLOWED BY, UH, A PERIOD OF NORMALCY.
AND THEN JUST THE FORECAST, NOT NECESSARILY THE REALITY OF A SECOND, UM, WEATHER EVENT, UH, CAN DRIVE UP FUTURE PRICES AND, AND CAUSE A, A RISING AND THEN PERSISTENT, UH, COLLATERAL OBLIGATION TO THE MARKET.
UH, SO THIS CAN RESULT IN EAL FOR THE MARKETS THAT ARE MANY MULTIPLES ABOVE WHAT HAS BEEN MODELED AND WELL ABOVE WHAT WOULD BE REQUIRED.
UM, THEY PROPOSED, INCLUDING HYPOTHETICAL STRESS TESTS AND BACK TESTS THAT WOULD INCLUDE TWO WINTER STORMS OVER A SHORT PERIOD.
AND, UH, THE EXAMPLE THAT FOLLOWING IS, UH, EAL CALCULATIONS AS IF FEBRUARY, 2021 YURI WAS FOLLOWED BY JANUARY, 2024.
UM, SO THEY JUST LOOKED AT THIS DOUBLE TOP EFFECT ON A, UH, 50 MEGAWATT DEAL.
UM, SO WHAT HAPPENS, YOU SEE THE, UH, THE BLUE LINE GO, UM, IS THE EAL AND THE GREEN LINE IS THE P AND L ON A 50 MEGAWATT TRANSACTION.
UM, SO BASICALLY WHAT'S HAPPENING HERE IS YOU'RE THE, THE PRICES ARE COMING IN, THE, THE FORWARDS ARE MOVING UP, THE SETTLES ARE STAYING THE SAME.
YOU'RE PEAKING, UM, UH, YOU'RE GETTING A, A, A PEAK PRICE OF, UH, YOU KNOW, CLOSE TO 120.
YOU'RE PAYING THAT ON A, ON A COLLATERAL BASIS, BUT YOUR P AND L UM, IS NOWHERE NEAR THAT.
NOW, THE GOAL OF THIS IS TO HAVE, UM, YOU KNOW, O SOME OVER COLLATERALIZATION, BUT THEN WHAT HAPPENS AS THE TIME ROLLS OFF, YOUR, YOUR PEAK INVOICES ARE STILL STAYING WITH, WITH THAT 40 DAY LOOKBACK PERIOD.
UM, AND THEN WITHIN THAT WINDOW, IF YOU GET ANOTHER PRICING EVENT, UM, THEN YOU KNOW, THOSE, UH, THOSE HIGHER FORWARDS RELATIVE TO THE ACTUAL SETTLEMENT PRICES ARE, UH, ARE WILL RE, WILL, WILL REMAIN AGAINST YOUR, UM, PEAK UH, INVOICE ACTIVITY IN REAL TIME.
UH, SO WE'RE LOOKING AT THIS AND WHETHER IT'S APPROPRIATE AND SEE IF THERE ARE WAYS TO MITIGATE IT.
SO, ERCOT HAS, UH, ERCOT CREDIT GROUP HAS MODELED SEVERAL, UM, DIFFERENT SCENARIOS.
AND I THINK
UM, AND THESE ARE VERY DETAILED ANALYSIS, UH, ERCOT ISS BEING VERY THOROUGH, BUT THEY'RE BASICALLY, UM, TRYING TO, UH, GET A, UM, UM, AN, AN EXPOSURE CALCULATION THAT THAT IS AS CLOSE AS POSSIBLE TO THE, UH, INVOICE CALCULATION WHILE STILL REFLECTING THE REQUIREMENTS OF, UH, HAVING INCREASED COLLATERAL TO, UH,
[02:15:01]
PROTECT THE MARKET, UM, AS PRICES GO UP AND, YOU KNOW, MORE DEFAULTS COULD BE EXPECTED.BILL, DID YOU HAVE A QUESTION ON THE LAST SLIDE? SORRY, BRENDAN HAD A QUESTION ON THE, I THINK IT WAS SLIDE EIGHT, THE DOUBLE THAT.
YEAH, THAT ONE DID THIS, HAS THIS PHENOMENON OCCURRED OUTSIDE OF FEBRUARY, MARCH, 2021? UH, YEAH.
IT, IT, IT, IT OCCURS ROUTINELY AS YOU CAN IMAGINE.
UM, WELL, ESPECIALLY LAST SUMMER IT HAPPENED A LOT 'CAUSE IT WAS PERSISTENTLY HOT.
UM, AND A LOT OF, YOU KNOW, THERE WAS JUST A LOT MORE VOLATILITY LAST SUMMER.
AND, UH, YOU KNOW, I THINK THERE WERE A LOT OF PERSISTENTLY HIGH, UH, REALTIME THAT THOSE REALTIME INVOICES IN THAT, IN THAT LOOKBACK PERIOD BASICALLY PERSISTED THROUGHOUT THE WHOLE SUMMER.
SO, YEAH, YOU KNOW, THE HEAT WOULD COME OFF, UH, FOR A LITTLE BIT.
UM, BUT YOU KNOW, THE, THE, THE, UH, THE INVOICES, THE, IN THE LOOKBACK PERIOD JUST STAYED THERE.
SO THIS IS, UH, I DON'T HAVE A SLIDE WITH ON THIS PARTICULAR PRESENTATION, BUT I THINK WE'VE SHOWN SOME THAT, THAT, THAT THERE, THAT THERE HAVE BEEN SEVERAL INSTANCES WHERE THIS HAS HAPPENED.
SO THE, THE ROOT CAUSE IS REALLY THE, THE EXTENDED LOOK BACK THAT HOLDS THE MAXIMUM.
I JUST WAS MAKING SURE WE WEREN'T SUGGESTING THAT WE SHOULDN'T BASE OUR FORWARD EXPOSURE ON FORWARD PRICES, WHICH IS, UM, THE MOST ACCURATE WAY TO NO, NO EVALUATE RISK IN THE MARKET.
I SEE CHER IN THE, IN THE QUEUE.
YEAH, YOU ARE ABSOLUTELY RIGHT.
UH, WE SEE THIS KIND OF A DABBLED TOP PATTERN WHENEVER THERE IS A, UM, SECOND WAVE, IF YOU WILL, OF, OF, UH, SOME, YOU KNOW, WEATHER VOLATILITY AND PRICE VOLATILITY COMING IN.
SO, YOU KNOW, THIS, THIS ISSUE HAS BEEN IDENTIFIED AND HAS BEEN BROUGHT UP TO OUR CUT.
AND WE HAVE BEEN, UH, WORKING ON, UH, DEVELOPING A MECHANISM TO ADDRESS THIS.
AND THAT'S WHAT ALL THESE DIFFERENT SCENARIO ANALYSIS INVOLVED.
UM, GOING BACK TO THE OTHER SLIDE WHERE YOU HAD THE SAMPLE TPE, YOU CAN CLEARLY SEE THAT, UH, LAST YEAR AS, AS BRANDON HAS INDICATED, YOU HAD THE FIRST WAVE OF, UH, HOT WEATHER COMING IN IN JUNE.
AND THEN THE, UH, SECOND WAVE OF HOT WEATHER COMES IN LIKE IN JULY.
BUT THE, THE, THIS IS THE SECOND WAVE, THE SECOND PEAK, IF YOU WILL, WHICH IS THE MUCH HIGHER PEAK THAN THE FIRST PEAK, WAS DRIVEN BY THE FACT THAT THE RFIF WHEN THE HISTORICAL SETTLED PRICES ROLLED IN INTO THE, UH, RTLE, THE REAL, REAL, REAL TIME LIABILITY EXTRAPOLATED.
IN OTHER WORDS, THE HISTORICAL, YOU KNOW, JUNE PRICES GOT PRINTED AND GOT INCLUDE IN THE STATEMENTS THAT INCLUDE IN THE LOOKBACK.
NOW WE'VE TAKEN THOSE HIGHER PRICE LOOKBACK STATEMENTS AND MULTIPLYING THAT BY ANOTHER RFAF, WHICH, WHICH, YOU KNOW, WHICH WAS BROUGHT UP AGAIN BY DC ENERGY, AS WELL AS BY MAR, UH, BY, UM, RAINBOW ENERGY MANAGEMENT COMPANY.
SO I THINK THE, THE, WHAT WE ARE TRYING TO DEVELOP AMONG OTHER THINGS IS TO ADDRESS THIS DOUBLE TOP ISSUE.
AND, UH, AND HOPEFULLY, UH, AND I, YOU KNOW, JUST FOR THE BENEFIT OF, FOR THE BROADER GROUP ATTACK, WE BELIEVE WE ARE GETTING CLOSE TO THE FINISH LINE, UM, AND HOPING TO, UM, TO GET THIS THING ADDRESSED AND, AND TAKEN CARE OF.
AND BY THE WAY, I WOULD ALSO ENCOURAGE, UM, YOU KNOW, ALL THE MARKET PARTICIPANTS, PLEASE TUNE IN AND DIAL INTO THE CFSG DISCUSSIONS 'CAUSE ALL THIS IS GONNA AFFECT ALL THE MARKET PARTICIPANTS IN OUR CUT.
THANK YOU VERY MUCH, SAN CHAIR.
AND, AND AGAIN, THANK YOU FOR, UM, YOU KNOW, ALL THE WORK THEY'RE DOING.
THEY'VE RUN SEVERAL, THEY'VE RUN ALL THESE DIFFERENT SCENARIOS WITH LOTS OF HISTORICAL DATA.
SO, SO ERCOT ISS REALLY LEANING INTO THIS PROCESS.
LEMME GO OVER THIS SLIDE REAL QUICK.
AND THEN, UH, UM, MARK PRICE CAN COME IN AND, UH, CHAT WITH US.
UM, SO YEAH, SO BASICALLY THE CRITICAL THING THAT WE'RE LOOKING AT IS THE NEGATIVE GAPS, WHICH WOULD MEAN THAT THAT ERCOT IS UNDER COLLATERALIZED, UH, RELATIVE TO THE CURRENT CALCULATION.
AND THEN, UH, THEN TRY TO SECONDARILY MITIGATE THESE WIDE POSITIVE GAPS.
UM, SO YOU CAN SEE HERE, YOU KNOW, THAT IT'S SHOWING THE PERFORMANCE OF THESE SCENARIOS THAT THEY'VE RUN UP IN THAT FIRST COLUMN.
UM, AND YOU CAN SEE THE TOTAL, UH, DEVIATIONS FROM THE CURRENT SITUATION, UM, IN, IN TERMS OF THE NEGATIVE, WHERE, WHERE THERE'S A GAP RELATIVE TO THE CURRENT SITUATION, YOU KNOW, WHAT IT IS IN NCES
[02:20:01]
AND AVERAGES, UH, AND THE PERFORMANCE, AND THEN THE POSITIVE GAP AS WELL.UM, THIS SLIDE'S AVAILABLE FOR YOU TO REVIEW.
UH, ALRIGHT, SINCE YOU'RE, SO, YEAH, SO THIS IS WHAT WE'RE LOOKING AT.
IT'S A, A LOT OF DETAILS AND, UM, WE'VE BEEN LOOKING AT IT FOR, YOU KNOW, OVER A YEAR NOW, AND WE'LL CONTINUE TO DO THAT.
UH, AND WE, YOU KNOW, WE MAY HAVE SUCH A FEW MORE BULLETS, UH, TO TRY TO NARROW DOWN, UM, YOU KNOW, WHAT, WHAT WE'RE REALLY LOOKING TO ACHIEVE AND TRADE OFFS AND DRAWBACKS.
UH, IT, IT WAS BROUGHT UP, SOME OF THESE APPROACHES MIGHT LEAD TO A SITUATION WHERE TRADERS ARE MAYBE TREATED SLIGHTLY DIFFERENT LEAD THAN GEN AND LOAD.
BUT, UM, AGAIN, THESE ARE ALL SORT OF PIE IN THE SKY AT THIS POINT.
BUT AS SINCE HERE SAID, HOPEFULLY MAYBE BY THE END OF THE YEAR WE, WE'D HAVE A RECOMMENDATION OR AN NPR OR SOMETHING TO LOOK AT MORE SPECIFICALLY.
OH, YEAH, THAT'S, UM, AND JUST LAST ON THIS, ONE OF THE THINGS THAT, THAT WE'RE LOOKING AT, UM, IS, UH, MAYBE, UH, UH, AN EASILY IMPLEMENTED AND MAYBE SENSIBLE SOLUTION MIGHT BE TO PUT CAPS ON THESE FORWARD ADJUSTMENT FACTORS.
UH, AS ERCOT PROVIDED ME WITH, UH, DATA GOING BACK TO 2018, UH, FEBRUARY, 2018 TO APRIL, 2024.
SO THAT WAS OUT OF, UH, 2,254 OBLIGATIONS.
YOU CAN SEE THE MAXIMUM, UH, WHICH I THINK WAS DURING YURI WAS 10.6.
SO BASICALLY THESE COUNTERPARTIES ARE POSTING, UH, 10 TIMES THEIR MAX REALTIME, UH, OBLIGATION TO THE MARKET FOR UP TO 40 DAYS, UM, WHICH IS A QUESTION OF WHETHER THAT'S REASONABLE.
AND THEN IF YOU LOOK AT THE NUMBERS BELOW THERE, YOU CAN SEE, UM, THAT OUT OF THOSE 2200 SOME OBSERVATIONS, THERE WERE ONLY 15 TIMES WHERE IT EXCEEDED 5.8 AND THEN FOUR TIMES WHERE IT EXCEEDED EIGHT.
SO THE THINKING MIGHT BE WE COULD COME UP WITH SOME REASONABLE CAPS, UH, TO AT LEAST MITIGATE THE, THE EXTREME CASES.
UM, AND WE'LL ALSO LOOK AT THE LOOK BACK FACTORS, LOOK BACK, UH, PERIOD.
AND THEN WE JUST, I JUST WANTED TO MENTION, UH, PCM WHERE WE'RE CONTINUING TO LOOK AT THIS, UH, WE DIDN'T DISCUSS IT AT LENGTH, BUT, UH, THIS IS SOMETHING THAT'S DEFINITELY ON OUR RADAR AND I THINK IT WAS MENTIONED EARLIER TODAY.
UM, SO JUST WANTED TO CHECK, UH, WITH A FEW FOLKS.
SO STAKEHOLDERS HAVE BEEN, HAVE PROVIDED FEEDBACK OVER THE LAST TWO MONTHS, AND WHICH CONCLUDED IN A-A-P-U-C HEARING THURSDAY, WHICH WAS THE DAY AFTER OUR MEETING.
SO ERCOT ISS WORKING WITH, UH, THE E THREE CONSULTANCY TO DRAFT A WHITE, WHITE PAPER WITH, UH, THE EVALUATION OF DIFFERENT POTENTIAL DESIGN DECISIONS, WHICH SHOULDN'T FORM WHAT PUC AND STAFF DECIDE ON IN TERMS OF DESIGN THAT WOULD BE UTILIZED FOR THE COST BENEFIT ANALYSIS AND THE IMM HAVE UNTIL THE END OF THE YEAR TO PERFORM.
UH, SO JUST BRIEFLY THERE, YOU KNOW, WE HAVE OUR SYSTEM, HOW WE COLLATERALIZE THE MARKET AND INVOICE EXPOSURE AND, AND THIS, THIS ONE IS KIND OF VERY DIFFERENT.
IT'S SORT OF A PREPAYMENT SETTLEMENT TRUE UP MODEL, UH, THAT THAT'S VERY DIFFERENT TO WHAT WE'RE DOING.
SO, UM, CERTAINLY, UH, KEEPING AN EYE ON THIS AND IF ANYBODY, UH, WOULD LIKE TO SHARE ANYTHING WITH ME AND OUR GROUP, CERTAINLY, UH, CERTAINLY LET US KNOW.
UM, HERE ARE THE NPRS WE REVIEWED.
THEY WERE ALL, UM, CONSIDERED, UH, OPERATIONAL WITHOUT CREDIT IMPACTS, AND THIS IS WHAT WE VOTED ON, UH, WE THINK DISCUSSED THEM EARLIER TODAY.
SO, JUST, UH, WRAPPING UP WITH OUR, UH, MONTHLY HIGHLIGHTS BETWEEN, UH, MAY AND JUNE, 2024, TOTAL POTENTIAL EXPOSURE INCREASED FROM 1.82 TO 2.18 BILLION.
UH, THIS WAS DUE TO HIGHER FORWARD ADJUSTMENT FACTORS.
UM, DISCRETIONARY COLLATERAL INCREASE FROM 3.88 BILLION TO 4.23 BILLION WITH NO UNUSUAL CALL ACTIVITY.
AND HERE'S A HISTORICAL, UH, YEAR TO DATE, JUNE, 2024.
UM, YOU KNOW, IT'S, IT'S SUMMER THINGS ARE PICKING UP.
UM, BUT, UH, ACTUALLY IT'S BEEN CERTAINLY PRETTY QUIET.
UH, IT SEEMS CERTAINLY NOTHING LIKE LAST SUMMER.
AND HERE'S A DISCRETIONARY COLLATERAL.
AND THIS AGAIN, IS JUST BASICALLY, UM, COLLATERAL THAT EXCEEDS ANY PARTICULAR OBLIGATION, CR LOCKS AND THAT KIND OF STUFF.
BUT, UH, YOU KNOW, THAT'S, IT'S AN AMOUNT THAT'S LEFT THERE TO GET ACCESS TO THE DAY AHEAD MARKET.
AND AGAIN, NOTHING, NOTHING UNUSUAL TO REPORT.
ANY QUESTIONS? LOOKS LIKE THE QUEUE IS CLEAR.
ALL RIGHT, LET'S MOVE ON TO THE LARGE FLEXIBLE LOAD TASK FORCE REPORT.
[02:25:07]
OR AG SPRINGER? MAYBE? ARE YOU READY FOR THE NEXT, I'M NOT HEARING ANYBODY.I THINK WE'RE GONNA SKIP AHEAD TO THE
[13. RTC+B Task Force Report]
RTC PLUS B TASK FORCE AND MATT'S MAKING HIS WAY UP TO THE FRONT.ALRIGHT, TODAY I WANT TO GIVE A QUICK UPDATE ON THE PROGRAM.
UH, I DID WANT TO GO PAUSE A LITTLE MORE TODAY.
UM, BUT GO INTO SOME OF THE ISSUES THAT WE'RE WRESTLING WITH AT THE TASK FORCE, UH, JUST TO SET THE STAGE FOR AS IMPLEMENTATION GETS CLOSER THE WORK'S, GETTING A LITTLE MORE ATTRACTION IN WHERE WE NEED TO FOCUS.
SO, UM, THIS IS THE SLIDE THAT JP HAS BEEN SHOWING OUR BOARD MEMBERS.
THIS IS THE IDEA OF ON OR BEFORE SEPTEMBER, THE END OF SEPTEMBER OF THIS YEAR, WE'LL BE ANNOUNCING WHEN THE GO LIVE DATE IS FOR THE PROGRAM.
AND SO THAT'S SOMETHING WE'RE LOOKING TO PUBLISH IN THE COMING WEEKS.
AND JUST WANTED TO LET YOU KNOW, WE DON'T HAVE A DATE YET, BUT STAY TUNED AND IT'S GETTING CLOSE.
THERE'S A LINK ON THE, UM, SLIDE TO GO LOOK AT ALL THOSE.
AND I'LL JUST TEASE OUT THE ONES THAT WE WANT TO TALK ABOUT TODAY.
SO THE ONES AT THE JULY MEETING, UM, WAS NUMBER ONE, THE FRAMEWORK FOR PERIODIC ANALYSIS OF COMPARING RTC TO THE CURRENT ORDC DESIGN.
THIS IS ERCOT BUILDING A SIMULATOR, AND IT'S TO TAKE A DAY, LIKE SEPTEMBER, WHATEVER, AND 20 WHATEVER, AND RUN IT AGAIN THROUGH THE RTC SC.
SEE THE PRICES, SEE THE AS DEMAND CURVES, IT'S A CHANCE FOR THEM, THE MARKET TO GIVE THE FEEDBACK LOOP TO SAY, WHAT WOULD RTC HAVE PRICED OUT AT.
UH, SO THAT SIMULATION ONLY GOES BACK TO AFTER WE IMPLEMENT ECRS.
SO THAT WOULD BE JUNE, 2023 AND FORWARD.
AND THE TASK FORCE HAS GIVEN US THE DATES THAT THEY WANT TO START STUDYING THAT.
AND SO AT THE MEETING, WE UPDATED ON THE CAPABILITIES AND WE'RE LOOKING TO HAVE IT FUNCTIONAL IN SEPTEMBER OF THIS, IN SEPTEMBER OF 2024 IS WHEN WE START RUNNING THOSE SIMULATIONS.
SO KNOW A LOT OF PEOPLE ARE WAITING ON THAT AND JUST WANTED TO BRING THE BELL, UM, TO STAY TUNED ON THAT PIECE.
UH, THE NEXT TWO, I HAVE SOME MORE SLIDES ON THE MARKET READINESS PIECE, UH, WITH REGARDS TO THE MARKET TRIALS PLAN AND THE QUEASY ATTESTATIONS, UH, AS WELL AS SOME NPRS THAT ARE IN YOUR MAILBOX FROM JUST TODAY THAT WE'LL TALK ABOUT.
THE LAST ONE IS THE REVIEWING THE AS DEMAND CURVES.
AGAIN, THE MARKET, UM, HAS HAD SOME FEEDBACK ON THE SHAPE OF THE AS S DEMAND CURVES, HOW THEY FIT WITH THE ORDC CURVE.
AND WE'VE REALLY BEEN LINKING THAT BACK UP TO THE FIRST ISSUE, WHICH IS START RUNNING THE SIMULATOR, WATCH THE PRICE FORMATION AND SEE THERE'S AN ISSUE.
SO WE HAVE AN OPEN MIC AT THE END OF EACH MEETING TO BRING THOSE ISSUES FORWARD.
SO I HAVE THREE SLIDES ON THE MARKET TRIALS.
UM, WE'VE BEEN USING THIS SLIDE AS A TOOL.
YOU'RE WAITING ON THE PLAN FOR GO LIVE.
IN THE ABSENCE OF THAT, WHAT IS THE INDICATIVE DATES THAT WE THINK MARKET TRIALS COULD BEGIN? THAT'S THE IDEA OF STARTING AS EARLY AS MAY OF 2025.
AND THE END RUN ON THAT WOULD BE A SIX MONTH, UM, BURN IN ON OUR SYSTEMS, THE LOAD FREQUENCY CONTROL TESTS WITH QUIZZES AND ULTIMATELY GO LIVE.
