*******TEXAS NODAL MARKET NOTICE*******

NOTICE DATE:  August 30, 2010

NOTICE TYPE:  General

SHORT DESCRIPTION: FIRST NOTICE – October 1, 2010, effective date of certain Nodal Protocols and Nodal Operating Guides Sections

INTENDED AUDIENCE:  ERCOT Market Participants

DAY AFFECTED:  October 1, 2010

LONG DESCRIPTION:  Zonal Protocol Section 21.12.3, Notice to Market Participants of Effective Date for Nodal Protocol Provisions and Retirement of Zonal Protocol Provision, states the following:

No part of the Nodal market design may start operation until all the Market Readiness Criteria for that part of the Nodal market design have been met. Certification that all Market Readiness Criteria have been met must be made at least by each of the following: the Technical Advisory Committee (TAC), ERCOT and the ERCOT Board. Upon such certification, ERCOT shall issue two Notices alerting Market Participants to the effective date of Nodal Protocol Sections and the retirement of Zonal Protocol Sections, as applicable. ERCOT shall issue the first Notice no less than thirty (30) days prior to the effective date or retirement date, as applicable, and the second Notice no less than ten (10) days prior to the effective date or retirement date, as applicable. 

On August 4, 2010, ERCOT management certified that all Market Readiness Criteria have been met regarding the Congestion Revenue Right go-live.  Additionally, TAC (on August 5, 2010) and the ERCOT Board (on August 17, 2010) passed resolutions certifying that all Market Readiness Criteria have been met regarding the Congestion Revenue Right go-live. These three certifications fulfill the requirement in ERCOT Protocol Section 21.12.3 and therefore allow the Congestion Revenue Right functionality to begin operation on October 1, 2010. 

Given ERCOT management, TAC and ERCOT Board certification, this Notice is to alert Market Participants of the Nodal Protocol Sections that will become effective on October 1, 2010. Please see the attached file for applicable Nodal Protocol Sections. The Nodal Protocol Transition Plan may also be found at http://nodal.ercot.com/about/po/sch/index.html. 

Additionally, Operating Guide Section 1.3.7.2, Notice to Market Participants of Effective Date for Nodal Operating Guides Provisions and Retirement of Zonal Operating Guides Provision, requires ERCOT to also provide a 30-day and a 10-day Notice alerting Market Participants to the effective date of Nodal Operating Guide Sections. There are no Nodal Operating Guide Sections scheduled to become effective on October 1, 2010, to support Congestion Revenue Right functionality.

ADDITIONAL INFORMATION: When reviewing the Nodal Protocol Transition Plan, the effective date applies to the entire section/subsection unless otherwise indicated. For any Market Information System (MIS) posting references within the Protocols or Operating Guides, please see the EROCT Market Information List (EMIL) for posting information. The EMIL may be found at http://nodal.ercot.com/readiness/reports/index.html (See Key Documents: MIS - ERCOT Market Information List).

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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