* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:03] OKAY. ALL RIGHT. UM, GOOD MORNING. IT'S AUGUST 26TH. THIS IS OUR REGULAR AUGUST TECH MEETING. WE ARE NOT IN PERSON AS BRITTANY SAID, UM, BUT HOPEFULLY WE WILL BE IN OCTOBER. THERE'S NO SEPTEMBER MEETING. THE ANTITRUST IS ON THE SCREEN. [1. Antitrust Admonition ] UH, TO AVOID RAISING CONCERNS ABOUT ANTITRUST LIABILITY, PARTICIPANTS IN ORCO ACTIVITIES SHOULD REFRAIN FROM PROPO PROPOSING ANY ACTION ERROR MEASURE THAT WOULD EXCEED OR COS AUTHORITY UNDER FEDERAL, STATE, OR STATE LAW. AND THERE IS MORE INFORMATION ON THE WEBSITE FOR ALT REPS AND PROXIES TODAY IN THE CONSUMER SEGMENT. UM, THE COMMERCIAL REP, CHRIS BREWSTER, FOR CITY OF EASTLAND HAS GIVEN HIS PROXY TO BETH GARZA IN THE COOPERATIVE SEGMENT. UH, MIKE WIFE FROM GOLDEN SPREAD HAS ALT REP JOE DAN WILSON. UM, JOHN PACKARD FOR STACK HAS ALT REP LUCAS TURNER, UM, IN THE INDEPENDENT POWER MARKETER SEGMENT. REV HAS ALT REP SHANE THOMAS, AND WE HAVE A NEW LEASE SEATED SAME PERSON. UH, IAN HALEY RETURNS NOW FOR TRAFFIC ERROR TRADING. NEW SEATED THIS MONTH, AND IN THE I REP SEGMENT, BILL BARNES FOR RELIANCE HAS GIVEN HIS PROXY TO JEN SCHMIDT AND THE MUNICIPAL SEGMENT. DAVID KEY HAS FOR CPS HAS GIVEN HIS OUR REP TO DIANA GOLDMAN. IS THAT ALL OF THEM, BRITTANY, OR DO WE HAVE ANY LAST MINUTE? OKAY. I DON'T HAVE ANY LAST MINUTE, UH, RIGHT. THEME OF THE MONTH. UH, WE, THIS MONTH IT IS OUR VERY SPECIAL, UH, AIO MEMBER KEITH COLLIN, CAN YOU TELL US WHAT THE THEME FOR AUGUST IS? ALRIGHT, SO YES, I CAN COVER THE THEME OF THE MONTH FOR THIS MONTH. IT IS THAT HAVE, UH, KIDS A SPECIAL TIME OF YEAR AS THEY HEAD BACK TO SCHOOL. AND SO I HAVE THREE, AND THEY'RE ALL IN SCHOOL. UM, STARTED JUST A COUPLE WEEKS AGO. AND SO, UM, AGAIN, IT'S, IT'S A WONDERFUL TIME OF YEAR TO HAVE HAVE THEM BACK IN SCHOOL. SO I IMAGINE THAT, YOU KNOW, FOR OUR THEME, IF WE WERE TO HAVE A BREAK, WHICH MAY OR MAY NOT HAPPEN, BUT IF WE WERE TO HAVE ONE, WE WOULD GO TO RECESS, RIGHT? SO, UM, AND SO THAT, THAT I THINK IS, IS, IS A GREAT WAY TO, TO THINK ABOUT, THERE ARE LOTS OF POTENTIAL OPTIONS ON HOW WE, WE MAY THINK ABOUT THE SCHOOL THINGS WE REMEMBER FROM OUR PAST. NOW, ONE THING I WILL NOTE, IF YOU WERE TO WANDER THE HALLS OF, YOU KNOW, THE SCHOOLS TODAY, THEY USE A VERY CURIOUS, UH, DIALECT AND, AND LINGO THAT WE MAY NOT UNDERSTAND. AND SO I'LL GIVE YOU AN EXAMPLE OF THIS QUICKLY. UM, SO FOR INSTANCE, YOU MAY THINK OF FOLKS THAT, UM, FROM, FROM YOUR PAST, LIKE FERRIS BUELLER, FROM JAMES DEAN, AND YOU MIGHT SAY, THOSE ARE REALLY COOL, COOL PEOPLE, RIGHT? BUT THEY DON'T SAY THAT ANYMORE, RIGHT? UM, THEY USE A TERM LIKE INFINITY AURA. AND SO WHAT DOES INFINITY AURA MEAN? WELL, YOU CAN GOOGLE IT, AND I HAVE DONE THAT FOR US. THEN IT SAYS SOMEONE WITH LIMITLESS AMOUNT OF COOLNESS PRESENCE OR EFFORTLESS CHARM. SO IN ADDITION TO SCHOOL TERMS, WE CAN USE SLANG THAT OUR SCHOOL KIDS WOULD USE. SO AGAIN, SCV, RIZ, OHIO, LET'S GO BACK TO SCHOOL. THANKS, EVERYBODY. ALL RIGHT, KEITH, UM, THAT WAS QUIET. THE, THE INTRO, BUT THE THEME IS KIDS PLAYING BACK TO SCHOOL, THINGS THEY WOULD SAY AT SCHOOL. THE THEME IS BACK TO SCHOOL. THE THEME IS BACK TO SCHOOL. AND THAT CAN INCLUDE THINGS THAT KID WOULD SAY IN SCHOOL OR THINGS ABOUT SCHOOL. THANKS. AWESOME. UM, I THINK IT'S A LITTLE TOO HOT FOR, FOR RECESS. AND I HAD SIX, SEVEN IS IS OVER, RIGHT? BECAUSE THE NEW YORK TIMES OR THE NEW YORKER WROTE ABOUT IT, SO IT'S OVER. OH, NO, IT'S STILL THERE. ALRIGHT, UM, OKAY. BACK TO SCHOOL. ALRIGHT, SO NEXT MONTH IF WE WERE IN THE ROOM, WE WOULD GO AROUND THE CIRCLE. UM, MUNICIPALLY OWNED UTILITIES. CAN YOU GUYS DO OCTOBER? DIANA? YES. SAYING YES FOR YOU. ALRIGHT. OKAY, SO, WE'LL, AND SO IN [00:05:01] OCTOBER WE WILL DO THE MUNICIPAL AND UTILITIES. WE'LL DO THE SAME OF THE MONTH. AND THIS MONTH THE SAME IS BACK TO SCHOOL, WHICH MAKES SENSE. IT'S BACK TO SCHOOL. ALRIGHT, MOVING ON [2. Approval of TAC Meeting Minutes (Vote) ] WITH THE AGENDA. UH, FOR OUR MEETING MINUTES, WE'RE LOOKING TO APPROVE THE JULY 29TH MEETING MINUTES AS PRESENTED. NED DOESN'T HAVE ANY EDITS. SUSIE, DO WE HAVE ANY OTHER EDITS OR NOT? SUSIE? BRITTANY. BRITTANY, DO WE HAVE ANY OTHER EDITS? SUSAN MEETING MINUTES? I, I DIDN'T RECEIVE ANY. NO. OKAY. SO WE ARE LOOKING TO APPROVE THE JULY 29TH, UH, 2026 MEETING, MINUTES OF PREVENTED, CAN WE PUT THAT ON THE COMBO BALLOT COMBO? AWESOME. I WILL NEED TO GET A COUPLE OF COMBOS IN THE CHAT SINCE I CAN'T SEE HEAD NODS. OKAY, NOW WE ARE ON TO OUR, [3. Meeting Updates ] UH, MEETING UPDATES. WE'VE NOT HAD ANY BOARD OR PUC OPEN MEETINGS WHERE REVISION REQUESTS HAVE BEEN APPROVED SINCE OUR JULY MEETING. UH, WE WILL HAVE A BOARD MEETING IN SEPTEMBER AND THEN ONE IN DECEMBER. BUT EFFECTIVELY TODAY IS A VERY SPECIAL TECH BECAUSE IT'S THE LAST TECH MEETING FOR US TO RECOMMEND THINGS THAT WILL BE FULLY APPROVED BY THE END OF THE YEAR. UM, WE HAVE HAD SOME OPEN MEETINGS SINCE THE JULY TECH MEETING, BUT I'D LIKE TO SAVE DISCUSSION ON BATCH AND TRANSMISSION PLANNING TO THAT LATER SECTION OF THE AGENDA. AND I DO BELIEVE STAFF HAS SOME OTHER UPDATES ABOUT PUC PROJECTS. UM, IKA ARE, ARE YOU THERE TO, TO GIVE US THOSE UPDATES? YES, KATELYN, THANK YOU. CAN YOU HEAR ME? YES, I CAN HEAR YOU. OKAY. I HAVE A SHORT UPDATE. UH, SO I REALLY WANNA THANK TECH FOR THE STATE OF THE MARKET ANNUAL WORKSHOP. AS I SAID BEFORE, THAT WILL BE REALLY GREAT IF WE DO THIS EVERY YEAR. AND BEFORE STAFF OR ERCOT FILES RESPONSES, IT'S REALLY GREAT TO HEAR FROM THE STAKEHOLDERS AND GO TO EACH INDIVIDUAL RECOMMENDATION. THIS YEAR, WE DIDN'T DO THAT, WE DIDN'T HAVE TIME, BUT THAT WILL BE GREAT FOR THE FUTURE YEARS. THAT'S ONE, UH, FEEDBACK I HAVE. THE OTHER ONE I'M SURE. I DON'T KNOW IF YOU ARE FAMILIAR IN THE STAFF, UH, RESPONSE TO STATE OF THE MARKET REPORT. THE PROJECT 3 4 6 7 7, UH, COMMISSION AGREED WITH STAFF RECOMMENDATION THAT THE ASCS MEMO FROM 2019 RESTRICTING IT TO THE ORDC RESULTS IS NO LONGER BINDING. AND, UH, RELATED TO THAT, IN PROJECT 5 9 5 5 0 REVIEW OF TAG 2 5 5 4 9, THAT REQUIRES US REVIEW EVERY FIVE YEARS, ALL THE OFFER CAPS AND ALL THE OFFER CAP PROGRAMS. SO WE ADDED A QUESTION ABOUT ASCS IN THAT AS WELL. AND, UH, I THINK THE RESPONSES ARE DUE SEPTEMBER 17. SO PLEASE, UH, PROVIDE FEEDBACK AGAIN, 5 9 5 5. AND TODAY WE ARE ALSO GONNA FILE A MEMO FOR THE PROJECT 5 8 5 5 5. THIS IS ANSWER THE SERVICE COST ALLOCATION STUDY REQUIRED BY PIRA. AND, UH, WE ARE GONNA HAVE A WORKSHOP AT SEPTEMBER 22ND AT THE PUC, BUT, UH, WE WILL FILE A MEMO WITH MORE DETAILS ON THAT. UM, THAT'S ALL I HAVE. OKAY. THANK YOU FOR THOSE UPDATES. ANY QUESTIONS OR COMMENTS? RIGHT, I AM NOT SEEING ANYTHING IN THE QUEUE. THANKS, IKA. WE ARE NOW GOING TO [4. Review of Revision Request Summary/ERCOT Market Impact Statement/Opinions] OUR REVIEW OF REVISION REQUEST SUMMARIES, ERCOT MARKET IMPACT STATEMENTS AND OPINIONS, AND I WILL TURN IT OVER TO ANN. ALL RIGHT, THANKS CAITLYN. THIS IS ANNE BORN WITH ERCOT. UM, SO FOR REVISION REQUEST SUMMARY, WE HAVE A TOTAL OF 14 REVISION REQUEST FOR TAT CONSIDERATION THIS MONTH FOR A REASON FOR REVISIONS, WE HAVE 10 THAT ARE GENERAL SYSTEM PROCESS IMPROVEMENTS, TWO THAT ARE STRATEGIC PLAN, OBJECTIVE ONE, UM, ONE THAT IS STRATEGIC PLAN, OBJECTIVE TWO, AND THEN ONE THAT IS REGULATORY REQUIREMENTS FOR IMPACTS. I BELIEVE WE HAVE SIX THAT ARE KNOWN IMPACT, AND THEN EIGHT THAT DO HAVE IMPACTS. I'LL HIGHLIGHT 1214, IT DOES HAVE THAT 900 TO 1.2 MILLION. UM, AND THEN 1338 HAS SEVEN 50 TO 1.25 MILLION. UM, AND WE CAN TAKE A LOOK AT THOSE FURTHER IN THE PRS REPORT. AND THEN I'LL POINT OUT PG 1 44 ALSO HAS A ONE FTE IMPACT, UM, ERCOT OPINIONS AND MARKET IMPACT STATEMENTS. [00:10:01] ERCOT DOES SUPPORT ALL OF THE REVISION REQUESTS AND HAVE PROVIDED, UM, THE POSITIVE MARKET IMPACT STATEMENTS, NO CREDIT IMPACTS FOR ANY OF THE NPR R AND THEN THE IMM DOES SUPPORT 1214, UM, WHICH THEY DO HAVE COMMENTS ON THAT ONE. 1337 ALSO HAVE COMMENTS ON THAT ONE. AND THEN 1342 AND NO OPINION ON THE REST OF THE GER REQUESTS. CALIN, IF YOU'RE TALKING WE CAN'T HEAR YOU. I WAS TALKING . OKAY. [5. PRS Report (Vote) ] ALRIGHT, LET'S GO TO, LET'S PRETEND THAT DIDN'T HAPPEN. UM, LET'S GO TO THE PRS REPORT. DIANA, LET'S DO THESE THE WAY, UM, WE HAVE SIMILARLY IN THE PAST, SO THEY'RE ALL ON THE POST, BUT WHY DON'T WE TAKE UP THE SLIDE TWO FIRST AND PAUSE, AND THEN TAKE UP THE OTHER SLIDES AFTER THAT. YOU READY, DIANA? OKAY, THERE WE GO. CAITLYN, CAN YOU HEAR ME? YES. OKAY. ALL RIGHT. KEEPING WITH THE THEME, WE ARE LOWKEY EXCITED TO GIVE THIS PRS REPORT THIS MORNING. WE'LL START WITH SLIDE 2, 13 36. ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO VOTE. 1336 URGENT STATUS, UM, AS AMENDED BY THE AUGUST 6TH C**K. COMMENTS AND FORWARD TO TAG THE, UM, AUGUST 11TH REVISED IA FOR 1339. IN JULY, WE VOTED UNANIMOUSLY TO RECOMMEND APPROVAL SUBMITTED, AND ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO ENDORSE AND FORWARD TO TAG THE JULY 15TH PRS REPORT IN THE MAY 29TH IA. I WILL NOTE THAT OUR COP FILED COMMENTS AFTER THE PRS REPORT ON AUGUST 14TH FOR 13 39, 13 41. ON JULY 15TH, PRS VOTED UNANIMOUSLY TO RECOMMEND APPROVAL OF 1341 AS SUBMITTED ON AUGUST 12TH. WE VOTED UNANIMOUSLY TO ENDORSE AND FORWARD TO TRACK THE JULY 15TH PRS REPORT WITH THE JUNE 23RD IA. AND THEN FINALLY, 1344 ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO GRANT 1344 URGENT STATUS AND RECOMMEND APPROVAL AS SUBMITTED AND SUBMITTING TO PACK WITH THE JULY 28TH. I ALL NO IMPACT, ALL UNOPPOSED. OKAY, SO ON NPR 1339, WE DO HAVE EIGHT 14 OR COMMENTS THAT CAME IN AFTER PRS. DO WE WANNA TAKE A LOOK AT THOSE COMMENTS? ENO, DO YOU WANT TO SPEAK TO THESE? UH, CAN YOU HEAR ME? YEP. GREAT. THANK YOU. YES, THANKS. UM, WE, WE FILE COMMENTS TO, UH, REMOVE THE, UH, REALTIME PRICE ONLINE RESERVES FROM THE EQUATION TO CALCULATE THE FINANCIAL ATTEST LOSSES. AND THE REASON WHY IT WAS NOT CATCH BEFORE IS BECAUSE THAT CALCULATION IS, IS HAS, IT'S NOT IN THE SYSTEM. IT'S, UH, IT'S, IT'S MANUALLY CALCULATED, BUT THE EQUATIONS ARE SHOWN IN THE PROTOCOLS AND IT WASN'T, UH, UM, AVAILABLE OR PEOPLE DIDN'T, WE DIDN'T REALIZE IT, UH, AT THE TIME WE SUBMITTED, UH, 1339. SO IT'S, UH, IT'S, IT SHOULDN'T HAVE ANY SYSTEM IMPACT BECAUSE IT'S NOT IN THE SYSTEM. UH, BUT THAT BUILD TERMINAL IS NO LONGER BEING USED AND THAT HE WENT AWAY WITH, UH, REAL TIME CO OPTIMIZATION. OKAY, THAT'S PRETTY STRAIGHTFORWARD. ANY, [00:15:01] UH, QUESTIONS OR COMMENTS FOR ENO? SO FOR NPR 1339, WE'D BE LOOKING TO RECOMMEND APPROVAL AS RECOMMENDED BY PIST IN THE A 12 PRS REPORT AS AMENDED BY THE EIGHT 14 NARCOTIC COMMENT IS ANY, IS EVERYBODY OKAY WITH THAT GOING IN THE COMBO BALLOT FOR 1339? AWESOME. OKAY, SO FOR THE REST OF SLIDE TWO, WE'RE ALSO LOOKING TO RECOMMEND APPROVAL OF NPR 1336 IS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. NPR 1341 IS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. AND NPRR 1344 IS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. ARE WE ALSO OKAY WITH THESE ON THE COMBO BALLOT? AWESOME. SLIDE TWO. WE GOOD ON THAT, COREY? YES, MA'AM. ALL RIGHT, DIANA, I THINK YOU CAN DO, UH, BOTH SLIDES THREE AND SLIDE FOUR IF YOU WANT. OKAY. STARTING ON 1214. SO I'LL JUST SAVE AT THIS REVISION REQUEST WAS FILED IN DECEMBER OF 2023. THERE HAVE BEEN MANY COMMENTS FILED, A LOT OF SUBCOMMITTEE REVIEW AND A REVISED IA THAT WAS FILED ON AUGUST 11TH. THIS HAS, UH, GONE THROUGH THE WHOLE GAMUT OF REVIEW. AND THEN ON AUGUST 12TH, PRS VOTED UNANIMOUSLY TO ENDORSE AND FORWARD ATTACK, UM, THE JULY 15TH PRS REPORT AND THE AUGUST 11TH REVISED IA WITH THE RECOMMENDED PRIORITY RANK THAT WE SEE THERE ON THE SCREEN. 1329 ON MAY 6TH, WE VOTED UNANIMOUSLY TO RECOMMEND APPROVAL AS SUBMITTED. AND THEN ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO ENDORSE AND FORWARD ATTACK THE JUNE 10TH PRS REPORT AS REVISED BY PRS IN THE AUGUST 11TH IA 13TH 31. ON JULY 15TH, WE VOTED UNANIMOUSLY TO RECOMMEND APPROVAL AS SUBMITTED. AND THEN ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO ENDORSE AND FORWARD TO ATTACK THE JULY 15TH GRS REPORT IN THE AUGUST 7TH IA. AND THEN FOR 1335, THIS HAS ALSO HAD SEVERAL COMMENTS BY ERCOT AND SUBCOMMITTEES. ON AUGUST 12TH, WE VOTED UNANIMOUSLY TO GRANT URGENT STATUS, UM, AS AMENDED BY THE JULY 1ST ARE CAUGHT COMMENTS AND FORWARD ATTACK THE MAY 26TH IA AND THE RECOMMENDED EFFECTIVE DATE OF THE DAY AFTER THIS COMMISSION APPROVAL. I SEE. DO YOU WANT ME TO PAUSE THERE AND I SEE BOB HAS A NOTE FOR THE IA ON 1214, OR DO YOU WANT ME TO KEEP GOING? WHY DON'T WE KEEP GOING? I THINK, UM, ON THE NEXT SLIDE, WE HAVE TWO WITH THE IA OVER A MILLION, SO I THINK WE'LL REVIEW BOTH OF THOSE. BUT WHY, WHY DON'T YOU JUST GO AHEAD AND KEEP GOING. OKAY. SO 1337 IN AUGUST, WE VOTED UNANIMOUSLY TO GRANT 1337 URGENT STATUS, UM, AS AMENDED BY THE AUGUST 3RD ERCOT COMMENTS AND FORWARD TO TAC WITH THE MAY 26TH IA. THERE WAS A LOT OF DISCUSSION AND COMMENTS IN THE MULTIPLE STAKEHOLDER MEETINGS. ERCOT STAFF RESPONDED WITH IMPROVEMENTS TO THEIR LANGUAGE AS A RESULT OF THAT STAKEHOLDER FEEDBACK AND ERCOT STAFF DID REITERATE A STRONG DESIRE TO, UH, POSITION THE CHANGES IN 1337 TO BECOME EFFECTIVE BY THE END OF 2026 AND REQUESTED URGENT STATUS TO MAINTAIN THAT TIMELINE. 13TH 38TH ON JULY 15TH, WE VOTED UNANIMOUSLY TO RECOMMEND APPROVAL AS SUBMITTED. ALL, LET'S SEE, PRS VOTED UNANIMOUSLY IN AUGUST IN FLORIDA TO ATTACK THE JULY 15TH PRS REPORT WITH THE MAY 29TH IA. AND THEN FINALLY WE HAVE 1342, UM, WE VOTED UNANIMOUSLY TO GRANT THIS URGENT STATUS AND FORWARD TAG BE JULY, EXCUSE ME, THE JUNE 30TH IA WITH THE RECOMMENDED PRIORITY AND RANK SEEN THERE ON THE SCREEN. HAND IT OVER TO YOU, CALY. YEP, WE HAVE TWO, TWO OF THESE HAVE PRETTY HIGH IAS, SO, UM, THE SOURCE IS, AS BOB HILTON REQUESTED, IS NPR 1214. WE CAN TAKE A LOOK AT THAT. [00:20:02] OKAY. SO ANY QUESTIONS OR COMMENTS ON THIS? YEP, THAT'S, UH, SHANE. UH, YEAH, THANK YOU. UH, SHANE, THOMAS, MICHELLE, UM, THIS, UH, , UH, HAS QUITE A LONG RUNWAY TO GET, UH, IMPLEMENTED AND THERE ARE SEVERAL VERY IMPORTANT THINGS THAT HAVE BEEN ROLLED INTO IT AS THIS HAS, LIKE HAS SET THERE AT PRS. AND I GUESS I WANNA SAY THAT IT WOULD BE LIKE LOW KEY COOKED IF WE WERE TO IMPLEMENT CONTRACTS FOR CAPACITY AND WE WEREN'T ABLE TO ADD THAT IMPACT INTO OUR DPA BEFORE THIS WAS, THIS WAS THOUGHT. SO, UM, IF THERE'S ANY WAY THAT WE CAN KIND OF SPEED UP THAT PORTION OF IT OR I JUST WANNA MAKE SURE THAT WE'RE ALL AWARE OF THE IMPORTANCE OF THIS GOING FORWARD. OKAY. DO YOU WANT, UH, TROY OR SOMEONE FROM WORK OUT TO TALK ABOUT THE IMPLEMENTATION TIME? UH, THAT WOULD BE GOOD. AND WHERE THEY SEE THIS FITTING WITH ALL THE OTHER STUFF THAT'S, UH, THE DRRS THAT'S GONNA BE TAKING UP ALL THE PROJECT CAPACITY NEXT YEAR. OKAY. THIS IS TROY ANDERSON, I CAN ANSWER. AND THEN ANY OTHER ERCOT FOLKS WHO WOULD LIKE TO CHIME IN. UM, WE'VE, UH, NOTED, UH, SHANE'S COMMENT FROM PRS ABOUT IF THERE IS A WAY WE CAN PIECEMEAL THIS AT ALL, AND WE'RE CERTAINLY GONNA BE LOOKING AT THAT. UM, UH, NEXT YEAR IS GONNA BE A BUSY YEAR WITH SOME MAJOR EFFORTS GOING ON, BUT WE ARE GONNA TRY TO SEE IF THERE ARE PORTIONS OF THIS THAT CAN SOMEHOW, ESPECIALLY THE, SOME OF THE HIGHER IMPACT PORTIONS, WE'LL SEE IF THEY CAN MOVE FORWARD. WE'RE NOT AT A POINT TO BE ABLE TO MAKE ANY COMMITMENTS ON THAT TODAY, BUT CERTAINLY IT'S GONNA BE ON OUR MIND AS WE LOOK AT ACTIVITIES FOR NEXT YEAR. OKAY. LET'S GO TO SETH. YEAH, I JUST WANNA SORT OF, UH, TAG ON WITH WHAT SHANE WAS SAYING. IT'S AN IMPORTANT NPRI THINK IT'S ONE OF THOSE THINGS WHERE, UH, IT BECOMES MORE IMPORTANT AS TIME GOES ON AND MAYBE WE HAVE A CONTRACTS FOR CAPACITY, JUST LIKE WITH THE BRO RMR, WE HAD A SOLUTION SITTING OUT FOR YEARS THAT WE NEVER ACTED ON, AND THEN WE GET TO THE POINT WHERE WE ACTUALLY HAVE AN RMR RESOURCE AND THEN WE'RE BEHIND ON IT. SO I THINK WE NEED TO BE PROACTIVE ON THESE PRICE FORMATION SOLUTIONS SO THAT WE DON'T GET OURSELVES INTO SITUATIONS WHERE WE'RE SAYING, OH MAN, I WISH WE WOULD'VE IMPLEMENTED THIS NOW THAT WE HAVE ONE OF THESE CONTRACTS FOR CAPACITY. OKAY. THANKS. UH, THANKS SETH. I SEE KEITH IN THE CHAT. GO AHEAD KEITH. YEAH, I JUST TO FOLLOW UP ON THE COMMENTS FROM, FROM SHANE AND, AND SETH, I THINK WE, WE DEFINITELY AGREE THAT 1214 HAS, THERE'S A LOT IN THERE THAT WE LIKE, THERE'S A LOT IN THERE, LOTS OF FOLKS. LIKE, I THINK THE CHALLENGE IS WE'VE GOT FIRMING AND WE'VE GOT, UM, AND LEGISLATIVELY MANDATED REQUIREMENTS ON THINGS LIKE FIRMING AND DRS WE'LL FIT IT IN. UH, IT'S JUST WE'RE, WE'RE TRYING TO MANAGE IT WITH ALL THESE OTHER THINGS. SO YEAH, WE'LL MOVE AS QUICKLY AS WE CAN, BUT AT THE SAME TIME, LOTS OF COMPETING PRIORITIES. UH, BUT WE DO SEE THE BENEFITS OF THIS. THANKS. OKAY, NED, WOULD YOU LIKE TO WEIGH IN? I WAS MOSTLY TRYING TO HIT THE THEME OF THE MONTH, BUT I AGREE WITH, UH, THAT'S WHAT I THOUGHT SHANNON STAFF AND, UM, YOU KNOW, KEITH APPRECIATE YOU'VE GOT MULTIPLE THINGS ON YOUR PLATE. I THINK THIS IS, I MEAN, IN TERMS OF SENDING, YOU KNOW, APPROPRIATE MARKET SIGNALS, THIS ONE PROBABLY RISES HIGHER THAN SOME OF THE OTHERS, EVEN IF THEY HAVE OTHER, UM, UH, OTHER JUICE ON THEM. SO, UM, I AGREE WITH THE, UH, THE SENTIMENT THAT WE SHOULD MOVE THIS ONE ON ALONG. AND IF WE CAN'T MOVE IT TO THE COMBO BALLOT, I'M WILLING TO MAKE THE MOTION. I THINK WE CAN MOVE IT TO THE COMBO BALLOT. IT WOULD BE TO RECOMMEND APPROVAL OF NPR 1214 IS RECOMMENDED BY PRS AND THE 12 PRS REPORT. I THINK WE CAN COMBO IT. WHAT I WAS GOING TO ASK IF WE, [00:25:02] IF WE WANTED TO CHECK IN ON THE IA, BUT I THINK THE PLACE TO DO THAT MIGHT BE PRS. DOES THAT SOUND RIGHT SHANE? MAYBE DIANA SHOULD CHECK IN ON THE IA ON THIS ONE FOR 12 FIRST, 1213 BEFORE THE END OF THE YEAR, AND THEN AGAIN AT THE BEGINNING OF NEXT YEAR. YEAH, WE CAN PUT THAT ON OUR LIST OF, UH, TRACK REPORT OR TEXT ITEMS TO FOLLOW UP ON. I DON'T KNOW IF I WOULD CALL IT AN ACTION ITEM, BUT I THINK IT'S SOMETHING RIGHT JANE? AND THAT'S WHAT I'M HEARING IS, IS YOU GUYS JUST WANNA KEEP AN EYE ON THE, THE IA AS IT PROGRESSES AND IF THERE'S ANYTHING WE CAN DO TO SPEED IT UP. YEAH, IF THERE'S, IF THERE'S WAYS WE CAN WORK IN THE EARLIER OR SOME OF THE OTHER CONCEPTS OF THIS BESIDES LIKE THE COMPLETE OVERHAUL OF THE PRICE, THE WAY THAT THE PRICE ADD ARE IMPLEMENTED, THAT WOULD BE GREAT. UM, IT WOULD BE A SHAME IF THIS, YOU KNOW, HAD TO WAIT FOR DRS TO FINISH, TO START. IT'S 12 TO 18 MONTHS. OKAY. BUT I THINK THE FOLLOW UP ON THAT PROGRESSION WOULD BE DURING TROY'S REPORT, A-P-R-S-I DON'T THINK WE NEED TO CREATE AN ACTION ITEM ATTACK. YEAH, YEAH, WE ARE, THEY ALREADY GET REGULAR UPDATES ON THE IMPLEMENTATION TIMELINES AND ALL THAT, SO. OKAY. THEN WE CAN COUNT ON YOU TO SPEAK UP THERE. THANKS. ALRIGHT, SO WE, WE WILL PUT THAT ON THE COMBO. THE OTHER ONE THAT HAD A HIGH IA WAS NPR 1338. WE WANNA TAKE A LOOK AT THAT, COREY. OKAY. THIS IS ANOTHER ONE, UM, BETWEEN SEVEN 50,000 AND, UM, 1.25 MILLION. DOES ANYBODY HAVE ANY QUESTIONS OR COMMENTS ON THIS? OKAY. SEEN ANY? ALRIGHT, SO FROM, UM, THE REST OF DIANA'S PRS REPORT, WE WOULD BE LOOKING TO RECOMMEND APPROVAL OF 1329 AS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. RECOMMEND APPROVAL OF 1331 AS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. RECOMMEND APPROVAL OF 1335 AS RECOMMENDED BY PRS IN THE EIGHT 12 PRS REPORT. RECOMMEND APPROVAL OF 1337 AS RECOMMENDED BY PRS IN THE A 12 PRS REPORT. RECOMMEND APPROVAL OF 1338 THAT WE JUST LOOKED AT AS RECOMMENDED BY PRS IN THE A 12 PRS REPORT AND RECOMMEND APPROVAL OF 1342 AS RECOMMENDED BY PRS AND THE A 12 PRS REPORT. AND WE PUT THOSE REMAINING PURIST ITEMS ON THE COMBO BALLOT COMBO FOR ALL. ALRIGHT, ANY OTHER QUESTIONS? COMMENTS ON PRS? DIANA, DO YOU HAVE ANYTHING ELSE FOR US? NO, MA'AM. THAT'S IT. THANK YOU. OKAY. BOB HILTON, DO YOU HAVE A QUESTION? OR CONNOR, GO AHEAD. YEAH. ON UH, THE MITIGATE OFFER CAPS FOR THE CAPACITY CONTRACTS, WHAT WAS THE, THE IMPLEMENTATION TIMELINE FOR THAT? JUST TO REMIND ME. 1342. YES. WE CAN PULL UP THE IA FOR THAT PROJECT DURATION IS NOT SIX TO NINE MONTHS. SIX TO NINE MONTHS. JUST ONE FOLLOW UP IF YOU DON'T MIND. CAITLIN. ARE, ARE WE STILL EXPECTING, THIS IS PROBAB, THIS IS FOR ERCOT. ARE WE STILL EXPECTING TO HAVE A, UH, CONTRACT REQUEST OUT FOR A CAPACITY, A CONTRACT FOR CAPACITY BY THE END OF THE YEAR? I KNOW IT'S BEEN TALKED ABOUT OFF AND ON. I WAS TRYING TO SEE HOW THIS, THESE TWO KIND OF FIT TOGETHER. YEP. I SEE TWO IN THE QUEUE. LET'S DO ENO FIRST, WHICH I THINK YES, BOB WILL COMMENT ON THE SUBSTANCE. YEAH. UH, YES BOB, WE STILL, UM, IN TARGET TO SUBMIT AN RFP, WE JUST HAVE NOT HAD A CHANCE TO, UH, FINALIZE THE, UH, REQUIREMENTS, BUT THAT'S, THAT'S THE OBJECTIVE. [00:30:01] OKAY. ALRIGHT. SO WE WILL HAVE A LITTLE BIT OF TIME IN BETWEEN THE TWO THEN. CORRECT. AND ALSO I JUST WANTED TO FOLLOW UP ON, UH, 1342. UH, I BELIEVE THAT TROY HAS ALREADY ADDRESSED THIS ISSUE AT PRS, BUT THE OBJECTIVE IS TO, UH, AUTOMATE THIS PROCESS ALONG WITH 8 26 BECAUSE THEY BOTH 1342 AND 8 26 ADDRESS THE, UH, MITIGATION FOR A LOCAL, UH, ISSUE CONCERN. SO THAT'S WHY BOTH 1342 AND 8 26 SHOULD BE IMPLEMENTED, UH, TOGETHER. OKAY. THANKS ENO. SURE. OKAY. SO ENO YES. ON AN EXPECTED CONTRACT FOR CAPACITY, NOTHING HAS CHANGED THERE. WE JUST IT'S FINALIZING SORT OF THE TERMS. THANKS. AND THEN TROY, THANK YOU. AND THEN TROY, DID YOU WANNA ADD ANYTHING ELSE ON THE PROJECTS IMPLEMENTATION? YEAH, JUST THAT OUR WORKING PLAN IS TO HOPEFULLY START THE 8 26 13 42 COMBO LATER THIS YEAR. UH, 'CAUSE WE BELIEVE WE'VE GOT A WINDOW FOR THE VENDOR PORTION TO TRY TO GET THAT DONE BEFORE THEY'RE, UH, REALLY TIED UP WITH THE OTHER BIG PROJECTS THE NEXT YEAR. SO IF WE'RE ABLE TO ACCOMPLISH THAT, IT COULD BE SOME KIND OF A MID 27 IMPLEMENTATION IF WE CAN WORK THAT OUT. OKAY. OKAY. ANY OTHER QUESTIONS ON HERE? S ALL RIGHT. AND COREY, WE DID PUT EVERYTHING ON THE COMBO, CORRECT? YES, MA'AM. WE GOT IT. ALL RIGHT. DIANA, ANYTHING ELSE? THAT'S IT FOR US. THANK YOU. ANY OTHER TEEN SLANG OR JARGON? NO, I'VE GOTTA THINK ABOUT WHAT THEY WERE SAYING. I, I, I, I TUNE IT OUT . OKAY. YOU TUNED THEM OUT. THAT'S GREAT. ALRIGHT, NOW WE'RE, UM, [6. RMS Report (Vote) ] ONTO THE RMS REPORT WITH JOHN SHOP. UH, JOHN, ARE YOU, ARE YOU READY? YES, MA'AM, I'M HERE AND HOPEFULLY YOU HEAR AND HOPEFULLY WE CAUGHT YOU BEFORE YOU TRAVELED. UH, YES, YES INDEED. GREAT. IS MY AUDIO COMING THROUGH? OKAY? YES. OKAY. SUPER. RMIS HAS TWO ITEMS FOR T CONSIDERATION. UH, L-P-G-R-R 0 7 7 N-R-M-G-R-R 180 6, BOTH ARE RELATED TO THE, UH, LOW PROFILE TREE CONVERSION GOING FROM AN EXCEL DOCUMENT TO WORD DOCUMENT AND I WOULD REQUEST THEY BE ADDED TO THE COMBO BALLOT. OKAY. UM, SO JOHNS WRIGHT, WE HAVE TWO VOTING ITEMS LOOKING TO RECOMMEND. APPROVAL OF L-P-G-R-R 77 IS RECOMMENDED BY RMS IN THE EIGHT 11 RMS REPORT AND RECOMMEND APPROVAL OF RMG RRR 180 6 IS RECOMMENDED BY RMS IN THE EIGHT 11 RMS REPORT. I THINK COMBO WAS GREAT. DO YOU, DO YOU HAVE MORE TO YOUR REPORT, JOHN? UH, JUST A, A FEW ITEMS TO TOUCH ON ON THE, UH, ON THIS SLIDE. UH, WE'VE CANCELED OUR SEPTEMBER 1ST, UH, RMS MEETING JUST DUE TO A LIGHT AGENDA. WE ARE CONDUCTING AN EMAIL VOTE CURRENTLY, UH, TO APPROVE THE 2027 FLIGHT TESTING SCHEDULE. AND THEN RMS HAS COMMENCED DISCUSSIONS ABOUT, WELL, CP UH, IN THE EVENT THAT BECOMES REALITY, WE WANTED TO BE PREPARED AND HAVE AN UNDERSTANDING ABOUT SCOPE, TIMING, AND LEVEL OF EFFORT TRYING TO STAY AHEAD OF DEVELOPMENTS. OKAY. THAT'S ALL I HAVE, KAITLYN. ANY QUESTIONS OR COMMENTS FOR JOHN? OKAY, WE CAN MOVE, UH, TO THE ROSS REPORT. SO FOR BOTH ROSS AND WMS, UM, WE WERE GONNA HOLD OFF ON HAVING THE CHAIR DISCUSSED THE GROUP'S DISCUSSION ON ANCILLARY SERVICE METHODOLOGY UNTIL WE GET TO THE SEPARATE AS METHODOLOGY ITEM. SO, SHANE, YOU CAN SKIP YOUR, YOUR COMMENTS ON THE AS METHODOLOGY FOR 2027, BUT, UH, PLEASE PRESENT THE REST OF YOUR REPORT. WILL DO. THANK YOU CAITLYN. UM, ROSS HAS ONE VOTING ITEM READY FOR ATTACK [00:35:01] TODAY, THAT'S SUPERIOR 1 44 ON DYNAMIC MODEL SUBMISSION AND REVIEW REQUIREMENTS FOR LARGE LOADS. UM, THE VOTE DID HAVE TWO ABSTENTIONS FROM THE CONSUMER SEGMENT. THIS IS LARGELY, UH, FOCUSED AROUND PER COT, PUTTING REQUIREMENTS DIRECTLY ON LARGE LOADS, WHICH HAS BEEN OUR LOADS IN GENERAL, WHICH HAS BEEN, YOU KNOW, COMMON THEME OF DISCONTENT OR THROUGH, UM, A LOT OF THESE LARGE LOAD NRR AND REVISION OTHER REVISION REQUESTS FOR THIS ONE ERCOT THOUGHT IS THAT THIS SORT OF CHANGE WOULD BE SOMETHING THAT IS, WAS BEING REQUESTED BY TIEC WOULD MAKE MORE SENSE TO BE HAD AS PART OF THE BATCH ONE PLUS CONSOLIDATED TRANSMISSION PLANNING PROCESS. UM, SO THEY DIDN'T WANT TO IMPLEMENT ANY OF THE SUGGESTED CHANGES AT THIS TIME. IT DID PASS, UM, YOU KNOW, I GUESS UNANIMOUSLY MINUS THE ABSTENTIONS, IT HAD A, UH, COST OF 200 TO $250,000 AND, UH, ONE FTE UH, REQUIRED TO SUPPORT THE PROVISION REQUESTS. UM, I DO SEE SOME COMMENTS, UH, COMING UP, MENTION. YEAH. UM, DO YOU WANT TO DO, TYPICALLY WE GO THROUGH THE WHOLE REPORT AND THEN GO BACK TO THE VOTING ITEMS, BUT, BUT I'M, I'M FINE EITHER WAY. I'M FINE TO, TO TAKE THE, THE VOTING ITEMS NOW. SO, UM, OR AS THEY COME UP. SO ON FIGURE 1 44, I, I KNOW WE HAD COMMENTS, UH, PENDING OR TALKED ABOUT. SO LET'S, LET'S GO AHEAD AND HAVE THAT DISCUSSION, I GUESS. UM, START WITH LAUREN. LAUREN, SORRY, ONLY, UH, ONLY VOTING ITEMS. YEAH, IT'S, WE'RE BACK TO SCHOOL SO WE CAN DO THINGS HOWEVER WE WANT THE SCHOOL YEAR. UM, LET'S, IS IT BETH FIRST? BETH FIRST AND THEN LAUREN, GO. GO AHEAD BETH. I WOULD, I WOULD, I WAS GONNA, IF YOU CAN HEAR ME, I WAS GONNA DEFER TO LAUREN, LET HER GO FIRST AND I'M HAPPY TO FOLLOW UP. OKAY. LAUREN, ARE YOU READY? YES. GOOD MORNING. CAN EVERYONE HEAR ME OKAY? YES. ALL RIGHT. UM, SO THIS IS LAUREN LEWIS WITH TIEC. WE HAD FILED COMMENTS PRIOR TO THE LAST ROSS MEETING, AND SHANE KIND OF TOUCHED ON THOSE ALREADY. UM, BUT I JUST WANNA QUICKLY HIGHLIGHT OUR POSITION AND WHY WE PROPOSED SOME MINOR LANGUAGE CHANGES THERE. WE UNDERSTAND ERCOT NEED FOR ACCURATE MODELING AND ITS PLANNING, BUT IT'S STILL NOT CLEAR TO US, ESPECIALLY AFTER THE DISCUSSION AT ROSS, WHY TRADITIONAL INDUSTRIAL LOADS NEED TO BE SUBJECT TO THIS REQUIREMENT AT THIS TIME. WE'RE NOT GENERALLY OPPOSED TO PROVIDING ERCOT WITH ADDITIONAL INFORMATION FOR SITUATIONAL AWARENESS AND MODELING DURING THE INTERCONNECTION PROCESS, BUT ONE OF OUR CONCERNS CONTINUES TO BE THE RISK OF ERCOT IMPOSING NEW REQUIREMENTS DIRECTLY ON INDUSTRIAL AND MANUFACTURING CUSTOMERS, PARTICULARLY WHEN THERE HASN'T REALLY BEEN A DEMONSTRATED RELIABILITY NEED. AND PART OF OUR CONCERN WITH THIS AND WHY WE'RE BRINGING IT UP NOW HERE IS FOR COTS LANGUAGE AND ITS REASONING AND JUSTIFICATION THAT IT INTENDS TO PROPOSE RIDE THROUGH REQUIREMENTS, UM, SIMILAR TO THOSE IN NOIR 2 82 FOR NON-COMPUTATIONAL LARGE LOADS. AND SO IT, IT PROBABLY DOESN'T NEED TO BE SAID AGAIN, BUT I WILL SAY IT THAT TIC WILL CONTINUE TO OPPOSE ANY EFFORTS THAT WOULD ALLOW ERCOT TO DICTATE HOW MANUFACTURING FACILITIES ARE DESIGNED AND OPERATED. AND TO PROVIDE A LITTLE BIT OF EXTRA CONTEXT HERE FOR OUR CONCERNS, TRADITIONAL INDUSTRIAL LOADS ARE FUNDAMENTALLY DIFFERENT FROM THE COMPUTATIONAL LOADS, BOTH IN HOW THEY OPERATE AND THE REASONING THAT RED LED TO THOSE VOLTAGE RIDE THROUGH REQUIREMENTS FOR COMPUTATIONAL LOADS. AND ERCOT REALLY HASN'T SHOWN THAT NON-COMPUTATIONAL INDUSTRIAL CUSTOMERS POSE THAT SAME KIND OF RIDE THROUGH OR RELIABILITY RISK THAT WOULD JUSTIFY EXPANDING THESE REQUIREMENTS MORE BROADLY. SO OUR INITIAL REQUEST HERE HAS BEEN TO KEEP THE DYNAMIC MODELING REQUIREMENTS LIMITED TO COMPUTATIONAL LOADS FOR NOW, AND THEN IF THERE IS, UM, AN IDENTIFIED RELIABILITY RISK FOR NON COMPUTATIONAL LOADS, WE COULD ADDRESS ADDING THAT AT A FUTURE TIME, EVEN REVISITING IT DURING THE BATCH ONE PLUS PROCESS. WE'RE JUST NOT CONVINCED THAT LONGSTANDING INDUSTRIAL CUSTOMERS HAS BEEN MODELED UNDER EXISTING PROCESSES FOR YEARS SHOULD BE BROUGHT INTO THIS BROADER FRAMEWORK THAT'S BEEN DEVELOPED IN RESPONSE TO A DIFFERENT ISSUE. AND SO WITH THAT BEING SAID, IN THE INTEREST OF COMPROMISE, THE RED LINE LANGUAGE THAT WE PROPOSED IS REALLY JUST TO CLARIFY THE ROLE OF T DSPS IN SUBMITTING [00:40:01] OR HELPING LARGE LOADS SUBMIT THE REQUIRED INFORMATION. WE REALLY JUST WANT IT SPELLED OUT HERE, UM, THAT THE UTILITIES SHOULD REMAIN THE RETAIL CUSTOMER'S PRIMARY POINT OF CONTACT THROUGHOUT THE INTERNET CONNECTION PROCESS. MANY LARGE INDUSTRIAL CUSTOMERS DON'T HAVE DEDICATED POWER COMPLIANCE TEAMS, AND SO IT'S DIFFICULT FOR THEM TO BE EXPECTED TO INDEPENDENTLY NAVIGATE THE EVOLVING REQUIREMENTS WITH IN ERCOT WHEN THEY'RE NOT MARKET PARTICIPANTS. AND THROUGH THE BRANCH PROCESS DURING THIS, THESE MANUFACTURERS HAVE TO HIRE OUTSIDE CONSULTANTS COSTING TENS OF THOUSANDS OF DOLLARS TO COMPILE THIS INFORMATION. AND SO WITH ADDITIONAL REVISIONS THROUGHOUT THE PROCESS, THERE'S INCREASED COSTS. SO WE JUST THOUGHT TO STREAMLINE THE PROCESS, REDUCE REVISIONS THAT LOADS COULD WORK DIRECTLY WITH THEIR TDS PIECE. AND WE ALSO THINK THAT THIS APPROACH WOULD IMPROVE EFFICIENCY. SO IN ITS GOOD CAUSE EXCEPTION, UH, FILING AND 5 9 1 4 2 ERCOT HAD POINTED TO INTERNAL PROCESSING CONSTRAINTS AND INCONSISTENCIES WITH HOW THE ILES WERE SUBMITTING THEIR MODELING INFORMATION AS A CAUSE FOR THE DELAY IN REVIEWING THE DYNAMIC DATA SUBMISSIONS BY THAT BATCH ZERO DEADLINE, AND THE IMPACT ANALYSIS FOR THIS PIGGER ONLY CALLS FOR AN ADDITIONAL ONE ADDITIONAL FULL-TIME EMPLOYEE. SO WE THINK THAT ROUTING THIS THROUGH THE T DSPS WHO ALREADY HAVE AN ESTABLISHED RELATIONSHIP WITH THEIR CUSTOMERS, IT WOULD JUST CREATE A MORE CONSISTENT AND EFFICIENT PROCESS FOR, FOR EVERYONE INVOLVED. SO IDEALLY, JUST TO SUM ALL OF THAT UP, WE'D LIKE TO REMOVE THE NON-COMPUTATIONAL LOADS FROM THE REVISION REQUEST AT THIS TIME AND KEEP THE OPTION TO HAVE MORE DISCUSSIONS ABOUT THIS LATER AS WE GO THROUGH THE BATCH ONE PLUS PROCESS. UM, BUT IN THE ALTERNATIVE, AT LEAST ADDING SOME LANGUAGE, JUST CLARIFYING THE SUBMISSION PROCESS THAT IT'LL BE THROUGH THE T DSPS OR AT LEAST WITH SUPPORT AND DIRECTED BY THE T DSPS. SO WITH THAT, HAPPY TO, TO TAKE ANY QUESTIONS. OKAY. THE, THE, THE LANGUAGE YOU'D LIKE IS THE LANGUAGE HERE? YES. OKAY. BECAUSE I HEARD YOU SAY TWO THINGS, BUT I THINK THIS HAS BOTH OF THEM. THE, THE REMOVAL OF THIS FOR NON-COMPUTATIONAL LOAD AND THE YEAH. THIS IS, THIS IS OUR COMPROMISE LANGUAGE. OKAY, GOOD. LET'S GO TO BETH. UH, ED, I, I WANTED LAUREN TO GO FIRST BECAUSE I KNEW SHE WOULD HAVE MORE TO SAY AND, AND SHE, UH, ELOQUENTLY LAID OUT THE, THE POSITION OF THE LARGE INDUSTRIAL CONSUMERS. I, I'M NOT IN THE MIDDLE OF THAT ARGUMENT AND THAT IT KIND OF COMES DOWN TO A LARGE, LARGE CONSUMER TSP ERCOT ISSUE TO SORT OUT MY QUESTION. AND, AND THAT WAS THE DEBATE THAT WE HAD AT ROS TWO MONTHS AGO WHEN WE SORT OF, WE APPROVED SOME LANGUAGE WITH LOTS OF ABSTENTIONS AS PART OF THAT VOTE. AND I DON'T THINK THAT WAS CLEARLY REFLECTED IN, IN, IN SHANE'S SLIDE ON THIS ISSUE. WHEN THE ISSUE CAME BACK TO R OS FOR THE, UH, IA REVIEW, TIEC BROUGHT FORWARD THIS LANGUAGE, WHICH WAS CONSIDERED AND REJECTED BY ROSS BY NOT BEING INCLUDED IN, IN, UH, IN OUR RECOMMENDATION TO TAC. SO LOTS OF THINGS ON THIS, ON THIS ISSUE. MY SPECIFIC QUESTION IS REALLY AN ER TO ERCOT AND HAS TO DO WITH JUST GIVEN SOME, THE DISRUPTION OF THE BATCH ZERO PROCESS. YOU KNOW, I'D JUST LIKE TO HEAR SOME EXPLANATION OF WHAT, YOU KNOW, HOW DO THESE REQUIREMENTS FIT INTO WHAT WE THINK OUR CURRENT TIMELINE IS RIGHT NOW, UM, AND, AND JUST HEAR AN ERCOT RESPONSE TO EVERYTHING THAT THEY'VE HEARD SO FAR. OKAY. I SEE, UH, FRED, HI IS FRED, CAN YOU HEAR ME? WE CAN HEAR YOU. THANK YOU. UM, I THINK TO KIND OF RESPOND TO, UM, UH, PGA 1 44, UM, IT IS INDEPENDENT OF THE PAGE ZERO. UH, THE, THE PURPOSE REALLY, THE NEED FOR 1 44 IS TO COMPLEMENT THE APPROVAL NOGA 2 82. SO PGA 1 44 SET UP THE DYNAMIC MODEL REQUIREMENT FOR BOTH ALL KIND OF TSPS. UH, IT REALLY HELPS TO ASSESS THE LARGE LOAD RIGHT THROUGH CAPABILITY AND THE AMOUNT OF PERFORMANCE SUCH THAT E UH, WILL HELP IMPROVE THE EFFICIENCY, UH, [00:45:01] TO SUPPORT THE LARGE LOAD GOING THROUGH THE QUARTERLY STABILITY ASSESSMENT AND ACTUALLY, UH, REQUEST SUPPORT AND THE ONGOING OPERATIONS. THANK YOU. THANK YOU, FRED. I APPRECIATE, UH, HEARING THAT PERSPECTIVE. OKAY. DID THAT ANSWER YOUR QUESTION, BETH? YES, IT DID. I GUESS I, AND THEN, YOU KNOW, JUST TO FOSTER MORE DISCUSSION, WHICH IS HARDER TO DO WHEN WE'RE VIRTUALLY HERE, I, YOU KNOW, I'D, I'D LOVE TO HEAR THE, UH, THE TSP SUPPORT OR OUTRAGE OVER, UH, WHAT TIEC IS, IS PROPOSING AS WELL. OKAY. WE, I WILL LET THEM GATHER THEIR THOUGHTS ON SUPPORT OR OUTRAGE, AND WE ALSO HAVE BRIAN STANDS IN THE QUEUE, SO LET'S GO TO BRIAN ECHO. BETH'S COMMENTS ABOUT, UM, JUST THIS WEBEX ONLY BEING INSUFFICIENT COMPARED TO BEING IN PERSON. UM, MY GEN ALPHA KIDS HAVE A WORD CALLED DOPP OR CHOP GANGER, WHERE IT'S THE UGLY TWIN. AND SO THIS MEETING IS THE UGLY TWIN OF A, UH, ACTUAL NORMAL TAC MEETING, BUT THAT'S NOT WHY I JUMPED IN THE QUEUE. I JUMPED IN THE QUEUE BECAUSE I, I AS A, UH, LARGE LOAD DEVELOPER, UH, WANNA HAVE ACCESS TO ERCOT, UM, JUST MODELING. AND IF EVERYTHING HAS TO GO THROUGH THE TSP, UH, I'M CURIOUS IF TIAC HAS A PERSPECTIVE ON, ON, UH, YOU KNOW, HAVING, HAVING ACCESS TO WHERE LARGE LOAD PROJECTS ARE, UM, AS THEY'RE GOING THROUGH, UH, UH, THE INTERCONNECTION PROCESS. AND IF THIS LANGUAGE, UH, LIMITS ACCESS BY REQUIRING EVERYTHING TO GO THROUGH THE TSP. THANK YOU. UH, THIS IS LAUREN WITH TIEC. I CAN RESPOND TO THAT QUICKLY. ONE OF THE THINGS THAT WE HAD TALKED ABOUT, AND I KNOW THIS WAS DISCUSSED DURING THE BATCH PROCESS, UM, WITH SOME KIND OF PORTAL, BECAUSE I DO THINK THE TRANSPARENCY THROUGH THE PROCESS IS SOMETHING THAT WE'RE ALSO CONCERNED ABOUT. SO IT'S NOT KEEPING THE INFORMATION FROM ERCOT, IT'S JUST HAVING THE TDS PS BE A PART OF PROVIDING INFORMATION TO THE LOADS IN A WAY THAT'S EASILY EASY TO UNDERSTAND. AND THEN, UH, A TRANSPARENT PORTAL FOR ALL THREE PARTIES INVOLVED. SO I THINK, I THINK WE'RE ALIGNED THERE. OKAY, GREAT. SO, JUST SO I CAN REPEAT THIS BACK TO YOU, YOU ALL SUPPORT A TRANSPARENT PORTAL SO THE LARGE LOADS CAN SEE THE STATUS OF THEIR PROJECT AS IT PROGRESSES THROUGH, UM, THE INTERCONNECTION PROCESS. AND YOU DON'T THINK THAT THIS LANGUAGE PROHIBITS, UM, ACCESS, RIGHT? I, I THINK WE WERE INTENTIONAL WITH THE LANGUAGE TO LEAVE THE DOOR OPEN FOR THAT TYPE OF PROCESS, FOR THAT TRANSPARENCY. SO YES, TO ANSWER YOUR QUESTION, THANK YOU. OKAY. ARE YOU COVERED? YOU'RE GOOD, BRIAN. ALL GOOD. THANK YOU. AND WE DID, YOU KNOW, WE WANTED TO BE IN PERSON. I'M IN AUSTIN, SO WE JUST HAD A UNEXPECTED HVAC ISSUE, I BELIEVE, AT THE, THE MED CENTER, SO WE'RE NOT TRYING CRITICISM ON PURPOSE. DEFINITELY. I, I GET IT. WELL, I MEAN, I'M SURE THERE'S GOOD PEOPLE REALLY WORKING HARD TO GET THAT HVAC FIXED, SO , I HOPE SO. I HOPE SO TOO. ALRIGHT, LET'S KEEP GOING DOWN TO THE QUEUE. UM, I DID LIKE THAT SLANG THOUGH, THE UGLY, UGLY TWIN SL. LET'S GO TO, UM, BUS SEAT. THE SEATS FROM ZERO EMISSION GRID. OKAY. MARTHA, WHY DON'T YOU GO AHEAD AND WE'LL SEE IF, IF HE HAS A AUDIO ISSUE OR SOMETHING. THANKS, KAITLYN, CAN YOU HEAR ME? YES. OKAY, THANKS. YEAH, THIS IS MARTHA HENSON FROM ENCORE. BETH HAD ASKED EARLIER FOR A TSP OPINION ON THIS, AND OF COURSE I'M, I'M SPEAKING ONLY FOR ENCORE HERE, BUT, UM, WHEN WE FIRST SAW IT, WE DIDN'T HAVE MAJOR CONCERNS WITH T'S COMMENTS ON THEIR SURFACE. YOU KNOW, WE'VE HISTORICALLY BEEN DOING THIS [00:50:01] FUNCTION, UH, YOU KNOW, FOR YEARS IN TERMS OF PASSING THROUGH LOAD MODELS AND, AND OTHER CUSTOMER INFORMATION FROM THE CUSTOMER TO ERCOT. UM, HOWEVER, I, I WOULD SAY THAT THAT CONSTRUCT IS BECOMING MORE AND MORE CHALLENGING, ESPECIALLY AS WE SAW, YOU KNOW, SORT OF THE ONBOARDING PROCESS INTO BATCH