AND SO EACH OF THESE, THESE BOXES HAVE A ONE PAGER BEHIND IT, AND THAT IS THE MARKET TRIALS PLAN THAT WE PUT OUT TO THE TASK FORCE THAT I'LL TALK ABOUT ON THE NEXT SLIDE.
EACH OF THESE IS A ONE PAGER THAT SAYS, FOR EACH OF THOSE BOXES AS WE GET INTO MAY OF 2025, WHAT'S EXPECTED.
SO WHAT ARE THE OBJECTIVES OF IT, YOU KNOW, IS IT MOTE LIKE TESTING THAT WE HAVE TODAY? OR IS IT ACTUALLY RUNNING SCED WITH REAL PRICES? AND SO IT TEASES OUT THOSE DETAILS AND WE WON'T GO INTO 'EM TODAY WHAT THE ENTRY CRITERIA ARE, WHICH IS WHAT DOES ERCOT NEED TO HAVE READY? AND THEN WHAT AIS NEED TO HAVE READY, HOW DO WE SCORECARD THE GROUPS, AND THEN WHAT THE EXIT CRITERIA IS.
UM, AND INTERESTED IN FEEDBACK.
WE HAVEN'T HAD A LOT OF FEEDBACK.
WE EXTENDED INTO AUGUST JUST TO MAKE SURE PEOPLE HAVE HAD TIME, UH, OVER SUMMER VACATION TO ACTUALLY OPEN THE DOCUMENT AND PROVIDE RED LINES.
WE DID LEVERAGE A LOT OF WHAT WAS DONE BACK IN THE, UH, ZAL TO NOAL CONVERSION THAT HAD A LOT OF LESSONS LEARNED ON WHAT IT WAS.
BUT I'LL KIND OF POKE THE BEAR A LITTLE BIT ON SOME OF THESE THINGS.
IF YOU DON'T WANNA READ THE DOCUMENT, LET ME TELL YOU SOME THINGS THAT WE'RE OPEN TO.
UH, THE FIRST ONE SPECIFIC QUESTION IS, WHAT WINDOW AND FREQUENCY OF REQUIRING QUEASY PRODUCTION-LIKE OFFERS FOR THE OPEN LOOP SC? UH, FOR ZONAL TO NODAL, WE DID SIX MONTHS OF REASONABLE LMPS WHERE THE QUEASY WERE PRESCRIBED TO ENTER THEIR OFFERS INTO THE SYSTEM FOR BOTH SYSTEMS. DUAL ENTRY FOR SIX MONTHS, SEVEN BY 24.
UH, FOR THIS ONE WE ARE TALKING ABOUT WHETHER OR NOT IT'S JUST EIGHT HOURS A DAY, A COUPLE TIMES A WEEK FOR A COUPLE MONTHS.
SO IT'S NOT THIS BIG LONG EXTENDED.
SO WHAT DOES IT LOOK LIKE TO GET REASONABLE PRICES OUT OF THE SYSTEM? UM, ALSO WE'VE PROPOSED THAT THEY HAD MARKET AS AN OPTIONAL PARTICIPATION, HIGHLY RECOMMENDED, BUT OPTIONAL THAT WE'RE NOT GONNA
[02:30:01]
METRIC, UM, ALL THE QUES.SO OUR TARGET AUDIENCE FOR REALTIME CO OPTIMIZATION IN TERMS OF RELIABILITY RISK IS QUEASY WITH RESOURCES, WHICH IS A HUNDRED PLUS QUES.
WHEN WE GET INTO THE DAY HEAD MARKET THAT'S 400 PLUS QUES AND DRAGGING EVERYBODY INTO AN ACTIVITY THAT'S NOT NECESSARILY A RELIABILITY ACTIVITY, UH, MAY NOT BE NEEDED.
UH, ANOTHER ONE THERE WAS THE METRICS, WHAT DO THE SCORECARDS LOOK LIKE? AND, UH, PERCENTAGES FOR EXIT CRITERIA.
AND THEN ALSO I'M PUTTING IT OUT THERE AND I HAVEN'T HAD THE PUSHBACK YET, BUT I'M WAITING FOR IT.
UM, WE'RE NOT GONNA DO WHAT WE DID 14 YEARS AGO, WHICH IS TO RUN A FULL SHADOW SETTLEMENT ON OFFLINE SYSTEMS AND PROVIDE STATEMENTS.
SO WE'RE GONNA PROVIDE SAMPLE GENERIC VERSIONS OF THOSE, UH, OUT OF OUR TEST ENVIRONMENT SO THAT YOU CAN CONSUME AND SEE THEM.
SO IT'LL BE A GENERIC QUEASY WITH GENERIC STUFF AND, YOU KNOW, YOU CAN SEE IT, BUT IT WON'T BE THE MY QUEASY THING THAT WE DID BEFORE.
SO THIS IS A, WE'VE TALKED ABOUT IT BEING AS A LOT OF RISK IN REAL TIME CO OPTIMIZATION, BUT IT'S NOT AS BIG AS THE NODAL GO LIVE BACK IN 2010.
IT'S NOT ALL SYSTEMS, ALL WEBSITES, ALL UM, PIECES PART.
SO THIS IS, YOU KNOW, NAVIGATING THROUGH WHAT WE DO AND DON'T DO IN THAT PIECE.
UH, AND THEN THE LAST PIECE IS JUST AN OPEN MICROPHONE FOR IF PEOPLE NEED MORE EDUCATION.
WE'RE DOING ALL THAT WE CAN IN TERMS OF THE, UH, TELEMETRY HANDBOOK, THE MARKET SUBMISSIONS, WHITE PAPERS, PEOPLE AT THE MEETINGS, ANSWERING QUESTIONS AND PROVIDING EXPLANATIONS.
UM, BUT AT THIS POINT, IF YOU AS QUEASY NEED MORE, LET US KNOW.
SO THAT'S THE PLACE TO ENGAGE AND PROVIDE FEEDBACK ON SWITCHING GEARS.
SO WE JUST RELEASED A SERIES OF NRR TODAY.
UH, WE TOOK THESE TWO CLARIFYING NPRS THERE IN THE MIDDLE.
AND AS WE GOT THROUGH BUSINESS REQUIREMENTS AND A FOUR YEAR DRIFT SINCE 2019, WHAT ARE THE GAPS THAT WERE MISSING AND HOW TO FILL IN THE BLANKS? AND SO WE TOOK DRAFTS OF ALL THOSE MATERIALS TO THE TASK FORCE, BUT WE COULD CHEW ON 'EM AT THE TASK FORCE FOR THREE MONTHS AND THEN CHEW ON 'EM IN THE STAKEHOLDER PROCESS FOR ANOTHER SIX MONTHS, AND THEN EVENTUALLY GET 'EM OUT THE DOOR OR WE JUST GET 'EM INTO PLAY SO EVERYONE CAN SEE THEM BUILD TO THEM AND, UM, YOU KNOW, ESSENTIALLY TRY TO GET THEM APPROVED BY THE END OF THE YEAR.
I, I WILL SAY THEY'RE A HEAVY LIFT.
UH, I BROUGHT MY PIECE OF PAPER HERE BECAUSE THE FIRST ONE, THE RTC CLARIFICATIONS ARE 130 PAGES.
SO IT'S NOT THAT IT'S 130 PAGES OF NEW TEXT, IT'S JUST FILLING IN THE BLANKS WHERE THERE'S SOME MISSES.
UM, THE ONE THAT IS A LITTLE MORE BRUTAL IS THE ENERGY STORAGE RESOURCE ONE.
IT'S WHEN THEY MENTIONED GENERATION RESOURCE, THERE'S A COMMA TO THEN DESIGNATE.
IS IT ALSO A, UM, ENERGY STORAGE RESOURCE? SO IT'S REALLY CARVING OUT THOSE PIECES, BUT WE ALSO WANT THE GROUPS LIKE THE PLANNING WORK GROUP AND THE OPERATIONS GROUPS TO SEE THOSE.
SO FOR NOT PUTTING THOSE BATTERIES IN THE RIGHT PLACE, LET'S FIND IT NOW RATHER THAN AFTER GO LIVE.
SO AGAIN, THIS IS A, UM, NPR 10 14 WAS THE SINGLE MODEL.
THIS IS THE SHOTGUN EFFECT INTO ALL THE OTHER SUPPORTIVE DOCUMENTATION TO ALIGN IT.
AND AGAIN, OUR TASK FORCE CAN CHEW ON THOSE AS WELL AS THE OTHER SUBGROUPS.
BUT THEN THE GOAL IS TO GET THOSE OUT, UM, BY THE END OF THE YEAR.
SO IN TERMS OF NEXT STEPS, SO THE MARKET TRIALS FEEDBACK, UH, PLEASE RETURN ANY RED LINES BY MAY, AUGUST 9TH TO MYSELF, UH, THE QUEASY ATTESTATIONS, UH, THESE ARE, WERE PUSHED OUT ON JULY 29TH.
I DON'T HAVE THE DATE IN FRONT OF ME.
AND WE'RE ASKING FOR THOSE TO BE COMPLETED BY AUGUST 12TH.
SO THAT WAS SENT TO THE AUTHORIZED REPS FOR THE QUEASY WITH RESOURCES AS WELL AS THE BACKUP, UM, AUTHORIZED REPS.
AND SO, UM, THAT WAS WHERE IT WAS TO IDENTIFY AN ACCOUNTABLE EXECUTIVE ACKNOWLEDGING THAT ERCOT PUBLISHED THE INTERFACE SPECIFICATIONS SO THAT YOU CAN START TO BUILD YOUR SYSTEMS. AND THEN ALSO THE IDEA OF, UM, BEING READY TO ENGAGE IN MARKET TRIALS, WHICH MAY START AS EARLY AS 2025 IN MAY.
AND SO THE CLARIFYING NPRS ARE OUT AS OF TODAY.
AND OUR NEXT MEETING IS AUGUST 14TH.
WE DID HAVE A SPECIAL REQUEST TO PAUSE AND DO A, UH, DEEP DIVE ON SETTLEMENTS AND BILLING.
SO MAGGIE SHANKS WILL COME FORWARD AND TRY TO GIVE SOME INFORMATION ON THAT.
SO WITH THAT I'LL PAUSE AND SEE IF THERE ARE ANY QUESTIONS.
I SEE BILL IS ONLINE NOW FOR THE L-F-L-T-F UPDATE.
CAN YOU GUYS HEAR ME OKAY? IT'S A LITTLE BIT FAINT.
IS THAT ANY BETTER? MM-HMM,
UH, WE CANCELED, UH, THE UPCOMING MEETING ON MONDAY.
UM, WE JUST HAVE BEEN, UH, BUSY WITH GOING TO, UH, I THINK THE GROUPS THAT,
[02:35:01]
UH, HAVEN'T BEEN INVOLVED WITH SOME OF THE RULES THAT WE'VE BEEN WORKING ON.UM, AND PR 1, 2, 3, 4 AND BIGGER ONE 15 HAVE BEEN, YOU KNOW, BROUGHT OVER TO ROSS AND THEN, UH, MOVED TO PLANNING WORKING GROUP.
SO WE'VE MET WITH THE PLANNING WORKING GROUP.
UM, N-D-S-W-G GOT CANCELED, SO WE DIDN'T HAVE A CHANCE YET TO TALK TO THEM ABOUT, UH, THE NPRR, BUT, UM, WE ALSO ATTENDED OWG, UM, AND HAD SOME DISCUSSIONS THERE, UM, MAINLY ON A DIFFERENT ONE, BUT IT'S RELATED TO THE, UH, LFL WORK, UH, WHICH IS THE GOLDEN SPREAD, UM, VOLUNTARY LOAD CURTAILMENT.
SO, UM, REALLY WE CANCELED THE MEETING JUST SO WE CAN GO AND SUPPORT THOSE OTHER DISCUSSIONS THAT ARE GOING ON.
WE DIDN'T HAVE A LOT, UH, FOR AGENDA ITEMS. UM, THERE ARE A FEW REMAINING ISSUES.
I THINK SOME OF THOSE ISSUES, UM, AT THE NEXT MEETING WE'LL TALK ABOUT.
I'M HOPEFUL THAT WE'LL TAKE SOME OF THOSE ISSUES AND, AND TAKE 'EM OFF THE TASK FORCE TO-DO LIST.
UM, THEY'RE SOMEWHAT RELATED TO LARGE LOAD, BUT THEY ALSO IMPACT OTHER, OTHER LOADS.
SO MAY NOT NECESSARILY BE ITEMS THAT WE WANT TO RESOLVE AT THE TASK FORCE, BUT I'M HOPEFUL THAT WE CAN GET TO THE POINT WHERE MAYBE WE CAN TAKE AND AND HIBERNATE THE TASK FORCE AND LET US WORK ON, YOU KNOW, THESE RULES AS THEY GO THROUGH.
AND, UH, IF WE NEED TO, WE CAN, UH, HAVE ANOTHER MEETING.
UM, I WILL CONTINUE TO POST, UH, THE MONTHLY UPDATES ON THE SCHEDULED MEETINGS.
SO THIS, THIS MONTH'S MEETING, EVEN THOUGH IT'S CANCELED, WE'LL PUT UP THE QUEUE UPDATES SO PEOPLE CAN SEE AND HAVE SOME VISIBILITY INTO WHERE THE QUEUE STANDS.
AND I THINK WE'RE NOW OVER FIVE GIGAWATTS OF, UH, LOAD THAT WE'VE, UH, AUTHORIZED THAT'S GONE THROUGH THE PROCESS AND WE'RE JUST WAITING FOR THE IT TO ENERGIZE, UM, AND START CONSUMING.
BUT, UH, WE'RE NOW SOMEWHERE AROUND FIVE GIGAWATTS OF LARGE LOADS SINCE WE STARTED.
I DON'T SEE ANY QUESTIONS OR COMMENTS.
WHERE'D BRITTANY GO? OKAY, YOU, YOU MAY GO AHEAD.
BILL THE QUEUE IS BEING UNMONITORED FREE FOR ALL.
NO, I, BILL, I'M A LITTLE CONCERNED ABOUT, UM, DISSOLVING THE GROUP OR PAUSING IT MAINLY BECAUSE WE GET SIGNIFICANT VALUE OUT OF YOUR INTERNET CONNECTION, QUEUE UPDATES, LARGE LOAD INTERCONNECTION QUEUE.
I'M WONDERING IF WE CAN HAVE THAT REPORT UPDATED WITH SOME CADENCE, MONTHLY, QUARTERLY, WHATEVER YOU PREFER.
UH, THIS IS SOMETHING THAT I THINK ALL OF US, MOST OF US WATCH VERY, VERY CAREFULLY 'CAUSE IT'S GONNA HAVE A HUGE IMPACT ON PRETTY MUCH ALL ASPECTS OF THE MARKET AND THE SYSTEM.
NOT ONLY LARGE FLEXIBLE LOADS, BUT LARGE LOADS IN THE INTERCONNECTION QUEUE AND THE COMPOSITION OF THOSE LOADS.
CRYPTO DATA CENTER, GREEN HYDROGEN WHATNOT.
IS THAT SOMETHING THAT WE CAN GET A COMMITMENT FROM ERCOT TO REPORT IN SOME VENUE ON A SOMEWHAT FREQUENT BASIS? UM, YEAH, BILL, I GUESS, UH, JUST TO GIVE YOU SOME, UH, YOU KNOW, WE'VE BEEN USING THE, THE TASK FORCE AS A WAY TO GET THAT OUT THERE.
BUT, UM, I THINK ULTIMATELY, YOU KNOW, WHEN THE TASK FORCE IS, YOU KNOW, NO LONGER NEEDED, UM, WE WERE THINKING THAT WE WOULD NEED TO PLACE, UH, THIS SOMEWHERE ON OUR
UM, I THINK THE LARGE LOAD TEAM IS LOOKING INTO WHETHER OR NOT WE CAN CREATE KIND OF A, A LARGE LOAD TYPE LANDING PAGE WHERE WE CAN POST SOME OF THAT MATERIAL WHEN WE NO LONGER USE THE TASK FORCE MEETINGS.
BUT AT LEAST FOR THIS LAST NET, UH, NEXT MEETING, UM, THE PLAN WILL BE, YOU KNOW, WE'LL POST THE QUEUE UPDATE FOR AUGUST AT LEAST IN THAT CANCELED, UH, MEETING PAGE.
THAT WAY ANYBODY THAT WANTS TO LOOK AT IT CAN LOOK AT THAT AND WE SHOULD BE ABLE TO AT LEAST TELL YOU WHAT THE QUEUE LOOKS LIKE, UM, AS OF AUGUST.
THAT, THAT MIGHT BE SOMETHING.
I KNOW BLAKEY ISS NOT HERE, BUT WE COULD ROLL INTO WMS 'CAUSE IT ALSO IS HELPFUL NOT ONLY TO HAVE THE, THE POSTING AND THE, YOU GUYS USUALLY PUT TOGETHER A COUPLE SLIDES THAT ARE HELPFUL, BUT TO HAVE AN SME AVAILABLE FOR QUESTIONS.
'CAUSE I THINK WE, WE'VE HAD QUESTIONS ON ALMOST EVERY ONE OF YOUR REPORTS, SO MAYBE THIS IS AN ITEM THAT WMS CAN TAKE UP AS A MONTHLY UPDATE.
I THINK WE GAVE THANKS WMS ANOTHER, I, I KNOW THAT YOU GUYS WANTED LESS ACTION ITEMS, BUT WE'RE GOING THE WRONG WAY.
SO I THINK THAT'S A SECOND ONE FOR TODAY,
[02:40:01]
BUT I, BUT THAT'S NOT A LOT.THAT'S JUST ADD THAT TO YOUR AGENDA FOR AND AND WORK WITH HER.
YEAH, I THINK THAT'S, I THINK THAT'S, UH, SOMETHING CERTAINLY WE CAN LOOK INTO AND DO FOR BILL.
ANY OTHER QUESTIONS FOR BILL BLEVINS? OKAY.
I THINK WE ALL UP, WE'RE ONLY 10 MINUTES BEHIND SCHEDULE.
UM, WE DID HAVE TWO ITEMS ADDED TO OTHER BUSINESS.
UM, JUST FOR REFERENCES, WE HAD A UPDATE FOR N-D-C-R-C AND UM, UH, UPDATE ON NPR 1215 UNDER OTHER BUSINESS.
[14. ERCOT Reports]
ERCOT REPORTS FIRST, BUT LET'S TRY TO GET THIS AGENDA FINISHED IN THE NEXT HOUR.SO I'LL BE GIVING THE FIRM FUEL, UH, SUPPLY SETTLEMENT REPORT.
SO A LITTLE BIT OF BACKGROUND ON THIS REPORT.
UH, THIS IS A REQUIRED REPORT UNDER PROTOCOL SECTION 3 14 5 PARAGRAPH THREE THAT JUST STATES ON AN MR. BEHAVES NO, STILL STILL BEING A PAIN ASS.
UH, COULD YOU MUTE PLEASE? NO, IT'S, IT'S, THANK YOU.
CAN WE GET THAT MUTED? THANK YOU.
UH, SO THIS REPORT JUST, UH, STATES ON AN ANNUAL BASIS AFTER THE FFS SEASON THAT WE NEED TO REPORT THE STANDBY COSTS AS WELL AS THE FUEL REPLACEMENT COSTS THAT WERE INCURRED FROM THE FFSS SERVICE.
UH, SO JUST A BACKGROUND ABOUT THIS SEASON'S FFSS PROCUREMENT.
UH, THIS OBLIGATION PERIOD SPANNED FROM NOVEMBER 15TH, 2023 THROUGH MARCH 15TH, 2024.
WE CONTRACTED WITH 32 GENERATION RESOURCES AT A CLEARING PRICE OF $9,000 PER MEGAWATT.
WE PROCURED 3319.9 MEGAWATTS OF CAPACITY AT A PROJECTED STANDBY COST OF ABOUT $29.9 MILLION.
SO THE FINAL SETTLEMENT OR THE ACTUAL SETTLEMENTS, SO FOR THE STANDBY FEE THAT TO THAT AMOUNTED TO $29.6 MILLION.
THE FUEL REPLACEMENT COSTS WAS ABOUT $781,000.
WE CLAWED BACK ABOUT $977,000 LEAVING THE TOTAL FFSS SERVICE AT A COST OF $29.4 MILLION FOR THIS OBLIGATION PERIOD.
SO JUST A COUPLE OF THINGS TO POINT OUT.
UH, THE STANDBY FEE THAT YOU SEE ON THIS, THIS SLIDE IS ACTUALLY A LITTLE BIT LESS THAN THE PROJECTED STANDBY FEE FOR THE SERVICE AND THAT'S JUST BECAUSE OF THE AVAILABILITY REDUCTION FACTOR OF HOW THAT PLAYED IN.
SO SOME RESOURCES DID RECEIVE THE HAIRCUT ON THEIR STANDBY FEE FOR THE REDUCED AVAILABILITY AND FOR THE FUEL REPLACEMENT COSTS.
THOSE COSTS WILL BE REFLECTED ON THE TRUEUP STATEMENTS FOR OPERATING DAYS JANUARY 14TH THROUGH 17TH 2024.
AND THE SETTLEMENT FOR THOSE UH, OCCURRED J JULY 12TH THROUGH 15TH OF 2024 FOR THE CLAWBACKS.
THOSE WILL ALSO BE REFLECTED ON THE TRIP STATEMENTS FOR THE FIRST 90 DAYS OF THIS OBLIGATION PERIOD.
SO THOSE OPERATING DAYS WOULD BE NOVEMBER 15TH THROUGH FEBRUARY 12TH AND THOSE SETTLEMENTS BEGAN ON MAY 13TH AND IT WILL END ON AUGUST 12TH.
SO, UM, A LITTLE BIT MORE DETAILS ON THE CLAWBACKS.
SO THERE WERE TWO REASONS WHY RESOURCES RECEIVED CLAWBACKS THIS SEASON.
SO THE FIRST IS RELATED TO PARAGRAPH NINE OF SECTION 8 1 1 2 1 6.
AND THAT IS BECAUSE THEY WERE NOT AVAILABLE FOR HOURS DURING WHICH ERCOT ISSUED A WATCH FOR WINTER WEATHER.
SO THAT WOULD BE A 90 DAY CLAWBACK.
AND THE SECOND REASON IS PER PARAGRAPH 13 IS IF AN F-F-S-S-R FAILS TO COME ONLINE OR STAY ONLINE DURING AN FFSS DEPLOYMENT FOR A NON-FUEL RELATED ISSUE, THEY WOULD RECEIVE A 15 DAY CLAWBACK.
