Dec 08, 2025 Board of Directors Meeting

OKAY.

[00:00:05]

GOOD AFTERNOON, MEMBERS OF

[1. Call General Session to Order]

UH, I'M BILL FLORES.

I'M WANNA WELCOME EVERYONE TO THE DECEMBER 8TH, THE NINTH, 2025 BOARD MEETING.

I'VE CONFIRMED THAT A QUORUM IS IN PRESENT IN PERSON, AND HEREBY CALL THIS MEETING OF THE BOARD TO ORDER.

UH, THE MEETING IS BEING WEBCAST TO THE, UH, PUBLIC LIVE ON KOTS WEBSITE.

AT THIS TIME, I'D LIKE TO ASK PUC CHAIR THOMAS GLEASON, UH, TO CALL AN OPEN MEETING OF THE PUBLIC UTILITY COMMISSION OF TEXAS.

AND HE ALSO HAS A, THE NEWEST MEMBER OF THE COMMISSION TO INTRODUCE.

AND SO I LOOK FORWARD TO THAT CHAIR GLEASON.

THANK YOU, MR. CHAIRMAN.

THIS MEETING OF THE PUBLIC UTILITY COMMISSION OF TEXAS WILL COME TO ORDER TO CONSIDER MATTERS THAT HAVE BEEN DULY POSTED WITH THE SECRETARY OF STATE FOR DECEMBER 8TH, 2025.

AND YES.

UM, ON OCTOBER 23RD, GOVERNOR ABBOTT APPOINTED OUR NEWEST PUC COMMISSIONER MORGAN JOHNSON.

AND, UH, I ASKED HER IF SHE WOULD JUST SAY A, A FEW INTRODUCTORY REMARKS TO KICK OFF THIS MEETING.

HI, CHAIRMAN.

UH, THANK YOU GUYS FOR HAVING ME.

I'M EXCITED TO BE HERE.

I LIKE THAT .

OKAY, THAT'S GREAT.

OH, THE ANTITRUST ADMONITION AND SECURITY MAP ARE INCLUDED WITH THE POSTED MEETING MATERIALS, SO PLEASE REFER TO THOSE, UH, AS NECESSARY.

UH, THE FIRST ORDER OF BUSINESS ON TODAY'S AGENDA IS ITEM TWO.

NOTICE OF PUBLIC COMMENT, IF ANY.

UH, TODAY'S MEETING WAS BILL, I'M SORRY, CAN I PAUSE? YOU WANT ME HAVING AN ISSUE WITH DILIGENT HERE? ONE MINUTE PLEASE.

OKAY, I WILL.

WE'RE GOOD.

I WILL REPEAT THE LAST, UH, COMMENT.

UH, THE ADMONITION ANTITRUST ADMONITION SECURITY MAP ARE INCLUDED WITH A POSTED MEETING MATERIAL, SO REFER TO THOSE AS NECESSARY.

UH, THE FIRST ORDER OF BUSINESS ON TODAY'S AGENDA IS ITEM TWO.

NOTICE OF PUBLIC COMMENT, IF ANY.

TODAY'S MEETING AGENDA WAS POSTED PUBLICLY ON DECEMBER 1ST, 2025, AND PROVIDED INSTRUCTIONS TO THE PUBLIC ON FOR COM COMMENTING IN PERSON TO DATE, NO ONE HAS EXPRESSED AN INTEREST IN COMMENTING.

IS THAT STILL CORRECT, CHAD? THAT IS CORRECT, CHAIRMAN.

OKAY.

THANK YOU.

UH, NEXT IS AGENDA

[3. September 22-23, 2025, General Session Meeting Minutes]

THERE'S A DRAFT IN THE MEETING MATERIALS.

DOES ANYONE HAVE ANY COMMENTS OR WISH TO MAKE A MOTION? I MOVE TO APPROVE.

I THANK YOU PEGGY.

A SECOND.

THANK YOU, JULIE.

ALL IN FAVOR? AYE.

ANY OPPOSED OR ANY ABSTENTIONS? IF NOT, THE MINUTES ARE APPROVED.

NEXT IS

[4. Consent Agenda]

I WILL TURN THIS OVER TO CHAD TO PROVIDE THE BUDGET IMPACTS OF THE REVISION REQUEST.

ALRIGHT, THANKS.

CHAIRMAN.

THERE ARE 14 REVISION REQUESTS ON THE CONSENT AGENDA.

FIVE OF 'EM HAVE AN ERCOT BUDGET IMPACT.

THE LARGEST ONE IS A SYSTEM CHANGE REQUEST, 8 31.

DEALING WITH OUR SHORT CIRCUIT MODEL INTEGRATION, WHICH RANGES BETWEEN A HUNDRED THOUSAND AND 200,000 WOULD TAKE SEVEN TO 10 MONTHS TO IMPLEMENT.

I WOULD NOTE THAT MOST OF THESE REVISION REQUESTS ARE PROCESS IMPROVEMENT REVISION REQUESTS.

THERE'S ONE THAT'S TIED TO OUR STRATEGIC PLAN FOR RELIABILITY, THAT'S NO G 2 79.

AND THEN SCR 8 31 IS TIED TO THE STRATEGIC PLAN TWO FOR, UH, ECONOMIC COMPETITIVE AND MARKET EFFICIENCY.

UH, ONE OTHER THING TO NOTE IS THE CONSENT THAT INCLUDES NPR 1274 AND NPR 1280, BOTH OF WHICH T UNANIMOUSLY RECOMMENDED WITHOUT OPPOSING VOTES.

UH, NPR 1280 REGARDS A REVIEW PROCESS FOR SERIES CAPACITORS AND 1274 UPDATES THE ESTIMATED CAPITAL COSTS FOR THE TIER CLASSIFICATION FROM 100,000 TO, UH, TO 200,000, OR SORRY TO 200 MILLION REGARDING THE ERCOT PROTOCOLS.

THE MEETING MATERIALS INCLUDED COMMENTS FROM ERCOT TO THE BOARD, ESSENTIALLY TRUING UP THE COST THRESHOLDS IN 1280 TO LINE WITH 1274.

SO THE RECORD SHOWS THE TAC DISCUSSED THIS ON NOVEMBER 19TH THAT ERCOT WAS GONNA INCLUDE COMMENTS IN THE BOARD PACKET.

SO WHEN YOU MAKE YOUR MOTION, YOU'LL NEED TO, UH, INCLUDE THOSE NP 1280 ERCOT COMMENTS THAT WERE ISSUED ON NOVEMBER 24TH.

OKAY.

THANK YOU.

CHAD, ARE THERE ANY QUESTIONS? DOES ANY BOARD MEMBER WISH TO, UH, DISCUSS OR REMOVE ANY ITEM FROM THE CONSENT AGENDA? OKAY.

IF NOT, I WILL ENTERTAIN A MOTION TO APPROVE THE CONSENT AGENDA, INCLUDING NPR 1280 WITH THE 11 24 25 ERCOT COMMENTS AS, UH, CHAD DISCUSSED.

[00:05:01]

LINDA.

DO I HAVE A SECOND? SECOND.

OKAY.

THANK YOU, BILL.

UH, ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ANY ABSTENTIONS? OKAY.

THE CONSENT AGENDA IS APPROVED AS MODIFIED.

UH,

[5. High-Impact Policy Discussions in the Stakeholder Process]

REBECCA AND ANN, THE PODIUM IS YOURS.

THANK YOU.

THIS CYCLE, WE'RE GONNA START A LITTLE DIFFERENT.

WE'RE GONNA START AT THE COMMISSION, UM, IN OUR BUDGETS FOR 20 26, 20 27.

THE COMMISSION HIGHLIGHTED KEY COMMISSION PRIORITIES FOR THAT BIENNIUM OR CO WILL WORK WITH COMMISSION STAFF TO DEVELOP PERFORMANCE MEASURES.

AND THESE ARE REALLY KEY ITEMS THAT SOME OF WHICH WE'RE ALREADY WORKING ON, BUT IT'LL BE SOMETHING WE BRING BACK FOR THE BOARD AND HIGHLIGHT AS WE MOVE FORWARD WITH REVISION REQUEST.

THE FIRST ONE IS LARGE LOAD INTERCONNECTION.

THIS WAS SOMETHING ADDED BY CHAIRMAN GLEASON.

IT'S IN LINE WITH MANY OF THE ISSUES OUR COURT'S ALREADY WORKING WITH THROUGH THE STAKEHOLDER PROCESS AND ALSO SB SIX IMPLEMENTATION.

