relaxed resource schedule credit requirements
DESCRIPTION
Relaxed Resource Schedule Credit Requirements. December 2003. Relaxed Resource Schedule. Credit Requirements Incremental Collateral Calculation Price Volume Weekly True-Up Resource and Load Imbalance Collateral Posting. Incremental Collateral Calculation. For Resource Only QSEs - PowerPoint PPT PresentationTRANSCRIPT
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Relaxed Resource Schedule Credit Requirements
December 2003
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Relaxed Resource Schedule
Credit Requirements
• Incremental Collateral Calculation
• Price
• Volume
• Weekly True-Up
• Resource and Load Imbalance
• Collateral Posting
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Incremental Collateral CalculationFor Resource Only QSEsFor any un-invoiced trade weeks that a QSE’s estimated resource mwhs deviation exceeds Expected Generation mwhs by 20%, ERCOT will calculate an incremental collateral requirement as follows:
(Estimated Resource MWhs Deviation x Estimated Price unbilled ) – Collateral Held for Resource Imbalance
Estimated Resource MWhs Deviation = Expected Generation unbilled - Estimated Generation unbilled + Scheduled ERCOT Market Resource Purchase
Expected Generation = Base Schedule + BES Instructions + Regulation & other Ancillary Services Deployment
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Price
Price will be calculated for:
• The weeks of activity that have occurred but have not been billed (currently approximately three weeks)
• One forward week (to capture volatility)
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Price
Price for Unbilled Weeks
• The seven day average or the higher of – a) The BE Up and
– b) The BE Down daily weighted average BES MCPEDaily prices found on the ERCOT website (transparent)
• Price for the Forward Week– Price will be calculated as 150% of the most recent seven (7)
day weighted average BES MCPE
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Balancing Energy Summary
Weighted Average
Balancing Energy Up
Weighted Average
Balancing Energy Down Average
All Zones All Zones MCPENovember 14, 2003 $27.85 $19.44November 15, 2003 $60.97 $20.49November 16, 2003 $44.01 $16.94November 17, 2003 $40.15 $21.78November 18, 2003 $21.94 $17.89November 19, 2003 $29.97 $21.87November 20, 2003 $49.91 $22.56 $39.26November 21, 2003 $32.55 $25.73November 22, 2003 $31.66 $20.01November 23, 2003 $28.81 $14.54November 24, 2003 $38.32 $20.90November 25, 2003 $33.04 $13.34November 26, 2003 $28.53 $18.53November 27, 2003 $30.94 $13.28 $31.96November 28, 2003 $70.55 $15.80November 29, 2003 $34.28 $14.49November 30, 2003 $45.60 $11.25December 1, 2003 $36.18 $10.47December 2, 2003 $24.65 $16.42December 3, 2003 $29.61 $21.69December 4, 2003 $39.85 $26.97 $40.10December 5, 2003 $38.36 $23.69December 6, 2003 $44.75 $14.14December 7, 2003 $39.58 $17.66December 8, 2003 $36.87 $26.80December 9, 2003 $59.89 $24.80
December 10, 2003 $59.89 $24.80December 11, 2003 $59.89 $24.80 $48.47Dec 12 - 18 Price one week forward $72.70
For Presentation, some prices were extrapolated to
meet deadline. Actual price will be used for calculation.
Date
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Volume
Volume will be calculated as the higher of:
• ERCOT’s estimate of the QSE’s previous seven day average estimated resource deviation or
• The QSE’s estimated average forecast of resource deviation for the next seven day period
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Volume
• The ERCOT estimated resource deviation for the previous seven-day period is calculated as:
(Scheduled Generation – Preliminary Actual Generation
+ Scheduled ERCOT Market Resource Purchased)
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QSE
Duns# Expected Estimated Resource SCHD ERCOT Total Percentage Resource
Generation Generation Deviation Resource Prch Deviation Deviation MCPE Deviation $$
11/14/03 1700 1500 -200 -100 -300 -19% 39.26$ 11,778.00$
11/15/03 1600 1300 -300 -150 -450 -31% 39.26$ 17,667.00$
11/16/03 1500 1450 -50 -25 -75 -5% 39.26$ 2,944.50$
11/17/03 1700 1500 -200 -150 -350 -23% 39.26$ 13,741.00$
11/18/03 1750 1699 -51 -25 -76 -4% 39.26$ 2,983.76$