SO WE DID HAVE THREE RESOURCES, THIS OBLIGATION PERIOD THAT DID HAVE CLAWBACKS, ONE OF WHICH FELL UNDER PARAGRAPH NINE FOR A 90 DAY CLAWBACK.
[02:45:01]
OTHER TWO WERE UNDER PARAGRAPH 13 FOR A 15 DAY CLAWBACK.AND UM, JUST A LITTLE BIT MORE DETAILS ON THE REASONS FOR THOSE CLAWBACKS.
SO THE RESOURCE THAT WAS CLAWED BACK UNDER PARAGRAPH NINE ACTUALLY TRIPPED OFFLINE DURING THE WATCH ON JANUARY 15TH AND WAS UNAVAILABLE FOR ABOUT THREE HOURS.
AND THE TWO RESOURCES THAT WERE CLAWED BACK UNDER PARAGRAPH 13, UM, DID HAVE FAILURES DURING THE F-F-S-S-R DEPLOYMENTS.
AND THOSE WERE BECAUSE OF UNPLANNED MECHANICAL ISSUES.
SO THEY WERE NOT FUEL RELATED AND THEY WERE NOT CAUSED BY THE COLD WEATHER.
SO ONE RESOURCE STRIPPED OFFLINE FOR ABOUT FOUR HOURS AND THE OTHER TRIPPED OFFLINE FOR ABOUT ONE HOUR.
AND I BELIEVE THAT IS THE END OF MY PRESENTATION.
I'LL TAKE ANY QUESTIONS IF YOU HAVE ANY, ANY QUESTIONS FOR MAGGIE? I THINK WE'RE GOOD.
ALL RIGHT, NEXT UP WE'VE GOT A FOUR CP UPDATE WITH RANDY ROBERTS.
I AM RANDY ROBERTS, MANAGER OF DATA LOADING AND AGGREGATION, SOMETIMES CALLED AGGRAVATION BUT
SO I'M SURE YOU'RE WONDERING WHY WE'RE HERE TALKING ABOUT A FOUR CP REPORT, BUT THIS IS SPECIFICALLY THE JUNE FOUR CP.
AND THE REASON WE ARE HERE TALKING ABOUT IT, IT IS BECAUSE MANY OF THE FOLKS ARE USING THE OPERATIONAL LOAD INFORMATION, WHICH IS MORE REALTIME DATA TO DETERMINE WHETHER IT LOOKS LIKE IT'S GONNA BE A ONE OF THE FOUR CP PEAK DAYS.
'CAUSE MANY PEOPLE LIKE TO SHED THE LOAD DURING THOSE PEAK HOURS FOR TCOS REASONS BASICALLY.
AND THIS FOR JUNE, THAT OPERATIONAL LOAD SHOWED THAT THE PEAK WOULD'VE BEEN THE 27TH AT 1700.
BUT WHEN WE PUBLISHED OUR DEMAND AND ENERGY REPORT, IT WAS SHOWING THE PEAK ON SUNDAY, JUNE 30TH AT 1745.
SO CAUGHT MANY PEOPLE BY SURPRISE.
SO IT WAS PUT ON THE DEMAND SIDE WORKING GROUP AGENDA FOR A WEEK AGO MONDAY.
WE HAD A DISCUSSION THERE AND I ESSENTIALLY JUST WENT OVER THE SAME UM, SPREADSHEET CALCULATIONS.
SO I'M DRILLING DOWN ON THE TWO INTERVALS, OPERATIONAL BASED FOR BA VERSUS THE UH, FOUR CP CALCULATION THAT WE DO.
AND THAT CALCULATION IS DEFINED IN PROTOCOL 9 17 1.
BUT THIS IS THE BREAKDOWN OF THOSE TWO INTERVALS.
AND THE FIRST BILL DETERMINANT INPUT, WE CALL IT G SITE TOTE, IT'S SOMETHING WE CREATED SINCE ONAL THAT'S JUST IMP, THE BLT IMPORTS AND INTERNAL GENERATION.
WHAT IS THAT VOLUME? AND SO I'M SHOWING THE INPUTS AND THEN I'M SHOWING THE FOUR CP CALCULATION AND THEN I'M SHOWING THE SAME CALCULATION ON WHAT THE OPERATIONAL LOAD CALCULATION WOULD PRODUCE USING THAT SAME SETTLEMENT INPUT DATA.
SO THE NEXT INPUT WE HAVE IS THE NET OF THE DC TIES AND THEN WE HAVE BLOCK LOAD TRANSFER EXPORTS.
NOW EXPORTS AND IMPORTS GETS FOLKS CONFUSED.
SO WHEN WE HAVE ERCOT LOAD AND WE BLOCK IT INTO ANOTHER GRID, SO IT'S ERCOT LOAD, WE MOVE IT OUT, THAT'S AN IMPORT AND IT'S, WE'RE EXPORTING CUSTOMERS BUT THE ENERGY IS IMPORTED.
SO THAT'S WHY WE REFER TO IT AS AN IMPORT.
AND THEN THE OPPOSITE IS FOR THE EXPORT.
SO WHEN WE WENT THROUGH THE CALCULATIONS AND DETAILED, YOU KNOW, WHAT'S GOING ON BETWEEN THESE TWO DAYS, WHAT REALLY JUMPS OUT IS THE OPERATIONAL LOAD CALCULATION DOES NOT SUBTRACT THE CHARGING LOAD FOR ESRS.
BUT THE FORMULA THAT WE ARE USING FOR SETTLEMENT, IT DOES EXCLUDE THAT VOLUME.
AND THAT IS THE TWO DIFFERENT PIECES OF INFORMATION FOR THESE TWO INTERVALS.
IF I PUT THE SAME, SAME VALUE FOR W CELL INTO BOTH OF THOSE INTERVALS FOR THOSE DIFFERENT DAYS FOR THE SETTLEMENT FOUR CP CALCULATION, IT SHIFTS IT OVER TO THE 27TH.
[02:50:01]
THE SETTLEMENT CALCULATION TREATS NET OF DC TIES THE SAME AS OPERATIONAL LOAD DATA, BUT WHERE WE'RE REALLY DIFFERENT AND WE'RE ACTUALLY DIFFERENT ON BLTS TOO.AND THERE'S KIND OF GOOD REASON FOR THAT BECAUSE THEY OPERATIONALLY AREN'T SERVING SOME LOAD SOMETIMES.
BUT FOR OUR CALCULATION WE DO UM, TREAT IT DIFFERENTLY.
BUT THAT'S REALLY GENERALLY NOT GONNA CAUSE US A PROBLEM IF SOMEBODY USING OPERATIONAL LOAD DATA.
'CAUSE GENERALLY WE DON'T HAVE BLTS HAPPENING AT PEAK INTERVALS OF THE MONTH.
SO THE KEY DRIVER OF WHY IT WASN'T THE 27TH AND IT WAS THE 30TH, IT THE WHOLESALE STORAGE LOAD AND HOW IT'S SUBTRACTED FROM THE SETTLEMENT CALCULATION BUT NOT IN THE OPS LOAD DATA.
SO THAT IS KIND OF ALL I HAVE.
WE HAVE ANY QUESTIONS? OKAY, JOHN RUSS.
HI UH, RANDY, I HAD A, A QUESTION.
I WAS LOOKING AT THE UH, WSL DATA FOR UM, THE 27TH AT AT FIVE O'CLOCK AND THEN THE WSL DATA FOR THE 30TH AT 5 45.
AND AT AT LEAST IN, IN THE INFORMATION THAT I DOWNLOADED, IT LOOKS LIKE THE WHOLESALE LOAD DATA IS 135 MEGAWATTS ON THE 27TH AND 15 MEGAWATTS ON THE 30TH.
AND SO I WAS JUST WONDERING WHAT I'M MISSING FOR HOW Y'ALL ENDED UP GETTING TO 5 41 AND 63.
SO ONE THING I CAN SAY IS I ACTUALLY TOOK AND DOWNLOADED THE ESR DASHBOARD DATA FOR OPERATING DAY 7 21 24 AND I COMPARED THAT TO THE SETTLEMENT WSL VALUE AND IT ALIGNED VERY WELL.
THAT'S THE ONLY DAY I ANALYZED.
SO THAT WOULD BE ONE QUESTION I HAVE IS DID YOU GET YOUR DATA FROM THE THE ESR DASHBOARD OR IS THERE SOME OTHER ESR DATA SET YOU'RE LOOKING AT? NO, I THINK I'M LOOKING AT THE TOTAL WHOLESALE STORAGE LOAD DATA.
WERE YOU LOOKING AT SETTLEMENT DATA OR OPERATIONAL DATA? I, I THINK THE SETTLEMENT DATA, WHAT DID YOU SAY THE VALUES WERE? NO, WE'RE WE'RE GETTING SOME COMMENTS IN THE CHAT.
MAYBE SHORT CIRCUIT THIS, IS IT AN ISSUE OF MULTIPLYING BY FOUR TIMES FOUR? THAT'S WHAT I WAS WHERE I WAS GOING TO.
YEAH, THE, THE SETTLEMENT DATE IS MEGAWATT HOUR AND THIS HAS IT CONVERTED TO MEGAWATT FOR THE SINGLE INTERVAL.
THANK YOU FOR THAT CLARIFICATION.
UM, THANKS FOR THE EXPLANATION ON THIS.
UH, WE GOT A LOT OF QUESTIONS ON THIS AS WELL FROM OUR LARGE CUSTOMERS.
UM, I SEE YOU ADDED SOME DETERMINANTS IN THERE.
SO I, I THINK THE MAIN THING IS WE, WE AGREE THAT WHAT YOU'RE DOING IS CONSISTENT WITH THE PROTOCOLS, WITH THE, OBVIOUSLY THE PROBLEM IS FOUR CP WAS INTENDED TO BE PREDICTABLE AND AS WE GET MORE BATTERY CAPACITY, IT'S NOT GONNA BE PREDICTABLE ANYMORE.
BUT I MEAN THAT'S NOT YOUR PROBLEM.
BUT WE NEED TO KNOW WHEN THE, WHEN THIS PHENOMENON CAN OCCUR.
SO TRACKING BASICALLY REAL TIME IN REAL TIME WHOLESALE STORAGE LOAD AND I SEE WE, THE SETTLEMENT DETERMINANTS L TO WSL BUT OBVIOUSLY THAT DOESN'T HELP US 'CAUSE WE GET THAT AFTER THE FACT.
UM, AND SAME WITH UM, BILLING DETERMINANT NATIVE LOAD.
SO NA, THE NATIVE LOAD BILLING DETERMINANT IN THE SETTLEMENT EXTRA EXTRACTS IS REALLY THE FOUR CP PEAK.
AND THEN YOU, MY MAIN QUESTION WAS, I THINK YOU JUST ANSWERED IT WHEN WE ARE WATCHING THE ENERGY STORAGE RESOURCES DISPLAY DASHBOARD, EXCUSE ME, THE ESR CHARGING PIECE TO THAT IS WSL? YES IT IS.
YEAH, SO ONE THING THAT WAS MENTIONED AT UM, DSWG IS THERE'S NO REASON WE COULDN'T CHANGE PROTOCOLS TO REMOVE FOR THE PEAK DETERMINATION, THE SUBTRACTION OF WSL, WE COULD KIND OF TAKE THAT OUT JUST SO THAT WE BETTER ALIGN WITH OPERATIONAL LOAD INFORMATION THAT Y'ALL GET IN REAL TIME.
[02:55:01]
THEN WHEN WE GO TO DO THE THE CALCULATION, WE GO BACK TO DOING THE SAME CALCULATION WE'RE DOING TODAY.SO WE'D STILL BE CREATING ALL THESE L THESE TDSP FOUR CP BILL DETERMINANTS, BUT INSTEAD OF PICKING THAT PEAK BASED OFF OF THAT SETTLEMENT FOUR CP CALCULATION, WE WOULD HAVE ANOTHER CALCULATION IN OUR SYSTEM THAT'S THE SAME CALCULATION EXCEPT IT DOESN'T DO THE MINUS WSL LOAD.
AND WE WOULD USE THAT, FIND A PEAK AND THEN GO TO THIS OTHER DATA SET, PULL THAT SAME INTERVAL AND USE THAT INFORMATION FOR THE FOUR CP PROCESS.
EITHER THAT OR WE NEED TO GIVE YOU A SIGNAL OR YOU NEED TO USE WHATEVER LOAD SIGNAL YOU'RE USING AND BACK OUT CHARGING LOAD OF VSRS.
DO YOU, THAT GIVES Y'ALL BETTER INSIGHT OF WHAT THAT FOUR CPP WOULD BE DOING EITHER ONE OF THOSE DO YOU THINK? I DON'T KNOW IF THIS MAKES SENSE EITHER.
'CAUSE IT, WELL I WAS, THE THOUGHT WAS COULD YOU PUBLISH IN REAL TIME THE SETTLEMENT FOR CP LOAD, ESSENTIALLY THE NATIVE LOAD BILLING DETERMINANT IN REAL TIME.
BUT AGAIN, THAT DOESN'T HELP WITH PREDICTING IT.
'CAUSE YOU'D HAVE TO BE ABLE TO KNOW WHEN, UH, ESRS WOULD BE CHARGING, WHICH IS NOT PREDICTABLE.
SO YEAH, IF YOU WANT SOMETHING REAL TIME, YOU CAN'T COME FROM THE SETTLEMENT CALCULATIONS, BUT WE NEED TO CREATE A SIGNAL THAT MIMICS THE SETTLEMENT CALCULATION OR DECIDE WE CAN LIVE WITH A DIFFERENT PEAK BY REMOVING W CELL.
NOW YOU STILL GOT OPPOSITE TREATMENT OF BLTS, BUT WHEN IS THAT GONNA BE A PROBLEM? BUT I SAY THAT, BUT THERE IS ONE A HUNDRED MEGA 80 MEGAWATT BBL T SO IF THAT WERE RUNNING AT PEAK SOMETIME, THAT COULD SHIFT IT AROUND AND PRODUCE A DIFFERENT SETTLEMENT VALUE VERSUS THE NO, IT'S NOT LIKELY TO HAPPEN, BUT IT'S A POSSIBILITY.
BOB, YOU ALL? YEAH, THANK YOU.
I, YEAH, I WAS ONE OF THE PEOPLE THAT ASKED FOR THIS PRESENTATION.
UM, I DON'T HAVE A STRONG OPINION ON HOW WE DO IT, BUT IT DOES SEEM LIKE WE NEED TO BE SENDING A PRETTY EASY CALCULATION FOR PEOPLE TO DO, UH, TO AVOID THE FOUR CP.
HOW, HOWEVER WE DO THAT, I DON'T REALLY HAVE A PREFERENCE, BUT SEEMS LIKE MAYBE WE SHOULD MAKE IT EASIER THAN WHAT WE'VE GOT TODAY.
'CAUSE IT DOESN'T SOUND LIKE WE CAN EFFECTIVELY, WE CAN EFFECTIVELY CALCULATE THAT AS A MARKET PARTICIPANT.
YEAH, SO ANOTHER THING I LOOKED AT WAS AT THE END OF LAST SUMMER, WE WERE AROUND 5,000 MEGAWATTS OF BATTERY CAPACITY.
THE BEGINNING OF THIS SUMMER WE'RE AT 8,000.
WE MIGHT BE AT 16,000 BY THE BEGINNING OF NEXT SUMMER.
I DON'T KNOW THAT THAT'S, I'M THROWING THAT NUMBER OUT.
THE FIVE AND THE EIGHT I KNOW ARE GOOD, BUT WHAT'S, WHAT'S GONNA BE THERE NEXT YEAR? AND THAT CAN EASILY HAVE AN IMPACT.
SO YEAH, SOMETHING TO THINK ABOUT.
I DID LOOK AT FOR JULY, WE HAVE SETTLEMENT DATA THROUGH THE 26TH.
SO I DID LOOK AT THAT THE TOP FOUR DAYS, JULY 1ST, SECOND, THIRD, FOURTH IN THAT ORDER.
SO I DON'T THINK ANYONE GOT CAUGHT OFF GUARD THEN, BUT YOU GOT AUGUST AND SEPTEMBER, SO, OKAY.
HALEY, MORGAN HANLEY, UH, WAS VERY HAPPY WITH THE DISCUSSION AT DSWG ON THE THOUGHT OF GETTING MORE INFORMATION OUT TO THE MARKET, SO JUST WANTED TO ENCOURAGE THAT ON THE MIC TODAY.
UH, NEXT STEP'S, DAVID WITH CPS.
I DIDN'T MEAN TO BE IN THE QUEUE, BUT AS LONG AS I AM
SO CAN THAT BE PUT ON, UH, MORE OF A-I-C-C-P FOR, FOR CONSUMPTION BY THE QSCS? UM, I THINK THAT WOULD, UH, HELP US THEN, YOU KNOW, WE COULD SUBTRACT IT OUT OF THE, UH, LOAD SIGNAL OURSELVES ON OUR SIDE AND THEN WE WOULDN'T NECESSARILY HAVE TO FORECAST WSL, YOU JUST COULD THINK WE'D HAVE THE LOAD.
I THINK THEY, THE REPORT THAT YOU PUBLISH, UH, ON EMO THAT IT, YOU KNOW, REFERENCES A PROTOCOL AND THAT PROTOCOL JUST SAYS TO PUBLISH THE WSL, IT DOESN'T SAY HAS TO BE A MONTH AFTER OR DOESN'T SAY IT CAN'T BE LIVE, BUT I'M NOT SURE IF MAYBE ERCOT CAN FIND WHETHER THEY'RE ALLOWED TO PUT REAL TIME WSL OUT THERE.
YEAH, I DON'T KNOW THE POSSIBILITY OF, YOU KNOW, I KNOW THAT DASHBOARD UPDATES EVERY HOUR,
[03:00:01]
I BELIEVE, BUT I DON'T KNOW, YOU KNOW, THAT'S MORE OF AN OPERATIONAL QUESTION ON CAN WE PROVIDE THAT IN AN ICCP FORMAT AND DOES THAT SEND IT OUT EVERY HOUR AUTOMATICALLY AND PEOPLE AUTOMATICALLY CAN DOWNLOAD IT? I'M, I'M NOT FAMILIAR WITH THAT.THAT'S MORE ON THE OPERATIONAL SIDE.
HEY STEVE REED? YEAH, I THINK THIS IS KIND OF A REPETITION OF DAVID'S QUESTION, BUT I'LL ASK IT ANYWAY 'CAUSE I HAVEN'T SAID HEY TO YOU IN A LONG TIME.
UM, THE, UH, SO YOU, YOU MENTIONED THAT A WAY TO GET THE DATA IS FROM THE, THE DASHBOARD AND DOWNLOADING THAT CSV FILE.
AND TO YOUR KNOWLEDGE THERE'S NO OTHER, THERE'S NO OTHER REAL TIME OR NEAR REAL TIME WAY OF, OF GETTING THAT WHOLESALE STORAGE LOAD DATA RIGHT NOW.
IS THAT CORRECT? I DON'T KNOW OF ONE, BUT I'M NOT THE SME THAT WOULD KNOW.
I CAN DE DEFINITELY GO BACK AND ASK IF THE ESR DASHBOARD.
I GUESS THE QUESTION IS, IS THE ESR DASHBOARD THE ONLY WAY FOLKS CAN GET THAT DATA? YEAH.
IS IT, YEAH, IS IT AVAILABLE MORE REAL TIME OR IS THE DASHBOARD ALL THEY CAN GET? RIGHT.
CAN ANYBODY AT ERCOT SPEAK TO THAT? THAT'S ONLINE RIGHT NOW? THIS IS NETIKA AS FAR AS ALL OF THE REPORTS SIGNED OR CLOSER TO REAL TIME, THAT DASHBOARD IS LIKELY THE ONLY ONE, BUT WE CAN CERTAINLY GO BACK CHECK AND DOT THE I'S ON THIS ONE.
YEAH, WE'D BE VERY INTERESTED IF, IF OR I'D BE VERY INTERESTED IF, UH, IF THERE'S A DIFFERENT ANSWER THAN THAT.
SO IS THE PREFERENCE OF THE GROUP TO GET THE ESR CHARGING LOAD IN AND THE ICC POINT, IS THAT KIND OF WHAT EVERYONE WOULD LIKE? DOES THAT KIND OF SOLVE THE PROBLEM? I THINK IT NEEDS TO BE ON THE WEBSITE BECAUSE NOT EVERYONE HAS ICCP IN THE SAME WAYS.
WELL LEAVING THE ESR DASHBOARD THERE, BUT ADDING BUT IF, BUT YOU DID THE SAME FREQUENCY OF UPDATE AND, AND THE TIMELINESS INFORMATION JOHN ROSS OVER.
UH, RANDY, WE HAD TALKED ABOUT THIS A LITTLE BIT, BUT UM, I WAS WONDERING IF YOU OR, OR SOMEONE ELSE FROM ERCOT WOULD BE ABLE TO PROVIDE, UH, UH, DC TIE FLOW DATA, UH, THAT CORRESPONDS WITH THE DASHBOARD FROM, YOU KNOW, THE 27TH OF THE 30TH.
AND, AND, AND THE ISSUE IS BECAUSE ON THE DC TIDE DASHBOARD, A NEGATIVE NUMBER INDICATES AN IMPORT.
AND SO, UM, SOME CLIENTS JUST WANNA VERIFY THAT THE, THE NEGATIVE NUMBER ON THE 27TH IS ACTUALLY REPRESENTING AN EXPORT, NOT AN IMPORT.
YEAH, SO JOHN AND I HAD A DISCUSSION ON THIS AND WHEN I LOOKED AT THE DC TIDE DASHBOARD, THERE'S A FOOTNOTE, ONCE YOU GO FULL SCREEN WITH IT, THERE'S A FOOTNOTE AT THE BOTTOM AND IT STATES THAT AN IMPORT IS SHOWN ON THE DISPLAY AS A NEGATIVE VALUE, WHICH TO ME THAT'S BACKWARDS BECAUSE OUR OPERATIONAL LOAD VALUE, IT SHOULD BE CONSIDERING IMPORTS AS POSITIVE, BUT THE DISPLAY SHOWS IT OPPOSITE.
NOW THAT DOESN'T MEAN OUR OPERATIONAL LOAD IS TREATING IT DIFFERENTLY.
MAYBE OUR OPERATIONAL TRAIT LOAD TREATS IT OPPOSITE FROM WHAT THE DISPLAY IS.
BUT THAT WAS ONE QUESTION WE HAD, WHICH IS WHY UH, HE WAS ASKING FOR THE LOAD DATA FROM THE DASHBOARD FOR THESE TWO DAYS AND I DON'T KNOW WHERE TO GET THAT DATA.
IS THAT AN INTERNAL QUESTION FOR ERCOT? YES.
