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NOTICE DATE:  May 23, 2014
NOTICE TYPE:  M-A052314-01 CRR
SHORT DESCRIPTION:  July 2014 Monthly CRR Auction
INTENDED AUDIENCE:  CRR Account Holders
DAY AFFECTED:  May 23 - June 5, 2014
LONG DESCRIPTION:  Credit Submission for the July 2014 Monthly Congestion Revenue Right (CRR) Auction began at 00:00:01 CPT on May 23, 2014, and will close at 17:00:00 CPT on June 2, 2014.
Per Section 7.5.2(2)(b) of the ERCOT Protocols, ERCOT will enforce a volume limitation of 7,500 market transactions (bids and offers) per account holder. The CRR Auction Bid window opens at 00:00:01 CPT on June 3, 2014, and closes at 17:00:00 CPT on June 5, 2014.
Per Section 7.5.2(2)(e), if the total number of market transactions submitted for the auction exceeds the maximum number of transactions available for the market, currently 200,000, CRR Account Holders will be notified via Operator Message that a transaction adjustment period (second round of submissions) will be required. Account Holders whose total bids and offers exceed the maximum number of allowable transactions determined for the transaction adjustment period will have their portfolios removed from the auction and will be required to resubmit a new portfolio with the total number of transactions less than or equal to the transaction adjustment period limit. The preliminary allocated CRR transaction limit is 926.
Per Section 7.5.2(2)(a), prior to the opening of the auction bid window but after the credit lock deadline, the CRR system will send a message to all account holders regarding the available number of transactions for participating account holders in the event of a transaction adjustment period. CRR Account Holders are not included in the CRR transaction volume limitation process if they do not own open CRR positions or they do not have credit allocated to the CRR Auction. Should a transaction adjustment period be necessary, the bid/offer limit will be recalculated after credit lock to accommodate only those CRR Account Holders who have open positions or have credit allocated to the auction.
The transaction adjustment period bid window, if needed, will be open from 18:00:00 CPT on June 5, 2014, until 17:00:00 CPT on June 6, 2014.
Per Section 7.5.3(5), on May 29, 2014, ERCOT will post the Monthly Path Specific Adders for the July 2014 Monthly CRR Auction on the CRR Page on the MIS<https://mis.ercot.com/pps/tibco/mis/Pages/Market+Information/CRR> and on the CRR Page on ERCOT.com<http://www.ercot.com/mktinfo/crr/>.
Results for the July 2014 Monthly CRR Auction will be posted to the Market Information System (MIS) on June 12, 2014, as indicated on the CRR Activity Calendar. A Market Notice will be sent if the results are posted on a different date.
ADDITIONAL INFORMATION:  The Baseload CRRs used for the July 2014 Monthly CRR Auction may be found in the Monthly Auction Notice folder on the CRR Page on the MIS<https://mis.ercot.com/pps/tibco/mis/Pages/Market+Information/CRR> and on the CRR Page on ERCOT.com<http://www.ercot.com/mktinfo/crr/>.
Specifications for the equipment and interfaces necessary to participate in the CRR Auction are included in the CRR Market User Interface Specifications document, which is located on the CRR Page on the MIS<https://mis.ercot.com/pps/tibco/mis/Pages/Market+Information/CRR> and on the CRR Page on ERCOT.com<http://www.ercot.com/mktinfo/crr/> (note that the CRR application currently supports Internet Explorer (IE) version 6, 7, or 8 and Java Runtime Environment (JRE) 1.6). IE Configuration Guides are located on the User Guides Page on ERCOT.com<http://www.ercot.com/services/mdt/userguides/index> under Public Data. Bids and Offers may be submitted in increments of one-tenth (.1) MW. The minimum Option bid price is $.01.
Per Section 7.5.5.3(4), ERCOT may review preliminary auction results to ensure that Counter-Parties have sufficient credit limits to cover post auction credit requirements. If a Counter-Party does not have a sufficient credit limit for post auction credit requirements, ERCOT may send a collateral request that is due by 15:00 CPT on the next Bank Business Day. If sufficient collateral is not received by 15:00 CPT on the next Bank Business Day, ERCOT may set an associated CRR Account Holder's credit limit to zero in the CRR application such that the Counter-Party's bids and negatively priced offers in the CRR Auction are voided and rerun the CRR Auction without that Counter-Party's activity. Collateral calls pursuant to Section 7.5.5.3(4)(a) may be issued on a non-Business Day to minimize impact on CRR timelines.
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]<mailto:[log in to unmask]>.
If you are receiving email from an ERCOT distribution list that you no longer wish to receive, please follow this link in order to unsubscribe from this list: http://lists.ercot.com.



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