THE NEXT FOUR WERE ADDED BY STAFF AND APPROVED BY THE COMMISSION.

THESE ARE REALLY ALL IN SUPPORT OF THE RELIABILITY STANDARD ASSESSMENT THAT KICKS OFF NEXT YEAR FOR THE FIRST THREE YEAR CYCLE.

INCLUDES RTC PLUS B, SB SIX DRS, AND IMPLEMENTATION OF THE ANCILLARY SERVICE STUDY FINDINGS FROM 2024 FOR RTC PLUS B.

NOTE, MATT WILL BE GIVING A PRESENTATION LATER THIS AFTERNOON ABOUT THE SUCCESSFUL IMPLEMENTATION LAST FRIDAY.

I DID WANNA HIGHLIGHT, ESPECIALLY THAT SECOND BUCKET AS WE'RE WORKING THROUGH, UM, POST-IMPLEMENTATION REVISIONS AND STABILIZATION.

WE ALREADY DO HAVE OUR FIRST IN PRR 1311.

ERCOT IS REQUESTING URGENCY ON THAT.

UM, BUT WE ALSO BE WORKING THROUGH SOME LANGUAGE CHANGES IN THE NEXT FEW MONTHS.

THINGS WE FOUND DURING THE IMPLEMENTATION, BOTH ASBUILT AND JUST SOME REQUIRING UPDATES FOR DRS.

AGAIN, KEITH WILL BE SPEAKING A LOT MORE OF THIS LATER IN THE AGENDA.

UM, AND WE'LL BE SEEKING URGENCY ON THE FIRST MPRR.

UM, FOR THIS WE'RE HAVE OFFICIALLY WITHDRAWN NPRR 1235 AFTER A SERIES OF WORKSHOPS THROUGH THIS LAST YEAR.

AND WE HAVE 1309, WHICH LOOKS TO IMPLEMENT THE STATUTORY REQUIREMENTS OF DRS AS AN ANCILLARY SERVICE.

AND 1310, WHICH LOOKS TO IMPLEMENT THE COMMISSION GUIDANCE ON, UM, A POSSIBLE RESOURCE ADEQUACY MECHANISM FOR DRS.

SO AGAIN, THIS IS THE KEY COMMISSION PRIORITY AND WE WILL BE SPENDING A LOT OF TIME IN THE NEXT YEAR WORKING THROUGH THESE.

THE GOAL WITH 1309 IS TO BRING A RECOMMENDATION TO THE JUNE, 2026 BOARD FOR LARGE LOAD ISSUES.

THIS IS TWO PARTS.

UM, SV SIX.

I DID WANNA HIGHLIGHT THE KIND OF TWO FIRST RULEMAKINGS MOVING THROUGH THE COMMISSION PROCESS OR CONTINUES TO WORK WITH PUC AND PUC STAFF ON INTERIM PROCESSES FOR THESE RULEMAKINGS.

AS WE WORK TOWARDS, I THINK FEBRUARY ADOPTION OF THE FINAL RULES FOR NET METERING ARRANGEMENTS.

WE HAVE OUR FIRST TWO, UM, REQUESTS UNDER THE INTERIM PROCESS.

AND THEN FOR A LARGE LOAD FORECASTING CRITERIA UNDER OUR CONNECTION STANDARDS, WE DO HAVE, UM, WORK WITH STAFF AND TOS ON A 2026 RTP COMPLIANCE PLAN.

WE SHOULD HAVE AN UPDATED THE COMMISSION AT THE OPEN MEETING LATER THIS WEEK, AND THEN A PRESENTATION OF A COMPLIANCE PLAN DRAFT IN JANUARY.

AND THEN FOR NOGA 2 82 AND NPR 1308, THIS IS SOMETHING WE'VE BEEN SPENDING A LOT OF TIME TALKING ABOUT THE LAST FEW MEETINGS.

IT'S BEEN A BIG ITEM OF DISCUSSION AT LARGE LOAD WORKING GROUP.

JEFF BILLOW WILL TALK ABOUT THIS LATER IN THE AGENDA AND ALSO SEEK URGENCY ON THESE TWO ITEMS. UM, BUT IT IS LOOKING AT THE LARGE LOAD FREQUENCY AND VOLTAGE RIDE THROUGH STANDARDS AND, UM, ADDING A DEFINITION FOR LARGE ELECTRONIC LOAD RESIDENTIAL DEMAND RESPONSE.

I DID WANNA HIGHLIGHT THAT WMS HAD A DEDICATED WORKSHOP DURING ITS NOVEMBER MEETING, HAD PRESENTATIONS FROM ERCOT STAKEHOLDERS REALLY ON BOTH SIDES OF THE ISSUE, AS WELL AS THE IMM FOR NEXT STEPS.

THIS IS TABLED.

I DON'T THINK TABLED, UM, FOR THIS REALLY MEANS THAT THOSE ROBUST DISCUSSIONS ARE GONNA CONTINUE TO MOVE FORWARD AND ERCOT IS COMMITTED TO FILING REVISED LANGUAGE TO KEEP THOSE CONVERSATIONS GOING.

RESIDENTIAL DR IS JUST PART OF THIS.

IT'S AN ALL OF ABOVE APPROACH.

AND NORCO IS CONTINUOUSLY HOLISTICALLY REVIEW ALL DEMAND

[00:10:01]

SO FOR PLANNING CRITERIA, WE DON'T HAVE A LARGE UPDATE WITH THIS CYCLE.

I DID LEAVE THIS ON THE DECK TO CON, UM, ERCOT IS CONTINUING TO WORK WITH STAKEHOLDERS, PARTICULARLY THROUGH THE RELIABILITY AND OPERATIONS SUBCOMMITTEE AND THE PLANNING WORKING GROUP ON THE LANGUAGE AND METHODOLOGY BEHIND THESE ISSUES.

THESE ARE KEY ISSUES AND WE'RE WORKING TO RESOLVE THE REMAINING COMMENTS WITH STAKEHOLDERS.

STANDARD FORM AGREEMENT.

THIS IS VERY EARLY IN THE PROCESS.

IT WAS FILED IN LATE NOVEMBER, SO IT ACTUALLY WON'T HIT PRS UNTIL JANUARY.

AND FOR THE STANDARD FORM MARKET PARTICIPANT AGREEMENT, IT IS LOOKING TO MODERNIZE NOT ONLY THE TECHNOLOGY PIECES, BUT TO MOVE CERTAIN PROVISIONS FROM THE FORM INTO THE PROTOCOLS TO MAKE THAT PROCESS EASIER TO MOVE FORWARD, UM, AND MORE GRANULAR REVISIONS AT A FUTURE DATES.

AND THEN WE'RE ALSO LOOKING AT REFLECTING THE TEXAS SUPREME COURT DECISIONS REGARDING SOVEREIGN IMMUNITY FOR ERCOT TO, UM, THE PROVISIONS THAT IMPACT THE SCOPE OF LIABILITY AND THE FORUM FOR CERTAIN CLAIMS AGAINST FAIR COT.

SINCE THIS IS SO EARLY, IT'S SOMETHING WE'RE GONNA CONTINUE TO HIGHLIGHT AS WE MOVE THROUGH THE PROCESS IN THE NEXT YEAR.

ANY QUESTIONS? THANK YOU.

ANY QUESTION FOR REBECCA? OKAY.

WAS ANN GONNA HAVE ANYTHING TO ADD OR JUST, JUST YOUR PRESENTATION? ANN DOES A GREAT JOB OF HIGHLIGHTING ALL OF THE APPENDIX ITEMS, SO ALL OF THE METRICS FOR WHAT'S MOVING THROUGH THE STAKEHOLDER PROCESS, UM, HOW THAT IMPACTS BUDGET, WHO IS SPONSORING THESE, THE ORIGINAL, UM, REASONS AND HOW THAT TIES TO THE STRATEGIC PLAN OR OTHER ERCOT GOALS.

AND THEN ALSO HOW LONG ISSUES HAVE BEEN IN THE STAKEHOLDER PROCESS AND THE NEW REVISIONS SINCE THE LAST BOARD MEETING.

I THINK WE HAVE SPENT A LOT OF TIME, UM, THROUGH THIS AGENDA HIGHLIGHTING THE REALLY BIG KEY IMPACT ITEMS. OKAY.

THANK YOU REBECCA.

