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February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

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Page 1: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 25, 2011

Demand Side Working Group

EILS Update

Mark PattersonERCOT, Manager Demand Integration

Page 2: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

February through May 2011 Procurement

Page 3: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 2011

262

310

271

164

276.4

361 350

410.7

251.7

467.7

8

11 9095.7

55 89

106.5

183.6

9.8

0

75

150

225

300

375

450

525

FebMay08 JunSept08 Oct08Jan09 FebMay09 JunSept09 Oct09Jan10 FebMay10 JunSept10 Oct10Jan11 FebMay11

MW Offered, Not Procured

MW Procured

Business Hours 1

Page 4: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 2011

262

219

287.6

168155

353 346 355.8

306.8

470.7

8

12

86.7

0

74.3

58.489.3

13133.2

9.8

0

75

150

225

300

375

450

525

FebMay08 JunSept08 Oct08Jan09 FebMay09 JunSept09 Oct09Jan10 FebMay10 JunSept10 Oct10Jan11 FebMay11

MW Offered, Not Procured

MW Procured

Business Hours 2

Page 5: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 2011

262

216

290

163

237268

322335.5

270.1

472.4

8

11

86.7

0

0

137.3

89.3

15.8 152.7

1.2

0

75

150

225

300

375

450

525

FebMay08 JunSept08 Oct08Jan09 FebMay09 JunSept09 Oct09Jan10 FebMay10 JunSept10 Oct10Jan11 FebMay11

MW Offered, Not Procured

MW Procured

Business Hours 3

Page 6: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 2011

185216

272

138

256

335

283

333.2

295.7

384.2

104

110

86.7

72.9

39.9

89.3

93.7

52

2.1

0

75

150

225

300

375

450

525

FebMay08 JunSept08 Oct08Jan09 FebMay09 JunSept09 Oct09Jan10 FebMay10 JunSept10 Oct10Jan11 FebMay11

MW Offered, Not Procured

MW Procured

Non-Business Hours

Page 7: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

26

15

8

45

5

4 4

3

4

0

5

10

15

20

25

30

0

20

40

60

80

100

120

140

FebMay08 JunSept08 Oct08Jan09 FebMay09 JunSept09 Oct09Jan10 FebMay10 JunSept10 Oct10Jan11 FebMay11

Ave

rag

e S

ize

of P

rocu

red

Site

s(M

W)

Nu

mb

er o

f P

rocu

red

Lo

ad

s

BH1 BH2 BH3 NBH Average Size (MW)

Procurement Trends (no. & avg. size of EILS Loads)

EILS Loads include individual Loads and aggregations

February 2011

Page 8: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Individual Site ParticipationCumulative number of unique sites in EILS ID process

February 2011

Page 9: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

February 2, 2011 Event

Page 10: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

3:00am 5:08am 5:17am

5:43am9:05am

ERCOT experienced communications challenges due to the rapidly-unfolding events

JAN 31 FEB 1 FEB 2

Issued OCN and Advisory•Severe Weather•Reserves below 3000 MW •PUCT Report @ 3:21am

Issued Watch•Reserves Below 2500 MW•Sent to Grid Alert List

Issued OCN•Winter Storm Warning•PUCT Report @2:45 a.m.

Issued EEA Level 2A•Reserves Below 1750 MW•Sent to Grid Emergency List

Issued EEA Level 3•Rotating Outages•Sent to Grid Emergency List•PUCT Report @ 6:05am

2:45am

Issued Advisory•Freezing Temperatures•PUCT Report

3:05p.m.

Issued OCN•Operating Condition Notice•Expected Freezing Temperatures•PUCT Report @3:05pm

OCN and Watch also include:•Qualified Scheduling Entity Hotline Call•Transmission Owner Hotline Call•Postings on the Market Information System and ERCOT website

Page 11: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

5:20am5:08am

7:15pm

1,804 MW Non-Spin deployed Restored 500 MW

Restoration Complete

A timeline of the emergency steps that were taken leading to rotating outages in ERCOT

FEB 2 FEB 3, 10 AM EEA 2A ENDS & EILS RECALLED

Issued WatchReserves below 2,500 MW

Issued EEA 2A•Reserves below 1,750 MW •Load Resources deployed

Issued EEA 3•EILS deployed•Firm Load Shed 1,000 MW

7:57amRestored 500 MW (3,500 MW out)8:22amRestored 500 MW (3,000 MW out)9:25amRestored 500 MW (2,500 MW out)5:43am

6:04amFirm load shed 1,000 MW (2,000 MW total)

6:05amFrequency 59.576Hz

6:23amFirm Load Shed 2,000 MW

(4,000 MW total)

6:59amMedia Appeal issued

Move to EEA 2BFrom EEA 3

New winter Peak Record 56,480 MW

2:01pm

11:39amRestored 500 MW (2,000 MW out)12:04pmRestored 500 MW (1,500 MW out)12:25pmRestored 500 MW (1,000 MW out)12:49pmRestored 500 MW (500 MW out)

Load Resources Recalled

Move to EEA 2AFrom EEA 2B

3:14pm

4:30am 1:07pm

1:57pm

Page 12: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

The ERCOT System responded as expected

59.45

59.50

59.55

59.60

59.65

59.70

59.75

59.80

59.85

59.90

59.95

60.00

60.05

60.10

HZ

Frequency vs. Load Shed

Frequency

Load Resources Shed @ 5:20

1,000 MW Firm Load Shed and Emergency Interruptible Load @ 5:44

1,000 MW Firm Load Shed @ 6:04

2,000 MW Firm Load Shed @ 6:23

Page 13: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

New EILS Contract Period(RFP)

Page 14: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

New EILS RFP

• Today ERCOT will be filing a Petition for Emergency Rulemaking with the Public Utility Commission

• Subst. R. 25.507 (a)(2):– (2) Notwithstanding the foregoing, ERCOT may

restructure the contract periods to facilitate additional load participation in EILS. ERCOT must publicly announce any changes to the contract period schedule described above at least 90 days prior to the next contract period start date.