ZERO. THERE, THERE'S A LOT OF DIFFERENT PIECES OF INFORMATION COMING INTO PLAY THAT HAD TO BE PROVIDED IN VERY SP SPECIFIC TIMEFRAMES, TIGHT TIMEFRAMES. AND SO, YOU KNOW, I AGREE WITH THE COMMON EARLIER THAT A COMMON PORTAL LIKE RIO FUR LOADS IS REALLY THE BEST SOLUTION LONG TERM SO THAT, YOU KNOW, ALL THREE PARTIES CAN SEE THE SAME THINGS AND THAT, YOU KNOW, MULTIPLE PARTIES CAN BE INPUTTING INFORMATION. I THINK ALSO, WE DIDN'T ACTUALLY KNOW ERCOT OPINION ON THIS WHEN, UH, THE COMMENTS WERE FILED. I, I THINK IT WOULD BE HELPFUL TO HEAR THEIR OPINION BECAUSE I THINK WHAT I HEARD AT ROSS IS THAT THEY, THEY HAVE SOME CONCERNS WITH THIS AND I, I THINK AT THIS POINT WE WOULD BE SOMEWHAT DEFERENTIAL TO THAT, ESPECIALLY GIVEN HOW THE MODELS WERE PROVIDED IN BATCH ZERO. THANKS. OKAY. SO IS THAT A QUESTION FOR ? I THINK IT'D BE HELPFUL TO HEAR FROM THEM. I'M SURE THEY'LL WEIGH IN AT SOME POINT HERE. THANKS. OKAY. FRED, DO YOU WANNA GO AHEAD NOW OR DO YOU WANNA GO WITH THE QUEUE? UM, HI FRED. HELLO. HELLO. WE DROPPED. WE HEARD THE BEGINNING, BUT YOU, YOUR AUDIO DROPPED. HOW ABOUT NOW? NOW'S GOOD. OKAY, THANK YOU. SO, UM, AS MARTHA MENTIONED IT, UM, WE, WE DISCUSS AT HOURS AND, UH, ABOUT THE I-C-T-I-E-C PROPOSED RAIL LIGHT CHANGES. AND, UH, I, I THINK THAT, UM, THEY, WE HAVE SEVERAL CONCEPTS FOR THE LANGUAGE HERE. ONE IS THE, THE LOCATION OF THE LANGUAGE. SO IT PROBABLY REQUIRE A BROADER REVIEW, UH, OF THE WHOLE PLANNING GUIDE, UH, TO TRY TO, TO MAKE SURE THERE'S A CONSISTENCY OR KIND OF, UH, POTENTIAL LANGUAGE ADDED IN OTHER SECTIONS AS WELL. BUT I WOULD SAY OVERALL, ADDITIONALLY, I THINK WE PROVIDED AND DISCUSSED HOURS, IS IT, IT'LL BE MORE EFFICIENT TO UPDATE THE DATA DIRECTLY FROM THE ENTITIES, AND THAT CAN REALLY MINIMIZE THE, UH, INTERMEDIARY COMMUNICATION AND THE DATA EXCHANGE, UH, THROUGH KIND OF MULTIPLE ENTITIES FOR THE SAME MODEL. UH, BUT WE, WE RECOGNIZE THAT THE, THE FEEDBACK AND WE THINK, UH, WE RECOMMEND ADDRESSING THIS ONE IN THE ONGOING PAGE AND DISCUSSIONS AND HAVE A WHOLE KIND OF A BETTER HOLISTIC DISCUSSION ABOUT ULTIMATELY THE, IN TERMS OF HOW WE RECEIVE THE MODELS, HOW OLDER ENTITIES, UH, , UH, IN A EFFICIENT AND EFFECTIVE WAY. SO WOULD WE RECOMMEND TO MAINTAIN OUR LANGUAGE AND, UH, ADDRESS THIS ONE IN THE PAGE END DISCUSSIONS. THANKS, FRED. LET'S GO TO BLAKE AND THEN I SEE THE , UH, POSTED HIS QUESTION, BUT LET, LET'S GO TO BLAKE FIRST. BLAKE HOLT, LCRA, UH, AGREE WITH A LOT OF THE COMMENTS THAT, THAT MARTHA RAISED. UH, THE, THE CURRENT EMAIL PROCESS IS, IS NOT SUSTAINABLE. WE'VE HEARD A PORTAL'S COMING, WE'VE HEARD THE PORTAL MAY EVEN BE ACCELERATED WITH THE AUDIT PROCESS. SO, UH, VERY SUPPORTIVE OF THAT. AND I WAS ACTUALLY GONNA QUESTION FRED AS WELL. UM, YOU KNOW, THE, THE LANGUAGE READS, UH, OKAY TO ME RIGHT HERE, BUT I JUST WANTED TO VERIFY THAT IT WASN'T GOING TO HANDCUFF ERCOT, UM, WITH THAT NEW PROCESS BEING STOOD UP. UM, I, I, I DO AGREE WITH FRED THAT THIS MAY BE BETTER HANDLED MORE HOLISTICALLY IN THE BATCH ONE AND CTP DISCUSSIONS. SO, UH, FROM THE LCRA PERSPECTIVE, MY, MY PREFERENCE WOULD BE TO, TO MOVE FORWARD WITH THE LANGUAGE, UH, AS APPROVED BY ROSS AND LET'S COMMIT TO ADDRESSING THIS MORE HOLISTICALLY, UM, IN FURTHER DISCUSSIONS. THANKS. THANKS, BLAKE. LET ME, I'LL GO BACK TO THE QUESTION FROM THE SEAT AT BUREAU MISSION GRID, UH, FOR NUMBER FOR NOVEMBER QSA. IS MQT REPORT SUBMISSION A MANDATORY REQUIREMENT FOR A LCL? IS THAT FRED? [00:55:01] IT'S THAT A QUESTION FOR YOU? UH, THIS FRED? YEAH, I, I CAN TRY TO, I WOULD SAY AS OF NOW, UM, THERE IS NO MQT REQUIREMENT FOR LCL AND THIS IS WHAT, UH, P 1 44 TRY TO ESTABLISH. SO ONCE 1 44 BECOME EFFECTIVE, UM, I THINK THE, THE PROCESS WILL ALREADY HELP THE ENTITY PERFORM MQT AND THAT REALLY WILL IMPROVE EFFICIENCY FOR THE PROJECT INTO THE QSA. SO OF NOW UNTIL 1 44 IS IN PLACE, UM, THERE IS NO MQT REQUIREMENT. OKAY. OKAY, THAT'S CLEAR. LET'S GO TO BOB WHITMEYER. DO YOU WANT ME TO, YEAH, I JUST POINT OUT 90% OF NEW LARGE LOADS COMING ARE DATA CENTERS WHILE I'M SYMPATHETIC TO, TO TIEC, 90% OF THE PROBLEM NEEDS THAT DIRECT COMMUNICATION. SO I'LL JUST, I'LL JUST LEAVE IT AT THAT. THANKS. OKAY, THANKS BOB. ALL RIGHT. Q IS CLEAR. DO WE NEED TO HAVE MORE DISCUSSION? UM, WE, WE WOULD BE LOOKING TO, OR ONE POSSIBLE MOTION WOULD BE, UH, RECOMMEND APPROVAL OF FIGURE 1 44 IS RECOMMENDED BY ROSS IN THE EIGHT SIX ROSS REPORT. UM, PEOPLE CAN MAKE OTHER MOTIONS IF THEY'D LIKE, IF THERE A MOTION WE'D LIKE ON THE TABLE. UM, DO WE NEED MORE DISCUSSION? GO AHEAD, BETH. YEAH, I, YEAH, AND I APPRECIATE US TAKING THE TIME TO, TO WORK THROUGH THIS AS, AS YOU CAN, YOU MIGHT IMAGINE, LIKE I SAID, WE, WE SPENT A LOT OF TIME ON THIS ISSUE AT ROS AS WELL. UM, IN THE AFTERMATH OF THIS DISCUSSION, I, I'M AWARE OF TIA'S CONCERNS, I UNDERSTAND THOSE CONCERNS, BUT I AM MORE COMPELLED BY, UM, UH, THE COMMENTS BY THE LAST COMMENT BY WHITMEYER IT, YOU KNOW, LET'S SOLVE THE 90% PROBLEM. AND, UM, AND I SUPPORT, UH, BLAKE'S POSITION THAT SAID, WHERE HE SAID, YOU KNOW, LET'S IMPROVE. LET'S GO AHEAD AND ENDORSE IT AS RECOMMENDED AND, AND THEN PUT THE PRESSURE ON TO GET, YOU KNOW, SOME SORT OF PORTAL DONE. UM, I THINK THAT THAT'S THE, THAT'S PROBABLY OUR BEST CHOICE TODAY. NOW, IF THAT NEEDS TO BE A SEPARATE, UH, SEPARATE MOTION, I'M HAPPY, I THINK I'M HAPPY TO MAKE THAT. I'D PREFER NOT TO, BUT I COULD MAKE THAT, UM, OR WE COULD, UH, JUST PUT THIS ON THE COMBO BALLOT BALLOT FOR APPROVAL. SO THOSE, I HAVEN'T QUITE MADE A MOTION, BUT I'VE, I'VE INDICATED WHAT I'M THINKING. OKAY. AND YOU HAVE SOME TIME. WE HAVE, UH, BILL BLEVIN IN THE QUEUE. ARE YOU THERE? BILL, CAN YOU HEAR ME? YEAH. AND WE'RE EXCITED TO, TO HEAR FROM YOU. UH, ALRIGHT, WELL, SO I GUESS, UH, I HAD A QUESTION ON THIS LANGUAGE. WHAT I BELIEVE IS THAT YOU WILL NEED SOME SORT OF A, A TOOL TO HELP OUT WITH THE COMMUNICATIONS. UM, I THINK THIS WILL HELP EVERYBODY, BUT IF A INDUSTRIAL TEIC CUSTOMER WAS DOING A LARGE PROJECT AND WANTED TO USE THE PORTAL, WOULD THEY BE ABLE TO, WITH THIS LANGUAGE, DOES THIS GIVE THE OPTIONALITY, THE OPTIONALITY TO USE THE PORT TO HAVE A PORTAL, RIGHT? IF, IF THEY'RE SAYING THAT THEY WANNA, THEY PREFER TO USE THE TSPS AT THIS POINT IN TIME, I GUESS THAT'S WHAT THE LANGUAGE SAYS. UM, BUT MAYBE NOT EVERYBODY WANTS TO DO THAT. IF THEY'RE AN INDUSTRIAL CUSTOMER, WOULD THEY BE ABLE TO USE THE SAME PROCESS THAT THE DATA CENTERS AND LARGE LOADS, UM, ARE WANTING TO USE? OH, OKAY. UM, DO YOU, SO THIS IS A QUESTION FOR TIC, SHE ANSWERED A VARIATION OF THIS QUESTION, BUT, UM, LET'S GO BACK TO LAUREN. YES. WE, WE THINK THIS LEAVES THE OPTIONALITY BECAUSE IT'S EITHER THROUGH THE TSP OR A PROCESS SENT TO THE LARGE LOAD BY THE TSP, AND THAT PROCESS COULD BE [01:00:01] THIS PORTAL THAT WE'RE TALKING ABOUT. SO YES, BUT I THINK, RIGHT, I THINK WE'RE NOW ASKING ABOUT THE OPTIONALITY, IF WE HAVE A PORTAL TO ALSO, LET'S DO IT THROUGH THE TSP, BUT I, I THINK, I THINK THAT'S STILL SORT OF THE SAME QUESTION. OKAY, LET'S GO TO NED. ARE YOU THERE? NED? OKAY. UH, AARON, DO YOU WANT TO GO AHEAD WHILE WE WAIT FOR NED? PEOPLE HEAR ME? YES, MA'AM. OKAY. OKAY. NED'S MIC SEEMS TO HAVE STOPPED WORKING. AARON, ARE YOU, DO YOU, HAS YOUR MIC STOPPED WORKING AS WELL? CAN YOU HEAR ME NOW? CAITLIN ? YES. OKAY. ALSO, I DON'T LIKE COME ON CAMERA. I WAS JUST TALKING TO MYSELF, SO NO, YOU WERE, YOU WERE, YOU WERE DOING GREAT. EVERYONE COULD HEAR YOU. UH, IT'S FINE. UM, SO I THINK FROM A P'S PERSPECTIVE, WE'LL ECHO WHAT WE WERE HEARING. IT SOUNDS LIKE ERCOT DOESN'T LOVE THE LANGUAGE. I THINK WE NEED TO MAKE SOME PROGRESS ON THIS, UNDERSTANDING SOME OF WHAT WAS SHARED BY ERCOT AT THE PUC LAST WEEK WITH THE PORTAL POTENTIALLY COMING FOR BATCH ZERO VERIFICATION. AND THEN ALSO I THINK THEY'RE, THEY'RE PRETTY GROUNDED IN STATING IT'S COMING FOR THE FUTURE COMPREHENSIVE TRANSMISSION PLANNING PROCESS ANYWAY. UM, I WOULD ALSO SAY, I THINK THERE'S SOME MORE DETAILS JUST AROUND DYNAMIC QSA HANDOFF PROCESS THAT NEED TO HAVE FURTHER DISCUSSION. AND SO, UM, TAKING THAT HOLISTICALLY WILL BE IMPORTANT, UM, BECAUSE I THINK THERE'S A FEW MORE, A FEW MORE DETAILS THAT AREN'T ENCOMPASSED DIRECTLY WITH P 1 44, THAT, THAT DO GO ALONG WITH THE WHOLE TOPIC. THAT'S ALL. OKAY. THANKS AARON. THANK YOU FOR COMING ON CAMERA TOO. THAT WAS ON ACCIDENT, BUT YOU'RE WELCOME. . IT'S GREAT. KEITH. KEITH WILL LIKE IT. KEITH LIKES TO BE ON CAMERA TOO. ALL RIGHT, LET'S, UH, NED, EFFECTIVELY THE SAME QUESTION AS BILL. WOULD IT BE BETTER TO HAVE DIRECT LL CON CONTACT WITH ORCO THAT'S A DEFAULT AND OPTIONS FOR TSP, THE FERRY IF ALL PARTIES AGREE? I THINK THAT'S A RHETORICAL QUESTION SORT OF, UM, AND WE'VE HAD A LOT OF DISCUSSION ABOUT IT, BUT DOES, DOES ANYBODY WANT TO ANSWER NED'S QUESTION? T-A-C-T-S-P TO THE POINT, TO THE EXTENT THAT IT HASN'T BEEN COVERED? ALRIGHT, NED, MIKE WORKING, NOT WORKING. OKAY. ANY OTHER QUESTIONS OR COMMENTS ON, UH, NED'S QUESTION OR ANYTHING ELSE? MIKE IS SA THAT'S TRUE. OKAY. SO WE'D BE AT THE SAME SPOT. WE'D BE LOOKING FOR A MOTION AND THE MOTION THAT WOULD MIMIC WHAT COMES OUT OF ROTH WOULD BE RECOMMEND APPROVAL OF FIGURE 1 44 AS RECOMMENDED BY ROSS IN THE EIGHT SIX ROSS REPORT. UM, OKAY. [01:05:03] COMBO BALLOT, SEPARATE BALLOT, PLEASE. OKAY. YOU'RE GOING TO NEED A SEPARATE BALLOT, WHICH, WHICH IS FINE IF PEOPLE NOTED THERE ARE A NUMBER OF ABSTENTIONS ON THE LANGUAGE VOTE ON THIS FIGURE. AND THEN WE LOST MOST OF THOSE ABSTENTIONS AS WE GOT DOWN TO THE IA VOTE. SO I THINK IT'S BEEN A, A COUPLE OF MONTHS SINCE WE HAD THIS SORT OF DISCUSSION, UH, AT ROSS FOR THE SEPARATE BALLOT HERE IS FINE. SO THAT WOULD BE A MOTION FROM BLAKE WITH LCRA AND THAT WOULD BE TO RECOMMEND APPROVAL OF FIGURE 1 44 IS RECOMMENDED BY ROSS AND THE EIGHT SIX ROSS REPORT. IS THAT CORRECT, BLAKE? YES. AND THE SECOND FROM CHRIS HENDRICKS. YOU ARE FINE ALSO CHRIS WITH WHAT I JUST READ? YES. AWESOME. ALL RIGHT. COREY, TELL ME WHAT I DID WRONG AND THEN WE CAN GO FOR IT WITHIN THIS MEETING OR OVERALL, WHAT'S THE, WHAT'S THE TIME OVER, YOU KNOW, LIFE? YOU CAN JUST GIVE ME A REPORT LATER. E EVERYTHING IS PERFECT AS ALWAYS, AND ANY, I MEANT ABOUT THIS MOTION, BUT, YOU KNOW, I'M ALWAYS THE, THE FOLKS THAT ARE WRESTLING WITH YOUR MICS, I CAN ABSOLUTELY TAKE YOUR VOTES IN CHAT, UH, AS NEEDED. BUT ON THE MOTION, AS CAITLYN LAID OUT TO RECOMMEND, APPROVAL OF P 1 44 IS RECOMMENDED BY ROSS AND THE AUGUST ROSS REPORT, WE WILL START UP WITH OUR CONSUMERS, WITH GARRETT. NO, SIR. THANKS SIR. MIKE. NO THANKS. THANK YOU, BETH. I, I'M GONNA VOTE MY LEAST FAVORITE VOTE AND ABSTAIN, RIGHT? THANK YOU. WILL IS, UH, CAN YOU GUYS HEAR ME? YES, SIR. ALL RIGHT. UM, OPO IS GONNA ABSTAIN AS WELL. THANK YOU NICK. NICK FEHRENBACH YOU WITH US. I'LL LOOP BACK AROUND. HOW ABOUT BETH? FOR CHRIS? UH, AND HE'S GONNA MAKE MY LEAST FAVORITE VOTE ALSO IN ABSTAIN, . FAIR ENOUGH. AND I'VE GOT YOUR NO IN CHAT, NICK. THANK YOU. ALL RIGHT. ONTO OUR CO-OPS, BLAKE? YES. THANK YOU KYLE. SEEING KYLE WITH US TODAY ABOUT JOE, DAN FOR MIKE. YES, PLEASE. THANK YOU, COREY. THANKS SIR. UH, LUCAS FOR JOHN? YES, THANKS SIR. ONTO OUR INDEPENDENT GENERATORS. NED AND I TAKE IN NED. ALL RIGHT. WE'LL LET THE DRAMA BUILD UP ON THAT ONE. HOW ABOUT BRIAN? YES, THANKS SIR. BOB HILTON, I CAN TAKE YOU AND CHAT BOB IF YOU NEED TO. HOW ABOUT CAITLIN? WHAT I CAN ONLY ASSUME HAS TO BE BEST FAVORITE VOTE, RIGHT? YES, . SHE'S, SHE'S ALWAYS SO POSITIVE. THAT WOULD BE MY GUESS ON TO OUR IPMS. JEREMY? YES. SORRY. THANK YOU. THANK YOU, SIR. SETH? YES. THANKS. THANKS SIR. UH, BOB, I GOT YOUR YES IN CHAT. THANKS, SIR. UH, ON TO CONTINUING OUR IPMS, UH, SHANE FOR SME? YES, SIR. THANK YOU. THANKS, SIR. IAN? YES, THANK YOU. THANKS. THANKS SIR. WELCOME BACK. THANK YOU. ON TO OUR IRES. JAY, I'M GONNA ABSTAIN ON THIS ONE. THANK YOU. OKAY, THANKS SIR. CHRIS? YES, THANK YOU. UH, JENNIFER. UM, JEN, LET THIS ACTUALLY NOT SANNER, WHICH MEANS WE'RE MISSING RHYTHM OPS AND RELIANT. ALL RIGHT, NAT, I GOT YOUR YES IN CHAT. THANKS, [01:10:01] SIR. ON TO OUR IOUS. MARTHA, I'LL VOTE. YES. THANK YOU, COREY. THANK YOU, KEITH. YES, THANK YOU, EBY. I'LL COME BACK TO EBY. HOW ABOUT AARON? NO. CAP. MY ANSWER IS YES. . SWEET. THANK YOU, MA'AM. UH, AND EBY, I'VE GOT YOUR, UH, YES IN CHAT, THANK YOU. ON TO OUR MUNIS, DIANA, FOR DAVID. UH, KEEPING WITH THE THEME. I'LL SAY YOUR OR YES, . THANK YOU. UH, ALICIA? YES. THANK YOU. JOSE. YES, THANK YOU. AND CURTIS? YES, THANK YOU. AND I BELIEVE THAT WAS EVERYBODY. OKAY. MOTION CARRIES 80%, 87% IN FAVOR, 13% OPPOSED WITH FOUR ABSTENTIONS. THANK Y'ALL. OKAY, THANK YOU COREY. AND IT'S BEEN A COUPLE OF MEETINGS, BUT ANN WILL, UM, ASK FOR THE REASONS FOR THE, THE NO VOTES AS WE HEAD INTO THE BOARD. SO IF YOU CAN JUST, UH, RESPOND TO HER, IF THAT IS HELPFUL TO US. [7. ROS Report (Vote) ] ALL RIGHT, SHANE, I WILL TURN IT BACK OVER TO YOU. ALL RIGHT. YEAH, THANKS KATELYN. UM, UH, OTHER RECENT ROSS ACTIONS, WE, UM, URGENTLY TABLED NO, 2 89, WHICH IS THE EXTENSIONS FOR LARGE COMPETITION LOAD COOLING AND RIDE THROUGH COMPLIANCE. T'S STILL REVIEWING THAT ONE, BUT IT, IT'S ONE THAT WAS, UM, DEEMED IMPORTANT ENOUGH FOR URGENCY. UM, SO WE DID THE ALWAYS POPULAR URGENT TABLE THERE. WE ENDORSED NVRR 1295 ON GTC EXIT SOLUTIONS AND NVRR 1317 RELATED TO THE GENERATOR, UH, LANGUAGE AND REGISTRATION OF DISTRIBUTED GENERATION, UH, FIGURE ONE 40. UH, IT'S ALSO RELATED TO THAT AND PICKER 1 46, WHICH RENA THE QUARTERLY STABILITY ASSESSMENT AND MODIES THE ASSESSMENT SCHEDULE WITH AN EFFECTIVE DATE OF RECOMMENDED EFFECTIVE DATE OF 9 1 27. SO THOSE ONES WILL CONTINUE REVIEWING. THE IAS ARE SUBMITTED ON TO PRS, SO NO ACTION NEEDED ATTACK AT THIS TIME. UH, NEXT SLIDE. UM, I WON'T, UH, GET INTO THIS PART. WE'LL WAIT FOR AFTER, MAYBE AFTER LUIS'S UPDATE ON THAT. UM, HERE'S THE GERS THAT ARE STILL IN REVIEW AT ROSS. A LOT OF 'EM RELATED TO DRRS. NEXT SLIDE, PLEASE. UH, QUITE A FEW PIGGERS, UH, MAKING THE, MAKING THE ROUNDS. I DO, I THINK AS THIS PIGGER ONE 30 WAS CANCELED. UH, SO THAT ONE, THAT ONE WILL DROP OFF OUR LIST AND MAKING OUR WAY THROUGH THE M VRR AS WELL. SOME OF THESE HAVE BEEN SITTING HERE FOR A BIT. UM, SO WAITING, TRYING TO FIGURE OUT WHAT'S GOING ON WITH NPRR 1272. UM, THIS ONE MIGHT END UP EITHER GETTING, MAKING THAT, TRYING TO MAKE A PUSH OR GETTING WITHDRAWN. IT'S AN OLD ONE SUBMITTED BY OXY. UH, NEXT SLIDE PLEASE. AND, UH, WE ARE GONNA BE CANCELING OUR SEPTEMBER MEETING ALONG WITH ALL THE OTHER, UH, SUBCOMMITTEES IT LOOKS LIKE. AND SO OUR NEXT MEETING WILL BE OCTOBER 1ST. OKAY. THANK YOU SHANE. I APPRECIATE THE REPORT. ARE THERE ANY FINAL QUESTIONS FOR SHANE ON THE RUSS REPORT? BOB WHITMEYER, DO YOU HAVE A COMMENT? YEAH, I DID. IF YOU FLIP BACK, I THINK THREE SLIDES, YOU HAD ONE RELATED TO, UM, THIR 1310. YEAH. UH, NO. 2 84. DO WE STILL NEED THAT OR IS THAT REPLACED BY 2 88? [01:15:02] UM, I THINK THAT 13, EVERYTHING RELATED TO 1310 IS KIND OF SITTING THE, ORIGINALLY OUR LAST UPDATE, I THINK WE GOT ON THAT IS THAT IT WAS WAITING FOR THE RELIABILITY STANDARD ASSESSMENT TO COMPLETE BEFORE WE TOOK UP THE IDEA OF THE RELEASE FACTOR. CERTAINLY THE ENERGY STORAGE PORTION OF THIS HAS BEEN PULLED OUT, BUT, UM, I THINK EVEN THAT MIGHT NEED TO BE REVISITED. UH, YOU KNOW, OR THE KIND OF SCOPE OF THAT, OR LIKE THE, THE, UH, SPECIFICS RELATED TO THE PARTICIPATION MIGHT BE TO BE REVISITED IF THE RELEASE FACTOR CONCEPT IS CONSIDERED. SO, OKAY. THA THANK YOU. THAT ANSWERED MY QUESTION. OKAY. ALL RIGHT. THANK YOU SHANE. APPRECIATE THE UPDATE. WE'LL MOVE ON TO ITEM [8. WMS Report] EIGHT FROM HERE. IT'S THE WMS REPORT AND I'LL TURN IT OVER TO BLAKE HOLT FOR THAT PRESENTATION. THANKS, MARTHA. BLAKE HOLT WITH WMS, UH, SHORT AND SWEET THIS MONTH. UH, FIRST OFF FOR ENDORSEMENTS, UH, NPR 1317 IS, WAS ENDORSED. THERE WERE A FEW ABSTENTIONS, UH, BUT THIS ONE HAS, LANGUAGE HAS PASSED AT PRS AND IS AWAITING AN IA VOTE. UH, THE REMAINING 3 13 35, 13 37, AND 1342 WERE ALL UNANIMOUSLY ENDORSED AT WMS AND AT TAC TODAY. SO, UM, UH, I'M GLAD THOSE ARE MOVING FORWARD. UH, WE'LL SKIP THE AS METHODOLOGY VOTE DISCUSSION AND GO TO THE NEXT SLIDE. AND JUST WANTED TO DRAW YOUR ATTENTION TO NPR 1340. THIS IS DRRS WITH ESR PARTICIPATION. WE'VE SENT THIS ONE TO WMWG FOR DISCUSSION. UH, AND THEN ALSO WANTED TO HIGHLIGHT NPRR 1343, WHICH IS AN INTRODUCTION OF A PTP OBLIGATION BIT FEE. UH, WE'VE SENT THIS TO CMWG FOR FURTHER DISCUSSION, SO IF YOU'RE INTERESTED IN EITHER OF THOSE TWO, UH, I WOULD DIRECT YOU TO THOSE WORKING GROUPS AND WE CAN GO TO THE NEXT SLIDE. ALSO, WANTED TO HIGHLIGHT THAT WE'VE CANCELED OUR SEPTEMBER 2ND MEETING, AND WE'LL MEET AGAIN ON OCTOBER 7TH. HAPPY TO TAKE ANY QUESTIONS THAT THE GROUP HAS. ANY QUESTIONS FOR BLAKE? FOR BLAKE? YEP. YOU GOT IT. CLAY, GO AHEAD. NO, GO AHEAD. BACK TO YOU. GREAT. ANY QUESTIONS FOR BLAKE? ALL RIGHT. NO VOTING ITEM HERE SO WE CAN MOVE ON. OUR NEXT ITEM IS ANCILLARY SERVICES METHODOLOGY. UM, BRITTANY ERCOT, DOES ANYONE NEED A BREAK BEFORE WE DO THAT? OKAY, 10 MINUTES RECESS. KEITH. KEITH SAID YOU WANNA TRY TO BE BACK AT 11. ALL RIGHT, LET'S DO IT. OKAY, WE'RE AT ONE AFTER. SHOULD WE GET STARTED? PEOPLE ARE READY. OKAY. LUIS, ARE YOU ON? YES, CAITLYN, I'M HERE. AWESOME. [9. 2027 Ancillary Services Methodology (Possible Vote) ] OKAY. SO WE ARE GOING TO GET TO OUR SORT OF MAIN EVENT, WHICH IS THE ANCILLARY SERVICE METHODOLOGY FOR 2027. I HAVE PLAN HERE WAS TO HAVE ERCOT PRESENT, UM, AT LEAST HAS THIS PRESENTATION ON SUBSTANCE. AND THEN WE WILL HAVE COREY, I THINK, UH, GIVE US A LITTLE BIT OF INFORMATION ON PROCEDURE HERE, THE THINGS WE CAN DO. AND WE'LL GO TO THE IMM WHO FILED COMMENT, AND WE'LL GO TO WMF AND ROSS RECAP. AND THEN I KNOW WE HAD COMMENTS FILED FROM HEN I DON'T BELIEVE WE HAD ANY OTHER COMMENTS FILED. UM, BUT WE CAN TAKE OTHER STAKEHOLDER COMMENTS AT THAT TIME. SO [01:20:01] THE OKAY. PLAN FOR EVERYBODY. OKAY. WHY DON'T YOU GO AHEAD AND GET STARTED, LUIS? SURE. THANK YOU. KAILYN. UM, CAITLYN, CAN I ASK, I'VE GOT QUITE A FEW SLIDES HERE. CAN WE HOLD QUESTIONS TO THE END JUST FOR EFFICIENCY? YEAH. YEP. THANK YOU. OKAY. UM, ALL RIGHT. UH, GOOD MORNING EVERYBODY. LOU LISA, ALSO WITH ERCOT HERE. I'M HERE TO TALK ABOUT THE, UH, UH, 2027 AS METHODOLOGY. WE'RE HERE TO TALK ABOUT THE PROPOSED METHODOLOGY, AND WE'RE SEEKING ENDORSEMENT FROM TAC TODAY. ON, ON THE PROPOSED METHODOLOGY, YOU'RE GONNA SEE, UH, KIND OF AN OVERVIEW AND RECAP OF WHAT WE'VE TALKED ABOUT, UM, THROUGH THE WORKING GROUPS AND THROUGH THE SUBCOMMITTEES. UM, BUT IW IN THE FIRST FEW SLIDES, BUT AFTER THAT, THERE IS SOME NEW ANALYSIS THAT WE'VE ADDED ABOUT PROBABILITY OF AN EVENT, UH, WHICH WAS REQUESTED THROUGH THE PUC 2024 AS STUDY. SO THAT IS NEW, AND WE WILL, I THINK WE'LL TAKE SOME TIME TO WALK THROUGH THAT TO MAKE SURE EVERYBODY'S CAUGHT UP. UM, BUT I JUST WANTED TO GIVE A A HEADS UP THAT, THAT, THAT'S THERE. UH, NEXT SLIDE. ALRIGHT. AS A, AS A GENERAL OVERVIEW, WE'RE NOT PROPOSING ANY CHANGES TO REGULATION IN RS. UH, THOSE WILL CONTINUE TO USE THE METHODOLOGIES THAT WE'VE USED IN THE PAST WITH UPDATED, UH, DATA FROM 2026 SO FAR. UH, ONE NOTE I HAVE ON HERE IS THE MINIMUM R-S-P-F-R, UH, IS STILL USING 1377 FROM 2026. UH, NERC ACTUALLY SENT US A NOTIFICATION THIS MORNING THAT, UH, THEY HAVE A DRAFT, UH, AND PRELIMINARY PRELIMINARY VALUES FOR 2027. SO WE ARE GONNA REVIEW THOSE AND, AND HOPEFULLY HAVE SOME UPDATES FOR THE BOARD DISCUSSION. UM, NOW, UM, THE NEXT THING, NO, THE, THE, AS WE MOVE TO ECRS AND NONS SPIN IN THE PROBABILISTIC MODEL, THE, THE ONE THING THAT WE ARE PROPOSING IS TO INCREASE OR UPDATE THE RISK CREDIT PARAMETERS THAT ARE IN, UH, UTILIZED, UH, TO KIND OF, TO MORE REFLECT INCREASED HISTORICAL HEADROOM THAT WE HAVE IN RTC PLUS B, UH, DUE TO THE GROWTH IN SOLAR AND ESR CAPACITY. SOME ADDITIONAL INFORMATION THAT YOU, UH, WILL SEE TODAY. UH, THERE'S A RED LINE DOCUMENT FOR THE AS METHODOLOGY THAT'S POSTED. UH, I WILL SAY, IF, IF YOU LOOKED EARLIER THIS MORNING, IT WAS A BLACK LINE, WE'VE REPLACED THAT, HOPEFULLY NOW YOU SHOULD SEE THAT. UH, THE NEXT THING IS AN HTML THAT SHOWS ALL 756 SCENARIOS IS WRITTEN HERE. UH, THROUGH OUR EFFORTS AND DISCUSSIONS WITH, UH, STAKEHOLDERS, WE NOW HAVE 972. SO ANYWHERE WHERE YOU SEE 7 56 IN THE DRAFT, UH, OR THE DOCUMENT, THERE'S UH, ACTUALLY OVER 900 SCENARIOS THAT CAN GO BE LOOKED AT. WE ADDED EEA TWO TO THE ANALYSIS. UH, THAT SAME HTML ALSO HAS REGULATION UP AND REGULATION DOWN QUANTITIES. UH, AND AS, AS THROUGH ANY OF THE DISCUSSION THAT WE'VE HAD, THE DATA ONLY IS UP, UPDATED UP TO JULY, UH, DOES NOT INCLUDE DATA FROM AUGUST TO DECEMBER. SO THE QUANTITIES WILL SHIFT SLIGHTLY OR CHANGE IN THOSE MONTHS OR FOR THE, FOR THE ENTIRETY OF THE YEAR FOR THAT FACT. UM, AND THEN WHEN WE'RE TALKING ABOUT PROBABILISTIC MODEL, SO PLEASE KEEP THAT IN MIND. UH, NEXT SLIDE. ALRIGHT. SO THIS AGAIN IS OVERVIEW, UM, OF THINGS THAT WE'VE DISCUSSED IN THE PAST. SO, JUST AS A REMINDER, ANCILLARY SERVICES ARE RECRUITED TO BALANCE, UH, SUPPLY AND DEMAND, ALL WHILE ALSO MEETING THE RELIABILITY OBJECTIVES DEFINED BY NERC RELIABILITY STANDARDS ABOUT ONE, ABOUT TWO, ABOUT THREE, UH, AND REDUCE OPERATIONAL RISK ASSOCIATED WITH VARIABILITY OF UNCERTAINTY. SO IN HERE, UH, MAIN THING THAT I WANTED TO COVER, REGULATION UP AND DOWN OUR RRS AND A PORTION OF ECRS, ONE OF THE RESPONSIBILITIES OF ECRS IS SUPPORT FREQUENCY RE CONTROL, UH, SUPPORT RECOVERY AND FREQUENCY. AND THOSE ARE ALL SECOND MINUTE PRODUCTS THAT, THAT, UH, ARE INTENDED TO, TO SUPPORT FREQUENCY CONTROL. UH, NOW THE OTHER, UH, UH, OBJECTIVE OF ECRS AND THE NONS SPIN IS THIS IS NOW CAPACITY TO HELP COVER, UH, UNCERTAINTY. UH, THIS IS THAT MINUTES TO HOURS COVERAGE THAT WE'RE LOOKING FOR. AND THIS IS HOW THE, THE PROBABILISTIC ANALYSIS OR PROBABILISTIC MODEL IS COVERED, UH, CALCULATING THESE QUANTITIES FOR THE METHODOLOGY. UM, THE, THE TAKEAWAY IS ALL OF THESE, ALL OF THE AS PRODUCTS WORK IN COMBINATIONS TO SUPPORT, UH, RELIABILITY AND MEET THE, THE NERC NERC BOWEL OBLIGATIONS. UH, AND, AND THIS IS ONE OF THE KEY TAKEAWAYS AND, AND WE'LL SEE WHEN WE GET TO THE PROBABILISTIC MODEL OF, OF ENSURING THAT WE'RE PRESERVING THE ABILITY TO RESTORE REG AND RRS, UM, WITH ECRS AND NONS SPEND TO ENSURE RELIABILITY AS WELL. NEXT SLIDE. SO I'LL GO THROUGH THESE VERY BRIEFLY. THIS IS JUST REGULATION AND RS ON THE NEXT SLIDE. UH, WHAT I WANTED TO COVER HERE IS BECAUSE WE'RE NOT MAKING ANY METHODOLOGY CHANGES, AND WE'RE JUST USING UPDATED DATA FROM 2026, THIS'LL SHOW YOU THE 2026 QUANTITIES WE [01:25:01] HAD LAST YEAR, THE PROPOSED QUANTITIES WE HAVE FOR NEXT YEAR. UH, AND OVERALL, WHAT YOU SEE IS THE TRENDS ARE VERY SIMILAR TO 2026. NOT MUCH CHANGES FOR REGULATION IN RRS. UM, SO YOU CAN SEE THIS BY MONTH, AGAIN, ADDITIONAL DATA, MONTHLY HOURLY VALUES ARE IN THE H TM L THAT'S BEEN POSTED. NEXT SLIDE. THIS IS NOW RRS. UM, AGAIN, THE TAKEAWAY HERE IS THE QUANTITIES ARE VERY SIMILAR TO 2026, UH, POSTED QUANTITIES. UH, I WILL SAY, AS A REMINDER FROM THE FIRST SLIDE IS IF, UH, ONCE NOW THAT WE HAVE THE, WE GET THE NERC PRELIMINARY IFRO VALUE, WE WILL GO AND UPDATE THESE QUANTITIES BASED ON THAT CALCULATION OR THAT VALUE, UM, TO ENSURE THAT THEY'RE REFLECTED FOR 2027. NEXT SLIDE. OKAY, SO NOW, NOW WE'LL GET INTO THE ECRS AND NONS SPIN PROBABILISTIC MODEL. SO, AND OUR RECOMMENDATIONS THAT WE HAVE FOR, FOR THIS YEAR, YEAR, UH, SO AS A REMINDER IN OUR, IN THE MODEL THAT WE'VE DEFINED AND CREATED IN 2026 IS WE HAVE OUR INPUTS, WHICH IS OUR RISKS, UH, OUR NET LOAD FORECAST ERROR, OUR FORCED OUTAGES, AND THEN SOME ACCOUNTING FOR RISK CREDIT, UH, AVAILABILITY AND ONLINE HEADROOM, 30 MINUTE AVAILABILITY AND ONLINE HEADROOM, 30 MINUTES OFFLINE CAPACITY, UM, AND ESR CAPACITY THAT'S SUSTAINABLE FOR SOME AMOUNT OF HOURS. WE FEED THIS INTO OUR ENGINE. WE RUN A A MONTE CARLO OPTIMIZATION. AND, AND WITH THE RISK AND RISK CREDITS, WE GET A NET RISK THAT, UH, THAT NOW RUNS THROUGH A CONVERGENCE CRITERIA. UM, AND AGAIN, THESE ARE ALL PARAMETERS THAT CAN BE FED INTO THE TOOL. WE'VE RUN NINE OVER 900 SCENARIOS IN THE HTML THAT CAN BE OBSERVED AND ANALYZED. UM, UH, AND, AND THE GOAL HERE IS WITH VARIOUS PARAMETERS OF INPUTS WITH VARIOUS PARAMETERS AND CONVERGENCE CRITERIA. UH, THE, THE PROBABILISTIC MODEL IS ATTEMPTING TO MEET CONVERGENCE CRITERIA WITH THE INPUTS THAT HAVE BEEN PROVIDED. UH, NOW FOR OUR RECOMMENDATIONS FOR 2027 IS WE ARE STILL RECOMMENDING A SIX HOUR AHEAD, UM, LOOK AHEAD PERIOD FOR RISKS, UH, ONE IN 10 EVENT, A HUNDRED PERCENT REG PLUS RRS, UH, AND, AND A 3000 MEGAWATT THRESHOLD IN THE CONVERGENCE CRITERIA. UM, I WILL SHARE ADDITIONAL DETAILS ON THESE AS WE GO THROUGH. UH, AND I'M SORRY, THE LAST PIECE I HAD ON HERE WAS AN INCREASE IN RISK CREDITS. UH, THIS IS A BREAKOUT NOW OF ONLINE, OFFLINE, AND ESR FOR NIGHTTIME HOURS AND DAYTIME HOURS. SO, AS A REMINDER, LAST YEAR WE USED A 25% DURING DAYTIME HOURS. UH, WE'RE PROPOSING INCREASING THAT TO 50% FOR ONLINE, 50% FOR OFFLINE, AND 60% FOR ESR. AND SPECIFICALLY FOR ESR IS THE RISK CREDIT IS INTENDED TO BE SUSTAINABLE FOR FOUR HOURS. OKAY. HOPEFULLY THAT WAS A RECAP OF WHAT, HOW THE MODEL WORKS AND OUR RECOMMENDATIONS. NEXT SLIDE. OKAY. SO NOW THIS IS MORE, UH, KIND OF SOME THINGS TO FOCUS ON AND RELATED TO PROPOSING CHANGES FOR THE HEADROOM, UH, PARAMETER FOR RISK CREDITS. THE NEXT FEW SLIDES WILL SOMEWHAT SUPPORT THE THREE TOPICS THAT WE TALK ABOUT HERE. UH, MOST OF IT SHOULD BE RECAP OF THINGS THAT WE'VE TALKED ABOUT, AND I JUST WANNA MAKE SURE THAT, THAT WE'RE ALL FOLLOWING ALONG AND KIND OF SEE WHAT, WHAT OUR PERSPECTIVE IS ON THIS. SO THE FIRST ONE IS, UNCERTAINTY IS STILL GROWING FORCED OUTAGES AND FORCED, UH, AND FORECAST ERRORS STILL OCCUR. UH, AND, AND WE STILL HAVE THE VARIABILITY AND RENEWABLE RESOURCES AND, AND POTENTIAL FOR WEATHER FORECAST MISSES. SO THAT, THAT'S ONE OF THE BIG THINGS TO, TO CONSIDER IS THAT UNCERTAINTY IS GROWING. UH, TWO AVAILABLE HEADROOM HAS INCREASED, UM, SINCE, UH, AS WE REVIEW 2026. NOW, ONE OF THE THINGS THAT WE'VE TALKED ABOUT IS IN RTC, THE THERMAL COMMITMENT EFFICIENCY HAS IMPROVED. SO WE HAVE SEEN SOME OF THAT ONLINE CAPABILITY THAT WE'VE HISTORICALLY HAVE MOVED TO OFFLINE, BUT STILL IT'S OFFLINE 30 MINUTE START WITH THERMAL. UH, SO, SO WE'RE STILL HAVING AVAIL AVAILABILITY OF THOSE RESOURCES TO BE BROUGHT ONLINE FAIRLY QUICKLY IF WE NEED THEM. UH, NOW THE OTHER THING THAT TO CONSIDER IS SOLAR HAS CONTINUED TO GROW AND ESRS HAVE CONTINUED TO GROW. UH, THIS HELPS COVER, YOU KNOW, ANY ADDITIONAL LOAD GROWTH THAT'S COMING. UH, AND, AND ONE OF THE REASONS WHY, YOU KNOW, WE'VE, WE'VE CONSIDERED ADDITIONAL RISK CREDITS INCREASED FROM 25% IS ESR CAPACITY HAS COME IN AND FILLED A LOT OF THE GAP IN, IN THE GROWTH THAT WE'VE SEEN OVER THE LAST YEAR. THE THIRD THING TO CON CONSIDER HERE IS LOAD IS STILL GROWING. UM, BUT WE THINK HEADROOM MAY STILL [01:30:01] BE AVAILABLE IN 2027. SO THERE IS A LOT OF DISCUSSION ABOUT WHAT THE LOAD GROWTH PATTERNS LOOK LIKE FOR THE NEXT FEW YEARS. UM, UH, NOW WITH INCREASED LOAD GROWTH, WE ARE STILL SEEING INCREASED SOLAR E INCREASED ESR. SO, YOU KNOW, THERE IS THE ABILITY THAT SOME OF THE HEADROOM THAT WE'VE HAD HISTORICALLY IS COVERED BY LOAD GROWTH, UM, WHICH IS ONE OF THE MAIN REASONS WHY WE'RE NOT ASSUMING A HUNDRED PERCENT OF HISTORICAL HEADROOM, UH, TO SET OUR PROPOSED QUANTITIES. UH, BUT WE DO CONSIDER THAT WE SHOULD, WE CAN ACCOUNT FOR MORE HEADROOM AVAILABILITY THAN THE 25% THAT WE TOOK LAST YEAR. UM, SO THESE THREE THINGS WERE KIND OF LEADING TO WHY WE FELT WE COULD CONSIDER ADDITIONAL RISK CREDIT IN, IN OUR PROPOSED QUANTITIES. UH, NEXT SLIDE, PLEASE. OKAY, SO THE NEXT FEW SLIDES ARE TO SUPPORT WHAT YOU JUST SAW AS A SUMMARY OF ONE, UH, UH, OF THE PREVIOUS SLIDE. SO THIS IS JUST SHOWING INCREASED WIND AND SOLAR CAPACITY. UH, AS YOU CAN SEE FOR 2027, WE ARE STILL, UH, LOOKING TO SEE, OR WHAT'S PLANNED IS TO SEE ADDITIONAL WIND GROWTH AND SOLAR GROWTH. SO ONE IS THOSE ARE HELPING COVER LOAD, UH, BUT IT ALSO DOES INCREASE, AT LEAST FROM, UH, SPECIFIC, UH, SPECIFICALLY FOR IRRS, UH, DOES POTENTIALLY IMPACT THE, THE ERROR THAT WE MAY SEE IN NET LOAD FORECAST. UM, AND IN PARTICULAR, THAT'S ONE OF THE REASONS WHY WE TAKE, UH, ADDITIONAL, UM, SOLAR ADJUSTMENT DUE TO WE SEE SOLAR FORECAST ERROR, UH, INCREASE WITH THE AMOUNT OF SOLAR CAPACITY INSTALLED. NEXT SLIDE. NOW, THIS IS TO TOUCH ON THAT UNCERTAINTY GROWTH FACTOR. UH, SO WHAT YOU SEE HERE ARE TRENDS IN SOLAR, WIND, AND OUTAGES. UM, WE SEE A SLIGHT INCREASE IN WIND, BUT OVERALL THE MAJOR INCREASE WE WE'RE STILL SEEING IS SOLAR. UM, AND PART OF THAT IS WHAT WE'VE IDENTIFIED IS BY DOING A MORE DEEP DIVE INTO THE SOLAR, UH, FORECAST ERA. WE'RE SEEING A LOT OF THE CAPACITY IS BEING INSTALLED IN FAR EAST TEXAS TODAY. UM, AND A LOT OF THE, THE, THE FORECAST PERFORMANCE IN THAT AREA, UM, DOES HAVE SOME UNCERTAINTY AND A LOT OF IT, BECAUSE IT'S ALONG THE COASTLINE WHERE THERE IS A LOT OF CLOUD COVERAGE. UH, AND SO WE ARE SEEING INCREASED UNCERTAINTY FROM THAT AREA, UH, THAT THAT NEEDS TO BE COVERED. AND, AND THEN THE OTHER OBSERVATION IS, IS OUTAGES HAVE HAD A SLIGHT UPTICK IN, IN, IN FORCED OUTAGES AS WELL. UM, ALL TO SAY THAT, YOU KNOW, EVEN WITH THE RENEWABLE GROWTH, THAT WILL HELP COVER LOAD, IT DOES INCREASE WITH, UH, A GROWTH IN UNCERTAINTY. UM, AND WE STILL SEE THE SLIGHT INCREASE IN FORCED OUTAGES AS WELL. NEXT SLIDE. NOW THIS ONE IS, UH, TALKING ABOUT RISK CREDITS. AND WHAT WE'VE SEEN, AGAIN, LAST YEAR, WE TOOK A 60% CREDIT AT NIGHT, WHICH WE'RE NOT CHANGING OR WE'RE NOT PROPOSING TO CHANGE, BUT WE DID ONLY TAKE A 25% CREDIT DURING THE DAY. UH, WE WERE SOMEWHAT UNSURE WHAT RTC WOULD BRING AND HOW, YOU KNOW, THE EFFICIENCIES THAT WE EXPECTED, UM, UH, HOW THAT WOULD AFFECT, UH, HEADROOM. NOW BECAUSE OF THAT, NOW WHAT WE'VE SEEN IS, AS WE LOOK AT RTCB NOW THAT WE'VE BEEN IMPLEMENTED, UH, THAT HAS BEEN IMPLEMENTED, WE HAVE SEEN THAT SHIFT IN ONLINE TO OFFLINE. UH, BUT WE HAVE SEEN ADDITIONAL CAPACITY BE AVAILABLE DUE TO ESR CAPACITY GROWTH. SO WE TOOK A 25% CREDIT ON ESRS LAST YEAR BASED ON THE CAPACITY THAT WAS AVAILABLE HISTORICALLY. UH, IF WE LOOK AT THAT CREDIT TODAY, UH, WITH THE AMOUNT OF CAPACITY THAT HAS BEEN INSTALLED IN ESRS AND SOLAR SPECIFICALLY FOR ESRS, UH, WE SEE THAT HEADROOM AVAILABLE FROM THOSE RESOURCES TO TAKE ADDITIONAL CREDIT, OUR, OUR CURRENT PROJECTION SHOW THAT ESRS ARE CONTINUE TO GROW IN 2027, UH, WHICH HAS, UH, MADE US FEEL BETTER ABOUT INCREASING THAT QUANTITY TO 60% FOR BATTERIES SPECIFICALLY. UM, AND, AND SO OVERALL WHAT WE'VE SEEN IS WE DO FEEL CONFIDENT THAT WE CAN COUNT ON ADDITIONAL HEADROOM BEING AVAILABLE, PRIMARILY DUE TO SOLAR AND ESR. UM, NOW ONE NOTE THAT WE HAVE TALKED ABOUT, UH, IS EVENING RAMPS. EVENING LOAN RAMP SHOWS THAT THERE ARE LEVELS OF HEADROOM ARE LOWER, IN PARTICULAR BECAUSE ESRS ARE DEPLETED TO COVER THE NET LOAD RAMP. SO THIS IS SOMETHING THAT WE DO WANNA MONITOR. WE DO WANNA SEE, YOU KNOW, HOW THAT, HOW NET LOAD PERIODS AFFECT, UH, RISK CREDIT ACCOUNTING AND HEADROOM ACCOUNTING AND, AND FEED THAT INTO TO POTENTIAL CHANGES THAT WE LOOK FOR 2028. SO IT IS SOMETHING THAT WE ARE LOOKING AT AND THEN HAVE OBSERVED THAT EVEN DURING DAYTIME HOURS, SINCE WE HAVE A NIGHT AND DAYTIME HOUR ACCOUNTING EVENING HOURS IS REALLY WHERE THE TIGHTEST CONDITIONS DO SHOW UP. NEXT, NEXT SLIDE. SO THIS IS SHOWING AGAIN, THAT ESR CAPACITY IS GROWING, EXPECTED TO GROW FOR 2027 [01:35:01] AND 2028. UM, NOW THE QUESTION BECOMES, YOU KNOW, LOAD IS STILL IN INCREASING, UH, SO LOAD GROWTH WILL CONSUME ADDITIONAL HEADROOM. UH, BUT WE BELIEVE WITH THIS IS ONE OF THE MAIN REASONS WHY WE DON'T WANT TO TAKE A HUNDRED PERCENT RISK CREDIT. UH, WE DO BELIEVE THAT IF, IF SOME OF THAT IS GONNA BE CONSUMED, UH, WE DON'T WANT TO COUNT ON IT IF IT'S GONNA BE USED TO COVER BASE LOAD, UH, BUT WE STILL FEEL CONFIDENT THAT WE CAN USE AT LEAST UP TO A 60% IN ESR HEADROOM TO, TO, FOR RISK CREDIT ACCOUNTING. NEXT SLIDE. OKAY, THIS AN OVERVIEW OF, UH, UH, PARAMETERS THAT WE ARE PROPOSING AND SOME, SOME STAKEHOLDER FEEDBACK THAT WE HEARD THROUGH OUR EFFORTS OF WORKING THROUGH THE GROUPS. OUR, OUR PROPOSED IS SIX HOURS FOR THIS, THE, THE LOOK AHEAD PERIOD FOR NET LOAD FORECAST ERRORS AND FOR, UM, OUTAGES. I WILL MENTION THAT ON HERE. THE IMM HAS PROPOSED A THREE HOUR LOOK AHEAD. UH, WE HAVE INCLUDED THAT IN OUR SCENARIOS. UM, UM, AND AS WE MOVE DOWN, UH, WE HAVE SEEN, UH, UH, I APOLOGIZE, I I MISSED THE PERSPECTIVE. SO ONE OF THE MAIN PERSPECTIVES HERE IS, AS A REMINDER, IS THE ROCKS THAT WE SEE AS AVAILABILITY TYPICALLY HAVE AT LEAST A SIX HOUR STARTUP TIME. UM, AND THAT'S WHY WE'VE TIED THAT SIX HOUR TO THAT LOOK HEAD HORIZON IS WE'RE TRYING TO ENSURE THAT WE, WE HAVE THE RESOURCES AVAILABLE THAT WE CAN ROCK, UH, UH, WITHIN THE AMOUNT OF TIME NECESSARY TO COVER THE UNCERTAINTY THAT WE SEE. UH, THE NEXT ONE IS LOOKING AT, UH, THE, THE THRESHOLD. UH, WE ARE AT A 3000 WATCH THRESHOLD. THE IMM HAS SUGGESTED A 1500 OR LOAD SHED THRESHOLD RIGHT NOW. OUR OBSERVATIONS HAVE SHOWN THAT, YOU KNOW, WITH, UH, UH, WE DON'T SEE MUCH OF A CHANGE BY CH GOING FROM 3000, 2,500 OR 1500, UH, BECAUSE THERE IS, WE HAVE A, ANOTHER VARIABLE, UM, TO ENSURES THAT WE HAVE THE AMOUNT NECESSARY IN E-C-R-S-A NON SPIN TO RECOVER REGULATION AND OUR ARREST RESERVES, UH, AND MAKE SURE THAT THEY ARE REPLACED, WHICH IS THE NEXT VARIABLE ON OUR LIST HERE IS THIS A HUNDRED PERCENT OF REG PLUS RRS IS WHAT ERCOT IS PROPOSING TO, TO COVER. UM, IMM HAS PROPOSED SOMETHING, SOMETHING LESS THAN A HUNDRED PERCENT HERE. UM, UH, THE ONE REMINDER HERE IS GOING BACK TO THIS FIRST SLIDE, SE SECOND SLIDE I HAD WAS TALKING ABOUT WHY WE HAVE, AS HOW THEY HELP ENSURE THAT WE MAINTAIN RELIABILITY AND FREQUENCY CONTROL, AND ENSURE THAT WE MEET THE NERC UH, BOWEL REQUIREMENTS, ENSURING THAT REG AND RRS ARE AVAILABLE DURING EVENTS TO RECOVER FROM THOSE EVENTS, MAINTAIN AND RECOVER FROM THOSE EVENTS. AND THE LAST ONE, UH, THAT WE DID HEAR A LOT OF FEEDBACK BACK, UH, FROM, FROM VARIOUS STAKEHOLDERS IS, IS CREDITS. SO AGAIN, WE'VE PROPOSED AN INCREASE FROM 25 TO 50% ON ONLINE AND OFFLINE, AND AN INCREASE TO 60% ON ESRS THAT'S SUSTAINABLE FOR FOUR HOURS. UM, NOW WE, WE HEARD FROM, FROM GENERATORS THAT THE, THE CREDIT THAT SHOULD BE ACCOUNTED FOR IS ZERO, UH, AND FROM THE IMM THAT IT SHOULD BE, UH, WE SHOULD BE COUNTING ON ALL CREDIT, ALL HISTORICAL HEADROOM, UH, A HUNDRED PERCENT OF IT AT A ONE HOUR DURATION. UM, SO AGAIN, THIS GOES BACK TO THE ANALYSIS AND SLIDES THAT I SHARED HERE, IS, IS, YOU KNOW, WE SEE THAT LOAD IS GROWING, WE SEE BATTERIES ARE GROWING, SOLAR CAPACITY IS GROWING. UH, WE DON'T KNOW THAT SOME HEADROOM WILL BE CONSUMED BY THAT LOAD GROWTH, UH, WHICH IS WHY WE'RE NOT RECOMMENDING A HUNDRED PERCENT, BUT WE DO THINK WE CAN ACCOUNT FOR SOME OF THE HISTORICAL HEADROOM TO, TO BE ABLE TO COVER SOME OF THAT UNCERTAINTY. NEXT SLIDE. SO NOW WHAT I HAVE HERE ARE JUST A FEW SCENARIOS, FOUR SCENARIOS TO TALK ABOUT, UH, COMPARING QUANTITIES. AGAIN, ALL THIS DATA COMES FROM THE HTML THAT WE'VE PROVIDED WITH, WITH THE 900 SCENARIOS. UH, BUT WHAT WE WANTED TO LOOK AT HERE WAS HOW THINGS COMPARE WHEN WE'RE TRYING TO SORT OF KEEP THINGS ON A, ALMOST AN APPLE TO APPLES COMPARISON HERE. SO, UH, THREE SCENARIOS ON HERE ARE SHOWING YOU THE SIX HOUR RISK. UH, ONE IS SHOWING YOU A ZERO HEADROOM, AND THEN TWO ARE SHOWING YOU 60% HEADROOM CREDIT WITH A 3000, UM, ONE IN 10 EVENT, A HUNDRED PERCENT REGULAR RS. SO THE BLUE HERE IS WHAT ERCOT PROPOSED. UH, THE, THE MAROON PURPLE COLOR IS WHAT, UH, THE, UH, WHAT THE GENERATORS WOULD'VE PROPOSED IS ZERO RISK CREDIT. SO YOU CAN KIND OF SEE HOW THE, AS QUANTITIES CHANGE BASED ON HOW THE HEADROOM CREDIT IS ACCOUNTED FOR. NOW, THE DIFFERENCE BETWEEN THE BLUE AND THE GREEN, THE BLUE BEING ERCOT, AND