ALRIGHT, IF

[6.1 Request to Designate as Board Priority Revision Requests NPRR1309, Dispatchable Reliability Reserve Service Ancillary Service, and NOGRR283, Related to NPRR1309, Dispatchable Reliability Reserve Service Ancillary Service]

UH, THESE SUB ITEMS ARE ITEM 6.1, WHICH IS A REQUEST TO DESIGNATED BOARD PRIORITY REVISION REQUEST NPR 1309, WHICH IS DISPATCHABILITY RELIABILITY RESERVE SERVICE, ANCILLARY SERVICE, AND NORE 2 83 RELATED TO NPR 1309, THE DISPATCH RELIABILITY RESERVE SERVICE, ANCILLARY SERVICE.

AND THEN THE SECOND ITEM IS 6.2 REQUESTED DESIGNATED AS A BOARD PRIORITY REVISION REQUEST NUMBER 2 82, LARGE ELECTRONIC LOAD RIDE THROUGH REQUIREMENTS AND NPR 1308 RELATED TO NUMBER 2 82, LARGE LOAD, LARGE ELECTRONIC LOAD RIDE THROUGH REQUIREMENTS.

AND, UH, KEITH COLLINS IS GOING TO PRESENT ITEM 6.1.

JEFF BELLOW WILL PRESENT ITEM 6.2.

KEITH, THE FLOOR IS YOURS.

ALRIGHT, THANK YOU MR. CHAIRMAN.

AS YOU NOTED, THE PURPOSE OF THIS PRESENTATION IS TO, UH, REQUEST URGENT STATUS ON NPR 1309 AND GER.

IT'S COMPANION GER 2 83.

UH, AND AS AS THIS NOTES, THIS IS A VOTING ITEM.

ALRIGHT, UH, SO JUST A, A LITTLE, UH, HISTORY AND OVERVIEW.

WE DID POST, UH, NPR 1309, WHICH IS, UM, OUR DISPATCHABLE RELIABILITY RESERVE SERVICE, ANSLEY SERVICE, UH, NPRR THAT WAS POSTED ON NOVEMBER 20TH, AND WE DID POST ITS COMPANION 1310, UH, ON, UH, NOVEMBER, UH, 20TH AS WELL.

UH, ULTIMATELY THE DIFFERENCE BETWEEN THESE TWO DIFFERENT NPRS AS THE FIRST ONE FOCUSES, UH, VERY, UH, VERY CONSISTENTLY WITH THE STATUTORY REQUIREMENTS ON DRRS, UH, THAT IS IN THE TEXAS UTILITY CODE.

UH, THE NPR 1310 FOLLOWS GUIDANCE BY THE, THE PUBLIC UTILITY COMMISSION THAT WE RECEIVED LAST YEAR, LAST DECEMBER, ON, UH, CREATING OPTIONALITY, UH, FOR DRS TO ALSO BE USED AS A, UH, A SUPPORTING TOOL FOR RESOURCE ADEQUACY.

AND AS REBECCA DID NOTE THAT WE DID WITHDRAW NPR 1235, WHICH WAS AN EARLIER VER ONE OF THE EARLIER VERSIONS OF, OF THE DRS, UM, AS A STANDALONE ANSLEY SERVICE, RIGHT? SO WE ARE, UH, THE PROTOCOLS DO ALLOW FOR THE BOARD TO DESIGNATE AN NPR AS A PRIORITY REVISION REQUEST, UH, TO BE DONE ON AN URGENT TIMELINE.

[00:15:01]

AND ULTIMATELY, PARTICULARLY WITH THE, THE 12, UH, ZERO THREE, THE TEXAS LEGISLATURE, UH, THE LEADERSHIP DID REQUEST THAT ERCOT, UM, UH, DESIGN IT NOT ONLY AS A STANDALONE MECHANISM, THE ORIGINAL VERSION WAS NOT A STANDALONE MECHANISM, BUT TO DESIGN IT AS A STANDALONE MECHANISM, BUT TO DO SO IN AN EXPEDITIOUS MANNER.

AND THAT IS PERHAPS ONE OF THE MAIN REASONS WHY WE'RE REQUESTING, UH, URGENT STATUS TODAY, IS TO MEET THE SPIRIT OF THAT LETTER TO BE ABLE TO DELIVER SOMETHING IN AN EXPEDITIOUS TIMELINE.

AND SO, ULTIMATELY, UH, THE REQUEST IS TO HAVE THE BOARD DELIVER, UH, REQUEST URGENT STATUS SO THAT, UH, THE, UH, THE DRS 1309 BE DELIVERED BACK, UH, BY THE JUNE 26TH BOARD TIMELINE TO MOVE THAT EXPEDITIOUSLY THROUGH THE STAKEHOLDER PROCESS.

AND SO I BELIEVE THAT, UH, ULTIMATELY TAKES US THROUGH THE PRESENTATION.

THERE WAS A, A MEMO, A SHORT MEMO OUTLINING SOME OF THE HISTORY OF THE, THE NPR AND HOW WE ENDED UP WHERE WE ARE.

AND THEN ULTIMATELY WE DO HAVE THE, UH, WE DO HAVE THE RESOLUTION AT THE END.

SO HAPPY TO ANSWER YOUR QUESTIONS THAT YOU MAY HAVE.

SO, ANY QUESTIONS FOR KEITH ON THIS AGENDA ITEM? WHY NOT DESIGNATE NPR 1310 AS AN ARGENTINE AS AS WELL? UH, THAT'S, THAT'S, UH, AN INTERESTING QUESTION.

I THINK WE DID CONSIDER THAT AS WELL.

I THINK REALLY THE DIFFERENCE BETWEEN THE 1309 AND THE 1310 IS THE, THE 1309 IS, IS, UH, REALLY, UM, STRUCTURED TO MEET THE STATUTORY REQUIREMENTS.

AND SO THAT WAS REALLY THE FOCUS ON WHERE WE ARE HERE.

WE, WE RECOGNIZE THERE'S LIKELY TO BE LIVELY STAKEHOLDER DEBATE.

UH, WE ARE OPTIMISTIC THAT THAT CAN MOVE THROUGH THE STAKEHOLDER PROCESS EXPEDITIOUSLY, BUT, UH, WE DIDN'T NECESSARILY WANT TO BURDEN IT WITH A TIMELINE FOR THAT CHAIRMAN DE LISA.

YEAH, AND BEN, I WOULD ADD TO THAT, YOU'LL REMEMBER THAT HOUSE BILL 1500 FROM THE 88TH LEGISLATIVE SESSION, 2023 ACTUALLY REQUIRED, UM, DRS TO BE IMPLEMENTED BY DECEMBER OF 2024.

AND THEN WE RECEIVED THE LETTER THAT, THAT KEITH REFERENCED.

UM, SO I THINK IT MAKES SENSE TO, TO MAKE THIS A BOARD PRIORITY, TO GET IT THROUGH QUICKLY AND ALLOW MORE, UM, YOU KNOW, BROAD DEBATE ON, ON THE OTHER NPRR.

OKAY.

THANK YOU CHAIRMAN GLEASON.

ANY OTHER QUESTIONS, COMMENTS, DISCUSSION? JULIE? WELL, THIS QUESTION WAS ASKED AT THE PUC MEETING.

I THOUGHT IT'D BE GOOD FOR THE, THIS AUDIENCE TO HEAR THE QUESTION WAS, UH, WHY DID YOU BUNDLE THE TWO ELEMENTS TOGETHER IN 1310 VERSUS SEPARATE THEM? AGAIN, I THINK IT COMES DOWN TO A, A LOT OF THIS PARTICULAR DISCUSSION, IT WAS SOMETHING THAT WE HAD CONSIDERED AS WE WERE CRAFTING THE, THE, THE DIFFERENT NPRS OUR THOUGHT PROCESS WAS WE WANTED TO ALLOW THAT 1309, WHICH IS DIRECTLY CONNECTED TO THE STATUTORY REQUIREMENT.

AND AS, AS THE CHAIRMAN NOTED THAT IT'S, IT'S ULTIMATELY LATE.

UH, AND SO THE ABILITY TO MOVE THAT THROUGH THE PROCESS WITHOUT HAVING THE 1310, UM, AND, UH, HAVE THAT BE A DRAG ON THE PROCESS AS THERE'S LIKELY TO BE MORE DISCUSSION AROUND IT.

YEAH, I THINK IT WAS, UH, COMMISSIONER COURTNEY'S QUESTION ABOUT, UH, WHY NOT THREE NPRR OH, WHY NOT THREE? YEAH, IT WAS WHY'D YOU BUNDLE WITH RESOURCE ADEQUACY AND HAVING THE BATTERIES AS THAT COULD BE PROBLEMATIC WITH HAVING BOTH OF THEM COMBINED.