IS THERE A CONTACT WE CAN GIVE JOHN RUSS HUBBARD? JOHN, COULD YOU SEND THAT EMAIL TO ME? I CAN FOLLOW UP.
AND THE, AND THE COMMENT AS FAR AS THE DASHBOARD, IT SOUNDS LIKE THE DASHBOARD IS CORRECT AND IT'S GOT THE NOTE THAT NOTATES POSITIVE NEGATIVE, WHAT IT ACTUALLY MEANS.
BUT THAT'S JUST A DIFFERENT INTERPRETATION FROM WHAT SOME FOLKS ARE EXPECTING TO SEE BASED ON THE POSITIVE OR NEGATIVE VALUE.
SO POLARITY OF THE DASHBOARD IS OPPOSITE FROM THE POLARITY AND SETTLEMENT DATA IS THE ISSUE? YEAH,
[03:05:01]
SO IF YOU WOULD LOOK AT THIS, UH, JUNE 27TH WE SHOW A A NEGATIVE THAT MEANS, UM, DURING THAT INTERVAL THE NET OF THE DC TIE WAS AN EXPORT IT.SO THAT MEANS OPERATIONAL LOAD WISE THEY SHOULD ALSO CONSIDER IT A NEGATIVE.
BUT IF YOU LOOK AT THE DASHBOARD, IT SHOWS IT AS A POSITIVE.
AND FOR THE SETTLEMENT DATA, WE'RE DEFINITELY TREATING IT OPPOSITE FROM THE DASHBOARD.
MY ASSUMPTION IS THE LOAD DATA ALSO TREATS IT OPPOSITE FROM THE WAY IT'S DISPLAYED ON THE DASHBOARD.
BUT THAT'S KIND OF ANOTHER QUESTION ERCOT NEEDS TO RUN DOWN AND THAT DATA FROM THE DATA FROM THESE TWO DAYS WOULD HELP US SEE AND EVERYONE ELSE SEE THAT HOW IT'S TREATED.
UM, WELL WE WON'T KNOW FOR SURE.
WE CAN SEE WHAT THE DATA SHOWS.
WE WON'T KNOW HOW THAT'S GOING INTO THE OPS LOAD CALCULATION.
BUT SO THE DATA IN THE CALCULATION IS CORRECT.
THE DATA ON THE DASHBOARD IS CORRECT.
THE POLARITY IS JUST CHANGED BASED ON THE NOTE ON THE DASHBOARD.
THE POLARITY ON THE DASHBOARD IS OPPOSITE FROM THE WAY THE SETTLEMENT CALCULATION IS DONE.
AND I BELIEVE IT'S PROBABLY ALSO OPPOSITE FROM THE WAY IT'S TREATED IN THE OPERATIONAL LOAD DATA.
OPERATIONAL LOAD DATA SHOULD ALSO CONSIDER AN IMPORT AS A POSITIVE VALUE.
BUT IF YOU GO LOOK AT AN IMPORT ON THE DASHBOARD, IT'S A NEGATIVE VALUE.
SO, BUT I'M GETTING LOST HERE.
SO I MEAN, BACK TO YOUR POINT, I LOVE THE WAY YOU PUT IT.
ALL THE NUMBERS ARE RIGHT, THE POLARITY SUBJECT TO CHECK, YOU MAY GO CHECK AND DOUBLE CHECK EVERYTHING AFTER WE DISCUSSED IT TODAY, BUT THE POLARITY ON THAT ONE DISPLAY IS THE OPPOSITE CONVENTION FOR WHATEVER REASON.
THE OTHER THING THAT WE'VE TALKED ABOUT IS REAL TIME DATA AND WHAT FOLKS, FOLKS LIKE BILL AND OTHERS, THEY REALLY WANT TO BE ABLE TO REPLICATE C IN REAL TIME.
WHAT THAT NUMBER THAT'S REPRESENTATIVE OF WHAT WILL BE FOR CP? YEP.
SO THEY CAN, AND AS YOU'VE POINTED OUT WITH THE STORAGE RESOURCES THAT ARE GOING IN WITH WHAT THEY HAVE RIGHT NOW, IT'S GETTING GET, IT'S DIFFICULT AND IT'S GONNA GET MORE AND MORE DIFFICULT.
AND SO IF THERE IS ANYTHING ERCOT CAN DO TO MAKE REAL TIME INFORMATION AVAILABLE ANALOGOUS TO YOUR CALCULATION, THAT IS THE DESIRED OUTCOME.
UM, FIRST ONE IS, UM, ON THE SETTLEMENT OF THE FOUR CP, UM, YOU KNOW, THERE'S ABOUT A, YOU KNOW, WHAT 230 MEGAWATT DIFFERENCE BETWEEN THE TWO.
UM, IS THERE ANY CHANCE THAT THAT WOULD REVERSE WHEN WE GET TO TRUE UP SETTLEMENT? AND DO, DO Y'ALL EVER USE METER DATA TO GO IN OR IS IT ALWAYS GOING TO BE A, BASED ON THE, UM, NET ENERGY PRODUCED BY GENERATION RESOURCES SETTLEMENT, UH, SETTLEMENT GENERATORS, MINUS, MINUS BLOCK LOAD TRANSFERS AND DC TIES, ET CETERA? YEAH, SO WE DO THE SAME CALCULATION FOR ALL SETTLEMENT RUNS.
AND SO YES, THE FIRST PEAK THAT WE STATE IS BASED OFF OF INITIAL SETTLEMENT DATA.
UM, I LOOK BACK MULTIPLE YEARS AND, AND I DON'T REMEMBER A TIME IT'S EVER CHANGED BETWEEN INITIAL AND FINAL.
AND I ALSO LOOKED AT FOR JUNE, THE NEXT HIGHEST PEAK DAY, WE KINDA LOOK AT THAT WHEN WE'RE ASSESSING WHETHER OR NOT THERE MIGHT BE A CHANGE.
'CAUSE WE'RE KIND OF DOING A LOT OF WORK TO MAKE SURE WE HAVE ALL THE METER DATA IN, SO WE'RE CONTACTING FOLKS, BUT IT'S, IT'S VERY RARE AND I DON'T EXPECT IT TO CHANGE NOW, COULD IT, IT COULD, THERE COULD BE SOME UNDERLYING ME METER DATA ISSUE THAT WE'RE UNAWARE OF AND WE COULD SETTLE THAT DAY AND IT PUSHES IT OVER.
BUT I DON'T THINK THAT'S GONNA HAPPEN.
AND THE NEXT DAY PEAK WAS 200 AWAY OR SO, SO, YOU KNOW, IT'S NOT LIKE THERE'S ANOTHER REAL CLOSE DAY THAT, YOU KNOW, WE GET.
ANOTHER THING THAT'S THAT'S A FACTOR IS, UH, SETTLEMENT ONLY GENERATION DATA THAT'S IN OUR, THAT'S IN THE SETTLEMENT FOUR CP FORMULA THAT'S NOT IN THE OPERATIONAL LOAD VOLUME.
AND I KNOW THERE WAS A, THERE'S BEEN AN NPR OUT THERE FOR MULTIPLE YEARS REQUIRING THOSE FOLKS TO PROVIDE TELEMETRY.
[03:10:01]
I DON'T KNOW THE STATUS OF IT OR, OR WHERE IT'S AT, BUT THAT IS SOMETHING ELSE THAT COULD SHIFT WHAT YOU'RE SEEING THROUGH THEIR OPERATIONAL SIGNAL AND THE SETTLEMENT.I DID LOOK AT, UM, THE SOG DATA FOR THESE TWO INTERVALS, AND ON THE 27TH IT WAS 223 MEGAWATTS.
SO IF, IF THE LOAD WAS, IF THERE WERE TWO REAL CLOSE DAYS, THE SOG DATA COULD CAUSE IT TO NOT FALL IN LINE IN LINE WITH THE OPERATIONAL SIGNAL YOU WERE USING.
HELPFUL CONTEXT FOR PERHAPS THE NEXT TIME WE HAVE A CONVERSATION LIKE THIS.
UM, WELL, SO I, I WANTED TO ALSO RAISE MY HAND AND JUST IN, IN FAVOR OF, YOU KNOW, TRYING TO GET, YOU KNOW, MORE DATA IN REAL TIME, UM, IN ADDITION TO THE INTEREST THAT FOLKS HAVE EXPRESSED IN TERMS OF, YOU KNOW, TRYING TO, IF THERE'S ANY WAY TO TAKE THE DATA THAT'S IN THE DASHBOARD AND, UM, YOU KNOW, ACCELERATE THAT, UH, THAT AVAILABILITY, UM, YOU KNOW, HAVING MORE REAL TIME DATA ABOUT AGGREGATE STATE OF CHARGE WOULD ALSO BE HELPFUL, I THINK IN A NUMBER OF CONTEXTS.
BUT IN THIS CASE, YOU KNOW, IF, IF FOLKS ARE LOOKING AT, YOU KNOW, A A PEAK PERIOD COMING IN AND YOU SEE AN UPTAKE IN, UH, WHOLESALE STORAGE LOAD, BUT YOU SEE THAT IN AGGREGATE, THE, THE STATE OF CHARGE SEEMS TO BE CLOSE TO THE TOP, THEN YOU MIGHT BE ABLE TO ASSESS HOW LIKELY THAT IS TO CONTINUE THROUGHOUT THE, THROUGHOUT THE PEAK.
AND, UM, JUST AS, UH, ADDITIONAL BENEFITS THAT I THINK WE'LL PROBABLY TEE INTO DISCUSSION WE'LL HAVE, UH, A LITTLE LATER UNDER SECTION 14 OF THE AGENDA.
UH, I DO THINK IT'S IMPORTANT THAT WE CAN PREDICT FOR CP UH, I THINK THAT'S SOMETHING IT'S GOING TO GET HARDER AND HARDER, SO ANY OF THAT REAL TIME DATA IS HELPFUL.
UH, ONE OTHER THING THOUGH, UH, IS IF IT WAS POSSIBLE ERCOT COULD DO A MARKET NOTICE OF WHAT THE ACTUAL SETTLEMENT CALCULATION IS OR WHERE TO GET AND WHERE TO GET THAT DATA MIGHT BE HELPFUL TO FOLKS IN THE MARKET.
YOU WANT THE SETTLEMENT CALCULATION THAT WE USE TO DETERMINE THE FOUR CPP INTERVAL? I, I JUST DON'T KNOW IF EVERYBODY KNOWS WHAT THAT CALCULATION IS.
SO EVEN, SO YOU'RE SAYING WE, IT WOULD BE GOOD IF WE SENT A MARKET NOTICE LETTING EVERYBODY KNOW THIS IS THE CALCULATION YES, SIR.
AND, AND WHERE TO FIND THE DATA, RIGHT? YEAH.
THE, ALL OF THAT DATA IS PRODUCED IN AN EXTRACT WE CALL RTM MODE.
IT'S KIND OF ALL OF THE NOT PUBLIC DATA, BUT DATA THAT WE ALLOW ANY MARKET PARTICIPANT WITH A DIGITAL CERTIFICATE TO HAVE ACCESS TO.
AND ALL OF THAT DATA IS THERE.
YEAH, I MEAN, SO I MEAN, GARRETT IN, ISN'T THAT THE INFORMATION WE'RE LOOKING AT HERE? I MEAN, WHAT, WHAT, WHAT'S THE ASK? I I, I JUST, I I'M TRYING TO GET IT OUT TO ALL THE OTHER CONSUMERS OUT THERE THAT MAY NOT KNOW OR DON'T KNOW THAT THEY MAY HAVE MISSED THE JUNE FOUR CP.
'CAUSE THEY WEREN'T, THEY DIDN'T KNOW.
THEY MAY NOT KNOW WHAT WSL IS.
SO I WAS JUST OFFERING AS IT MAY BE A SOLUTION TO THE MARKET AND TO THE CONSUMERS.
WOULD A MARKET NOTICE REACH THOSE FOLKS GENERALLY? MAYBE.
UM, CHRIS VILLA AND JANE ROCK.
ONE IS, SO I, I'M JUST LOOKING AT THE REAL REALTIME SYSTEM CONDITIONS PAGE ON YOUR ERCOT WEBSITE AND RIGHT NOW THE, THE NET OF THE D DC DC TI FLOWS, IF YOU JUST SUM EVERYTHING UP TOGETHER, IS A POSITIVE 5 23.
SO DO, DO MARKET PARTICIPANTS NEED TO LOOK AT THAT AND SUBTRACT THAT FROM WHATEVER THE SYSTEM LOAD IS RIGHT NOW? OR IT, OR DO WE ADD IT TO, TO THE SYSTEM LOAD? FIRSTLY, YOU WOULD NEED TO KNOW, I BELIEVE NET OF DC TIES IS ALREADY INCORPORATED INTO, OR SOME OF THE ERCOT OPS LOAD DATA.
BUT AGAIN, SOMEONE FROM OPS WOULD'VE TO CONFIRM THAT.
MATT, YOU WANNA JUMP IN? YEAH, I GUESS I'M TRYING TO NAVIGATE, SO IT FEELS LIKE THIS IS A WORKING PROCESS.
UH, I'M TRYING TO TAKE NOTES FOR RANDY, BUT IT'S STACKING UP ON WHAT'S THE PRIORITY AND THINGS.
SO WE NEED ANOTHER MONTH TO COME BACK AND SAY, HERE'S THE PRIORITY OF WHAT'S NEEDED GOING FORWARD.
OR, OR RANDY, IF YOU'RE TRACKING ALL THIS, GOD BLESS YOU, BUT I, NO, I'M NOT.
I, I FEEL LIKE WE'RE KIND OF, IT'S THE REAL TIME, THE LATENCY OF THE DASHBOARDS.
IT'S THE FEEDBACK, IT'S THE NEGATIVE SIGN.
SO IS THERE A CLEAR, WHAT DO WE THINK IS THE BEST FORM TO KIND OF GET A LINE OF SIGHT TO WHAT THE ISSUES ARE?
[03:15:01]
I DON'T, IS IT TAC NEXT MONTH OR? YEAH, I DON'T MIND IF IT'S TAC, BUT I KNOW WE'RE TACKLING A SPECIFIC PROBLEM FROM, FROM JUNE OR, OR ISSUE, I DON'T KNOW IF WE WANT TO CALL IT A PROBLEM, BUT I WAS WONDERING IF IT MADE SENSE TO COME BACK AFTER SEPTEMBER.SO WE COULD LOOK AT ALL OF THE FOUR CP INTERVALS AND IF THERE'S SOMETHING, SOME CHANGES THAT NEED TO BE MADE, LESSONS LEARNED, THAT THAT WOULD BE MY PROPOSAL.
BUT I'M, I'M FINE WITH, I KNOW THEY TALK ABOUT THIS AT DSWG, BUT I'M FINE WITH TAC BEING A FORUM FOR THOSE CHANGES AS WELL.
I WAS JUST SIMPLY TO WALKING AWAY AND TRYING TO FIGURE OUT WHICH REPORTS DO WE NEED TO LOOK TO CHANGE, WHICH MARKET NOTICES TO SEND AND THINGS.
SO IT'S, I THINK A LESSONS LEARNED WOULD BE VERY HELPFUL.
YEAH, I DON'T THINK WE WANNA TRY TO GET THAT DONE TODAY.
UM, I I, I CAN BE CORRECTED, UM, BY BOB WHITMEYER, AI, BOB WHITMEYER, BUT I THINK WE WANTED TO HAVE AN UPDATE TO SORT OF BRING TO, TO EVERYONE'S ATTENTION THE, THE JUNE ISSUE.
AND SO A MARKET NOTICE NOW I THINK MAKES SENSE, BUT TO SORT OF TRY TO HOLISTICALLY ADDRESS EVERYTHING WE NEEDED, I, I THINK MAKES SENSE AFTER, AFTER WE'VE HAD ALL FOUR CP INTERVALS THIS SUMMER.
AGREE WITH, IF WE WANT TO BRING IT BACK, WE DON'T NEED TO BELABOR THIS, UH, WAS JUST GONNA FOLLOW UP WITH A, ANOTHER FRIENDLY SUGGESTION, WHICH WAS SIMILAR TO, UM, WHAT I MENTIONED EARLIER.
I THINK THE, THE THEME THAT YOU'RE HEARING IS PEOPLE NEED TO KNOW IN REAL TIME, LIKE WHETHER IT'S THE FOUR CP DAY OR NOT, AND WHEN, WHAT THE INTERVAL IS.
THAT'S, I THINK THE BIGGEST CONCERN HERE IS NOT KNOWING UNTIL DAYS LATER.
UH, I, I KNOW WE'RE CONSIDERING A NPR THAT, UM, IS, WOULD CREATE A DEMAND RESPONSE DASHBOARD.
MAYBE WE COULD ADD A REAL-TIME CALCULATION OF THE FOUR CP LOAD IN THERE AND TRACK WHAT, WHAT THE INTERVAL WAS FOR PRIOR MONTHS FOR THE SUMMER.
THAT MIGHT BE HELPFUL, UM, JUST AS A SUGGESTION.
SO MAYBE THE NEXT STEPS ARE THAT THIS, THESE DISCUSSIONS WILL CONTINUE AT DSWG, BUT WE'LL PLAN TO HAVE, RANDY HOPEFULLY WILL STILL BE INTERESTED IN COMING BACK, BUT, BUT RANDY COME BACK, UH, IN SEPTEMBER, OCTOBER T TO KIND OF REVIEW THE SUMMER AND, AND SEE IF THERE'S HIGH LEVEL DIRECTION WE WANT TO GIVE AS A GROUP TO PROBABLY BACK TO DSWG TO FIGURE IT OUT.
AND HOPEFULLY WE'LL HAVE A LOT OF ANSWERS TO SOME OF THE ERCOT OPS LOAD DATA BY THAT TIME, TOO.
UH, JOHN RUSS HUBBARD, RU HUBBARD, YOUR POINT ABOUT, UM, KIND OF TAKING TIME TO REVIEW AND, AND HOW TO MOVE FORWARD? I THINK THAT'S GOOD, UH, IN TERMS OF FINDING, UH, FOR LONG TERM WISE, BUT WE'RE ALSO, I MEAN, WE'RE, WE'RE MIDSUMMER RIGHT NOW AND WE HAVE, UM, YOU KNOW, DO MORE MONTHS OF FOUR CP THAT NEED TO BE DETERMINED AND THAT CONSUMERS ARE GONNA BE WATCHING FOR.
AND SO I THINK ANYTHING WE CAN DO TO QUICKLY ALLOW CONSUMERS TO HAVE SOME REAL TIME SENSE OF WSL LOAD IS IMPORTANT.
AND SO I DON'T KNOW IF IT'S, SO, I DON'T KNOW FULLY PUSHING THIS OFF UNTIL THE END OF THE SUMMER IS NECESSARILY THE RIGHT APPROACH.
UM, I THINK I, I WOULD SAY PROBABLY VISIBILITY WHAT, WHAT
I, I DON'T KNOW THAT MAKING CHANGES MIDSUMMER MAKES THINGS CLEARER.
I, I'M SAYING MAKING CHANGES, I, I THINK INCREASING VISIBILITY FOR THE REMAINDER OF THE SUMMER, WHATEVER I CAN DO WOULD BE BENEFICIAL.
I THINK ERCOT CAN TAKE THAT DIRECTION AND GIVE MARKET NOTICES AND DISCUSS IT AT DSWG WE CAN LOOK AT, I GUESS I'M SURE, SO LIKE, I ALMOST WANNA OPEN UP A DASHBOARD.
THERE'S, THERE'S A NEED TO WANT TO FIX IT RIGHT HERE.
I JUST DON'T KNOW THAT WE HAVE THE RIGHT PEOPLE TO POINT TO THE RIGHT DASHBOARDS, THE RIGHT THINGS, AND WHERE DO WE ENGAGE THAT? SO IF IT'S A-D-S-W-G THIS IN A COUPLE WEEKS, THAT'D BE GREAT.
UM, AND I THINK THAT'S WHERE WE'RE AGREEING TO GO TO, IF THAT HELPS.
BUT IN, IN MY, A LOT OF THIS IS, NEEDS TO BE DONE ERCOT INTERNAL BEFORE WE GO TO DSWG.
NOT NEW DASHBOARDS, BUT ARE THERE EXISTING DASHBOARDS WE POINT TO? AND THAT
[03:20:01]
NUMBER NEGATIVE IS THE OFFSET TO CONSIDER ON THE LOCAL BOARD.WE NEED TO HAVE INTERNAL DISCUSSIONS ABOUT SOME OF THIS DATA SO THAT, AND, AND THEN WE CAN PRESENT AT DSWG OUR FINDINGS.
SO WE ARE DONE WITH THAT AGENDA ITEM FOR TODAY AND WHAT IS NEXT ON CORE TEMPLE AREA PROJECT.
DID WE GET IT HERE? HI, GOOD AFTERNOON.
SO I'M HERE TO PRESENT YOU THE ENCORE TEMPLE AREA REGIONAL PLANNING INDEPENDENT REVIEW AND THE RECOMMENDATIONS.
UH, THIS PROJECT WAS ORIGINALLY SUBMITTED BY ENCORE.
UH, THIS WAS SUBMITTED AS A PROJECT, WHICH INITIAL COST OF $120 MILLION AND DID NOT REQUIRE CCN.
SO THIS WAS SUBMITTED PRIMARILY TO ADDRESS, UM, THERMAL ISSUES IN THE TEMPLE AREA.
AND WHEN WE STARTED LOOKING AT THIS INDEPENDENT REVIEW, WE ADDRESSED ADDITIONAL ISSUES, ESPECIALLY IN THE COLLIN AREA AND ALSO IN THE BROADER BELL COUNTY AREA.
SO WE EXPANDED THE PROJECT AND WE ENDED UP WITH, UH, SEVERAL OPTIONS.
THERE ARE OPTIONS THAT'S GONNA BE RECOMMENDED TODAY IS GONNA COST $272 MILLION AND WILL REQUIRE A CCN COMPARED TO THE ORIGINAL ON COURSE SUBMITTAL.
SO AGAIN, UH, REFERRING BACK TO THE TIER ONE PROJECT REQUIREMENTS, AGAIN, THIS IS A HUNDRED MILLION DOLLARS PLUS PROJECT, SO THIS IS FALSE UNDER TIER ONE.
AND THIS WILL BE, UM, PRESENTED TO THE BOARD FOR ENDORSEMENT.
AND AS PART OF THAT, UM, I'M HERE TO PRESENT TO TAC UH, GET ANY FEEDBACK OR COMMENTS FROM YOU, ANY COMMENTS FROM TAC WILL BE INCLUDED IN THE PRESENTATION TO THE BOARD.