THE GREEN IS DROPPING DOWN TO A 1500 CREDIT, I'M SORRY, THRESHOLD. SO IN THIS SCENARIO, UH, ONE THING TO CONSIDER HERE IS THAT THEY'RE VERY SIMILAR, AND A LOT OF THAT HAS TO DO WITH THE ACCOUNTING FOR, UH, A HUNDRED PERCENT OF REG PLUS RRS. UH, SO EVEN BY CHANGING THAT THRESHOLD, THERE'S NOT A BIG CHANGE IN QUANTITIES, [01:40:01] UH, FROM THAT, THAT ARE PRODUCED BY THE OPTIMIZATION. NOW, THE LAST ONE IS A THREE H. THE SCENARIO IS A THREE HOUR AHEAD RISK, A HUNDRED PERCENT CREDIT, 1500 THRESHOLD, AND A 0% RECKLESS RSS. THIS IS SOMEWHAT CLOSE OR SIMILAR TO WHAT THE IMM HAD PROPOSED. UM, SO IT DOES SHOW THAT THE QUANTITIES DO ARE REDUCED, UM, SIGNIFICANTLY BY INCLUDING, UH, BY US UTILIZING THOSE PARAMETERS. UM, SO I THINK THE OVERALL TAKEAWAY HERE IS, IS, IS, UM, IS, IS IF YOU LOOK AT SCENARIOS ONE AND TWO, THE HEADROOM CREDIT IS THE LARGEST DRIVER FOR THE CHANGE IN QUANTITIES. UM, WHILE THE TARGET RESERVE CHANGES FOR S TWO AND S3, UM, DON'T CHANGE VERY MUCH, BUT BY ACCOUNTING FOR A HUNDRED PERCENT CREDIT IN THE S FOUR WITH A 0% REG UP PLUS RRS RESTORATION, UH, THOSE IN WORKING TOGETHER BY HAVING THOSE PARAMETERS TOGETHER, UH, KIND OF SETS UP A SORT OF EXTREME SCENARIO THAT WE, WE AS ERCOT DON'T SUPPORT, UM, IS, IS THOSE QUANTITIES WOULD BE VERY LOW AND IT DOESN'T MEET THE REG AND RRS RESTORATION FOR US. NEXT SLIDE. OKAY, SO A LOT OF THAT WAS RECAP OF THE PROBABILISTIC MODEL. UM, THIS IS WHERE THE NEW ANALYSIS STARTS. UM, SO I WANT TO, I'LL WORK THROUGH THIS SLOWLY, I HOPE, HOPEFULLY I'LL COVER ALL THE POINTS THAT I NEED TO. BUT, UH, PART OF THE PUC 2024 AS STUDY, WE WERE ASKED TO ANALYZE WHAT IS THE PROBABILITY OF EXPERIENCE AND WATCH IN EEAA LOAD CHECK WITH ALTERNATIVE TARGET RESERVE LEVELS. SO, UH, THIS WAS THE TABLE WE WERE GIVEN AS PART OF THE STUDY AS HOW WE SHOULD BE TRYING TO QUANTIFY PROBABILITY OF AN EVENT. SO WHAT WE'VE DONE HERE IS, THERE'S TWO FLAVORS TO THIS ANALYSIS, IS THE FIRST ONE CAN BE OBSERVED JUST BY UTILIZING PARAMETER INPUTS AND SCENARIOS FROM THE HDML, FROM THE OPTIMIZATION. SO WE TAKE ALL THE SCENARIOS THAT WE'VE GENERATED THROUGH THE PROBABILISTIC MODEL, AND WE CONDUCT AN ANALYSIS OF THE PROBABILITY OF AN EVENT. NOW, THE KEY THING HERE IS FOR EACH SCENARIO, WE USE THAT SCENARIO'S CRITERIA, THE PARAMETERS, AND ANALYZE HOW OFTEN THE ECRS AND NONS SPIN QUANTITIES MINUS THE RISK THAT WE HAVE AFTER WE'VE ACCOUNTED FOR RISK CREDIT FALL BELOW THE THRESHOLDS THAT HAVE BEEN DEFINED IN THIS TABLE, AND WE EXPRESS THEM AS A PROBABILITY IN EXPECTED HOURS PER YEAR. THIS DATA IS IN THE HTML THAT YOU HAVE. THERE'S A, THERE'S A SECTION IN THERE UNDER A TITLE OF RELIABILITY RES OBSERVED BY THE OPTIMIZATION BY SCENARIO. UM, THERE'S SOME YELLOW BARS IN THERE THAT, THAT YOU CAN SEE. UM, NOW THE THING ABOUT THE WAY THIS ANALYSIS WORKS IS THIS IS SIMPLY SAYING, IF I INPUT MY PARAMETERS TO THE OPTIMIZATION, UH, AND I HAVE A CERTAIN CONVERGENCE CRITERIA, CAN THE TOOL MEET THAT CONVERGENCE? AND WHAT DO THE PROBABILITY OF EVENTS LOOK LIKE DUE TO THE, THE, THE RISK THAT IS OBSERVED BY EACH INDIVIDUAL SCENARIO? UM, SO THAT, THAT KIND OF SETS UP ONE, ONE FLAVOR OF, OF ANALYZING HOW EACH SCENARIO SETS UP THE QUANTITIES AND WHAT SORT OF RISK AND PROBABILITY DO WE GET FROM THAT. NOW, COMPARING EACH SCENARIO IS SOMEWHAT OF AN APPLES TO ORANGES WHEN YOU THINK ABOUT IT, BECAUSE EACH ONE HAS ITS OWN RISK BASED ON THE PARAMETERS THAT ARE INPUT. UH, SO WE'VE DONE A SECOND PIECE OF THIS ANALYSIS. WE GO TO THE NEXT SLIDE. SO NOW WHAT WE WERE TRYING TO DO IS DO THE SAME ANALYSIS, BUT KIND OF DO REVIEW THE TOTAL AS REQUIREMENT OF A SCENARIO AND IDENTIFY THE RELIABILITY BENEFIT WE GET FROM MAKING ADJUSTMENTS TO THE SCENARIOS. SO NOW WHAT THIS IS DOING IS COMPARING EACH SCENARIO THAT IS PRODUCED BY THE OPTIMIZATION, UM, AND COMPARING IT TO A SINGLE COMMON RISK. UM, AND, AND WHAT THAT MEANS IS IF I PROCURE THE HIGHEST AMOUNT OF QUANTITIES, THAT IS TO COVER ALL RISK THAT I HAVE SEEN IN, UM, OR AT LEAST IN, IN THIS SCENARIO, WHAT WOULD BE THE, THE CONSERVATIVE, UH, PARAMETERS FOR THIS. UH, SO I'LL TRY TO WALK THROUGH WHAT YOU'RE SEEING HERE A LITTLE BIT TO HOPEFULLY CATCH EVERYBODY UP. SO THE DOTS THAT YOU SEE ON YOUR SCREEN ARE, UM, BLUE IS WATCH, ORANGE IS EEA, AND GREEN IS EEA THREE. UH, THE LEFT Y AXIS IS TOTAL RESERVES THAT WOULD'VE BEEN CALCULATED BY THE PROBABILISTIC MODEL. AND THE X AXIS IS THE EXPECTED HOURS PER YEAR TO MEET THE THRESHOLDS [01:45:01] THAT HAVE BEEN DEFINED. SO HOURS IS THE BOTTOM AXIS. AND WHAT WE'VE DONE HERE IS MEASURE THIS AGAINST ONE RISK. SO I TAKE THE GREEN BOX AT THE TOP, IS I'M NOW LOOKING AT NO, NO HEADROOM BEING ACCOUNTED FOR A ZERO RISK CREDIT, WHICH MEANS IF I HAVE ZERO RISK CREDIT, I HAVE TO COVER ALL THE UNCERTAINTY, UH, WITH AN AS PLAN, UH, WHICH LEADS TO THE HIGHEST TOTAL AS MEGAWATTS REQUIRED. IF I LOOK A LITTLE BIT FURTHER DOWN THE CURVE, I SEE ERCOT PROPOSED QUANTITIES, WHICH IS ESSENTIALLY SAYING, WELL, IF I ADJUST THE PARAMETERS TO MEET THE ERCOT QUANTITIES, AND I SCORE THAT AGAINST THE COMMON RISK OF THE GREEN BOX AT THE TOP, WHAT HAPPENS IS I DO REDUCE THE QUANTITIES THAT I HAVE, UH, AND, AND, AND IT MOVES ME ACROSS THE RIGHT OF EXPECTED HOURS PER YEAR. SO THERE IS THIS COST OF RE OF THE REQUIREMENT AND RELIABILITY BENEFIT THAT I GET FROM MOVING THE QUANTITIES ACROSS THIS PROBABILITY. AT THE VERY BOTTOM, YOU HAVE THE IMM PROPOSED QUANTITIES, AND I, I'D BE VERY CAREFUL HERE, IS THE IMM PROPOSED QUANTITIES. THEY ARE AT THE BOTTOM. THEY DO SHOW THAT YOU GET A HIGHER AMOUNT OF EXPECTED HOURS COMPARED TO THIS SINGLE COMMON RISK. UH, BUT I'D BE VERY CAREFUL IS IS THE ONE THING TO CONSIDER ABOUT THE PARAMETERS FROM THE IMM PROPOSED. UH, THEY ARE VERY DIFFERENT FROM THE RISK THAT'S BEING ASSESSED HERE, UH, UH, UH, FROM, FROM, FROM THE BASE COMMON RISK. SO, SO, SO, UM, SO WHAT THE TAKEAWAY FROM THIS IS LOOKING AT IF, IF, IF WHERE ERCOT PROPOSED LANDS IS SOMEWHERE IN BETWEEN THE ZERO RISK CREDIT AND THE IMM PROPOSED A HUNDRED PERCENT RISK CREDIT, UH, AND WE'RE JUST, WE'RE SOMEWHERE IN BETWEEN IS IS THE HOPE THAT WE WERE TRYING TO SHOW FROM THIS RISK ANALYSIS. UM, I'M SURE I'LL GET SOME MORE QUESTIONS ON THIS LATER, BUT I'LL CONTINUE ON. UM, AND WE'LL COME BACK TO THIS AS WE NEED TO. UH, NEXT SLIDE. OKAY, SO NOW I WANTED TO KIND OF TRY TO BREAK THAT ANALYSIS DOWN EVEN FURTHER. SO, SO BUILT ON THAT RISK ASSESSMENT, UH, WE WANTED TO NOW TAKE, OKAY, IF I, I ENSURE THAT I HAVE A HUNDRED PERCENT REG UP PLUS RRS, I'M USING A SIX HOUR FORECAST ERROR, A ONE IN 10 PROBABILITY. UH, WHAT, WHAT HAPPENS IF I VARY HEADROOM AND THE TARGET RESERVE THRESHOLD OF 3020 500 AND EACH OF THESE ARE NOW EVALUATED AGAINST THAT SIX HOUR HEAD RISK. UM, SO THIS IS SOMEWHAT TRYING TO SHOW ERCOT PROPOSED QUANTITIES AND WHAT HAPPENS IF THINGS CHANGE. FAR LEFT OF MY TABLE HERE IS SHOWING YOU WHAT HAPPENS IF THE RISK CREDITS CHANGE 0%, 60%, A HUNDRED PERCENT, 60% BEING WHAT ERCOT PROPOSED. UM, WHAT IF THE TARGET RESERVE LEVEL CHANGED FROM 3000 TO 2,500? HOW DOES THAT PROB PROBABILISTIC MODEL HANDLE THOSE PARAMETERS? WHAT IS THE TOTAL AS REQUIRED? WHAT IS THE TOTAL AS COST FOR THE, AS ONE ASTERISK ON THIS AS COST IS? THIS IS USING 2025 MCPC DATA, HISTORICAL DATA TO CALCULATE BASED ON AS QUANTITIES. IT'S NOT A REFLECTION OF WHAT MAY HAPPEN IN THE FUTURE. UM, SO JUST WANTED TO MAKE SURE THAT, THAT THAT IS CLEAR. THEN AS YOU WORK YOUR WAY TO THE RIGHT OF THE TABLE IS LOOKING AT HOW THE EXPECTED E EEA HOURS CHANGE BASED ON THE SIX HOUR AHEAD RISK. SO I'LL TAKE THE FIRST BOX UNDER EEA THREE OF NO HEADROOM THE HIGHEST RISK. AT 0% CREDIT, YOU SEE THAT THERE ARE ZERO HOURS OF EEA THREE EXPECTED HERE WITH ERCOT PROPOSAL OF GOING TO 60% CREDIT. YOU SEE THAT THAT NUMBER INCREASES TO 48. IF I LOOKED OVER TO SAY SOME HEADROOM WAS ACCOUNTING, IF I TOOK THE SIX HOUR CREDIT, THAT DOES DROP DOWN TO ZERO. THIS IS SIMPLY SHOWING THAT THE PROBABILISTIC MODEL, UM, IS ENSURING THAT IT'S MEETING THE CRITERIA THAT IT'S BEEN GIVEN TO, OF, OF THE PROBABILITY OF AN EVENT. SO WE WOULD EXPECT A ZERO HERE. UH, IF EVEN IF YOU WENT TO A HUNDRED PERCENT IN HEADROOM, IN THE LOTS OF HEADROOM SCENARIO, THAT ALSO STILL DROPS DOWN TO ZERO IN THAT SCENARIO. BUT WHAT CHANGES IS THE NUMBER OF EEA HOURS EXPECTED? IT GOES UP TO 261. SO THAT'S HOW YOU READ THE, THE TOP PORTION. NOW, THE SECOND PORTION, THE SECOND HALF OF THIS CHART IS, WELL, WHAT IF I CHANGE THAT THRESHOLD TO 2,500? UM, AND WHAT YOU SEE IS NOW LET'S JUST COMPARE THE 60% ERCOT PROPOSED AND THE 60%, UM, IN, IN 3000 VERSUS 2,500. WHAT YOU SEE IS THERE'S MINIMAL CHANGE. THE AS [01:50:01] QUANTITY SOMEWHAT IS VERY SIMILAR, UM, AND THE TOTAL COST IS ALSO SOMEWHAT SIMILAR. IT DOESN'T CHANGE BY VERY MUCH. AND YOU DO SEE A FIVE HOUR CHANGE IN EEA THREE. UM, AND I APOLOGIZE, I DIDN'T GO TO EEA ONE, BUT THE SECOND HALF OF THIS TABLE ALSO SHOWS SOMETHING SIMILAR. UH, SO YOU'LL SEE 179 EEA ONE HOURS, 194 HOURS FOR 2,500. UM, SO THERE IS SOMEWHAT OF A SLIGHT CHANGE IN IN THE EXPECTED HOURS, BUT IT'S ALSO MINIMAL. UH, SO, SO FROM THIS, I KNOW WE LANDED AT A 3000, UH, THRESHOLD RESERVE TO USE FOR OUR PROPOSED QUANTITIES. THIS IS SHOWING YOU THAT EVEN IF WE GO TO 2,500, THERE'S NOT THAT MUCH OF A DIFFERENCE. AND IT IT'S VERY SIMILAR, ALMOST INDICATING WE WE COULD GO TO A 2,500 MEGAWATT THRESHOLD BECAUSE THE PROBABILITY OF EVENTS, THE IS MINIMAL CHANGE BY DOING SO. UM, SO, UH, THAT WAS THE TAKEAWAY OF THIS IS, IS THE 3020 500 THRESHOLDS ARE VERY SIMILAR, ASSUMING YOU'RE HOLDING THE HEADROOM CREDIT VERY TO THE SAME RESERVE LEVELS AND A HUNDRED PERCENT REG PLUS IRS AND ALL THE OTHER PARAMETERS STAY THE SAME. OKAY, SO NEXT SLIDE. OKAY, SO THAT WAS THE END OF MY ANALYSIS. UH, THIS IS JUST A RECAP OF EVERYTHING WE HAVE HERE. I THINK THE ONLY THING, THE ONE THING I WANTED TO CALL OUT HERE IS JUST A THANK YOU TO THE, ALL THE MARK PARTICIPANTS THAT HAVE GIVEN US FEEDBACK. THEY'VE WORKED THROUGH THE WORKSHOPS OR THE WORKING GROUPS AND, AND SUBCOMMITTEES. WE'VE HAD CALLS WITH THE IMM AND THE PEC AND MAKING SURE THAT WE'RE ENGAGED WITH THEM AND MAKING SURE THAT, THAT WE ARE ALL ON THE SAME PAGE. SO JUST WANTED TO SAY THANK YOU FOR THAT. UM, AND THEN WE ARE SEEKING ENDORSEMENT FOR THIS, BUT I, I DO WANT TO TAKE QUESTIONS AND GO BACK TO SEE WHERE I NEED TO FILL SOME GAPS ON, ON ON THIS ANALYSIS. OKAY, LET'S TAKE, UH, QUESTIONS AND COMMENTS FOR LUIS. ALL RIGHT, LET'S GO TO NED. CAN YOU HEAR ME? CAN YOU HEAR ME? CAN YOU HEAR ME? YEAH, WELL TRY AGAIN. I'VE GOTTA, I'VE GOTTA DO IT ON BOTH THE PHONE AND THE COMPUTER TO TRY TO MAKE THIS WORK. APOLOGIES FOR THAT. NO ECHO. UM, OKAY, WELL FIRST, LUIS, THANK YOU FOR THAT ADDITIONAL ANALYSIS. I THINK THAT'S, THAT'S REALLY HELPFUL TO SEE. UM, AND I, YOU KNOW, I CAN'T HELP BUT ASK MYSELF, YOU KNOW, IF WE ARE IN A LOTS OF HEADROOM SCENARIO, HOW DO WE MOVE TO THE NO HEADROOM SCENARIO? AND I'M GONNA POSIT THAT WE DO THAT BY NOT VALUING THE ANCILLARY SERVICE RESERVES, ACTUALLY THE OPERATING RESERVES THAT WE NEED TO ADDRESS THE, THE, UH, THE RISKS THAT WE SEE. AND I THINK YOUR ASSESSMENT IS, IS REALLY HELPFUL TO SEE WHAT THE ACTUAL RELIABILITY IMPACTS ARE. UM, YOU KNOW, THE RELATIVE DIFFERENCE IN COSTS IS, IS, I MEAN, ACROSS ALL THE SCENARIOS IS RELATIVELY SMALL. WE'RE CALLING THAT, YOU KNOW, WE HAVE, WHAT IS IT? I THINK IT'S ABOUT A $14 BILLION WHOLESALE MARKET. UM, I THINK THE IMM HAD SOME, UH, SOME ASSESSMENT ON THAT IN THE LAST TWO, UM, STATE OF THE MARKET REPORTS. THAT WAS REALLY HELPFUL JUST TO SEE WHAT THAT TOTAL IS. BUT FOR A RELATIVELY SMALL CHANGE, YOU CAN, YOU KNOW, REALLY IMPACT THE, THE LONG-TERM DEVELOPMENT OF THE, THE MARKET IN A MUCH BETTER WAY. RECALL THAT WE DON'T HAVE A CAPACITY MARKET, SO THERE'S NOT REALLY SOMETHING THAT YOU CAN RELY ON, UH, YOU KNOW, FROM A CAPACITY STANDPOINT, YOU HAVE TO RELY ON THE ENERGY AND ANCILLARY SERVICE MARKET CURRENTLY TO GET THE OUTCOMES YOU WANT. AND, YOU KNOW, JUST THE, THE LOGIC ON THE RISK CREDIT APPROACH, UM, SEEMS TO ME KIND OF LIKE, YOU KNOW, NOT NOT BUYING OR BRINGING YOUR OWN LUNCH BECAUSE YOU'RE JUST GONNA ASSUME YOU CAN PICK UP SOMETHING FROM THE BREAK ROOM FRIDGE, UM, JUST BECAUSE IT HAPPENED TO BE THERE PREVIOUSLY. AND THAT'S, YOU KNOW, IF YOU KEEP DOING THAT, FOLKS ARE GONNA STOP BRINGING THEIR LUNCH AND YOU'LL END UP HUNGRY. SO, UM, I REALLY APPRECIATE THE ASSESSMENT. I THINK IT'S INCUMBENT UPON US TO, TO MOVE SOMETHING FORWARD. UM, AND I WOULD, I'M GONNA MAKE A MOTION THAT WE ENDORSE THE ERUPT PROPOSAL, BUT WITH A 0% RISK CREDIT. OKAY. SO THAT'S A MOTION YOU HAVE ON THE FLOOR. NED ENDORSE THE ERCOT METHODOLOGY, BUT WITH THE 0% RISK CREDIT. [01:55:05] OKAY, SO THERE IS A SECOND FOR THAT MOTION. SO, UM, MOTION FROM NED AND SECOND FROM BLAKE. LET'S CONTINUE DISCUSSION THOUGH, UNLESS SOMEBODY WANTS TO CALL THE QUESTION. AND LET ME, UM, GO TO CORY QUICKLY BECAUSE WE, WE'VE HAD SOME QUESTIONS ON FOR PROCEDURE 'CAUSE THEY HAVE SOME NO VOTES COMING OUT OF THE SUBCOMMITTEES. SO COREY, COULD YOU MAYBE REMIND US OF WHAT WE'RE REQUIRED TO DO OR ALLOWED TO DO AS TECH ON THE ANCILLARY SERVICE METHODOLOGY? YEAH, SURE THING. UM, UP ON SCREEN IS EVERYONE'S FAVORITE SECTION OF THE PROTOCOLS, UH, THREE POINT 16 PARAGRAPH THREE THAT GOVERNS THE AS METHODOLOGY. AND YOU KNOW, UP UNTIL WINTER STORM URI, ALL IT SAID WAS THE BOARD SHALL REVIEW AND VOTE ON IT. AND THEN WITH THE IMPLEMENTATION OF PUC APPROVAL THROUGHOUT MOST THINGS, WE'VE ADDED LANGUAGE AT THE BOTTOM TO NOTE THAT THE BOARD IS NOW ONLY RECOMMENDING APPROVAL AND IT'S THE COMMISSION THAT HAS FINAL APPROVAL. BUT THESE TWO VOTES, ONE AT THE BOARD AND ONE AT THE COMMISSION ARE THE ONLY TWO THINGS THAT ARE REQUIRED. AND EVERYTHING UP TO THAT IS ALL JUST, YOU KNOW, STAKEHOLDER FEEDBACK. IT'S THE WORKSHOPS, IT'S THE ROADSHOW. BUT, UH, AS WE SAW AT RMS AND R-O-R-O-S AND WMS, UM, ON THIS PARTICULAR TIME, THROUGH THE LACK OF AN ENDORSEMENT OR THE FAILURE TO ENDORSE SOMETHING DOESN'T DISRUPT THE PROCESS. SO THIS WILL STILL PROCEED TO THE BOARD. AND SO ATTACK, VOTE TODAY, SUCCESSFUL ATTACK VOTE TODAY. UM, WELL WE CERTAINLY HOPE IT'S TO ENDORSE THE ERCOT VERSION. ANYTHING, ANY VARIATIONS WOULD BE JUST A, A RECOMMENDATION THAT TAC IS MAKING TO THE BOARD ALONGSIDE WHATEVER ERCOT PRESENTS TO THE BOARD TO SEE WHAT THEY WOULD VOTE ON. OKAY. SO IT'S AN ENDORSEMENT AND WE ARE NOT REQUIRED TO, ERCOT IS SEEKING THAT FROM US, BUT, SO WE COULD ENDORSE ANY VERSION OF THIS WE WANT. UM, AND THIS, THOSE MAY MOTIONS FAIL, IT WILL STILL GO TO THE BOARD AND WE COULD ALSO TAKE NO MOTION. WE ALREADY HAVE ONE, SO WE DON'T NEED TO WORRY ABOUT THAT, BUT IN THEORY, WE, WE COULD HAVE HAD NO MOTION. IS THAT ALL CORRECT, CORY? YES, THAT'S CORRECT. SO I GUESS ADDED REGARDLESS OF WHAT WE DO, THAT GOES TO THE BOARD. GO AHEAD. ADDED TWIST, I I WAS JUST GONNA SAY THE ADDED TWIST WOULD BE IS THAT DEPENDING ON THE VARIATIONS Y'ALL PROPOSE, WE MIGHT NEED TO POP OPEN THE RED LINES THAT LOUISE HAS AND START MAKING RED LINES THAT EVERYONE TAC KNOWS EVERYONE AT THAT IS VOTING HERE AT TAC KNOWS WHAT THEY WOULD BE RECOMMENDING TO THE BOARD. SO, SO STICKING IN 0% RISK CREDIT, IS THAT A RED LINE WE NEED TO MAKE TO THE AS METHODOLOGY OR IS THAT ALL HANDLED OUTSIDE OF IT? IS THAT A QUESTION? I GUESS MAYBE THAT'S A QUESTION TO EITHER NED AND OR LUIS OF, OF THE, THE THINGS THAT ARE BEING, BECAUSE AGAIN, WE MAKE SURE THAT WHAT TACK IS PRESENTING THE, IF, IF A MOTION FROM TAC SUCCEEDS AND THAT GOES TO THE BOARD AS TAX RECOMMENDATION, I THINK THE BOARD WOULD LIKELY WANT TO LOOK AT THE RED LINES TO SAY WHAT ACHIEVES THAT THING, WHAT, WHAT DOES YOUR RECOMMENDATION LOOK LIKE TAC. AND SO IF TAC NEEDS TO BUILD ITS OWN SET OF RED LINES, WE WOULD NEED TO DO THAT LIVE HERE DURING THE MEETING TO, TO PUT SIDE BY SIDE WITH THE ERCOT RED LINES. OKAY. OKAY, THANKS COREY. LET ME LOOK QUICKLY AT, WE HAVE A COMMENT, UM, FROM MATT. A JUST WANT TO NOTE THAT THE RED LINE METHODOLOGY DOCUMENT SHOWS THE CHANGES FROM THE VERSION THAT WAS PRESENTED AT ROSS AND WMS. SO THERE, WHAT, WHAT WOULD'VE BEEN ON THE TABLE TODAY OR WHAT IS ON THE TABLE INITIALLY IS ENDORSE THE 2027 ANCILLARY SERVICE METHODOLOGY AS PRESENTED BY ERCOT TO TO T. AND SO THAT INCLUDES RED LINES AFTER ROTH AND WMS THAT ARE ADMINISTRATIVE EDITS. IS THAT CORRECT, MATT? IS THAT ALL YOU WERE SAYING THERE? YES, THAT'S RIGHT. OKAY. SO IT'S NOT, IT'S NOT EXACTLY WHAT WAS VOTED ON AT WMS OR ROTH. IT'S WHAT WAS PRESENTED TO BY ERCOT. OKAY. LUIS, DID YOU WANT TO SAY SOMETHING ABOUT THAT? I WAS JUST GONNA SAY, IF WE PUT THE MOTION THAT WHAT THE CHANGES ARE, WE CAN WORK ON BUILDING THE RED LINE TO ALIGN WITH THE MOTION BEFORE BOARD. [02:00:01] OKAY. SO WE WOULD NOT NECESSARILY NEED THAT BEFORE THE BOARD OR TODAY, BUT WE WOULD NEED IT BEFORE THE BOARD. YES. DE DEPENDING ON WHAT TECH IS COMFORTABLE WITH CAITLYN, IF I, IF I MAY, I AM LOOKING AT IT RIGHT NOW. I THINK THERE'S, IT'S A PRETTY SIMPLE ADJUSTMENT TO, UM, STRIKE OUT THE RISK CREDITS, UM, ON PAGE SIX. SO I THINK YOU COULD START THERE. WE'VE GOT IT HIGHLIGHTED AND THEN DOWN TO THE END OF THAT SECOND BULLET AND DELETE. OKAY. JUST DELETE THE 60%. YEAH. AND THAT'S ALL FOR RISK CREDITS OR REFERENCING, I THINK, IF YOU DON'T MIND, NED, I CAN LET YOU WORK ON THAT OFFLINE OR COREY, UM, OR WE, OR WE CAN LOOK AT IT, BUT I DO, YOU KNOW, UNLESS, UNLESS OF COURSE, YOU KNOW, CALL THE QUESTION IS THE OPTION. UM, BUT I WOULD LIKE TO GET THROUGH DISCUSSION, UM, UNTIL SOMEBODY TELLS ME TO STOP, WHICH IS OUR, OUR TYPICAL PRACTICE. WE, WE ALWAYS KIND OF GET THROUGH THE, THE DISCUSSION EVEN IF WE HAVE A MOTION ON THE TABLE. SO I WILL TAKE THE COMMENTS IN THE QUEUE. UM, AND THEN IF WE WOULD LIKE TO HEAR FROM THE IMM ABOUT THEIR COMMENTS HERE FROM WM, WMS AND ROSS ABOUT THOSE VOTES, AND THEN THERE WERE ADDITIONALLY HAN AND LTRA COMMENTS. BUT LET'S, LET'S START WITH THE Q UM, AND, AND TAKE IT FROM THERE. OKAY. SO LET'S GO BACK TO IKA. HI. THANK YOU CAITLYN. UH, YEAH, FIRST OF ALL, I REALLY WANNA THANK LOUISE AND IKA AND THEIR STAFF. THEY WORKED VERY CLOSELY WITH US TO DEVELOP THIS, UH, ALTERNATIVE SCENARIOS AND HAVE ITS IMPACT LAUNCH SHARE EEA ONE, EEA THREE. I REALLY WANNA THANK THEM PUBLICLY. THAT WAS ONE OF THE REQUIREMENT IN STUDY AND HOPEFULLY THIS YEAR WE CAN CHECK THAT OFF. UH, ONE THING I WAS GONNA, CAN YOU GO TO SLIDE 12? I JUST HAD A QUESTION TO LOUISE. IT'S MORE PROCESS QUESTION AND I WAS JUST WANNA MAKE SURE I UNDERSTAND. SO, OKAY, THE SECOND ONE, WHAT IS THE LEVEL OF RISK OR CULTURAL TRY TO AVOID, LIKE PARAMETERS? ZZ YOU ARE SAYING THIS IS FUNDAMENTALLY A QUESTION FOR THE PUC, BUT THIS IS ALREADY GOING TO SEPTEMBER BOARD AND WHEN THINGS COME TO US USUALLY CANNOT MAKE CHANGES ADDED AT THE DS. SO WHEN AND HOW DO YOU EXPECT COMMISSION TO SET THAT LEVEL? BECAUSE WE HAVE, WE HAVE AN AGENCY, WE HAVE PROCESSES, WE RECEIVE PUBLIC COMMENTS. SO HOW DO YOU WANT COMMISSION TO DECIDE THAT? THAT'S MY FIRST QUESTION. THE SECOND QUESTION IS, WITH THIS CONVERGENCE CRITERIA, IS THIS EVEN A MEANINGFUL, UH, QUESTION FOR THE COMMISSION? AND THANK YOU. THANKS ERICA. YEAH. OKAY, GO AHEAD. NO, SORRY. KAYLIN NO, GO, GO AHEAD. I WAS JUST GONNA SAY IT'S, IT'S , YOU, YOU MAY WANT MATT A I'M GUESSING, BUT, BUT ONE SHOULD GO AHEAD, LUIS. YEAH, SORRY. UM, SO I JUST WANTED TO REITERATE KIND OF THE ANALYSIS THAT WE HAD HERE. SO, UM, UM, PART OF THE ANALYSIS THAT WE HAD IN THE ADDITIONAL PROBABILITY, SO I KNOW OUR PROPOSED IS 3000, UM, AND, AND ONE OF THE THINGS THAT WE WERE OPEN TO WAS, WAS LOOKING AT THAT PROBABILITY ANALYSIS AND LOOKING AT WHAT THAT 2,500 SCENARIO LOOKS LIKE IN COMPARISON TO 3000. AND WE NOTICED THAT THEY WERE NOT VERY DIFFERENT. UH, THEY ARE VERY SIMILAR. AND ONE OF THE THINGS HERE WE WERE SAYING IS, YOU KNOW, THIS IS SOMETHING THAT WE WOULD EXPECT FEEDBACK FROM THE COMMISSION ON, UM, BUT TO ME IS, UM, THIS WOULD BE CONTINGENT ON THE APPROVAL OF THE AS METHODOLOGY, UM, TO ME IS IF, IF, IF THERE IS FEEDBACK THAT, UM, COMMISSION HAS FOR US, IT COULD COME BACK THROUGH WHAT IS APPROVED AS METHODOLOGY AND IF IT IS A CHANGE TO 2,500 OR IS IT A CHANGE TO SOMETHING ELSE, UM, THAT WOULD COME THROUGH THAT PROCESS. IS IS WHERE I AM. WHAT PROCESS ARE YOU REFERRING TO? SO DO YOU, WOULD YOU LIKE COMMISSIONERS AT THE BOARD MEETING REQUEST THAT AND YOU MAKE EDITS AT THE BOARD? [02:05:02] TO ME, IT WAS WHAT WE TAKE THROUGH THE, TO THE PUC. SO I KNOW THE BOARD IS IN SEPTEMBER, BUT WHATEVER COMES AFTER THAT DISCUSSION AND WHEN WE SUBMIT, UM, THE A METHODOLOGY TO THE PUC, UM, THEY CAN PROVIDE, WHAT THEY SUGGEST IS THE CHANGES THAT SHOULD BE APPROVED FOR THE AS METHODOLOGY. BUT AGAIN, CURRENTLY WE CAN APPROVE THE IO REMAND, WE CANNOT MAKE DESKTOP EDITS OR ANYTHING. SO WOULD YOU LIKE US TO REMAND IT AND THEN GO THROUGH ALL THE PROCESS AGAIN? WE, WE REALLY USUALLY DON'T PREFER THAT. OKAY. UH, THIS IS HELPFUL, ERICA. THANK YOU FOR SHARING THAT INSIGHT. UM, CAN, CAN WE PROCESS THIS AND MAYBE THINK ABOUT IT FOR WHAT WE, WHAT, WHAT WE PUT TOGETHER FOR BOARD IN SEPTEMBER? SURE, SURE. I'M JUST MAKING SURE THE PROCESS IS THERE. OKAY, THANK YOU. SURE. AND ALSO THE SECOND PART, DO YOU REALLY THINK 25 IS A MEANINGFUL DECISION IF COMMISSION DECIDES THAT, UH, WITH THE CONTINGENT SECRETARIAT, I MEAN THE CONVERGENCE SECRETARIAT? UH, YEAH, I BELIEVE SO. UM, I THINK, I THINK WE SEE THERE IS SOME CHANGE, YEAH. ALTHOUGH MINIMAL, BUT IT IS SOMEWHAT OF A CHANGE IN, UH, UM, IN THE PARAMETERS. BUT YOU KNOW, THIS IS ALL ENSURING THAT OUR OTHER PARAMETERS ARE STILL, STILL HELD TRUE, SPECIFICALLY REG AND RS AT A HUNDRED PERCENT. OKAY. THANK YOU SO MUCH LOUIS, AND THANK YOU FOR ALL YOUR WORK. GREATLY APPRECIATE IT. SURE, THANK YOU. UM, I, I SAW MATT HOPPED IN. UM, CAN I CALL ON MATT? YEAH. UH, MATT, ELIZABETH EGAL. YEAH. UM, I, I BELIEVE THAT THE PUC COULD INSTRUCT US TO MAKE CHANGES AT THE, UM, OPEN MEETING AFTER THE BOARD MEETING BECAUSE I, I THINK THAT THE, UM, STATUTE IN PUR THAT TALKS ABOUT APPROVED REJECT OR REMAND, UH, I'M TRYING TO PULL IT UP NOW, BUT I'M, I'M PRETTY SURE IT'S SPECIFIC TO REVISION REQUESTS AND THE, UM, ANCILLARY SERVICE METHODOLOGIES, UH, IS NOT A REVISION REQUEST. SO I THINK THAT WOULD FALL MORE UNDER THE UCS GENERAL, UM, AUTHORITY. OKAY. I THINK WE NEED TO DISCUSS ABOUT THAT FLOYD IS MONITORING. FLOYD, DO YOU AGREE? I DON'T WANNA PUT YOU ON THE SPOT, BUT I AGREE IT'S NOT A, UM, UM, REVISION REQUEST. HOWEVER, I DON'T KNOW THAT IT DIRECTLY MEANS THAT WE'D BE, THAT THE COMMISSION WILL BE ABLE TO, UH, CHANGE IT EITHER, WHICH I'M LOOKING AT NOW. OKAY. WE WILL TALK MORE, MATT. OKAY. THANK YOU GUYS. YEAH, HER IKA. I, I THINK IT, IT'S A GOOD OFFLINE CONVERSATION. UM, AND THE, THE TIMING FOR THIS YEAR WILL COME INTO PLAY AS WELL. I DON'T THINK THIS WILL BE INITIALLY AT THE COMMISSION UNTIL OCTOBER 15TH AND SO TO THE, FOR THE BEGINNING OF 2027, I DON'T KNOW THAT THERE'S, YOU, YOU'D WANNA THINK ABOUT THE TIME FOR REMAND AND REVISION. OKAY. THANK YOU GUYS. OKAY. UM, LET'S MOVE ON. SHAS? YEAH. HI, UM, THIS IS SHA SIDIKI WITH C POWER CONSULTING. I'M REPRESENTING HUNT ENERGY NETWORK ON THE STOP TODAY. UM, SO ON THIS QUESTION OF PARAMETERS, YOU KNOW, 3000 OR 1,500, I JUST WANT TO, UM, CLARIFY MY UNDERSTANDING WITH LUIS. I GUESS IF YOU USE THE THOUSAND 500 UM, THRESHOLD, WOULD YOU BE ACTUALLY CHANGING YOUR OPERATIONS, UH, MODE? ARE YOU GOING AWAY FROM CONSERVATIVE OPERATIONS? ARE YOU STILL, OR IS, ARE THESE PARAMETERS NOT TIED TO HOW YOU ACTUALLY OPERATE THE SYSTEM? YEAH, SO I THINK THE, THE TAKEAWAY FROM THAT IS, YOU KNOW, THE, AS THE A, SO THE, THESE PARAMETERS ARE INTENDED TO DESIGN AROUND THE AS REQUIREMENTS THAT WE NEED TO OPERATE IN REAL TIME, WHICH THESE ARE INPUTS TO OUR TOOLS. UM, NOW WE WOULD STILL TAKE THE SAME ACTIONS THAT WE TAKE SIMILAR TO TODAY BASED ON, ON THE OPERATIONAL NEEDS THAT WE SEE IN REAL TIME. THANKS. SO THAT'S MY POINT IS THAT YOU'RE NOT ACTUALLY, JUST BECAUSE YOU CHOOSE A DIFFERENT PARAMETER DOESN'T MEAN THAT THE CONSERVATIVE OPERATIONS GOES AWAY. SO THIS IS THE ANSWERING SERVICE METHODOLOGY SHOULD BE CONSI, MUST BE CONSISTENT WITH HOW YOU OPERATE THE SYSTEM. AND THE WAY I, I THINK THE [02:10:01] ERCOT CURRENTLY OPERATES THE SYSTEM IS THE 3000 AND THE RS AND REG AND THE SIX HOUR. SO IT NEEDS TO BE CONSISTENT FOR THE PRICE FORMATION TO BE CONSISTENT. UM, I GUESS I'LL TALK ABOUT THE HEN COMMENTS LATER THAT'LL REALLY EXPAND ON, YOU KNOW, CLARIFY WHAT THIS IS ALL ABOUT. THE EXERCISE IS ALL ABOUT, UM, SO I DON'T THINK THESE CHOICES ARE, ARE, UH, THEY HAVE TO BE TIED TO OPERATIONS TO GET ANY SORT OF PRICE FORMATION CONSISTENCY IN PRICE FORMATION. SO I WAS WONDERING, DID ERCOT STUDY THE IMPACT OF LIKE GOING TO A 1,500 ON, IF YOU'RE STILL DOING CONSERVATIVE OPERATIONS AND YOU'RE PROCURING MUCH LESS IN TERMS OF NONS SPIN OR THE ADCS, YOU'RE ADJUSTING THE ASCS MUCH LESS BASED ON THE 1,500, WHAT THAT WOULD MEAN IN TERMS OF ANSARY SERVICE AND ENERGY PRICES AND ALSO, YOU KNOW, THE AMOUNT OF ROCKS THAT WOULD INCREASE BECAUSE YOUR CONSERVATIVE OPERATIONS WOULD STILL WANT TO MAINTAIN, UH, ENOUGH RESERVES TO AVOID THE WATCH. HAVE YOU LOOKED AT THAT ISSUE? SO NOT PARTICULARLY THAT DIRECT ISSUE THAT YOU'VE ASKED, BUT CAN YOU HELP ME GET CAUGHT UP HERE? UM, YOU MENTIONED A COUPLE TIMES REAL-TIME OPERATIONS AND CONSERVATIVE OPERATIONS. UM, WHAT EXACTLY DO YOU MEAN BY THAT? THAT'S WHAT I, UM, THAT'S WHAT YOU GUYS ARE CURRENTLY OPERATING UNDER, WHICH IS THAT, UM, YOU MAINTAIN AT LEAST 6,500 MEGAWATTS OF, UM, YOU KNOW, GENERATION HAD ROOM. YOU TRY TO AVOID A WATCH, UM, WHEN YOU'RE DOING ROCK, WHEN YOU'RE DOING A ROCK ANALYSIS, YOU LOOK SIX HOURS AHEAD, UH, FOR SIX HOURS UNCERTAINTY. SO ALL THOSE ARE HOW YOU OPERATE THE SYSTEM TODAY, IF I'M NOT MISTAKEN. YEAH. SO THE, THE ONE THING THAT I'LL COMMENT ON THERE IS THE 6,500, UM, WE HAVEN'T RUCKED FOR 6,500. UM, WE ARE RUCKING TO MAKE SURE THAT WE, THE, THE RUCKS THAT WE'VE HAD IN 2026 HAVE BEEN TO ENSURE THAT WE CAN, UH, CONSERVE, LOAD AND MEET THE LEVEL OF AS QUANTITIES POSTED. SO AGAIN IS WE'RE TRYING TO ENSURE THAT WE HAVE THAT COVERAGE. IF THE AS QUANTITIES ARE CHANGED TO SOMETHING LOWER, I MEAN IT, IT WOULD OR THAT WOULD THEN CREATE A LOWER AS QUANTITY THAT WOULD THEN BECOME PART OF THAT R PROCESS. SO AGAIN, THE 6,500, WE HAVEN'T ROCKED FOR THAT. SO IN THIS SENSE IT WOULD BE TO COVER LOAD AND THE AS PLAN. SO THERE WOULD BE AN EFFECT ON OPERATIONAL DECISIONS BASED ON, ON, ON THAT EFFECT. THAT'S GOOD TO KNOW. SO YOU'RE SAYING THAT ERCOT HAS MOVED AWAY FROM THE 6,500 REQUIREMENTS. SO ERCOT IS NO LONGER, IF IF WE GO WITH THE 1500, YOU WOULD NO LONGER DO THE CONSERVATIVE OPERATIONS. SO AGAIN, IT DEPENDS ON WHAT SPECIFICALLY YOU'RE CALLING OUT FOR CONSERVATIVE OPERATIONS, BUT UM, YES, WE'VE MOVED AWAY FROM THE 6,500, WE WOULD STILL RUCK BASED ON THE AS PLAN AND THE THE NEED TO COVER LOAD. UM, AND, AND, AND THE SIX HOUR AHEAD THAT WE'RE UTILIZING IS BASICALLY DUE TO THE COLD STARTUP TIME OF UNITS THAT WE TYPICALLY SEE AVAILABLE. BUT YOU KNOW, THE, THE RUCK ENGINE ITSELF HAS THE AS SDCS, SO YOU'RE SUPPOSED TO USE THE AS SDCS IN R UM, FOR R COMMITMENTS. SO IF YOU GO TO 1500 MEGAWATTS, YOU WOULDN'T BE, IT'S WHATEVER THE ADCS, UM, ULTIMATELY BECOME WITH THAT RESERVE LEVEL THAT YOU WOULD BE ROCKING TO. IS THAT NOT RIGHT? I THINK THE GOAL HERE IS STILL ROCK IS STILL THE R ANALYSIS, THE R TOOL WILL BE UTILIZING THE AS PLAN THAT IS APPROVED TO THEN TELL US WHICH RESOURCES NEED TO BE RUCKED. THAT'S NOT MY UNDERSTANDING. I THOUGHT THE AS PLAN JUST INFLUENCED THE AS SDCS AND YOU JUST HAVE AN AS SDC IN RUCK ENGINE. SO WHY WOULD THE AS PLAN QUANTITIES DICTATE WHETHER YOU R OR NOT? OKAY. ANYWAY, SO WE CAN EXPAND ON WHY NETS MOTION MAKES A LOT OF SENSE AND, UH, IN WHEN I DESCRIBE OUR COMMENTS, BUT I THINK THAT CONSISTENCY IS VERY IMPORTANT AND HOW ERCOT OPERATES AND HOW WE SET THESE PARAMETERS, HOW PRICES ARE FORMED IN THE MARKET. THE CONSISTENCY HAS TO BE THERE TO AVOID OUT OF MARKET ACTIONS THAT WON'T GIVE YOU THE PRICE SIGNALS FOR PROPER OPERATIONAL DECISIONS AND INVESTMENT DECISIONS IN THE MARKET. THANKS. OKAY, THANKS TOM. [02:15:02] I'M GONNA GO TO BE, AND THEN WE'LL GO TO THE IMS. OKAY. THANKS FOR, UH, THANKS FOR GOING TO ME FIRST. UM, WELL I'M GONNA LET THEM TALK LONGER, SO YEAH, AND THAT, THAT'S A GOOD, THAT'S A GOOD CHOICE. I, I JUST WANTED TO OFFER MY, MY THOUGHTS ON WHERE WE ARE ON THE ANCILLARY SERVICE METHODOLOGY. I, I'VE SAID THIS IN OTHER, OTHER FORUMS. I, I'M NOT A BIG FAN OF THE RISK CREDIT CONCEPT. UM, I APPRECIATE NED'S ANALOGY OF, OF, UH, YOU KNOW, COUNTING ON LUNCH IN THE, IN THE BREAK ROOM REFRIGERATOR IS NOT A GOOD STRATEGY. WE SHOULDN'T BE COUNTING ON CAPACITY THAT WE ARE NOT PAYING FOR. I'M, I'M, I'M WITH YOU ON THAT. ON THE OTHER HAND, AND IT FEELS LIKE, AND, AND IF WE WERE IN PERSON, I COULD SEE, UH, LUIS'S, UH, FACE GRIMACING AS I SAY THIS, BUT ON THE OTHER HAND, IT FEELS LIKE THE RISK CREDIT IS JUST KIND OF A SLUSH FACTOR, UH, TO, TO, TO GET THE QUANTITIES BACK TO, TO WHERE THEY MAKE SENSE AND WHY DO THEY NEED TO GET BACK TO WHERE THEY MAKE SENSE. IT'S BECAUSE WE'RE LOOKING AT, AT, AT SUCH CONSERVATIVE, UM, UH, UH, INPUTS. ON THE OTHER HAND, THE SIX HOUR LOOK AHEAD, THE 3000 MEGAWATT WATCH, THE HUNDRED PERCENT OF REG PLUS RESPONSIVE. THOSE ARE, THOSE ARE SUPER CONSERVATIVE ASPECTS AND, AND TO CHIME IN ON WHAT ANDREW PUT IN THE COMMENTS AS SHAMS WAS TALKING AND ALSO THE DIFFERENCE BETWEEN A 3000, UH, MEGAWATT WATCH VERSUS 2,500 MEGAWATT, YOU KNOW? YEAH, THERE'S NO DIFFERENCE BECAUSE THE KEY DRIVER, AS WE'VE COME TO UNDERSTAND IS THE FACTOR THAT SAYS RE UH, NONS SPIN PLUS ECRS HAS TO EXCEED RESPONSIVE PLUS REG UP. AND THAT IF, IF I COULD CHANGE ONE THING, IT WOULD BE THAT ASPECT. WE, WE DON'T HAVE TO COVER BOTH OF THOSE. THERE'S A SEQUENCE OF HOW THESE SERVICES SHOULD BE THOUGHT ABOUT YOU BEING USED IN OPERATIONS AND, AND WE DON'T NEED TO COVER BOTH. AND SO, UM, I I DON'T KNOW THAT THE I M'S GOT A SPECIFIC PERCENTAGE. UM, ERCOT WANTS A HUNDRED PERCENT, I THINK THAT'S OVERKILL. SOMETHING LESS THAN THAT. I'D BE EVEN MORE, I'D BE SORT OF COMFORTABLE WITH, WE NEED TO COVER ALL OF OUR RESPONSIVE, THAT'S STILL A REALLY BIG CHUNK AND, BUT THAT'S, YOU KNOW, I HAVE NOT PUT THAT IN ANY KIND OF SPECIFIC WRITTEN PROPOSAL, BUT THAT'S KIND OF WHERE I'M AT THE, IT'S THIS TRAIT AND SO A MOTION THAT SAYS WE'RE GONNA ZERO OUT THE RISK CREDITS BUT NOT MAKE ANY OTHER ADJUSTMENTS, UH, I CANNOT SUPPORT AND WE'LL BE VOTING NO ON THE MOTION AT HAND. THANK YOU. OKAY, THANKS BETH. UM, JEFF AND ANDREW? UM, I, I DIDN'T GIVE YOU TIME TO COORDINATE, BUT, BUT YEAH, I THINK I WOULD, NOBODY ELSE IS IN THE QUEUE. SO I WOULD OPEN THE FLOOR FOR YOU GUYS TO GO AHEAD AND, UM, TALK ABOUT YOUR COMMENTS IF YOU'D LIKE. BUT, BUT ALSO IF YOU WANTED TO RESPOND TO ANYTHING SPECIFICALLY ON LUIS'S PRESENTATION OR IF YOU WANTED TO RESPOND TO THE, THE RA L-L-C-R-A MOTION, UM, I'M HAPPY FOR YOU GUYS TO COVER AN ANY AND ALL OF THAT NOW. SURE. I, I APPRECIATE THAT. THIS IS JEFF MCDONALD, DIRECTOR OF IMM. UH, I PRESUME YOU CAN HEAR ME, CAITLYN? YES, WE CAN. OKAY, THANK YOU. UM, OKAY. YEAH, SO I APPRECIATE THE TIME. UM, YOU KNOW, WE, WE SUBMITTED A MEMO, UH, LATE YESTERDAY. TIMING ON THIS ONE WAS, YOU KNOW, TIGHT. IT WOULD'VE BEEN NICE TO HAVE MORE TIME, BUT, BUT, UH, WE SUBMITTED A MEMO GOING OVER, YOU KNOW, SEVERAL DIFFERENT ASPECTS OF THE AS METHODOLOGY, UM, THAT, THAT WE HAVE, HAVE ISSUE WITH. AND SO I'M GONNA COVER SOME OF THOSE AT, I GUESS, SORT OF A HIGHER LEVEL, BUT I, BUT I THINK THEY ALL MERIT, ESPECIALLY GIVEN SOME OF THE DISCUSSION THAT'S HAPPENED SO FAR, THEY ALL MERIT MAYBE AT LEAST A MODERATE AMOUNT OF DISCUSSION. UM, AND SO, UH, YOU KNOW, I'LL REFER YOU TO THE MEMO, UM, WHICH WAS POSTED SO YOU CAN SEE WHAT, WHAT OUR, YOU KNOW, PREFERRED PARAMETER VALUES AND, AND MODELING SELECTIONS ARE FROM THAT. BUT I, BUT I'M GONNA GO THROUGH A COUPLE OF ASPECTS, UH, INCLUDING, [02:20:01] UM, YOU KNOW, SOMEWHAT OF THE CONVERGENCE CRITERIA, HEADROOM, UH, INCLUDING REG AND RRS RECOVERY. AND, AND THEN I'M GONNA TALK ABOUT A CHART COMPARISON AT THE END, UM, COM, COMPARING THE HTML VERSION OF THE IMM PROPOSAL VERSUS WHAT, WHAT WAS SHOWN IN THE PRESENTATION TODAY. SO, BUT, BUT SOME OF THESE ARE PRETTY IMPORTANT, UM, CONCEPTS. SO ON CONVERGENCE, WE'VE ALREADY TALKED, UH, EXTENSIVELY, UH, ABOUT A, A WATCH CONVERGENCE CRITERIA OVERALL. AND SO I'M NOT, I'M NOT GONNA, UH, I'LL, I'LL REFER TO, YOU KNOW, WHAT MIGHT BE HOURS OF PRIOR DISCUSSION PUBLICLY ABOUT, UH, A WATCH NOT BEING A LEGITIMATE RELIABILITY CRITERIA. UM, AND THAT, UH, YOU KNOW, OO IF YOU LOOK AT THE OTHER RTOS, UH, YOU KNOW, SOME, SOME, SOME MEASURE OF OPERATOR ACTION, UH, TO AVERT LOAD SHED IS, IS THE, THE CONVERGENCE CRITERIA WHERE, WHERE YOU WOULD CONSIDER, YOU KNOW, TUNING YOUR, YOUR AS PROCUREMENT. BUT, BUT THE ADDING THE REG AND RRS REPLACEMENT IS, UM, AN, AN ODD ONE. AND I UNDERSTAND THAT ERCOT IS AN ISLAND, AND SO THAT THERE ARE, THERE'S LESS, UH, LESS IF ANY NEIGHBORING ENERGY TO, YOU KNOW, OR FREQUENCY RESPONSE TO LEAN ON. SO I UNDERSTAND THAT. UM, AND I'M GONNA GET TO, UH, THE REAGAN RRS MATTER IN JUST A MINUTE. BUT FIRST I WANTED TO TALK ABOUT HEADROOM. SO I'M MOVING OFF OF CONVERGENCE. UH, AS I SAID, WE'VE TALKED ABOUT THE WATCH MONEY, UM, AND WE'LL GET TO THE REAGAN RS ASPECT OF THAT IN JUST A MINUTE. ON THE HEADROOM, UM, HEADROOM, HEADROOM EXISTS, UH, IN, IN EVERY INTERVAL IN, IN THE ERCOT MARKET AND DISCOUNTING IT A HUNDRED PERCENT. I, I, I UNDERSTAND THAT THE, THE DESIRE TO WANNA BE CONSERVATIVE AND WHAT HAVE YOU, BUT DISCOUNTING THE HEADROOM, UH, SO THAT IT COUNTS AS ZERO, UH, IS DEFIES IT, DEFIES THE REALITY THAT ARE COT OPERATES IN. UM, AND, AND, AND SO A COUPLE OF ARGUMENTS HAVE COME UP REGARDING, YOU KNOW, RELYING ON FREE CAPACITY. UM, THERE ISN'T A FREE LUNCH IN, IN THIS, UH, WITH RESPECT TO HEADROOM. AND, AND SO, AND, AND I'D LIKE TO TAKE JUST A MOMENT TO EXPLAIN WHY. SO THE HEADROOM VARIES ACROSS TIME, UH, YOU KNOW, FROM INTER INTERVAL TO INTERVAL, OBVIOUSLY, UH, OR CAUGHT ACTUALLY HAS A, A VERY HIGH AMOUNT OF HEADROOM GENERALLY, UH, IN, IN ALMOST ALL INTERVALS. UH, EVEN IN, EVEN IN SOME OF THE TIGHT CONDITIONS THAT WE'VE SEEN, UH, WINTER STORM FERN AND THEN, AND THEN THE, THE HOT WEEK THAT SET THE NEW LOAD, THE NEW PEAK LOAD. YOU KNOW, WE, WE'VE HAD A LOT OF HEADROOM. SO, UH, IGNORING ALL OF THAT HEADROOM IS, AGAIN, DEFIES REALITY. BUT, BUT HERE'S WHY. IT, IT MATTERS, AND HERE'S WHY. THERE ISN'T A FREE LUNCH, UH, CONCEPT APPLIED HERE. SO THAT HEADROOM EXISTS. UH, ERCOT HAS MODELED THE HEADROOM, I BELIEVE IT'S ONE OF THE STOCHASTIC, UH, VARIABLES THAT IS IN THE MONTE CARLO. AND SO IT EXISTS, UH, IT EXISTS, THERE'S AN EMPIRICAL DISTRIBUTION FOR IT. AND, AND THERE ISN'T A REASON TO DISCOUNT IT TO ZERO BECAUSE SHOULD THE ERCOT SYSTEM GET INTO TIGHT CONDITIONS, UM, RTC WILL WILL RECURE IN THE NEXT SCED INTERVAL, AND IT WILL RE RECURE FROM RESOURCES THAT ARE AVAILABLE AND ARE THE MOST ECONOMIC FOR THE SERVICE BEING PROCURED, WHETHER THAT'S ENERGY OR ONE OF THE RESERVE SERVICES. AND SO YOU'VE GOT THIS HEADROOM SITTING OUT THERE. UH, SOME OF IT MIGHT BE, SOME OF IT MIGHT BE, UH, ELIGIBLE FOR ECRS, UM, BUT NOT REGULATION, BUT SOME OF THE ECRS THAT WAS PROCURED ALREADY IS ELIGIBLE FOR REGULATION. AND SO RTC WILL MOVE PROCUREMENT FROM, IN THIS HYPOTHETICAL, FROM ECRS TO REGULATION AND GO LOOK AT THE HEADROOM TO PROCURE SOME MORE ECRS SO THAT IT DOESN'T GO SHORT THERE. SO THAT HEADROOM IS, IS LITERALLY CONSIDERED BY RTC. AND IF ANY PORTION OF THAT HEADROOM IS NEEDED TO SUPPORT THE AS PLAN, THEN IT WILL BE PAID THE APPROPRIATE, UH, A RESERVE PRICE FOR THAT. IF IT'S USED FOR RESERVES, UH, IF IT IS INSTEAD USED FOR ENERGY, BECAUSE THINGS ARE GOING SHORT, AND IT GOES FROM