SO I THINK THAT'S WHAT OH, OKAY.

THAT WOULD, SORRY, I, I APPRECIATE THE CLARIFICATION IS THE, SO WE ALSO DISCUSSED THAT AS WELL IS, SO THERE'S THE, DO YOU COMBINE THEM ALL OR DO YOU DE DISAGGREGATE THEM ALL? AND SO I THINK OUR THOUGHT PROCESS THERE WAS THAT WE FELT THAT THE DISCUSSION TIMELINE ON THAT IS, UH, THAT THERE'S, THERE'S PLENTY OF DISCUSSION RUNWAY TO ALLOW BOTH OF THOSE ISSUES TO BE DISCUSSED SIMULTANEOUSLY.

UH, TO THE EXTENT THAT THE STAKEHOLDERS, UH, DECIDE THAT THEY'D LIKE TO GO A DIFFERENT PATH, THEY HAVE THE OPTION TO DO THAT.

BUT I THINK WE FELT THAT THOSE TWO ISSUES COULD BE COMBINED.

AND THEN THE OTHER POINT TOO IS THE IMPLEMENTATION ELEMENT OF IT IS THAT IF YOU PUT THOSE TWO TOGETHER AND WE'RE ABLE TO, TO MOVE THAT, UH, ALONG RELATIVELY QUICKLY, THERE ARE SOME BENEFITS FROM A DESIGN IMPLEMENTATION PERSPECTIVE AS TAKING THEM BOTH SIMULTANEOUSLY AS WELL.

OKAY.

ARE WE COMFORTABLE WITH WHERE WE ARE? OKAY, THANK YOU, KEITH.

IF THERE'S NO FURTHER DISCUSSION, I'LL ENTERTAIN A MOTION TO

[00:20:01]

SOMEBODY WANNA MAKE A MOTION? OH, THANK YOU JOHN.

AND A SECOND FROM LINDA.

ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ANY ABSTENTIONS? OKAY.

AGENDA ITEM 6.1 IS APPROVED.

JEFF, WOULD YOU PRE PLEASE

[6.2 Request to Designate as Board Priority Revision Requests NOGRR282, Large Electronic Load Ride-Through Requirements, and NPRR1308, Related to NOGRR282, Large Electronic Load Ride-Through Requirements]

THANK YOU, MR. CHAIRMAN.

SO, UM, SIMILAR TO KEITH, I HAVE TWO REVISION REQUESTS, UH, N-O-G-R-R 2 82, AND NPRR 1308, WHICH WE ARE REQUESTING THE BOARD DESIGNATE THOSE AS PRIORITY REVISION REQUESTS.

UH, MY PRESENTATION, I'LL, I'LL, UH, KIND LAY OUT WHAT, WHAT THOSE REVISION REQUESTS ARE ABOUT AND THEN, UM, AND THEN PRESENT THE, THE VOTING ITEM, WHY, WHY WE'RE REQUESTING THAT.

UH, BUT BEFORE I, UH, GET INTO THE, UH, REVISION REQUESTS THEMSELVES, I WANNA PROVIDE A LITTLE BACKGROUND.

UH, AS REBECCA NOTED, UH, WE HAVE A NUMBER OF, UH, INITIATIVES RELATED TO THE INTEGRATION OF LARGE LOADS.

UH, THESE REVISION REQUESTS ARE ADDRESSING THE ISSUE OF VOLTAGE, RIGHT THROUGH REQUIREMENTS FOR LARGE ELECTRONIC LOADS.

UH, SO, SO WHAT, WHAT IS THAT? WHAT IS VOLTAGE RIGHT THROUGH? UH, SO IT'S ESSENTIALLY WHEN YOU HAVE, UH, SOME SORT OF DISTURBANCE ON THE SYSTEM.

UH, SO YOU HAVE A, A LIGHTNING STRIKE OR MAYBE AN ANIMAL, UH, GET GETS INTO, UH, A SUBSTATION EQUIPMENT.

UM, ONE, ONE OF THE, UH, EVENTS ON THE GRAPHIC HERE WAS ACTUALLY A TORNADO THAT, UH, UH, HIT AND KNOCK DOWN THE TRANSMISSION LINE.

SO ANYTIME YOU HAVE A DISTURBANCE LIKE THAT ON THE, ON THE GRID MOMENTARILY, THE THE VOLTAGE WILL, UH, DECREASE FROM ITS NOMINAL VALUE.

AND, AND SO WE, WE SEE THIS, UH, IN OUR HOUSES, WE'RE FAMILIAR WITH THIS WHERE, UH, AS THE STORM COMES THROUGH, YOU'LL SEE YOUR, YOUR LIGHTS FLICKER AND MAYBE IF YOU HAVE A, A DESKTOP COMPUTER OR IF YOU HAVE A A, A TELEVISION ON, UH, THOSE WILL TRIP OFF.

UH, AND SO WE WOULD SAY THAT, THAT THOSE ARE NOT RIDING THROUGH THAT VOLTAGE DISTURBANCE, WHEREAS YOUR LIGHTS MIGHT JUST, UH, FLICKER, BUT THEY WILL STAY ON.

SO WE WOULD SAY YOUR LIGHTS ARE RIDING THROUGH THAT VOLTAGE DISTURBANCE.

UH, AND SO WHEN YOU HAVE SOMETHING LIKE THAT HAPPENS IN A, A NEIGHBORHOOD, THEN FROM A SYSTEM PERSPECTIVE, IT, IT'S NOT THAT BIG OF A DEAL.

BUT WHAT WE'RE SEEING IS AS WE GET MORE AND MORE DATA CENTERS WITH SENSITIVE COMPUTER EQUIPMENT THAT ARE CONNECTING IN, UH, CERTAIN LOCATIONS ON, ON THE GRID, WHAT WE'RE SEEING IS THAT THIS IS, UH, GROWING, UH, TO THE POINT WHERE IF, IF WE DO NOT MITIGATE IT, THEN WE WILL HAVE, WHEN YOU HAVE THE EQUIPMENT THAT TRIPS OFF INSTANTANEOUSLY, WE, WE WILL HAVE A LARGE IMBALANCE ON THE SYSTEM, WHICH COULD LEAD TO A CASCADING INSTABILITY ON THE SYSTEM.

AND, AND SO WE NEED TO MITIGATE THIS BEFORE WE HAVE, UH, THAT ISSUE GROW TO THAT POINT.

UH, AND SO THAT, THAT'S WHAT THESE, UH, REVISION REQUESTS ARE ABOUT.

UH, AND, AND ALSO WANT TO NOTE, SO WE HAVE SEEN 26 OF THESE EVENTS SINCE 2023, WHERE WE'VE HAD, THESE WE'RE CALLED LARGE ELECTRONIC LOADS THAT HAVE TRIPPED OFF FOR THESE KIND OF NORMAL MOMENTARY VOLTAGE DIPS ON THE SYSTEM.

UH, AND SO WE NEED TO ADDRESS THAT RELIABILITY RISK.

OKAY, SO WHAT, WHAT DO THESE REVISION REQUESTS DO? SO IN NPR 1308, UH, DEFINES A LARGE ELECTRONIC LOAD AS A LARGE LOAD, WHICH IS ALREADY DEFINED AS, AS A LOAD 75 MEGAWATTS OR LARGER, UH, A, A LARGE LOAD IN WHICH AT LEAST HALF OF THAT LOAD IS MADE UP OF COMPUTATIONAL LOAD.

SO THESE ARE DATA CENTERS AND, AND CRYPTO MINING FACILITIES, UH, PRIMARILY, UH, AND THEN NOER 2 82, IT SETS FORTH THE, THE TECHNICAL, UH, BOTH FREQUENCY AND VOLTAGE RIDE THROUGH REQUIREMENTS FOR THOSE LOADS.

UH, WE, WE TALK A LOT ABOUT THE VOLTAGE RIDE THROUGH REQUIREMENTS, UH, BECAUSE WE HAVE, UH, PRETTY REGULARLY ON THE SYSTEM WHAT WE'LL HAVE THESE VOLTAGE DISTURBANCES.

UH, WE, WE DON'T TALK AS MUCH ABOUT THE FREQUENCY, BUT THAT IS BY THE SAME PRINCIPLE THAT IS STILL AN IMPORTANT PART OF THESE REVISION REQUESTS.