SO THIS SLIDE, UH, HIGHLIGHTS THE, UH, RELIABILITY NEED FOR THE, FOR THE PROJECT.
SO WE LOOKED AT, UH, DIFFERENT CATEGORIES OF CONTINGENCIES, AND THE PRIMARY DRIVER HERE IS, UH, X MINUS ONE AND MINUS ONE, WHICH IS THE LOSS OF AN AUTO PLUS THE NEXT, UH, SINGLE CONTINGENT CREDIBLE SINGLE CONTINGENCY.
SO UNDER THAT CONDITION, WE SAW WORKLOADS ON EXISTING, UH, TRANSFORMERS AND, UH, SEVERAL MILES OF 1 38 KV LINE.
AND IN ADDITION, WE SAW A LOT OF VOLTAGE ISSUES IN THE CLEAN AREA.
THERE'S 1 31 DIFFERENT LOCATIONS WHERE WE HAD LOW VOLTAGE ISSUES.
UH, WE SHORTLISTED THAT TO THREE OPTIONS THAT'S LISTED ON THE TABLE HERE, UH, WHICH IS FOUR A, FIVE A, AND, UH, SEVEN A.
UM, AS YOU COULD SEE, UH, WE LIST DIFFERENT, UH, ATTRIBUTES THAT WE LOOKED FOR THIS OPTIONS.
UM, SO BASED ON ALL THIS DIFFERENT VALUATION, WE RECOMMEND OPTION FIVE A AS THE PREFERRED OPTION, WHICH, UH, RESULTS IN THE LEAST COST OPTION, AND IT'LL REQUIRE 15.4 MILES OF NEW RIGHT OF WAY.
AND IT'LL COST $272 MILLION, ROUGHLY AROUND 272 MILLION.
THE PROJECTED IN-SERVICE DATE IS, UH, DECEMBER, 2028.
HOWEVER, AS UH, NOTED IN THE REPORT THAT IS SUBJECTED TO CHANGE, IF ONCO RUNS INTO ISSUES WITH, UH, YOU KNOW, CONSTRUCTION OR GETTING APPROVAL FOR OUTAGES, UH, EVEN WITH THE 2028, UH, DATE, UH, DECEMBER 20, 28 DATE, UH, WE EXPECT PORTION OF THE PROJECT WILL BE, UH, DONE AS ENERGIZED CONSTRUCTION.
SO AS PART OF THE INDEPENDENT REVIEW, UH, ANYTIME WE PROPOSE NEW LINES, WE HAVE TO LOOK AT THE SYNCHRONOUS RESONANCE ISSUES.
UM, THIS IS REQUIRED BY THE PROTOCOL, UH, SECTION THREE, 3.22, 2.1 0.3.
SO WE LOOKED AT THIS AND WE DID NOT SEE ANY ADVERSE IMPACT TO EITHER EXISTING OR PLANNED RESOURCES AT THIS TIME.
IN ADDITION, WE HAVE TO ALSO DO A CONGESTION ANALYSIS AND SENSITIVITY FOR, UH, LOAD SCALING.
SO WE PERFORMED THOSE AND FOR OPTION FIVE A, WE DID NOT SEE ANY NEW CONGESTION IN THE SYSTEM, OR, UH, WE DID NOT SEE ANY POTENTIAL FUTURE GENERATION THAT COULD, UH, IMPACT THE PREFERRED OPTION.
UM, WE ARE GOING TO RECOMMEND OPTION FIVE A, UH, TO THE BOARD TO ADDRESS THE RELIABILITY ISSUES IN THE BELL COUNTY EXPECTED INSERVICE.
ESTIMATED COST IS $272 MILLION
[03:25:01]
OF $0.6 MILLION.SO THE NEXT THREE SLIDES, UH, HAVE THE DETAILED DESCRIPTION OF THE PROJECT.
YOU COULD SEE THERE IS A LOT OF ELEMENTS TO THE PROJECT.
THERE IS, UH, 32 DIFFERENT, UH, UPGRADES OR MORE THAN 32 UPGRADES SINCE PART OF THE PROJECTS.
SO ALL THOSE DETAILS ARE PROVIDED IN THE, IN THE THREE SLIDES.
BUT, UH, THE LAST SLIDE HERE CAPTURES A HIGH LEVEL OVERVIEW OF THOSE UPGRADES.
SO I WILL, YOU KNOW, QUICKLY HIGHLIGHT A FEW THINGS HERE.
THE MAJOR COMPONENTS ON THE PROJECT IS, UH, YOU ARE ADDING ADDITIONAL AUTOS AT TEMPLE SWITCH, 3 45 KV AUTOS, A TEMPLE SWITCH, TEMPLE PECAN SWITCH, SO ADDING SECOND AUTOS, THOSE STATION.
AND THE, UM, OTHER SIGNIFICANT ASPECT IS THE STO STATION.
WE ARE ADDING A 3 45, 1 30 KV STATION, ADDING TWO NEW AUTOS.
UM, THE DOTTED LINE THERE, UH, THE LINE FROM STO TO BELL COUNTY TO TEMPLE, THAT'S THE NEW, UH, 1 38 KV LINE THAT WOULD NEED THE NEW RIGHT OF WAY.
SO THIS PROJECT, UM, YOU KNOW, CONNECTS THE COUPLE OF NEW STATIONS, NEW BELL COUNTY STATION, AND THE
SO IF YOU LOOK AT THE FOUR END ON THE WEST SIDE, THERE IS WATER CRES STATION.
THAT'S WHERE, UH, WE'RE ADDING SOME REACTIVE DEVICES, UH, TO SUPPORT THE VOLTAGE IN THE AREA.
IN ADDITION TO UPGRADING ALL THE, YOU KNOW, HIGHLIGHTED 1 38 KB LINES IN THE KALINE AREA TO ADDRESS SOME OF THOSE THERMAL AND VOLTAGE ISSUES.
SO WE, WITH THAT, I'M GONNA PAUSE.
I ALREADY SEE A COUPLE OF CARDS.
PROBABLY, UH, QUESTION BACK ON SLIDE TWO.
SO ONCOR SUBMITTED THE PROJECT AT $120 MILLION COST.
AND THEN WHAT CHANGED TO EXPAND TO 2 72? WAS THERE ADDITIONAL LOADS OR? YEAH, SO THERE'S, THERE'S A NUMBER OF THINGS.
YEAH, THE, THE SYSTEM HAS CHANGED, RIGHT? LIKE, YOU KNOW, WE, WHEN WE LOOK AT THIS AREA, WE LOOKED AT ADDITIONAL, UM, N MINUS, I MEAN X MINUS ONE, N MINUS ONE IN THIS, IN THE SURROUNDING AREA.
SO WE IDENTIFIED SEVERAL ISSUES, ESPECIALLY IN THE CLEAN AREA, AS I SAID, LIKE SIGNIFICANT, UH, BUSES WITH LOW VOLTAGES, AND THERE WAS SOME ADDITIONAL THERMAL ISSUES, UH, WE SAW.
SO THAT EXPANDED THIS PROJECT.
SO WE'RE NOT ONLY ADDRESSING THE ISSUE IN THE TEMPLE AREA, WE, WE ARE ADDRESSING, UH, THE CLEAN AREA PLUS, YOU KNOW, THE ONE, UH, THE THERMAL ISSUES IN THE SURROUNDING AREA, SO THAT THAT INCREASED THE COST.
NEXT, DAVID? YEAH, MY QUESTION'S ON SLIDE FIVE.
I THINK I KNOW THE ANSWER, BUT I JUST WANNA CONFIRM, UH, THE, THE NARRATIVE IN THE SECOND BULLET TALKS ABOUT THE, UM, THIS BEING THE NEXT SLIDE.
YEAH, SO THIS LEASE COST SOLUTION, THAT'S WHERE MY EYES STOPPED.
AND THEN YOU KEEP READING AND IT SAYS, LEASE COST SOLUTION TO MEET THE ER CADNER RELIABILITY CRITERIA.
THE TABLE SEEMS TO INDICATE IT'S NOT THE LEAST COST, I GUESS.
I DUNNO IF THERE'S ANYTHING TO DO, BUT JUST WANTED TO CONFIRM THAT.
YEAH, THE, WHEN I, WHEN I SAY IT'S THE, IT'S THE OPTION WHICH MEETS ALL REQUIREMENTS, YOU KNOW, WHEN YOU COMPARE, LIKE OPTION FOUR EIGHT MADE MOST OF IT, BUT THERE WAS STILL SOME X MINUS ONE AND MINUS ONE ISSUES PRIORITY.
JUST AUTO, LIKE, THAT'S WHY WE SAID, YOU KNOW, OPTION FOUR A DID NOT MEET ALL THE OPTION, ALL THE REQUIREMENT.
ANY OTHER QUESTIONS? ANY OTHER QUESTIONS OR COMMENTS? ALL RIGHT, THANK YOU.
YOU WANNA ADD TO THE COMBO BALLOT? OKAY.
WE DO NEED TO PUT IT ON THE COMBO BALLOT.
SO THIS WOULD BE BOY, UM, ENDORSE ENCORE TEMPLE AREA REGIONAL PLANNING GROUP PROJECT AS RECOMMENDED BY ERCOT, WHICH IS OPTION FIVE A.
SO COMBO BALLOT, UNLESS ANYBODY HAS ISSUES WITH THAT.
SO NOW WE ARE LOOKING AT TIKA AND THE FIRST, SHE'S UP TWICE IN A ROW.
I THINK THE FIRST IS 2025 ANCILLARY SERVICES METHODOLOGY TIMELINE LOOKS START TALKING.
SO THE FIRST ONE SHOULD BE FAIRLY QUICK.
UH, SO IF YOU MAY RECOLLECT, WE WERE HERE LAST TIME AND WE HAD SHARED THE TIMELINE WE WOULD USE
[03:30:01]
FOR THE REVIEW OF THE 2025 AS METHODOLOGY.AND IN THAT TIMELINE, WE HAD, UH, INDICATED THAT WE WOULD BE TARGETING TAKING THE PROPOSED METHODOLOGY TO THE OCTOBER 10TH BOARD.
THIS WOULD ALLOW FOR, UH, THE TIME FOR THE PUC TO REVIEW AND APPROVE AND, UH, THE METHODOLOGY.
SO THERE WERE CERTAIN QUESTIONS THAT WERE ASKED AROUND THE TIMELINE ITSELF.
SO WE DID, UH, FOLLOWING THE MEETING, HAVE A CONVERSATION WITH THE PUC STAFF AND CONFIRM THAT THE TIMELINE WE HAD PROPOSED BACK THEN WAS SUFFICIENT IN GIVING, UH, OPPORTUNITY FOR THE PUC TO CONSIDER OUR PROPOSAL.
AND IF THEY SAW A NEED TO REMAND, REMAND IT FOR
SO THAT WAS THE FIRST, UH, AT LEAST, UH, UH, UH, FROM A TIMELINE PERSPECTIVE, HAVING THE ABILITY FOR THE POC PROCESS TO WORK THROUGH.
NOW, WE ALSO AGREED TO COORDINATE WITH THE POC STAFF PRIOR TO OCTOBER SO THAT WE COULD SORT OUT ANY CONCERNS THAT THEY MAY HAVE, UM, AS FAR AS, UH, NOT HAVING TO GO DOWN THIS PATH IS CONCERNED.
SO WE'LL CERTAINLY WORK TOWARDS COORDINATING WHERE WE CAN.
AND LASTLY, JUST A REMINDER, UH, IS IF FOR ANY REASON APPROVAL OF 2025 AS METHODOLOGY IS DELAYED PAST DECEMBER, WE WILL CONTINUE TO USE THE CURRENT METHODOLOGY THAT WAS APPROVED LAST DECEMBER TO SET QUANTITIES.
SO THERE'S JUST SOMETHING ELSE TO BE AWARE OF, AND I'LL PAUSE WITH THAT.
THAT'S THE ONLY UPDATE I HAD ON THE TIMELINE, MOSTLY TRYING TO RESPOND TO THE QUESTIONS THAT TAC HAD ASKED.
I DON'T SEE QUESTIONS OR COMMENTS.
I WILL ADD A REMINDER THAT AFTER THE AUGUST TAC THERE'S A WORKSHOP ON THE PUC ANCILLARY SERVICES STUDY.
I'VE, I'VE REACHED OUT TO A NUMBER OF PEOPLE ABOUT FEEDBACK FOR WHAT SHOULD BE ON THAT AGENDA.
SO IF YOU HAVE REQUESTS FOR THAT AGENDA, YOU CAN GET THEM TO ME, AND THEN I'LL SEND THAT OVER TO, UH, PUC STAFF.
UM, THIS SHOULD ALSO, THIS IS AN UPDATE, JUST TWO SLIDES.
SO THE, UH, UH, THE WMS CHAIR,
SO WHAT I WANTED TO DO IS PROVIDE AN UPDATE ON SOME, UH, REPORT TEMPLATES THAT WE'VE SHARED WITH THE WMS AND WMWG.
SO THE CONTEXT ON THIS WAS, UH, BACK WHEN THE PUC WAS, UH, CONSIDERING NPRR 1186, AT ITS JANUARY 18TH MEETING, THE COMMISSIONERS HAD EXPRESSED INTEREST IN, UM, HAVING A, AN A
NOW, FOLLOWING THAT CONVERSATION, UH, WHEN TAC MET IN, UH, ON JANUARY 24TH, UH, TAC MEMBERS ALSO EXPRESSED INTEREST IN UNDERSTANDING WHAT THAT POTENTIAL ANALYSIS OR REPORTING, UH, WOULD LOOK LIKE IN RESPONSE TO THE POC, UH, AT THE FEBRUARY 26TH BOARD.
IF YOU LOOK AT THE R AND M MATERIAL, UH, ERHART SHARED A HIGH LEVEL APPROACH OF WHAT IT WE WOULD, UH, CONSIDER USING TO BUILD THIS PARTICULAR SOC REPORTING IN RESPONSE TO THE, UH, PUC UH, CONVERSATION.
UM, DURING THAT CONVERSATION, THE R AND M ADDITIONALLY DID REQUEST THAT WE ALSO, UH, REGULARLY REPORT ON HOW ALL RESOURCE TYPES WERE DOING IN MEETING THEIR ANCILLARY SERVICE OBLIGATIONS IN REAL TIME.
SO NOW, UH, THE UPDATE, UH, THAT YOU HEARD US, UH, TALK ABOUT AT WMS AND WM WGS AKAT HAS DEVELOPED A POTENTIAL TEMPLATE THAT WE THINK CAN BE USED, UH, TO MONITOR, UH, SHORTFALLS IN PROVISION OF ANCILLARY SERVICES DUE TO INSUFFICIENT STATE OF CHARGE AND INADEQUATE RESPONSE, BE IT DURING FREQUENCY EVENTS OR TO DISPATCH.
SO, INADEQUATE RESPONSE DUE DEPLOYMENT EVENTS DUE TO LOW OR INSUFFICIENT SOC.
SO WE'VE PRE PRESENTED THIS TEMPLATE TO WMS AND WMWG.
WE WILL CONTINUE TO REFINE THE ANALYSIS BASED OFF OF THE FEEDBACK, UH, STAKEHOLDERS PROVIDE US.
AND OF COURSE, WE INVITE, INVITE ANYBODY WHO'S REVIEWING THE MATERIALS TO SHARE FEEDBACK WITH US, IF YOU HAVE ANY, AND EVENTUALLY CONTINUE PROVIDING UPDATES USING THAT TEMPLATE TO WMWG ON A MONTHLY BASIS.
NOW, THE, THERE IS ONE ADDITIONAL TEMPLATE THAT WE HAVE BUILT HERE BETWEEN, UH, THOSE TWO CONVERSATIONS AND TODAY, AND THAT IS TO BE RESPONSIVE TO THE ADDITIONAL REQUEST THAT THE R AND M MADE.
AND I'LL, I'LL WANT IT TO SHARE WHAT THAT SLIDE DECK WILL LOOK LIKE.
UH, THIS, THIS IS SOMETHING WE INTEND TO INCLUDE IN THE R AND M UPDATES THAT WE DO, UH, ON A, UH, REGULARLY.
[03:35:01]
TWO CHARTS.ON YOUR LEFT IS A CHART THAT SHOWS TOTAL AS CAPACITY SHORTFALL THAT WAS COMPUTED USING PROTOCOL SECTION 6.7 0.3.
THIS IS ESSENTIALLY THE SECTION THAT GOT ADDED BY NPR 1149.
UM, AND NOW THERE ARE ASTERISK, THERE'S TWO MONTHS DATA, BUT IN JUNE IT'S REALLY JUST THREE DAYS WORTH OF DATA.
SO JUNE 28TH ONWARDS, AND IN JULY, THIS COVERS A PARTIAL MONTH UP TO JULY 25TH.
BUT ESSENTIALLY THERE ARE TWO DATA SETS THAT YOU'RE SEEING.
UH, UM, THE SOLID CHARTS ARE SHOWING YOU TOTAL, UH, UM, MEGAWATTS OF AS THAT WERE NOT PROVIDED, UH, IN THOSE, UH, IN THE, DURING THOSE DAYS THAT WE USE FOR TRACKING.
AND THE, AND THE SHADED REGIONS ARE CONVERTING THOSE MEGAWATT SHORTFALLS INTO A PERCENTAGE THAT IS COMPUTED BASED OFF OF THE TOTAL AS PROCURED DURING THE SAME TIMEFRAME, UH, ON THE RIGHT GRAPHIC, WE'VE HAD ALSO DONE AN ADDITIONAL COMPUTATION, WHICH ACCOUNTS FOR, UH, HOW MUCH, UH, ADDITIONAL AS CAPACITY WAS SHOT BECAUSE OF SOC FROM, UH, EA IF, UH, WELL, LET ME REPEAT THE, THEN THE GRAPH ON THE RIGHT SHOWS THE ADDITIONAL AS CAPACITY SHORTFALL THAT WOULD'VE OCCURRED IF SOC FROM E ESR CARRYING AS WAS ALSO CONSIDERED.
AND IT'S THE SIMILAR FLAVOR OF DATA YOU'RE SEEING, THE MEGAWATT TOTAL MEGAWATTS THAT WE WOULD BE SHOT AND CONVERTED IT INTO A PERCENTAGE AS WELL.
I'LL PAUSE, I'LL SEE IF THERE ARE ANY QUESTIONS.
SO IS THIS, THIS IS ACTUAL DATA? YES.
I'M JUST, WHY COME YOU ONLY PICK TWO DAY OR THREE DAYS FROM DATE? SO THE CONTEXT HERE IS NOW, THIS IS, UH, THE CALCULATION IS BUILT, UH, INTO OUR SYSTEMS USING 1149 AND 1149 WHEN DEFECTIVE ON 6, 6 28.
UM, SO AM I READING THESE CHARTS CORRECTLY? THAT THE MEGAWATT, UM, THE CAPACITY ON THE LEFT HAND Y AXIS THAT'S CUMULATIVE ACROSS THE MONTH? YES.
I WOULD'VE MORE QUESTIONS IF THAT WAS, IF THAT WAS AN AVERAGE.
UM, AND I, I'VE GONE THROUGH SOME OF THE, UH, THE MATERIALS THAT YOU'VE PRESENTED AT THE OTHER, UM, AT THE SUBCOMMITTEE AND WORKING GROUP.
UM, BUT ONE OF THE PIECES THAT I KNOW WAS, AND I MENTIONED THIS A LITTLE BIT EARLIER, BUT ONE, ONE OF THE PIECES THAT I THINK WE SAW A LOT OF VALUE IN, IN HELPING TO MONITOR, UM, PERFORMANCE IS REPORTING IN REAL TIME OF AGGREGATE STATE OF CHARGE, UH, ACROSS ALL OF THE, THE ENERGY STORAGE RESOURCES IN THE SYSTEM.
UM, YOU KNOW, WHILE I THINK THAT CAN BE PERHAPS INDICATIVE IF YOU DO SEE A LOT OF ANCILLARY SERVICES THAT ARE BEING CARRIED BY, UM, BY ESRS AND YOU SEE THE AGGREGATE COME DOWN, UM, BUT IT CAN ALSO JUST, UM, PROVIDE ADDITIONAL SITUATIONAL AWARENESS FOR, UH, FOR FOLKS IN THE MARKET.
AND I KNOW IT'S SOMETHING THAT THE, UH, THE
I'VE HEARD, UH, I'VE TAKEN A NOTE ON YOUR FEEDBACK.
WE'LL GO BACK AND SEE WHAT MECHANISM IS NEEDED TO SHARE THAT INFORMATION.
JULIANA, UH, THANK YOU JULIANA SIRON FOR OLIAN.
UM, I, I JUST WANTED TO MAKE A FEW COMMENTS REGARDING THE STATE OF CHARGE REPORTING.
UM, AND JUST TO BE CLEAR, THE COMMISSION NEVER INSTRUCTED ERCOT TO REPORT ON STATE OF CHARGE AT THE JANUARY OPEN MEETING.
DURING CONSIDERATION OF 1186, THE COMMISSION STATED THAT ERCOT SHOULD USE STATE OF CHARGE INFORMATION TO INFORM ITS STUDIES AND MODELS TO MAXIMIZE THE VALUE OF BATTERIES.
AND IF ERCOT SAW A TREND IN ESRS FAILING TO PERFORM DUE TO STATE OF CHARGE, THEN ERCOT SHOULD REPORT THE TREND TO THE COMMISSION ERM AND DICE.
UM, IN FACT, I, I'LL QUOTE COMMISSIONER GLO FELTY HERE IN, IN, IN MAKING THOSE STATEMENTS, HE SAID, THIS SHOULD NOT BE FOR ONE OR TWO MATTERS.
THIS SHOULD BE FOR THE SYSTEM OF BATTERIES THAT CREATES A PROBLEM.
UM, AND FOR VARIOUS REASONS, I DON'T THINK WE NEED TO HASH OUT HERE, BUT THE COMMISSION EXPRESSLY REJECTED AUTHORIZING ERCOT TO USE STATE OF CHARGE AS THE BASIS FOR DETERMINING WHETHER A BATTERY CAN MEET ITS ANCILLARY SERVICE RESPONSIBILITY.
YET FROM WHAT I'VE SEEN THUS FAR IN ERCOT PRESENTATIONS, ERCOT IS PROPOSING TO REPORT ON WHAT IT CONSIDERS TO BE INSUFFICIENT STATE OF CHARGE FOR OUR RESOURCE TO SATISFY ITS ANCILLARY SERVICE RESPONSIBILITY.