BEING HEADROOM TO ENERGY, IT WILL BE PAID THE ENERGY PRICE. AND IF, UH, RESERVES ARE, ANY OF THE RESERVES ARE SHORT, THERE WILL BE A SHORTAGE, UH, COMPONENT OR ASPECTS TO THE ENERGY PRICE, AND IT WILL RECEIVE THAT. SO THERE JUST ISN'T A, A FREE RIDE OR FREE LUNCH CONCEPT, UM, TO HEADROOM. I UNDERSTAND THERE'S RISK [02:25:01] AROUND HEADROOM BECAUSE IT DOES CHANGE FROM INTERVAL TO INTERVAL, AND YOU DON'T KNOW HOW MUCH YOU'RE GOING TO HAVE, UH, 50 INTERVALS FROM NOW. YOU PROBABLY HAVE A PRETTY GOOD IDEA OF WHAT YOU'RE GONNA HAVE FIVE INTERVALS FROM NOW. SO, SO I WANTED TO, I WANTED TO ADDRESS THAT BECAUSE THE HEADROOM IS ACTUALLY, AND, AND I KNOW THAT ERCOT HAS LIVED ITS ENTIRE LIFE WITHOUT REAL TIME CO-OP OPTIMIZATION. THE, THE REALTIME CO-OP OPTIMIZATION IS A REALLY IMPORTANT FEATURE IN THIS ENTIRE DISCUSSION, BECAUSE HAVING HEADROOM AND, AND ALLOWING THE HEADROOM TO COUNT, UH, ALLOWS YOU TO RELY ON RTC TO GO PROCURE THE HEADROOM, UH, FROM THE HEADROOM FOR WHATEVER IS NECESSARY AS THINGS GET SHORT. SO, SO THERE IS NO FREE LUNCH, UH, IN, IN THAT CONTEXT. SO, UH, NOW I'D LIKE TO MOVE ON TO, TO THE REAGAN RRS. SO, SO AGAIN, RECOGNIZING THE ERCOT IS AN ISLAND. UH, THE REAGAN RRS ASPECT OF THIS IS, IS NOT, IN MY VIEW, NOT SUPPORTABLE. AND, AND HERE'S WHY. UH, KEEP IN MIND WE HAVE HEADROOM AND WE'VE GOT A REAL-TIME CO-OP OPTIMIZATION, WHICH IS A NEW, A NEW OPERATIONAL CONCEPT IN OUR CO. AND RTC WILL GO PROCURE WHATEVER IT NEEDS FROM EXISTING, EXISTING OBLIGATIONS OR FREE CAPACITY FREE, I MEAN, UN UNOBLIGATED CAPACITY, LIKE THE HEADROOM. BUT IN ADDITION TO THAT, IT, IT IS, UM, OVERLY CONSERVATIVE TO PROCURE FOR FULL REG AND RRS REPLACEMENT WITHOUT FIRST TAKING INTO ACCOUNT WHAT YOU HAVE, UH, AS FAR AS ELIGIBLE CAPACITY THAT IS OFFERED IN, BUT WASN'T PROCURED FOR REG AND RRS IN THE REAL TIME STACK. SO, SO FULLY PROCURING REPLICATION OR, OR REPLENISHMENT OF THAT FROM LOWER SERVICES IGNORES THE FACT THAT YOU HAVE AN AWFUL LOT OF CAPACITY, UH, THAT IS ELIGIBLE TO PROVIDE REGULATION OR RRS AND NOT OTHERWISE OBLIGATED. UM, AND, AND SO THEN THAT, THAT WOULD SHOW UP AS HEADROOM. UH, THAT'S PART OF THE HEADROOM. IT, IT, IT WOULD BE, IT WOULD BE MORE PRUDENT OR MORE, MORE ACCURATE, I THINK, TO LOOK AT THOSE STATS, UH, ON A HISTORICAL BASIS. LOOK AT THE REGULATION STACK AND THE RS STACK FOR WHAT IS, YOU KNOW, AND YOU'D HAVE TO, YOU'D HAVE TO ACCOUNT FOR A REGULATION OFFER FROM A RESOURCE THAT HAD PROVIDED SOME OF THAT AS ECRS. SO YOU, YOU HAVE TO DO THE APPROPRIATE DISCOUNTING, BUT I KNOW IN REGULATION, YOU'RE GONNA HAVE AN ENORMOUS STACK OF AVAILABLE OFFERS. SO REPLACING ANY OF THE REGULATION, UH, WITH LOWER SER, YOU KNOW, LOWER SERVICES OR, OR RESERVING A REPLACEMENT IN THE LOWER SERVICES FOR REGULATION, IT PROBABLY ISN'T WARRANTED AT ALL IF YOU LOOK AT THE STACK. AND I BELIEVE THE SAME WILL BE TRIO. UH, I DON'T HAVE STATISTICS, BUT, BUT THIS IS SOMETHING THAT I WOULD ENCOURAGE ERCOT TO LOOK AT. UM, I BELIEVE THE SAME IS TRUE FOR RRS, UH, GI GIVEN THE, THE THICKNESS OF THE STACK THERE. SO, SO I DON'T, I DON'T THINK, YOU KNOW, GIVEN THE HEADROOM, GIVEN THE THICKNESS OF THE STACK IN BOTH REGULATION AND RRS, UM, THAT IS AVAILABLE BUT NOT PROCURED, UH, I DON'T BELIEVE IT'S WARRANTED TO FULLY RESERVE REGULATION RSS AND THE LOWER SERVICES FOR REPLACEMENT. SO, SO THOSE, THOSE ARE TWO OF THE MAIN POINTS THAT I WANTED TO MAKE. BUT I ALSO WANTED TO HIGHLIGHT A CHART COMPARISON. AND SO, UM, LUIS NOTED WHEN HE WAS SHOWING THE, THE CURVES IN THEIR PRESENTATION THAT THEY COMPARED, UH, THEIR PREFERRED SCENARIO AND THE IMM SCENARIO TO A COMMON RISK MODEL OR COMMON RISK ELEMENT. THANK YOU, THANK YOU FOR FINDING THAT. AND SO THIS SHOWS, THIS, THIS SHOWS SOMETHING THAT'S KIND OF INTERESTING AND I, I UNDERSTAND IT'S CHALLENGING. UH, THERE'S, YOU KNOW, THESE SIMULATIONS, UH, HAVE A LOT OF DIFFERENT PARAMETERS. IT'S HARD TO FIND SOMETHING THAT, THAT THE HUMAN EYE CAN DIGEST. UM, AND SO IT CAN BE A LITTLE CHALLENGING TO FIGURE OUT A, A WAY TO COMPARE THEM. BUT, BUT THE WAY IT WAS DESCRIBED, YOU KNOW, SORT OF TELLS A LITTLE BIT ABOUT, ABOUT WHY YOU'RE SEEING THE, THE RESULTS THAT YOU'RE SEEING HERE. UM, AND, AND THAT IS THAT WHEN, WHEN YOU TAKE THE AS PROCUREMENTS THAT ARE, THAT ARE PRESCRIBED BY THE IMM METHODOLOGY, AND YOU PLUG THEM INTO THE, UH, THE SQUARE, WHICH [02:30:01] IS KIND OF THE BENCHMARK, THE MOST CONSERVATIVE, UH, SET OF RISK ASSUMPTIONS, YOU KNOW, OF, OF COURSE, UH, A LOWER PROCUREMENT IS GONNA RESULT IN A HIGHER, UM, FREQUENCY OF, UH, VIOLATING YOUR CRITERIA. UM, BUT, BUT, BUT THE INTERESTING THING, AND SO CALLING IT A COMMON RISK PERSPECTIVE, UH, IS I THINK ACCURATE, BUT, BUT IT, IT PRESUMES THAT THAT COMMON RISK PERSPECTIVE IS THE POINT OF TRUTH THAT YOU WOULD COMPARE ANYTHING ELSE TO. AND SO, AND, AND, YOU KNOW, WE DON'T THINK THAT THAT'S TRUE. AND YOU CAN EVEN SEE WITH, UM, WITH THE ERCOT NUMBERS, YOU KNOW, THOSE ARE PRODUCING A HIGHER LEVEL OF, OF, UM, CRITERIA VIOLATION THAN, THAN WHAT WE WOULD EXPECT TO OBSERVE IN, IN ANY OF THE RECENT YEARS OR, OR EVEN YEARS THAT WERE SLIGHTLY COLDER IN THE WINTER AND, AND SOMEWHAT HOTTER IN THE SUMMER. SO, SO THEY DON'T, IT, IT'S NOT CLEAR THAT IT MATCHES UP WITH THE EMPIRICAL REALITY THAT, THAT WE'RE OBSERVING IN TERMS OF, YOU KNOW, DISTRIBUTION OF, OF OUTCOMES THAT, THAT COME FROM WEATHER AND, AND OUTAGE, UH, AND FORECASTING RANDOMNESS. BUT NOW, IF YOU WOULDN'T MIND SCROLLING DOWN TO THE NEXT CHART. THANK YOU. AND SO, SO THIS IS THE CHART OF THE, THE IMPACT ON, YOU KNOW, THE, THE CRITERIA IMPACT, UM, FROM THE IMM PROPOSAL. AND AS YOU CAN SEE, IT'S VERY, VERY DIFFERENT. THIS IS VERY, VERY DIFFERENT THAN WHAT WAS PRESENTED IN THE CHART ABOVE. UM, SO THE IMO CRITERIA WHEN EVALUATED ON THEIR OWN RISK CRITERIA AND NOT EVALUATED AGAINST THE MOST CONSERVATIVE, UH, SET OF RISK CRITERIA, UH, PRODUCES LESS THAN 20 HOURS OF, UM, WATCH ABOUT JUST, YOU KNOW, 2.4 HOURS OF EEA ONE. SO THAT'S NOT FIRM LOAD SHED, AND IT PRODUCES ZERO HOURS OF EEA THREE. AND SO, YOU KNOW, WHAT, WHAT ARE SOME OF THE, I MEAN, YOU, YOU, YOU KNOW, YOU KNOW WHAT THE, THE RISK ASSUMPTIONS WERE THAT WENT INTO, UH, DEFINING THE SQUARE, THE UPPERMOST POINT, THE POINT, THE REFERENCE POINT IN, IN ERCOT CHART. AND SO WHAT, WHAT DOES THAT MEAN? WELL, IF, IF YOU EVALUATE THE, THE IMM PROPOSAL AGAINST HAVING TO HAVE AN AS QUANTITY WITH FULL RS AND REG REPLACEMENT, AND, AND A WORLD WHERE THERE'S ZERO HEADROOM JUST TO TAKE THOSE TWO AS AN EXAMPLE, WELL THEN YES, UH, THE, THE IMM PROPOSAL WOULD PRODUCE MORE, UM, CRITERIA VIOLATIONS, BUT THAT'S NOT NECESS, THAT'S NOT THE WORLD THAT WE LIVE IN, AND THAT'S NOT THE WORLD WE'VE BEEN EXPERIENCING. SO, SO I WOULD ENCOURAGE STAKEHOLDERS TO VIEW THIS, THIS, THIS CHART CAME OUT OF THE, THE HTML TOOL THAT ERCOT PUBLISHED. AND SO I, I, I WOULD ENCOURAGE STAKEHOLDERS TO VIEW THIS CHART AS THE CHART THAT THE IMM PROPOSAL PRODUCES, GIVEN THAT THE WORLD AROUND IT, UH, THAT IT IS FUNCTIONING IN, UH, HAS HAD ROOM AND DOESN'T REQUIRE RRS AND REG, UH, TO BE FULLY REPLACEABLE FROM LOWER SERVICES. SO I, I VIEW THIS CHART AS BEING MUCH MORE ACCURATE. UH, IT IS NOT EVALUATED RELATIVE TO THE MOST CONSERVATIVE SET OF ASSUMPTIONS, WHICH ERCOT HAS REFERRED TO AS THE, THE, THE COMMON RISK, UM, PER PERSPECTIVE OR SO. SO I THINK THAT'S EVERYTHING THAT I WANTED TO ROLL THROUGH. UM, AND, AND I WOULD, AND, AND I DO, I DO NOTE IT IS CHALLENGING TO PRESENT THESE THINGS, UH, YOU KNOW, COMPLICATED SIMULATION RESULTS, UH, ACROSS, YOU KNOW, WIDELY VARYING SCENARIOS. BUT, BUT THE CHART THAT ERCOT PRODUCED, EVERYTHING IS, EVERYTHING IS EVALUATED RELATIVE TO THE MOST CONSERVATIVE RISK CRITERIA. AND THE PERSPECTIVE THERE IS THAT THAT IS THE TRUTH. THAT IS HOW THE WORLD WILL, WILL WIND UP. AND, AND I WOULD SAY THAT E EACH OF THESE MODELS SHOULD BE EVALUATED BASED ON ITS OWN RISK CRITERIA AND EVALUATED SEPARATELY. SO, SO THAT'S ALL I HAVE TO SAY. UH, IN SUMMARY, UH, YOU KNOW, PLEASE DO READ THE, READ THE MEMO THAT WE DISTRIBUTED IF YOU HAVEN'T, AND I'M HAPPY TO ANSWER QUESTIONS. OKAY, THANK YOU. JEFF. LET'S GO TO, BACK TO LUIS. OH, ANDREW, DO YOU WANNA ADD ON ANDREW, WHY DON'T YOU GO AHEAD, [02:35:05] ANDREW, CAN YOU ALL HEAR ME ON THE MIC NOW? YES. OKAY. SORRY ABOUT THAT. UH, ANDREW ARMORS, I MEANT, YEAH, SO I JUST WANTED TO ADD SOMETHING. JEFF. JEFF COVERED ALL OF OUR CONTENT VERY WELL, BUT, UH, SOMETHING THAT WE DIDN'T INCLUDE IN THE MEMO, BUT I HAD, UH, PULLED YESTERDAY. SO WE DO HAVE SOME DATA ON THE PERCENTAGE OF QUALIFIED BATTERY AND NCLR CAPACITY, UH, IN ANY GIVEN SKI INTERVAL THAT IS AWARDED EITHER REG OR RRS. AND IT VARIES. SO IF WE'RE LOOKING AT NCLR, SOMETHING LIKE 30% OF NCLR CAPACITY IS CARRYING RRS AT ANY GIVEN TIME, AND WITH BATTERIES, IT'S SOMETHING LIKE 15% OF BATTERIES ARE CARRYING, YOU KNOW, OUT OF THEIR QUALIFIED MEGAWATTS. UH, IT VARIES. ALMOST ALL OF THE BATTERY CAPACITY IN ERCOT IS QUALIFIED TO PROVIDE REGULATION. SO THAT ONE, THE SUPPLY IS JUST VASTLY GREATER THAN THE, YOU KNOW, PROCUREMENT TARGET. AND IT, IT'S A LITTLE TRICKY BECAUSE WITH BATTERIES, YOU HAVE FFR RS AND PFR, AND SO THOSE THINGS ARE KIND OF SOME OVERLAPPING CAPACITY. UH, BUT THE POINT IS, YOU HAVE A TON OF THIS CAPACITY THAT IS NOT USUALLY LOADED. IT MAY BE PROVIDING IN, IN THE CASE OF BATTERIES THAT MAY BE PROVIDING E ES, UH, ECRS AND NONS SPIN, UH, IT CAN PROVIDE MORE RS AND REGULATION BECAUSE THE DURATION REQUIREMENTS ARE LESS. UH, NC LRS USUALLY CAN'T PROVIDE BOTH RSS AND NONS SPIN. SO THE POINT HERE IS THAT THERE'S ALL THIS CAPACITY THAT IS DISTINCT FROM THE STACK OF RESOURCES THAT CAN PROVIDE ECRS AND NONS SPIN THAT CAN NEVERTHELESS PROVIDE EITHER RRS OR REG. AND SO IT SEEMS TO BE AN UNSUBSTANTIATED CLAIM THAT ECRS AND NONS SPIN ARE NEEDED FOR RESTORING REGULATION IN ART. YEAH, I THINK YOUR MIC DID CUT OUT. I WAS WONDERING IF IT WAS ME OR YOU. OKAY, I THINK WE LOST ANDREW. LET'S GO TO LUIS WHILE ANDREW WAS WORKING THAT OUT. OKAY. I THANK YOU. I WANTED TO KIND OF GO THROUGH A COUPLE THINGS I HEARD, I, I DO HAVE A QUESTION FOR ANDREW, BUT WE'LL WAIT TILL HE GETS BACK. SO I WANNA TALK ABOUT THIS GRAPHIC THAT WE HAVE HERE ON THE SCREEN RIGHT NOW. I THINK THE ONE THING TO CONSIDER HERE AND WHY WE DID THE ADDITIONAL ANALYSIS IS THIS ANALYSIS ON THIS SCREEN IS SIMPLY SHOWING YOU THAT THE PROBA THE, THE OPTIMIZATION WILL MEET THE INPUT PARAMETERS WITH THE CONVERGENCE CRITERIA ON ENSURING IF YOU WILL HAVE, UH, WATCH EA ONE OR EA THREE, WHATEVER THE THRESHOLD IS THAT YOU PUT AS AN INPUT. SO, SO SIMPLY SHOWING THAT YOU CHANGE THE THRESHOLD FROM 3000 TO 1500, YOU, YOU WILL SEE THAT IT INCREASES THE NUMBER OF WATCH AND EA BECAUSE THE PROBABILISTIC MODEL IS NOT ENSURING THAT IT'S HOLDING TRUE TO WATCH. SO THAT, THAT WAS ONE THING HERE. NOW, THE OTHER PIECE OF THIS IS BY ADJUSTING THE RISK THAT YOU SEE IN THE PARAMETERS AND HOURS IN IN RISK CREDIT, THAT'S ACCOUNTED FOR EACH SCENARIO BECOMES A, A NOW BECOMES APPLE ORANGES IS, IS THEY ARE NOT ON THE, THEY'RE NOT LOOKING AT THE SAME LENS FOR THE SAME EVENT, FOR THE SAME FOR FOR THE PERIOD. UM, SO THIS, THIS IS WHY WE BUILT THE SECONDARY ANALYSIS OF, OF WHAT IF I HELD EVERYTHING THROUGH TO ONE RISK, A SET OF RISKS AND COMPARED THEM TO EACH OTHER. UM, AND THAT WAS ONE OF MY CAVEATS IN, IN MY SLIDES WAS, YOU KNOW, THE IMS VARIABLES ARE, ARE VERY DIFFERENT, UH, AND CREATE A SLIGHTLY DIFFERENT, YOU KNOW, SHOW A DIFFERENT RISK PROFILE. UM, SO I WANTED TO MAKE SURE THAT THAT WAS COVERED. UM, AND, AND SO CAN WE SCROLL UP TO THE, THE OTHER CHART THAT [02:40:01] IS THE PROBABILITY? SO THIS ONE, NOW, WHAT I HEARD ON THIS WAS IS, IS IT'S COMPARING TO ONE RISK AND THAT IT IS THAT SIX HOUR RISK. AND THIS GOES BACK TO WHY ERCOT IS PROPOSING SIX HOURS. SIX HOURS IS THE RISK THAT THIS IS THE OPERATIONAL NEED THAT WE HAVE TO ENSURE WE CAN MAKE THE DECISIONS THAT WE NEED TO, IF WE DO NEED TO ROCK RESOURCES, WE NEED TO BE ABLE TO MAKE THAT ASSESSMENT ON NET LOAD FORECAST ERROR AND MAKE A DETERMINATION OF DO I NEED TO TAKE ACTION IF, IF BY REDUCING THAT HORIZON FROM 6, 5, 4, 3, 2, 1, WHATEVER IT IS, TO THE SHORTER HORIZON, THE CONCERN THERE IS WE DON'T SEE, WE DON'T HAVE THE AS PROCURED TO COVER THE UNCERTAINTY THAT MIGHT COME. UM, IF WE DO SOMETHING LOWER, WE MAY MISS SEEING OR HAVING THE RESERVES AVAILABLE TO COVER, UM, WHAT WE SEE IN REAL TIME. SO IF, IF WE PROCURED ON A THREE HOUR AHEAD FORECAST ERROR, UM, AND IN REALITY THAT ERROR IS MUCH LARGER, IT MAY BE TOO LATE TO BRING ON ADDITIONAL RESOURCES THAT WE NEEDED TO RUCK, WE WOULD BE LEFT WITH WHATEVER IS LEFT TO RUCK. IT MAY BE SMALLER UNITS, UH, WE MAY NEED TO R THEM AND POTENTIALLY THEN WAIT FOR THE ABILITY TO HAVE ADDITIONAL RESOURCES COME ONLINE ON A LONGER TIMELINE. UM, AND, AND, AND SO THAT IS THE CONCERN IS FROM AN OPERATIONS PERSPECTIVE, THAT THAT'S THE, WHAT WE'RE TRYING TO GET FROM THIS IS, IS THIS IS WHY WE BASED IT ON THAT SIX HOUR AHEAD RISK. NOW, FROM A RISK CREDIT PERSPECTIVE ON THIS IS, IS, YOU KNOW, IF IT'S ZERO, THEN YOU'RE PROCURING EVERYTHING. UM, NOW THE ONE THING ON THAT IS, IS WHEN YOU COMPARE THEM TOGETHER IS, UH, I THINK I'VE HEARD THE, THE SAME THING BEFORE, IS WHAT LEVEL OF INSURANCE ARE YOU TRYING TO COVER AND, AND WHAT RELIABILITY RISK IS LEFT OUT THERE. THAT'S WHAT THIS IS TRYING TO SHOW IS WHAT RELIABILITY BENEFIT AND COST BENEFIT DO YOU GET FROM THE QUANTITIES. AND SO, YES, UH, WE'RE NOT ALL THE WAY AT THE TOP. SO THERE IS A LITTLE BIT OF LEVEL OF, OF RISK THAT'S BEING ASSESSED HERE IN THE ERCO PROPOSAL, BUT, UH, AGAIN, IT'S WHAT WE FEEL THAT WE ARE COMFORTABLE IN SEEING HISTORICALLY AND WHAT IS POTENTIALLY AVAILABLE IN RISK CREDITS. NOW, UH, WE DON'T NEED TO SCROLL TO IT, BUT JUMPING ON THIS NOW, FACT OF, WELL, REG PLUS RRS AND WHAT IS AVAILABLE OUT THERE, UM, TYPICALLY, OR, OR WHAT MAY BE AVAILABLE. UM, SO I THINK ANDREW MADE THIS COMMENT ABOUT 15 TO 30% OF QUALIFIED ESRS AND NCLS AVAILABILITY. UM, THE QUESTIONS I HAVE THERE IS WHEN AND, AND, AND HOW MUCH STATE OF CHARGE IS THERE? UH, YOU KNOW, THE, THE QUESTION THERE IS, IS FROM WHEN WE LOOK AT RISK CREDITS AND WE LOOK AT THAT EVENING RAMPING PERIOD, THERE MAY BE CAPACITY, BUT, BUT IT, BUT THE ENERGY BEHIND IT MAY NOT ALWAYS BE THERE. IS OUR CONCERN NOW LOOKING AT EVENTS WHEN WE NEED REGULATION IN RRS. IF, IF, IF I TRIP A LARGE UNIT OR MULTIPLE LARGE UNITS, I START UTILIZING MY RRSI START UTILIZING MY REGULATION AND I'M DEPENDENT ON HAVING MY ECRS AND, AND NONS SPIN HELP RECOVER REGULATION RS TO FILL THAT CAPACITY THAT WAS LOST. IF I PROCURE A SMALLER AMOUNT OF AS, UM, IT MAY NOT BE SUFFICIENT TO COVER THE REGULATION RS THAT'S BEING USED. UH, SO, SO BY PROCURING LESS AS I MAY NOT THEN HAVE WHAT I NEED TO RECOVER REGULATION IN RS, I MAY NOT HAVE ADDITIONAL FREE AVAILABLE CAPACITY. AND THEN I'M DEPENDENT ON WAITING FOR NON OFFLINE, NON SPEN TO COME ONLINE OR SOME SHORT START OFFLINE RESOURCES TO COME ONLINE. BUT THEN IT BECOMES A SCENARIO OF DO I HAVE SOMETHING THAT'S ACTUALLY AVAILABLE TO COME ONLINE IN THE SHORT TERM, UH, TO, TO, TO HELP SOLVE THE PROBLEM? AND, AND IF I DON'T, THAT MEANS I HAVE TO SHED LOAD TO ENSURE I MAINTAIN THE SYSTEM UNTIL SOMETHING COULD COME ONLINE. SO THIS IS WHY OUR PARAMETERS ARE TRYING TO WORK IN, UH, TOGETHER TO TRY TO ENSURE THAT THESE SCENARIOS DON'T HAPPEN. UM, AND, AND, AND, AND, AND AGAIN, THE LEVEL OF RISK THAT WE ARE ASSESSING HERE IS TRYING TO ENSURE THAT, YOU KNOW, WE KEEP OURSELVES OUT OF THAT. WE KEEP OURSELVES OUTTA THAT SCENARIO BY ENSURING WE HAVE CAPABILITY. UM, AND, AND THEN I THINK THE LAST PIECE I HAD FOR THIS WAS THE, IN THE NCL LRS THAT WE TALKED ABOUT. UM, ONE THING FROM THAT PERSPECTIVE IS IN A LARGE UNIT EVENT, A IN THAT THE 28 0 5 EVENT THAT WE HAVE, [02:45:02] YOU'RE LOSING YOUR, YOU'RE UTILIZING YOUR RS AND YOU'RE UTILIZING YOUR N CLRS IN THAT TO, TO, TO RECOVER OR, OR ARREST THAT FREQUENCY EVENT IN ORDER TO RESPOND TO THAT EVENT. UM, SO THOSE WERE A COUPLE OF THE POINTS THAT I CAUGHT IN, IN THE FEEDBACK THAT, OR THE, THE COMMENTS THAT I HEARD FROM THE, IM OKAY, THANKS LISA. UM, I SEE YOU'RE BACK, ANDREW, WE ARE ALREADY AT ABOUT AN HOUR AND A HALF ON THIS TOPIC. UM, SO I'M HOPING TO WRAP THINGS UP SOONISH, UM, AND, AND MAYBE WE CAN CONSIDER IF THERE'S THINGS THAT NEED TO HAPPEN BETWEEN THE ERCOT AND OR ERCOT AND THE IMM BETWEEN TECH AND THE BOARD, OR AT THE VERY LEAST, OR FOR NEXT YEAR'S METHODOLOGY. UM, BUT ANDREW, I'LL, I'LL GIVE YOU AN OPPORTUNITY TO, TO, TO, TO TALK, BUT LET'S, LET'S TRY TO WRAP THINGS UP. JUNEISH. OKAY. THE QUEUE. THINK EVERYBODY I NEED IN IS IN THE QUEUE, MAYBE, UH, LAKE HOPE TO BE READY FOR ME TO CALL ON YOU AS WELL AS THE PEOPLE IN THE QUEUE. OKAY, COOL. WELL, CAN YOU HEAR ME NOW? YES. OKAY, GREAT. SORRY ABOUT THAT, EVERYBODY, UH, IT ISSUES OVER HERE. UH, SO IT SOUNDS LIKE I WAS ABLE TO GET THROUGH ENOUGH OF THE ESR AND CLR POINT THAT I WON'T GO BACK TO THAT. I WILL SAY I'M NOT SURPRISED THAT THE DURATION POINT HAS COME UP. SOMETHING I, I JUST THINK IS STRANGE ABOUT THAT ARGUMENT IS IT SEEMS TO BE IMPLYING THAT YOUR REPLACEMENT RRS RESERVE NEEDS TO HAVE A LONGER DURATION THAN YOUR PRIMARY RRS. SO YOU HAVE RRS, YOU'VE DECIDED THAT NEEDS TO BE A 30 MINUTE PRODUCT, BUT THEN THE RESERVES YOU WANT TO REPLACE THE RS NEED TO BE AN HOUR OR FOUR HOURS. I DON'T, I DON'T REALLY UNDERSTAND WHY THAT WOULD BE THE CASE. AND THEN THAT ISN'T REALLY APPLICABLE FOR THE NCLR STUFF, WHERE WE PROCURE SIGNIFICANTLY LESS THAN THE TOTAL VOLUME OF NC LRS QUALIFIED TO PROVIDE RRS AROUND THE CLOCK. AND THIS IS SUCH A FAMOUS ISSUE THAT WE'RE, WE'RE CONSTANTLY PRO RATING THE QUAL THE CAPACITY OF NC LRS THAT CAN PROVIDE RR RS. SO IT'S WELL UNDERSTOOD THAT THERE'S A LOT OF NCLR CAPACITY ON UFRS THAT COULD BE PROVIDING RRS THAT ISN'T ABLE TO, BECAUSE THE MARKET SIZE IS ONLY SO BIG AND BECAUSE THE VOLUME OF UR IS CAPPED. UH, BUT UNDER CONDITIONS WHERE WE'RE HAVING AN ACUTE FREQUENCY SITUATION, YOU KNOW, THE, THE SHORTAGE PRICES FOR REG AND RS ARE GOING TO BE THE HIGHEST ANCILLARY SERVICE PRICES. AND SO SC IS GOING TO DO EVERYTHING IT CAN TO REPLACE THOSE RESERVES INSTEAD OF, YOU KNOW, IMMEDIATELY. AND I JUST DON'T THINK WE'VE SEEN ANY EVIDENCE THAT THE WAY THAT'S GOING TO WORK OUT IS YOU'RE GONNA HAVE SLOW MOVING THERMAL RESOURCES RAMPING UP SO THAT THE FAST MOVING RESOURCES CAN GO BACK TO PROVIDING RSS. I THINK THAT'S A, A PARADIGM THAT'S BASED ON A KIND OF LEGACY GEN MIX THAT, OKAY. LUIS, DID YOU WANT TO RESPOND TO SOMETHING ANDREW JUST SAID? YEAH, UM, THE ONE THING THAT CAUGHT ME THERE WAS THE DURATION ON REGULATION AND RRS. THE ONE THING THERE IS, IT'S NOT SIMPLY THE DURATION THAT WE'RE SAYING THAT NEEDS TO RECOVER THE REUS RS, THE DURATION REQUIREMENT IS FOR WHAT WAS LOST, THE RESERVES THAT WERE THE UNIT THAT WAS LOST, THAT RECOVERY THAT, THAT DURATION THAT HAD THEN IN QUESTION WAS ENSURING THAT IF I HAVE THAT UNIT LOSS, WHAT IS THERE TO REPLACE TO ENSURE I HAVE REG PLUS RRS IS ABLE TO FULLY RECOVER THE CAPACITY THAT WAS LOST, WHICH IS, WILL BE THE LONGER DURATION. UM, SO THAT WAS THE ONLY THING THAT I WANTED TO CLARIFY IS, IS, IS HE WAS ANDREW'S RIGHT? IS, IS THE REG AND RSS DURATION ARE SHORT, BUT IF YOU DON'T HAVE THE CO THE CAPACITY TO REPLACE WHAT WAS LOST, THEN YOU'RE ACTIVELY USING REGULATION AND RS UNTIL YOU HAVE SOMETHING ELSE TO RECOVER THAT CAPACITY. THAT WAS MY ONLY, ONLY COMMENT. OKAY. OKAY, LET'S MOVE ON. UM, BLAKE, IS THERE ANYTHING WE NEED TO KNOW FROM WMS DISCUSSION AT THIS POINT? AND THEN I'LL, I'LL COME BACK TO YOU LATER ON LCRA COMMENTS. DO YOU WANNA ADD ANYTHING THAT, THAT HASN'T BEEN COVERED TODAY? NO, CAITLYN, THE, THE TOPICS ARE ALL TRACKING WITH, WITH WHAT WAS DISCUSSED AT WMS. I SAY JUST LET IT PLAY OUT. OKAY. SHANE, WHAT ABOUT ROSS? YEAH, ON THE, THE ROSS DISCUSSION WAS PRETTY SIMILAR. IT A LOT OF FOCUSING ON THE RISK CREDITS AND HOW WE DON'T LIKE THEM, BUT THEY'RE RAISING, [02:50:01] BUT THEY SEEM TO BE THE BEST TOOL FOR, FOR MANAGING THE QUANTITY LEVELS. WE TOOK A VOTE AT ROSS SPECIFICALLY, UH, SIMILAR TO WHAT'S BEEN PROPOSED, OR I GUESS EVEN IT WAS TO MAINTAIN THE RISK CREDITS AT THE SAME LEVEL THAT THEY WERE USED IN THE 2026 METHODOLOGY. MM-HMM . UH, THERE, IT, THAT MOTION OR THAT VOTE TO ENDORSEMENT FAILED, UH, WITH TWO THIRDS AGAINST ONE THIRD, FOUR, THERE WAS STILL QUITE A FEW ABSTENTIONS INVOLVED WITH THAT NINE ABSTENTIONS. BUT, UH, YEAH, A LOT, A LOT OF THE SAME DISCUSSION THAT'S HAVING HERE, BUT WE GET BEEN NICE TO GET SOME MORE COLOR FROM THEM. I, OKAY. WHAT WAS THE, THE MOTION WAS WHAT? AT ROTH SHANE? IT WAS, IT WAS SIMILAR, THE MOTION TODAY, TODAY 2027 AS METHODOLOGY, BUT RETAIN THE 2026 RISK CREDIT PARAMETERS. OKAY. AND WAS ERCOT SUPPORTIVE OF THAT MOTION AT ROTH? YOU OR LUIS CAN ANSWER THAT. LUIS, DO YOU WANNA CHARACTERIZE Y'ALL'S OPINION ON THAT OR? THE ANSWER CAN BE WE DIDN'T KNOW AND WE STILL DON'T KNOW , I THINK OUR SENSE WAS WE HAD PROPOSED THE, YOU KNOW, OUR LEVEL OF, OF RELIABILITY REQUIREMENT THAT WE, WE BELIEVE WAS NECESSARY. UH, AND WITH, UH, WITH, WITH WHAT ROSS HAD VOTED ON IN, IN, IN, IN HAVING A LOWER RISK CREDIT, UM, WHICH WOULD WORK, WHICH WOULD LEAD TO A HIGHER REQUIREMENT. UM, WE'RE NOT OPPOSED TO THAT IN, IN PRINCIPLE. OKAY. GREAT. SHANE, DID YOU HAVE ANYTHING ELSE YOU WANTED TO ADD IN BY GETTING IN THE QUEUE OR ARE WE GOOD? UH, YEAH, YEAH, I WAS GONNA ADD SOME OF MY OWN COMMENTS ON THIS. OKAY. OKAY. LET ME, LET ME TAKE THOSE IN ORDER THEN. SO, BUT WE'VE COVERED WMS AND ROTH, SO LET'S GO BACK TO, UH, SHAMS. SHAMS. IF YOU'D LIKE TO COVER YOUR HAND COMMENTS AT THIS TIME, THAT THAT'S FINE. GO FOR IT. SO BASICALLY, UH, LET'S BACK UP A LITTLE. UM, SO WHY ARE WE HAVING THIS DISCUSSION ABOUT THE AS PLAN AND RISK CREDITS AND STUFF? THE ONLY REASON THIS IMPACTS ANYTHING IS BECAUSE THE ADCS, YOU KNOW, THE ADCS ARE SO MESSED UP THAT, UH, IF THE ADCS WERE PERFECT, IT DOESN'T MATTER. YOU DON'T NEED AS PLAN, YOU DON'T NEED, UH, RISK CREDITS OR ANYTHING. THE AS DCS DETERMINE HOW MUCH IS GONNA BE PROCURED IN TERMS OF ALL THESE RESERVES. AND THAT SHOULD REFLECT THE VALUE OF THOSE RESERVES, UH, TO THE ERCOT MARKET. AND THAT SHOULD BE CONSISTENT WITH HOW ERCOT OPERATES THE SYSTEM. THAT'S OUR MAIN POINT, IS THAT THE CONSISTENCY IN ORDER TO SEND THE RIGHT PRICE SIGNALS FOR THE MARKET, UM, TO MAKE THE PROPER OPERATIONAL AND INVESTMENT DECISIONS. SO IF, IF WE THINK THAT, UM, YOU KNOW, OPERATING AT, UM, LOSS OF LOAD, UM, FIRM SHED LOAD, FIRM SHED, UM, LIKE WE DID PRE URI, THEN OF COURSE YOU WOULD HAVE A DIFFERENT, UM, A SDC CURVE. WHEREAS IF WE THINK, AND WE THINK IT'S PRUDENT AFTER URI TO HAVE ADDITIONAL RESERVES, THAT THE ADDITIONAL, UM, EITHER AVOIDING AN EA ONE OR WATCH MAKES SENSE. AND THE AS SDC SHOULD, UH, APPROPRIATELY REFLECT THAT. SO WE POINTED OUT TO LAST YEAR, AND THIS CAN, YOU CAN LOOK BACK, UH, IN HISTORY LIKE 10 YEARS OR SOMETHING, YOU KNOW, UM, THERE'S A HUGE DISCONNECT BETWEEN ANS SERVICE CLEARING PRICES IN THE DAY AHEAD VERSUS THE, UH, ORDC ADDERS. THE RDC ADDERS, LIKE LAST YEAR WAS 100TH, 1% LESS THAN 1% OF THE PRICE OF THE DAY AHEAD, UH, AN ANSWER SERVICE CLEARING PRICE OF THE LOWEST AN ANSWER SERVICE CLEARING PRICE IN THE DAY AHEAD. SO WE POINTED THIS OUT, I'VE, I'VE ACTUALLY POINTED THIS OUT FOR MANY YEARS NOW. I MEAN, UM, PROBABLY SINCE THE ADOPTION OF WHAT YOU SEE, THAT THE ADDER CALCULATION IS WRONG. AND UNFORTUNATELY THE ADCS ARE BASED ON THE ODC ADDER CALCULATION. SO THERE'S A HUGE DISCONNECT THERE, AND I'M, I'M THANKFUL TO THE PUC THAT THEY'VE, UM, THEY'VE RECOGNIZED THIS AND THEY'RE SAYING THAT WE CAN DISCONNECT THE TWO THAT IS, DOESN'T HAVE TO BE TIED TO THE, UH, UH, ORDC. SO THE O IS THE ADDER. SO NOW WE CAN FIX THIS ISSUE. UM, BUT THE THING IS, YOU KNOW, THE, AS SDCS RIGHT NOW TELL US THAT THERE'S NO VALUE AT THE TAIL END, RIGHT? ERCOT IS SAYING WE NEED THESE MANY MEGAWATTS OF RESERVES AND THE AS SDCS SAYING, NO, THERE'S NO VALUE TO THAT. SO WHAT ARE WE DOING? WE'RE SORT OF PUTTING A PATCH IN THERE SAYING THAT, OKAY, WITH THIS AS PLAN, WE'LL BUMP UP THOSE PENNIES IN THE AS SDCS TO $15 [02:55:01] PER MEGAWATT HOUR, WHICH IS HARDLY A BUMP UP. IF YOU GO BACK TO PRE RTC, THE AS PLAN REALLY MATTERED BECAUSE THE A SDC IN THE DAY AHEAD MARKET WENT UP BY $5,000 FOR WHATEVER THE AS PLAN AMOUNT WAS. SO IT WAS CLOSE TO 5,000. SO THAT WAS ACTUALLY THE A STC IN THE DAY AHEAD, PRE RTC AND PRE URI, IT WAS UNLIMITED, YOU KNOW, IT WAS LIKE INFINITE, UM, YOU KNOW, UH, PRICES THAT WE WILLING, WILLING TO PAY FOR THE HT C PLAN AMOUNT, BUT NOW IT GOES DOWN TO PENNIES. SO ALL WE ARE DISCUSSING IS, UH, WITH THIS, UM, YOU KNOW, UH, THIS AS PLAN AMOUNT IS HOW DO WE SOMEWHAT FIX THE A SDC SO THAT IT DOESN'T GO TO ZERO, BUT IT, IT BUMPS IT UP TO $15 FOR SOMETHING THAT ERCOT NEEDS. THEY NEED THESE RESERVE SOME, SOME AMOUNT OF RESERVES THAT THE, UH, THAT THE MARKET WILL PROVIDE BY DOING RISK CREDITS, YOU'RE JUST REDUCING THAT AMOUNT, WHICH IS INCONSISTENT WITH THEIR OPERATION. SO BASICALLY YOU'RE NOT, YOU ARE MESSING UP THE PRICE SIGNAL, EVEN THE MINIMAL $15. I'M NOT TALKING ABOUT A $5,000 PRICE SIGNAL, A A $15 MAXIMUM PRICE SIGNAL. YOU'RE EVEN MESSING THAT UP BY SAYING THAT, OKAY, WE REALLY WANT THIS MUCH, BUT, UH, TAKING THESE RISK CREDITS INTO ACCOUNT, WE DON'T WANT TO SEND THAT SIGNAL TO THE MARKET THAT WE WANT THAT MUCH. WHICH MEANS THAT IF YOU STILL OPERATE UNDER CONSERVATIVE OP UH, OPERATIONS, YOU'LL BE TAKING OUTTA MARKET ACTION AND THAT WILL NOT BE REFLECTED IN THE PRICE FORMATION OF THE MARKET, AND IT WON'T SUPPORT RELIABILITY IN THE SHORT TERM OR LONG TERM INVESTMENTS. SO REALLY, THIS, THIS IS ALL ABOUT, YOU KNOW, ARE WE GETTING THE PRICE SIGNALS RIGHT? AND EACH YEAR THIS SHOULD GOING FORWARD, THIS SHOULDN'T BE AN AS PLAN DISCUSSION. THIS WOULD BE AN AS SDC DISCUSSION EACH YEAR AS TO HOW WE FIGURE OUT THE RIGHT AS SDC, UM, TO REFLECT ERCOT OPERATIONS AND HOW, HOW MUCH, UM, RELIABILITY WE WANT IN THE SYSTEM. SO THE A SDC, IF YOU FIX IT, GIVEN ERCOT OPERATIONS AND STUFF, IT WOULD LOOK, UM, LIKE THE A-A-S-D-C CURVE, LIKE THE ORDC CURVE, BUT EXCEPT IT WOULD HAVE AT, UH, YOU KNOW, WHATEVER THE NON SPIN QUANTITY IS, IT WOULDN'T DROP OFF FROM $15 TO ZERO, IT WOULD PROBABLY BE IN THE HUNDREDS OF DOLLARS AND IT WOULD KEEP CONTINUING BECAUSE PROBABILISTICALLY, THERE'S, THERE'S JUST THIS, UH, SLIGHTLY MORE PROBABILITY. UM, YOU KNOW, THE MORE YOU BUY THE PROBABILITY OF, UH, WHATEVER YOU'RE ACCOUNTING FOR, WHETHER IT'S A EEA OR OR LOSS OF LOAD, THAT PROBABLY DECREASES. SO THE, THE VALUE WOULDN'T DROP FROM 15 TO ZERO, BUT IT WOULD BE SOMETHING LIKE HUNDREDS OF DOLLARS GOING DOWN. SO WE NEED TO FIX THE SDCS AND THAT ALL, THAT'S ALL WE ARE SAYING IS THAT HERE, UH, WE FIXING THE AS SDCS AND JUST BUMPING UP TO $15, UM, AND LET'S GET THAT RIGHT. THE RISK CREDITS JUST DISTORTS IT EVEN FURTHER. SO LET'S GET RID OF THE RISK CREDITS. IT ONLY MAKES SENSE, UH, TAKING RISK CREDITS INTO ACCOUNT AND SAYING THAT, OH, WE, WE BELIEVE IN MARKET, IN MARKET PRICE FORMATION TO SUPPORT INVESTMENT, TO SUPPORT, YOU KNOW, THE MISSING MONEY PROBLEM AND THEN REDUCING WHAT'S NEEDED FOR RELIABILITY DOESN'T MAKE ANY SENSE AT ALL. SO WHAT WE ARE RECOMMENDING IS THAT YOU ELIMINATE THE RISK CREDIT IS AT LEAST UNTIL WE FIX THE AS SDCS, WHICH IS A MUCH BIGGER FIX THAT REALLY NEEDS TO BE DONE 'CAUSE AS DC SHOULD BE, UH, DETERMINING QUANTITIES AND SO ON AND NOT THESE AS PLAN STUFF. SO THAT'S WHAT OUR COMMENTS SORT OF, UH, FOCUS ON. OKAY, THANKS SEAN. UH, LUIS, I THINK YOU PROBABLY HAVE A RESPONSE AND, AND RYAN, YOU DON'T NEED TO BE IN THE QUEUE. WE'RE JUST GONNA HEAR FROM LUIS ON FOR ON THIS. YEAH, I JUST, UM, I THINK SEAN'S GOT TO THE POINT, SO A COUPLE THINGS IS ONE, ASCS IS NOT PART OF THE AS METHODOLOGY. I THINK SHAS GOT TO THAT POINT AS WELL. UM, THE OTHER THING IS, I THINK WE AGREE, I THINK WE, WE'VE ALSO TAKEN THIS ACTION OUTSIDE OUT OF RTCB IS, OR, OR IMPLEMENTATION WAS THE ADCS NEED SOME ADJUSTMENTS. UM, I DON'T KNOW, I THINK THEY'LL FIX EVERYTHING, BUT, UH, BUT YOU KNOW, WE HAVE AGREED THAT WE WILL GO BACK AND LOOK AT ADCS AND SEE HOW THEY MATCH THE LEVEL OF THE AS REQUIREMENT THAT IS IN THE PLAN. SO I I I, I THINK THAT EFFORT, UH, WE CAN AGREE TO JUST, IT'S SOMEWHAT OUTSIDE OF THE DISCUSSION WE HAVE TODAY. UM, NOW THE RISK CREDIT PORTION IS, YOU KNOW, THAT IS WHAT WE'RE, YOU KNOW, PROPOSING TO UTILIZE BASED ON THE HISTORICAL, UH, ANALYSIS THAT WE'VE DONE O OF AVAILABILITY. UM, THOSE ARE MY, MY COMMENTS. OKAY, GREAT. THANK YOU. LET'S GO TO NED. THANKS CAITLIN. AND, UH, THANK YOU TO ALL EVERYONE THAT'S JUST BEEN TALKING. 'CAUSE I THINK A LOT OF THE POINTS I WANTED TO MAKE HAVE BEEN COVERED. UM, SO I'LL, I'LL, I'LL [03:00:01] TRY TO MAKE IT QUICK, UH, AND CRYSTALLIZE, IT SOUNDS TO ME LIKE, UM, YOU KNOW, WE'RE KIND OF IN THAT CLASSIC DILEMMA WHERE YOU'VE GOT THE, THE DIFFERENT BLIND MONKS ALL TOUCHING THE ELEPHANT AND DESCRIBING IT IN DIFFERENT WAYS DEPENDING ON WHAT THEY'RE TOUCHING. UM, BUT I THINK LUIS, KINDA WHAT YOU GOT AT TO IS THAT WE'RE RIGHT NOW, YOU KNOW, LOOKING AT ONLY ONE PART OF THE ELEPHANT. AND THAT'S, YOU KNOW, THE, IT'S THE METHODOLOGY TO DETERMINE THE QUANTITY AND WHETHER THAT INCLUDES THE RISK CREDITS. UM, I THINK THERE'S, I'M HEARING SOME CONFUSION ABOUT WHETHER WE ARE ACTUALLY PROCURING RESERVES VERSUS DETERMINING HOW MUCH OF THE HEADROOM WE SHOULD BE VALUING. AND I THINK THAT'S A, THAT'S A JUST A, A, IT'S A SHIFT IN PARADIGM THAT HAS, YOU KNOW, KIND OF COME WITH, WITH REALTIME CO OPTIMIZATION. AND THAT'S, AND THIS DISCUSSION IS JUST SHOWING HOW WE'RE, WE'RE GRAPPLING WITH THAT. AND THAT RAISES ALL THE QUESTIONS ABOUT THE ANCILLARY SERVICE DEMAND CURVES, WHICH IS OUTSIDE THE SCOPE OF THIS DISCUSSION, THE DURATION REQUIREMENTS, WHICH AGAIN, OUTSIDE THE SCOPE OF THIS DISCUSSION, UM, AND HOW TO, HOW TO STRUCTURE THOSE THINGS TO GET TO THE OUTCOMES THAT ERCOT NEEDS AS A, AS AN, UH, AS A SYSTEM OPERATOR TO MEET THEIR NERC REQUIREMENTS AND THE RELIABILITY STANDARDS OF THE STATE. UM, YOU KNOW, SO I I THINK WE'RE SAYING VERY SIMILAR THINGS, BUT FROM, YOU KNOW, SIM FROM JUST DIFFERENT ANGLES. UM, YOU KNOW, JEFF, I, YOU KNOW, I, I'D LIKE TO, MAYBE WE CAN HAVE SOME MORE DISCUSSION OFFLINE ABOUT THE, THE HEADROOM. IT SOUNDS LIKE MAYBE, YOU KNOW, THE WAY THAT THAT Y'ALL ARE VIEWING IT IS, UM, LIKE THERE'S PLENTY AVAILABLE TO ME THAT SEEMS LIKE SAYING, WELL, WE'RE AT A POTLUCK AND EVERYONE'S BROUGHT A LOT OF DISHES, SO THERE'S PLENTY TO GO AROUND AND WE DON'T NEED TO, YOU KNOW, PLAN FOR, YOU KNOW, WHAT OUR MEAL PLAN WILL BE, BUT YOU KNOW, THERE'LL BE MORE GUESTS COMING AND WE DON'T KNOW WHAT THEY'LL BRING. THEY MAY BE LESS RELIABLE GUESTS OR, UH, CONTRIBUTORS TO THE POTLUCK AND THE PARTY EVENTUALLY ENDS, AND WE'RE STILL GONNA NEED TO PLAN OUR MEALS OUT. AND THAT'S, THAT'S THE APPROACH THAT WE'RE COMING AT THIS FROM. SO, UM, THE OTHER PIECE THAT I WANTED TO HIGHLIGHT IS THE, THE RUCK, UH, ISSUE AND APPRECIATE SOME OF THE CLARIFICATION YOU PROVIDED, LUIS. UM, I HAD THE SAME UNDERSTANDING AS SHAMS. I THOUGHT THE ASCS WERE, WERE DOING THE WORK THERE. UM, AND IF WE NEED TO WORK TOGETHER AS, YOU KNOW, ERCOT AND STAKEHOLDERS TO FIND WAYS TO NOT RUCK TO MEET THAT FULL ANCILLARY SERVICE PLAN, I, I'M ALL HERE FOR IT. I THINK WE'RE ROCKING TOO MUCH RIGHT NOW. AND, AND THE MARKET PRICES SHOULD BE SENDING THE SIGNALS TO GET YOU THE OUTCOMES THAT YOU WANT. AND THAT'S PROBABLY MORE OF AN ODC OR, UH, SORRY, AN A SDC ISSUE. AND I DON'T THINK THAT'S NECESSARILY GONNA CHANGE MUCH IN TERMS OF THE, THE VALUE THAT WE'RE LOOKING AT TODAY, BECAUSE TO GET THERE, YOU'VE GOTTA UNDO THE AO OR DC UH, PIECE, AND THAT'S KICKING OFF NOW, BUT PROBABLY NOT GONNA IMPACT US ON A TIMEFRAME THAT WILL REALLY COME TO BEAR ON THE 2027 PLAN. SO, UM, APPRECIATE ALL THE DISCUSSION. UH, I THINK I'VE, I'M HEARING MOST FOLKS HAVE KIND OF, YOU KNOW, PICKED THEIR, THEIR CORNERS AND JUST TO BE EFFICIENT WITH TIME AND I'VE USED ENOUGH LUNCH ANALOGIES I'D, I'D GO AHEAD AND CALL THE QUESTION JUST TO GET THE VOTE OUT OF THE WAY AND SEE WHERE WE LAND AND SEE IF, UH, IF WE CAN EAT. OKAY. UM, THIS, THIS IS UP TO YOU. IF YOU'RE MAKING THE MOTION, YOU'RE MAKING THE MOTION, EVERYBODY'S SORT OF GOT TO PRESENT COMMENTS EXCEPT FOR LCRA. SO IF, IF YOU WANNA GIVE BLAKE A COUPLE MINUTES, BUT IF, IF YOU WANNA MAKE THE MOTION, MAKE THE MOTION. SO, WELL, I THINK THE MOTION IS OUT THERE AND SECONDED. BLAKE, I DON'T WANNA CUT YOU OFF, BUT I WAS, I WAS GONNA CALL THE QUESTION NO, NO, NO. THE, THE MOTION TO CALL THE QUESTION, I MEAN, YEAH. OH, GOTCHA. UM, BLAKE, HAPPY TO LET YOU GO. UM, I JUST, I, I THINK WE'RE, WE'RE STARTING TO TALK IN CIRCLES. THANKS, NED. I'LL JUST GIVE A, AN OVERVIEW OF OUR COMMENT, SO I APPRECIATE THE EXTRA TIME. UH, BLAKE HOLT, LCRA. UM, WE FILED SOME COMMENTS YESTERDAY UP ON THE SCREEN POSTED TO THE MEETING PAGE, WOULD ENCOURAGE Y'ALL TO REVIEW. BUT WHERE WE'RE COMING AT THIS FROM IS WE'RE POINTING TO THE 2026 AS METHODOLOGY DISCREPANCY RELATING IT TO THE BEHAVIOR WHERE WE'VE WITNESSED IN THE WORLD AROUND US OVER THE LAST MONTH AND APPLYING THAT TO HOW WE'RE THINKING ABOUT, UH, THE VOTE TODAY. AND SO TO START AT JULY'S TECH MEETING, WE RAISED QUESTIONS ON WHETHER THE DISCREPANCY INFLUENCED ALL OF THE CAPACITY RELATED RUCKS THIS YEAR, AND IF IT WOULD DRIVE ADDITIONAL RUCK ACTIVITY WITHOUT A PLAN CORRECTION. AND WHAT WE'VE SEEN OVER THE LAST MONTH IS THAT [03:05:01] RUCK ACTIVITY RELATED TO CAPACITY CONCERNS HAS INCREASED, UH, THREEFOLD WHEN COMPARING AUGUST TO JULY. AND WE'VE EVEN SEEN A BRAND NEW R REASON OF CAPACITY AS BEING USED, UH, IMMEDIATELY AFTER THE DISCOVERY OF THE DISCREPANCY. AND SO THAT LEADS US TO BELIEVE THAT ERCOT SR PROCEDURE HAS CHANGED SINCE THEY'VE BECOME AWARE OF THE DISCREPANCY IN OUR, AND IN OUR MIND KIND OF PROVES THE POINT WE WERE TRYING TO MAKE LAST MONTH AND, YOU KNOW, WILLING TO BE CORRECTED. UM, BUT, YOU KNOW, ULTIMATELY WE ENCOURAGE ERCOT TO GIVE US MORE CLARITY INTO THAT NEW CAPACITY AS R REASON AND WHAT PROBLEM IT IS SEEKING TO CLASSIFY. AND WHAT IT LOOKS LIKE TO US IS IF ERCOT IS NOT ABLE TO GET THE AS PLAN THEY NEED THROUGH MARKET MECHANISMS, THEY WILL USE OUT OF MARKET COMMITMENTS TO ENSURE THEIR DESIRED LEVEL OF CAPACITY. UH, WHICH TAKES ME INTO HOW WE'RE THINKING ABOUT THE 2027 AS METHODOLOGY. WE WERE TALKING ABOUT FREE LUNCHES EARLIER, BUT BASED ON WHAT WE ARE SEEING, THERE IS NO SUCH THING AS FREE RELIABILITY. AND IF WHAT I SAID IS EARLIER IS TRUE, UH, IT APPEARS TO ME THAT ANY VOTE THAT WOULD SEEK TO MAKE ERCOT DESIRED METHODOLOGY MORE EFFICIENT WOULD BE A VOTE IN FAVOR OF MORE AL OUT OF MARKET COMMITMENTS. AND THAT'S NOT SOMETHING THAT LCRA WILL SUPPORT AND WILL BE A NO ON ANY MOTION THAT THAT GOES DOWN THAT PATH. OBVIOUSLY SUPPORTIVE OF THE MOTION THAT'S, THAT'S CURRENTLY UP FOR A VOTE, BUT WOULD ALSO BE SUPPORTIVE OF RETAINING THE 2026 RISK CREDIT PARAMETERS SIMILAR TO THE, THE ROSS MOTION THAT, THAT THEY CONSIDERED. AND SO, IN OUR VIEW, A DECISION TO MAKE THE PLAN MORE EFFICIENT CANNOT BE MADE IN ISOLATION WITH ERCOT CURRENT CONSERVATIVE POSTURE. BOTH OF THESE THINGS NEED TO CHANGE AT ONCE OR OUT OF MARKET COMMITMENTS WILL BECOME THE NORM. AND I THINK THINKING ABOUT THE FUTURE, WE, WE ARE NOT OPPOSED TO MAKING THE PLAN MORE EFFICIENT AND ACTUALLY THINK THAT RECALIBRATED ASDC A MORE EFFICIENT PLAN AND A STEP AWAY FROM CONSERVATIVE OPERATIONS MAY ACTUALLY BE THE ANSWER TO GIVE THE MARKET STRONGER ENERGY PRICE SIGNALS, BUT REALLY THINK THAT DECISION NEEDS TO BE PUSHED DOWN BY THE COMMISSION AND THERE'S ALREADY A PROPER TIME TO MAKE OR TO HAVE THAT CONVERSATION, WHICH IS DURING THE MARKET REDESIGN DISCUSSIONS THAT WILL TAKE PLACE AFTER THE RELIABILITY STANDARD ASSESSMENT. UM, SO APPRECIATE THE EXTRA TIME TO, TO LAY THESE THOUGHTS OUT AND