CSWG Update To COPS6/12/2012

Jim Galvin

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Settlement Observations- LZ to Hub Apr 2012 to May 2012

Meeting Title (optional)Date

Load Zone/HUB RTSPP Period: Apr-12              Location Average Zone over HUB Comparison  

Location RTSPP Average Row Labels Average RTSPP Location Average RTSPP Zone over HUB DeltaLZ_HOUSTON $23.12 LZ_HOUSTON $23.12 HB_HOUSTON $23.14 -$0.02LZ_NORTH $24.23 LZ_NORTH $24.23 HB_NORTH $24.20 $0.03LZ_SOUTH $22.86 LZ_SOUTH $22.86 HB_SOUTH $21.82 $1.04LZ_WEST $32.73 LZ_WEST $32.73 HB_WEST $22.78 $9.95LZ_AEN $21.73 Grand Total $25.74 Grand Total $22.99 $2.75LZ_CPS $21.77  HB_HOUSTON $23.14  HB_NORTH $24.20  HB_SOUTH $21.82  HB_WEST $22.78  Grand Total  

                 

Load Zone/HUB RTSPP Period: May-12              Location Average Zone over HUB Comparison  

Location RTSPP Average Row Labels Average RTSPP Location Average RTSPP Zone over HUB DeltaLZ_HOUSTON $21.49 LZ_HOUSTON $21.49 HB_HOUSTON $21.23 $0.26LZ_NORTH $21.68 LZ_NORTH $21.68 HB_NORTH $21.05 $0.63LZ_SOUTH $22.27 LZ_SOUTH $22.27 HB_SOUTH $21.15 $1.12LZ_WEST $26.93 LZ_WEST $26.93 HB_WEST $18.42 $8.52LZ_AEN $22.66 Grand Total $23.09 Grand Total $20.46 $2.63LZ_CPS $23.13  HB_HOUSTON $21.23  HB_NORTH $21.05  HB_SOUTH $21.15  HB_WEST $18.42  Grand Total                    

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Settlement Observations- LZ to Hub May Year over Year

Meeting Title (optional)Date

Load Zone/HUB RTSPP Period: May-12              Location Average Zone over HUB Comparison  

Location RTSPP Average Row Labels Average RTSPP Location Average RTSPP Zone over HUB DeltaLZ_HOUSTON $21.49 LZ_HOUSTON $21.49 HB_HOUSTON $21.23 $0.26LZ_NORTH $21.68 LZ_NORTH $21.68 HB_NORTH $21.05 $0.63LZ_SOUTH $22.27 LZ_SOUTH $22.27 HB_SOUTH $21.15 $1.12LZ_WEST $26.93 LZ_WEST $26.93 HB_WEST $18.42 $8.52LZ_AEN $22.66 Grand Total $23.09 Grand Total $20.46 $2.63LZ_CPS $23.13  HB_HOUSTON $21.23  HB_NORTH $21.05  HB_SOUTH $21.15  HB_WEST $18.42  Grand Total                    

Load Zone/HUB RTSPP Period: May-11              Location Average Zone over HUB Comparison  

Location RTSPP Average Row Labels Average RTSPP Location Average RTSPP Zone over HUB DeltaHB_HOUSTON $32.97 LZ_HOUSTON $33.99 HB_HOUSTON $32.97 $1.01HB_NORTH $32.41 LZ_NORTH $32.49 HB_NORTH $32.41 $0.07HB_SOUTH $32.17 LZ_SOUTH $32.57 HB_SOUTH $32.17 $0.40HB_WEST $24.99 LZ_WEST $28.14 HB_WEST $24.99 $3.15LZ_HOUSTON $33.99  LZ_NORTH $32.49  LZ_SOUTH $32.57  LZ_WEST $28.14  LZ_LCRA $32.73  LZ_AEN $33.13  LZ_CPS $33.32  Total Average $31.72                  

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Cost to Serve Load- May 2012 v 2011

Cost to Serve Load Summary: May-12 $0.81 May-11 $1.15

  May-12  

  Arithmetic Average Related Charges      

   

Non-Spin Rsrv Chrg Reg Dn Srvc Chrg

Reg Up Srvc Chrg

Rspnsv Rsrv Srvc Chrg RENA  

  On-Peak $0.08 $0.07 $0.11 $0.63 -$0.07 

  Off-Peak $0.02 $0.08 $0.09 $0.40 $0.21 

   Average $0.05 $0.08 $0.10 $0.51 $0.07 

   

  May-11  

  Arithmetic Average Related Charges      

   

Non-Spin Rsrv Chrg Reg Dn Srvc Chrg

Reg Up Srvc Chrg

Rspnsv Rsrv Srvc Chrg RENA  

  On-Peak $0.37 $0.11 $0.16 $0.62 -$0.08 

  Off-Peak $0.23 $0.15 $0.18 $0.58 -$0.02 

   Average $0.29 $0.13 $0.17 $0.60 -$0.05 

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• Cost to Serve Load May 2012-– AS Prices are down across all services– Primary decrease in Non-Spin, decrease in average MCPC $4.66

• RTSPP Analysis May 2012-– Warmer temperatures than normal had little impact on price volatility– Lower natural gas prices continues to dominate– Continued price separation in the West between Load Zone and

HUB• Greater than $1,000- 0• Greater than $100- 13• Less than $18- 1,272 (43% of intervals for the month)• West Zone: Less than $0- 174

Settlement Observations- May 2012

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• RCWG and CSWG met to discuss Resettlement of the market due to data/software errors

• Reviewed the following– Is the current protocol standard appropriate– Should there be firm deadlines for price corrections– Should the issue of modeling errors be addressed

• Summary of “Points of Consensus”– Extend the current 4 PM deadline for RTM prices by adding one

business day subject to implementation of NPRR 322– Define software and data error types– Defining timeline for notifications on price corrections for Board

approval (no later than 45th day after operating day• ERCOT will provide NPRR language for the consensus points

Joint Meeting With RCWG

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• NPRR has been submitted to support resettlement language for CRR Balancing Account

• Continue to NPRR 347 Project– Delivery expected near the end of 2012, participants will be given

final specifications at 30-days prior with efforts to provide as early as 60-days prior

• Follow up on RCWG Joint Meeting• Revision Requests for Nodal Settlements Guide

Future and Current CSWG Initiatives

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Questions?

Meeting Title (optional)Date