UM, YOU KNOW, WE KNOW THAT ERCOT DOESN'T HAVE THE AUTHORITY TO PENALIZE A BATTERY FOR WHAT IT CONSIDERS TO BE INSUFFICIENT STATE OF CHARGE, BUT THE INTENT BEHIND THE REPORTING SEEMS TO BE PRETTY CLEAR TO ME
[03:40:01]
TO USE STATE OF CHARGE AS THE BASIS FOR DETERMINING FUTURE CAPABILITY OF THE RESOURCE, IRRESPECTIVE OF ANY OTHER FACTORS AND VARIABLES.UM, YOU KNOW, AND I'LL JUST SAY WE'RE NOT OPPOSED TO HAVING SOME SORT OF REPORTING ON ANCILLARY SERVICE FAILURES TO PROVIDE OR PERFORM AT THE QSE LEVEL AND POTENTIALLY SOME SPECIFIC STATE OF CHARGE REPORTING REQUIREMENTS, INCLUDING AGGREGATE STATE OF CHARGE TO HELP MARKET PARTICIPANTS BETTER UNDERSTAND BATTERY OPERATIONS AND PARTICIPATION.
BUT, YOU KNOW, WE THINK THAT ERCO T'S PROPOSED REPORTING PROVIDES A VERY FRAGMENTARY VIEW OF BATTERY OPERATIONS WHILE PROVIDING LITTLE VALUE TO THE MARKET.
YEAH, CAITLIN? YEAH, I WANTED TO PICK UP ON THE AGGREGATED SOC, THE REQUEST FOR THE AGGREGATED OC UM, DASHBOARD.
THERE WAS SOMETHING PRESENTED TO THE BOARD AS WELL AS TO JUNE BOARD THAT, THAT DAN WOODFIN HAD IN THIS REPORT.
IT'S DIFFERENT THAN THIS REPORTING THAT WE'VE BEEN LOOKING AT AT WMS AND WMWG.
WHERE CAN WE GET MORE INFORMATION ON THAT OR DISCUSS THAT? DO YOU RECOLLECT THE CONTEXT OF THE SLIDE? IT WAS IN DAN WOODLAND'S OPERATION REPORT, AND IT WAS, IT WAS HARD TO, IT WAS HARD TO SEE.
IT WAS JUST KIND OF A SCREENSHOT OF AGGREGATE SOC AND THERE WAS NOT A LOT OF INFORMATION ON WHEN IT MIGHT BE DEPLOYED.
AND I THINK THIS IS PROBABLY NOT A QUESTION FOR YOU NIKA, BUT AT SOME POINT I'D LIKE TO HAVE A DISCUSSION ABOUT THE, THE NEW INFORMATION THAT WE'RE PUTTING ON THE ERCOT WEBSITE.
IT, IT KIND OF JUST CAME UP IN THIS FOUR CP DISCUSSION IF, IF WE'RE GOING TO BE INTRODUCING NEW REPORTS AND NEW DASHBOARDS.
I, I BELIEVE THAT THAT WAS A RECENT POSTERIOR CHANGE THAT IT DIDN'T HAVE TO GO THROUGH A REVISION REQUEST PROCESS.
I THINK IT USED TO HAVE TO, BUT I THINK IT WOULD BE GOOD TO GO THROUGH SOME KIND OF REVIEW PROCESS HERE SO THAT EVERYBODY'S AWARE OF WHAT DATA'S OUT THERE.
I THINK THAT FOUR CP DISCUSSION JUST DEMONSTRATED NOT, NOT EVERYBODY KNOWS WHAT, WHAT DATA THERE IS TO LOOK AT.
UM, AND SO, SO THAT IS A, A THING I WANTED TO FLAG IS IT WAS IN, I BELIEVE IN WOODLAND'S REPORT TO THE JUNE BOARD.
THERE WAS SOME REPORTS I RECOLLECT DAN MADE, WHICH WAS MORE SO OF DASHBOARDS WE ADDED INTERNALLY FOR OUR CONTROL ROOM.
IT MIGHT HAVE BEEN THAT IN THE NEXT ROOM.
BUT MY UNDERSTANDING WAS HE KIND OF PRESENTED IT TO THE BOARD AS THIS IS A, AND I DON'T KNOW IF THE BOARD HAS SPECIAL ACCESS TO DASHBOARDS, BUT IT SOUNDED LIKE THIS IS SOMETHING YOU'LL SEE IN THE FUTURE WHEN WE HAVE TIME TO IMPLEMENT IT.
I THINK I, I WORKED WITH MATT ON THIS ONE 'CAUSE THIS IS MORE SO ABOUT, THERE'S MORE A SYSTEMIC WAY OF SETTING UP A PROCESS AROUND DASHBOARDS AND HOW DO WE BRING UP DATA EX.
AND I SEE A BUNCH OF PEOPLE FROM ERCOT, BUT THAT'S, THAT'S MAYBE SOMETHING TO, TO TAKE UP.
I, I BELIEVE IT USED TO HAVE TO GO THROUGH REVISION REQUESTS OR A REVISION REQUEST PROCESS IF WE WERE INTRODUCING A NEW DASHBOARD.
BUT I BELIEVE THAT WAS CHANGED.
BUT I'D LIKE TO SEE SOME KIND OF UNDERSTOOD DISCUSSION FOR AWARENESS.
JEFF? YEAH, I JUST WANTED TO RESPOND TO JULIANA.
I, I, I THINK THAT, UM, I DON'T WANNA GET INTO, YOU KNOW, HE SAID, SHE SAID THAT THE, YOU KNOW, DURING THE DISCUSSIONS, BUT I, I THINK DURING 1186, YOU, YOU KNOW, WE, WE CERTAINLY COMMUNICATED THAT WE HAD SOME CONCERNS ABOUT, YOU KNOW, WHAT, WHAT IF THERE'S NOT ENOUGH, UM, STATE OF CHARGE, UH, TO, TO MEET THE ANCILLARY SERVICES OBLIGATION.
UH, AND SO I THINK WE'VE, WE FEEL LIKE, UH, THAT IS SOMETHING THAT WE WANT TO TRACK AND WE WANT TO BE TRANSPARENT ABOUT HOW WE'RE LOOKING AT THAT.
UM, AND, AND SO I THINK THAT'S, THAT'S THE INTENT HERE IS, IS REALLY, UH, WE'RE, WE'RE, WE'RE TRYING TO BE TRANSPARENT IN, IN HOW WE'RE EVALUATING THAT AND PROVIDE THAT INFORMATION.
JENNIFER? YEAH, JENNIFER SCHMIDT RHYTHM.
SO OUR CUSTOMERS ARE SPENDING A LOT OF MONEY ON, THROUGH PRODUCTS LIKE ECRS AND ANCILLARY SERVICES AND HAVING STATE OF CHARGE BE TRACKABLE TO MAKE SURE THAT THEY'RE GETTING THE VALUE FOR THEIR SERVICES IS TREMENDOUSLY IMPORTANT.
UM, I ALSO WON'T GET INTO, HE SAID, SHE SAID, BUT I THOUGHT IT WAS PRETTY CLEAR THAT STATE OF CHARGE WASN'T EXPECTED, UM, EVEN OBLIGATION FOR TAC TO UNDERSTAND AND BE MAKING SURE THAT WE'RE FOLLOWING IT AND MAKING MODIFICATIONS TO, UH, MARKET RULES AS NECESSARY IN ORDER TO MAKE SURE THAT THOSE ANCILLARY SERVICES ARE PERFORMING.
SO I THINK IT'S VERY IMPORTANT
[03:45:01]
THAT WE HAVE TRANSPARENCY INTO THE DATA.WE ARE GETTING INTO A WORLD THAT IS MORE GRANULAR, NOT LESS GRANULAR.
SO THE IDEA THAT WE WOULD ONLY SEE AGGREGATE NUMBERS, UM, I THINK IS, IS CONCERNING WHEN WE'RE TRYING TO GET MORE GRANULAR WITH I BS AND DISTRIBUTED GENERATION AND DISTRIBUTED RESOURCES IN GENERAL.
UM, NOT ON THE TOPIC OF STATE OF CHARGE, BUT SINCE KAITLYN RAISED THE WEBSITE ISSUE, I WANTED TO REMIND FOLKS THAT WE'VE HAD TABLED AT PRS AND SER FILED BY, UM, RESIDENTIAL CONSUMERS, AND ANOTHER ONE FILED BY AIS ABOUT ADDING DATA, UM, TO THE ERCOT WEBSITE.
UM, AND ERCOT RESPONSE TO THAT AND OTHER TOPICS WAS TO SAY THAT, UM, THERE'S NOT A STAKEHOLDER REVIEW PROCESS FOR THE ERCOT WEBSITE.
AS CAITLYN MENTIONED, THERE USED TO BE, UM, IF PEOPLE REMEMBER, WE USED TO HAVE A CONCEPT CALLED THE PUBLIC MIS AND THE PROTOCOLS REQUIRE THAT EVERYTHING THAT, UM, WAS ON THE PUBLIC MIS WAS SOMETHING THAT WAS SPECIFICALLY CALLED FOR THE PROTOCOLS.
UM, THAT CHANGED WHEN WE ADDED THE CONCEPT OF ERCOT WEBSITE TO THE PROTOCOLS.
I DON'T KNOW IF WE NECESSARILY WENT INTO THAT WITH EYES WIDE OPEN AS TO WHAT THAT WOULD LEAD TO.
UM, I DO THINK THAT, YOU KNOW, STAKEHOLDERS MIGHT WANNA TALK ABOUT THAT TOPIC, UM, AND, UM, AND GO ONE WAY OR THE OTHER, NOT WITH INTENTION, RATHER THAN IT BEING SOMETHING THAT HAS HAPPENED, UM, WITH, WITHOUT, YOU KNOW, MAYBE FULL AWARENESS.
SO THAT'S JUST A TOPIC THAT I'M, I'M RAISING FOR, FOR THAT SINCE IT CAME UP IN THE DISCUSSION.
BILL BARNES, JUST KINDA SIMILAR THEME OF JENNIFER.
UM, WHEN TECH FIRST PASSED 1186, WHICH INCLUDED THE PERFORMANCE PENALTIES, UM, WHICH WAS ADMITTEDLY MANY SLEEPS AGO, I WAS ASKED BY THE TAC CHAIR TO BE THE TECH ADVOCATE FOR THE TAC POSITION.
I SURVEYED, UH, THE VAST MAJORITY OF THE TECH MEMBERSHIP, UH, WHOEVER I COULD GET A AHOLD OF FOR THE BOARD, I WAS, I WAS VICE CHAIR THEN, OH, SORRY, VICE CHAIR
UM, AND I DO RECALL, UM, SOME CONCERNS BEING EXPRESSED BY TECH MEMBERS ABOUT THE OPERATIONAL IMPACTS OF SIGNIFICANT AMOUNT OF ESRS PROVIDING ANCILLARIES AND NOT HAVING SUFFICIENT STATE OF CHARGE TO ACTUALLY DELIVER THE PRODUCT THEY'RE BEING PAID FOR IN TERMS OF MORE SMS RUCKING RESOURCES.
AND SO I KNOW AT LEAST ONE PART OF THE DESIRE TO SEE THE REPORTING IS TO TRY TO UNDERSTAND IF WE'RE GETTING TO A POINT WHERE WE ERCOT MAY HAVE TO MAKE OPERATIONAL CHANGES THAT WILL INCUR EVEN ADDITIONAL COSTS FOR CONSUMERS AS A RESULT OF THIS.
NOW THIS REPORT HERE LOOKS PRETTY PROMISING.
THAT'S A VERY SMALL PERCENTAGE.
SO HOPEFULLY THAT TREND CONTINUES, BUT IT JUST KIND OF SHOWS YOU THE IMPORTANCE OF THIS INFORMATION.
I, YOU KNOW, I'M NOT GONNA RE-LITIGATE 1186 AND, AND YOU DID A REALLY GREAT JOB AS TECH ADVOCATE BILL, BUT IF, IF WE'RE SHOWING INFORMATION TO, TO CONSUMERS, WHICH, WHICH I FULLY UNDERSTAND, JENNIFER, I I DO WANNA MAKE SURE WE'RE DOING APPLES TO APPLES.
YOU KNOW, I, I UNDERSTAND WANTING TO GET WHAT YOU PAY FOR.
UM, BUT, BUT RIGHT BAT BATTERIES ARE ONLINE INSTANTANEOUSLY RIGHT THERE, THERE ARE SOME PROVIDERS OF ECRS AS IS ALLOWED WHO, WHO TAKE THE 10 MINUTES, BUT WE'RE NOT GETTING THE, THE 10 MINUTES TO CHARGE UP OR ANYTHING.
UM, AND THEN WHEN WE'RE LOOKING AT THESE CHARTS, I WANNA MAKE SURE, YOU KNOW, WHAT WE'RE QUALIFYING AS A FAILURE OR, OR A SHORTFALL IS, IS APPLES TO APPLES, RIGHT? IF WE'RE USING QSCS FOR ONE TYPE OF TECHNOLOGY, LET'S MAKE SURE WE'RE USING THAT FOR ALL TYPES OF TECHNOLOGY.
AND SO I JUST WANNA MAKE SURE THAT INFORMATION IS, IS CLEAR AND NOT MISLEADING IF WE'RE GONNA PUT IT OUT THERE FOR, FOR PEOPLE'S CUSTOMERS TO SEE.
MAYBE ONLY ONE THING I'LL SAY IS THE CHART ON YOUR LEFT IS ANY SHORTFALL ACROSS THE QC, SO IT CAN BE ANY PORTFOLIO TYPE.
HEY, COLIN, I THINK YOU MISSED ME REAL, REAL QUICK.
ON THAT CHART RIGHT HERE, ON THE RIGHT
[03:50:01]
HAND SIDE, IT SAYS PERCENTAGE, I ASSUME THE TOP IS A HUNDRED PERCENT, AND SO WE'RE 10% SHORT, NOT 0.1% SHORT, RIGHT? NO, IT'S 1%.SO ON THE FAR RIGHT SIDE, OVERALL SHORTFALL IS 0.1%.
[15. Other Business]
BUSINESS? WE, AS I SAID, WE'RE, WE ADDED TWO ITEMS HERE.UM, BUT WE'LL TAKE THESE UP IN ORDER.
SO FIRST IS THE TECH REPRESENTATIVES, UM, AT ANNUAL MEMBERSHIP MEETING.
I IBEL, I DON'T BELIEVE ANYONE FROM ERCOT IS, NEEDS TO SPEAK ABOUT THIS.
WE BROUGHT THIS HERE BEFORE THIS, REMEMBER WE ARE, WE HAVE THE ANNUAL MEMBERS MEETING DECEMBER 2ND OR DECEMBER 3RD, SECOND, SECOND AFTER THE DECEMBER BOARD MEETING.
UM, IDEALLY, YOU KNOW, WE WOULD HAVE A MEMBER SPEAK.
I THINK WE HAVE SOME LEEWAY THERE, BUT I, I THINK MOST, MOST, IDEALLY IT WOULD BE ONE MEMBER FOR 10 OR 15 MINUTES.
UM, AND THEN AS WELL AS KIND OF TAKING VOLUNTEERS FOR THIS YEAR, I GUESS WE JUST WANTED SOME IDEAS AROUND A PROCESS SO WE CAN ALTERNATE SEGMENTS OR VARIETY OF SEGMENTS OR VARIETY OF VIEWPOINTS YEAR TO YEAR.
AND SO IF ANYONE HAS IDEAS, BRIAN, BRIAN, YOU, YOU GOT TO DO IT LAST YEAR AS VICE CHAIR, RIGHT? SO LAST YEAR CLIFF AND I BOTH DID THAT.
WE HAD TWO SPEAKERS, BUT I THINK WE WERE, YOU KNOW, WE, WE SPOKE TOO MUCH.
I THINK COLIN IS VERY EFFICIENT WITH HIS WORDS.
SO THE, THE PROCESS EVERY YEAR COULD BE LEADERSHIP, BUT THEN, YOU KNOW, NEXT YEAR IF WE HAVE A REPEAT, THEN I THINK IT HAS TO BE YOU.
UM, OR, YOU KNOW, I, I DON'T COL COLIN WILL DO IT.
HE HAS SAID HE WILL DO IT IF NO ONE ELSE WANTS TO.
WELL, WHAT ABOUT SHORT? I'M GONNA, I'M GONNA GET WHITMEYER TO HELP ME OUT.
WELL, WE'LL HAVE THIS TO MUSIC.
I LOVE TO SEE THE, THE AI INTRO SONG THAT I, I'D NOMINATE YOU.
AND THEN DO YOU WANNA GO ANY FURTHER IN THINKING ABOUT HOW WE WOULD ALTERNATE THAT YEAR TO YEAR? WE WOULD JUST, YOU KNOW, MOVE TO WMS LEADERSHIP IF, YEAH, WE'LL JUST SEE WHO FUTURE VICE CHAIRS ARE.
UM, MY THOUGHT IS ELECT LEADERSHIP TO REPRESENT THEM.
UM, IF WE CAN'T TRUST YOU GUYS TO SPEAK AT THE ANNUAL MEETING, I'M NOT SURE WHAT WE'RE DOING THE OTHER 12 MEETINGS OF THE YEAR, I DON'T KNOW IF IT'S THAT I, BUT WE'RE ADDING WORK TO COLIN AND I THINK IT'S, YOU KNOW, MAKING SURE WE GET A VARIETY OF VIEWPOINTS AND IF THERE'S OTHER PEOPLE WHO WANT TO BE HEARD, BECAUSE WE DO GET TO SPEAK ALL YEAR, YOU KNOW, HOPEFULLY THE TRUST IS IMPLICIT, BUT I THINK IT'S ALSO GIVING OTHER PEOPLE A VOICE IF THEY WANT TO.
BILL, DO WE GET TO DECIDE ON WHAT COLIN TALKS ABOUT? THAT WOULD BE LIKE A FUN INSIDE JOKE FOR US.
ALL RIGHT, I THINK WE CAN MOVE ON.
UM, SO AT THE OPEN MEETING, CHAIRMAN GLEASON, I THINK ASKED EVERYBODY IN ATTENDANCE AND WATCHING, UH, TO THINK OF IMPROVEMENTS TO THE STAKEHOLDER PROCESS.
UM, YOU KNOW, MY MY UNDERSTANDING IS WE'VE HAD SOME REVISION REQUESTS THAT ARE PARTICULARLY IMPACTFUL TO CERTAIN SEGMENTS.
UM, AND SO WE WILL GET MAYBE ATTACK MAJORITY THAT WILL GO TO THE BOARD, BUT THEN THE, THE, YOU KNOW, IMPACTED PARTIES CONTINUE TO HAVE A POSITION AFTER THAT AND NEW INFORMATION MIGHT GET INTRODUCED.
I ALSO THINK THAT THIS WAS SORT OF SHOWCASED EARLIER IN THE C-D-R-N-P-R-R, FOR EXAMPLE.
UM, I DON'T THINK COLIN AND I HAD ANY IDEA THAT THAT WAS GONNA BE AS DEBATED AND CONTESTED AS IT WAS TODAY AT, AT PRS.
THERE WAS NOT A LOT OF SUBSTANTIVE DISCUSSION AROUND IT, IS MY UNDERSTANDING.
WE DIDN'T SEE ANY COMMENTS FILED.
UM, THERE WERE A FEW POINTS RAISED ABOUT THINGS THAT, YOU KNOW, DO NEED TO BE DISCUSSED WITH THE PUC, THE RELIABILITY STANDARD.
AND SO I THINK THAT'S A GOOD EXAMPLE OF WHAT WE'RE TALKING ABOUT IN TRYING TO GET AHEAD OF.
UM, SO I THINK IT'S PROBABLY A
[03:55:01]
GOOD PLACE TO START IS IDEAS WHERE WE CAN ALL BE INFORMED A LITTLE BIT EARLIER.UM, AND SOME OF THAT CAN BE IN WRITING, LIKE IF SOME PEOPLE DO FEEL REALLY STRONGLY ABOUT THOSE THINGS, MAYBE WE CAN SEE THAT IN COMMENTS.
UM, BUT I, I THINK I WAS LOOKING FOR FEEDBACK ON HOW TO GET THAT FEEDBACK.
UM, I DON'T KNOW IF THE, I THINK THE PUC MAYBE ALLUDED TO A WORKSHOP, BUT WE COULD HAVE A WORKSHOP HERE OR HAVE A DIFFERENT FORUM FOR KIND OF STAKEHOLDERS COALESCING AROUND SOME FEEDBACK.
BRIAN, I'M HAPPY TO HAVE A WORKSHOP ON THIS TOPIC.
UM, BUT I STILL DON'T UNDERSTAND THE PROBLEM, LIKE THE PROB I JUST, IF WE COULD START WITH A PROBLEM STATEMENT.
I THINK, YOU KNOW, I THINK THE PROBLEM IS GETTING MORE INFORMATION AFTER WE SEE THINGS AT TECH AND THE BOARD.
YOU MEAN BECAUSE PARTIES AREN'T FOLLOWING THE PROCESS, FILING COMMENTS AND USING THIS PROCESS? I DID NOT SAY THAT.
I THINK IF I'M, IF I CAN JUMP IN
SO I, I DID ALLUDE TO THIS IN THE DISCUSSION ON 12, UH, 1219.
I THINK WE HAD SOME SUBSTANCE OF DISCUSSION HERE TODAY, ATTACK THAT SHOULD HAVE BEEN HAPPENING AT WMS. AND TO BILL'S POINT, WE DIDN'T HAVE ANY COMMENTS IN, IN THE RECORDS.
IF WE'RE NOT LOOKING AT WMS, WE'RE NOT FOLLOWING SAWG AND WE'RE GONNA MISS THAT, AND THEN WE'RE GONNA PASS IT ON TO THE BOARD AND THEN PEOPLE FEEL LIKE THEY HAVEN'T BEEN HEARD BECAUSE THEY'RE NOT TAKING PART OF THE PROCESS.
SO IT'S INCUMBENT UPON US AS TACK TO REALLY TELL OUR SUBCOMMITTEES AND OUR WORKING GROUPS TO, UH, MAYBE STEP UP THEIR GAME AND START FILING THINGS SO WE CAN GET THINGS IN THE RECORD SO THEY CAN BE, UH, PART OF THAT.
'CAUSE I THINK WE'VE HEARD FROM BOTH THE BOARD AND THE COMMISSION THAT THEY WANNA SEE THINGS FROM US, UM, BECAUSE THEY DON'T WATCH ALL OF OUR MEETINGS.
THEY'RE NOT, YOU KNOW, TUNED IN ALL THE TIME.