YES, I'M READY, READY TO TAKE A VOTE. THANKS. THANK YOU, BLAKE. APPRECIATE YOU COVERING THOSE COMMENTS. WE HAVE A COUPLE FOLKS IN THE QUEUE STILL, SO WE'LL GO OVER TO TIKA. HEY, GOOD AFTERNOON. EVERYONE WANTED TO CHECK. CAN YOU HEAR ME? WE CAN HEAR YOU TIKA. PERFECT. SO, UH, I, I PUT MYSELF IN THE QUEUE TO, UH, ADDRESS THE FIRST PORTION OF BLAKE'S COMMENTS AROUND THE ROCKS AND THE REASONS THAT THEY ARE SEEING IN RUCKS THAT ARE BEING MADE TODAY. SO THE TIMING UNFORTUNATELY, UH, IS A COINCIDENCE, BUT EVERYTHING THAT YOU ARE SEEING TODAY, BLAKE, AND, AND, AND STAKEHOLDERS IS RELATED TO SOME OF, UH, SOME OF THE ANALYSIS THAT HAS BEEN SHARING WITH WMWG TODAY. WHEN ISSUES A ROCK INSTRUCTION AND TAGS AS CAPACITY TO IT, WHAT THE OPERATORS ARE TRYING TO COMMUNICATE BACK OUT IS OUR R STUDIES ARE SEEING A DEFICIENCY IN PRO IN BEING ABLE TO SERVE THE FORECASTED LOAD AND PROCURE ALL THE PLAN A. SO WHATEVER IS POSTED AS OF TODAY AT THO THOSE LEVELS, WE ARE UNABLE TO ACHIEVE WITH THE INFORMATION THAT, UH, THAT WE, UH, UH, THAT HAS BEEN PUT INTO THE STUDY TOOL. AND AS A RESULT, THERE IS A NEED TO COMMIT SO THAT WE CAN SERVE THE LOAD AND PROCURE THE POSTED LEVEL OF AS PLANS. THESE COMMITMENTS ARE NOT BEING MADE BE BECAUSE OF THE, THE, THE G THE GOOD CAUSE EXCEPTION AND THE ERROR IN THE, IN THE QUANTITIES THAT WE TALKED ABOUT. WE ARE NOT ABLE TO MEET WHAT IS POSTED CURRENTLY. AND SOME OF THE REASON WHY WE ARE IN THAT SITUATION IS WHAT'S RELATED TO THE ANALYSIS YOU ARE SEEING COME OUT AT WMWG. I WANTED TO MAKE SURE IT WAS VERY CLEAR THAT, THAT THIS IS NOT BECAUSE ACAS WANTING TO PROCURE MORE AS THAN WHAT IS POSTED. WE CANNOT MEET WHAT IS POSTED. I'LL PAUSE. [03:10:03] OKAY, I JUST WANNA SAY SOMETHING. THANK YOU SO MUCH FOR MAKING THAT CLEAR NIT, I REALLY APPRECIATE IT. SO THERE IS NOT A TWO AS PLAN ONE INFORMAL WILL DO REGARDLESS WHAT PUC APPROVES. AND THEN ONE POSTPOSITIVE, THANK YOU VERY MUCH. WE HAVE SHANE, POOR SHANE'S BEEN TRYING TO SPEAK, UM, FOR A LONG TIME. SO LET'S DO SHANE THEN, SETH, THEN, UM, I KNOW TAC HAS A REQUEST FOR PC STAFF TO WEIGH IN ON THE ISSUE. UM, BUT MAYBE HARRY, IF YOU DON'T MIND, LET ME TAKE THE STAKEHOLDER COMMENTS FIRST AND THEN YOU CAN OF COURSE WEIGH IN ON, ON ANYTHING YOU WANT, INCLUDING THE, THE RISK CREDIT ISSUE. AND HOPEFULLY WE'LL GIVE, UH, YOU THE LAST WORD. SOUND GOOD? LET'S, SO LET'S GO TO, UH, LET'S GO TO SHANE. THANKS CAITLIN. AND I'LL TRY TO BE, UH, MORE SUCCINCT AND HERE I'LL SKIP ALL THE, THE SC LANGUAGE. I WAS GONNA TRY AND WORK IN THE, THE RISK CREDITS. I MEAN, HONESTLY, IT'S, IT'S JUST NOT A MARKET, IT'S JUST RELYING ON STUFF TO BE THERE EVEN NO MATTER WHAT HAPPENS. AND THE WAY WE'RE APPLYING RISK CREDITS IS ALSO VERY INEFFICIENT. I THINK WE'RE LOOKING AT IT, WE'RE PEANUT BUTTERING KIND OF SOME EXTRA RISK ON THERE. WE'RE NOT NECESSARILY ANALYZING JUST THE TIMES THAT WE WOULD BE POTENTIALLY NEEDING IT. AND THAT'S ALSO KIND OF SCALING OUT, UH, THE IMPACT HERE. UM, IF YOU WERE TO SAY, DO SOME ANALYSIS ON HOW MUCH EXTRA CAPACITY WAS ONLINE WHEN WE WERE DEPLOYING THESE SERVICES, YOU KNOW, AND LIKE IN THESE METHODS WHERE WE'RE LOOK WHERE THE AS PLAN ACTUALLY MATTERS, I THINK IT'S LIKELY THAT WE WOULD SEE MUCH LOWER AVAILABILITY OF EXCESS CAPACITY. UM, I THINK THERE WAS A GOOD POINT MADE BY NED EARLIER WHERE IF YOU'RE INCREASING THE USE OF RISK CREDITS AND YOU'RE, YOU KNOW, DECREASING THE AS PLAN IN REAL TIME, YOU'RE ALSO GOING TO THEN DECREASE THE LIKELIHOOD OF HAVING THAT RISK CREDIT, YOU KNOW, THAT ACCREDITED CAPACITY BECAUSE YOU'RE DECREASING THE SIGNAL FOR THEM TO SHOW UP IN REAL TIME. AND SO IT'S KIND OF LIKE SOMETHING THAT'S GONNA BE CYCLICAL AND THE MORE YOU COUNT ON, THE LESS YOU'RE GONNA GET OVER TIME. UM, UH, THAT'S THE, THE, THE GIST OF ALL MY POINTS THERE. BUT IT WOULD BE BETTER IF WE'RE TRYING TO APPLY SOME SORT OF RISK CREDITS. IT WOULD BE BETTER TO LOOK AT THINGS MORE SEASONALLY, MORE HOURLY FOR LIKE FIVE DIFFERENT CAPACITY DURING RAMPS DURING NIGHT, DURING LIKE MORE HOURLY SPECIFIC AND A MUCH DEEPER ANALYSIS. THEN THIS IS KIND OF JUST THE PEANUT BUTTER THAT'S GOING ON, BASICALLY JUST TO REDUCE THE OVERALL CAPACITY AS I SEE IT. I THINK NOBODY LIKES RISK CREDITS, UM, BUT IT IS WHAT'S BEING USED TO CONTROL THE SIZE OF THE PLAN HERE. AND LUIS, YOU CAN CORRECT ME ON ANYTHING I, UH, MISSPOKE ON THERE AS TO THE RISK CREDITS. YEAH, I JUST WANNA HOP IN. I JUST WANTED TO, AND I'LL TRY NOT TO GO TOO FAR BACK ON THIS, BUT WE, WE WANNA ENSURE THAT WE ARE EVALUATING RISK CREDITS AT ALL AT AT ALL TIMES, NOT JUST DURING DEPLOYMENTS. UM, YOU KNOW, WE, WE NEED TO SEE WHAT SORT OF COVERAGE WE TYPICALLY HAVE. THE SECOND PIECE IS THE OPTIMIZATION ITSELF IS ALREADY ACTIVELY UTILIZING PERIODS THAT ARE SHORT ON RISK CREDITS, THAT IS PART OF THE OPTIMIZATION AND IT IS BECOME SETS, STARTS BECOMING PART OF THE TAIL IN THE ANALYSIS WHEN TRYING TO MEET CONVERGENCE. SO I JUST WANTED TO TRY TO CLARIFY THAT, THAT THE, THE PROCESS IN THE OPTIMIZATION WHEN ASSESSING NET RISK IS ALREADY UTILIZING THOSE CONDITIONS AS INPUTS. NOW THE SECOND PIECE YOU HAD ABOUT CHANGING THE WAY RISK CREDITS ARE DESIGNED OR LOOKED AT, I, I, I CAN AGREE. UM, I, I THINK THIS IS SOMETHING WE'VE ALREADY IDENTIFIED FOR POTENTIAL CHANGES FOR NEXT YEAR FOR 2028. UM, YOU KNOW, IN PARTICULARLY LOOKING TODAY, WE JUST HAVE A NIGHT AND A DAYTIME PERIOD. THE QUESTIONS WE HAVE ARE, YOU KNOW, THINGS THAT WE'VE TALKED ABOUT WITH THE MARKETS, AND THEN FEEDBACK THAT WE'VE BEEN GIVEN IS CONSIDERATION IN, IN CHANGING HOURS TO EVENING RAMP HOURS, MORNING RAMP HOURS, CHANGING HOW ALL OF THAT IS BEST AND WHAT SORT OF, UH, CAPABILITY. BUT THAT'S A, THAT'S A REDESIGN OF RISK CREDIT. SO, UM, I, I CAN AGREE THAT IT'S ON OUR RADAR TO REVIEW, UM, BUT COMPLETELY REDESIGNING RE RISK CREDITS AT THIS MOMENT, UH, WE WOULDN'T HAVE PICKED THAT UP THE NEXT YEAR. THAT'S IT. OKAY. UM, [03:15:01] I THINK CAITLIN'S TRYING TO GET HER AUDIO SORTED OUT HERE. I THINK THAT TAKES US TO LAUREN'S REQUEST THAT, I'M SORRY I MISSED SETH. SETH, WE HAVEN'T GONE, GONE TO YOU YET, CORRECT. YEAH, SO JUST REAL QUICK, I DON'T WANNA BELABOR POINTS, BUT I AGREE WITH BLAKE. I'M REALLY APPROACHING THIS FROM THE PERSPECTIVE OF WHAT WILL LEAD TO LES ROCK. I THINK THAT WE HAVE A BIG PROBLEM TODAY WITH THAT. IT'S, UH, IT'S NOT HEALTHY FOR THE MARKET IN THE LONG RUN. I, I DON'T SEE WHERE WE'RE IN A SUSTAINABLE POSITION. UM, SO THAT'S, THAT'S WHERE VITOL SITS ON THIS ISSUE. THANK YOU. OKAY. GOT IT. THANK YOU, SETH. OKAY, NOW I THINK THIS TAKES US TO LAUREN'S REQUEST ASKING WHETHER COMMISSION STAFF COULD WEIGH IN ON THE RISK CREDIT ISSUE, IKA. ARE YOU IN A POSITION TO TAKE THAT? YEAH, I CAN. I MEAN, UH, TO BE HONEST, WE ARE DEFINITELY NOT SUPPORTED OF THE CURRENT MOTION. LIKE ERCOT ISS TELLING US TAKE, THEY'RE OKAY IMPROVING INCREASING RISK CREDIT, BUT THEY'RE SAYING NO, NO, NO, BE REALLY NOT SUPPORTIVE OF THAT. IF ERCOT WANTS TO, YOU KNOW, MOVE IN THAT DIRECTION A LITTLE BIT, THAT WILL BE GREAT. THANK YOU. CAITLIN, ARE YOU, IS YOUR AUDIO SORTED? I THINK YOU, I THINK SO. OKAY. I, WE CAN HEAR YOU NOW. GREAT. ARE WE THROUGH THE QUEUE? I THINK WE ALREADY HIT SHANE. I THINK THAT'S A RELIC. I BELIEVE SO, YEAH. THANKS. ME TOO. OKAY, SHANE, ARE YOU GOOD? OKAY, CLEAR. SO GOING BACK TO THE ORIGINAL MOTION FROM RA, COREY, CAN WE PULL THAT UP ON THE SCREEN? AND I THINK WE MADE THOSE AS DESKTOP EDITS. THAT'S WHAT I WANT. THE, THAT'S WHAT I WANT THE GROUP TO CONFIRM. NED WANNA WALK, CONFIRM? YEAH, I WANT NED TO CONFIRM WHICH, SO RIGHT, WHAT YOU'RE SEEING ON SCREEN RIGHT NOW IS ERCOT PROPOSAL, AND I THINK INITIALLY NED HAD SAID, JUST DROP ALL THIS THAT SAYS RISK CREDIT, BUT I WANNA MAKE SURE THAT'S STILL THE CASE. I THINK THAT WILL DO IT, COREY. SO IF WE GET RID OF THAT, THEN WE DON'T NEED THIS LEAD IN ABOUT USING THOSE INPUT PARAMETERS. THOSE AREN'T GOING IN ANYMORE. AND THEN I'M ASSUMING WE ALSO THEN NEED TO UPDATE THIS PICTURE THAT TALKS ABOUT RISK CREDITS THAT NOW WILL NO LONGER BE RELEVANT, PUT A BIG RED X ON IT. SO HERE'S, HERE'S A VERSION OF IT THAT DOESN'T HAVE THAT SAME, SAME DETAILS ABOVE ABOUT THE RISK THEMSELVES AND CONVERGENCE CRITERIA AND ALL THAT, BUT JUST NOW WITHOUT THAT RISK CREDIT BOX. AND SO ALL OF THESE OTHERS ARE JUST, YOU KNOW, STYLISTIC CLEANUPS. SO IF EVERYONE, WELL, IF I'VE MADE NED HAPPY, THAT'S A HUGE, THAT'S A HUGE, UM, WIN. BUT THEN THIS WOULD BE, I FEEL LIKE NED'S HAPPY A LOT OF THE TIME. I TRY TO HAVE A, I TRY TO HAVE A POSITIVE DISPOSITION. OKAY, SO THEN WITH THOSE RED LINES THEN THE MOTION IS, IT'S THE 2026 AS METHODOLOGY PRESENTED BY ERCOT AS REVISED BY TAC WHEREIN THOSE REVISIONS, THE TAC DID, ACHIEVES THE REMOVE THE RISK CREDITS. OKAY. LUIS, DO YOU HAVE A COMMENT? YES, JOE? UH, I THINK I'M FINE. I, I, I HAD A CONCERN ABOUT SCRATCHING ALL OF THAT WHERE, YOU KNOW, WE'VE DONE A LOT OF ANALYSIS OUTSIDE OF WHAT THESE PARAMETERS WERE, BUT I THINK FROM A PROPOSED PERSPECTIVE, I THINK IT MEANS THAT THERE'S JUST NO RISK CREDIT ACCOUNTING. SO I, I THINK I'M OKAY WITH IT. OKAY. OKAY. TAKE IT AWAY, CORY. ALL RIGHT. THEN ON THIS MOTION TO, UH, ENDORSE THE AS METHODOLOGY WITH THE DESKTOP EDITS WE JUST PRESENTED, WE WILL START UP WITH THE CONSUMERS WITH GARRETT. ACTUALLY, SIR, I'M, I'M SORRY. THIS IS MATT ARTHUR. THEY'RE EGAL BEFORE Y'ALL TAKE A VOTE, CAN I, I JUST ASK THAT, UM, I THINK PART OF THE LANGUAGE BEING STRUCK THERE IS AT THE BOTTOM, USING THESE [03:20:01] INPUT PARAMETERS, THE MODEL WILL RUN THE OPTIMIZATION. I THINK I JUST WANNA CLARIFY WITH LUIS, DOES THAT THERE ARE OTHER PARAMETERS BEYOND THE RISK CREDITS THAT FEED INTO THE MODEL, RIGHT? THE, THE RISK, UH, THE SIX HOUR AHEAD RISK. UM, DO WE NEED TO SAY THAT? DO WE NEED TO INCLUDE THAT, THAT PHRASING? CAN WE SCROLL UP A LITTLE BIT? AND I THINK THAT ONE LINE IN THE MIDDLE THERE THAT SAYS THE PROBABILISTIC MODEL WILL CONSUME THE RISK AND UTILIZE THESE INPUTS, I THINK WE STILL NEED IT TO SAY THE PROBABILISTIC MODEL WILL CONSUME THE RISK. UM, EVEN IF, BECAUSE THAT'S REFERRING TO THOSE RISKS IN THE NON STRUCK PARAGRAPH ABOVE. RIGHT? THAT, THAT'S A GOOD POINT, MATT. SO I, I AGREE WITH MATT'S DIRECTION. HERE IS THE STRICKEN, THE, THE TOP PARAGRAPH COVERS THE RISK, WHICH IS THE SIX HOUR AHEAD, NET LOAD, FORECAST, ERROR AND OUTAGES. OKAY. I THINK NED AND LIKE, I, I THINK WE UNDERSTAND WHAT WE'RE VOTING ON CONCEPTUALLY. AND IF, IF IT ENDS UP BEING WHAT ERCOT FOR THEM TO THE BOARD, I THINK WE'RE FINE WITH ERCOT MAKING THE RED LINES THEY NEED TO IN THE, THE INTERIM BETWEEN TECH AND, AND THE BOARD, RIGHT? YEAH, I THINK THE, THE, THE INTENTION IS CLEAR AND IF WE NEED TO ADD SOME DELEGATION OF AUTHORITY TO ERCOT TO MAKE ANY ADDITIONAL CLEANUPS, I THINK THAT WOULD BE A FAIR THING. I DON'T THINK THERE'S ANY AMBIGUITY ABOUT WHAT WE'RE DISCUSSING. YEAH, I THINK THAT'S RIGHT. I ALSO SUPPORT THAT TOO. MATT, MATT AND LUIS ARE VERY CAPABLE OF IMPLEMENTING WHAT WE'RE ASKING, SO THANKS. SO BASED ON WHAT MATT JUST SAID, I TOOK THE LANGUAGE OUT HERE AND JUST BAKED IT INTO THIS SENTENCE TO RETAIN IT. OKAY. AND AGAIN, THIS IS ALL TAX LANGUAGE, SO THAT IF, IF ERCOT COMES UP WITH SOMETHING SEPARATE THAT WE NEED TO PROPOSE IN OUR VERSION OF WHAT GOES TO THE BOARD, WE CERTAINLY WILL. BUT FOR NOW, YES, WE'VE RETAINED A PORTION OF THIS STRUCK LANGUAGE AND MOVED IT DOWN HERE. OKAY. OKAY. BACK TO THE BALLOT. AND WE WILL BEGIN WITH THE CONSUMERS, WITH GARRETT? NO SIR. THANKS SIR. MIKE. NO THANKS. THANKS SIR. BETH? NO THANK YOU. WILL NO THANKS. COURT. THANK YOU NICK. FEHRENBACH, ABSTAIN. OKAY, GOTCHA. AS ABSTENTION, THANK YOU. AND THEN BETH FOR CHRIS? NO. OKAY. THANK YOU. ONTO THE CO-OPS, BLAKE? YES. THANK YOU, KYLE. YES, THANK YOU JO, DAN FOR MIKE? YES, PLEASE. THANK YOU, GORDON. THANK YOU SIR. LUCAS, FOR JOHN? YES. THANK YOU. ONTO THE INDEPENDENT GENERATORS, NED? YES, AND THANK YOU COREY. THANKS SIR. BRIAN, I GOT YOUR YES IN CHAT, BRIAN. THANK YOU BOB HILTON. I CAN TAKE YOU IN CHAT. BOB, IF YOU'RE WRESTLING WITH THE AUDIO, I'LL LOOP BACK TO BOB. HOW ABOUT CAITLIN? YES, THANK YOU. ONTO OUR IPMS. JEREMY ABSTAIN. THANK YOU SETH. NO. OKAY, THANKS SETH. AND BOB, I'VE GOT YOUR YES IN CHAT. THANKS SIR. UH, BACK TO THE IPMS, UH, SHANE FOR REMI? YES SIR. THANK YOU. THANKS SIR. IAN? YES. THANK YOU COREY. THANK YOU. ONTO OUR I REPS. JAY. JAY, YOU STILL WITH US? I'LL COME BACK. HOW ABOUT CHRIS? ABSTAIN. GOTCHA. CHRIS. THANK, THANK YOU. UH, JENNIFER? NO FOR ME. AND ABSTAIN FOR BILL. OKAY, GOTCHA. NO ABSTENTION. THANK YOU MUCH ONTO OUR IOUS. MARTHA? NO, THANK YOU. COREY. THANK YOU KEITH. [03:25:03] NO. OKAY, GOTCHA. KEITH. AND THEN JAY, I'VE GOT YOUR ABSTENTION IN CHAT. THANKS SIR. UH, EBY, I CAN TAKE YOU IN CHAT. EBY, I'LL COME BACK. HOW ABOUT AARON? GOT YOUR ABSTENTION IN CHAT. AARON, THANK YOU. ONTO OUR MUNIS, DIANA FOR DAVID, DIANA. OH, GOT YOUR, GOT YOUR NO. AND CHAT. DIANA. THANK YOU. ALICIA. NO. OOPS. THANK YOU. UH, JOSE? NO THANK YOU. AND CURTIS? NO THANK YOU. OKAY, AND LAST CALL FOR EBY. OH, GOT YOUR NO. AND CHAT. THANK YOU. MOTION FAILS. 42% IN FAVOR. 58% OPPOSED WITH SIX ABSTENTIONS. OKAY. OKAY, COREY. SO I BELIEVE WE CAN TAKE ANOTHER MOTION IF WE WANT TO, BUT CAITLYN DO NOT. I'M HAVING ALL SORTS. CAITLIN, CAN YOU HEAR ME? YES. OKAY, SORRY. I WOULD TRY TO GET INTO THE CHAT, BUT THAT'S NOT WORKING EITHER. I DON'T HAVE MUCH OF ANYTHING WORKING, SO I HAVEN'T BEEN ABLE TO DO ANYTHING TODAY. UH, I CAN MAKE ANOTHER MOTION IF YOU WOULD LIKE. LEMME JUST CHECK WITH I GO AHEAD. AHEAD. OKAY. GO AHEAD. OKAY. NO, NO, NO. MAKE, MAKE THE MO MAKE THE MOTION. ALL I WAS GONNA SAY IS IT SOUNDED LIKE THERE WAS SOME, SOME TALK WITH BETH AND EVERYTHING AROUND, AND, YOU KNOW, SOME OF THE COMMENTS WERE MADE BY, BY OTHERS THAT SOME OF THE OVERLAP ISSUE IS STILL OUT THERE. SO I WOULD MAKE THE MOTION THAT WE, THAT NED MADE, WITH THE EXCEPTION THAT WE WOULD NOT PROCURE TO BACKFILL, UH, THE RESPONSIVE RESERVE OR NOT RESPONSIVE REGULATION. IT WOULD BE JUST THE RESPONSIVE RESERVES. I THINK THAT'S WHAT BETH WAS TALKING ABOUT EARLIER, AND BETH CAN CORRECT ME IF I'M WRONG. THAT, THAT, THAT WAS ONE ASPECT THAT I TALKED ABOUT. UM, I'M, I ALSO, I ALSO THINK THREE HOURS AHEAD IS, IS A PREFERRED TIMEFRAME AS WELL. YEAH. OR FOUR. I COULD GO TO FOUR, SIX JUST SEEMS LIKE IN ETERNITY IN OUR MARK, IN OUR, GIVEN THE RESOURCES THAT WE HAVE. OKAY. WELL, I'LL, I'LL TRY THIS AND SEE WHAT HAPPENS WITH, WITH OKAY. MAKING THAT ONE CHANGE. SO THE, THE MOTION WOULD BE AS METHODOLOGY AS PRESENTED. CAN YOU GO BACK JUST MOTION? IT WOULD BE NED'S MOTION. YEAH, IT WOULD BE NED'S MOTION, UH, OF ELIMINATION OF THE RISK FACTORS. BUT ON THE BACKFILL FOR THE PROCUREMENT, IT WOULD ONLY BE BACKFILL FOR RRS AND NOT FOR RESPONSIVE. OKAY. I MEAN, FOR, FOR NOT RESPONSIVE FOR REGULATION. OKAY. DO WE NEED TO GO THROUGH AND MAKE THOSE RED LINES? YEP. WHERE, WHERE, WITH, WHERE WITHIN THAT DO, WHERE WITHIN THIS DOCUMENT DOES THAT ACHIEVE? OKAY, THAT STATED GOAL. SO WE'VE GOT THE, WE'VE GOT THE DEAD RED LINES ON SCREEN. SO WHAT ADDITIONAL RED LINES WOULD Y'ALL LIKE TO SEE TO TAKE? THE MOTION ITSELF WOULD LOOK EXACTLY THE SAME, BUT IT'LL JUST BE A DIFFERENT SET OF T REVISIONS. OH. BECAUSE IT'S JUST AS SUPERVISED BY T. CORRECT. SO WHAT'S ON SCREEN RIGHT NOW IS WHAT NED PROPOSED THAT FAILED, BUT IT SOUNDED LIKE BOB WANTED TO KEEP ALL THESE RED LINES, BUT THEN TAKE IT A STEP FURTHER. SO IF THAT STEP FURTHER SWAYS Y'ALL TO 66% IN FAVOR. YEAH, LET'S DO IT. LET'S GO FOR IT. BUT WE NEED TO GO THROUGH THE DOCUMENT AND MAKE THOSE RED LINES. OKAY. BUT BACK TO THE QUESTION I WAS GONNA REMIND PEOPLE OF, WE, WE DO NOT NEED TO GET THE 66% IN FAVOR. WE COULD TAKE THIS TO THE BOARD BECAUSE WE'RE NOT REQUIRED TO [03:30:02] RECOMMEND THAT'S TRUE. WE, RIGHT, RIGHT. COREY, WE COULD TAKE THIS TO THE BOARD AS WE TOOK ONE VOTE AND IT FAILED, OR WE TOOK NO VOTES. WE, WE DON'T NEED TO DO ANYTHING UNLESS WE WANT TO. IS THAT RIGHT? YES. YOU, YOU GUYS HAVE FREE WILL. OKAY. YOU DON'T HAVE TO DO ANY OF THIS IF YOU DON'T WANT TO. WELL, YOU KNOW, YES, YOU'RE, BUT YES, IT'S NOT REQUIRED. IT'S JUST IN TERMS OF THE DISCUSSION AT THE BOARD IN SO MUCH AS YOU GUYS THINK A SECOND OR THIRD POTENTIALLY SUCCESSFUL VOTE, OR EVEN A SECOND OR THIRD FAILED VOTES, IF THAT ANSWERS ANYONE'S QUESTIONS AT THE BOARD OF DID YOU THINK ABOUT X, Y, Z? TO BE ABLE TO POINT TO THOSE TO SAY, YEP, WE SURE DID. BUT THAT YOU'RE RIGHT THERE, THERE IS NO BLACK LINE FOR WHAT THAT IS. IT'S, IT'S Y'ALL'S DISCRETION. OKAY. BOB, DO YOU, BOB, SO THAT'S A MOTION, CORRECT? WELL, I, I'M, I'M NOT SURE WHERE WE WOULD MAKE THOSE CHANGES OFF THE TOP OF MY HEAD. WE'D HAVE TO GO BACK THROUGH THAT. SO IF YOU WANT TO JUST LEAVE IT AS IT IS AND WE'LL TALK ABOUT IT AT THE BOARD AT, YOU CAN TALK ABOUT THAT. OUR FEELINGS, LET OUR FEELINGS BE KNOWN AT THE BOARD. I I GUESS THAT IT'S NOT AS GOOD OF AN ANSWER, BUT I'M NOT SURE THAT IT'LL GET 66% ANYWAY, SO. OKAY. WELL IF YOU'D LIKE TO MAKE THE MOTION, MAKE THE MOTION. I'M JUST TRYING TO DETERMINE WHETHER WE, WE NEED THE, WELL, LET'S TRY AND SEE WHAT HAPPENS SECOND. SO YOU KNOW WHERE THAT, THAT OKAY, THAT, YEAH, IF, IF COREY CAN FIND THAT WE, WE CAN MAKE THAT AND JUST SEE WHAT HAPPENS. I THINK DEB FOUND IT. I THINK IT, YEAH, I THINK IT'S ON PAGE SIX, THAT BOTTOM PARAGRAPH. UM, OKAY. CAN I ASK FOR A SECOND THOUGH? WE DON'T HAVE A SECOND ON THIS MOTION. THAT'S, YEAH, SO IF WE DON'T GET A SECOND, WE'RE NOT MAKING LINES. WE SHOULDN'T DO THIS. SO , SO THERE IS SECOND ON BOB'S MO. SO IT'S, IT'S A REAL MOTION, BOB, CORRECT. AND, UM, YES. IS THERE SECOND ON BOB'S MOTION? AND THAT'LL SECOND. OKAY, GREAT. OKAY, SO LET'S MAKE THE RED LINES. OKAY, SO I, SO HERE'S, HERE'S THE LINE NED WAS TALKING ABOUT OF RESERVES DROPPING BELOW THE SUM OF PROCURED REG UP AND RRS. SO JUST WE DON'T NEED THE RIGHT, THAT, THAT, THAT, YEAH, THAT'S IT. THAT MADE IT EASY. DO WE NEED THE SUM ANYMORE SINCE WE'RE NOT ADDING GREGG UP TO RS, WE JUST BELOW THE PROCURED RS. YEP. YEAH, THAT'S IT. OKAY. LET ME TAKE, WE, WE HAD A COMMENT COME IN FROM, FROM PUC STAFF AS WELL AS FROM OUR CUP STAFF. SO LET ME TAKE THOSE WHILE WE'RE TRYING TO SORT THIS, UH, IKA. YEAH, THANK YOU. I WAS JUST GONNA UNDERSTAND THIS MOTION. WHAT IS IT DOING? AND I WANT TO SPEAK TO IT BECAUSE I DON'T UNDERSTAND YOU ARE CHANGING THE CONTING ARIA. I THOUGHT THAT WAS REALLY NON-NEGOTIABLE FOR T INSTEAD, MAYBE THEY ARE OPEN TO 2,500 IN THIS 3000. SO I JUST WANNA NIKA TO ANSWER THAT. WHAT IS THIS MOTION I REALLY WANNA UNDERSTAND AND WHAT DOES THINK ABOUT THIS MOTION? OKAY. UM, IS BETH PERHAPS THE BEST PERSON TO START WITH ON WHAT THE MOTION IS? WELL, WE CAN'T, I MEAN, WE, YOU CAN, I MEAN, THAT'S ALREADY BEEN DISCUSSED. I MEAN, BETH TALKED ABOUT IT AND IMM ALSO TALKED ABOUT, YOU KNOW, THE NEED. WHY DO WE HAVE THAT, UH, BACKFILL OF, OF EITHER ONE OF THEM ACTUALLY, I BELIEVE IS WHAT THE IMM SAID. I DON'T WANNA PUT WORDS IN THEIR MOUTH. SO I, I WAS JUST TRYING TO MAKE A, A BABY STEP INTO THE PROCESS TO TRY TO SEE IF WE CAN GET SOMETHING WE CAN AGREE ON. OKAY. SO WE'RE, WE'RE CHANGING THE BACKFILL ASPECT WITH THE GOAL OF, AND THE NAME OF COMPROMISE. AND SO I KNOW YOU'RE IN THE QUEUE, MATT, BUT SHOULD WE HAVE LUIS COMMENT ON ER'S POSITION ON THE SUBSTANCE THERE? THIS IS LUIS. I'M HERE. THANKS LUIS. UM, SO ONE IS, UM, ACTUALLY, LEMME MAKE SURE I UNDERSTOOD THE MOTION [03:35:01] IS EVERYTHING HERE IS STAYING THE SAME AS THE LAST MOTION. SO WE'RE STILL USING SIX HOURS AHEAD, WE'RE USING ZERO RISK CREDIT AND NOW THIS IS SAYING ONLY COVER RRS? CORRECT. OKAY. ONE, OUR STANCE IN OUR PROPOSED METHODOLOGY IS, IS WE, WE WANT, WE WANT TO ENSURE THAT WE HAVE A HUNDRED PERCENT OF REG PLUS RS I'LL REMIND EVERYBODY OF THAT. AND THEN THE SECOND PIECE, WE, THIS SCENARIO IS NOT PART OF OUR 900 SCENARIOS. SO IT, IT, IT IS A LITTLE BIT HARD TO QUANTIFY TO BE ABLE TO GO AND LOOK AT THIS. UM, WE DID PORTIONS OF REG UP PLUS RRS AS AS OPTIONS FOR THIS, BUT NOTHING SPECIFICALLY FOR ONLY COVERING RRS. SO KNOWING THE SPECIFIC OUTCOME IN THIS I IS, IS HARD TO, TO GAUGE WELL, IN, IN SIMPLE TERMS, AND THIS, THE, THE, IT'S NOT, IT'S NOT DETAILED AND IT'S NOT AN ACCURATE REFLECTION, BUT IN SIMPLE TERMS, REG UP IS IN THE, YOU KNOW, IT'S 500 MEGAWATTS OR SO. AND SO WE WOULDN'T HAVE TO COVER THAT. AND IN SO MUCH OF THE DISCUSSION THAT OTHER TYPES OF CHANGES THAT WE'VE MADE, THINGS LIKE THE 3000 MEGAWATTS DOWN TO 2,500 MEGAWATTS, IT DIDN'T MATTER BECAUSE REG PLUS, UM, REG PLUS RESPONSIVE EXCEEDED THAT AND WE WERE, YOU KNOW, ERCOT WAS BOUND BY THAT. NOW IF THAT'S A HILL THAT ERCOT ISS GONNA DIE ON, UM, YOU KNOW, YOU'VE MADE YOUR POSITION KNOWN AND, AND I HAPPEN TO DISAGREE WITH IT, BUT I'M NOT OPERATING THE SYSTEM. SO THAT'S, UH, YOU KNOW, I'M JUST A LOUD MOUTH IN THE VOICE, IN THE CROWD. UM, WE COULD HAVE THIS VOTE AND SEE WHAT HAPPENS AND ERCOT AT THE BOARD COULD SAY, THIS IS UNACCEPTABLE TO US AND THE BOARD COULD, YOU KNOW, WE'LL DO WHAT THEY WANNA DO. OKAY. AGREE, BETH. OKAY, SO THE MOTION IS THE SAME. IT'S NED'S MOTION EXCEPT WE'RE ONLY COVERING OUR S AND NOT WRITE UP. COREY, DO YOU HAVE WHAT YOU NEED, BRIAN? WHAT IS YOUR QUESTION? NO FOOD ANALOGIES. BRIAN, GO AHEAD, BRIAN. OKAY. WELL, BRIAN, WE'RE FILMING WITH MIKE, UM, WHICH HAS HAPPENED TO MANY OF US TODAY. COREY, DO YOU, DO YOU HAVE WHAT YOU NEED ON THE LANGUAGE? YES, MA'AM. OH MY GOSH. AMAZING. OKAY. GREAT JOB. COREY. . COREY GETS THE GOLD STAR. NOBODY ELSE DOES. ALL RIGHT, BRIAN, HOW'S THE MIC? HOW'S THE MIC DOING? THAT'S THE, OR WATCH IN THE MIDDLE OF THE PARAGRAPH'S WORK PROCURED RS OR THE WATCH THRESHOLD? OH, I THINK THAT'S LUIS QUESTION. YEAH, SO IF YOU COME TO THIS MATCH MATH HERE, RIGHT? SO YOU'RE COVERING REG PLUS RRS, THE MAXIMUM OF REG PLUS RS OR THIS WATCH. SO IN THE PROPOSED, YOU ARE SAYING REG IS NOT ACCOUNTED FOR, YOU STILL WANT A HUNDRED PERCENT OF RRS. SO THE MAXIMUM OF RRS OR WATCH IS WHAT WILL SET THE THRESHOLD HERE. OKAY. THAT BOB AND NED DOES THAT STILL, DOES THAT INTACT HOW YOU FEEL ABOUT YOUR MOTION IN ANY WAY BECAUSE IT'S STILL THE MAX OF THAT OR THE WATCH? WELL, I BELIEVE THAT'S THE WAY THAT WE'RE GONNA DO IT WHENEVER THEY WERE DOING BOTH, RIGHT? YEP. SO, SO YEAH, THIS IS THE ONLY CHANGE. YES. BUT IF DEPENDING ON WHAT YOU THINK IS THE MAX MORE, IT MAKES LESS OF AN IMPACT. I THINK IT'S BRIAN'S POINT, BRIAN, CORRECT? BECAUSE IF YOU STILL HAVE THE OTHER VERSION THAT'S COULD BE THE MAX THERE, THEN CHANGING THE FIRST OPTION POTENTIALLY MAKES LESS OF AN IMPACT. [03:40:04] I BELIEVE IT'S THE POINT BRIAN'S TRYING TO MAKE BRAIN GOLD STARS. YEAH. YEAH. I'M TRYING TO THINK THROUGH THAT. UH, LET'S TAKE IT OUT AND JUST MAKE IT TO RRS. LET'S SEE WHAT HAPPENS. ARE YOU OKAY WITH THAT NED? AS A SECONDER? UH, I, I DISAGREE WITH BRIAN'S COMMENT IN THE CHAT. SO MUCH OF THE DISCUSSION, THE TRADE-OFFS BETWEEN THINGS LIKE 3000 MEGAWATTS OR 2,500 MEGAWATTS HAVE NOT MADE MUCH DIFFERENCE BECAUSE THE SUM OF RESPONSIVE PLUS REG HAS BEEN, HAS BEEN A BIGGER NUMBER. IT'S ALWAYS GONNA BE GREATER THAN THE EXACTLY. MOST OF THE TIME THAT'S GONNA BE GREATER THAN THE 3000 IS THAT'S, I MEAN THAT'S WHAT I'VE BEEN HEARING ALL THAT'S THE QUESTION, RIGHT. WHICH IS GONNA BE GREATER MOST OF THE TIME. YEAH. YEAH. LET'S JUST LEAVE IT. YEAH. AND SO BY TAKING THINK, TAKING THE REG OFF, IT BRINGS THAT, THAT QUANTITY BACK DOWN MORE COMPARABLE WITH THAT 3000 WATCH. AND THEN THEREFORE YOU MIGHT SEE SOME IMPACT OF TAKING 3000 MEGAWATTS DOWN TO 2,500 MEGAWATTS. UM, YOU KNOW, IT'S SMALL THAT, BUT IT FEELS LIKE IT'S THIS SUM IT THAT, THAT ERCOT IS, IS THE SUM IS ALWAYS GONNA BE GREATER THAN THE 3000. IT FEELS LIKE THAT'S HAD THE BIGGEST IMPACT. AND ERCOT IS, HAS EXPRESSED THE STRONGEST INTEREST IN MAINTAINING, FRANKLY, THAT LET'S LEAVE IT AS THE SUM, AS THE HIGHER UP. YEAH, LET'S LEAVE IT. THAT'S GOOD COMMENT, BETH. THANK YOU. LET, LET'S LEAVE IT. LET'S, LET'S RUN THIS MOTION, COREY, AND THEN, UH, YOU KNOW, LET'S EAT, EVEN IF PEOPLE DON'T WANNA REVISIT THIS AFTER LUNCH AS REVISED BY TECH VERSION TWO OR SOMETHING, OR WE JUST KNOW IT'S THIS VERSION MOTION IS EXACTLY THE SAME, RIGHT? CORRECT. THE MOTION IS EXACTLY THE SAME. IT'S JUST THE SET OF REVISIONS AS WHAT WOULD GO TO THE BOARD IF, IF THIS ONE PASSES. AND THEN OTHERWISE YOU JUST HAVE TWO FAILED MOTIONS TO TALK ABOUT AT THE BOARD. THAT'S GREAT. AND IF, IF I COULD GO OUT ON A LIMB ON BEHALF OF ALL OF THE CONSUMERS, UH, COULD I REQUEST THAT WE AS A SEGMENT, WE VOTE LAST ON THIS VOTE? OR YOU NOT START WITH US? I, I DON'T CARE. COREY, DOES IT MATTER? IT DOESN'T MATTER WHEN WE HIT TALLY. IT'S, IT, IT, WE'VE, WE, WE'VE CERTAINLY HAD FOLKS SAY, COME BACK TO ME LATER. 'CAUSE FOLKS LIKE TO SEE WHERE, HOW THE VOTE'S GONNA SHAKE OUT BEFORE THEY VOTE. BUT AGAIN, THAT IT'S THE, AT SOME POINT IT BECOMES LET'S VOTE ON THE VOTING ORDER SO THAT EVERYONE WILL DO, WILL HOST A DRAFT AND DECIDE WHO GETS TO PICK FOR WHO GETS TO VOTE FIRST SO THEY GET TO WATCH. BUT IF, IF, IF YOU'RE COOL WITH IT, CAITLIN, I'LL JUST JUMP DOWN TO CO-OPS AND START THERE. BLAKE, ARE YOU COOL WITH IT? I THINK THE GENERATORS CAN VOTE FIRST, RIGHT? I STILL LIKE WE'RE COOL WITH IT. SO IF YOU WANNA START WITH THE GENERATORS SO THAT CO-OP AND CONSUMERS OKAY. TO VOTE FIRST. LET'S, LET'S START WITH THE GENERATORS. ALL RIGHT. ALL RIGHT. WE'LL START WITH NED AND THEN YOU CAN GO BACK TO THE CO-OPS. WILL DO. ALL RIGHT. WE'LL GO INDEPENDENT GENERATORS, THEN CO-OPS, THEN THE REST OF THE BALLOT, THEN WE'LL GO BACK TO CONSUMERS. SORRY, NED. THAT'S ALL RIGHT. FOR THE RECORD, I THINK THERE'S, THERE'S MAYBE SOME VALUE TO RANDOMIZING THE VOTING ORDER. UM, JUST FOR, JUST FOR FUN. KEEP IT INTERESTING, BUT, UH, OKAY. LET'S VOTE. LET'S JUST VOTE. YES. THANK YOU, CORY. OKAY. THANK YOU NED. BRIAN, I CAN TAKE YOU IN CHAT. BRIAN GOT YOU. GOT YOUR YES IN CHAT, BRIAN. THANK YOU. BOB HILTON. YES, SIR. THANKS SIR. CAITLIN? YES, THANK YOU. UP TO THE CO-OPS BLAKE. NO THANKS SIR. KYLE? YES. THANK YOU, JOE, DAN FOR MIKE ABSTAIN. OKAY, GOT YOUR ABSTENTION. THANK YOU, SIR. UH, LUCAS FOR JOHN ABSTAIN. OKAY, THANKS SIR. HEAD TO OUR IPMS. JEREMY ABSTAIN. OKAY, THANK YOU. SETH ABSTAIN. [03:45:02] THANKS SIR. UH, SHANE FOR RASHMI? UH, YES SIR. THANK YOU. THANKS, SIR. IAN ABSTAIN. THANK YOU. THANKS SIR. ONTO OUR IRES. JAY GOT YOUR ABSTENTION IN CHAT, JAY. THANK YOU. CHRIS ABSTAIN. THANKS SIR. THANKS, JENNIFER. NO, FOR ME ABSTAIN FOR BILL. GOTCHA. NO, AND ABSTAIN. THANK YOU. ONTO THE IOUS. MARTHA? NO, THANK YOU KEITH. NO, THANK YOU. EBY. I'LL COME BACK TO EBY. HOW ABOUT AARON ABSTAIN? AARON, GOTCHA. IN CHAT, THANK YOU. ONTO THE MUNIS. DIANA FOR DAVID? NO. OKAY. THANK YOU. AND ABBY, I'VE GOT YOUR NO IN CHAT. THANK YOU DR. MUNIS. ALICIA? NO, THANK YOU JOSE. NO, THANK YOU. AND CURTIS? NO, THANK YOU. AND NOW WE WILL HEAD UP TO THE CONSUMERS. GARRETT. NO, SIR. THANK YOU, MIKE. NO THANKS. THANK YOU, BETH. SORRY I WAS, I WAS CAUCUSING. UH, UM, THAT'S A NO. ALRIGHT, WILL. NO THANK YOU. THANK YOU NICK. NO, NO, THANK YOU. GOTCHA. NICK. THANK YOU. AND THEN BETH FOR CHRIS IS ALSO A, NO. OKAY. THANK YOU. UH, THIS MOTION FAILS 29% IN FAVOR. 71% OPPOSED WITH NINE ABSTENTIONS. OKAY. I AM GOING TO, SINCE WE TAKE A BREAK, UM, WE HAVE BEEN TALKING ABOUT THIS FOR A LONG TIME. IT IS IMPORTANT. SO I WILL NOT CLOSE CONVERSATION IF PEOPLE WANT TO CONTINUE TO TALK ABOUT THIS. AND IF WE NEED A FEW MINUTES FOR PEOPLE TO EXPLORE OTHER MOTIONS, IF THEY, THEY WANTED OTHER MOTIONS, UM, YOU KNOW, WE, WE CAN, WE CAN DO THAT NOW, BUT I, I THINK WE, WE NEED TO TAKE A BREAK IN THE NEXT FIVE MINUTES. UM, AGAIN, WE, WE HAVE BEEN REQUESTED BY ERCOT TO HAVE AN ENDORSEMENT. I THINK THE BOARD LIKES GETTING OUR OPINIONS AND OUR ENDORSEMENT AS WELL. WE'RE NOT REQUIRED TO GO TO THEM WITH THE UP VOTE OR ANY VOTE ON THIS. WE, WE HAVE TWO NO VOTE. SO WE CAN EXPLAIN WHAT HAPPENED. UM, YOU KNOW, IT, WE'VE GONE OFF RAIL IN SEVERAL WAYS. SO I THINK, UM, I THINK, YOU KNOW, IT'S A, IT'S A BROADER CONVERSATION, NOT JUST FROM THIS MEETING THOUGH, KIND OF TALKING ABOUT HOW WE DO THIS METHODOLOGY. YOU KNOW, IT'S ONLY BEEN TWO YEARS THAT WE'VE NEEDED TO DO IT THIS EARLY FOR, UM, COMMISSION APPROVAL BY THE END OF THE YEAR. AND THAT OF, OF COURSE, VERY TECHNICAL AND SO HARD SOMETIMES TO ASK FOR ADDITIONAL SCENARIOS ON A COMPRESSED TIMELINE. BUT I, I THINK WE NEED TO BE THINKING ABOUT A BETTER WAY TO REALLY VET THESE THINGS AND, AND GET TO COMPROMISES IF THAT'S WHAT'S DESIRED, UM, NEXT YEAR. AND I THINK THAT MEANS, YOU KNOW, OR EARLIER FEEDBACK FROM STAKEHOLDERS AND, AND FROM THE, THE IMM. BUT FOR TODAY, YOU KNOW, AGAIN, IT'S, IT IS A REALLY IMPORTANT TOPIC. I'M NOT GONNA CUT IT OFF IF PEOPLE WOULD LIKE TO CONTINUE TO MAKE MOTIONS AND HAVE THE DISCUSSION, BUT WE AREN'T REQUIRED TO. AND I AM GONNA INSIST ON A BREAK. BUT IF THERE'S THAT BEING SAID, IF THERE'S ANYTHING SOMEBODY KNOWS THAT THEY WILL WANT TO CONTINUE TO, TO DISCUSS OR HAVE A MOTION ON, LET'S, LET'S KIND OF GET THAT ON THE TABLE NOW IN CASE THERE'S RED LINES OR DISCUSSION REQUIRED. I DON'T SEE ANYBODY IN THE QUEUE. I GUESS THE ONLY THING I MIGHT SUGGEST IS THAT, UM, [03:50:01] IF, IF ERCOT RECOMMENDATION IS GOING TO BE THEIR RECOMMENDATION, YOU KNOW, IF, IF WE WANNA TAKE AN UP OR DOWN VOTE ON THAT JUST TO REFLECT TO THE BOARD WHERE WE ARE ON, ON THAT PROPOSAL AS PRESENTED BY ERCOT, THAT COULD BE HELPFUL BECAUSE WE HAVEN'T DONE THAT. YEAH, IAN, THAT'S TOTALLY VALID. LET'S, LET'S TAKE BLAKE'S COMMENT THOUGH. UM, AND THEN LET'S, LET'S COME BACK AFTER THAT. UM, HOW MUCH TIME ARE YOU GIVING US FROM LUNCH? WELL, LET'S TAKE, LET'S LET BLAKE TALK AND THEN LET'S FOR LUNCH. I DON'T KNOW. WE, WE CAN, WE CAN TAKE A VOTE ON HOW LONG WE SHOULD HAVE FOR LUNCH. HALF AN HOUR UNTIL, I GUESS AT THIS POINT, UNTIL TWO. RIGHT? SO ALMOST HALF AN HOUR. BUT GO, GO AHEAD, BLAKE. BLAKE HOLE. LCRA. CAITLIN WON'T LET IAN SHUT YOU DOWN. GO AHEAD. I'M OKAY TO HOLD MY COMMENT. UM, MAYBE I CAN MAKE A SPECIAL REQUEST. UH, CAN I HAVE THE FIRST COMMENT AFTER WE GET BACK FROM LUNCH? YEAH, OF COURSE. ALRIGHT, THANK YOU. OKAY. OKAY. TWO O'CLOCK. OKAY. WHAT'S EVERYBODY? ALL RIGHT, SEE YOU AT TWO. YES, BLAKE, ARE YOU READY? YOU WANNA KICK US OFF? I'M READY. UH, BLAKE HOLT, LCRA. I'D LIKE TO PROPOSE A MOTION FOR THE 2027 AS METHODOLOGY AS PROPOSED BY ERCOT. I LOVE THAT. OKAY. MARTHA'S GONNA SECOND. COREY, I DON'T THINK YOU NEED ANYTHING FROM ME, RIGHT? NOPE. IT SHOULD BE GOOD. UNLESS , UNLESS THIS MOTION FAILS. 'CAUSE THERE'S NOT ENOUGH PEOPLE HAVE COME BACK FROM LUNCH YET, BUT THERE'S ONLY ONE WAY TO FIND OUT. WELL, THE CONSUMERS CAN GO OFF. IT'LL BE FINE. OKAY. YOU WANNA MAINTAIN THAT ORDER FOR THIS VOTE OR SHOULD WE RE RESHA IT? NO, I DO NOT. LET'S, LET'S KEEP, LET'S DO, LET'S DO ORDERS AS DESIGNED BY WHOEVER DESIGNED THEM. ALRIGHT? YEAH, I, UH, IT'S ALPHABET ONE CONSUMER. I'M HAPPY TO GO FIRST. SO, ON THIS VOTE? YEAH. ALRIGHT, THEN ON THE, I THINK, I THINK IT'S ALPHABETICAL, CORRECT. ALRIGHT, LET'S GO TO, TO AVOID ANY APPEARANCE OF FAVORITISM. IT WAS JUST ORIGINALLY SET UP ALPHABETICALLY, BUT, UM, SO ON THE MOTION TO ENDORSE THE AS METHODOLOGY AS PRESENTED BY ERCOT, WE WILL START UP WITH THE CONSUMERS. WITH GARRETT? NO, SIR. OKAY. THANKS SIR. MIKE? NO THANK YOU BETH. NO, THANK YOU. WILL, NO, THANK YOU. NICK, I CAN COME BACK TO YOU, NICK, OR TAKE YOU IN CHAD IF YOU'RE WRESTLING WITH THE MIC. HOW ABOUT BETH? FOR CHRIS? THAT'S ALSO A NO. OKAY. GOTCHA. THANK YOU. ONTO THE CO-OPS, BLAKE? YES. THANK YOU KYLE. SEEING KYLE WITH US ANYMORE, ACTUALLY, UH, JOE, DAN FOR MIKE, COME BACK FOR JOE DOWN LUCAS FOR JOHN. YES, THANK YOU. OH, I GOT YOUR YES IN CHAT, JOE, DOWN. THANK YOU. ONTO OUR INDEPENDENT GENERATORS. NED, COME BACK TO ME, COREY. SURE. BRIAN, COME BACK TO BRIAN. OR I CAN TAKE YOU IN CHAT. BRIAN. HOW ABOUT BOB HILTON? MAN, ABSTAIN. A PAINFUL ABSTENTION. GOTCHA. HOW ABOUT CAITLIN? YES. THANK YOU. ONTO OUR IPMS. JEREMY ABSTAIN. THANK YOU. [03:55:01] THANK YOU, SETH. HOW ABOUT SHANE FROM, FOR REMI? UH, I'LL, UH, I'LL ABSTAIN. OKAY. THIS IS SETH. I ABSTAIN. THANK YOU. OKAY, THANKS SETH. GOT YOUR ABSTENTION. IAN, I'LL, UH, I'LL STICK WITH THE CREW AND ABSTAIN. THANK YOU. ALL RIGHT, THANKS SIR. AND THE IRES. JAY, I GOT YOUR ABSTENTION. JAY. THANK YOU. CHRIS ABSTAIN. THANK YOU. JENNIFER? NO, FOR ME? YES, FOR BILL BARNES. ALRIGHT, , FAIR ENOUGH. AND THEN ONTO THE IOUS. MARTHA, ABOUT YES. THANKS COREY. THANK YOU. KEITH. YES. THANK YOU. EBY. HOW ABOUT AARON? GOT YOUR YES IN CHAT. AARON, THANK YOU. ONTO THE MUNIS, DIANA FOR DAVID A THING. OKAY, THANK YOU. ALICIA. ABSTAIN. THANK YOU JOSE. UM, YES, THANK YOU. AND CURTIS? YES. OKAY, THANK YOU. ALL RIGHT. GOING BACK UP FOR LAST CALLS. UH, NICK FEHRENBACH UP WITH THE CONSUMERS DON'T HAVE KYLE. UH, NED, YOU READY? I'M GONNA SAY THIS THROUGH GRITTED TEETH. I'M GONNA PULL UP BRIAN SAMS WITH AN, I HATE THIS, BUT YES. BEGRUDGING. YES. WE'LL TAKE IT. UH, BRIAN, SPEAKING OF BRIAN SAMS, ARE YOU, YOU WITH US? ALL RIGHT, O'BRIEN. OH, GOT YOUR YES IN CHAT. BRIAN. THANK YOU. HEY, COREY, SIR? YEAH, THIS IS BOB. CHANGE ME TO A BEGRUDGING. YES. I HATE ABSTAINING. SO GO AHEAD AND DO THAT. YOU HAVEN'T TALLIED YET. OKAY. UM, AND ASK AND THEN, YEAH, I'VE GOT E'S AT THE CHAT AND I THINK THAT'S EVERYBODY UNLESS KYLE MINOX REJOINED SHOULD NOT SEE HIM. OKAY. MOTION CARRIES 70% FOR 30% AGAINST WITH EIGHT ABSTENTIONS. OKAY. COREY, THAT THIS, CHRIS, THAT WAS SOMETHING. GO AHEAD. GO AHEAD CHRIS. ON THE, ON THE UH, EXCEL SHEET AT THE TOP, DID IT SAY MOTION FAILS OR PASSES? IT DOES SAY MOTION FAILS. UH, DO YOU MEAN MANY ABSTENTIONS? YEAH, TOO MANY ABSTENTIONS. YOU DON'T HAVE, THERE'S 30 MEMBERS AND YOU ONLY HAVE 14 EYES. THERE HAS TO BE, UH OH. YEP. FAIR ENOUGH. SORRY, I'M JUST, I'M SO FOCUSED ON THE PERCENTAGES. YES, YOU'RE CORRECT. I'M SO SORRY. THE MOTION FAILED. THE PERCENTAGES ARE CORRECT, BUT YES, MOTION FAILS BECAUSE LESS THAN HALF OF TAC VOTED IN FAVOR OF IT. SORRY FOR THAT. OKAY. IT WAS WEIRD. UM, IF ANYBODY WANTS TO ASK WITH THIS ONE, , CAITLYN HAVE FUN WITH THIS ONE AT THE BOARD. YEAH. THEN I ASSUME WE DON'T WANNA TAKE ANY MORE VOTES ON THIS. [04:00:08] HE IS ASKED BY THE PERSON WHO HAS TO EXPLAIN IT TO THE BOARD. WELL, I THINK, YOU KNOW, I HAVE WAYS OF DELEGATING, UM, LET, LET'S GO TO . PREFERENCE IS ALWAYS TO HAVE SOME STAKEHOLDER ON SENSES AND SOME SUPPORT, RIGHT? IT'S NOT LIKE ERCOT VERSUS THE STAKEHOLDERS OR, SO IS THERE ANY OTHER VERSION? EMOTION? ERCOT CAN LIVE IT BECAUSE I REALLY, WE NEED ERCOT TO BE ON BOARD AND MAJORITY OF STAKEHOLDERS TO BE ON BOARD. THEN, YOU KNOW, THE BOARD DISCUSSION WILL BE MUCH EASIER. I'M JUST ASKING TIKA BETWEEN NOW AND THE BOARD, OR MAYBE AT THIS MEETING, IS THERE ANY OTHER VERSION MAY BE COMFORTABLE WITH GETTING CUSTOMERS ON BOARD AND SOME OTHER PEOPLE ON BOARD, BUT NOT GOING AS FAR AS I'S PROPOSAL? AND I'M SORRY IF I'M PUTTING YOU ON THE SPOT, NIKA, LET'S GO IKA, RIGHT? UH, SO THANK YOU FOR THE PROMPT. UH, AND RIGHT NOW WE'VE, AFTER HAVING LOOKED AT ALL THE DATA TO US, WE, YOUR ALTERNATIVE AT LEAST THAT WE WILL BE COMFORTABLE WITH IS EVERYTHING THAT WE'VE PROPOSED, BUT WITH THE THRESHOLD OF 2,500. SO ITS RESULTS WERE WHAT LUIS HAD SHARED ON PRETTY MUCH THE SECOND LAST SLIDE. IT'S STILL A SIX HOUR HEAD RISK WITH THE SAME CREDITS THAT WE'VE PROPOSED. ONE IN 10, 2500 WOULD BE THE THRESHOLD IF THAT IS SOMETHING THE STAKEHOLDERS CAN CONSIDER. WHAT, SO WHAT WAS THAT NETIKA? THE THRESHOLD WOULD BE 2,500. SO EEA ONE AND NOT A WATCH INSTEAD OF 3000, RIGHT? SO IT WOULD BE, WE WOULD BE STARTING WITH ERCOT RECOMMENDATION, BUT REDLINING THE THRESHOLD FROM THE WATCH AT 3000 TO THE EEA ONE AT 2,500. AND THE IMM PROPOSAL WAS WHAT? THE, WAS LOAD SHE 1500 ON THRESHOLD. THEY ARE AT LOAD, SHE 1500 ANSWER. BACK TO BRIAN SAM. SAME RISK CREDIT AS WHAT SAME WE ALREADY HAVE. YEAH, EVERYTHING SAY'S THE SAME IN T'S