• Petition will seek to remove the 90-day advance notice requirement

Page 15: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

This EILS RFP is provisional and this procurement may be cancelled by ERCOT at any step in the process prior to notification of awards. A decision by ERCOT to proceed with the procurement will be contingent on factors including but not limited to the following:

– Approval by the Public Utility Commission of Texas (PUCT) of a change to PUCT Substantive Rule §25.507 (a)(2),

– May require Approval by the ERCOT Board of Directors of a waiver of Nodal Protocols Section 3.14.3 (2),

– EILS MW capacity offers that are determined by ERCOT to be both sufficient to provide a viable operational tool for ERCOT to deploy in an Energy Emergency Alert and priced consistent with the reasonableness criteria

Page 16: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

Term of Service This RFP is for EILS services for a Contract Period beginning at Hour Ending 01:00 (12:00 a.m.) on April 1, 2011, through Hour Ending 24:00 (midnight) on May 31, 2011. Offers may be submitted to provide EILS for one or more of the following Time Periods in this Contract Period:

Time Period Name Time Period Hours (Central Prevailing Time)

Business Hours 1 Hours Ending 0900 through 1300 (8:00:00 a.m. to 1:00:00 p.m.), Monday through Friday except ERCOT Holidays.* (210 total hours)

Business Hours 2 Hours Ending 1400 through 1600 (1:00:00 p.m. to 4:00:00 p.m.), Monday through Friday except ERCOT Holidays. (126 total hours)

Business Hours 3 Hours Ending 1700 through 2000 (4:00:00 p.m. to 8:00:00 p.m.), Monday through Friday except ERCOT Holidays. (168 total hours)

Non-Business Hours All other hours (960 total hours)

* The ERCOT Holiday in this Contract Period is Monday, May 30, 2011.

Page 17: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

• The Change Control process for the Technical Requirements and Scope of Work for the new Contract Period will be modified as follows: – the Market Participant review period for changes to the

document will be less than 14 days. Otherwise the Change Control process will not change.

GUIDELINES FOR New EILS PROCUREMENT

Page 18: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

• QSEs may submit new EILS Loads or reconfigured aggregated EILS Loads to ERCOT for consideration using the EILS Load Identification (ELID) process as defined and adhering to the ELID deadlines set forth in the procurement schedule.

GUIDELINES FOR New EILS PROCUREMENT (Cont’)

Page 19: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

• QSEs may submit offers for the following:– EILS Loads assigned an ELID number through the

process described in No. 2, above.– EILS Loads with valid, numbered ELIDs and baseline

assignments from the original Feb.-May 2011 Contract Period procurement cycle.

– EILS Loads with valid Reinstatement ELIDs that have successfully completed their reinstatement test and for which the suspension period has expired or will expire prior to April 1, 2011. Standard parameters relating to reinstatement offers apply.

– Substituting EILS Loads that were providing EILS at the time of the Feb. 2-3 EILS deployment event.

GUIDELINES FOR New EILS PROCUREMENT (Cont’)

Page 20: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

Demand Side Working Group February 25, 2011

GUIDELINES FOR New EILS PROCUREMENT (Cont’)

• Availability and event performance will be evaluated independently of the original Feb.-May Contract Period.

Page 21: February 25, 2011 Demand Side Working Group EILS Update Mark Patterson ERCOT, Manager Demand Integration

February 25, 2011 Demand Side Working Group

Draft2

PROCUREMENT SCHEDULE Contract Period: April 1, 2011 through May 31, 2011

All deadlines are close of business U.S. Central Prevailing Time.Date Action

Fri., Feb. 25, 2011

RFP ISSUED: ERCOT issues EILS Request for Proposal. Draft Technical Requirements & Scope of Work posted to EILS web page.EILS Load ID process begins — submittal of Resources for baseline assignment & capacity pre-screening

Fri., Mar. 4, 2011 ELID process closes (last day to submit ELIDs for new Loads.

Mon., March 7, 2011 Online meeting review of Technical Requirements comments (if requested).

Fri., March 11, 2011ERCOT communicates to QSEs completed baseline assignment and capacity pre-screening information for prospective EILS Loads.

Mon., March 14, 2011QSEs opting for EILS Self-Provision submit the EILS Notification of Self-Provision Form to ERCOT.

Fri., March 18, 2011 OFFERS DUE: QSEs submit EILS Submission Forms with completed competitive Offers and/or Self-Provision Offers. ERCOT notifies Self-Providing QSEs of options for adjusted commitment levels.

Tue., March 22, 2011 Self-Providing QSEs provide ERCOT with final Self-Provision commitment (this must occur within two Business Days of the communication to the QSE from ERCOT).

Wed., March 24, 2011ERCOT notifies awarded QSEs of EILS awards. ERCOT issues Market Notice with summary of EILS awards. Standard Form Supplements to QSE Agreements distributed to awarded QSEs.

Wed., March 30, 2011 Deadline for signed contracts to be returned to ERCOT. Fri., April 1, 2011 First day of operation in the Contract Period. Tue., May 31, 2011 Last day of Contract PeriodTue., July 5, 2011 Deadline for submitting NOIE or non-TDSP interval meter data to ERCOTFri., July 15, 2011 ERCOT provides unofficial availability and event performance data to QSEs

Mon., July 25, 2011 Deadline for QSEs to identify any discrepancies with ERCOT’s unofficial data

Tue., Aug. 9, 2011 Approximate Settlement statement posting date for this Contract Period