SHORT DESCRIPTION: Results of Price Impact Analysis - Incorrect Line, Series Device, and Transformer Ratings Impacting the Real-Time and Day-Ahead Markets

LONG DESCRIPTION: On February 5, 2024, ERCOT notified Market Participants of an issue concerning the ratings of certain transmission lines, series devices, and transformers and ERCOT's intent to seek ERCOT Board of Directors (Board) review of prices for days that met significance criteria and were within the 30- day time period of the notification. See Market Notice M-A020524-01.

ERCOT Protocols Sections 4.5.3(6)(b) and 6.3(7)(b) require that the absolute value impact to any single Counter-Party in the DAM and RTM, respectively, must meet one of the following two criteria before ERCOT may seek Board approval of a price correction:

ERCOT has determined that there were 8 Operating Days (ODs) for the DAM that meet the criteria for seeking Board approval for price correction.

The number of Counter-Parties meeting one of the two criteria for significance are shown in the table below for each OD that met the criteria for seeking Board approval for price correction for the DAM:

Operating Day	No. of Counter-Parties meeting criteria in Protocol Section 4.5.3(6)(b)(i)	No. of Counter-Parties meeting criteria in Protocol Section 4.5.3(6)(b)(ii)
1/10/2024	5	7
1/15/2024	1	0
1/17/2024	6	8
1/18/2024	6	41
1/19/2024	6	18
1/20/2024	0	2
1/23/2024	0	1
1/25/2024	0	1

For each OD that met the criteria for DAM, the table below has the maximum estimated absolute value impact to any individual Counter-Party:

Operating Day	Maximum Amount($Thousands)	Maximum Percentage for Criteria (i)*	Maximum Percentage for Criteria (ii)**
1/10/2024	$121.85	47.94%	183.71%
1/15/2024	$21.85	12.48%	NA
1/17/2024	$41.49	42.82%	1276.81%
1/18/2024	$59.17	447.50%	1281.96%
1/19/2024	$249.24	67.04%	120.64%
1/20/2024	$2.08	NA	61.45%
1/23/2024	$2.49	NA	23.25%
1/25/2024	$2.47	NA	89.72%

* The maximum percentage change to any single Counter-Party with impact more than $20,000 (set as NA when no single Counter-Party has impact more than $20,000)

** The maximum percentage change to any single Counter-Party with impact more than $2,000 (set as NA when no single Counter-Party has impact more than $2,000)

ERCOT has determined that there were 3 ODs for the RTM that meet the criteria for seeking Board approval for price correction.

Operating Day	Maximum Amount ($Thousands)	Maximum Percentage for Criteria (i)*	Maximum Percentage for Criteria (ii)**
1/15/2023	$883.26	172.03%	172.03%
1/17/2023	$1051.09	262.75%	565.49%
1/19/2023	$160.74	185.00%	185.00%

* The maximum of percentage change to any single Counter-Party with impact more than $20,000 (set as NA when no single Counter-Party has impact more than $20,000)

** The maximum of percentage change to any single Counter-Party with impact more than $2,000 (set as NA when no single Counter-Party has impact more than $2,000

ERCOT intends to seek an approval of correction to DAM and RTM prices for the impacted ODs that met the necessary criteria at the Reliability and Market Committee on April 22, 2024, and the Board meeting on April 23, 2024. Additionally, ERCOT staff intends to provide additional information regarding the price correction to the Technical Advisory Committee (TAC) at its March 27, 2024 meeting.

CONTACT: If you have any questions, please contact your ERCOT Account Manager. You may also call the general ERCOT Client Services phone number at (512) 248-3900 or contact ERCOT Client Services via email at [log in to unmask].

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