PROPOSAL, EXCEPT THE 3000 GOES TO THE 2,500. THAT WOULD BE THE ONLY THING ERCOT IS WILLING TO SUPPORT. OKAY. UM, LET ME MAKE, MAKE A COMMENT AND THEN LET ME TAKE, TAKE THE QUEUE. I THINK THAT'S A A, A VERY GOOD QUESTION. YOU KNOW, THIS ONE IS A LITTLE BIT DIFFERENT THAN A REVISION REQUEST. YOU KNOW, IT'S, IT'S NOT A GATING ITEM, BUT IT NEEDS TO CLEAR PACK. WE, THE, THE ENDORSEMENT OF COURSE IS WANTED. AND I, YOU KNOW, REALLY APPRECIATE THAT THAT COMMISSION AND COMMISSION STAFF OF THE BOARD APPRECIATE OUR, OUR FEEDBACK. BUT I THINK, YOU KNOW, IT'S A LITTLE BIT DIFFERENT IN A REVISION REQUEST AND WHAT, WHAT WE ENDORSE IS, IS NOT A GATING ITEM. SO I THINK WE CAN THINK ABOUT IT THAT WAY AS WELL. YOU KNOW, ERCOT IS ULTIMATELY GONNA MAKE THE PROPOSAL THAT THEY FEEL COMFORTABLE WITH BECAUSE THEY ARE OPERATING THE GRID. BUT I, I THINK IT'S GOOD TO GET THAT FEEDBACK FROM IKA. LET ME GO THROUGH THE QUEUE AND SEE IF ANY OF THESE ARE, ARE MOTIONS. UM, HERE'S IN THE QUEUE. JEFF, DID YOU WANNA RESPOND TO, TO THIS PROPOSAL OR TO NETA OR TO ME OR TO ANYBODY ELSE? LET'S GO TO JEFF FIRST. I, I APPRECIATE THAT. SO I, UM, I WAS JUST CURIOUS. I, I KNOW IT'S THE, UH, REG PLUS RRS THAT DRIVES THE PROCUREMENT, UM, LARGELY, SO I'M CURIOUS IF THERE'S A SENSE, I I THINK PREVIOUSLY, I, I DON'T KNOW IF WE RE-ESTIMATE THIS PROPORTION, BUT PREVIOUSLY IT WAS LIKE 63% OR 65% OF THE TIME THAT THE PROCUREMENT WAS DRIVEN BY THE REG PLUS RRS REQUIREMENT. AND SO DROPPING THE CRITERIA FROM A WATCH, AND I, I, I, I'M GLAD TO SEE ERCOT WILLING TO MOVE THAT DIRECTION, BUT DROPPING THAT FROM A WATCH TO A EEA ONE, I THINK I'M, I'M NOT SURE WHAT THAT'S GONNA DO TO PROCUREMENT GIVEN THE ROLE THAT REAGAN RRS HAS IN THIS, BUT [04:05:01] I'M, I'M CURIOUS IF NITKA HAS A SENSE OF THAT, OR IF THAT'S EASILY TEASED OUT OF THE, THE SIMULATION RESULTS THAT ARE AVAILABLE. THANK YOU. OKAY. NITKA DO YOU HAVE A RESPONSE TO THAT? YEAH, I THINK THE, THE INFORMATION, JEFF FAIR POINT. THE INFORMATION, UH, IS ACTUALLY IN LUIS'S SLIDES AND FROM A QUANTITY PERSPECTIVE, THERE IS A SMALL REDUCTION IN QUANTITIES, NOT A DRASTIC REDUCTION IN QUANTITIES. BUT SOMETHING THAT LUIS HAS ALSO POINTED OUT IS THIS THRESHOLD OF COURSE PLAYS, UH, YOU KNOW, WE WERE TALKING ABOUT HOW DO DEMAND CURVE PLAY A ROLE IN, IN INCENTIVIZING BEHAVIOR. THIS THRESHOLD ALSO PLAYS A ROLE IN OTHER OWN PROCEDURES, UH, WHICH USE RISK-BASED ASSESSMENT. SO THERE WILL BE SOME BROADER IMPACT OF MOVING FROM 3000 TO 2,500. WE'VE NOT QUANTIFIED ALL OF THEM, I CAN'T DIRECTLY SPEAK TO IT, BUT AT AT LEAST STRICTLY FROM A QUANTITY PERSPECTIVE, THERE IS A SMALL IMPACT ONLY OF THIS CHANGE. BUT IT DOES MOVE US IN A DIRECTION WHERE WE ARE NOT PROTECTING FOR A WATCH, BUT WE ARE PROTECTING TOWARDS, UH, EEA ONE. I'LL PAUSE RIGHT THERE. OKAY. JEFF, DID YOU WANNA RESPOND OR CAN WE MOVE ON TO THE QUEUE? UM, I, I, I THANK YOU, UH, FOR ANOTHER OPPORTUNITY, UM, SUE AND THANK YOU IKA FOR THE RESPONSE. UM, SO I APPRECIATE THAT. THAT'S, THAT'S SORT OF WHAT I EXPECTED. AND, AND LIKE I SAID, I I AM, UM, I'M GLAD TO SEE ERCOT WILLING TO MOVE OFF OF THE, THE WATCH. SO GETTING BACK TO SOMETHING THAT WAS, UH, COMMENTED ON EARLIER. SO IF WE'RE MOVING, IF WE'RE MOVING THE, AS PROCUREMENT AWAY FROM THE WATCH, WILL, WILL ERCOT OPERATIONS BE OPERATING TO A EA ONE? OR WILL THEY STILL BE OPERATING TO A WATCH? UM, BUT, AND I THINK THIS IS SOMETHING SEAN'S BROUGHT UP, IS THAT YOU, YOU, YOU NEED TO HAVE PARODY, UM, BETWEEN HOW WE'RE, UH, SETTING, UH, CRITERIA FOR PROCUREMENT VERSUS, UH, THE CRITERIA THAT THAT OPERATIONS IS, IS MANAGING TOO. SO, UM, AND, AND THAT'LL DO IT FOR MY QUESTIONS. THANK YOU. YEAH, I RESPOND. YEAH. YES, OF COURSE. SO I THINK WE'VE BEEN TRYING TO INDICATE THIS, UH, AS LUIS WAS MENTIONING, ALSO, WE ARE OPERATING TO THE, UH, OUR, OUR OPERATING POSTURE IS OPERATING TOWARDS RETHINK THE CRITERIA WE HAVE ESTABLISHED. SO IF THE CRITERIA WERE TO BE SET TO A, UH, FROM AN, UH, WA WAS MOVED TO A WATCH, UH, FROM A WATCH TO A EEA ONE, THAT IS THE CRITERIA WE WOULD BE OPERATING TO AND AS, AND IF YOU'VE BEEN FOLLOWING ALONG, WE'VE MENTIONED EVEN OUR POSTURE WHEN IT COMES TO EVALUATING, UH, FORWARD LOOKING RISK, WE LOOK TO USE OUR TOOLS TO GIVE US GUIDANCE ON WHEN AN ACTION FROM OUR CART IS NEEDED. SO TO THE EXTENT THE, UH, SO TO THE EXTENT WE CAN MAKE CHANGES TO THE SYSTEM WHERE MARKET CAN RESPOND AND BRING THIS, THE COMMITMENTS OR, UH, SYSTEM NEEDS FOR THE OPERATING OUTLOOK OF A DAY, THOSE TYPE OF CHANGES SHOULD BE VETTED AND BROUGHT THROUGH, BECAUSE THAT HELPS CUT KARTS ACTIONS OUT. SO TO ME, MY ANSWER, SIMPLE ANSWER BACK TO YOU IS WE ARE LOOKING TO SET UP THE, THE QUANTITIES TO MATCH THE OPERATING POSTURE THAT KART IS REQUIRED TO MAINTAIN. AND IF THE POSTURE WAS CHANGED, THAT IS THE POSTURE WE WILL OPERATE TO. OKAY. THANK YOU GUYS FOR THAT. LET'S GO, LET'S GO TO THE QUEUE. LET'S GO TO DIANA. HEY CAITLYN, CAN YOU HEAR ME? YES. OKAY. JUST WANNA, WE JUST WANNA SAY WE APPRECIATE EVERYBODY'S EFFORT TO TRY TO FIND A COMPROMISE HERE AND WORK THROUGH THIS IMMEDIATE VOTE. I'M JUST LOOKING BEYOND THAT, WHAT ARE OPTIONS THAT WE WOULD HAVE FOR THE GROUP IF THERE ARE CONSIDERATIONS FOR THE BOARD AND THEN, YOU KNOW, LONG TERM, YOU KNOW, JUST REEVALUATING THE PROCESS FOR THE, AS ON A YEARLY BASIS. UM, I THINK THERE WAS A MO A MENTION EARLIER OF GETTING THE FEEDBACK FROM THE STAKEHOLDERS, BUT ALSO GETTING THE INFORMATION FROM ERCOT BACK TIMELY AS WELL WOULD BE HELPFUL. UM, BUT I GUESS FOR TODAY'S PURPOSES, WHAT COULD BE SOME OPTIONS TO HELP US MOVE FORWARD IF WE CAN'T DO SOMETHING ON THE FLY [04:10:01] TODAY? WHAT ARE SOME OPTIONS FOR FOLKS THAT MAYBE THEY WOULD HAVE FOR THE BOARD IN SEPTEMBER? THANK YOU. WELL, SO I THINK, I THINK WE'VE TAKEN THREE ENDORSEMENTS, YOU KNOW, AS, AS WE'VE SAID A COUPLE OF TIMES, WE'RE NOT REQUIRED TO GET ANYTHING WITH YES, I GUESS SO TO THE BOARD ON THIS, IT'S, IT'S DIFFERENT THAN A REVISION REQUEST. UM, I WOULD, YOU KNOW, I, I THINK IKA ASKED A, A GOOD QUESTION, WHICH IS, IS THERE ANYTHING ELSE ERCOT WOULD ACCEPT? AND IF A STAKEHOLDER WANTS TO MAKE A MOTION OF THAT ON THAT, I THINK, YOU KNOW, THAT'S WORTH EXPLORING. BUT I THINK AFTER THAT, AT CERTAIN POINT, WE SHOULD PROBABLY CALL IT A DAY, UM, ON ANCILLARY SERVICE METHODOLOGY. UM, WE'VE BEEN, WE'VE BEEN AT THIS FOR THREE HOURS AND I, I BROUGHT IT UP A LITTLE BIT EARLIER, BUT I WAS SORT OF LIKE HANGRY. BUT I, I THINK YOU'RE ABSOLUTELY RIGHT. I THINK NEXT YEAR WE NEED TO HAVE THESE DISCUSSIONS EARLIER. AND, YOU KNOW, I, I DON'T WANNA PUT BLAME ON, ESPECIALLY ERICA, I THINK THEY DID A LOT OF WORK, BUT I THINK WE HAD A LOWER LEVEL OF PARTICIPATION MAYBE AT THE WORKING GROUPS. AND I THINK HAVING A FORUM LIKE THIS, YOU KNOW, A, A WORKSHOP OR SOMETHING WHERE WE CAN, PEOPLE CAN COMMIT TO GIVING US FEEDBACK. HAVE THE, HAVE UC STAFF PARTICIPATE, HAVE THE IMM PARTICIPATE MAYBE WOULD BE BETTER GOING FORWARD. DOES THAT SORT OF HELP DIANA? THAT HELPS. CAITLYN, THANK YOU. OKAY. I SEE ROY, I MEAN, WE, ROY IS SORT OF TALKING ABOUT THE BALLOT. WE CAN PULL THE OLD BALLOT UP. I, I DON'T BELIEVE, I THINK THE BALLOT EVEN SAID 50% WAS 15 AND WE HAD 14 YESES. BUT WE'RE, WE'RE HAPPY TO VERIFY THAT FOR YOU, ROY. UM, BUT LET'S, LET'S KEEP GOING IN THE QUEUE. LET'S GO TO NED. UM, SO CAITLYN, I THINK YOU'RE, YOU'RE PROBABLY ON THE RIGHT TRACK OF HAVING SOME CHANGES IN PROCESS. I DO. I WOULD ASK THAT IN DOING SO, WE TEE UP QUESTIONS THAT ARE, UM, MAYBE IN ALIGNED WITH FIGURING OUT WHAT PRINCIPLES WE WANT TO REFLECT IN THE ANCILLARY SERVICE PLAN. UM, BECAUSE I THINK WE'RE, WE'RE GOING BACK TO, YOU KNOW, WHAT WE'VE TALKED ABOUT MULTIPLE TIMES NOW. I THINK WE'RE ALL LOOKING AT THIS IN SLIGHTLY DIFFERENT WAYS, AND I THINK GETTING ALIGNMENT ON WHAT WE'RE SOLVING FOR WILL HELP TO BREAK SOME OF THIS LOG JAM. UM, SO THAT, THAT'S JUST AN OBSERVATION. I, I DO WANT TO DOUBLE CLICK ON THE CONVERSATION JEFF AND NITKA HAD, UM, YOU KNOW, IF WE MOVE FORWARD WITH SOMETHING TODAY, WILL ERCOT, CAN WE, CAN WE TEE UP CHANGES TO ERCOT, RUCK, UH, RUCKING TO MEET THE ANCILLARY SERVICE PLAN, THE FULL AN SERVICE PLAN? BECAUSE I THINK THAT WILL, THAT WILL ADDRESS, I THINK A LOT OF CONCERNS, MAYBE NOT ALL OF THEM, BUT I THINK THAT WILL ADDRESS A GOOD NUMBER OF THEM. IS THAT A LITERAL QUESTION FOR ? THAT, THAT IS A LITERAL QUESTION. OKAY. THAT, THAT WE CAN DISCUSS. LYRICA, IT MAY BE HELPFUL TO UNDERSTAND WHAT YOU MEAN. UH, UH, NED MORE CLEARLY ARE PROCEDURES ON WHEN THOSE ACTIONS ARE TAKEN OR WHEN A DIRECT ACTION IS TAKEN AROUND AS CAPACITY, VERY, UH, CLEARLY OUTLINES WHAT, UM, THE LEVEL OF SHORTFALL THAT THE CONTROL ROOM IS CONSIDERING WHEN TAKING THOSE ACTIONS. AND LIKE I MENTIONED TODAY, PERHAPS, AND, UH, I MEAN WMWG HAS BEEN HAVING THIS DISCUSSION, SOME OF THOSE ROCKS ARE LIKELY RELATED TO THE INPUTS, UH, UH, IS SEEN THROUGH COPS AND S BEEN DOING A LOT OF OUTREACH, A LOT OF EDUCATION ON THAT END. SO, AND, AND WE HAVE SEEN IMPACTS, UH, AND, UH, SO YOU HAVE, UH, QUITE A FEW OF THE MARKET ANALYSIS FOLKS AROUND WHO CAN PROBABLY CONFIRM MY STATEMENTS, BUT WE HAVE SEEN IMPACTS OF THAT OUTREACH. SO MY HOPE IS WITH THAT CHANGE, WHAT YOU SHOULD SEE [04:15:01] IS AS, AS THE LOAD LEVELS START CHANGING, AS THE TEMPERATURE IMPROVES, THE LEVEL OF YOU WERE SEEING START REFLECTING THE IMPROVEMENTS THAT R IS SEEING. AND OF COURSE, THE, THE, THE SYSTEM WOULD ALSO BE, UH, EVOLVING BECAUSE WE'LL BE TRANSITIONING OUT FROM SUMMER. SO I, SORRY, THAT'S A LONG-WINDED WAY OF SAYING I'M REALLY NOT SURE, UH, WHAT EXACTLY, UH, YOU, YOU WERE ANGLING TOWARDS, BUT AT LEAST HOPEFULLY YOU UNDERSTAND WHERE TO GO LOOK FOR OUR OWN PROCEDURE OR WHAT, WHEN WE TAKE THESE ACTIONS AND AT LEAST WHAT SORT OF A CHANGE WE ARE SEEING FROM MARKET PARTICIPANT BEHAVIOR, WHICH MAY MAKE SOME HELP, WHICH MAY TREND THIS TOWARDS A RELIEF. SO I'LL PAUSE THERE. OKAY. THANK YOU, NATIKA. AND YOU KNOW, I THINK, I DON'T, I DON'T KNOW EXACTLY WHAT THE RIGHT ANSWER IS BECAUSE I, I CAN UNDERSTAND THE CONCERNS WITH RUCKING TO MEET THE FULL ANCILLARY SERVICE PLAN WHEN WE HAVE THE ANCILLARY SERVICE DEMAND CURVES THAT ARE SUPPOSED TO, YOU KNOW, MANAGE THAT TRADE OFF. UM, NOW WHILE I AM VEHEMENTLY OPPOSED TO THE RISK CREDITS CONCEPT, I, IF THAT IS SOMETHING THAT MOVES FORWARD, I KNOW VISTA WOULD REALLY LIKE TO SEE SOME PARODY IN THE R DECISIONS THAT ARE MADE. SO IF YOU'RE GOING TO DISCOUNT FOR HEADROOM, FOR EXAMPLE, ON BATTERIES, UH, STATE OF CHARGE, UH, IN REAL TIME, BUT NOT MAKE THAT SAME ADJUSTMENT IN THE ANCILLARY SERVICE PLAN, WE WOULD LIKE TO SEE SOME PARODY THERE SO THAT THE REAL-TIME OPERATIONS AND THE LONG-TERM PLANNING HORIZON ARE AT LEAST, UH, YOU KNOW, MORE COMMENSURATE. I THINK, UH, MAYBE I'LL, UH, WE, WHAT WE ARE DOING IN THE AS METHODOLOGY IS USING A, UH, IS, IS SETTING UP THE REQUIREMENT BASED OFF OF A PROBABILISTIC ASSESSMENT OF, UH, OF HOW THE, WE'VE SEEN THE SYSTEM OPERATE. APPLYING THAT SAME CREDIT IN OR APPLYING THAT SAME SORT OF, AND GOING INTO ROUGH IS REALLY TRYING TO ENSURE THERE IS ADEQUATE SUPPLY TO HELP US COVER THE FORECASTED LOAD AND RESERVES SO THAT IF THERE WAS ANY UNCERTAINTY, WE CAN RELY ON THOSE RESERVES. IF HERE AS WELL WE START, UH, YOU KNOW, UH, DISCOUNTING FOR, UH, INPUT, UH, UH, DATA THAT R IS BEING, R IS BEING GIVEN. THERE IS A, A RISK THAT CART WILL SHORTCHANGE ITSELF GOING INTO REAL TIME, UH, WITH NOT HAVING SUFFICIENT SUPPLY FOR BEING ABLE TO DO THE TYPE OF THINGS WE WANTED TO DO. UH, BUT THAT IS, I, I'LL, I, I, I MEAN, I UNDERSTAND THAT THE, THE LEVEL OF ROCK, UH, IS A, A CONCERN, BUT THE OUT, UH, BUT THE IDEA OF RELYING ON, UH, SOMETHING WE DON'T KNOW WE CAN FULLY TRUST BEING THERE IS MAYBE ANOTHER EXTREME THERE IS POTENTIALLY AN, AN ALTERNATIVE WAY, UH, OF DOING, UH, OF RUNNING THIS R ASSESSMENT. AND AKA WILL, I MEAN, AKA HAS BEEN IN THE BACKEND TALKING ABOUT DIFFERENT, UH, HOW, WHAT DIFFERENT PACE CAN WE SET UP THESE R ANALYSIS. SO WE ARE NOT AS DEPENDENT ON THE ENERGY INPUTS ENERGY PICTURE. GETTING THE ENERGY PICTURE RIGHT IS UTMOST IMPORTANT IN ROCK, IN OUR MIND AT LEAST. SO WE ARE CONTINUOUSLY WORKING ON IT, NED, AND, UH, AND, AND AS WE HAVE MORE IDEAS, WE'LL ABSOLUTELY BRING THOSE BACK TO THE STAKEHOLDERS AND SHARE WHAT THEY ARE. BUT I'LL CAUTION YOU ON, HEY, JUST BLINDLY APPLY HEADROOM IN THE ASSESSMENT. THAT SEEMS TO BE A VERY EXTREME, UH, DIRECTION TO GO IN. AND FROM A RELIABILITY PERSPECTIVE, I'M NOT VERY COMFORTABLE. I'LL PAUSE. YEAH, I, I, I APPRECIATE THAT. AND I THINK WE, YOU KNOW, WE THINK YOU SHOULD BE APPLYING THE SAME LONG-TERM, LONGER TERM PLANNING FOR YOUR ANCILLARY SERVICES NEEDS THAT YOU APPLY IN, IN REAL TIME. SO ONE WAY OR THE OTHER, THEY'VE GOTTA COME TOGETHER. AND IF IT'S NOT ACCEPTABLE TO REDUCE THE, THE, YOU KNOW, THE USE OF R TO MEET THOSE RESERVES IN REAL TIME, THEN WE, YOU KNOW, WE NEED TO SET THE PLAN AT A, AT A LEVEL THAT WILL GET YOU THE RESERVES THAT YOU NEED. AND WE NEED TO PRICE IT APPROPRIATELY SO THE MARKET DELIVERS IT. UM, SO I KNOW THAT'S PROBABLY NOT A CONSTRUCT, IT'S NOT A TERRIBLY CONSTRUCTIVE WAY TO, YOU KNOW, PUT A PIN IN THIS, BUT, YOU KNOW, WE'VE HAD THREE FAILED VOTES AND I DON'T SEE A LOT OF ROOM [04:20:01] FOR CONSENSUS. AND, YOU KNOW, THE MARKET DESIGN WE HAVE PUTS A LOT OF CONSTRAINTS ON US. SO, UM, YOU KNOW, THE, THE PROBLEM IS THAT THE RESERVES YOU HAVE AREN'T REALLY THE RESERVES THAT YOU WANT OR WOULD HAVE IDEALLY. AND, UH, WE NEED A BETTER WAY TO REFLECT THAT. WE APPRECIATE THE DIALOGUE AND I APPRECIATE THE PATIENCE. I KNOW THESE LAST TWO YEARS HAVE BEEN, WE'VE MADE LOTS OF CHANGES AND I KNOW THE STAKEHOLDERS HAVE BEEN VERY SUPPORTIVE IN HELPING OUR COURT MOVE THROUGH THIS VERY CONSTRAINED TIMELINE. AND I, SO I, I DO WANT TO ECHO OUT, THIS IS COMPLICATED AND WE ARE VERY APPRECIATIVE THAT THE STAKEHOLDERS ARE GIVING US SO MUCH TIME, EVEN TODAY TO HELP THINK THROUGH THIS 2027, UH, METHODOLOGY. UH, NOT EVERYTHING IS SORTED YET, BUT I'LL ALSO OFFER THIS UP. WE HAVE BEEN MAKING CONTINUOUS IMPROVEMENTS. WE HEAR YOU, AND WE, WE WILL HAVE ANOTHER CHANCE IN A YEAR TO COME BACK AGAIN. SO ANYTHING THAT WE CAN'T COVER, BECAUSE WHERE WE ARE, WE'LL TAKE THOSE INTO ACCOUNT AS WE START THINKING OF NEXT YEAR. SO THIS IS A CONTINUOUS PROCESS. WE HAVE MADE SEVERAL IMPROVEMENTS TO THIS TOOL. WE'VE COME OUT FROM A STATISTICAL APPROACH, WHICH WAS LAYERING RISK INTO A PROBABILISTIC APPROACH. WE ARE MAKING IMPROVEMENTS. AND SO THIS PROCESS WILL CONTINUE AND, UH, AND TO THE EXTENT WE CAN MAKE IMPROVEMENTS IN OUR R TOOLS, WE ARE COMMITTED TO DOING. SO OUR BOTTOM LINE IS ENSURING THAT THE ENERGY PICTURE IS CORRECTLY PRESENTED TO ROCK. SO IT CAN TELL US WHEN THE SYSTEM MAY BE SHORTSIGHTED OR MAY NOT HAVE THE, UH, THE, UH, THE, THE COMMITMENT IT NEEDS TO FULFILL THE PLAN, UH, TO FULFILL THE LOOP, TO SERVE THE LORD AND FULFILL THE UNCERTAINTY WE SEE ON THE SYSTEM. THAT'S THE, THAT'S THE, UH, UNDERLYING PRINCIPLE THAT WE ARE TRYING TO BUILD OUR TOOLS TOWARDS. THANK YOU, NATIKA. I APPRECIATE IT. GOOD. I LOOK FORWARD TO LOOKING, UH, DISCUSSING THIS AGAIN OVER THE NEXT YEAR. YEAH. WAY SOONER THAN A YEAR FROM NOW. 'CAUSE WE'RE NOT DOING THIS AGAIN NEXT YEAR. UM, LET SHAMS, ARE YOU STILL ME TO SHAMS? YES. YEAH. THIS PROCESS WAS SERIOUSLY FLAWED. YOU KNOW, JUST AT THIS LAST MOMENT, WE ARE FINDING OUT THAT, UH, YOU KNOW, ERCOT ROCKS, EVEN THOUGH WE WORKED ON THE AS SDCS AND STUFF, SO THAT THEY WOULDN'T TAKE OUT OF, YOU KNOW, THE ROCK ENGINE IS SUPPOSED TO TELL YOU BASED ON THE, AS SDCS WHETHER TO, UH, PROCURE THAT MUCH ANCILLARY SERVICE OR NOT. ERCOT SHOULD NOT BE ROCKING TO MAKE UP ITS AS PLAN. SO THAT'S A REVOLUTION AND THAT'S SOMETHING WE ARE JUST FINDING OUT TODAY AT TECH. THE OTHER IS THAT WE ACTUALLY TALKING ABOUT CHANGING ERCOT OPERATIONS. I DIDN'T EVEN THINK THAT WAS ON THE TABLE, YOU KNOW, WITH THIS AS PLAN, I THOUGHT THIS WAS JUST THE AS METHODOLOGY. IF THAT'S ON THE TABLE, THEN WE SHOULD HAVE HAD THE DISCUSSION WAY AHEAD. YOU KNOW, WE WILL BE OPEN TO, YOU KNOW, ALL SORTS OF LIKE GOING TO E, EA, WHATEVER, AS LONG AS THE ASCS WERE MADE, UH, COMPATIBLE. SO WITH THE IM PROPOSAL AND STUFF, WE SAW THAT THEY WANT TO GO DOWN TO, YOU KNOW, LIKE THE 1500 LOAD. SHE, BUT THE OPERATION WILL STILL REMAIN CONSERVATIVE. THAT MADE NO SENSE TO US. BUT IF ERCOT WAS TO GO DOWN TO, YOU KNOW, UM, A DIFFERENT OPERATIONS WHERE THEY'RE ACTUALLY AVOIDING LOAD, SHE, WHICH WE DON'T SUPPORT BECAUSE AFTER URI WE THINK MORE, YOU NEED MORE OF A CUSHION. BUT STILL, IF THEY WERE TO DO THAT, THEN WE WOULD HAVE A TOTALLY DIFFERENT DISCUSSION. SO IT'S JUST, UH, VERY DISAPPOINTING THAT THE, THIS LAST MOMENT WE ARE FINDING OUT THESE VERY IMPORTANT ASPECTS OF DANCE SERVICE PLAN. OKAY. ANDREW, WOULD YOU LIKE TO MAKE YOUR COMMENTS ON THE MIC IN A PRODUCTIVE AND CONCISE WAY? NO, I DON'T THINK I NEED TO MAKE THEM ON THE MIC. I, I THINK EVERYTHING I'VE POSTED IN THE CHAT IS SUFFICIENT. I THINK THAT'S RIGHT TOO. OKAY. OKAY. UM, SO TIKA PROPOSED THAT, OR RESPONDED THAT ERCOT WOULD ACCEPT ALSO THEIR RECOMMENDATION, BUT CHANGING THE 3000 WATCH CRITERIA TO 2,500 EA ONE, I DON'T BELIEVE THERE ARE ANY TAKERS ON MAKING THAT MOTION [04:25:10] GOING ON. OKAY. SEEMS LIKE NOT. UM, WE'VE HAD A LOT OF DISCUSSION INCLUDING WHAT AT LEAST MEANS. IS THERE ANYTHING ELSE ANYBODY ELSE WANTS TO TALK ABOUT? RIGHT NOW WE HAVE THREE MOTIONS THAT FAILED. UM, THAT'S, THAT'S OKAY. RIGHT. WE HAVE A LOT OF INFORMATION TO TELL THE BOARD. I WILL PROBABLY PHONE SOME FRIENDS TO HELP ME TELL THE BOARD THAT INFORMATION. UM, IT MAY BE AND NED OR SOMETHING LIKE THAT. UM, AND THEN I THINK WE ALL ACKNOWLEDGED THAT THE, THE PROCESS THIS YEAR, ESPECIALLY TODAY, UM, WAS NOT GREAT. AND SO I, I THINK WE NEED TO FIND SOME WAYS TO BE WORKING TOGETHER AND GETTING REAL, REAL FEEDBACK EARLIER NEXT YEAR. ALRIGHT. GO AHEAD SEAN. YEAH. FOR FUTURE, YOU KNOW, THE BOARD DISCUSSION AND SO ON, I, I REALIZE ERCOT IS WILLING TO GO TO A MINIMUM RELIABILITY, YOU KNOW, UH, NEEDS BASED ON 2,500. BUT IS ERCOT OPPOSED TO LIKE GETTING AWAY, UH, DOING AWAY WITH THE RISK CREDITS AND STUFF, WHICH ACTUALLY ALL INCREASE RELIABILITY. I DON'T SEE WHY ERCOT SHOULD BE OPPOSED TO THAT. 'CAUSE ALL OF THOSE PROPOSALS INCREASE RELIABILITY. I CAN UNDERSTAND THE MINIMUM RELIABILITY, BUT, UH, WHY SHOULD BE, WHY SHOULD ERCO BE OPPOSED TO, UM, SOMETHING THAT RESULTS IN INCREASED RELIABILITY? OR IS ERCO JUST NEUTRAL TO THOSE? DID, YEAH. DO YOU WANT TO ANSWER THAT CHANCE? BUT I THINK THAT'S THE LAST SORT OF QUESTION WE'LL TAKE, LIKE THAT. THE QUESTION IS, GO AHEAD. THE, UH, IF THE RISK CREDIT IS, UH, ALTERED FROM 60% TO ZERO, YES. UH, WHAT IS OUR CARD'S OPINION? SO IT'S NOT WHAT WE PROPOSED. YOU ARE RIGHT. IT IMPROVES RELIABILITY. IN PRINCIPLE, WE ARE NOT OPPOSED, OUR POSITION IS PROBABLY BETTER QUALIFIED AS NEUTRAL IF THE STAKE IS THAT, IF THAT IS WHAT THE STAKEHOLDERS WANT. YES. AND YES. NOW THAT WAS MY QUESTION. OKAY. THANKS. I I'LL LEAVE IT THERE. OKAY. OKAY. I THINK THAT'S OKAY. UM, OKAY. WE, WE HAD A LOT OF DISCUSSION. I THINK I SUMMARIZED IT. OKAY. UM, WE, WE SHOULD HAVE THE THREE FAILED VOTES. WE'LL, WE'LL GO TO THE BOARD WITH THAT INFORMATION. UM, PROBABLY BE REACHING OUT TO, I THINK THOSE WORDS, GOOD THINGS. I SAID PROBABLY BETH AND NED TO HELP ME OUT. UM, AND I THINK WE NEED TO THINK ABOUT HOW TO DO THIS BETTER NEXT YEAR. BUT I APPRECIATE, UM, I KNOW ERCOT PUT A LOT OF WORK INTO THIS, UM, AND, AND THERE'S A LOT OF DISCUSSION TODAY, SO I APPRECIATE ALL OF THAT. OKAY. LET'S MOVE ON. UM, TO, CAN WE TAKE THE COMBO BALLOT? UH, ABSOLUTELY. OH, YOU WERE READY? IF YOU GUYS WANT TO, YOU WERE READY. UM, I'LL MAKE THE MOTION. HAS I'M ALLOWED TO OR SOMEBODY ELSE CAN MAKE THE MOTION. SO YOU ALREADY DISPOSED OF PICKER 1 44. AND SO ALL YOU'VE GOT LEFT ARE THE NPRS FROM THE PRS REPORT AND THE TWO ITEMS FROM RMS AND THEN THE MINUTES. WE CAN PULL ANY OF THESE FOR STANDALONE BALLOTS IF ANYBODY NEEDS THEM. ANYBODY NEED TO PULL ANY OF THESE? I THINK I MADE THE MOTION. AND THEN GIVE BLAKE A SECOND. THE FONT LOOKS SO DIFFERENT WHEN IT'S TINY . ALRIGHT, ON THE MOTION TO APPROVE THE COMBO BALLOT, UH, WE'LL GO TO, IN CLASSIC ORDER START UP WITH THE CONSUMERS, WITH GARRETT. YES, SIR. [04:30:01] THANK YOU, SIR. MIKE? YES. THANKS COREY. THANK YOU, BETH. YES, THANK YOU. WILL. YES. THANK YOU. THANK YOU NICK. YEAH, THANK YOU. THANK YOU. AND BETH FOR CHRIS? YES. THANK YOU. ONTO THE CO-OPS, BLAKE? YES. THANK YOU, KYLE. YES, THANK YOU, COREY. THANK YOU. JOE, DAN FOR MIKE? YES, PLEASE. THANK YOU BLAKE. SIR LUCAS FOR JOHN? YES. THANK YOU. THANK YOU. ONTO THE INDEPENDENT GENERATORS. NED? YES. THANK YOU, COREY. THANKS SIR. BRIAN, I CAN TAKE YOU IN CHAT TOO, BRIAN. UH, HOW ABOUT BOB HILTON? YES, SIR. THANKS SIR. CAITLIN? YES, THANK YOU. ONTO OUR IPMS. JEREMY? YES. THANK YOU. THANK YOU, SETH. YES, THANK YOU SHANE FOR REMI? YES, SIR. THANK YOU. THANKS SIR. IAN? YES. THANK YOU, COREY. THANK YOU. ONTO THE IRES. JAY? YES, THANK YOU, COREY. THANKS SIR. CHRIS? YES. THANK YOU. UH, SEE BRIAN'S EMPHATIC. YES. AND CHAD. THANK YOU, SIR. UH, BACK TO THE IRES. JENNIFER? YES. AND YES FOR BILL. THANK YOU. AND THANK YOU ONTO THE IOUS. MARTHA? YES, THANK YOU, COREY. THANK YOU, KEITH. YES, YES. THANKS SIR. ABBY AND I GOT YOUR YES IN CHAT. THANK YOU, ABBY. UH, AARON. OKAY. AARON GOT YOUR YES IN CHAT, THANK YOU. ONTO THE MUNIS, DIANA FOR DAVID. YES. THANK YOU, ALICIA. YES. THANK YOU, JOSE. YES SIR. THANK YOU SIR. AND CURTIS? YES, THANK YOU. THIS MOTION PASSES UNANIMOUSLY. NOBODY OPPOSED? NOBODY. ABSTENTIONS. THAT'S ABSTAINING. THANK Y'ALL. THANKS COREY. OKAY, I BELIEVE WE ARE ON TO [10. Large Load Issues ] LARGE LOAD ISSUE, THE LAST CONTENTIOUS ITEM FOR TODAY. SO WE'RE GONNA RUN THROUGH THE, THAT'S ZERO UPDATE, UM, GO TO WHITMEYER LARGE LOAD WORKING GROUP REPORT. AND THEN WE WILL END THIS SECTION ON THE UPDATE ON THE WORKSHOPS FOR COMPREHENSIVE TRANSMISSION PLANNING IN BATCH ONE. ALL RIGHT. IS THIS JEFF OR CHRISTINA? UH, HEY, CAITLYN, I'LL BE LEADING OFF AND THEN CHRISTINA WILL COME AFTER ME. GREAT. THANKS JEFF. YEP. SO, UH, I THINK AS MOST PEOPLE ARE AWARE, UM, THE GOVERNOR SENT A LETTER TO THE PUC IN ERCOT ON AUGUST 3RD. UM, I, I PROBABLY COULD HAVE A, UM, COME THING COMING TO THE PRINCIPAL'S OFFICE ANALOGY, BUT I'LL, I'LL, UH, YOU KNOW, HOLD THAT. UM, SO IT, BASED ON THAT, UM, THAT LETTER AND, AND THE DIRECTIVE IN THE LETTER, UH, ON, UM, THAT SAME DAY, AUGUST 3RD, UH, WE ISSUED A MARKET NOTICE ESSENTIALLY INFORMING THE MARKET THAT WE WERE PAUSING THE BATCH ZERO STUDY PROCESS, AND THAT WE WERE DELAYING THE FINAL CLASSIFICATION OF ALL, UH, LARGE LOADS. UH, IF YOU REMEMBER IN THE, UH, BATCH ZERO PROCESS, WE WERE, UM, INTENDING TO MAKE THAT THAT CLASSIFICATION OF WHETHER LOADS THAT, UH, HAD APPLIED WERE EITHER, UH, BASE LOAD, STUDY LOAD OR EXCLUDED. UM, WE ALSO PAUSED APPROVAL TO ENERGIZE FOR, UH, NEW DATA CENTERS AND, UH, CRYPTO FACILITIES THAT ARE, UM, 75 MEGAWATTS OR LARGER. UM, WE THEN, UH, FOLLOWED UP ON AUGUST 10TH WITH A, UH, FILING WITH THE COMMISSION FOR, UH, SOME GOOD CAUSE EXCEPTIONS, AND I'LL EX EXPLAIN THOSE, UM, IN A MINUTE. AND, AND THEN ALSO, UM, WE, UM, HAD SOME ADDITIONAL ACTIVITIES THAT, THAT WE PLAN TO, UH, ADDRESS THE, UM, THE DIRECTIVE FROM THE GOVERNOR'S LETTER. UH, GO TO THE NEXT SLIDE AND INTO A, A FEW MORE DETAILS. AND, AND THIS IS, UM, E ESSENTIALLY THE SAME, UH, BASIC PRESENTATION THAT CHRISTINA PRESENTED AT THE, UH, COMMISSION LAST WEEK. UM, SO I'M NOT GONNA GO INTO A LOT OF THE DETAILS. IT, IT [04:35:01] MOVED THOSE DETAILS INTO THE APPENDIX. UH, BUT TO THE EXTENT THAT, UM, STAKEHOLDERS HAVE QUESTIONS, UH, TECH MEMBERS HAVE QUESTIONS, WE'RE HAPPY TO, UH, ANSWER ANY OF THOSE. UM, SO THE, UH, GOOD CAUSE EXCEPTIONS, SEC, ESSENTIALLY THERE WERE THREE GOOD CAUSE EXCEPTION REQUESTS. UM, ONE WAS TO, UH, DELAY THAT BATCH ZERO CLASSIFICATION. SO IN THE, UH, PICKER 1 45, UH, WE WERE, UH, TO MAKE THAT, THAT BASE STUDY OR EXCLUDED CLASSIFICATION BY AUGUST 7TH. UM, AND WE, UH, WILL NOW BE DELAYING THAT, UM, IN INDEFINITELY RIGHT NOW. UM, I'LL, ALTHOUGH I'LL, I'LL TALK A LITTLE BIT MORE ABOUT, UH, PERHAPS A, UH, PROVISIONAL CLASSIFICATION THAT THAT WILL COME OUT WITH, UM, UH, NEXT WEEK. UH, BUT THE FINAL CLASSIFICATION, WE'RE GONNA WAIT UNTIL AFTER THE, UM, AFTER WE'VE DONE THE VERIFICATION AND AUDIT THAT, UM, THE, UH, GOVERNOR DIRECTED US TO DO. UM, WE ALSO NEEDED A, UH, GOOD CAUSE EXCEPTION, UM, REGARDING THE, UH, QUARTERLY STABILITY ASSESSMENT. UH, SO IF, UM, UH, ONE, ONE OF THE CHANGES, IF YOU REMEMBER, UM, THAT WE MADE AS PART OF PAYER 1 45 WAS GOING FORWARD FOR A LOAD TO QUALIFY TO BE IN THE QSA, THEN IT NEEDED TO HAVE, UM, ESSENTIALLY A CHIEF BASE LOAD STATUS. UM, AND, AND SO WITH THE, UM, VERIFICATION AND AUDIT PROCESS DELAYING THAT BASE LOAD QUALIFICATION FOR THESE LOADS UN UNTIL, UH, LIKELY DECEMBER NOW, UM, THEN THAT, THAT IS GONNA IMPACT THE BOTH AUGUST QSA AND THEN NOVEMBER QSA. UM, AND SO WE NEEDED, UH, TO, UH, GET A GOOD CAUSE EXCEPTION TO INCLUDE LOADS THAT WOULD OTHERWISE BE, UH, QUALIFIED TO BE IN THE QSA. UH, WE NEEDED TO, UM, UH, BASICALLY INCLUDE THEM, UH, E EVEN THOUGH THEY DON'T HAVE THAT BASE LOAD, UH, STATUS YET. UH, SO THAT, THAT WAS, UH, ONE OF THE, UH, THE SECOND GOOD CAUSE EXCEPTION. UH, THE THIRD HAD TO DO WITH THE, UH, DYNAMIC DATA REVIEW, UH, AND THE CURE PERIOD JUST, UM, EXTENDING THAT, UH, SO THAT THOSE WERE THE GOOD, THE THREE GOOD CAUSE EXCEPTIONS. AND, AND THEN ON THE PROCESS SIDE, UM, AS I MENTIONED, UH, WE HAVE PAUSED THE, UH, APPROVAL TO ENERGIZE FOR ANY NEW LARGE LOAD DATA CENTERS AND CRYPTO FACILITIES. UH, THIS DOES NOT IMPACT NON-DATA CENTER CRYPTO FACILITIES, UH, THAT, THAT ARE GOING TO BE REQUESTING APPROVAL TO ENERGIZE. BUT, BUT, UM, WE, UH, DELAYED THAT, UH, OR PAUSED THAT APPROVAL TO ENERGIZE UNTIL AFTER THE, UH, VERIFICATION AND AUDIT, UH, FOR THOSE FACILITIES. UM, AND THEN THE, UM, UH, LA LAST THING ON THE, THE PROCESS SIDE IS, UM, UH, IF YOU RECALL ON, ON, UM, UH, JULY 23RD, I THINK IT WAS, WE ISSUED A MARKET NOTICE, UH, STATING THAT, UH, ENTITIES THAT WISH TO ASK FOR A GOOD CAUSE EXCEPTION, UM, THAT THEY COULD, UM, SOME OF THE BACHELOR REQUIREMENTS THAT THEY COULD MAKE THAT REQUEST. AND, UM, WE, UH, ESSENTIALLY THAT MOVING FORWARD WITH THAT GOOD CAUSE EXCEPTION, UH, WE'VE ESSENTIALLY PUT THAT, UH, ON THE BACK BURNER, UH, WHILE WE ALL, UH, UH, PROCESSING KIND OF THESE OTHER CHANGES RELATED TO THE, UH, THE GOVERNOR'S REQUEST. UM, SO HAVEN'T COMPLETELY STOPPED THAT, BUT IT'S, IT'S ON THE BACK BURNER, SO TO SPEAK. UM, SO WE, WITH THAT, I'M GONNA, UH, PAUSE AND I'M GONNA, UM, TURN IT OVER TO CHRISTINA. AND CHRISTINA, IF THERE'S ANYTHING YOU WANT TO, UM, ADD TO ANYTHING I'VE SAID ON THIS SLIDE, THEN, UM, YOU KNOW, FEEL FREE TO DO THAT. UM, BUT I THINK CHRISTINE'S GONNA TAKE OVER THE NEXT COUPLE SLIDES. THANKS, JEFF. UM, SORRY I WAS LATE THERE. UM, I DON'T THINK I HAVE ANYTHING MORE TO ADD ON THE, THE DELAY IN THE CLASSIFICATION DEADLINE. UM, LIKE WE SAID AT THE PUC OPEN MEETING, WE ARE, UH, HOPING TO STILL HAVE THOSE CLASS HAVE, UH, PROVISIONAL OR TRADITIONAL CLASSIFICATIONS OUT BY AUGUST 31ST, WHICH IS MONDAY. AND THAT WILL START, UH, THE DISPUTE RESOLUTION PERIOD AND RECONCILIATION PERIOD THAT'S BUILT INTO THE PIGER FOR LOADS THAT ARE RECLASSIFIED FROM STUDY TO BASE, I MEAN FROM BASE TO STUDY OPPOSITE WAY. UM, AND THEN, UH, I DO THINK ON THE, I THINK JEFF COVERED IT WELL, THE GOOD CAUSE EXCEPTION RELATED TO ELIGIBILITY CRITERIA FOR PGA 1 45. UM, YOU KNOW, THAT, LIKE YOU SAID, THAT'LL BE ON THE BACK BURNER, BUT WE MAY HAVE SOME QUESTIONS THAT WE ASK DURING THE, UM, DURING THE VERIFICATION PROCESS, UH, THAT WOULD, WOULD HELP US RESOLVE SOME OF THOSE. UH, SO NEXT SLIDE. UM, SO THESE ARE THE KIND OF TWO UPCOMING ACTIVITIES THAT ARE RELATED TO THE GOVERNOR'S AUGUST 3RD, AUGUST 3RD DIRECTIVE, UM, IN HIS LETTER. UH, THE FIRST [04:40:01] IS THE BATCH ZERO ELIGIBILITY VERIFICATION, AND THIS IS WHERE WE'RE GOING TO, UM, WE'LL HAVE, I WILL SEND OUT RFIS REQUEST FOR INFORMATION AND REQUEST FOR PRODUCTION OF DOCUMENTS THAT WILL, UM, UH, HELP US ENSURE THAT THE LARGE LOADS THAT ARE INCLUDED IN BATCH ZERO HAVE MET THE REQUIREMENTS, THE ELIGIBILITY REQUIREMENTS FOR THEIR PATH INTO BATCH ZERO. AND THAT'S ONE COMPLETELY SEPARATE STREAM THAT IS, UM, SEPARATE FROM THE COMMUNITY IMPACT REVIEW, WHICH WILL BE A SEPARATE RFI THAT WILL GO, UH, GO OUT TO THE TSPS WITH, UH, LOADS THAT ARE 25 MEGAWATTS OR MORE THAT HAVE YET TO ENERGIZE AND ARE DATA CENTER OR CRYPTO FACILITIES. NEXT SLIDE, RIGHT? SO NEXT STEPS AND STATUS. UM, AS I SAID ON THE LAST SLIDE, THAT COMMUNITY IMPACT REVIEW, I WILL INCLUDE THOSE 25 MEGAWATTS OR HIGHER THAT ARE DATA CENTERS OR CRYPTO FACILITIES. AND SO WE SENT OUT A REQUEST FOR INFORMATION TO THE DISTRIBUTION SERVICE PROVIDERS, UM, THAT IS BASICALLY ASKING FOR AN UPDATE FROM THE INFORMATION THEY PROVIDED BACK IN APRIL, UH, AS PART OF THE 2026 RTP COMPLIANCE PLAN. AND THAT ONE IS JUST RELATED TO MEDIUM LOADS. UH, WE ALREADY HAVE THE LARGE LOADS FROM THE BATCH ZERO INTAKE PROCESS. UM, AND YES, WE PRESENTED THE GOOD CAUSE EXCEPTIONS AND THE ACTIVITIES TO THE PUC ON AUGUST 20TH AND THE, UH, PUC GRANTED THE GOOD CAUSE EXCEPTIONS. AND, UH, FINALLY, UM, BECAUSE YEAH, IT'S JUST, UH, WHAT WE SAID BEFORE ABOUT THE PROVISIONAL CLASSIFICATIONS, UM, HOPEFULLY BY STILL TARGETING AUGUST 31ST. AND I THINK THAT'S OUR LAST SLIDE. ALL THE OTHER SLIDES, UM, ARE PART OF THE APPENDIX, WERE THE ONES PRESENTED AT THE PUC OPEN MEETING. SO I THINK FROM HERE WE'RE HAPPY TO TAKE YOUR QUESTIONS. I DON'T KNOW THAT WE WILL HAVE ANSWERS TO ALL OF THEM OR MUCH NEW INFORMATION TO PROVIDE, BUT IT'S, YOU KNOW, HELPFUL TO HEAR QUESTIONS. AND, UM, YOU KNOW, WE WILL BE PROVIDING REGULAR UPDATES TO THE PUC THROUGHOUT THIS PROCESS. UM, WE'RE PLANNING TO, YOU KNOW, BE AS TRANSPARENT AS WE CAN BE PLANNING TO FILE THE RFI QUESTIONS IN THE PUC DOCKETS. SO THOSE WILL BE PUBLICLY AVAILABLE AND, UH, WE'LL CONTINUE THE CONVERSATIONS THERE. SO THANK YOU. OKAY. WE DO HAVE A QUEUE. LET'S START WITH BOB WHITMEYER. HEY, CHRISTINA. SO IF I UNDERSTAND YOU CORRECTLY, WE'RE STILL TELLING PEOPLE BY AUGUST 31ST IF THEY MADE IT INTO BATCH ZERO AS BASE LOAD OR STUDIED LOAD, WE'RE NOT GOING ANY FURTHER THAN THAT. IS THAT CORRECT? SO I'LL SAY THIS IS, THIS IS THE PROVISIONAL CLASSIFICATION, SO IT'S SUBJECT TO THE VERIFICATION PROCESS. A ABSOLUTELY NO, NO PROBLEM THERE. AND IT, AND IT, YEAH, IT WILL BE BASE LOAD, UM, AND THEIR PATH. AND THAT'S BECAUSE THAT'S HOW WE NEED TO, UH, SET UP THE VERIFICATION PROCESS. WE NEED TO KNOW THE CRITERIA WE'RE USING FOR THAT LOAD. AND SO IT WILL SAY, YOU KNOW, THAT THEY'RE BASE LOAD, E BASE LOAD, F BASE LOAD G UM, WHICHEVER THEIR PATH IN AS BASE LOAD IS. AND THEN STUDIED LOAD IS JUST THE ONE PATH. SO IT WILL, UM, PROVIDE THAT, BUT IT WILL ALSO BE CLEAR ABOUT WHAT'S STILL OUTSTANDING OR WHAT'S STILL, THEY'RE STILL SUBJECT TO. SO IT COULD BE THAT GOOD CAUSE EXCEPTION RELATED TO ELIGIBILITY CRITERIA. IT COULD BE, UM, THE DYNAMIC MODEL, UM, THAT CURE PERIOD IS THE, IS THE SAME DAY. AND THEN I THINK WE'RE REVIEWING MODELS AFTER THAT, UM, TO CONFIRM, YOU KNOW, WHETHER THEY WERE ABLE TO CURE THEIR DEFICIENCIES. AND THEN THERE WAS THE GOOD CAUSE EXCEPTION RELATED TO DYNAMIC MODELS THAT SOME OF, SOME OF THE ILES WEREN'T NOTIFIED UNTIL AFTER AUGUST 7TH. SO THEY HAD THE 24 DAY CURE PERIOD FOLLOWING THEIR, THE EMAIL NOTIFYING THEM OF A DEFICIENCY. SO NOT, I, I CAN'T SAY THAT, YOU KNOW, THERE WILL BE MULTIPLE WAYS IN WHICH THERE THOSE PROVISIONAL CLASSIFICATIONS ARE, ARE TRULY PROVISIONAL. SO THE, WITH RESPECT TO THE GOOD CAUSE, EXCEPTION ONES, AND I DON'T REMEMBER THE EXACT NUMBER, I THINK IT WAS LIKE 17, THAT ERCOT THOUGHT CLEARED THE HURDLES. WILL THOSE, WILL THOSE PEOPLE GET NOTIFICATION THAT THEY WERE INCLUDED IN THAT GOOD CAUSE EXCEPTION? DOES THAT COME ON THE 31ST? WHEN WOULD THEY FIND OUT WHETHER THEY GOT THEIR GOOD CAUSE EXCEPTION OR NOT? SO I DON'T, I DON'T THINK WE PLAN TO TELL ANYBODY, UM, DEFINITIVELY THAT THEY, THAT WE WILL ADVANCE THAT GOOD CAUSE EXCEPTION TO THE PUC AND IT WILL BE THE PUC THAT MAKES THE DETERMINATION. UM, IT'S A MATTER OF WHETHER ERCOT IS CARRYING THAT FORWARD TO THE PUC. UM, BUT IT WILL, I, THAT'S ONE OF THE, UM, I WAS TRYING TO SAY IS THAT, YOU [04:45:01] KNOW, PROVISIONAL CLASSIFICATION, WE WILL NOTE THAT IT IS SUBJECT TO THAT ELIGIBILITY, GOOD CAUSE EXCEPTION. SO THEY WOULD SEE THAT AND WE MAY CONTINUE TO ASK QUESTIONS DURING THE VERIFICATION PROCESS TO CONFIRM, YOU KNOW, POTENTIALLY SOME OF THE FACTS THAT ARE LAID OUT IN THOSE GOOD CAUSE EXCEPTIONS THAT WE'RE NOT DENYING, UM, PLANNING TO DENY OUT ROUTE OUTRIGHT. OKAY. THANK YOU. MM-HMM . OKAY. NEXT STEP IN THE QUEUE IS BARATH. CAN YOU HEAR ME? YEP, WE CAN HEAR YOU. AWESOME. UM, SO THREE QUICK QUESTIONS. ON AUGUST 31ST, THE CLASSIFICATION, WILL THAT BE SENT TO THE TSPS, I PRESUME RIGHT NUMBER ONE, RIGHT? IT WILL BE SENT, UM, I THINK THE PLAN RIGHT NOW IS TO SEND IT TO THE TSP OR DSP THAT SUBMITTED THE LOAD FOR BATCH ZERO. SO IN SOME, SO IT WASN'T THE TSP IN EVERY CASE. IN SOME CASES IT WAS THE DSP. YEAH. OKAY. SECOND QUESTION IS, IS AUGUST 31ST THE DAY THE RFI WILL ALSO BE SENT TO THE TSPS AND THE DSPS? I THINK THAT IS TO BE DETERMINED. THAT'S TO BE DETERMINED. BUT YOU'LL FILE, UH, WITH THE POC ON THE SAME DAY. IS THAT, I DON'T KNOW THAT THE FILING WILL BE THE SAME DAY EITHER. OKAY. I THINK WE'RE TRYING TO MOVE THAT ALONG AS FAST AS WE CAN. AND I THINK CHAD MENTIONED THIS AT THE OPEN MEETING, THAT WE ARE WORKING ON AN INTAKE TOOL, UM, THAT WILL HOPEFULLY MAKE IT EASIER FOR EVERYONE TO PROVIDE THIS INFORMATION TO ERCOT. SO THAT'S A ANOTHER KIND OF TIMING PIECE THAT'S INVOLVED HERE. SO, SO YOU'LL PROBABLY SEND OUT A MARKET NOTICE. CHRISTINA, WHEN THIS RFI SENT, I'M JUST TRYING TO UNDERSTAND, UH, WHEN WILL THIS BE SENT? TYPICALLY NEXT WEEK? YEAH, I THINK, UM, WE CAN TAKE THAT BACK AND, AND TALK ABOUT OKAY. TALK ABOUT THAT. OKAY. I GUESS LA LAST QUESTION IS ABOUT THE DYNAMIC MODEL. UH, GOOD CAUSE EXCEPTIONS. SO THE I LS HAVE 24 DAYS FROM THE TIME THEY RECEIVE THIS INITIAL EMAIL FROM ARD ABOUT Q UH, YOU KNOW, THE QUESTIONS THAT THEY NEED TO ADDRESS. IS THAT ACCURATE? RIGHT. SO IF YOU, UM, IF AN ILE RECEIVED NOTICE BEFORE AUGUST 7TH OF THE DEFICIENCIES, THEIR DEADLINE IS MONDAY, AUGUST 31ST. ANYONE WHO IS, UM, NOTIFIED AFTER THAT, THAT FIRST EMAIL TELLING THEM WHAT THE DEFICIENCIES ARE, IT'S 24 DAYS STARTING THE DAY AFTER THAT. SO WE'RE, WE'RE TRYING TO CAPTURE THE SAME AMOUNT OF TIME THAT THOSE THAT HAD ON AUGUST 7TH TO AUGUST 31ST HAD UNDERSTOOD. OKAY. THANK YOU. MM-HMM . ALL RIGHT. NEXT STEP IS BETH. HEY THERE. UM, I JUST WANNA GO BACK TO THE GOOD CAUSE EXEMPTION AND IF I, I, I DON'T UNDERSTAND WHAT GOOD CAUSE EXEMPTION TO THE OCCLUSION OF CERTAIN LOADS, CAN, CAN YOU HELP ME UNDERSTAND WHAT, WHAT THAT CATEGORY OF LOAD IS? THE, WERE YOU TALKING ABOUT WHAT THE PROVISIONAL CLASSIFICATIONS? WELL, NO, NO. SO YOU, THERE WERE THREE GOOD CAUSE EXEMPTIONS. GRANTED, THE SECOND ONE HAD TO DO WITH THE INCLUSION OF CERTAIN LOADS IN THE QUARTERLY STABILITY ANALYSIS BEFORE FINAL CLASSIFICATION. SO I ASSUME BASED ON THE PRELIMINARY CA CLASSIFICATION, YOU'RE GONNA GO AHEAD AND FORWARD SOME STUFF THROUGH, YOU KNOW, A ACTUALLY STUDY SOME STUFF IN THE QUARTERLY STABILITY ANALYSIS. IS THAT I, I'M JUST, I, UM, I DON'T UNDERSTAND HOW ALL THAT FITS TOGETHER AND WAS LOOKING FOR SOME MORE CLARITY. YEAH, SO BETH, SO, UM, TO, UM, GOING FORWARD TO QUALIFY TO BE IN A QSA STUDY, THEN THE LOAD HAS TO BE BASE LOAD HA HAS TO BE QUALIFIED TO, AND, UM, SORRY, I CAN'T THINK OF THE WORD, BUT BASICALLY HAS TO BE DESIGNATED AS BASE LOAD. UH, OKAY. IT HAS TO HAVE BEEN, IT HAS TO HAVE RECEIVED ITS QUOTE OFFICIAL CLASSIFICATION. RIGHT. AND IT WON'T, YOU