NOTICE DATE: August 19, 2011

NOTICE TYPE: M-A040111-02 NPRR/LPGRR

SHORT DESCRIPTION: Implementation details of NPRR208, NPRR311 and LPGRR044

INTENDED AUDIENCE: ERCOT Market Participants

DAY AFFECTED: September 1, 2011

LONG DESCRIPTION: On September 1, 2011, ERCOT will implement language that was grey-boxed in Nodal Protocol Revision Request (NPRR) 208, Registration and Settlement of Distributed Generation (DG) Less Than One MW, which was approved by the ERCOT Board on March 22, 2011, and NPRR311, Correction of Wind Adjust Formula to Account for Daylight Savings Time, which was approved by the ERCOT Board on June 21, 2011.

The grey-boxed language in NPRR208 incorporates changes to allow DG equal to or below the DG registration threshold to be settled as negative Load.

NPRR311 corrects the formula for the reduction of wind excess generation to account for Daylight Savings Time (DST) adjustments in the spring and fall for Electric Service Identifiers (ESI IDs) with non-Interval Data Recorders (IDRs).

On September 1, 2011, ERCOT will also implement Load Profiling Guide Revision Request (LPGRR) 044, Addition of Distributed Generation (DG) Load Profiles, which was approved by the Technical Advisory Committee (TAC) on March 3, 2011. LPGRR044 brings the Load Profiling Guide into agreement with NPRR208 and NPRR311 by adding Load Profile Segments for DG to the Profile Decision Tree and adding seven DG Load Profile Models.

According to Protocol Section 18.2.8, Adjustments and Changes to Load Profile Development:

ERCOT shall give at least 150 days Notice to all Market Participants prior to market implementation of any change in Load Profile Methodology, existing Load Profiles, or when any additional Load Profiles are developed.

ERCOT sent the 150-day Notice on April 1, 2011 (Notice M-A040111-01). This Notice is a reminder of ERCOT’s intent to implement the seven Load Profile Types listed below, for all weather zones, with an effective date of September 1, 2011.

BUSHIDG BUSOGFDG

BUSMEDDG RESHIDG

BUSLODG RESLODG

BUSNODDG

The 112 new Load Profile IDs (7 x 8 x 2) are identified on the FAQ tab of Appendix D, Profile Decision Tree, posted with the tag “Effective September 1, 2011” at http://www.ercot.com/mktrules/guides/loadprofiling/current.

There are seven new Load Profile Model spreadsheets, one for each of the Load Profile Types listed above. The new models do not differ from the corresponding standard models, e.g., the RESHIDG profile will be the same as the RESHIWR profile, for a given date and weather zone. The DG profile type designations are needed by the ERCOT Settlement system.

The new model spreadsheets are designated as version 2.3, are posted in a zip file with the existing model spreadsheets and can be found at http://www.ercot.com/mktrules/guides/loadprofiling/current as Appendix E, Profile Model Spreadsheets, with the tag “Effective September 1, 2011”.

ERCOT will begin posting forecasted DG load profiles on August 29, 2011, and backcasted DG load profiles on September 2, 2011.

ACTION REQUIRED: Market Participants whose systems process Load Profiles and/or Load Profile IDs (profile codes) need to make sure their systems will appropriately handle the new classifications.

ADDITIONAL INFORMATION: Pursuant to Protocol Section 21.6, Nodal Protocol

Revision Implementation, and Load Profiling Guide Section 2.7, Revision Implementation, ERCOT is required to provide notice as soon as practicable, but no later than ten days prior to implementation.

LPGRR044 and associated documents can be found on the ERCOT website, under Market Rules, at http://www.ercot.com/mktrules/issues/lpgrr/025-049/044/index.

NPRR208 and associated documents can be found on the ERCOT website, under Market Rules, at http://www.ercot.com/mktrules/issues/nprr/201-225/208/index.

NPRR311 and associated documents can be found on the ERCOT website, under Market Rules, at http://www.ercot.com/mktrules/issues/nprr/301-325/311/index.

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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