11/19/03 1820 1800 -20 -10 -30 -2% 39.26$ 1,177.80$
11/20/03 1820 1750 -70 -35 -105 -6% 39.26$ 4,122.30$
11,890 10,999 (891) (495) (1,386) -13% 274.82$ 54,414.36$
EST Resource Imbalance
11/21/03 1700 1500 -200 -25 -225 -13% 31.96$ 7,191.00$
11/22/03 2000 1800 -200 -50 -250 -13% 31.96$ 7,990.00$
11/23/03 1800 1700 -100 -25 -125 -7% 31.96$ 3,995.00$
11/24/03 1800 1750 -50 -25 -75 -4% 31.96$ 2,397.00$
11/25/03 1500 1450 -50 -25 -75 -5% 31.96$ 2,397.00$
11/26/03 1700 1600 -100 -10 -110 -7% 31.96$ 3,515.60$
11/27/03 1600 1500 -100 -25 -125 -8% 31.96$ 3,995.00$
12,100 11,300 (800) (185) (985) -8% 223.72$ 31,480.60$
11/28/03 1700 1400 -300 -25 -325 -19% 40.10$ 13,032.50$
11/29/03 2000 1350 -650 -25 -675 -34% 40.10$ 27,067.50$
11/30/03 1800 1400 -400 -25 -425 -24% 40.10$ 17,042.50$
12/01/03 1800 1300 -500 -25 -525 -30% 40.10$ 21,052.50$
12/02/03 1500 1250 -250 -25 -275 -19% 40.10$ 11,027.50$
12/03/03 1700 1350 -350 -25 -375 -22% 40.10$ 15,037.50$
12/04/03 1600 1300 -300 -25 -325 -21% 40.10$ 13,032.50$
12,100 9,350 (2,750) (175.00) (2,925.00) -24% 280.70$ 117,292.50$
12/05/03 2000 1900 -100 -25 -125 -6% 48.47$ 6,058.75$
12/06/03 2000 1450 -550 -25 -575 -29% 48.47$ 27,870.25$
12/07/03 2000 1500 -500 -25 -525 -27% 48.47$ 25,446.75$
12/08/03 1500 1000 -500 -25 -525 -36% 48.47$ 25,446.75$
12/09/03 1500 1450 -50 -25 -75 -5% 48.47$ 3,635.25$
12/10/03 1300 1000 -300 -25 -325 -25% 48.47$ 15,752.75$
12/11/03 1200 900 -300 -25 -325 -28% 48.47$ 15,752.75$
11,500 9,200 (2,300) (175.00) (2,475.00) -22% 339.29$ 119,963.25$
12/12/03 2000 1900 -100 -25 -125 -6% 72.71$ 9,088.75$
12/13/03 2000 1450 -550 -25 -575 -29% 72.71$ 41,808.25$
12/14/03 2000 1500 -500 -25 -525 -27% 72.71$ 38,172.75$
12/15/03 1500 1000 -500 -25 -525 -36% 72.71$ 38,172.75$
12/16/03 1500 1450 -50 -25 -75 -5% 72.71$ 5,453.25$
12/17/03 1300 1000 -300 -25 -325 -25% 72.71$ 23,630.75$
12/18/03 1200 900 -300 -25 -325 -28% 72.71$ 23,630.75$
Estimated Resource Imbalance
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Collateral Held for Resource ImbalanceVolume - MWHs Resource Deviation 1386
MCP $39.26
Total $54,414.36
For 4 Weeks $217,657.44
Total Collateral $217,657.44
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Sample Resource Deviation CalculationInvoice Date Pymt Date Imbal Vol Price RRS Liability
Nov 21 - 27, 2003 EIT 12/18/2003 1/5/2004 985 $31.96 31,480.60
Nov 28 - Dec 4, 2003 EIT 12/29/2003 1/14/2004 2925 $40.10 117,292.50
Dec 5 - 11, 2003 EIT 1/2/2004 1/20/2004 2475 $48.47 119,963.25
Dec 12 - 18, 2003 EST 1/8/2004 1/26/2004 2475 $72.71 183,592.75
RRS estimated liability 8,860.00 452,329.10
Collateral held for Resource Imbalance (217,657.44)
RRS collateral required 234,671.66
Forward Week Price
Prior week price $48.47Multiplier $1.50Forward week price 72.71
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Daily Monitoring and Weekly True-Up
• ERCOT will monitor daily and calculate weekly an incremental Resource Imbalance liability.
• Each week, ERCOT will apply the seven-day period’s updated estimated resource deviation and weighted average MCP and increase or reduce the QSE’s amount of incremental collateral posted.
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Resource and Load Imbalance• Collateral requirements for Resource and Load Imbalance:
• If the sum of
– 1. The percentage by which a QSE’s total estimated Load MWHs differs from its scheduled Load MWHs and
– 2. The percentage by which a QSE’s total estimated Resource MWHs differs from its scheduled Resource MWHs
– exceed 20%,
ERCOT will monitor daily and calculate weekly an incremental net Resource and Load Imbalance liability.
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Resource and Load Imbalance(based on the example listed below collateral would be calculated for both Resource and Load Imbalance)
Scheduled Total MWh Imbalance
Load 1,600 2,000 400 25%
Resource (2,200) (1,999) 201 9%
Total (600) 1 601 34%
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Collateral Posting
• All collateral, for NBEL, NRIL, TEL and EAL is due within two banking days.
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Relaxed Resource ScheduleCredit Requirements
Questions