WON'T HAVE THAT. YOU'LL HAVE THIS PROVISIONAL CLASSIFICATION AND ON THAT BASIS YOU'LL MOVE SOME LOADS FORWARD INTO THAT PROCESS. IS THAT YES, EXACTLY. GOT IT. THANK YOU. NEXT IS NED. I WAS GONNA MAKE A JOKE ABOUT HOW MANY RISK CREDITS ARE TAKEN UP IN THIS, BUT I THINK THEY'D BE IN POOR TASTE. SO NO, HOLD OFF ON THAT. UM, UH, CHRISTINA, I WAS WONDERING, AND I THINK B ROTH MAY HAVE ASKED THIS, BUT I WANNA MAKE SURE I WAS CLEAR ON IT. UM, WHEN Y'ALL ARE SENDING THE RFIS TO THE, THE LARGE LOADS, I GET IT THAT THE MEDIUM LOADS ARE GOING TO THE DSPS, BUT FOR THE LARGE LOADS, ARE THOSE GONNA GO TO THE TSP OR ARE THOSE GONNA GO TO THE ILLE CONTACT THAT YOU HAVE ON THE LIF UH, FORMS OR BOTH? UM, IT WILL GO THROUGH, I MEAN, I, WE'RE STILL DEVELOPING THAT INTAKE TOOL, BUT UM, [04:50:01] I CAN SAY THE, THE IRFI WILL BE DIRECTED TO THE UTILITY OR THE UTILITY PROVIDER THAT SUBMITTED THE LOAD FOR INCLUSION IN BATCH ZERO. IT, UH, AND THAT'S JUST BASED ON THE BIGGER LANGUAGE THAT REQUIRES US TO GO THROUGH THE TSP, UH, FOR THAT OR DSP FOR THAT INFORMATION. OKAY. SO THE, THE VERIFICATION AUDIT QUESTIONS WILL GO THROUGH THE, THE, WE CALL IT THE INTERCONNECTING UTILITY. UM, WOULD IT BE POSSIBLE FOR Y'ALL TO ALSO SEND THEM TO THE, UH, TO THE IL E'S CONTACT? UH, I THINK WE'RE HAVING TO LOOK AT THAT IN THE TOOL THAT WE'RE BUILDING. OKAY. UH, JUST KIND OF GOES BACK TO OUR DISCUSSION ON BIGGER 1 44 THIS MORNING AND HAVING, HAVING STRAIGHT LINES OF COMMUNICATION SEEMS LIKE IT'S, UH, PRETTY POPULAR, UM, WITH THE CROWD. UM, SO I THINK THIS ONE WE'RE, YOU KNOW, WE'RE ALSO DEALING WITH THE, UM, LANGUAGE THAT'S IN THE FIGURE ITSELF, SO YEAH. UM, WE MAYBE ANOTHER GOOD CAUSE EXCEPTION. UM, THE, UH, THE OTHER QUESTION I WAS GONNA HAVE IS, UM, WILL Y'ALL BE PUTTING OUT SOME UPDATED, UM, MAYBE AT THE BOARD SOME MORE INFORMATION ABOUT HOW THE, UM, OR BEFORE THEN ABOUT HOW THE, UM, PROVISIONAL CLASSIFICATIONS SHAKE OUT KIND OF AN UPDATE TO THAT 205 NUMBER THAT THAT WAS PUT OUT, UM, IN JULY? I DON'T HAVE AN ANSWER FOR THAT, DO YOU, JEFF? YEAH. UM, I THINK WE'RE STILL, WE'RE STILL THINKING ABOUT THAT NED, SO I APOLOGIZE TO GIVE THIS ANSWER AGAIN, BUT THAT'S TBD. OKAY, FAIR ENOUGH. JUST WANTED TO ASK. THANK YOU, SANDY KAR. HEY, THANKS. MARCUS BOKAR EP. UM, I THINK YOU ANSWERED CHRISTINA, I ANSWERED THIS QUESTION AT THE PUCD MEETING. WANTED TO CONFIRM, UH, THAT ON SLIDE THREE PROCESS UPDATE FOUR, THE ENERGIZATION PAUSE IS ONLY FOR LARGE LOADS THAT IS 75 MEGAWATTS AND HIGHER, AND MANY MEDIUM LOADS ARE UNDER THE TSP PURVIEW. UH, SO TWO PART QUESTION FIRST, IS THAT CORRECT? AND SECOND IS, IS THERE ANY COORDINATION GOING ON WITH THE TSP TO PAUSE THAT AS WELL? OKAY. UNFORTUNATELY, UM, I'M HAVING AUDIO ISSUES, SO YOUR QUESTION CUT OUT MIDWAY THROUGH, BUT FROM WHAT I HEARD THAT, THAT SOUNDED CORRECT WITH THE 75 MEGAWATT OR GREATER, UM, LOADS THAT ARE DATA CENTERS OR CRYPTO, AND THEN FOR THE MEDIUM LOADS THAT IS, UM, AND PROCESSES STILL WITH THE, THE DS, THE TDS PIECE. YEAH. AND JUST TO MAYBE ADD A LITTLE BIT TO THAT SO THAT, JUST FOR CLARIFICATION, THAT THAT DOES NOT MEAN THAT A LARGE LOAD CAN ENERGIZE BELOW 75 MEGAWATTS. THEY, THEY STILL NEED TO ASK FOR THAT APPROVAL TO ENERGIZE EVEN IF THEY'RE NOT GOING TO BE AT 75 MEGAWATTS YET. UM, AND FOR THOSE, AGAIN, WE'RE, WE'RE PAUSING APPROVAL TO ENERGIZE FOR ALL OF THOSE, UH, DATA CENTERS AND CRYPTO FACILITIES AT THIS POINT. THANKS, JEFF. AND, AND THE PAUSE WILL BE TILL DECEMBER 10TH AT LEAST? YEAH, I, I THINK THAT'S, YEAH, I THINK THAT'S RIGHT. UM, BUT MAYBE CHRISTINA, YEAH, IF YOU, YEAH, YOU FEEL FREE TO ADD OR, OR CORRECT ME ON THAT C YEAH, I'M SORRY, , I HAVE MISSED IT. THERE'S SOMETHING WRONG WITH MY AUDIO. UH, MY COMPUTER KEEPS FREEZING, UM, AT REALLY INCONVENIENT TIMES HERE. UM, RIGHT. I THINK IT WAS, IT'S, UH, WHAT WE SAID AT THE PEC THROUGH THE VERIFICATION PROCESS. GOT IT. SO THE VERIFICATION PROCESS WILL COMPLETE, UH, AT LEAST NOW BY DECEMBER 10TH, AND SO LIKELY THE PAUSE WILL STAY UNTIL THEN. UM, THANK YOU FOR THAT. OKAY, SETH? YEAH, SETH WOULD, I THINK I MAY HAVE GOT A LITTLE BIT CONFUSED WITH, WITH BOB'S QUESTIONS, SO I JUST WANNA RESTATE IT AND, AND ASK FOR CLARIFICATION. UM, THAT PROVISIONAL CLASSIFICATION YOU'RE GOING TO GIVE FOR BATCH ZERO, UH, ELIGIBILITY, YOU KNOW, THE UP OR DOWN ON IT. DOES THAT, I THINK YOU MENTIONED YOU'D GIVE THAT PROVISIONAL, UM, DETERMINATION ON AUGUST 31ST. DOES THAT APPLY TO ALL LOADS THAT ARE SEEKING BED ZERO ELIGIBILITY? YES. I MEAN IT'S, YEAH, [04:55:01] ALL THAT WERE SUBMITTED FOR INCLUSION IN BATCH ZERO. RIGHT, JEFF? UM, AND I'M MISSING, YES. OKAY. THANK YOU. AND, AND HEY, UH, ACTUALLY ONE FOLLOW ON. WILL WE SEE TRANSPARENCY ON THE LOAD AMOUNTS THAT ARE GIVEN THAT PROVISIONAL DETERMINATION AFTER THE DETERMINATION IS MADE ON THE 31ST? YEAH. HEY, HEY, SETH. YEAH, I, I, THE, UM, THE SHORT ANSWER IS, UM, YES, WE WILL BE, UH, YOU KNOW, TRY TO BE AS TRANSPARENT AS WE CAN ON THAT, AND I, I CAN'T GUARANTEE THAT THAT WILL BE ON AUGUST 31ST OR IN WHAT FORUM, UM, THAT THAT'LL BE IN. UM, BUT YEAH, WE, WE UNDERSTAND THE DESIRE FOR STAKEHOLDERS TO KNOW WHAT THE NUMBERS ARE. OKAY. THANK YOU. ALL DONE? NO MORE LAST MINUTE QUESTIONS. OKAY. LET'S GO TO SHANE. OH, WHERE DID WE DROP YOU, BRIAN? IT WAS SUPPOSED TO BE AFTER ME, IT LOOKS LIKE HERE IN ONE OF THOSE LISTS. OKAY. SO SHANE, THEN BRIAN? YEAH. IS MY MIC FINALLY WORKING? WE CAN'T HEAR YOU, BRIAN. IT IS WHAT YOU'RE DOING. WE CAN HEAR YOU. ALRIGHT. UM, SO I HAVE GO, GO AHEAD SHANE. QUESTION ONE ONE OR COMMENT ON THE PROCESS PROCESS AND, AND I WAS GONNA ASK SETH'S FOLLOW UP QUESTION BASICALLY, BUT I WANNA REITERATE KIND OF THE, THE IMPACT OF, YOU KNOW, THIS, UH, THIS LOWER LEVEL OF INFORMATION THAT WE'VE BEEN GETTING, UH, RELATED TO BATCH. I MEAN THE, ALL THE STUFF RELATED TO FIGURE ONE 15, WE WERE STARTING TO GET, I FEEL LIKE IT'D BEEN A, A LONG PROCESS OF PULLING OUT BETTER AND BETTER INFORMATION AND THAT FOR BEING ABLE TO, TO WORK WITH THE STAKEHOLDERS ON THAT. BUT WE ALSO SEEM TO HAVE LOST A LOT OF THAT WITH THE PATH PROCESS. IT'S SOMETHING THAT'S REALLY IMPORTANT THAT IT'S WE'RE MISSING RIGHT NOW IS KIND OF, IS THAT KIND OF ENERGIZATION TIMELINE. SO ALL THE BATCH RELATED INFORMATION RIGHT NOW IS BASED ON THEIR FINAL ENERGIZATION LEVELS, AND WE HAVE NO CLUE WHAT SORT OF THINGS ARE EXPECTED IN 27, 28, 29 30. UM, SO IF THAT LEVEL OF INFORMATION COULD BE PROVIDED, YOU KNOW, THE SAME WAY IT WAS UNDER THE, THE PREVIOUS LARGE CONNECTION PROCESS THAT WOULD, THAT WOULD DO A LOT TOWARDS MARKET CONFIDENCE AND, AND THESE NUMBERS AND WHAT'S, UH, WHAT WE ALL SHOULD BE PLANNING FOR. UM, AND THEN I HAD A QUESTION. SO , THE QUESTION ON THE PROCESS IS, SO THERE'S DIFFERENT LEVELS OF INFORMATION THAT'S GONNA BE REQUIRED IF YOU ARE A STUDY LOAD OR A BASE LOAD, YOU KNOW, THAT'S WHY THE WHOLE POINT OF THIS INITIAL DESIGNATION AT SOME POINT, DID THE STUDY LOADS THEN ALSO NEED TO PROVIDE THAT INFORMATION, ASSUMING THEY CONTINUE ON, SO THIS WHOLE THING GOES THROUGH NOW YOU'RE NO LONGER A STUDY LOAD. ARE THEY GONNA HAVE TO MEET THIS HIGHER LEVEL OF, UM, THIS HIGHER STANDARD IN THAT 60 DAY WINDOW, UM, BEFORE THEY CAN ACCEPT THOSE MEGAWATTS, YOU KNOW, WHEN THEY'RE SUPPOSED TO BE GOING FROM AN INTERMEDIATE AGREEMENT TO AN INTERCONNECTION AGREEMENT? IS THAT SOMETHING THAT HAPPENS BEFORE THE QSA? YOU GET INTO THE QSA, YOU NEED TO TRUE UP AND MAKE SURE YOU'RE, YOU KNOW, DONE ALL YOUR ADDITIONAL, UH, CHECKS AND ALL THAT. WHERE, WHERE DOES THAT FIT IN? SO, YOU KNOW, WE'LL DO, WE'LL GET TO THE INTERCONNECTION STUDY, WE'LL GET THE RESULTS OF THE INTERCONNECTION STUDY. WE WILL, UM, WE'LL BE COMMUNICATED TO THE ILES, YOU KNOW, THE MEGAWATTS THAT THEY ARE ALLOCATED. AND THEN, UH, FROM THE, THERE, THE, THE PIGGER REALLY POINTS BACK TO THE PUC RULE IN 58, 4 81, THE INTERCONNECTION STANDARDS, UM, IN 25 1 94. AND THAT'S, I THINK YOU, YOU HIT IT, IT'S THE INTERCONNECTION AGREEMENT AGREEMENT THAT, UH, IS REFERENCED AT LEAST IN THE PFA PROPOSAL FOR ADOPTION THAT CAME OUT LAST WEEK. UM, SO IT WILL BE THE REQUIREMENTS THAT A LOAD WILL HAVE TO MEET, WILL BE IN THAT, UH, WILL BE REFLECTED IN THOSE STANDARDS. AND THAT, YOU KNOW, WITHIN THE TIMEFRAME THAT'S, THAT'S SET FORTH IN THE, UH, PROPOSAL [05:00:01] FOR ADOPTION, WHICH I THINK RIGHT NOW IS 60 DAYS. YEAH. AND SO THEY'LL NEED TO YEAH, MEET THAT COMMITMENT WINDOW AND THEN THEY'LL BE PICKED UP INTO THE REFINEMENT STUDY. IF A LOAD DOESN'T EXECUTE THAT AGREEMENT, THEN THEY WOULD BE DROPPED FROM THE, THE BATCH ZERO PROCESS AND NOT INCLUDED IN REFINEMENT. YEAH. AND I UNDERSTAND THAT FOR THE, YOU KNOW, THE SECURITY REQUIREMENTS, THE KAYAK PROVIDING THE KAYAK AND ALL AND ALL THAT STUFF, I WAS UNSURE WHEN THEY NEED TO PROVIDE ALL OF THE, YOU KNOW, THE STUFF THAT'S ON SLIDE 13 OF THIS PRESENTATION. THE, SO LIKE THE STUDY LOADS JUST NEED TO DO SITE CONTROL, EVIDENCE, AFFILIATE AND FINANCIAL SECURITY, BUT THESE NOT YET ENTERPRISE NEED TO DO, YOU KNOW, GENERAL CONTRACTORS, SUBSTATION CONTRACTORS, LONG LEAD TIME EQUIPMENT, ALL THAT VERIFICATION. IS THAT RIGHT? YEAH, YEAH. I MEAN, I THINK IT, THE REQUIREMENTS THAT A, A LOAD WILL HAVE TO MEET TO BECOME BASE LOAD GOING FORWARD OR MOVE INTO REFINEMENT, THOSE WILL BE IN THE RULE ITSELF. AND I, WHAT I'VE HEARD THE COMMISSION SAY, AND WHAT I BELIEVE I READ IN THE PFA IS THAT, YOU KNOW, THERE, THERE WERE GOING TO BE THESE CRITERIA THAT WERE SPECIFIC FOR BATCH CRITERIA THAT ARE USED GOING FORWARD OR REQUIREMENTS GOING FORWARD. SO I KNOW SITE CONTROL IS IN THE PFA, UM, OBVIOUSLY THE FINANCIAL SECURITY, UM, I'M NOT SURE THAT HOW MANY OF THE OTHER REQUIREMENTS THAT ARE HERE ARE ACTUALLY PICKED UP INTO THE PFA GOING FORWARD. SO SOME OF THESE MAY JUST BE FOR BATCH ZERO BASE LOADS. THEY MAY NOT BE REQUIREMENTS THAT A STUDY LOAD HAS TO MEET GOING FORWARD, BUT THAT WILL ALL BE SET FORTH IN THE COMMISSION'S. PFA IN THE FINAL SPECIFICALLY, WILL GO INTO EFFECT TO THOSE LOADS THAT'LL BE BASED ON WHATEVER AND, UH, 28 4 OR 58 4 81. RIGHT. SO THIS, UH, YEAH. ENTRY CRITERIA TO BE BASE LOAD FOR BATCH ZERO, NOT NECESSARILY GOING FORWARD CRITERIA. OKAY. IT'S INTERESTING. YES, MA'AM. THANK YOU. BRIAN. THIS IS WHERE YOU'RE SUPPOSED TO BE. I HOPE SO. I HOPE YOU CAN HEAR ME NOW TOO. YEAH, WHAT'D YOU DO? HOW'D YOU FIX IT? I JUST LEFT AND CAME BACK, YOU KNOW, CLASSIC IT, UM, MY QUESTION IS ABOUT THE JULY 10TH, UH, CUTOFF. I, I, I'M NOT REALLY CLEAR ON WHY, UH, THERE'S NOT A GOOD CAUSE EXCEPTION TO, UH, ALLOW FOR, UH, JUST THE, THOSE STUDIES TO BE COMPLETED. IT SEEMED LIKE, YOU KNOW, THE CLOCK RAN OUT ON A LOT OF FOLKS AT MIDNIGHT, AND, UH, I'M CURIOUS ABOUT THAT AND ALSO CURIOUS ABOUT ERCOT TIMELINE TO REJECT ANY GOOD CAUSE EXCEPTION REQUESTS RELATED TO THAT. I JUST, I HAVEN'T SEEN, UH, OR MAYBE YOU SAID, BUT I, I DON'T KNOW THE DATE FOR WHEN YOU'RE GONNA SEND THOSE OUT. YEAH, I GUESS I'LL START WITH THE LAST, YOUR SECOND QUESTION FIRST. UM, I, THAT I EXPECT THAT THAT WILL BE PART OF THE COMMUNICATION ON AUGUST 31ST. UM, FOR THOSE THAT ARE, WE WILL CONTINUE, UM, TO POTENTIALLY ADVANCE AND, AND POTENTIALLY ASK QUESTIONS ABOUT DURING THE VERIFICATION PROCESS AND KNOWS THAT WE ARE NOT GOING TO ADVANCE, UM, ON THE ERCOT SIDE. SO THAT SHOULD BE, HOPEFULLY THAT WILL BE CLEAR AFTER, UH, AND PART OF THE COMMUNICATIONS ON AUGUST 31ST. UM, AS FAR AS REOPENING THE STUDY WINDOW ON JULY 10TH, UM, YOU KNOW, I, I THINK WHAT WHAT PGA 1 45 WAS DOING WAS CREATING A TRANSITIONAL PROCESS. I LOST YOU. I SAID, WE'RE, UM, AND INTO THIS BATCH AND MOVE, MOVE THROUGH THAT, AND WE NEEDED THAT. LOST ME. AM I STILL LOST? YOU'RE STILL, YOU'RE BACK. I'M SORRY. OKAY. SORRY. OR THANK YOU. MAYBE I DO NOT KNOW , BUT, UH, I DON'T KNOW WHERE I CUT OFF . IT'S BEEN A STRUGGLE TODAY. YEAH. JEFF, DO YOU WANNA GO? UH, MAYBE I DON'T WANNA CUT OUT AGAIN. YEAH, SURE. I DON'T KNOW WHERE I STOPPED EITHER. YEAH, NO. YEAH. I THINK WHERE CHRISTINA WAS GOING IS, YOU KNOW, FOR, FOR BATCH ZERO, WE, WE NEEDED A CUTOFF. WE, WE, YOU KNOW, AT, AT SOME POINT YOU HAVE TO END THE OLD PROCESS AND, UH, YOU HAVE TO MOVE ON WITH THE NEW PROCESS. AND WE, UH, PICKED AND, AND STAKEHOLDERS AND BOARD COMMISSION AGREED WITH JULY 10TH BEING THAT DATE AS THE CUTOFF. UM, AND SO WE HAVE, YOU KNOW, THAT THAT TEAM THAT WAS DOING THOSE REVIEWS, THEY HAD TO MOVE ON TO O OTHER [05:05:01] ACTIVITIES RELATED TO BATCH ZERO, WHICH IS WHAT THEY ARE, UH, DOING NOW. UH, AND, AND SO THAT, YOU KNOW, THAT, THAT THAT'S WHAT WE PICKED AND THAT'S WHAT WE ARE MOVING FORWARD WITH. UM, SO YEAH, I, I, I DON'T KNOW THAT THERE'S MUCH MORE TO SAY THAN THAT. ARE YOU GONNA BE INTERVENING IN THESE GOOD CLAUSE EXCEPTIONS IN 5 9 1 4 2 THAT, UM, OR JUST GONNA LET THE COMMISSION DECIDE? I THINK THAT IT WOULD BE, UM, I THINK THE WAY IT'S ENVISIONED RIGHT NOW IS THE ERCOT WOULD BE THE ONE FILING THE GOOD CAUSE EXCEPTION FOR THOSE THAT IT ADVANCES AND IS ASKING THE COMMISSION, UH, FOR ERCOT NOT TO HAVE TO APPLY THE, THE REQUIREMENT, UM, YOU KNOW, IF IT'S A DEADLINE FOR FINANCIAL SECURITY. UM, BUT IT IS, UH, TO THAT PARTICULAR ILE HELPFUL. THANK YOU. THANKS. YEAH. UM, FOR THE COMMUNITY IMPACT ITEMS, IS ERCOT GONNA BE ISSUING THOSE WITH THE MARKET NOTICE OR IN ONE OF THE FILINGS OF THE, WHAT'S IN THE RFI? MY AUDIO IS CUTTING OUT AGAIN. UM, YES, I THINK THE, THE QUESTIONS THAT ARE IN THE COMMUNITY IMPACT R FIVE WILL BE QUESTIONS THAT WE FILE WITH THE PUC. OKAY. THANK YOU SO MUCH. MM-HMM . OKAY. BOB HILTON. OKAY. HAVE YOU GOT ME, IS AUDIO WORKING? YES. DID YOU ALSO WALK AWAY AND COME BACK LIKE BRIAN? NO, I HAD TO SWITCH TO MY PHONE. , UH, ONE QUESTION, AND IT'S ACTUALLY ON THE, UH, YOU KNOW, THE, UH, COMMUNITY IMPACT RFI PROCESS. UH, A COUPLE OF QUESTIONS. THE FIRST ONE IS, AND YOU MAY HAVE COVERED THIS, BUT IT'S BEEN KINDA HARD TO FOLLOW TODAY. UH, WHEN YOU GET THE RFI, YOU KNOW, HERE AT THE END OF THIS MONTH, HAVE YOU DECIDED ON HOW MANY DAYS YOU'RE GONNA HAVE TO RESPOND TO GET THOSE BACK TO YOU? THAT'S THE FIRST QUESTION. NO, THAT IS, UM, UNFORTUNATELY, IT'S STILL TO BE DETERMINED. OKAY. AND, AND THE OTHER PIECE TO THAT IS, OKAY, SAY WE'VE GOT, I'LL JUST THROW OUT A NUMBER, 10 DAYS WE RESPOND. YOU'RE GONNA PUT OUT A REPORT TO THE COMMISSION IN DECEMBER, BUT IN BETWEEN THAT TIMEFRAME, I'M ASSUMING THERE'S GONNA BE, I MEAN, IF YOU HAVE QUESTIONS ON THE ANSWERS YOU GOT, OR YOU NEED BACKUP DATA, YOU'RE GONNA BE ISSUING ADDITIONAL RFIS, THOSE INDIVIDUALS. BUT ARE YOU GONNA LET US KNOW WHENEVER YOU'RE, YOU'VE GOT EVERYTHING YOU NEED ON AN INDIVIDUAL BASIS SO THAT WE'RE NOT SITTING THERE UNTIL DECEMBER THINKING, OKAY, WHEN'S THE NEXT RFI OR QUESTION COMING? ARE YOU GONNA, ARE YOU TALKING ABOUT THAT PROCESS ALSO SO THAT WE'LL KNOW INTERNALLY? OKAY, WE'RE DONE. WE'RE, WE'RE, WE'RE, WE'RE GOOD WITH THIS PIECE. NOW WE KNOW THAT WE'RE NOT GONNA GET ANOTHER RFI QUESTION AND WE CAN RELAX . OKAY. I THINK I CAUGHT MOST OF THAT. UM, WE HADN'T, YEAH, YOU DROPPED OUT THAT TYPE OF KIND OF COMMUNICATION BACK THAT YOU'VE ANSWERED IT. OH MAN, I NEED TO WALK AWAY AND COME BACK. UM, YEAH, I, WE HAVE NOT TALKED ABOUT, ABOUT THAT KIND OF PROCESS, UM, WITH, UH, WITH NOTIFYING OKAY. I WOULD JUST COULD JUST ASK YOU TO CONSIDER THAT SO THAT WE'RE, YOU KNOW, ENTITIES AREN'T JUST SITTING OUT THERE WONDERING WHEN THE NEXT RFI IS COMING OR IF THEY'RE GONNA HAVE ANOTHER RFI, YOU COULD SAY, OKAY, WE'VE GOT EVERYTHING YOU NEED, YOU KNOW, JUST TO LET 'EM KNOW SO THAT THEY GOTTA SAY, OKAY, WE'RE NO, WE'RE DONE WITH THAT. WE DON'T HAVE TO WORRY ABOUT IT. WE CAN MOVE ON TO OTHER THINGS. I WOULD JUST SUGGEST YOU CONSIDER THAT. THANK YOU. THANK YOU BOB. AND LAST IN QUEUE IS BROTH. YEAH. CAN YOU HEAR ME? YEP. OKAY. YEAH, TWO QUICK THINGS. YEAH. PLUS ONE TO WHAT BOB SAID, I THINK I APPRECIATE IF YOU ALL CAN LOOK INTO THAT. UH, THE SECOND ONE IS THE, THE 31ST CONDITIONAL, UH, PROVISIONAL, UH, LIST. UH, DOES THAT TAKE INTO ACCOUNT, UH, THE SECURITIES POSTED AS WELL? STUDIES PLUS THE SECURITIES VALIDATED BY THE TSPS? UM, I MEAN IT'S, I MEAN, AS FAR AS HOW WE ARE CLASSIFYING LOADS, I MEAN, WE ARE CONSIDERING, UH, WE'VE GONE THROUGH AND KIND OF DONE THAT COMPLETENESS CHECK. DO WE HAVE, YOU KNOW, CONFIRMATION FROM THE TSP THROUGH THE LOAD INFORMATION FORM AND SECURITY IS POSTED. UM, OKAY. [05:10:01] AS FAR AS WHETHER IT WAS ACTUALLY POSTED BY THE DEADLINE, THAT WILL BE PART OF THE VERIFICATION PROCESS. OKAY. BUT YOU ARE, UH, TAKING THE TSP ATION INTO ACCOUNT THAT THEY VERIFIED THAT THE SECURITY IS POSTED ON TIME. RIGHT. AND THEN THAT'S WHAT WE'LL VERIFY IN THE VERIFICATION PIECE. YEAH. OKAY. THANK YOU. OKAY. WE'RE AT THE END OF THE QUEUE. JEFF, CHRISTINA, THANK YOU SO MUCH FOR THIS UPDATE. UM, APPRECIATE YOU POINTING OUT THE NEXT STEPS AND KIND OF SHOWING THE CHANNELS THAT FOLKS NEED TO STAY TUNED TO. UH, IF Y'ALL DON'T HAVE ANYTHING ELSE, WE'LL MOVE ON TO THE NEXT ITEM ON THE AGENDA, WHICH IS A LARGELY WORKING GROUP REPORT. BOB WHITMEYER, ARE YOU READY? I AM. IF MY, IF MY MIC IS WORKING LOUD AND CLEAR. ALRIGHT, COOL. ALL RIGHT. I WILL TRY TO MAKE UP A LITTLE BIT OF TIME, BUT NO, NO PROMISES NE NEXT SLIDE PLEASE. UH, SO WE'RE GONNA TALK ABOUT NERC UPDATE NETTED NETWORKS, UH, VRT STANDARD AT ERCOT IS KIND OF SET AND WHAT'S COMING UP NEXT IN SEPTEMBER? NEXT SLIDE PLEASE. SO, UM, WE HAD A, WELL, WE DIDN'T, UH, PJM HAD A LARGE, UM, LOAD TRIP OFF. UM, THAT OF COURSE HAS NERS ATTENTION. NERC HAS A LARGE LOAD WORKING GROUP. ALSO, THEIR STANDARDS ARE A LITTLE BIT DIFFERENT FROM OURS AT THIS POINT. RIGHT NOW THEY ARE LOOKING AT ANYTHING 50 MEGAWATTS, UM, OR GREATER, AND ANYTHING CONNECTED AT A HUNDRED KV OR GREATER, I EXPECT, REGARDLESS OF WHAT HAPPENS IN ERCOT THAT'S GOING TO SAY 69 KV OR GREATER. UM, AND WE'LL HAVE TO SEE WHAT, WHAT HAPPENS WITH THE 50 VERSUS 75 MEGAWATTS WE HAVE TODAY. UM, BUT NERC IS, NERC IS ON THE FAST TRACK. UH, THEY'RE TRYING TO GET ALL THIS STUFF IN BY DECEMBER OF 2026 FOR A, FOR A PROPOSED RULE. SO JUST BRINGING UP EVERYBODY TO SPEED ON THAT NEXT SLIDE PLEASE. OKAY. SO WE BACK IN 2024, ERCOT HAD A CONCEPT CALLED A NETTED NETWORK. UM, IT WOULD IMPROVE ERCOT VISIBILITY TO WHAT WE CONSIDER PUNS. IT WOULD ALSO POTENTIALLY ALLOW WSL TREATMENT FOR BEHIND THE METER BATTERIES THAT ARE PROVIDING WHOLESALE SERVICES. I DO NOT BELIEVE ANYBODY THINKS YOU'RE GONNA GET RETAIL SERVICES FROM A BATTERY BEHIND THE METER AND NOT HAVE TO PAY FOR IT. BUT THERE WAS AN AWFUL LOT OF SUPPORT FOR THIS CONCEPT MOVING FORWARD. AS YOU MAY REMEMBER, UH, VOLTAGE RIDE THROUGH BASICALLY REQUIRES A BATTERY BEHIND THE METER. UM, WE ARE WORKING THROUGH THAT AND I'M GONNA TOUCH ON THAT AGAIN IN JUST A MINUTE. BUT THERE IS A LOT OF INTEREST IN DUSTING OFF THE NETTED NETWORK AND SEEING IF THERE IS A WAY TO DO THAT, UM, FOR BATCH ONE OR BATCH TWO, UM, PROBABLY MORE REALISTICALLY BATCH TWO. UM, BUT, UH, LET'S GO ON TO THE NEXT SLIDE PLEASE. SO, AS I MENTIONED EARLIER, PJM LOST 3,800 MEGAWATTS OF, OF LARGE LOAD AS IT TRANSFERRED TO BACKUP GENERATION. YOU MAY REMEMBER WE TALKED ABOUT THIS AS PART OF THE VOLTAGE RIDE THROUGH. THAT'S WHY ERCOT HAS REQUIREMENTS THAT THE LOAD MUST COME BACK WITHIN TWO SECONDS BECAUSE OF THAT TRANSFER. AND THEY DIDN'T ERCOT, YOU KNOW, FOR HAS SEEN THIS, WE WANNA MAKE SURE IT DIDN'T HAPPEN. UM, BUT THE MAIN POINT HERE IS THAT THE ERCOT VOLTAGE RIDE THROUGH REQUIREMENTS ARE BEING LOOKED AT NOT ONLY BY PJM, BUT I BELIEVE SPP ADOPTED A, AN EARLIER VERSION OF THE ERCOT RIDE THROUGH REQUIREMENTS. BUT WE HAVE A PROBLEM. ERCOT HAS KIND OF SET THE STANDARD AT LEAST MOMENTARILY ON VOLTAGE RIDE THROUGH, BUT THERE'S NO CURRENT TEST OR TESTING FACILITIES TO PROVE COMPLIANCE. ERCOT IS SEEN MODELS THAT SAY THESE LOADS WILL RIDE THROUGH, BUT ERCOT IS SOMEWHAT UNCOMFORTABLE ANYWAY IN DISCLOSING WHO CAN MEET THOSE REQUIREMENTS. THAT LEAVES THE LARGE LOAD THEMSELVES AND THE DEVELOPERS IN A BIT OF A PICKLE BECAUSE THEY WANT TO BRING ERCOT VERIFIABLE SOLUTIONS WHEN THEY TALK TO VENDORS. YOU KNOW, EVERY VENDOR NATURALLY HAS A SOLUTION, BUT THEY REALLY NEED TO SEE SOMETHING THAT IS PROVEN. AND IF ERCOT CAN'T DISCLOSE THAT, IT'S SOMEWHAT PROBLEMATIC. [05:15:01] UM, NEXT SLIDE. SO WHAT ARE WE DOING ABOUT THAT? WELL, NEXT MEETING OF LLWG ON SEPTEMBER 16TH, AND THIS IS A CALL OUT TO DATA CENTERS, UM, THAT HAVE A VOLTAGE RIDE THROUGH. UM, IF I'M HOPING TO RUN THROUGH THE LIST IN ORDER, IF I CAN GET THREE OR FOUR DATA CENTERS THAT HAVE DIFFERENT TECHNOLOGY THAT PROVES VOLTAGE RIDE THROUGH, WE WOULD LOVE TO HEAR FROM YOU. IF WE CAN'T GET THAT, THEN WE WANT VENDORS THAT HAVE, IF THEY'VE GOT SOME SORT OF PROVEN THING THAT THEY CAN SHOW TO AND WE'LL STEP DOWN IN FIRMNESS FROM THERE. UM, IF YOU HAVE A SOLUTION AND WOULD LIKE TO PRESENT, PLEASE CONTACT PATRICK AND I, OUR EMAIL ADDRESSES ARE ON HERE, BUT YOU CAN SEE THE FOUR CIRCLES ON THIS CHART. IF YOU HAVE A DATA CENTER OR A COMPUTATIONAL LOAD IN ONE OF THOSE FOUR CIRCLES, YOU ARE AT RISK. YOU WILL BE ABLE TO ENERGIZE IF YOUR STUDIES WERE DONE BEFORE NOVEMBER 14TH, 2025. BUT YOU WILL BE SUBJECT TO CURTAILMENTS PRE-CON CONTINGENCY, HENCE THAT'S REALLY BAD, UM, IF YOU DON'T HAVE A VOLTAGE RIDE THROUGH. SO I KNOW THERE'S A LOT OF PEOPLE THAT THINK THEY GOT AN EXEMPTION, THEY GOT AN EXEMPTION WITH THE ABILITY TO ENERGIZE. THEY DID NOT GET AN, AN EXEMPTION THAT WILL KEEP THEM ABLE TO CONSUME. THEIR OPERATIONS CAN BE RESTRICTED IF THEY DON'T HAVE VOLTAGE RIDE THROUGH. SO IT IS IN EVERYONE'S BEST INTEREST FOR ERCOT TO GET VOLTAGE RIDE THROUGH SOLUTIONS AS SOON AS POSSIBLE. IF WE CAN KEEP THE, THE NUMBER OF LOADS OR THE MEGAWATTS IN THOSE AREAS BELOW 2,700 MEGAWATTS, PEOPLE WILL BE MUCH HAPPIER THAN IF IT GOES ABOVE THAT NUMBER. SO IF YOU'VE GOT SOMETHING THAT WORKS, PLEASE REACH OUT TO PATRICK AND I, UM, AND I THINK ONE MORE SLIDE, WHICH IS JUST THE QUESTION SLIDE, WHICH DOESN'T SAY QUESTIONS ANYMORE. OH, COOL. WE'RE NOT TAKING ANY QUESTIONS. JUST KIDDING. UM, I JUST SAID WE'RE NOT TAKING ANY QUESTIONS. OH, THERE IT IS. I'M JUST KIDDING THOUGH. UM, ARE THERE ANY QUESTIONS FOR BOB? YEAH, BOB HILTON, WE CAN'T HEAR YOU. BOB HILTON. YEAH, I KNOW I WAS HAVING A PROBLEM GETTING OFF MUTE. JUST POWER POWER COURSE FOR THE YEAH. POWER FOR THE DAY. YEAH. UH, COUPLE OF THINGS. UH, THE FIRST ONE IS BOB, YOU MENTIONED SOMETHING ABOUT THERE WAS A LARGE LOAD LOSS ON THE SYSTEM, UH, THAT, UH, ON DOMINION SYSTEM IN PGA. OH, ON DOMINION, OKAY. OH, NOT ON OURS. OKAY. NOT ON OURS. I WAS CURIOUS. I WAS CURIOUS TO SEE IF IT WAS OURS AND IF WE HAD ANY FOOT ROOM ISSUES ASSOCIATED WITH THAT. SO, 'CAUSE I THINK WHEN WE STARTED DOING ANCILLARY SERVICES MOVING FORWARD, I WAS, I STARTED TO ASK THIS EARLIER, IT WAS JUST TOO COMPLICATED. UH, I'LL HIT THAT OFFLINE ON WHEN ERCOT THINKS WE NEED TO START LOOKING AT A FOOT ROOM, UH, IN THEIR ANCILLARY SERVICE METHODOLOGY, IF AT ALL. SO, UH, THAT WAS JUST, THAT WAS ONE OF THE QUESTIONS, SO THANK YOU FOR THAT. I MISSED THAT I WAS DOMINION. UH, THE SECOND ONE IS THE POINTS YOU WERE MAKING ON THE VRT RIDE THROUGH UHHUH AND SOME THAT CAN, SOME THAT CAN'T. I, I WON'T WANNA EMPHASIZE THAT. YOU KNOW, I, I'D LIKE TO SEE I GET ERCOT NOT WANTING TO HAVE A TEACHER'S PET. UH, THERE'S THE, THE SCHOOL REFERENCE, UH, ON ANYTHING TO KIND OF SINGLE OUT ANY INDIVIDUAL. BUT, YOU KNOW, SOMEHOW WE GOTTA FIGURE OUT WHO CAN, WHO HAS THE RIGHT IDEAS WE CAN GET AT, OUT ACROSS THE MARKET SO THAT WE DON'T HAVE A BUNCH OF PARENT TEACHER CONFERENCES FROM ALL THE LARGE LOADS TRYING TO FIGURE IT OUT WITH ERCOT. SO ANYTHING THAT CAN BE DONE TO HELP THAT OUT IN ERCOT HELP FACILITATE THAT, I THINK WOULD BE EXTREMELY HELPFUL. SO THANKS FOR BRINGING THAT UP, BOB. YEAH, WE, WE REALLY NEED ERCOT HELP SOME WAY OR ANOTHER TO IDENTIFY THINGS THAT THEY HAVE SEEN RIDE THROUGH BECAUSE, YOU KNOW, EFFECTIVELY WE, WE HAVE SET A STANDARD, WE CERTAINLY SET ONE FOR ERCOT. WE MAY HAVE SET ONE FOR THE ENTIRE PLANET, BUT WE NEED HELP IN KNOWING WHAT WORKS. UM, YEAH, THIS IS A BIG DEAL. WE NEED TO, WE NEED TO GET TO THE BOTTOM OF IT. THANKS. THANK YOU, BOB. BUR HEY MARTHA. UH, CAN YOU HEAR ME? YEAH, I JUST, I JUST TYPED MY, YOU KNOW, SUPPORT TO BOTH, BOTH BOTS THAT I THINK IT'S, IT'S, IT'S, UH, YOU KNOW, GIVEN HOW MUCH LOAD, LARGE LOADS ARE GOING TO BE ENERGIZED AND HOW, YOU KNOW, WE ARE TALKING TO MANY [05:20:01] VENDORS, I THINK IT WOULD BE SUPER USEFUL TO KNOW THESE ARE CAUGHT APPROVED VENDORS AT SOME LEVEL. UH, AND, UH, IF YOU CAN KNOW THAT IT WOULD BE, YOU KNOW, GOOD FOR A LOT OF DEVELOPERS OUT THERE THAT CAN, UH, INSTALL RIGHT SOLUTIONS TO SUPPORT THE GRID. YEAH, JUST POINT OUT BAR ROSS, RIGHT NOW, MY, MY LIST OF PEOPLE THAT HAVE SOMETHING IS A NICE ROUND ZERO NUMBER . SO IF, IF YOU'VE GOT SOMETHING, YOU CAN BE FIRST ON THE LIST. OKAY. OKAY. THANK YOU BOB WHITMEYER. UM, YOU KNOW, PLEASE, UH, FOLLOW HIS PLEA. IF YOU HAVE ANY, UH, INFORMATION THAT YOU COULD HELP CONTRIBUTE TO THE L-L-G-L-L-W-G DISCUSSIONS AROUND BOLTED RIDE THROUGH SOLUTIONS, PLEASE REACH OUT TO PATRICK OR BOB WHITMEYER. UM, FROM HERE WE WILL MOVE ON TO THE COMPREHENSIVE TRANSMISSION PLAN AND BATCH ONE UPDATE, WHICH IS GONNA BE COVERED BY MATT MARINAS. THANK YOU, MARTHA. AND THIS WILL BE RELATIVELY QUICK. CHRISTIE PRESENTED MOST OF THIS MATERIAL LAST TIME. UH, THE IDEAS ON SLIDE TWO IS WE'VE TALKED QUITE A BIT ABOUT BATCH ZERO TODAY. BATCH ZERO EXECUTES IN A KIND OF A STANDALONE PROCESS TO PLAN, UH, GET COMMITMENT, AND THEN THERE'S A REFINEMENT PROCESS BEHIND IT. AND THE IDEA HAS BEEN HOW DOES THE BATCH PROCESS SERVE AS AN INTAKE PROCESS THAT FEEDS INTO THE OTHER PLANNING RELIABILITY ASSESSMENT. SO THERE'S THE IDEA OF WHAT DOES IT LOOK LIKE TO DROP INTO A SET OF RELIABILITY STUDY. SO TO GET TO THAT, WE'RE TALKING ABOUT WHAT DOES IT LOOK LIKE TO CHANGE THE BATCH PROCESS BECAUSE THERE'S A LOT OF LEFTOVER IDEAS FROM BATCH ZERO OR LESSONS LEARNED. AND THEN THE OTHER HALF OF THE EQUATION WAS WHEN IT COMES TO THESE RELIABILITY STUDIES AND RUNNING THEM, WHAT'S THE BEST WAY TO PLAN OUR SYSTEM WHERE THE LOADS ARE FITTING, THE PLANNING STUDIES AND THE PLANNING STUDIES CREATE THE NEXT SET OF STUDIES TO RUN THE BATCH. SO THE NEXT COUPLE SLIDES I WON'T READ THROUGH, CHRISTIE PROVIDED THEM LAST TIME, WHICH IS SLIDES THREE AND FOUR, IS THERE HAVE BEEN SOME HIGH LEVEL IDEAS ON HOW TO GET THESE COMPREHENSIVE TRANSMISSION PLANNING DONE. SOME IDEAS ON HOW TO IMPROVE BATCH THAT WE HAVE ON THOSE TWO. AND THEN SLIDE FIVE IS REALLY THE WAY WE'RE TRYING TO SET THE STAGE FOR THE STAKEHOLDERS TO ENGAGE THIS. AND SO THE TOP LINE SAYS INTERVIEW TSP PLANNING STAFF WITH REGARDS TO THESE CHANGES. WE'VE ALREADY BEEN DOING THAT FOR ABOUT SIX WEEKS. UH, WE'VE, WE'RE STARTING TO WRAP UP THOSE ACTIVITIES AND THAT'S GONNA FEED INTO THIS FIRST WORKSHOP, WHICH IS ON MONDAY FROM FROM 1:00 PM TO 5:00 PM AND THAT IS TO START TALKING ABOUT THE DRAFT SCOPE OF WHAT THESE CHANGES MIGHT LOOK LIKE. AND SO AFTER THAT WOULD BE, WE'VE SKIPPED WHAT WE HAD BEFORE. ATTAC WAS A VERY COMPRESSED SCHEDULE. UH, PEOPLE ARE BEING TRIGGERED BY THE BIGGER 1 45 ACTIVITIES AND SAID, IS THERE A WAY FOR THINGS TO SLOW DOWN A BIT? AND SO WE'VE RE PACED THIS TO WHERE IT'S RUNNING SLOWER. IT'S EVERY THREE OR FOUR WEEKS IS A WORKSHOP. AND INSTEAD OF A, UM, GOAL OF GETTING TO THE FEBRUARY BOARD MEETING, IT'S NOW A GOAL TO GET TO THE APRIL BOARD MEETING. AND SO WE'RE GOING A LITTLE SLOWER ON THESE PIECES. UM, WE'RE ALWAYS GONNA BE MORE TIME DOESN'T NEED, BUT LETS MORE SCOPE IN. BUT IT DOES SAY, UH, WORK AT A PACE THAT CAN SURVIVE ALL OF THE PARALLEL BATCH ZERO ACTIVITIES THAT ARE GOING ON. SO, UM, THAT'S THE MAIN THING I WANTED TO DO WAS REMIND PEOPLE THE FIRST WORKSHOP IS NEXT MONDAY THAT WE HAVE CANCELED THE SEPTEMBER 10TH MEETING. SO THE NEXT ONE WOULD BE SEPTEMBER 24TH. UH, I'VE HAD AT LEAST ONE STAKEHOLDER THROW SHADE AT THE IDEA OF 9 24. THAT'S A VERY BUSY WEEK ALREADY. DON'T MAKE IT WORSE, BUT THAT SEEMS TO BE THE ONLY DAY THAT FITS INTO THE SCHEDULE FOR US. AND, UM, I HOPE THAT SETS THE STAGE FOR GETTING THINGS ROLLING. AND AGAIN, I'LL KEEP COMING BACK TO TACK WITH UPDATES ON HOW OUR WORKSHOPS GO, BUT, UH, THAT'S WHAT I HAVE FOR NOW. THANKS, MARTHA. I'LL TAKE ANY QUESTIONS. OKAY, THANK YOU MATT. UM, ARE THERE ANY QUESTIONS FOR MATT MARINAS ON WHAT'S TO COME ON BATCH ONE AND CTP? AND I WOULD JUST SAY WE APPRECIATE ERCOT SORT OF TAKING THAT FEEDBACK THAT FOLKS HAVE ARTICULATED ABOUT THE, THE INITIAL SCHEDULE. UM, THIS LOOKS MUCH MORE REASONABLE, SO APPRECIATE Y'ALL'S WORK ON JUST KIND OF, YOU KNOW, THINKING WHAT THIS COULD, COULD LOOK LIKE. OKAY. I DON'T SEE ANYONE IN THE QUEUE, MATT, SO I THINK THAT YOU ARE CLEAR, AND HE'S NOTED AS A FINAL PARTING THOUGHT THAT ERCOT GONNA POST THE WORKSHOP MATERIALS FOR TOMORROW AUGUST, AUGUST 31ST WORKSHOP. SORRY, YEAH, GO AHEAD. THERE'S, THERE'S NO SPELL CHECK IN WEBEX, SORRY, FOR TOMORROW NIGHT. YES. SO THURSDAY EVENING. SO YOU HAVE AT LEAST ONE BUSINESS DAY AHEAD OF THE WORKSHOP TO SEE WHAT'S HAPPENING. SO THANKS. OKAY. THANK YOU VERY MUCH. NEXT ITEM [11. ERCOT Reports ] [05:25:01] ON THE AGENDA. WE'RE MOVING INTO THE ERCOT REPORTS. ITEM 11, UH, THE FIRST ONE IS THE STAKEHOLDER ENGAGEMENT FOR SEPTEMBER BOARD. UM, I DON'T SEE REBECCA ON, SO ANN, DO YOU WANNA COVER THIS ONE FOR THE GROUP? SURE, I CAN DO THAT. UM, SO REBECCA HAD TALKED ABOUT THIS AT THE LAST TAC MEETING. UM, BASICALLY THE STAKEHOLDER ENGAGEMENT AT THE SEPTEMBER BOARD. UM, THE TOPIC WILL BE COMPREHENSIVE TRANSMISSION PLANNING. UM, AND THE PURPOSE IS TO PROVIDE A PERSPECTIVE ON HOW, UH, CTP ISSUES AFFECT DIFFERENT MARKET SEGMENTS. AND REALLY THE EMPHASIS SHOULD BE AN INSIGHT AND NOT ADVOCACY. UM, WE HAVE BEEN WORKING WITH, UM, SOME OF THE MARKET SEGMENTS AND WE WILL HAVE REPRESENTATION FROM TSPS GENERATORS AND CONSUMERS. AND WE'VE PROVIDED THEM WITH SOME POLICY DISCUSSION PROMPTS, UM, REALLY TO LET THE BOARD KNOW, UM, WHAT'S IMPORTANT TO CONSIDER DURING A CTP PLANNING PROGRAM EVALUATION. AND THOSE ARE THE PROMPTS LISTED THERE. I WON'T READ THEM ALL, UM, BUT YOU CAN EXPECT TO SEE THIS, UM, AT THIS SEPTEMBER BOARD MEETING. OKAY, THANK YOU. ARE THERE ANY QUESTIONS FOR ANN ABOUT SEPTEMBER BOARD AND THE STAKEHOLDER ENGAGEMENT TOPIC? BRIAN, BOB, WE'LL LOOK FORWARD TO YOUR, UH, WORDS OF WISDOM IN SEPTEMBER. THAT TAKES US TO THE NEXT TOPIC, WHICH IS THE ERCOT.COM REDESIGN UPDATE. SO WE HAVE PRIYANKA FOR THAT ITEM. HI, GOOD AFTERNOON. CAN YOU HEAR ME OKAY? WE CAN HEAR YOU. PERFECT. UM, THANKS FOR HAVING ME ON THIS CALL. UM, THIS GIVES ME AN OPPORTUNITY TO TALK ABOUT ER.COM WEBSITE REDESIGN. I'LL KEEP IT VERY QUICK. UM, WE HAVE BEEN WORKING ON THIS REDESIGN FOR AT LEAST A YEAR NOW. UM, WE HAVE OUR, UM, DESIGN BEING IMPLEMENTED THIS YEAR, AND WE ARE AT THAT STAGE WHERE WE WOULD LOVE TO GET, UH, STAKEHOLDER FEEDBACK. UM, CAN YOU GO TO THE, UH, THE NEXT SLIDE PLEASE? SO THIS, THIS SLIDE, UM, AT A, AT A VERY ZOOMED OUT LEVEL DESCRIBES WHAT WE'VE BEEN DOING AND, UM, HOW WE'VE BEEN DOCUMENTING PAIN POINTS AND HOW WE ARE WORKING ON TO WORKING TOWARDS MAKING OUR WEBSITE MORE USER FRIENDLY AND, UM, INTUITIVE FOR OUR STAKEHOLDERS. SO WE ARE, UH, AT A STAGE WHERE WE REALLY NEED YOUR FEEDBACK ON OUR INITIAL DESIGN. WE'VE JUST LAID OUT THE SKELETON AND, UH, WE WOULD REALLY APPRECIATE IF YOU ALL CAN TAKE SOME TIME TO GIVE US YOUR VALUABLE FEEDBACK. I HAVE ADDED A SURVEYMONKEY LINK TO THE CHAT. UM, CAN YOU GO TO THE NEXT SLIDE, PLEASE? I HAVE ADDED A SURVEYMONKEY, UH, LINK TO THE CHAT. UM, I ALSO HAVE A QR CODE ON THE SCREEN. UM, PLEASE DO LET US KNOW YOUR EMAIL ADDRESS IF YOU'RE WILLING TO GIVE US, UH, SOME OF YOUR PRECIOUS TIME TO JUST, UM, REVIEW AND, UM, UH, SHARE YOUR FEEDBACK ON THE NEW DESIGN. UM, WE WOULD REALLY APPRECIATE IT. UM, WE ARE PLANNING ON RELEASING OUR MVP END OF Q3, UM, AND THAT'S WHEN I'LL BE REACHING OUT TO, UM, ALL THE STAKEHOLDERS WHO HAVE, UM, GIVEN US YOUR EMAIL IDS TO SEE IF WE CAN GET ON A CALL AND JUST GO OVER THE REDESIGN WEBSITE. OR IF YOU WOULD PREFER TO DO IT AT YOUR OWN CONVENIENCE, WE WILL GIVE YOU THE URL AND, UH, YOU CAN, UM, LOOK AT THE WEBSITE AT YOUR CONVENIENCE AND GIVE US YOUR FEEDBACK AS WELL. APPRECIATE THE TIME TODAY. UM, THANK YOU. DO YOU ALL HAVE ANY QUESTIONS FOR ME? THANK YOU, PRIYANKA. DOES ANYONE HAVE ANY QUESTIONS ABOUT THE ERCO WEBSITE REDESIGN EFFORT? I GUESS ONE HERE MIGHT BE HELPFUL. COULD YOU TELL US HOW LONG THE SURVEY'S GONNA BE OPEN? PRIYANKA? I'M GONNA KEEP IT OPEN FOR AT LEAST A COUPLE OF WEEKS, UM, TO MAKE SURE WE HAVE, UH, PARTICIPATION FROM STAKEHOLDERS. WE ARE THIS CRUCIAL MOMENT WHERE WE WANNA MAKE SURE THAT WE HAVE DONE EVERYTHING RIGHT, UM, TOWARDS THIS REDESIGN. SO THIS IS EXTREMELY IMPORTANT TO US. ALSO, UH, ONE OTHER POINT I WANT TO TOUCH UPON IS THE CONTENT SEGREGATION, UM, ON EARTH.COM. AS YOU ALL KNOW, WE DON'T REALLY, UM, REMOVE ANYTHING AND THAT IS GONNA CONTINUE, BUT WE ARE PLANNING ON SEGREGATING CONTENT IS ACTIVE VERSUS ARCHIVED, UH, THAT WAY WE CAN IMPROVE OUR SEARCH, UH, THAT IS OUR PRIMARY GOAL. AND, UH, BY, UM, UM, CATEGORIZING THE CONTENT EFFICIENTLY, WE'LL BE LOOKING AT, UH, A BETTER SEARCH EXPERIENCE FOR ALL. OKAY, GREAT. THANK YOU VERY MUCH FOR THE UPDATE. UM, I GUESS I WOULD SAY IF YOU DON'T GET A LOT OF RESPONSES IN THE FIRST COUPLE [05:30:01] WEEKS, YOU MIGHT JUST CONSIDER SENDING IT OUT TO TAC LISTSERV OR ONE OF THE OTHER LISTSERVS JUST TO SORT OF POKE PEOPLE. SURE. ABSOLUTELY. THANK YOU. APPRECIATE IT. THANK YOU. APPRECIATE THE UPDATE. NEXT WE HAVE THE GRID RESEARCH INNOVATION AND TRANSFORMATION IE GRIT UPDATE, AND I'LL TURN IT OVER TO PRASHANT FOR THAT. HEY, MARTHA, CAN YOU PULL UP THE SLIDE? YEAH. OKAY, PERFECT. UM, SO YEAH, SO THE THE GRID TRANSFORMATION UPDATE IS, I THINK PROBABLY SOME OF YOU MIGHT REMEMBER WE DID THIS BACK IN FEBRUARY. UH, SO WE TRY TO BE AT A SIX MONTH CADENCE TO BRING THOSE UPDATES TO THE TEAM. UH, AND, AND WHAT THE GRID FUNCTION IS AT ERCOT IS MOSTLY FOCUSING ON, UH, SOME OF THE EMERGING PROBLEMS AND, YOU KNOW, UH, SOLUTIONS THAT WE ARE SEEING IN THE INDUSTRY THAT ARE, I WOULD SAY THAT NEEDS SOME INITIAL DEEP DIVE, UH, SO THAT WE CAN, UH, YOU KNOW, CLOSE THE LOOP THROUGH A STAKEHOLDER PROCESS. UH, SO THAT'S, THAT'S WHAT REALLY GRID FUNCTION IS. ATCO. UH, YOU CAN GO TO THE NEXT SLIDE. YEAH, I'LL, I'LL NOT GO WHERE THIS SLIDE. I THINK WE ALL UNDERSTAND THE PROBLEM AND THE REASON WHY SUCH A FUNCTION IS, UH, IS SORT OF LIKE CAME UP INCO TO HAVE, HAVE A CENTRALIZED, UH, YOU KNOW, SORT OF TRACKING OF WHAT ALL THESE IDEAS ARE AND WORKING THROUGH OUR, OUR TEAMS TO, YOU KNOW, UM, TO, TO GET GOING ON SOME OF THESE, YOU KNOW, DEEP DIVING, THE WHITE PAPERS OR, UH, POCS, UH, TO FIGURE OUT THE SOLUTION. SO I THINK WE CAN KEEP GOING. UM, I THINK WE CAN, WE CAN SKIP, I THINK I, I ALREADY EXPLAINED THE PURPOSE AND THE VISION OF THE GRID TEAM, AND IT, IT REALLY TIES BACK TO THE STRATEGIC OBJECTIVE FOR OUR CORE TO BE THE MOST INNOVATIVE AND RELIABLE, UH, YOU KNOW, ISO IN THE WORLD. UM, I THINK WE CAN KEEP GOING. SO I, I THINK FROM THE PROCESS PERSPECTIVE, UH, UH, SO IT'S REALLY LIKE, UH, TRYING TO LIKE GET ALL THE FEEDBACK THAT WE GET FROM THE INDUSTRY AND OUR, OUR VENDOR PARTNERS, OUR NATIONAL LABS UNIVERSITIES, AND HAVING A LOT OF INTERNAL DISCUSSION AND THROUGH STAKEHOLDER DISCUSSION TO FIGURE OUT, UH, LIKE WHAT ARE THESE, UH, PROBLEMS SPECIFICALLY THAT BELONG IN THE GRID SPACE. AND, UH, YOU CAN GO TO THE NEXT SLIDE, WHICH IS, WHICH IS THE, WHICH IS THE LENS WE ARE TAKING HERE IS IF THERE ARE PROBLEMS WHICH ARE NOT WELL DEFINED AND THAT NEEDS, UM, SOME SORT OF, UH, INITIAL RESEARCH, UH, THEN WE CAN WRITE A WHITE PAPER ON IT, AND THAT COULD BELONG IN THE GRID SPACE. UH, AND ALSO IF THERE ARE SOLUTIONS THAT ARE NOT WELL DEFINED, AND THERE ARE MAYBE A LOT OF OPTIONS, BUT MAYBE NOT CLEAR OPTIONS THAT WE CAN TRY, UH, THAT, THAT