AND SO NO 2 82 LAYS OUT BOTH THE FREQUENCY AND THE VOLTAGE WRITE THROUGH REQUIREMENTS.

UH, A COUPLE OTHER NOTES ON THE, UM, REVISION REQUESTS.

SO, UH, WE ARE PUTTING THE REQUIREMENTS DIRECTLY ON THE CUSTOMERS AND, UH, THAT ASPECT OF NPR 1308, WE EXPECT THAT TAC IS GONNA TAKE THAT UP AT THEIR NEXT MEETING AND HAVE A, UH, DISCUSSION ON, ON THAT.

UH, WE ARE ALSO JUST WANT TO NOTE THAT THESE ARE NOT RETROACTIVE REQUIREMENTS.

SO IF YOU HAVE AN EXISTING DATA CENTER, WE'RE NOT REQUIRING YOU TO GO BACK AND, UH, UPDATE YOUR SYSTEM.

UM, BUT WE ARE NOTING THAT IF THERE IS, UH, BE BECAUSE A EXISTING FACILITY OR FACILITY THAT IS UNDER CONSTRUCTION, IT, IT, IF THERE LACK OF RIDE THROUGH CAPABILITY WOULD CAUSE A RELIABILITY ISSUE ON

[00:25:01]

AND, AND SO THERE IS A CHANCE THAT AT SOMETIMES THAT WE COULD ASK THAT LOAD TO CURTAIL.

SO THERE IS A NATURAL INCENTIVE THERE FOR THOSE LOADS IF THEY CANNOT MEET THE RIGHT, THE REQUIREMENTS THAT THEY MAY DECIDE ON THEIR OWN THAT THEY WANT TO GO BACK AND RETROFIT THEIR EQUIPMENT.

SO BEFORE FILING THESE REVISION REQUESTS, UH, ERCOT WORKED PRETTY CLOSELY WITH, UH, THE TDS PS IN ERCOT.

UH, WE ALSO WORKED WITH A, UH, NUMBER OF THE LARGE ELECTRONIC LOAD DEVELOPERS, UH, AS WELL AS THE, UH, THE OEMS, THE, THE UPS VENDORS, BATTERY VENDORS, AND, UH, AND THOSE, UH, KIND OF FOLKS, UH, TO REALLY MAKE SURE THAT WE, WE GET THE TECHNICAL SPECIFICATIONS RIGHT ON THIS.

UH, BUT EVEN WITH THAT, I'LL SAY WE ARE BLAZING SOME NEW GROUND WITH THESE REVISION REQUESTS.

AND SO WE THINK THAT THERE IS STILL, UH, POTENTIAL THAT SOME OF THOSE TECHNICAL REQUIREMENTS, SOME OF THE DETAILS, UH, WILL NEED TO BE ADJUSTED AS, AS WE CONTINUE TO WORK, UH, THROUGH THIS PROCESS.

BUT I, I DO WANT TO GIVE CREDIT, UH, ESPECIALLY TO THE, UH, THE DATA CENTER COMMUNITY BECAUSE THEY HAVE, UH, I THINK WHEN WE FIRST STARTED HAVING THESE DISCUSSIONS SEVERAL YEARS AGO, MAYBE THREE, THREE AND A HALF YEARS AGO, UH, I WOULD SAY WE DID NOT GET AS FAVORABLE OR, OR RESPONSE, BUT I WOULD SAY IN THE LAST YEAR, UH, THOSE, UH, THAT THAT COMMUNITY HAS REALLY STEPPED UP AND THEY ARE ENGAGING WITH OUR ENGINEERS TO MAKE SURE THAT WE GET THE DETAILS RIGHT.

UH, JUST THIS LAST FRIDAY, UH, I WAS ON A CALL WITH, UH, COMPANY, PROBABLY A NAME EVERYBODY IN HERE WOULD RECOGNIZE, AND THEIR ENGINEERS ARE TALKING TO OUR ENGINEERS.

THEY ARE, UH, YOU KNOW, BEING VERY TRANSPARENT ABOUT THE ARCHITECTURE OF THEIR DATA CENTER, WHERE THEY THINK THESE, UH, THEY CAN MEET THESE REQUIREMENTS WHERE THEY'RE GONNA HAVE CHALLENGES.

AND, AND SO WE'RE HAVING GOOD DISCUSSIONS WITH THAT COMMUNITY.

AND SO I'M GONNA SAY THAT, UM, YOU KNOW, THEY'VE BEEN VERY RESPONSIVE, UH, ESPECIALLY IN THE LAST YEAR TO WORKING WITH US ON, ON THESE.

UM, SO, UH, AGAIN, WE'RE REQUESTING BOARD PRIORITY ON THESE REVISION REQUESTS.

UH, THE, UM, YOU KNOW, THE MAIN THING IS THAT THIS IS A GROWING RELIABILITY RISK IF WE DON'T MITIGATE IT.

UH, AND, AND SO THAT'S THE PRIMARY REASON WHY WE'RE REQUESTING THAT.

BUT ALSO THAT, UH, DATA CENTER COMMUNITY IS, UH, COMMUNICATING TO US THAT IT IS IMPORTANT THAT THEY HAVE CERTAINTY ON WHAT THEY'RE DESIGNING FOR THEIR, THEIR EQUIPMENT.

UH, AND SO WE NEED TO MAKE SURE THAT WE'RE MOVING THIS FORWARD, UH, IN AN EXPEDITIOUS MANNER.

UH, AND THEN LA LAST THING IS, UH, WE'RE JUST ASKING THAT, UH, THE BOARD HOLD ERCOT AND STAKEHOLDERS ACCOUNTABLE AND, AND, UH, AND, AND REQUEST THAT WE COME BACK TO YOU AT EACH BOARD MEETING WITH, UH, UPDATES ON WHERE WE'RE AT IN THE PROCESS.

SO, UH, WITH THAT, I'LL PAUSE AND SEE IF THERE ARE ANY QUESTIONS.

ANY QUESTIONS FOR JEFF? WELL, UH, JEFF, THANKS FOR THIS.

NPRR, THE, THE COMPANY YOU'RE DEALING WITH IS PUBLICLY POSTED ON THE ERCOT WEBSITE.

AND CAN YOU TALK A LITTLE BIT ABOUT WHAT THE KIND OF FEEDBACK YOU'RE GETTING ABOUT, ARE THEY PUSHING BACK ON COST HARDWARE, SOFTWARE? YEAH.

YEAH.

SO, UH, I, I WOULD SAY, UM, YEAH, WE'RE, WE'RE TALKING TO MULTIPLE COMPANIES, SO IT'S NOT JUST ONE, I, THERE'S ONE, ONE I KNOW THAT, THAT POSTED THEIR COMMENTS.

UH, I, I THINK, UH, THE FEEDBACK THAT WE'RE GETTING IS, UH, ONE IS THERE'S MAYBE SOME UNCERTAINTY WITH THE PROCESS, AND WHAT, WHAT DOES THIS MEAN FOR LOADS THAT ARE ALREADY, UH, YOU KNOW, THEY, THEY'VE ALREADY STARTED THE INTERCONNECTION PROCESS.

AND, AND SO I THINK WE NEED TO COMMUNICATE AND BE CLEAR ABOUT, UH, YOU KNOW, WHAT, WHAT, WHAT THOSE DEADLINES MEAN AND, AND WHAT THIS MEANS FOR THE LOADS THAT ARE ALREADY IN THE PROCESS.

UH, AND, AND THERE ARE, UH, I THINK THERE ARE SOME TECHNICAL DETAILS THAT, THAT WE'RE STILL HAVING TO WORK THROUGH.

I, I DON'T WANT TO GET TOO FAR IN, IN THE WEEDS ON THIS, BUT AS AN EXAMPLE, IT'S, UH, SO A LOT OF THESE DATA CENTERS, THEY, THEY BELIEVE THAT THEY CAN MEET THE REQUIREMENTS ON THE COM COMPUTE PART OF THE LOAD, BUT THEN THEY ALSO HAVE IN THE SAME FACILITIES, THEY ALSO HAVE AIR CONDITIONING, AND THEY'RE NOT SURE IF THE AIR CONDITIONING PART OF THE LOAD CAN MEET THESE REQUIREMENTS.

AND SO THERE, THERE ARE DETAILS LIKE THAT, THAT WE'RE, WE'RE JUST HAVING TO, TO WORK THROUGH WITH THE, UH, DEVELOPERS.