SO YEAH, HAVING THINGS ON THE RECORD IS GONNA BE IMPORTANT, I THINK IS GONNA ADD TO THE CREDIBILITY OF TAC IF WE CAN HAVE THE STAKEHOLDER PROCESS BE JUST A LITTLE BIT MORE FORMAL, A LITTLE BIT, RAISE THE BAR A LITTLE BIT SO WE CAN HAVE FOLKS, UM, RAISE ISSUES AND VET THEM OUT EFFECTIVELY.
I THINK MY BIGGEST CONCERN IS SEEING THINGS MOVE THROUGH AND THEN PEOPLE DOING THE N AROUND AND GOING TO COMMISSIONERS AND, UH, RAISING ISSUES THAT SHOULD HAVE BEEN RAISED HERE AND, AND BASICALLY CHANGING MINDS UP THERE AND THEN MAKING US LOOK LIKE WE DIDN'T DO OUR JOB.
I THINK THAT'S WHERE I'M SEEING THE, THE BIGGEST RISK AND THE BIGGEST, UH, CHALLENGE FOR US IS TA.
I DON'T WANNA PUT IT ON OUR, I THINK OUR SUBCOMMITTEES ARE DOING A, A REALLY GOOD JOB.
UM, YOU KNOW, AS YOU POINTED OUT ON THE NPR TODAY, THERE, THERE WERE NO COMMENTS ON IT.
I DON'T THINK THAT PRS HAD THE KIND OF SUBSTANTIVE DISCUSSION WE HAD HERE TODAY.
AND SO WHEN I, YOU KNOW, PREPPED COMMISSIONERS AND STAFF FOR THIS TAC MEETING, I, I DIDN'T TELL THEM ANY OF THAT WAS COMING.
AND SO, AND THERE WERE ARGUMENTS RAISED THAT WERE ABOUT THE COMMISSION PROCEEDING.
AND SO I, BUT I CAN'T KNOW ABOUT THAT IF THAT'S NOT DISCUSSED AT, AT PRS OR IF SOMEBODY THAT FEELS STRONGLY ABOUT IT DOESN'T PUT IT IN WRITTEN COMMENTS.
I JUST REALLY WANTED, IT MAY BE A MINOR POINT OF REBUTTAL TO THE PREVIOUS SPEAKER.
UH, I, I DON'T THINK THE PHRASE AROUND OUR, BEHIND OUR BACKS IS AN APPROPRIATE ONE.
THIS WHOLE PROCESS FROM ERCOT TO THE PUC TO LEGISLATURE DEPENDS ON FEEDBACK.
DO WE NEED TO GET MORE TRANSPARENT IN WHAT TERMS OF COMMITTEES AND SUBCOMMITTEES DO? YES, BUT TO SAY THAT SOMEONE SHOULD JUST SHUT UP AND NOT SAY ANYTHING TO THE COMMISSIONERS AFTER DECISIONS HAVE BEEN MADE AT ERCOT, UH, WHICH IS KIND OF WHAT I IMPLIED FROM THAT IS DEAD WRONG.
THERE ALWAYS SHOULD BE FEEDBACK FROM EVERYBODY TO EVERY, FROM EVERY MARKET PARTICIPANT TO THE COMMISSIONERS IF THEY SO CHOOSE.
THEY CAN DISAGREE, THEY CAN DISPUTE, BUT, YOU KNOW, IT'S JUST, WE HAVE TO ACCEPT THAT THERE'S GONNA BE THESE FEEDBACK LOOPS BECAUSE THAT'S WHAT MAKES OUR MARKET SUCCESSFUL IN THE LONG TERM, UH, IS THE FACT THAT THERE IS THAT ROBUST DEBATE.
AND SOMETIMES IT, UH, IT GOES IN DIFFERENT FORUMS. SO I, I THINK WE NEED TO MAKE SURE THAT THEY UNDERSTAND WHY THE COMMITTEES DID THE WAY THEY CHOSE TO DO OR THE BOARD HAS DONE.
BUT YOU HAVE TO ALSO ANTICIPATE PEOPLE ARE ALWAYS GONNA GO TO THE COMMISSIONERS ON A DECISION THAT THEY DON'T LIKE.
IT HAS JUST BEEN PART OF THE PROCESS AND IT'S GONNA CONTINUE TO BE.
I, I DON'T DISAGREE WITH THAT, ERIC, BUT YOU KNOW, THERE, THERE'S TWO LEVELS ABOVE US MADE OUT OF DIFFERENT BODIES AT THE, THE BOARD AND THE PC, AND THEY ARE EXPRESSING
[04:00:01]
FRUSTRATION WITH THIS.SO, SO I DON'T DISAGREE WITH YOU, BUT I THINK, YOU KNOW, THE, THE PEOPLE ABOVE US IN THE PROCESS HAVE BEEN EXPRESSING FRUSTRATION WITH HOW THE PROCESS IS WORKING.
KAYLA, COULD I JUST RESPOND TO ONE LITTLE THING? PLEASE DO.
I WASN'T ASSERTING THAT WE NEED TO SHUT UP, UP.
I'M ASSERTING WE NEED TO SPEAK UP.
I THINK THIS IS THE PLACE TO DO THAT.
I NEED TO LEARN HOW TO WORK THE MICROPHONE, I GUESS.
UM, I AGREE WITH EVERYTHING DAVID SAID.
UM, THE ONLY CAVEAT I WILL SAY IS I DO LIKE THAT WE WILL STILL HAVE A DISCUSSION HERE.
UM, UH, WE, WE CAN'T JUST, OH, WELL, YOU KNOW, WE USED TO, BACK IN THE OLD DAYS, UH, FLOYD RENEY USED TO SAY, WELL, A WHOLE LOT OF SMART PEOPLE GOT IN A ROOM AND TALKED ABOUT THIS AND WE SHOULDN'T GO CHANGING IT NOW.
UM, BUT WE USED TO, WE, WE NEED TO STILL HAVE THESE KIND OF DISCUSSIONS HERE WHEN WE, WHEN WE NEED TO.
BUT I AGREE, IT ALL NEEDS TO GET OUT ON THE TABLE IN THE WORKING GROUPS SO THEY CAN BE AS EFFECTIVE AS THEY CAN.
DAVID, DID YOU HAVE ANOTHER POINT? OKAY, BRIAN.
SO DO YOU, WHAT, WHAT DO YOU THINK ABOUT, I'M, I'M LOOKING AT BRIAN, BUT EVERYBODY ABOUT
WOULD YOU WANT TO DO, I THINK THEY TALKED ABOUT MAYBE A COMMISSION LED WORKSHOP, BUT WOULD WE WANNA GET TOGETHER SOME STAKEHOLDER FEEDBACK BEFORE WE COULD DEVOTE AN HOUR OF ATTACK MEETING OR SOMETHING TO IT? THAT, THAT SOUNDS GREAT TO ME.
I MEAN, UM, I I GUESS WHILE WE'RE TALKING ABOUT LIKE HAVING AN OPPORTUNITY TO, UH, BE HEARD, LIKE I, I'LL JUST, I'LL SHARE A PERSONAL ANECDOTE.
UH, WHEN WE WERE, UM, COMING UP WITH A WEATHERIZATION STANDARD, UM, YOU KNOW, THERE WAS JUST A VERY SHORT AMOUNT OF TIME BETWEEN WHEN, UH, A COMMISSION, UH, STAFF MEMO CAME OUT AND WHEN WE HAD A CHANCE TO DIGEST IT AND WHEN THE COMMISSION WAS GONNA, YOU KNOW, UH, UH, ADOPT THE STANDARD.
AND UH, AND THERE WAS LIKE A, AFTER THAT I THINK THE COMMISSION SAID, WELL, YOU HAVEN'T GIVEN ENOUGH ENOUGH TIME TO, TO REALLY, YOU KNOW, UNDERSTAND THIS ISSUE AND YOU NEED TO HAVE A SEVEN DAY LAYOUT, YOU KNOW, FROM, FROM WHEN EVERYTHING IS CONSIDERED BY THE COMMISSION.
I, I GUESS I WOULD LIKE TO HAVE THAT AS PART OF THE DISCUSSION.
AND I'M SORRY I HAVEN'T TALKED TO THE COMMISSION, COMMISSION STAFF ABOUT THIS, BUT IT IS SORT OF ALL PART OF THE SAME PROCESS FROM WHEN SOMETHING GOES FROM THE BOARD TO, UH, FINAL COMMISSIONER CONSIDERATION.
'CAUSE IF I'M THE COMMISSION, I KIND OF WANT TO HAVE THE, THE WHOLE, YOU KNOW, DISCUSSION IN FRONT OF ME, UM, WHERE PEOPLE AREN'T TRYING TO COME IN AT THE LAST MINUTE, PRESENT NEW, NEW THINGS.
YOU WANT TO HAVE ALL OF THE DISCUSSION AND ALL OF THE, UH, POLICY POINTS MADE PRIOR TO THEN.
SO A PROCESS THAT ALLOWS FOR THAT I THINK IS SOMETHING THAT I, I WOULD HOPE THE COMMISSION WOULD APPRECIATE.
AND WE, WE SAW THAT WITH, YOU KNOW, 1224, LIKE THE TIMELINE FOR, UM, WHEN THERE WERE ADDITIONAL FILINGS MADE, DIDN'T COMPORT WITH THAT KIND OF, YOU KNOW, SEVEN DAY, UM, PERIOD.
DOES THAT SOUND GOOD? AND WE COULD TALK TO MAKE SURE THAT WORKS FOR COMMISSION STAFF.
I THINK THEY COULD STILL HAVE A WORKSHOP, BUT WE COULD USE THAT TO GET SOME TAC MEMBER FEEDBACK.
'CAUSE I THINK, YOU KNOW, EVERYBODY GOING HOME AND LIKE WRITING DOWN IDEAS WITHOUT DISCUSSION, I DON'T KNOW HOW HELPFUL THAT WOULD BE.
DOES THAT WORK FOR YOU, COLIN? YEP.
SO NOW WE ARE ONTO THE UPDATE ON NOUR 2 45.
I SEE ANDY APPROACHING, THANKS.
ALRIGHT, THIS SHOULDN'T TAKE VERY LONG, WHICH IS GOOD 'CAUSE IT'S 5 0 5.
UM, QUICK UPDATE ON THE STATUS OF NOGA 2 45.
UM, YOU KNOW, PRIOR TO JUNE 17TH, UM, THE R AND M COMMITTEE MEETING, UH, THE JOINT, WHAT WE'VE COME TO CALL THE JOINT COMMENTERS, HAD FILED SOME COMMENTS OPPOSED TO THE TAC RECOMMENDED VERSION OF NOGA 2 45.
AND THEY INFORMED ERCOT OF THEIR INTENT TO APPEAL THAT
[04:05:01]
TAC RECOMMENDED VERSION IF THE BOARD OF DIRECTORS APPROVED IT.AND IF IT WAS SENT ON TO THE PUC FOR APPROVAL.
THE CONCERN WAS THAT THAT APPEAL WAS GONNA DELAY THE IMMEDIATE BENEFITS TO SYSTEM RELIABILITY THAT NORE 2 45 PROVIDES.
SO ON THE 16TH OF JUNE, ERCOT FILED COMMENTS REQUESTING THE R AND M COMMITTEE TO TABLE THE NORE UNTIL A SPECIAL MEETING, OR THE REGULARLY SCHEDULED AUGUST BOARD MEETINGS TO ALLOW BIFURCATING THE EXEMPTIONS PROCESS AND ALLOWING OTHER CLARIFICATIONS TO ACCOMMODATE THE CONCERNS THAT THE JOINT COMMENTERS HAD RAISED TO THE TAC RECOMMENDED VERSION ON JUNE 18TH, THE BOARD TABLED 2 45 BASED ON THOSE COMMENTS.
SO SINCE THAT TIME, WE'VE BEEN WORKING WITH THE JOINT COMMENTERS ON THE REVISIONS TO NOGA 2 45.
THE GOAL IS TO RETAIN THE NEAR TERM BENEFITS OF THE VERSION THE TAC APPROVED, UM, WHICH WOULD BE TO, YOU KNOW, UH, ALLOW BETTER SYSTEM RELIABILITY THROUGH, UH, IMPROVEMENTS MADE, UH, THROUGH SOFTWARE, FIRMWARE, PARAMETERIZATION, ET CETERA, UH, MODIFICATIONS.
AND THEN THE IDEA WAS, IS TO BIFURCATE THE EXEMPTION PROCESS, RIGHT? AND YOU MAY REMEMBER THERE WAS A LOT OF DISCUSSION ABOUT AN EXEMPTION PROCESS FOR UNITS THAT CAN'T MEET THE NEW STANDARDS.
UM, AND SO, UH, MUCH OF THE CHANGES WE'VE BEEN WORKING ON THAT INVOLVED THAT BIFURCATION.
AND THEN THERE WAS JUST SOME THINGS THAT NEEDED TO BE CLARIFIED, REMOVED, REDUNDANCY AND CORRECT ERRORS.
UM, AS EVERYBODY KNOWS, THERE'S BEEN FLURRIES OF FILINGS, UM, ON NOGA 2 45, MANY OF THEM AT THE LAST MINUTE.
AND, UH, THERE, THERE WERE SOME THINGS THAT WERE CHANGED ON THE FLY.
AND WHEN WE HAD TIME, THE DUST SETTLED AND WE WENT BACK AND LOOKED AT IT.
WE SAW LIKE THERE WERE SOME THINGS WHERE THERE WERE JUST LITERALLY LIKE TYPOS, UM, THAT NEEDED FIXING.
SO, UH, WE WERE GONNA FIX ALL THAT STUFF.
UM, ERCOT ISS GONNA FILE COMMENTS THAT IDENTIFY THE SPECIFIC REASONS FOR ALL OF THE CHANGES.
SO THE GOAL IS BEFORE THE AUGUST BOARD MEETING, WE'RE GONNA FILE COMMENTS, AND IN THE MARGINS WE'RE GONNA SAY, YOU KNOW, THIS FALLS INTO THE CLARIFICATION BUCKET.
THIS FALLS INTO THE CORRECTION BUCKET, YOU KNOW, ET CETERA.
SO YOU'LL KNOW EXACTLY WHY ALL OF THE CHANGES WERE MADE BECAUSE FRANKLY WE DON'T TAKE LIGHTLY MESSING WITH SOMETHING TACK ALREADY RECOMMENDED, RIGHT? SO IT WAS THIS, MY UNDERSTANDING IS THIS IS A PRETTY RARE OCCASION WHERE SOMETHING LIKE THIS HAPPENS.
UM, AND THEN WE'RE GONNA RECOMMEND TO THE ERCOT BOARD THAT THIS SUBSEQUENT NOER TO WORK ON THIS EXEMPTION PROCESS BE GIVEN, UM, PRIORITY BY THE BOARD SO THAT WE CAN HAVE IT BECOME EFFECTIVE NO LATER THAN APRIL 1ST, 2025, WHICH WOULD COINCIDE WITH THE DEADLINE FOR SUBMITTING EXEMPTION REQUESTS UNDER THE APPROVED OR THE RECOMMENDED VERSION OF, OF NOGA 2 45.
SO, UM, THE IDEA WOULD BE WE WOULD ACTUALLY HAVE THOSE EXEMPTION CRITERIA IN PLACE WHEN ERCOT STARTED CONSIDERING EXEMPTIONS AFTER APRIL 1ST, 2025.
SO THE NEXT STEPS, UM, ON EIGHT 19, THE R AND M COMMITTEE IS GONNA DISCUSS, UH, WHERE WE ARE WITH DOVER 2 45 AND ON EIGHT 20, UM, WE'RE GONNA ASK THE BOARD TO CONSIDER APPROVAL.
UM, AND ERCOT ISS GONNA PRESENT THE RESULTS OF THE REQUEST FOR INFORMATION ASSOCIATED WITH THE MARKET NOTICES REFERENCED THERE, UH, WHERE, WHERE, UM, ERCOT ASKED IBR OWNERS TO MAXIMIZE THEIR, UH, RIDE THROUGH CAPABILITIES ON A VOLUNTARY BASIS BASED ON THE NERC RECOMMENDATIONS.
UM, AND AFTER THE PUC APPROVAL OF NOER 2 45, ASSUMING IT HAPPENS, UM, WE THEN WE'RE BEGIN WORKING ON THAT NEW NOER TO DEVELOP THE EXEMPTION CRITERIA AS SOON AS POSSIBLE.
AND ACTUALLY THAT'S NOT ENTIRELY ACCURATE 'CAUSE WE'VE KIND OF ALREADY STARTED, UM, PUTTING TOGETHER THE THOUGHTS AND, AND THE THINGS THAT, THAT WERE THE ORIGINAL VERSION OF NOGA 2 45 TO PUT INTO A SUBSEQUENT NOGA.
SO WE'RE NOT JUST SITTING ON OUR LAURELS WAITING, WE'RE, WE'RE ACTUALLY STARTING TO WORK ON IT.
AND WITH THAT, THAT'S ALL I'VE GOT.
ANDY, CAN WE GO BACK TO YOUR, SORRY, CAN WE GO THE SLIDE BACK? SO THE ERCOT COMMENTS IN, WHEN IT SAYS ERCOT COMMENTS IDENTIFY THE SPECIFIC REASON FOR ALL CHANGES TO TAC RECOMMENDED VERSIONS, THOSE ARE YET TO BE FILED CORRECT COMMENTS? SO WE WILL SEE NOW WE CAN GO TO THE NEXT SLIDE.
SO ERCOT WOULD FILE COMMENTS BEFORE THE 19 8 12 ISH, SOMETHING LIKE THAT, RIGHT? BECAUSE OF THE, UM, THE, THE LEAD TIME THAT HAS TO BE POSTED? YEAH, YOU EXPECT THOSE TO BE JOINT COMMENTS OR JUST, JUST ER CUT COMMENTS? WE'RE HOPEFUL.
JUST TO BE CLEAR, WHEN I'M SPEAKING ON THIS TOPIC, IT'S ON BEHALF OF
[04:10:01]
JOINT COMMENTERS.I'VE GOT A SLIDE DECK THAT SHOWS SOME THINGS TO DAYLIGHT, BUT WE'RE, WE'RE HOPEFUL.
SO I SAW THAT YOU POSTED A SLIDE DECK.
AND, AND I THINK THAT'S SOMETHING I WANNA TALK ABOUT IN PROCESS TOO, RIGHT? I, I DID NOT KNOW A SLIDE DECK WAS GONNA BE POSTED UNTIL IT WAS POSTED AT EIGHT 30 AND THERE'S A NUMBER OF POLICY POINTS AND TECH DECISION POINTS IN THE SLIDE DECK, BUT THIS IS NOT AT THIS TIME IN FRONT OF TAC.
SO TAC MADE A DECISION ON JUNE 7TH AND, AND SENT THIS TO THE BOARD, AND THE BOARD DIRECTION WAS TO TABLE THERE AND HAVE ERCOT AND JOINT COMMENTERS ENTERS WORK ON IT.
SO I JUST DON'T, I DON'T KNOW HOW RELEVANT THOSE SLIDES ARE BECAUSE WE DON'T HAVE A DECISION POINT IN FRONT OF US RIGHT NOW.
UH, I'M HAPPY TO TALK THROUGH THAT WHEN IT'S APPROPRIATE, BUT I GOT QUESTIONS FROM TAX MEMBERS AND SO I JUST WANTED TO PUBLICIZE THE ANSWERS TO THOSE QUESTIONS.
I MEAN, THEY'RE ON THE, THEY'RE ON THE WEBPAGE.
UM, YOU IN THE QUEUE MEANS YOU WANNA PRESENT YOUR SLIDES OR DID YOU HAVE A POINT YOU WANTED TO MAKE FIRST? WHATEVER IT'S APPROPRIATE.
I JUST WANTED TO JUST PUT, PUT UP THE SLIDES AND ANSWER ANY QUESTIONS PEOPLE HAVE.
I DON'T WANNA TAKE UP TOO MUCH TIME TODAY.
UM, ANDY, I WANTED TO MAKE SURE I WAS UNDERSTANDING THE TIMELINE.
THE, FOR THE SUBSEQUENT NOER CORRECTLY, IF YOU'RE, IF YOU'RE LOOKING, IF YOU'RE GONNA ASK THE BOARD TO PRIORITIZE IT SO THAT IT WOULD BE EFFECTIVE NO LATER THAN APRIL 1ST OF NEXT YEAR, THAT MEANS THE PC WOULD NEED TO BE ABLE TO APPROVE IT IN MARCH.
ERCOT BOARD WOULD NEED TO TAKE IT UP IN, UH, I THINK IT'S FEBRUARY 4TH IS THEIR MEETING.
SO T WE WOULD BE DISCUSSING THIS AT THE JANUARY 22ND MEETING AT THE VERY LATEST.
AND THAT WOULD BE A, A ONE-TIME SHOT.
UM, UNLESS IT CAME TO US EARLIER, UH, OR UNLESS WE HAD SPECIAL TECH MEETINGS, WE'VE BEEN BEEN KNOWN TO DO THAT, RIGHT? YEAH.
BUT THERE'S NOT CURRENTLY ONE SCHEDULED FOR DECEMBER OF THIS YEAR, SO, YEAH.
UM, NAH, I MEAN, OUR GOAL WOULD BE TO GET IT DONE.
REMEMBER NOW JUST, UH, YOU KNOW, YOU'VE SLEPT SINCE THE LAST TIME WE TALKED ABOUT NOGA 2 45, RIGHT? ALL OF THOSE CRITERIA FOR THE EXEMPTIONS WERE IN THE VERSION Y'ALL APPROVED.
SO THE IDEA WAS, WELL, LET'S TAKE THEM OUT SO THAT WE CAN GET NORE 2 45 MOVED FORWARD.
YOU KNOW, SO WE CAN GET THE RELIABILITY BENEFIT, BUT WE KNOW, WE KNOW KIND OF WHAT THOSE ARE.
WE KNOW KIND OF WHAT THE PROBLEMS ARE WITH THEM, YOU KNOW, FROM CONVERSATIONS.
SO I DON'T THINK IT'S GONNA BE, I DON'T THINK IT'S GONNA BE THAT HARD, BUT, YOU KNOW, WE DID FILE NOGA 2 45 A YEAR AGO IN JANUARY, SO, RIGHT.
I JUST WANTED TO, TO TALK THROUGH THAT, ESPECIALLY IN LIGHT OF THE DISCUSSION WE JUST HAD ABOUT PROCESS AND MAKING SURE THAT, YOU KNOW, COMMENTS ARE IN EARLY THAT'S, YEAH, IT'S A SHORT VIEWS, BUT YEAH, IT IS WHAT IT IS.
I MEAN, I'M, I'M NOT SUPER HAPPY WITH THIS.