COULD ALSO BELONG IN THE GRID SPACE. AND THIS IS HOW WE ARE DECIDING, UH, THE INITIATIVES THAT WE TAKE ON. UM, AND ALSO THIS IS HOW WE'RE DECIDING WHEN TO STOP THE INITIATIVE, BECAUSE ONCE WE ARE DONE WITH BOTH, ESSENTIALLY THAT IT, IT CAN FOLD BACK TO THE STAKEHOLDER PROCESS, UM, AS MAYBE YOU CAN GO TO THE NEXT SLIDE. SO, UH, THAT'S WHAT, THAT'S WHAT WE ARE SHOWING HERE. SO ONCE WE HAVE THE INITIATIVES DECIDED, UH, AND WE ARE IN THE ROAD MAPPING PROCESS FOR 2027 RIGHT NOW. SO YOU WILL SEE A UPDATED 2027 ROADMAP NEXT YEAR ON OUR COURT WEBSITE. UH, WE HAVE A 2026 ROADMAP RIGHT NOW. SO IF YOU WANT TO LOOK AT THE GRID WEBSITE, SO WE, WE ARE GOING THROUGH THIS PROCESS RIGHT NOW, UM, AND, UH, ONCE WE HAVE THIS, YOU KNOW, WHITE PAPER OR THE POC DONE, THEN IT GOES BACK TO THE REGULAR PROCESS THAT WE HAVE A STAKEHOLDER PROCESS. SO THIS IS NOT BYPASSING ANY STAKEHOLDER PROCESS. THIS IS REALLY THE INITIAL LEGWORK, UH, SO THAT WE, WE HAVE A CLEAR UNDERSTANDING OF WHAT THESE PROBLEMS AND SOLUTION OPTIONS ARE. UH, WE CAN GO TO THE NEXT SLIDE AND, AND AS AN EXAMPLE, LIKE WHAT, WHAT ARE THESE PROBLEMS, YOU KNOW, THAT THAT SORT OF BUBBLE UP TO BE, UH, LIKE A GRID TRANSFORMATION WORK, UH, IS, LIKE, FOR EXAMPLE, WE ARE WORKING ON A EMT WHITE PAPER. UH, I'M SURE A LOT OF PEOPLE IN THE GROUP ARE AWARE OF WHAT EMT UH, MODELS ARE, UH, WHICH ARE, WHICH WE USE A PSCA BASICALLY SOFTWARE TO RUN SOME OF THESE MODELS. UM, AND, AND AS MANY PEOPLE ON THIS CALL AWARE, UH, MOST OF THESE, UM, MODELS ARE TRYING TO CAPTURE, UH, FAST CONTROL RESPONSES, WHICH ARE MOSTLY, UH, THROUGH IBR OR ELECTRONICS BASED CONTROLS, UH, WHICH, WHICH SOMETIMES MIGHT NOT BE CAPTURED IN THE RMS MODEL. SO THE IDEA IS, UM, AND THERE ARE A LOT OF DISCUSSION IN THE INDUSTRY. THERE ARE BUNCH OF TASK FORCE, BUNCH OF SOLUTION OPTIONS THAT THE INDUSTRY, UH, IS TALKING THROUGH. BUT SO THE IDEA FOR US WAS WE WANTED TO WRITE DOWN THIS, UH, THIS WHOLE IDEA OF, UM, WHAT ARE THE EMT MODELING AND THE CHALLENGES, UM, AS, AS ARCOT SEES IT. UH, AND THE, AND THE END GOAL IS REALLY, ONCE WE HAVE SOME OF THESE THINGS DISTILLED, THE CONVERSATION FOR US BECOMES EASIER BECAUSE WE, WE HAVE A LOT OF ENGAGEMENT GOING ON, LIKE, UH, UH, AND, YOU KNOW, IT'S, IT'S SOMETIMES HARD TO TELL EXACTLY WHAT WE ARE CHASING BECAUSE I MEAN, WE, WE KNOW THAT INTERNALLY, BUT IT'S, [05:35:01] IT'S IMPORTANT TO HAVE THAT NARRATIVE WRITTEN OUT SO THAT WE ATTRACT THE RIGHT PARTNERSHIPS, ATTRACT THE RIGHT, YOU KNOW, UH, PROBLEMS THAT YOU WANT TO TACKLE. SO, SO YOU WILL SEE THIS WHITE PAPER COMING OUT BY END OF THE YEAR ON OUR WEBSITE. SO, YEAH, SO, UM, YOU CAN GO TO THE NEXT SLIDE. YEAH, SO THIS IS JUST SHOWING THE ROADMAP. SO WE ARE WORKING ON THE WHITE PAPER RIGHT NOW. THIS WHITE PAPER MIGHT LEAD TO SOME POCS IDEAS. WE DON'T KNOW WHAT THOSE IDEAS WOULD BE RIGHT NOW, UH, BUT YOU KNOW, WE, ONCE WE HAVE THE WHITE PAPER, UH, I HOPE THAT ATTRACTS THE, THE RIGHT PARTNERSHIP AND RIGHT POC IDEAS, UH, THROUGH THAT WORK. UH, AND MAYBE LIKE WE CAN, AS A POTENTIAL NEXT STEP, WE CAN, YOU KNOW, FURTHER UNDERSTAND, YOU KNOW, WHAT TOOLS OR PROCESSES WE WANT TO THINK ABOUT, UH, THAT EVENTUALLY WE'LL BE CLOSING THE LOOP IN THE STAKEHOLDER PROCESS. BUT, UH, FROM THE INITIAL THOUGHT PROCESS, SO I THINK WE CAN KEEP GOING. SO OVERALL, THIS YEAR WE HAD, UM, 18 INITIATIVES ON THE ROADMAP. UH, SOME OF THESE INITIATIVES ARE STARTING TO TRANSITION IN OUR INTERNAL PROCESS. AND BY INTERNAL PROCESS, I MEAN, UH, ONCE THE POC OR THE WHITE PAPER IS DONE, UH, WE ARE TRYING TO LET GET TO OUR INTERNAL, YOU KNOW, PROCESS OF BRINGING THE IDEA TO OUR BUSINESS TEAM, EVEN THOUGH OUR, OUR BUSINESS TEAMS ARE ALREADY VERY INVOLVED IN IT. BUT, UH, WHAT WE ARE LEARNING IS AFTER THE POC IS DONE, THERE ARE STILL MULTIPLE OPTIONS, UH, THAT ARE ON THE TABLE. SO HOW DO WE, UM, CLARIFY THOSE THINGS? HOW DO WE BRING IT TO THE, THE INTERNAL CHARTER OF, YOU KNOW, WHAT, WHAT SOLUTIONS WE CAN DIG TO THE STAKEHOLDER PROCESS. SO WE ARE, WE ARE WORKING THROUGH, UH, UH, UH, FIRST THREE THINGS HERE, WHICH ARE MORE FOCUSED ON, YEAH, ESR COMMITMENTS OR ESR ENERGY SUFFICIENCY ON THE, ON THE DER, UH, DATA, YOU KNOW, UM, RECEIVING PLATFORM, ATIONAL AWARENESS PLATFORM. UH, AND, AND SOME THINGS ABOUT THAT. WE WERE TRYING ON THE METADATA DISAGGREGATION USING AI. UM, AND THERE ARE OTHER INITIATIVES WHICH ARE AROUND, YOU KNOW, ME MEASURING SYSTEM STRENGTH AND INERTIA USING PMU DATA, UH, THAT WE ARE WORKING ON RIGHT NOW. AND, UH, UH, INITIATIVE FIVE AND SIX ARE MORE FOCUSED ON FINDING THE RIGHT OPTIMIZATION ENGINES, UH, FOR REACTIVE POWER COORDINATION OR, OR S-C-O-P-F PROBLEM IN GENERAL. UM, THE SEVENTH INITIATIVE IS MORE FOCUSED ON IMPEDANCE SCAN TOOLS, UH, WHICH AGAIN, THERE ARE MANY OPTIONS. UH, SO, UH, SO WE ARE WORKING WITH OUR STABILITY TEAM TO FIND OUT IS THERE A VIABLE OPTION FOR US TO USE. SO CAN YOU GO TO THE NEXT SLIDE? SO, SO NUMBER EIGHT IS, IS, UH, MORE FOCUSED ON, UH, OPEN SOURCE PS CAD MODEL THAT WE PRODUCED WORKING WITH TEXAS AND M UH, THAT IS, UH, FOR CRYPTO AND LARGE LOAD. UM, AND THE THOUGHT PROCESS WAS, UH, TO, BY PRODUCING THIS MODEL, UH, ESSENTIALLY WHEN WE UNDERSTAND OURSELF, YOU KNOW, WHAT ARE THE CONTROLS, UH, THAT ARE BEING PROPOSED RIGHT NOW IN THROUGH, YOU KNOW, DIFFERENT FORUMS LIKE OPEN COMPUTE, UH, UH, PLATFORM OR OCP, UM, UH, SO WE WANTED TO DO MODELS, SOME OF THESE THINGS IN PS SCAN AND, YOU KNOW, SHARE WITH THE INDUSTRY. UM, SO, SO THAT, THAT MODEL IS ALREADY THERE ON OUR CORE WEBSITE IF, IF ANYBODY'S INTERESTED, UH, TO USE THIS. UM, NUMBER NINE IS MORE FOCUSED ON AI APPLICATION FOR POWER FLOWS, WHICH AGAIN, THERE ARE MULTIPLE COMPANIES, MULTIPLE OPTIONS, UH, ON USING TO, TO USING AI TO SPEED UP POWER FLOWS. SO WE ARE, WE ARE TRYING SOME OF THOSE, UH, THE NUMBER 10 IS MORE FOCUSED ON GIVEN, UH, WE HAVE NEGATIVE SEQUENCE INJECTION REQUIREMENT IN NOGO 2 45. UH, SO OUR, SO BASICALLY OUR CODE WORK THROUGH, YOU KNOW, UH, THE PREDICTION WORKING GROUP, UH, SHORT CIRCUIT PREDICTION WORKING GROUP, AND, YOU KNOW, DISCUSS SOME OF THE IDEAS, WHAT CAN BE THE, THE, THE, UM, WHAT CAN BE THE POSSIBLE WAYS TO IMPLEMENT NEGATIVE SEQUENCE CURRENT INJECTION. AND AGAIN, THIS IS NOT, UH, THE, THE REQUIREMENT OR THE GUIDELINE. THIS IS, THIS IS NOT A REQUIREMENT. THIS IS MORE LIKE A, UH, GUIDELINE, UH, THAT, YOU KNOW, AND, UH, UH, PROTECTION WORKING GROUP CAME UP WITH. SO, AND THIS, THERE WILL BE MORE DISCUSSION ON THAT, BUT THERE WILL BE INITIAL WHITE PAPER THAT WE'LL PUT ON OUR WEBSITE, UH, BASED ON THE LEARNINGS WE HAD THROUGH THIS EXPERIENCE. UH, THERE WILL BE, THERE IS SOME WORK THAT WE ARE DOING WITH U AUSTIN ON GRID FORMING CONTROLS, UM, ESPECIALLY THE CORRECTION OF THE GRID FORMING CONTROLS AND, AND THE POWER QUALITY ISSUES THAT MIGHT EMERGE WITH A LOT OF ELECTRONICS DEVICE. SO THOSE, THOSE REPORTS YOU WILL ALSO SEE ON THE WEBSITE BY END OF THE YEAR. UH, THERE, THERE IS SOME WORK, UH, WHICH IS NUMBER 14 ON, UM, UH, LIKE, UH, USING A SINGLE TOOL FOR ECONOMIC AND ANALYSIS, ET CETERA, ECONOMIC AND ANALYSIS AND CAPACITY EXPANSION, RELIABILITY ANALYSIS. SO WE ARE DOING SOME RFP ON IT RIGHT NOW. UH, YOU CAN GO TO THE NEXT SLIDE. UM, YEAH, AND THERE, THERE ARE SOME WHITE PAPER BEING WRITTEN ON, YOU KNOW, DYNAMIC ANCILLARY SERVICES AS A, AS A CONCEPT, UH, WHICH, UM, [05:40:01] WHICH AGAIN WILL BE AVAILABLE BY ANOTHER YEAR. UH, I TALKED ABOUT THE E MT STRATEGY, WHICH IS, UH, UH, NUMBER 16TH. AND THERE, THERE ARE SOME OPEN SOURCE DATA SETS THAT WE ARE PRODUCING WITH TEXAS, EM A, TEXAS A AND M, UH, WHICH IS A SYNTHETIC GRID DATA FOR, UH, FOR A GRID, UH, LIKE 10,000 BUS DATA, UH, SO THAT WE CAN WORK WITH A LOT OF THESE RESEARCH PARTNERS WITHOUT WORRYING ABOUT THE CONFIDENTIALITY OF THE DATA THAT WE HAVE AT ERCOT. UM, SO, SO THAT'S THE IDEA OF PRODUCING, UH, ISO SORT OF BACKED, UH, SYNTHETIC DATA, UH, THAT AGAIN, WE CAN USE INTERNALLY AND EXTERNALLY FOR RESEARCH PURPOSES. UH, SO HOPEFULLY THAT WILL BE THERE BY, ON OUR WEBSITE BY END OF THE YEAR TOO. UH, AND THERE'S SOME WORK DONE ON TOPOLOGY OPTIMIZATION, SOFTWARE USAGE. UM, UM, SO YEAH, SO THAT IS, I'M NOT SURE THERE WILL BE A WHITE PAPER ON IT, BUT THAT IS A CONCEPT. UH, WE WERE TESTING, YOU KNOW, AS A, LIKE THERE'S A SOFTWARE WORK, CAN WE USE IT? UH, THINGS LIKE THAT. SO, UH, AND THERE'S A LAST LIGHT. UM, SO, SO ONE THING WE DID IS, IS TRY TO CENTRALIZE SOME OF THE I IDEA INTAKE PROCESS. IF, IF, YOU KNOW, VENDORS WANT TO ENGAGE WITH ERCOT ON SOME OF THE NEW INNOVATIVE IDEAS IS THROUGH THE RIGHT, UH, PROGRAM, UH, WHICH IS, UH, A LINK ON OUR, ON OUR, OUR CORE.COM WEBSITE. YOU CAN, YOU CAN FIND THIS RIGHT, UH, PARTNERSHIP PROGRAM. IF YOU HAVE IDEAS, YOU CAN SUBMIT THOSE IDEAS THROUGH THE RIGHT PROGRAM. AND, AND THE IDEA IS TO MORE CENTRALIZE THAT INTAKE, UH, BECAUSE, YOU KNOW, WE HAVE A LOT OF PEOPLE RECEIVING THE SAME EMAIL FROM DIFFERENT VENDORS, AND THE THOUGHT PROCESS WAS TO BRING IT TOGETHER THROUGH THIS, YOU KNOW, THROUGH THIS RIGHT PROGRAM. AND WE HAVE SEEN MORE THAN 50 REQUESTS, I WOULD SAY, IN, IN A YEAR. UM, AND, AND WE BASICALLY ARE STILL THINKING THROUGH HOW TO, HOW TO PRIORITIZE THEM BECAUSE SOME OF THESE IDEAS MIGHT NOT BE DIRECTLY APPLICABLE TO ERCOT. THEY MIGHT ACTUALLY BE THE IDEAS FOR TSP OR MAYBE FOR A GEO. SO WE, WE ARE NOT SHARING YET THOSE WHAT THOSE IDEAS WERE BECAUSE WE, WE DON'T KNOW YET LIKE HOW TO DO THAT IN A, UH, LIKE A, IN A RIGHT PROGRAMMATIC FASHION. BUT SOME OF THESE IDEAS ARE, ARE REALLY NOT FOR ERCOT. UM, BUT YEAH. SO I I, I'LL PASS THERE AND SEE IF THERE ARE QUESTIONS. OKAY. YEP. YOU'VE ACTUALLY GOT, UH, TWO BOBS IN THE QUEUE. WE'LL START WITH WHITMEYER. YEAH. SO, UM, THIS KIND OF DOVETAILS INTO THE VOLTAGE RIDE THROUGH DISCUSSION EARLIER, IS THAT THE TYPE OF THING THAT ERCOT WOULD BE WILLING TO PICK UP AS PART OF THE GRIT ROADMAP? I MEAN, THIS IS NOT A FUTURE PROBLEM. THIS IS A VERY REAL TODAY PROBLEM. YEAH. SO, SO BOB, THAT WAS SORT OF THE IDEA WITH LA TEXAS A M UH, LARGE LOAD MODEL, UH, UH, DEVELOPMENT IS TO, IS TO UNDERSTAND WHERE THAT THAT ISSUE ACTUALLY HAPPENS TODAY, RIGHT? I MEAN, WHAT, WHAT IS, WHAT IS LIMITING IN THE CONTROLS OR POWER ELECTRONICS THAT THAT LIMITS THE RIDE THROUGH, RIGHT? UM, SO, AND, AND THE, THE IDEA WAS NOT TO JUST LIKE, LIKE SHOW, UM, THE IDEA WAS NOT FOR OUR COURT TO COME UP WITH A SOLUTION. THE IDEA WAS, BECAUSE I'M SURE PEOPLE WILL HAVE DIFFERENT SOLUTION FOR THE, FOR THIS PROBLEM, THE IDEA WAS TO PRODUCE A OPEN SOURCE MODEL THAT PEOPLE CAN MAYBE START TO USE AND, YOU KNOW, SEE HOW THEY CAN FIX THE RIGHT THROUGH USING THAT OPEN SOURCE MODEL. YEAH. AND I THINK, I THINK THAT PART IS FINE. I GUESS I'M THINKING ABOUT THE PROOF OF CONCEPT PORTION THAT YOU HAVE ON A LOT OF THOSE, BUT WE, WE, WE CAN TALK OFFLINE, BUT I THINK, I THINK IT MIGHT BE A GREAT PLACE TO GET YOU GUYS ENGAGED ASAP. GOT IT. THANK YOU. GOT GOT, DANG IT, BOB. YEP. MAKES SENSE. AND BOB HILTON. YEAH. JUST A REAL QUICK THING, COULD YOU GO BACK TO THE SLIDE THAT SHOWS YOUR, NOT THE ROADMAP, THE ONE BEFORE ON THE PROCESS? YEAH. THE WHITE PAPER, THE POC UH, YEAH, QUESTION ON THAT IS, AS YOU'RE GOING THROUGH THE GRID INITIATIVES AND THAT YOU'VE GOT ON YOUR ROADMAP IS THERE'S DOCUMENTATION OR AT LEAST REPORTS OR THINGS BEHIND THAT, THAT IS THERE, ARE THOSE AVAILABLE TO STAKEHOLDERS AS YOU'RE WORKING THROUGH THIS PROCESS? AND, YOU KNOW, I, I WAS JUST THINKING, I DON'T, I'M NOT SURE WHERE THEY'RE LOCATED. I PROBABLY SHOULD, BUT THEY'RE, WE'VE BEEN KIND OF BUSY. UH, YOU, IT'D BE NICE TO KNOW EXACTLY WHERE THEY'RE AT OR A BETTER SOLUTION WOULD BE ON YOUR ROADMAP, IF YOU COULD PUT A LINK, I COULD GO TO, YOU KNOW, ITEM NUMBER THREE, UH, ON THE PROOF OF CONCEPT OR WHITE PAPER, CLICK ON THAT AND IT LINKS ME OVER TO THE DOCUMENT. THAT WOULD BE REALLY GREAT IF YOU COULD COME UP WITH SOMETHING LIKE THAT. SO IT'D MAKE IT EASY TO GET TO EVERYTHING. SO KIND OF A QUESTION AND A COMMENT THERE. YEAH. YEAH, I THINK, I THINK THAT'S A, THAT'S A VERY, VERY GOOD COMMENT. UH, SO, UH, SO WHAT WE HAVE DONE IS, IF YOU GO TO DOT COM WEBSITE, THERE IS A, THERE IS A, A LANDING PAGE FOR [05:45:01] GRID. ON THAT LANDING PAGE, WE HAVE THREE THINGS. WE HAVE A ROADMAP, WE HAVE ALL THE WHITE PAPERS THAT WE ARE PUBLISHING. AND THEN FOR EXAMPLE, FOR TEXAS AND M UM, LOAD MODEL, THERE IS A, THERE IS A LINK FOR THAT LOAD MODEL. SO YOU CAN DOWNLOAD ALL THE MANUALS, ALL THE OPEN SOURCE MODEL. SO IN JOURNAL, I WOULD SAY, BOB, UM, ANYTHING THAT WE ARE PRODUCING HERE, WE WILL MAKE IT AVAILABLE ON OUR WEBSITE, WITH THE EXCEPTION OF IF WE ARE WORKING SEE ON A TOOL, UH, THAT WE ARE STILL TESTING, MAYBE THAT THAT IS NOT AVAILABLE. UH, BUT, BUT ANYTHING THAT WE CAN MAKE AVAILABLE, UH, WE, WE, WE ARE DOING THAT. SO THAT, THAT'S, THAT'S DEFINITELY THE INTENT OF THIS. YEAH. YEAH. OKAY. ALL RIGHT. THANKS A LOT. I APPRECIATE IT. YEP. AND ESH, JUST PUT A LINK, UH, TO THAT PAGE IN THE CHAT FOR US. THANK YOU, ESH. OKAY. THANKS PRASHANT. WE APPRECIATE THE UPDATE. YEP, THANK YOU. AND THE LAST OF THE ERCOT REPORTS THAT WE HAVE FOR TODAY IS THE IDENTITY AND ACCESS MANAGEMENT PROGRAM AND MP SERVICE PORTAL THAT'S GOING TO BE, UH, PROVIDED BY NICK ETT AND TED HILU. YES, MARTHA, CAN YOU HEAR ME? WE CAN HEAR YOU. THANK YOU. ALL RIGHT. WELL, THE LAST THING I WANTED WAS TO BE AT THE END OF THE ATTACK AGENDA AFTER YOU GUYS ARE DEALT WITH ANSWER SERVICE METHODOLOGIES ON LARGE LOADS. BUT HERE, HERE WE ARE, UH, STAYING TRUE TO THE THEME OF THE DAY. I WANNA SAY THIS IS HIGH KEY. SO I HOPEFULLY I GRUSE LY ASK FOR YOUR, YOUR ATTENTION. UM, I AM GOING TO BE SPEAKING ABOUT TWO TRAINS THAT ARE HEADED, HEADED YOUR WAY. THEY'VE BEEN HEADED YOUR WAY FOR A WHILE, AND THEY ARE JUST OVER THE HORIZON. AND, UH, WE NEED TO TALK TO THROUGH THEM IN THE STAKEHOLDER PROCESS. ONE IS THE IDENTITY AND ACCESS MANAGEMENT, UH, PROCESS AND DIGITAL CERTIFICATE IS PROBABLY THE, THE TRIGGER WORD. SO YOU CAN ASSOCIATE IT WITH WHAT I MEAN BY IDENTITY ACCESS MANAGEMENT. THE SECOND ONE IS THE MARKET PARTICIPANT SERVICE PORTAL. UH, A PORTAL THAT, UH, ALONG WITH THE PUBLIC PORTAL THAT PUT UP AFTER WIND WINTER STORM URI OUT OF NECESSITY FOR THE MOST PART THAT WE'RE GOING TO START MAKING AVAILABLE NEXT YEAR. UH, WHAT YOU HAVE ON THE SLIDE RIGHT NOW IS JUST HIGH LEVEL DESCRIPTION OF MARKET PARTICIPANT INTERACTIONS TODAY. UM, MOST OF YOU ARE FAMILIAR WITH THE MARKET INFORMATION SYSTEM, UH, ALL THE MIS APPLICATIONS THAT ARE THERE, THERE, WHETHER THAT'S THE OUTER SCHEDULER AND A WORK MODELING, UH, CREDIT MANAGEMENT AND SO ON THAT CURRENTLY ARE, UH, ACCESSED VIA DIGITAL, DIGITAL CERTIFICATES AS WE EFFECTIVELY HAVE KNOWN THEM OVER THE LAST 25 YEARS. UH, THE REST OF YOUR INTERACTIONS OUT OUTSIDE OF THE MIS ARE DONE THE OLD FASHIONED WAY. YOU PICK UP A PHONE, YOU SEND US AN EMAIL, EVEN THE F FORMS THAT YOU NEED TO FILL OUT THAT REQUIRE THE PROTOCOLS ARE SENT, ESSENTIALLY DOWNLOAD THE PDF FORM, FILL IT OUT AND EMAIL IT TO A CERTAIN, UH, EMAIL, EMAIL ADDRESS. UM, THE PUBLIC PORTAL, AS I SAID EARLIER, UH, MOSTLY OUT NECESSITY OUT OPT WIND TO FROM URI HAVING, BEING IN INUNDATED WITH PUBLIC REQUESTS, WE HAD TO PUT SOMETHING UP, AN ISSUE MANAGEMENT SYSTEM FOR, UH, US TO TAKE ON A PUBLIC INQUIRIES, UH, BECAUSE WE REALLY HAVE NOT HAD A ISSUE MANAGEMENT OR RELATIONSHIP MANAGEMENT, A-C-R-M-C-S-M SYSTEM THAT YOU MIGHT BE FAMILIAR WITH FROM OTHER INTERACTIONS THAT YOU, YOU MIGHT HAVE HAD WE PUT UP A PUBLIC PORTAL. BUT CURRENTLY, UH, THE HONEST TRUTH IS THAT AS MARKET PARTICIPANTS, YOU ALSO USE IT. SO THE PUBLIC PORTAL IS ESSENTIALLY A MIX, EVEN THOUGH THOSE ARE INDIVIDUALS, UH, ESSENTIALLY, UH, CONTACTING ERCOT, NOT NECESSARILY ON BEHALF OF MARKET PART MARKET PARTICIPANTS, BUT THIS IS JUST A HIGH LEVEL DESCRIPTION OF YOUR INTERACTIONS WITH MARKUP DISTANCE, WITH ORCO. IF YOU CAN GO NEXT, THEN IS WE ARE LOOKING INTO A FUTURE, A MODERN TO MODERNIZE THIS EXPERIENCE, AND NIRVANA IS, OR WE GIVE YOU A, UH, ONE SECURE ACCESS, UH, IDEALLY A ONE IDENTITY ACCESS MANAGEMENT SYSTEM, ONE KEY THAT YOU CAN USE TO HAVE A, UH, AN INTEGRATED SINGLE EXPERIENCE, UH, UH, WITH ERCOT. AND THAT STARTS WITH THE KEY TO IDENTITY ACCESS MANAGEMENT SYSTEM. AGAIN, TODAY, UH, WHAT YOU HAVE IS ACCESS TO THE MIS VIA THE DIGITAL CERTIFICATES THAT, UH, YOU GUYS ARE FAMILIAR WITH. AND IF YOU CAN CLICK, UH, ONE MORE TIME, CLICK NEXT. THERE YOU GO. UH, THAT IS USED TO ACCESS THE MARKET PARTICIPANT, UH, THE MARKET, THE OPERATIONAL APPLICATIONS THAT YOU HAVE THROUGH THE MIS, MOST OF YOU'RE FAMILIAR WITH THAT. [05:50:01] AND, UH, NEXT, COME NEXT YEAR, STARTING WITH ABOUT, UH, ESTIMATED BE KEY, ONE OF NEXT YEAR, WE'RE GOING TO INTRODUCE A MARKET PARTICIPANT SERVICE PORTAL. AGAIN, LOOKING AT THE LEFT HAND SIDE, THE EMAILS AND PHONE CALL INTERACTIONS THAT YOU HAD A, WE'RE GOING TO START A MULTI-YEAR JOURNEY THROUGH WHICH WE'RE GOING TO LOOK AT ALL THE INTERACTIONS THAT YOU HAVE THAT YOU, YOU CONTACT ERCOT WITH THROUGH EMAILS AND PHONE CALLS, AND SEE IF WE CAN START AUTOMATING THOSE WORKFLOWS, HAVE THOSE INTERACTIONS, UH, GO ONLINE AND A TRACKABLE SELF SERVICE, SOMETHING THAT FOSTERS SELF-SERVICE AND HAVE IT BE TRANSPARENT TO YOU. SO ONCE YOU SUBMIT SOMETHING, IT ISN'T JUST A BLACK BOX THAT GOES INTO AN EMAIL AND HOPEFULLY AN ANSWER, BUT YOU CAN GO IN AND TRACK, TRACK THE STATUS AND SO ON. UH, IF YOU CAN CLICK ONE MORE TIME, THIS IS A MULTI-YEAR JOURNEY, AS I SAID, THE, THE LEFT HAND SIDE PICTURES TODAY, THE FUTURE ONE MODERNIZED EXPERIENCE THROUGH ONE KEY, ONE, THE ACCESS MANAGE MANAGEMENT SYSTEM THAT NOT, THAT NOT ONLY HANDLES THE, YOUR CURRENT INTERACTIONS THROUGH THE MIS, UH, BUT THE FUTURE THAT WE'RE BUILDING THROUGH THE MARKET PARTICIPANTS SERVICE PORTAL WOULD ALL BE USED WITH ONE KEY, THAT ONE THAT PROJECT. UH, THE SECOND PROJECT, UH, UH, OUTSIDE OF THE MARKET PARTICIPANTS SERVICE PORTAL THAT NICK JESS, UH, WHO'S MY PARTNER IN CRIME TODAY, WILL COME IN A SECOND. KEY MANAGERS IDENTITY ACCESS MANAGEMENT, WHAT'S CALLED THE FEATURE READY IDENTITY ACCESS MANAGEMENT PROJECT. THAT ALSO IS NOT JUST THE ONE KEY FOR, UH, ONE IDENTITY ACCESS MANAGEMENT SYSTEM FOR THE MARKET MARKET PARTICIPANTS, BUT WILL ALSO HAVE A, UH, AN IDENTITY ACCESS MANAGEMENT SYSTEM THAT MANAGES THE INTERACTIONS THAT ARE CURRENTLY HANDLED VIA THE PUBLIC PORTAL, UH, VIA THE PUBLIC PORTAL THAT WE ALREADY HAVE UP. SO YOU MIGHT HEAR TERMS LIKE BUSINESS TO BUSINESS OR BUSINESS TO CUSTOMER, THE BUSINESS TO BUSINESS INTERACTIONS BEING BETWEEN ERCOT AND MARKET PARTICIPANTS, THE BUSINESS TO CUSTOMER INTERACTIONS BE, UH, THE INTERACTIONS THAT WE HAVE THROUGH THE PUBLIC PORTAL TODAY, TODAY, AGAIN, WITH THE PUBLIC. BUT UNFORTUNATELY, YOU, YOU GUYS HAVE ALSO HAVE HAD TO, TO DO THAT. WE, WE WANT, WE'RE GOING TO MIGRATE AND MARKET PARTICIPANTS PART THAT ARE PARTLY HAVING TO USE A PUBLIC PORTAL OVER TO THIS MARKET PARTICIPANTS OR AS PORTAL. AND IF YOU CAN GO NEXT. AND SO AT THE END, BENEFITS, BENEFITS FOR MARKET PARTICIPANTS ARE THAT YOU'RE GONNA GET A STRONGER, UH, IDENTITY ACCESS MANAGEMENT SYSTEM SIMILAR TO THE INTERACTIONS THAT YOU HAVE WITH OTHER ENTITIES BASED ON THE MULTI, MULTI FACTOR AUTHENTICATION AND HOPEFULLY A SIMPLE, A SIMPLIFIED EXPERIENCE WORKFLOWS THAT ARE AUTOMATED THAT WILL ALLOW YOU TO SUBMIT SOMETHING ONLINE 24 HOURS A DAY, THAT YOU CAN GO IN AND HAVE, UH, SELF-SERVICE WHERE HOPEFULLY YOU CAN, UH, HAVE FREQUENTLY ASKED QUESTIONS AND YOU CAN GO IN AND HOPEFULLY ANSWER QUESTIONS THAT I'VE BEEN FREQUENTLY ASKED, BUT ALSO LOOK UP, UH, STATUSES OF WHETHER IT'S FORMS OR QUESTIONS THAT YOU HAVE SUBMITTED TO, OR AGAIN, A MORE SECURE IDENTITY ACCESS MANAGEMENT PROCESS TO ACCESS, UH, AND, UM, UH, SIMPLIFY YOUR EXPERIENCE. ONE MODERNIZED EXPERIENCE THAT WE HOPE TO DELIVER ON A MULTIYEAR JOURNEY. AGAIN, THIS IS JUST THE BEGINNING OF THE CONVERSATION THAT WE'LL HAVE OVER THE NEXT COUPLE OF YEARS. WE CAN GO NEXT OR CUT ONE THROUGH AS WE LOOK THROUGH THIS MULTI-YEAR JOURNEY AND IDENTIFIED A HALF A DOZEN OR SO USE CASES THAT WE'RE GOING TO IMPLEMENT, UH, QUARTER ONE OF NEXT YEAR. UH, THIS IS JUST A, A, UH, LIST OF AT LEAST THE INITIAL CONTACTS, INITIAL USE CASES THAT WE'VE IDENTIFIED THAT WE'RE GOING TO IMPLEMENT IN QUARTER ONE AS WE CONTINUE TO HAVE DISCUSSIONS WITH YOU AND IDENTIFYING OTHER USE CASES, PRIORITIZING THEM, AND HOPEFULLY MODERNIZING THIS, UH, EXPERIENCE THAT YOU HAVE TODAY THROUGH PHONE CALLS AND EMAILS OVER THE NEXT FEW YEARS. UH, THE ONES THAT WE HAVE, UH, SLATED FOR THE FIRST PHASE ARE, FOR EXAMPLE, MARKET PARTICIPANTS, CONTACTING CLIENT SERVICES, CALLING SERVICES AIMS TO BE YOUR WINDOW INTO ERCOT BUSINESS AREAS FOR, TO ANSWER YOUR QUESTIONS, TO HANDLE, UH, YOUR INQUIRIES THAT WE, WE CONVERSATIONS YOUR OPERATIONAL CONVERSATIONS THAT WE WOULD FACILITATE WITH BUSINESS TEAMS ACROSS ERCOT SUBMITTING FORMS. AND THERE'S TONS OF FORMS THAT YOU GUYS SUBMITTED, BUT WE'VE SELECTED A COUPLE OF THEM, NAMELY, FOR EXAMPLE, THE NOTICE OF CHANGE OF INFORMATION WHEN YOU CHANGE YOUR CONTACTS. UH, WE THAT IT IS THE FORM THAT THE NCI FORM IS ACTUALLY CALLED, IS A FORM THAT YOU, IT IS THE HIGH VOLUME FORM THAT WE'VE SELECTED FOR THIS INITIAL RUN. FOR EXAMPLE, WEATHERIZATION IS SOMETHING THAT'S ALREADY BEING DONE, UH, BUT UH, IT'S DONE VIA DI UH, ACCESS VIA DIGITAL CERTIFICATES TODAY, BUT WE'RE GOING TO PUT IT IN THIS, UH, MARKET PARTICIPANT SERVICE PORTAL. SO YOU HAVE THAT SAME, SAME EXPERIENCE. YOU WE'RE GOING TO, UH, HAVE THE ABILITY TO SEND NOTICES TO MARKET PARTICIPANTS. NOTICES ARE ESSENTIALLY KINDA LIKE [05:55:01] MARKET NOTICES, EXCEPT THEY'RE JUST BETWEEN ERCOT AND MARKET PARTICIPANTS, NOT NECESSARILY BEING SENT TO PUBLICLY SUBSCRIBED LISTS AND REQUEST FOR INFORMATION. YOU GET EMAILS TODAY THROUGH MARKET NOTICES WHEN ERCOT NEEDS INFORMATION. RFIS ARE SOMETHING WE WANT TO FACILITATE THROUGH THESE PROCESSES ALSO. SO AGAIN, WE STARTED WITH THE PUBLIC PORTAL. WE'RE GOING TO HAVE, UH, THESE USE CASES FOR THE FIRST QUARTER OF NEXT YEAR. WE'RE GONNA CONTINUE TO HAVE DISCUSSIONS THROUGH THE MARKET ON WHAT ELSE WE NEED TO DO ON, ON FUTURE. WE'VE ALREADY IDENTIFIED A WHOLE BUNCH OF FORMS THAT WE WILL HAVE FOR THE NEXT PHASE. AND THEN WE'LL CONTINUE TO HAVE THESE DISCUSSIONS, UH, THROUGH, UH, THE STAKEHOLDER PROCESS THAT WE START TODAY. AND IF YOU CAN GO NEXT, THEN I'LL HAVE, UH, NICK JESS, UH, COME AND TALK TO YOU ABOUT, AGAIN, THE KEY TO THESE SYSTEMS, UH, THAT, UH, I SAID DIGITAL CERTIFICATES. THOSE ARE NEAR AND DEAR TO OUR HEARTS, HAVE BEEN HERE FOR 20, FOR 25, 26 PLUS YEARS AS LONG AS I'VE BEEN HERE. AND CHANGING THAT IS OBVIOUSLY IS A BIG MILESTONE FOR FOUR ERCOT. THIS IS, AGAIN, A CONVERSATION THAT WE'RE GOING TO HAVE A MULTI-MONTH, MULTI-YEAR JOURNEY. BUT, UH, NICK ETT PICK, WE'LL PICK THIS UP AND I'LL COME BACK TO FINISH IT OFF. WELL, THANK YOU VERY MUCH, TED, AND, AND I LIKE ALL THE, UH, EFFECTS ON THAT FIRST SLIDE. THAT WAS AWESOME. UM, SO WHY ARE WE DOING ALL OF THIS AND, AND KIND OF WHY ARE WE GOING DOWN THIS PATH? OBVIOUSLY, FOR US, SECURITY IS VERY, VERY IMPORTANT. AND WITH EVERYTHING THAT'S HELPING HAPPENING IN THE WORLD RIGHT NOW, WE REALLY NEED TO UPDATE OUR SECURITY, NOT JUST TO PROTECT, BUT ALSO TO TO WORK WITH ALL THE NEW TOOLING THAT'S COMING DOWN THE PATH, RIGHT? WITH AI AND ALL THESE OTHER THINGS THAT ARE COMING DOWN. IT IS VERY IMPORTANT FOR US TO KIND OF MODERNIZE THE TECHNOLOGY SO THAT YOU GUYS CAN USE IT AND IMPLEMENT IT AND INGEST IT. SO TODAY WE'RE USING DIGITAL CERTIFICATES. IN THE FUTURE, WE'RE GOING TO USE USERNAME AND PASSWORD PLUS MFA. YOU'LL BE ABLE TO LOG IN ONCE AND GET TO EVERYTHING THAT YOU HAVE ACCESS TO FROM THAT ONE SINGULAR LOGIN. AND WHAT THAT DOES IS, SO THAT MODERNIZATION, IT ALLOWS US TO PUT MODERN TOOLING IN, UM, WITHIN ALL OF THE VARIOUS MARKET PARTICIPANT, UM, TOOLS THAT WE USE, INCLUDING THIS, UH, THE SERVICE PORTAL THAT TED WAS TALKING ABOUT. IT ALLOWS US TO DO THAT. AND THEN IT ALSO ALLOWS ON YOUR SIDE FOR YOU GUYS, AS YOU'RE PUTTING IN NEW THINGS, NEW APIS, NEW WAYS OF GENERATING, NEW WAYS OF ACCESSING INFORMATION FROM ER A, YOU CAN USE THE MODERN AUTHORIZATION PROTOCOLS THAT ARE CURRENTLY OUT THERE TO GET ALL OF THAT STUFF WITHOUT HAVING TO DO EXCESSIVE DEVELOPMENT. AND OBVIOUSLY IT IS A SECURITY REFRESH, RIGHT? WE NEED TO MAKE SURE THAT WE GET TO THE VERY BEST SECURITY OUT THERE THAT OUR SECURITY TOOLING IS USING AI TO MAKE SURE THAT AI DOESN'T COME IN AND DISRUPT THE MARKET. UM, AND A SIMPLER APPROACH REALLY. UM, THERE ARE MULTIPLE, MULTIPLE ENTITIES OUT THERE THAT HAVE LOTS AND LOTS OF DIGITAL CERTIFICATES. AND IF WE KIND OF GET RID OF ALL THOSE DIGITAL CERTIFICATES AND JUST START USING A SINGULAR LOG ON THAT THEN GIVES YOU ACCESS TO EVERYTHING THAT YOU HAVE GONNA MAKE THE USAS AND OUR USERS' LIVES SO MUCH EASIER. SO, BUT WE ARE GONNA DO THIS IN A PHASED TRANSITION. WE'RE NOT GONNA DO A BIG BANG. WE'RE GONNA GO IN, WE'RE GONNA DO A LOT OF JUST READINESS ACTIVITIES. WE'RE GONNA IDENTIFY THE APPLICATIONS THAT NEED TO GO. WE'LL DO A LOT OF READINESS, A LOT OF TESTING, AND A LOT OF TRAINING WITH YOU GUYS. AND SO THE MARKET NOTICES WILL KIND OF GUIDE THE CHANGE. THAT'LL BE ONE OF YOUR WAYS THAT YOU'RE GONNA GET THE INFORMATION. AND REALLY FROM A SECURITY PERSPECTIVE, IT IS ESSENTIAL TO STAY AHEAD OF THE THREAT BECAUSE NOWADAYS, MOST HACKERS AND MOST, UM, PEOPLE GET INTO SYSTEMS BY LOGGING IN VERSUS BREAKING IN. AND SO WE WANT TO MAKE SURE THAT WE PUT IN A GREAT SYSTEM THAT DOES THAT FOR YOU. NEXT SLIDE PLEASE. NEXT SLIDE PLEASE. THANK YOU. SO WHAT IS OUR TIMELINE? SO THIS IS OUR TIMELINE FOR THE MARKET PARTICIPANTS. UM, AND, AND WE'RE GONNA START TALKING ABOUT A LITTLE BIT ABOUT EARLY, UH, TESTERS. AND SO EARLY TESTERS ARE GONNA BE THE PEOPLE THAT, FROM THE MARKET PARTICIPANTS, A WHOLE DIFFERENT AREAS, GET TO KIND OF COME IN WITH EVERY APPLICATION THAT GOES LIVE AND START TESTING IT IN A UAT ENVIRONMENT, RIGHT? JUST MORE OF A DEV TEST ENVIRONMENT TO MAKE SURE THAT EVERYTHING WE'RE PUTTING IN WORKS, UH, AND MAKE SURE EVERYTHING'S GOING WELL WITH YOU GUYS, AND THAT WE ANSWER AND ALLEVIATE ANY OF THE PRESSURES THAT THE NEW TOOLING HAS DONE. SO YOU CAN LOOK FROM OUR TIMELINE HERE. SO WE'VE DONE EARLY TESTERS, WE'VE IDENTIFIED A BUNCH OF EARLY TESTERS. UM, YOU CAN STILL JOIN THE GROUP OF THE EARLY TESTERS, AND I WILL DROP IN ON THIS, UH, CHAT WINDOW, KIND OF MY CONTACT INFORMATION AND THE CONTACT INFORMATION FOR EARLY TESTERS. AND SO IT'S [06:00:01] REALLY JUST THE PEOPLE THAT GET TO START PLAYING WITH THE SYSTEM, START LOGGING INTO THE SYSTEM, MANEUVERING AROUND THE SYSTEM IN A TEST ENVIRONMENT BEFORE WE GO LIVE SO THAT WE CAN IDENTIFY ANY ISSUES, RIGHT? WE CAN SEE ALL OF OUR STUFF FROM OUR SIDE, BUT YOU GUYS HAVE A LOT OF THINGS THAT YOU'VE BUILT, A LOT OF APIS, A LOT OF MACHINES LOGGING IN, AND ALL THESE OTHER THINGS THAT WE DON'T HAVE THE ACCESS TO REALLY SEE HOW THEY WORK. AND SO YOU GUYS WILL BE KIND OF THAT FRONTLINE FOR US TO SAY, YES, THIS IS BRILLIANT, THIS WORKS, OR E WE'VE GOT SOMETHING, RIGHT? SO WE'VE IDENTIFIED A LOT OF EARLY TESTERS. UM, IN SEPTEMBER, YOU'RE, THE EARLY TESTERS ARE GONNA GET A LOT MORE INFORMATION. IN OCTOBER, WE GO LIVE WITH OUR LOG ON PORTAL. UM, AND SO IT'S REALLY JUST, WE WE'RE GONNA IMPORT EVERYBODY IN, BRING PEOPLE IN, BUT IT'S LIVE AS A PORTAL, BUT IT REALLY DOESN'T HAVE ANYTHING BEHIND IT. BUT IT DOES GIVE YOU AN OPPORTUNITY TO LOG IN, SET UP AN MFA ON YOUR PHONE, UH, AND JUST KIND OF SEE WHAT THE INITIAL LOGIN LOOKS LIKE. UM, AND IT'S REALLY JUST A WAY TO KIND OF PREP UP AND MAKE SURE THAT WE'VE GOT THINGS GOING PROPERLY THAT, AS TED HAD SAYS AT THAT POINT. THAT THEN ALLOWS US, WE HAVE NOW A FOUNDATIONAL THING FOR OUR JUST LOGIN PROCESS. AND THEN IT ALLOWS US TO INGEST, UH, THE STUFF THAT TED'S TALKING ABOUT. IT ALLOWS US THEN TO PUT THAT INTO PLACE. AND SO IN JANUARY WE'LL ACTUALLY HAVE USER ACCEPTANCE TESTING OF THE MARKET PARTICIPANT SERVICE PORTAL, UH, FEBRUARY SOMETIME IS GONNA GO LIVE. I'M NOT REALLY SURE THE DATE. UM, BUT THEN THROUGHOUT 2027, WE'RE ALSO GONNA HAVE LOTS OF DIFFERENT APPLICATIONS GO LIVE, LOTS OF DIFFERENT THINGS KIND OF HAPPENING THERE. AND WE'LL HAVE THE SAME APPROACH, SAME PHASED APPROACH OF YOU GUYS COMING IN, TESTING IT, MAKING SURE EVERYTHING'S GOOD, AND THEN WE TAKE IT INTO PRODUCTION. SO THEN AT SOME POINT FROM 2027 TO 2028, WE WILL HAVE INGESTED EVERYTHING. AT THAT POINT, WE WILL BE ABLE TO GET RID OF DIGITAL CERTIFICATES COMPLETELY. SO DURING THIS INTERIM PHASE, YOU WILL HAVE A SERIES OF LOGGING IN WITH USER ID PASSWORD KIND OF A THING, AND THEN STILL THE DIGITAL CERTIFICATES. UNTIL WE CAN INGEST EVERYTHING INTO THIS NEW SYSTEM, IT WILL BE KIND OF A LITTLE BIT MORE PAINFUL THERE, BUT HOPEFULLY YOU'LL SEE THAT. BUT THE STUFF THAT'S BEEN INGESTED IS MUCH EASIER TO GET INTO AND IT'S A CLEANER, EASIER, SIMPLER APPROACH FOR YOU. SO, UM, AND WE WILL BE TALKING MORE ABOUT IT AT THE, UH, AT THE SESSION NEXT MONTH. SO THANK YOU VERY MUCH, TED, OVER TO YOU. THANK YOU. SO I JUST WANNA SAY A COUPLE THINGS. ONE IS JUST, UH, WHAT'S HAPPENING OVER THE NEXT FEW MONTHS, LET'S SAY BETWEEN NOW AND JANUARY OF NEXT YEAR. AS, UH, NICK JUST SAID, THERE WILL BE A PORTAL WHERE YOU CAN GO AND PRACTICE OUR YOU TO CREATE YOUR ACCOUNTS USER I PASSWORD, WHAT MULTIFACTOR AUTHENTICATION IS AS FAR AS THE MIS IS CONCERNED AND THE APPLICATIONS THAT YOU ACCESS VIA MIS. NOTHING IS CHANGING. AND I WANNA MAKE REASSURE EVERYONE THAT BEFORE WE TOUCH ANYTHING, OBVIOUSLY THAT CHANGES THE WAY YOU INTERACT WITH ERCOT, ESPECIALLY WITHIN THE, UH, RELATED AS IT RELATES TO THE APPLICATIONS THAT ARE ACCESSED VIA THE MIS. YOU WILL KNOW YOU WILL HAVE COMMUNICATION, THERE'LL BE STAKEHOLDER, UH, MEETINGS, THERE WILL BE WORKSHOPS, UH, AND AND SO ON. UM, SO I JUST WANTED TO SAY THAT, UH, OUTSIDE OF THAT, I ALSO WANTED TO JUST HAVE, WE'VE THROWN A LOT, A LOT AT YOU. WE'VE PROBABLY SCHEDULED YOU BY SAYING, HEY, DIGITAL CERTIFICATES ARE GONNA, ARE GOING TO GO AWAY. BUT KEY TAKEAWAYS, KEY TAKEAWAYS ARE THAT THERE ARE TWO EFFORTS THAT ARE CONNECTED THAT ARE COMING YOUR WAY. THEY'RE DOING ACCESS MANAGEMENT, UH, PROCESS, AND THEN THAT THE MARKET SERVICE PORTAL, UH, THESE ARE MULTI-YEAR JOURNEYS. AND THAT THE FIRST BUSINESS PROCESS, UH, THAT MARKET PARTICIPANTS WILL INTERACT WITH USING THIS NEW MULTI-FACTOR AUTHENTICATION SYSTEM WILL BE THIS MARKET PARTICIPANT SERVICE PORTAL THAT WE'RE TALKING ABOUT. IT'S SLATE FOR Q1 OF NEXT YEAR. THAT HAS NOTHING TO DO WITH THE ACCESS TO THE CURRENT MIS APPLICATIONS, BUT IT WILL START BY THE THINGS THAT I TALKED ABOUT EARLIER, UH, DIFFERENT, GIVING YOU A DIFFERENT WAY TO CONTACT CLIENT SERVICES AND ASK QUESTIONS TO SUBMIT NOTICE OF CHANGES, INFORMATION FOR AUTHORIZED REPRESENTATIVES AND SO ON. UM, AND THEN THERE'LL BE A WORKSHOP ON SEPTEMBER 21ST. NOW, WE HAD HIGH LOFTY GOALS TO MAKE TO START THIS DISCUSSION TODAY AND THEN MAKE, UH, DO A ROAD ROAD SHOW AT R-M-S-R-O-W-W-M-S AND ROS. BUT ALL THOSE WERE CANCELED, AND OBVIOUSLY WE ENDED UP AT THE END OF THE AGENDA ATTACK ALSO, BUT THAT WAS OUR PLAN. BUT WE WILL CONTINUE TO, UH, CON COMMUNICATE. WE DO HAVE A WORKSHOP. SO ANOTHER TAKEAWAY IS THAT ON SEPTEMBER 21ST, WE'RE GONNA HAVE A, IN THE AFTERNOON, ONE 30 TO 4:00 PM AT THE MET CENTER, WE'RE GOING TO HAVE A WORKSHOP WHERE YOU CAN COME AND, UH, HAVE [06:05:01] THE FOLKS THAT ARE GOING TO BE IMPACTED, JUST PRETTY MUCH ANYBODY THAT INDIVIDUALLY ON BATTLE MARKET PARTICIPANTS, CONTACTS WORK OUT WILL BE IMPACTED. OR THEY CAN COME AND THEY CAN ASK, ASK THE QUESTIONS AND, AND PREPARE AND, OR EVEN BEFORE THEN, PLEASE, UH, GO AHEAD AND GIVE US A QUESTION SO WE CAN PREPARE, UH, AND, UH, UH, WE CAN COME PREPARED TO, TO THE WORKSHOP, BUT WE'LL HAVE THIS WORKSHOP THAT YOU CAN SEND, SEND YOUR FEW FOLKS TO. UM, I THINK THAT IS IT. STAY ENGAGED. THIS IS HIGH KEY. AS I SAID, THIS IS VERY IMPORTANT. IT'S A MULTI-YEAR JOURNEY, AND I'LL OPEN IT UP FOR ANY QUESTIONS. THANK YOU, TED. UH, YOU HAVE A QUESTION FROM BOB HILTON? YEAH, MORE OF A COMMENT RIGHT NOW SINCE HE ANSWERED THE QUESTION. UH, I JUST WANTED TO SAY TED AND NICK, UH, I APPRECIATE YOU GUYS GETTING THIS TO WHERE IT'S AT AND TO GET THIS MOVING AND A REALITY. I KNOW WE'VE TALKED ABOUT IT OFF AND ON FOR SOME TIME. YOU KNOW, COMING FROM A COMPANY WHERE, YOU KNOW, WE HAVE GUYS THAT HAVE 70 PLUS, YOU KNOW, UH, DIGITAL CERTIFICATES THAT THEY HAVE TO LOG IN AND LOG OUT EVERY TIME THEY CHANGE, THIS IS GONNA MAKE THINGS SO MUCH BETTER ON EVERYONE. SO THANK YOU VERY MUCH FOR THIS EFFORT. LOOK FORWARD TO HELPING YOU OUT IN ANY WAY WE CAN TO GET THIS THING MOVING. IT IS OUR PLEASURE. THANK YOU, BOB. THANK YOU VERY MUCH. THANK YOU, BOB. I KNOW YOU'VE BEEN ONE OF THE EARLY, UH, YOU'VE BEEN ASKING THIS QUESTION FOR YEARS, AND WE LOOK FORWARD TO, THERE'S NOT A VERY GOOD TIME TO CHANGE THE KEYS TO THE HOUSE. UH, AND SO IT'S GOING TO BE, IT'S SOMEWHAT, UH, DIS DISRUPTIVE, BUT WE'RE GOING TO FIGURE THIS OUT. WE'RE GOING TO HAVE COMMUNICATION AS STAKEHOLDER MEETINGS WE'RE GONNA HAVE FOR WORKSHOPS, AND WE, AND YOU GUYS WILL NEED TO HELP US, UH, DO THE, DO DO OUR BEST OVER THE NEXT COUPLE OF YEARS. NED, ANYBODY ELSE? OH, SORRY. I THOUGHT YOU WERE DONE. NO, GO AHEAD. I'M DONE. YEAH. UH, NEXT IN THE QUEUE IS NED. YEAH. HEY GUYS, UM, I'M, KEEP IT QUICK. UH, I ECHO EVERYTHING BOB JUST SAID. SAME SENTIMENT. UM, IT'LL BE A LIFT, BUT IT'S WORTHWHILE. UM, THIS IS MORE OF A PUBLIC SERVICE ANNOUNCEMENT. THE, THE I AM TWO FUTURE READY AT ERCOT EMAIL ADDRESS. WHEN THAT COMES THROUGH, IT CAN SOMETIMES LOOK, UH, YOU KNOW, LOOK LIKE, UH, SOLICITATION. AND SO, YOU KNOW, ANYTHING Y'ALL CAN PUT IN THE SUBJECT LINE IF YOU'RE REACHING OUT TO FOLKS TO, TO MAKE SURE THAT THAT'S, IT'S CLEAR THAT IT'S COMING FROM ERCOT WILL BE HELPFUL. UM, 'CAUSE THIS IS REALLY IMPORTANT AND GETTING ENGAGEMENT IS REALLY HELPFUL. SO JUST WANT TO MINIMIZE THINGS FALLING THROUGH THE CRACKS. NOTED. THANK YOU VERY MUCH. AND NISHA IS ALSO, UH, SHE'S MY PROJECT MANAGER AND SHE SENDS OUT A LOT OF THOSE EMAILS, SO SHE'S ALSO ON THE HORN LISTENING. SO THANK YOU VERY MUCH FOR THAT. HEADS UP. DO APPRECIATE THAT. THANKS GUYS. OKAY. I DON'T SEE ANYBODY ELSE IN THE QUEUE, SO THANK YOU, TED. THANK YOU NICK, FOR THIS UPDATE. AND JUST, UH, ONE FINAL, UH, ONE, UH, ONE FINAL NOTE TO EVERYBODY TO STAY TUNED FOR THE SEPTEMBER 21ST WORKSHOP THAT THEY ADVERTISED. GIVEN THE OTHER SUBCOMMITTEE MEETING CANCELLATIONS NEXT WEEK, THAT'LL BE THE NEXT FORUM FOR DISCUSSION ON THIS. THANK YOU, MARTHA. CHEERS. THANK Y'ALL. CHEERS. UH, FINALLY ONTO OTHER [12. Other Business ] BUSINESS. TWO QUICK THINGS. A REMINDER THAT WE HAVE THE ANNUAL MEMBERSHIP MEETING COMING UP IN DECEMBER, AND WE'RE LOOKING FOR A STAKEHOLDER SPEAKER FOR THAT. UH, HISTORY WISE, WE'VE HAD, UH, CO-OP SEGMENT, IOU SEGMENT AND CONSUMER SEGMENT PRESENT IN THE LAST FEW YEARS. THOSE COMPANIES WERE STACK, UH, ENCORE AND CMC STEEL IN 2025. SO, UM, IF Y'ALL WOULD, YOU KNOW, CONSIDER WHETHER YOUR COMPANY WOULD BE WILLING TO BE A PRESENTER AT THE ANNUAL MEETING, PLEASE REACH OUT TO KAITLYN OR ME AND, AND LET US KNOW. OTHERWISE, I IMAGINE SHE WILL START CALLING PEOPLE LIKE SHE'S DONE IN PREVIOUS YEARS. UM, AND THEN LAST IS THE ACTION ITEM REVIEW. THERE'S ONE THAT I THINK WE'VE TAKEN CARE OF TODAY. IT WAS ITEM TWO ON THE LIST, UH, REVIEW PRE-DEPLOYMENT AND PARTICIPATION OF PRICE RESPONSIVE LOADS AND E-R-S-N-P-R 1337. SO, UM, I WOULD RECOMMEND WE CAN REMOVE THAT ONE FROM THE LIST SINCE WE APPROVED 1337 EARLIER TODAY ON THE COMBO BALLOT. IS THERE ANYONE ELSE THAT HAS OTHER BUSINESS TO BRING TO TACT TODAY? THANK YOU, KEITH. ALL RIGHT. NOT SEEING ANY, WE WILL ADJOURN IN OUR NEXT MEETING. JUST A REMINDER, IT WILL BE ON OCTOBER 28TH. WE WILL SEE Y'ALL IN OCTOBER. MEETING ADJOURNED. THANK YOU. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.