ANY OTHER QUESTIONS, COMMENTS, DISCUSSION? OKAY, I DON'T HEAR ANYTHING, SO I'M GONNA ASK KAITLYN SMITH TO COME UP ON DECK AND BE READY WHILE WE VOTE.

I'LL ENTERTAIN A MOTION TO APPROVE AGENDA ITEM 6.2, IN WHICH THESE TWO REVISION REQUESTS, NO, 2 82 AND NPR 1308 ARE DESIGNATED AS BOARD PRIORITY REVISION REQUEST AS PRESENTED.

OKAY.

THANK YOU, BENJAMIN.

SECOND.

THANK YOU, BILL.

ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ANY ABSTENTIONS? OKAY.

OKAY.

AGENDA ITEM

[00:30:01]

UH, CAITLYN SMITH IS

[7.1 Non-Unanimous and Other Selected Revision Requests Recommended by TAC for Approval]

THERE IS ONE REVISION REQUEST THAT T NON UNANIMOUSLY RECOMMENDED FOR A BOARD VOTE TODAY.

AND AGENDA ITEM 7.1 0.1, THAT'S NPR 1298.

TIMING REQUIREMENTS FOR COMMENTS TO SUBCOMMITTEE REPORTS.

CAITLYN, THE FLOOR IS YOURS.

THANK YOU, AND THANKS FOR THE ON DECK NOTICE.

UM, GOOD AFTERNOON.

I'M CAITLYN SMITH, CHAIR OF THE TECHNICAL ADVISORY COMMITTEE.

AS WE DO AT EACH OF YOUR BOARD MEETINGS, I WILL BE PRESENTING A SUMMARY OF OUR TECH MEETINGS THAT HAVE OCCURRED, UM, IN THIS CASE, OCTOBER AND NOVEMBER TECH MEETINGS.

BETWEEN THOSE TWO TAC MEETINGS, WE RECOMMENDED 15 REVISION REQUESTS.

ONE OF THOSE HAD AN OPPOSING VOTE, AS YOU NOTED.

UM, WE ALSO ENDORSED A SITE SPECIFIC EXEMPTION FROM PROTOCOL COMPLIANCE, AND WE ENDORSED THREE RPG PROJECTS, INCLUDING THE FIRST 7 65 KV PROJECTS TO COME IN FRONT OF STAKEHOLDERS.

SO WE WILL USE THIS OPPORTUNITY AT THE BOARD TO ELABORATE ON THE VOTING ITEMS AND, UH, OTHER MEETING HIGHLIGHTS.

HERE'S THE LIST OF THE 14 REVISION REQUESTS WITH NO OPPOSING VOTES.

YOU KNOW, I, I WANTED TO NOTE THAT ALTHOUGH THESE ARE UNOPPOSED, SEVERAL OF THESE ARE ISSUES THAT HAVE BEEN WORKED ON FOR MANY MONTHS OR MULTIPLE YEARS AND HAVE A BIG IMPACT FOR STAKEHOLDERS.

SO I JUST WANTED TO HIGHLIGHT ALL THE WORK WE'RE DOING.

I THINK WE HAVE A LOT OF SUCCESS IN COLLABORATING AND, AND YOU DON'T GET TO HEAR ABOUT THAT.

'CAUSE WHEN THEY COME TO YOU, THEY'RE UNOPPOSED.

SO NPR 1274 UPDATES THE CLASS, THE CAPITAL COST TIER CLASSIFICATION RULES THAT WE USE FOR RPG PROJECTS.

CHAD MENTIONED THAT NPR 1285 EXPANDS THE CURRENT RUCK OPT-OUT WINDOW TO INCENTIVIZE SELF-COMMITMENT, WHICH REDUCES RUCKS AND ASSOCIATED COSTS.

THIS, UH, WAS A DISCUSSION FOR YEARS.

WE'VE GONE KIND OF BACK AND FORTH ON BEING MORE CONSERVATIVE AND THEN FIGURING OUT THE, THE RIGHT RULES AROUND THAT.

UM, SO I THINK IT WAS A REALLY GOOD RESULT OF STAKEHOLDER COLLABORATION AND MPR 1287 REVISIONS TO THE OUTAGE COORDINATION.

ANOTHER ONE WHERE WE KIND OF STARTED WITH A, A DAILY LIMIT ON OUTAGES AFTER YURI, AND THEN WE WERE ABLE TO, TO KIND OF COLLABORATE AND REFINE LATER.

UH, AS THE CHAIRMAN NOTED, WE DID HAVE ONE REVISION REQUEST RECOMMENDED FOR APPROVAL BY TECH WITH OPPOSING VOTES.

THIS WAS MBR R 1298.

UH, REGARDING TIME TIMING REQUIREMENTS FOR COMMENTS TO SUBCOMMITTEES, UM, THIS NPR GIVES DISCRETION TO SUBCOMMITTEE, TO THE SUBCOMMITTEE ITSELF TO REVIEW COMMENTS TO REVISION REQUESTS ON THE PRS REPORT THAT ARE POSTED LESS THAN SIX DAYS IN ADVANCE OF THE NEXT SCHEDULED MEETING.

UM, THAT THE NPR HERE IS JUST FOR PRS, BUT I DO WANT TO NOTE THAT THERE ARE ADDITIONAL ADMINISTRATIVE REVISION REQUESTS FOR THE OTHER SUBCOMMITTEES.

SO WITH THOSE, THIS WOULD BE APPLIED TO, TO ALL OF OUR SUBCOMMITTEES UNDER THIS NPRR, THE SUBCOMMITTEE IS A BODY BASICALLY WOULD HAVE DISCRETION ON WHETHER THEY WERE GONNA TAKE UP COMMENTS FILED LESS THAN SIX DAYS AHEAD OF THEIR MEETING.

THE REVISION REQUEST ISN'T BIND THE SUBCOMMITTEE TO AN EXTRA VOTE OR SPECIFIC PROCESS, BUT IT'S UP TO THAT BODY.

UM, THIS REVISION REQUEST WAS SPONSORED BY VISTRA, BUT IT WAS REALLY THE RESULT OF FINDINGS AND DISCUSSION WE HAD FROM THE BIENNIAL TECH AND SUBCOMMITTEE STRUCTURAL REVIEW EARLIER THIS YEAR.

SO THANK YOU TO THE SPONSOR.

SHE REALLY PICKED UP THOSE RECOMMENDATIONS AND TOOK ACTION ON IT.

ESSENTIALLY, OUR SUBCOMMITTEE CHAIRS WERE FINDING THAT WHEN MATERIALS ARE, ARE FILED VERY SHORTLY BEFORE MEETING, IT'S DIFFICULT FOR LEADERSHIP TO PREPARE AND IT'S DIFFICULT FOR STAKEHOLDERS TO BE PREPARED TO VOTE.

UM, SO AT OUR NOVEMBER 19TH MEETING, TAC RECOMMENDED, UM, VOTED TO RECOMMEND APPROVAL OF NPR 1298.

THERE WAS ONE OPPOSING VOTE FROM THE INVESTOR OWNED UTILITY SEGMENT AND SIX ABSTENTIONS FROM THE CONSUMER, UM, INDEPENDENT GENERATOR AND INVESTOR OWNED UTILITY SEGMENTS.

WE DID HAVE A PRETTY ROBUST DISCUSSION AT TAC ON THIS.

AND AT THE, UM, A PREVIOUS MEETING OF THE PROTOCOL REVISION SUBCOMMITTEE, THERE WAS A FEELING FROM THE OPPOSING VOTES THAT THIS RULE WAS NOT NEEDED, AND THAT STAKEHOLDERS MAY ALREADY HAVE THE TOOLS THEY NEED TO ADDRESS LATE COMMENTS.

AND THIS MAY ADD AN ADDITIONAL LAYER OF COMPLEXITY TO THE PROCESS.

UM, I SEE THAT WE DID GET THE EXPLANATION OF OPPOSING VOTES UPDATED.

UM, THE OPPOSING VOTER FELT THAT BASICALLY WITH OR WITHOUT THIS NPR LATE FILED COMMENTS WOULD STILL BE CONSIDERED AT THE DISCRETION OF PRS, RIGHT? YOU CAN TABLE OR YOU CAN VOTE AGAINST IF YOU DIDN'T HAVE ENOUGH TIME AND THEY DIDN'T WANT TO VOTE FOR A MEASURE THAT IN THEIR EYES KIND OF DOES NOTHING.