I, I DIDN'T KNOW ABOUT IT OR KA DIDN'T KNOW ABOUT IT.
I DON'T THINK IT'S RELEVANT TO US RIGHT NOW BECAUSE WE DON'T HAVE ITEM A DECISION IN FRONT OF US.
IT, IT'S, IT'S NOT AT TECH RIGHT NOW.
I THINK WE ASKED FOR AN UPDATE.
MY MY UNDERSTANDING IS IT'LL BE A WEBEX.
SO I MEAN, IF, IF, IF YOU WANNA PUBLICIZE IT, I'M NOT GONNA STOP YOU, BUT I'M NOT HAPPY WITH THE, THE PROCESS THERE AND I, I DON'T THINK IT'S RELEVANT TO IT.
IT SEEMS LIKE IT'S JUST LOBBYING US ON SOMETHING THAT'S NOT IN FRONT OF US.
YEAH, IF YOU DON'T WANT US TO TALK ABOUT THIS, THAT'S, THAT'S FINE.
BUT WE HAD QUESTIONS FROM TAC MEMBERS.
WE'VE BEEN IN DAILY NEGOTIATIONS WITH, WITH ERCOT ON THIS.
AND, UM, I THOUGHT THAT TAC MEMBERS WOULD WANT TO KNOW ABOUT THE ITEMS THAT ARE STILL OUT FOR CONSIDERATION, BUT IF YOU'D PREFER THAT WE NOT TALK ABOUT THAT, THAT'S, THAT'S YOUR CALL AS THE CHAIR.
I THINK IT WOULD'VE BEEN NICE IF TACK WAS TOLD BEFORE EIGHT 30 THIS MORNING.
WELL, WE CAN, I MEAN, HE'S, WE'RE AWARE IT'S POSTED.
I DON'T NEED HIM TO GO THROUGH IT, TO BE HONEST WITH YOU AT THIS POINT.
IF YOU DON'T WANNA GO THROUGH IT AT THIS POINT, AT FIVE O'CLOCK, I WILL SAY IT'S, I'VE INSERTED MYSELF IN THE MIDDLE.
I WILL, I WILL SAY FINALLY, ERIC, UH, THANK YOU, UH, BECAUSE WHAT YOU'VE DONE, WHAT IT LOOKS LIKE YOU'VE DONE IS ACTUALLY A START ON WHAT I ASKED YOU TO DO THREE MONTHS AGO, WHICH WAS TO HIGHLIGHT
[04:15:01]
THE SPECIFIC ISSUES THAT YOU STILL HAVE WITH THE PROPOSAL.AND IT LOOKS LIKE YOU'VE STARTED TO DO THAT ON SLIDE TWO, AND I APPRECIATE THAT.
BUT THAT'S ALL I REALLY WANTED TO CONVEY TO YOU AT THIS POINT.
I THINK MY ISSUE WITH THAT IS THOSE ISSUES AREN'T IN FRONT OF US RIGHT NOW, BUT WHY, WHY DON'T YOU RUN THROUGH IT? I, I MEAN, I, I CAN READ THE ROOM.
UM, IF PEOPLE HAVE ANY QUESTIONS ABOUT THE SLIDES, I'M, I'M HAPPY TO ADDRESS THEM.
UM, UM, HAPPY TO TAKE QUESTIONS ON IT, BUT I WANTED, I WANTED PEOPLE TO KNOW THAT THESE ARE SOME OF THE OUTSTANDING ITEMS FOR DISCUSSION.
AND UM, WE CAN LEAVE IT AT, THAT IS THE WEBEX.
LET'S, LET'S TRY TO WRAP THIS UP THEN.
AND LET'S REVIEW 'EM AND, YOU KNOW, IF, IF I THINK THERE'S A WEBEX PLAN, BUT IF THERE IS SOMETHING THAT NEEDS TO COME BACK HERE, THEN, THEN LET'S MAKE SURE THAT HAPPENS.
WE DID GET A REQUEST, UM, FOR A UPDATE ON N-D-C-R-C AND I THINK SNI VAS OR JIMMY CAN GIVE A QUICK UPDATE.
THEY MAY NOT BE HERE AT FIVE 15.
UH, CAN YOU ALL HEAR ME WELL? YES, WE CAN.
UM, SO I THINK THERE WAS A REQUEST FROM, UH, JEREMY CARPENTER FROM ESKA, I BELIEVE REQUESTING UPDATE FROM
SO, SO WE RECEIVED A FEEDBACK, UM, A FEW MARKET PARTICIPANTS, UM, ON THE QSCS ACCESS TO N-D-C-R-C.
UH, WE OPENED UP, UH, N-D-C-R-C CHAIN THAT WE ROLLED OUT INTO PRODUCTION LAST WEEK, UH, FOR, UH, UH, QSCS TESTING.
AND SO, SO WE REQUESTED QSCS TO USE
UM, MEANWHILE, WE ARE WORKING ON, UH, GIVING A DIRECT ACCESS, UH, UTILIZING THEIR CERTIFICATES, UH, TO LOG INTO N-D-C-R-C, THAT CHANGE WE PLAN TO, UH, DELIVER TO PRODUCTION, UM, NEXT MONTH, HOPEFULLY NEXT, UH, COUPLE OF WEEKS.
UM, THAT WILL ALLOW THEM TO, UH, LOG INTO, UH, N-D-C-R-C WITH THEIR WON'T Q CERTIFICATES.
THAT ONE OF THE KEY FEEDBACK AND CONCERN WE RECEIVED, UM, FROM FEW, FEW MARKET PARTICIPANTS.
UM, SO, SO SEPTEMBER WOULD BE THE PARALLEL OPERATION, UM, OF THE CHANGE THAT IS, UM, WHERE WE REQUESTED MARKET PARTICIPANTS TO, UM, SUBMIT THE, A REQUEST, YOU KNOW, TEST REQUEST THROUGH EMAIL TO CONTROL ROOM OR TO N-D-C-I-C-U-I, UH, DISPLAY.
WE, WE BUILT, UH, FOR MARKETPLACE FUND TO SUBMIT THE REQUEST SO THEY CAN USE ONE OF, UH, THOSE MECHANISMS TO SUBMIT THE INTEREST REQUEST.
AND THEN WE PLAN TO, UM, GO LIVE OCTOBER 1ST.
SO THESE ARE THE TIMELINES THAT WE, UH, COMMUNICATED TO QSCS TO THE MARKET NOTICE AND, UH, DURING THIS TESTING PERIOD, UH, WHICH IS, UH, UH, ENTIRE NEXT MONTH, UH, AND OR DURING THE PARALLEL OPERATION, IF WE ENCOUNTER ANY, UH, ISSUE, UH, WE WILL BE ADDRESSING THAT, UH, BEFORE WE MAKE THIS EFFECTIVE.
SO THESE ARE UPDATES THAT WE, UH, WANT TO PROVIDE HERE, WHICH WE PROVIDED IN THE TWG MEETING, UH, UH, LAST WEEK.
AND, UH, WE HAVE BEEN PROVIDING UPDATES ON THIS EFFORT, UM, PERIODICALLY IN TWG MEETING.
ALSO, I'M JOINED BY
I SEE A QUESTION FROM ANDY WYNN.
HEY, CAITLIN, CAN YOU HEAR ME? MM, BARELY.
IT MIGHT, IS IT US TODAY? 'CAUSE EVERYBODY'S REALLY FAINT.
IT COULD JUST BE, IT'S REALLY LATE NOW.
YOU'RE THE, YOU'RE THE NUMBER ONE REMOTE SPEAKER OF THE DAY NOW.
UM, AND THANKS JEREMY FOR BRINGING THIS UP.
I KNOW NOT EVERYONE ATT IS PROBABLY INVOLVED AT TWG, UM, BUT BRINGING THIS ITEM
[04:20:01]
UP IS PRETTY IMPORTANT BECAUSE IT WILL IMPACT EVERY ENTITY SUBMITTING UNIT TEST REQUEST.UM, FIRST OFF, THANKS ERCOT FOR EXTENDING THE DEADLINES.
APPRECIATE WHAT I HEARD THERE SERVOS IN TERMS OF, UH, THE FACT THAT YOU'RE GONNA ALLOW FOR THE INITIAL TESTING AND THAT, UM, ALTHOUGH I HEARD YOU SAY OCTOBER WAS THE POTENTIAL GO LIVE DATE, IT DID SOUND LIKE YOU WERE OPEN TO GETTING FEEDBACK FROM MARKET PARTICIPANTS THAT WERE CONCERNED, PARTICULARLY AS THEY START TO INITIATE THE TESTING PHASE.
UM, I DID WANNA, YOU KNOW, OPEN UP A PUBLIC SERVICE ANNOUNCEMENT FOR OTHER STAKEHOLDERS.
UM, UH, A A GROUP OF STAKEHOLDERS THAT HAVE BEEN INVOLVED IN THIS, INCLUDING CONSTELLATION ELSE, THREE ELSE, 3, 8 10, ASCA AND NRG HAVE, HAVE BEEN ENGAGING WITH, UM, ER COTTON.
REALLY APPRECIATE, UH, THE BACK AND FORTH AND COLLABORATION.
UM, WE HAVE SHARED A LIST OF CONCERNS WITH THE INITIAL, UM, THE USER INTERFACE THAT HAS BEEN PUT OUT THERE.
SO, UM, BETWEEN NOW AND THE NEXT TTWG, WE WILL CERTAINLY APPRECIATE ENGAGING AGAINST SERVOS AND SEEING WHAT ADDITIONAL IMPROVEMENTS, UH, ERCOT MAY HAVE BEEN ABLE TO MAKE BASED ON THAT LIST, IN ADDITION TO WHAT ELSE OTHER STAKEHOLDERS MAY BE BRINGING UP AS WELL.
UM, ADDITIONALLY, AT THE LAST TBWG, WE DID SHARE KIND OF, KIND OF BEST PRACTICES THAT US AT CONSTELLATION ARE ABLE TO SEE GIVEN OUR INTERACTIONS AT OTHER RTOS AND, AND DID SHOWCASE, UM, A USER INTERFACE THAT, THAT BOTH PGM AND SOU ENGLAND USES THAT IS KIND OF BASED AROUND A SIMILAR TOOL LIKE OUR OUTAGE SCHEDULER.
SO, UM, IN ADDITION TO THE ADDIT, UH, FEEDBACK FROM STAKEHOLDERS, WE, WE WOULD LIKE TO KIND OF GET A FOLLOW UP.
UM, WE DIDN'T HEAR FROM Y'ALL BASED ON WHAT Y'ALL SAW FROM, UM, WHAT OTHER RTOS PROVIDE AND WANTED TO MAYBE HAVE A MORE HOLISTIC DISCUSSION ON, ON THAT OPTION AS WELL.
BUT, UM, WITH THAT, IF ANY STAKEHOLDERS ARE INTERESTED, PLEASE REACH OUT.
I'M HAPPY TO ANSWER ANY QUESTIONS.
AND, AND, AND AGAIN, ERCOT, THANK YOU SO MUCH FOR, UM, RAISING THE CONCERN AND EXTENDING THE DEADLINES.
I THINK, YOU KNOW, YOU'RE, YOU'RE CLEARLY AWARE THIS IS VERY IMPORTANT TO US AND IT WILL BE, YOU KNOW, A CHANGE FROM HOW UNIT TESTING WILL BE MADE TODAY AND, AND GIVING FOLKS THE RUNWAY TO ENSURE THAT THEIR, THEIR OPERATORS ARE TRAINED IN, IN THE TRANSITION IS, IS VERY IMPORTANT.
FIRST OF ALL, THANKS AGAIN FOR PUTTING THIS ON THE AGENDA TODAY ON SUCH SHORT NOTICE.
I'LL TRY TO GIVE A BETTER LOOK FORWARD NEXT TIME.
I DID HAVE ONE QUESTION, AND IF THIS IS ALREADY ON THE LIST OF DISCUSSION TOPICS THAT HAVE BEEN SUBMITTED, YOU CAN TELL ME AND I'LL GO AWAY.
BUT WILL THERE BE AN API AVAILABLE FOR THESE SUBMISSIONS, OR WILL IT REQUIRE MANUAL INPUT THROUGH A UI? YEAH, IT REQUIRES, UH, MANUAL INPUT THROUGH UI.
UH, REALLY IF YOU LOOK AT UI, RIGHT, JEREMY, SO THERE ARE NOT MANY FIELDS REALLY.
UM, SO WE HOPE THAT, UH, YOU KNOW, KI THE EFFORT THAT RIGHT NOW YOU PUT IN RIGHT TO, UH, PREPARE THE, UH, UNIT TEST FARMS AND, UM, YOU KNOW, SEND OUT EMAILS TO CONTROL ROOM, RIGHT? CANCELING, UH, THE AMOUNT OF WORK THAT WE PUT IN THERE, ENTERING FEW FIELDS, ATTACHING THE DOCUMENTS, UH, TO, UH, INTO THIS NEW WHY.
HOPEFULLY THAT WILL MAKE YOUR LIFE A LITTLE EASIER THAN WHAT YOU'RE DOING RIGHT NOW.
BUT, UH, TO ANSWER A QUESTION THAT API WON'T BE AVAILABLE, UH, AT THIS TIME.
IS THAT SOMETHING IN CONSIDERATION FOR THE FUTURE YOU MENTIONED AT THIS TIME, OR IS THAT NOT EVEN ON THE TABLE? UH, AT THIS TIME IT'S NOT ON OUR ROADMAP.
UM, BUT I SEE THAT, UH, GOING INTEREST, UM, UH, TO PROVIDE THE CAPABILITY, UH, API CAPABILITY FOR THIS N-D-C-R-C, UM, BUT MEAN IT REQUIRES A GOOD AMOUNT OF EFFORT TO MAKE THAT AVAILABLE.
CONSIDERING EVERYTHING ELSE THAT WE ARE DOING.
UM, WE WILL NOT BE ABLE TO DELIVER THAT, UM, IMMEDIATELY.
UH, SO OPTION, ONE OF THE OPTION THAT WE ACTUALLY, UH, HAD A DISCUSSION IN TW MEETING ABOUT MAYBE, UH, IN A MARKER FERENCE OF A CR, THAT HELPS US TO DO THE IMPACT ANALYSIS AND PRIORITIZE, UH, THE EFFORT, UM, WITH OTHER EFFORT THAT WE'RE WORKING ON.
ANY QUESTIONS OR COMMENTS THERE? RIGHT.
THE LAST UPDATE WAS ON NPR 1215 FROM AUSTIN ROSEL AUSTIN, ARE YOU STILL WITH US? I'M STILL HERE.
IF YOU CAN HEAR ME, WE CAN HEAR YOU.
[04:25:01]
IT'S LATE, I APOLOGIZE.SO THIS, UH, JUST CAME TO OUR ATTENTION, UH, I BELIEVE THIS WEEK.
I WAS OUT, UH, YESTERDAY, SO I, I BELIEVE IT WAS YESTERDAY.
UM, AND I WANTED TO, UH, COMMUNICATE TO TAC WITH, WITH, UM, WHAT, WHAT WE NEED TO DO, UM, TO HANDLE, UH, THE SITUATION.
SORRY TO BE VAGUE HERE, LEMME GET INTO IT.
SO NPR 1215 CLARIFICATIONS TO THE DAY AHEAD MARKET ENERGY ONLY OFFER CALCULATION, UH, WAS UNANIMOUSLY APPROVED BY TAC.
IT'S ALREADY BEEN APPROVED AND IT'S SCHEDULED TO GO TO THE AUGUST BOARD MEETING.
UH, WE JUST BECAME AWARE, IT WAS POINTED OUT TO US THERE WAS AN ERROR IN THAT PROTOCOL LANGUAGE THAT WE NEED TO RESOLVE.
UM, THE PURPOSE OF THIS NPR WAS JUST TO CLARIFY AND, UH, CREDIT CALCULATIONS USED FOR THE DATA AHEAD MARKET.
JUST TO BE MORE CLEAR ON THE, AS-BUILT SYSTEM DESIGN, THERE'S A FORMULA, THE E TWO CREDIT FORMULA, UM, IN THIS NPRR, UM, THAT FORMULA, WE, THIS ERROR INTRODUCED A CHANGE TO THAT FORMULA THAT WOULD, THAT WOULD ACTUALLY CAUSE IT TO BE CALCULATED DIFFERENTLY THAN IT IS CURRENTLY CALCULATED BY THE SYSTEM.
THERE WAS A PRICE VARIABLE THAT WAS ADDED INTO THAT FORMULA WHEN IT WAS KIND OF BLOWN OUT AND TRIED TO BE MADE MORE SPECIFIC, TRYING TO GIVE MORE DETAIL OF THE CALCULATION, UH, A PRICE WAS INADVERTENTLY ADDED INTO THAT FORMULA.
AND THAT'S OBVIOUSLY NOT HOW THINGS ARE BUILT.
THAT TURNS INTO A NON CLARIFICATION NPR, THAT'S A POLICY CHANGE.
SO WE OBVIOUSLY WANNA, WANNA FIX THAT.
HOW ARE WE GONNA FIX IT? WELL, THIS HAS ALREADY BEEN APPROVED BY TAC, WE WERE TEMPTED TO JUST MAKE THE CORRECTION FILE COMMENTS, MAKING THE CORRECTION AND BRING IT TO THE BOARD AND HAVE THEM VOTE ON IT.
HOWEVER, WE'RE, THAT WOULD MEAN WE'RE BRINGING SOMETHING TO THE BOARD THAT YOU ALL DIDN'T GET TO VOTE ON AND LOOK AT, EVEN THOUGH IT'S A CLARIFICATION, NPRR STILL, THE PRINCIPLE, UH, THE PRINCIPLE, UH, BEHIND IT ALL IS WE'RE BRINGING SOMETHING TO THE BOARD.
WE HAVE TO EXPLAIN TO THEM WHY WE'RE BRINGING THEM SOMETHING DIFFERENT THAN WHAT YOU ALL VOTED ON.
UM, SO WE JUST, IT'S IN LIGHT OF SOME OTHER THINGS THAT HAVE HAPPENED RECENTLY.
WE DIDN'T THINK THAT WAS THE BEST APPROACH.
SO WHAT WE WOULD LIKE TO DO IS ASK THE BOARD TO REMAND 1215 BACK TO TAC SO WE HAVE A CHANCE TO GET THAT FORMULA CORRECTED, MAKE SURE IT'S CORRECTED CORRECTLY, GET ANOTHER VOTE ON IT, AND THEN TAKE IT TO ANOTHER BOARD MEETING, HOPEFULLY OCTOBER, BUT MAYBE, YOU KNOW, DEPENDING ON WHAT, WHAT COMES UP, MAYBE A LATER ONE.
SO THAT'S WHAT WE WOULD LIKE TO DO.
UH, WE PLAN ON SENDING A MARKET NOTICE, EXPLAINING ALL THIS AND INCLUDING THE CORRECTIONS THIS WEEK, HOPEFULLY.
BUT I WANTED TO MAKE SURE TO POINT IT OUT TO YOU ALL HERE SO YOU'RE NOT SURPRISED OR MAYBE YOU'RE NOT ON AN EXPLODER THAT GOT THE MARKET NOTICE AND YOU'RE, AND YOU'RE WONDERING WHAT'S GOING ON AT THE BOARD MEETING OR WHEN THE NPR COMES BACK.
I JUST WANTED TO, UH, TO, TO COMMUNICATE THAT OUT, OUT TO Y'ALL AND SEE IF THERE'S ANY, ANY FEEDBACK OR ANYTHING ON THAT.
BUT REALLY JUST TO LET Y'ALL KNOW WHAT'S GOING ON.
'CAUSE IT'S A LITTLE UNUSUAL AND OBVIOUSLY WE APOLOGIZE FOR, FOR LETTING THIS SLIP BY, UM, AND GET THIS FAR IN THE PROCESS.
BUT WE THINK THIS IS THE BEST WAY TO GET IT BACK, UH, TO GET IT CORRECTED.
ANY QUESTIONS OR COMMENTS? ALL RIGHT, THANK YOU MATT.
SO AUSTIN, WOULD THE IDEA WHAT, RATHER THAN A MARKET NOTICE, WHETHER OR NOT WE JUST FILE COMMENTS TO THE CONCEPT THAT WE'D LIKE THIS TO NOT YET GO TO THE BOARD'S ATTACKING, TAKE ANOTHER LOOK AT, SORRY FOR A FRIENDLY FIRE.
I DON'T MEAN TO THROW YOU ACTUALLY, MATT, SORRY.
THROW AN IDEA OUTTA LEFT FIELD.
UM, WE'RE PLANNING ON FILING COMMENTS.
I GOT MARKET NOTICE PUT IN MY BRAIN RIGHT FROM THE CONVERSATION.
THE PLAN IS TO FILE FIST BUMP.
COMMENTS TO THE NPR AND THAT'S WHY YOU'D BE CONFUSED.
WHY IS
SO WE'LL SEE COMMENTS TO NPR 1215 AND I THINK WHAT AUSTIN'S SAYING, DOES ANYONE HAVE A PROBLEM WITH THAT, IS THE WAY TO DO IT.
SO HE'S TRYING TO MOVE DOWN THE PATH, PAUSE IT AND PAUSING HIS FILING COMMENTS.
EVERYONE NODS AND SAID THAT IT'S COOL.
I JUST WANTED TO SAY THANK YOU, AUSTIN, FOR BRINGING IT TO OUR ATTENTION AND, UH, I THINK IT'S A THOUGHTFUL WAY TO ADDRESS THE, UH, ADDRESS THE ISSUE.
NED USUALLY CATCHES THE DETAILS, SO I THINK HE APPRECIATES WHEN OTHER PEOPLE DO.
[16. Combo Ballot (Vote)]
[04:30:01]
AT THE COMBO BALLOT.COREY HAS EVERYTHING ON THE SCREEN.
DO WE HAVE A AI SONG OR RENDITION OF THIS OR ANYTHING? UM, AND UH, WE NEED A MOTION AND A SECOND.
ALRIGHT, ON THE MOTION TO APPROVE.
DO YOU GET YOUR OWN RICHARD ROSS GOLD STAR AWARD? OKAY, GO AHEAD.
I ON THE MOTION TO APPROVE THE COMBO BALLOT, WE WILL START UP WITH THE CONSUMERS.
ERIC SCHUBERT? YES, THANK YOU.
ONTO OUR INDEPENDENT GENERATORS.
THANK YOU FOR BOTH AND OUR IOUS.
AND I'LL, I'LL BE BRIEF IN TALLYING THIS.
UH, ANY OTHER FINAL THOUGHTS? OTHER OTHER BUSINESS SONGS? OKAY, WE CAN ADJOURN.