UM, BUT THEY DID NOTE THAT THEIR, THEIR VIEW IS THAT APPROVAL OF THIS DOES NOT HURT THE STAKEHOLDER PROCESS.

SO HERE ARE HIGHLIGHTS.

WELL, I GUESS I'LL

[00:35:01]

ARE THERE ANY QUESTIONS ON, ON THIS? NPRR WITH THE OPPOSING VOTES? DOESN'T LOOK LIKE ANY STUFF.

OKAY, SO HERE ARE THE HIGHLIGHTS.

WE ALWAYS PUT A TON OF WORK ON THE, THE ONE SLIDE, UM, AND DO THE REVISION REQUEST PREVIOUSLY.

UM, SO THE, THE MAJOR TRANSMISSION ELEMENTS LIST AT OUR OCTOBER MEETING TECH VOTED UNANIMOUSLY TO APPROVE.

THIS LIST IS PRESENTED EVERY YEAR.

WE PRODUCE A LIST OF THE MAJOR TRANSMISSION ELEMENTS FROM OUR HIGH IMPACT TRANSMISSION ELEMENTS LIST, AS WELL AS ANY NEW IDENTIFIED ELEMENTS.

BASICALLY A LIST OF ELEMENTS WHERE TRANSMISSION ELEMENTS, WHERE OUTAGES ARE LIKELY TO RESULT IN HIGH COSTS, HIGH CONGESTION COSTS, SO THAT WE CAN HAVE MORE PROCESS AROUND SCHEDULING THOSE OUTAGES AND MORE TRANSPARENCY AROUND THOSE OUTAGES TECH PROCEDURES.

ALSO, AT OUR OCTOBER MEETING, WE VOTED UNANIMOUSLY TO APPROVE THE ATTACK PROCEDURES.

THIS REVISION, UH, WAS TO CAPTURE WHAT, WHAT WE SAW ON THE LAST SLIDE, HOW TAC MEMBERS SHOULD PROVIDE EXPLANATIONS FOR OPPOSING VOTES TO THE BOARD AND HOW ERCOT STAFF, HOW ANN, UH, WILL COLLECT THOSE.

BASICALLY CODIFYING WHAT WE'VE BEEN DOING FOR THE, THESE BOARD REPORTS FOR THE LAST COUPLE OF YEARS.

I THINK THIS HAS BEEN REALLY VALUABLE FOR PROVIDING THE BOARD WITH MORE INFORMATION.

I THINK HAVING IT IN PROCEDURES HELPS CLARIFY, YOU KNOW, THIS IS A PROCESS, IT'S NOT A BARRIER TO VOTING, NO, IT'S JUST TO GIVE MORE INFORMATION AND A PROCESS IMPROVEMENT.

THE RPG GROUP PROJECTS OR REGIONAL PLANNING GROUP PROJECTS, WE VOTED AT OUR NOVEMBER MEETING TO ENDORSE THREE RPG PROJECTS.

I'M GOING TO TAKE THESE OUT OF ORDER.

UM, FIRST I WOULD TAKE UP THE 7 65 KV STEP EASTERN BACKBONE PROJECT.

UM, THIS HAD TWO OPPOSING VOTES FROM THE COOPERATIVE SEGMENT AND TWO ABSTENTIONS FROM THE COOPERATIVE AND GENERATOR SEGMENTS.

UM, WE DID HAVE THOSE OPPOSING VOTES AND ABSTENTIONS HERE.

I THINK THAT IS, YOU KNOW, AN, AN APPROPRIATE EXPRESSION OF THE VIEWPOINTS ON THE RECORD HERE.

THIS PROJECT ON THE OTHER 7 65 KV PROJECT REPRESENT ABOUT, UM, $10 BILLION.

AND THEY'RE THE FIRST 7 65 KV PROJECTS THAT CAME IN FRONT OF STAKEHOLDERS.

I, I DEBATED THIS, BUT I WILL QUOTE ANOTHER STAKEHOLDER WHO SAID, THESE ARE BIG ASS PROJECTS.

UM, SO, YOU KNOW, WE DID REALLY WANT TO GIVE DUE CONSIDERATION TALK ABOUT ANY, YOU KNOW, REASONS TO OPPOSE AND ALL OF THAT.

YOU KNOW, THE WAY THE PROCESS WENT, THE INITIAL PERMIAN PLAN, WHICH THE, THE PUC DECIDED ON THE 7 65 KV WAS INITIATED THROUGH LEGISLATION AND THEN IMPLEMENTED THROUGH THE PUC.

SO THAT PERMIAN PLAN DIDN'T GO THROUGH THE STAKEHOLDER PROCESS, BUT NOW THE EASTERN BACKBONE AND KIND OF CONNECTING TO THE, THE PERMIAN TO UPGRADE THE WHOLE STATE TO 7 65 DID.

AND SO WE HAD A LOT OF ENGAGEMENT HERE, UM, PARTICULARLY FROM THE CONSUMER SEGMENT AS WELL AS THE TRANSMISSION SERVICE PROVIDERS, BOTH THOSE DIRECTLY INVOLVED AND THOSE NOT THE OPPOSING VOTE EXPLANATION.

WE GOT HERE FOCUSED ON THE ONGOING EFFORTS TO IMPLEMENT SB SIX OF THE COMMISSION, HOW WE VET LARGE LOADS THAT GO INTO THE, THE FORECAST WHEN WE'RE PLANNING TRANSMISSION AS WELL AS THE COST ALLOCATION PROJECTS.

THEIR THOUGHT WAS THAT THESE TRANSMISSION PROJECTS WOULD BE BETTER SERVED TO WAIT FOR THOSE LARGE LOAD RULES TO BE FORMULATED, WHICH COULD IN TURN COULD REDUCE COSTS OR BETTER ILLUMINATE WHO BEARS THE RESPONSIBILITY FOR THE COSTS.

IN ADDITION TO THAT EASTERN BACKBONE PROJECT, WE HAD A SECOND 7 65 KV PROJECT UNDER CONSIDERATION AT OUR NOVEMBER 19TH MEETING.

WE DID UNANIMOUSLY VOTE TO ENDORSE THE ENCORE AND A EP DRILL HOLD TO SAND LAKE TO SOLSTICE 7 65 KV LINE PROJECT.

AND THEN FINALLY WE HAD A THIRD RPG PROJECT, THE ENCORE CONNELL 3 45, 1 38 KV SWITCH AND CONNELL TO ROCK HOUND 3 45 DOUBLE CIRCUIT LINE PROJECT.

AND WE DID ENDORSE THE OPTION ONE.

ALL RIGHT, THE LAST ITEM ON THE SLIDE, UM, TAC AT THE NOVEMBER MEETING, VOTED UNANIMOUSLY TO RECOMMEND APPROVAL OF THE BHE POWER RESOURCES APPLICATION FOR PERMANENT SITE SPECIFIC ASSUMPTION FROM COMPLIANCE WITH NO ERCOT NODAL PROTOCOL SECTION 10.3, 2.3.

UH, THAT SECTION IS REGARDING NETTING ARRANGEMENTS, SO NET METERING AND UH, ANOTHER SECTION OF SECTION 10 ALLOWS FOR PERMANENT EXEMPTIONS TO PROTOCOLS WITH REQUIRED APPROVAL FROM ERCOT AND THE BOARD.

THESE EXEMPTIONS FROM PROTOCOL COMPLIANCE HAVE BEEN PRETTY INFREQUENTLY.

I UNDERSTAND THE LAST ONE WAS, I THINK 2020 OR 2021.

AND THE LOAD HERE IS A FACILITY THAT HAS BEEN IN OPERATIONS FOR 35 YEARS.

ESSENTIALLY, THEIR AUXILIARY

[00:40:01]

TAC VOTED UNANIMOUSLY TO APPROVE THIS.

AND YOU WILL HAVE MORE INFORMATION TOMORROW.

THIS CONCLUDES THE TAC REPORT.

OKAY, THANK YOU CAITLYN.

ANY QUESTIONS FOR CAITLYN? ALRIGHT, CAITLYN, WE APPRECIATE THE WORK THAT YOU AND MARTHA DO AS WELL AS ALL OF TAC AND THE STAKEHOLDERS AND ENGAGEMENT.

THANK YOU.

WE'RE HOPING TO BE BACK NEXT YEAR AND, AND CONTINUE.

I'M SURE THAT WILL HAPPEN.

UH, WE'LL NOW,

[7.1.1 NPRR1298, Timing Requirements for Comments to Subcommittee Reports]

THANK YOU PEGGY A SECOND FROM LINDA.

ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ANY ABSTENTIONS? NPR 1298 IS APPROVED.

WITH THAT IS AGENDA

[8. Confirmation of 2026 Technical Advisory Committee (TAC) Representatives]

WOULD ANY BOARD MEMBER LIKE TO COMMENT OR MAKE A A MOTION? I'LL BE HAPPY TO MAKE THE MOTION.

THANK YOU JULIE.

A SECOND.

UH, JOHN, ANY ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ANY ABSTENTIONS? OKAY.

THE TAC REPRESENTATIVES LIST IS APPROVED FOR 2026.

NEXT IS THE AGENDA.

[9. Independent Market Monitor (IMM) Report]

THIS IS A STANDING ITEM ON THE BOARD AGENDA.

WE'VE BEEN INFORMED BY THE IM IMM THAT THEY DO NOT PLAN TO PRESENT.

UH, DO ANY BOARD MEMBERS HAVE ANY QUESTIONS ON THIS ITEM? I DON'T HEAR ANY.

SO WE WILL, UH, MOVE ON.

UH, THE LAST ITEM ON THE

[10. Real-Time Co-optimization Update]

AS EVERYBODY KNOWS, RTC PLUS B WENT LIVE ON DECEMBER 5TH.

AND MATT, MATT MARINAS IS HERE TODAY TO PROVIDE AN UPDATE.

MATT? ALRIGHT, THANK YOU.

I GET THE GOOD JOB.

SO ON BEHALF OF THE ENTIRE STAKEHOLDER COMMUNITY, RUAN FAITH, THANK YOU AND MISSION ACCOMPLISHED.

IT WAS ABSOLUTELY BRILLIANT.

THANK YOU.

THANK YOU.

AND I WILL SAY JP UNPACKED IN THE EARLIER, UH, SESSION UNDER, UH, CHAIR SCH SWENSON IS THE IDEA OF YOU GO FROM THE PEC DOWN TO THE SERVERS BEING BUILT OUT TO ALL THE QUES IN THE COMMUNITY.

A LOT OF PEOPLE ON THAT SIDE OF THE ROOM DID A LOT OF WORK.

SO JUST THANK YOU TO EVERYONE.

SO I WILL JUST GO AHEAD AND GO THROUGH WHAT IT TOOK AND WHAT IT LOOKED LIKE TO GET THERE.

AND THEN WE'LL TAKE ANY QUESTIONS AT THE END.

ALRIGHT.

AS YOU RECALL, WE HAD A LOT OF THINGS TO DO IN THE TASK FORCE.

IT'S BEEN RUNNING FOR TWO YEARS.

IT WAS TO GO THROUGH PROTOCOL CLARIFICATIONS, DESIGN GAPS, UH, TRIALS, PLANNING AS A COLLABORATIVE PLANNING PROCESS, AS WELL AS THE HANDBOOKS TO GET US TO GO LIVE.

WE HAD THIS, UH, SOMEBODY ACTUALLY MADE A T-SHIRT OF THIS, IF YOU CAN BELIEVE HOW UGLY THAT T-SHIRT IS OF THE MARKET TRIAL'S PROGRESSION.

AND SO IT'S THE IDEA WHAT DID THE CONNECTIVITY TESTING LOOK LIKE IN MAY AND JUNE RUN OUR MARKETS.

WE'VE BEEN RUNNING OUR REAL TIME MARKET SINCE JULY 7TH OF THIS YEAR.

SO WE'VE ACTUALLY, UH, PROVEN THAT IN.

AND THEN IN SEPTEMBER AND OCTOBER IT WAS WHEN WE HAD OUR TWO CLOSED LOOP PRODUCTION TESTS.

THAT'S WHERE WE ACTUALLY RAN THE GRID ON THE REAL TIME CO OPTIMIZATION SYSTEMS. SO AT THE LAST BOARD MEETING, I TALKED TO YOU ABOUT THE SEPTEMBER 11TH TEST THAT WE HAD JUST COMPLETED.

AND SO FOR THIS SLIDE IT ALMOST FEELS, WELL IT'S HERE, BUT WE'RE LIVE NOW.

BUT IT WAS THE IDEA OF WHAT DID THE TEST LOOK LIKE.

SO AGAIN, ON OCTOBER 30TH FROM 10 35 TO 1235, UH, THAT WAS A MORNING, WE RAN ANOTHER WINDOW.

AND AGAIN, THIS IS WHERE ERCOT COORDINATED WITH THE SCHEDULING ENTITIES, ALL THE QU TO SWITCH OVER THE CONTROL SYSTEMS FOR TWO HOURS TO RUN THE GRID.

THAT'S FOR SCED TO ECONOMICALLY RUN AND DISPATCH EVERY FIVE MINUTES AND THE REGULATION SIGNAL EVERY FOUR MINUTES, UH, EVERY FOUR SECONDS, UH, AND KEEP THE LIGHTS ON.

SO THAT'S THE PROFILE OF THE FREQUENCY IN THE GREEN BOX THERE ON THE RIGHT IS VERY SMOOTH, A SMOOTH RIDE AS THEY WOULD SAY.

AND THEN IT GOT INTO, WELL WHAT DO NOVEMBER AND DECEMBER LOOK LIKE TO SET THE STAGE? AND SO WHAT WE HAD IN NOVEMBER WAS WEEKLY CALLS.

THOSE CONTINUED THE FIRST MONDAY.

WE'VE BEEN DOING THESE SINCE MAY AND WE STILL RAN OUR MARKETS.

SO EVEN THOUGH IT WAS A TRANSITION MONTH, IT WAS TO CONTINUE TO RUN THE MARKETS.

AND THEN AS WE CAME INTO DECEMBER 1ST, THAT WAS WHERE IT GOT REAL.

THAT WAS WHERE EVERY DAY FROM 10 TO 11, WE ARE ON THE PHONE WITH MARKET PARTICIPANTS SAYING, HERE'S THE CUTOVER PLAN.

AND HERE THIS IS THE WEIRD PARADIGM SHIFT AFTER COMING IN AFTER THANKSGIVING WAS AS YOU ENTER DATA INTO THIS MARKET TRIAL SYSTEM, IT IS ACTUALLY LIVE PRODUCTION DATA AS OF FRIDAY, SATURDAY, SUNDAY.

SO AT THAT POINT, WE'RE FLYING TWO AIRPLANES IN PARALLEL THROUGH THE WEEK.

AND THEN AS WE GOT INTO THE EVENING OF THE FOURTH AND

[00:45:01]

UH, AT ONE POINT, I WISH I HAD CAPTURED A SNAPSHOT OF IT, THERE'S A TEAMS INTERNAL TEAMS AND IT'S SHOWING HOW MANY PEOPLE FROM ERCOT ARE CONNECTED SUPPORTING ALL THIS UPGRADE PUNCH LIST.

AND IT'S 320 PEOPLE ARE ONLINE AT THE SAME TIME.

I DIDN'T KNOW TEAMS COULD HOLD THAT MANY PEOPLE NOR THE CHATTER AROUND IT, BUT IT DID BECAUSE IT SHARED A DISPLAY, IT SHARED A SPREADSHEET AS EACH SME AS EACH SUBJECT MATTER EXPERT DID THEIR JOB, THEY PUT IT IN, THEY INITIALED IT AND WE MOVED ON.

SO THAT'S A HUNDRED PLUS STEPS TO GET DOWN THE PUNCH LIST, BUT THAT'S THE TYPES OF PREPARATION AND COORDINATION IT TOOK TO GET THROUGH THAT.

AND SO THEN AS WE GET INTO THE MIDNIGHT HOUR OR CLOSER TO MIDNIGHT, WHAT WE DID TO CLOSELY COORDINATE WITH THE MARKET WAS ACTUALLY OPEN A 9:00 AM TO 9:00 PM BOY, I GOT GRACE FOR MISTAKES AT THIS POINT.

SO THAT WAS A 9:00 PM TO 3:00 AM WEBEX IS WHAT WE HAD.

SORRY FOR THE TYPO RIGHT HERE.

SO THAT EVENING SUN GOES DOWN, THE MARKET IS GETTING READY TO TRANSITION, ERCOT IS RUNNING THE UPGRADES.

SO WE OPEN UP A WEBEX FOR THE QUEASY WITH RESOURCES TO COORDINATE JUST LIKE WE'VE DONE FOR THOSE LOAD FREQUENCY CONTROL TESTS.