Standards Review Subcommittee Update

February 3, 2009

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Standards Review Subcommittee• Met December 3rd and January 13th

– Conducting more in-depth review of NERC standards under development

– Reviewed recommendation 2008 AP Item 5.a Demand Response Measurement and Verification

– Determined not to submit additional standards request for backup systems

– 2009 moved to monthly calls

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Annual Plan Item 2009 • Scoping of Annual Plan Item 6.f

– Synchronize Bidding Credit Requirements for FTR, TCC and CRR (R08025)

– Posting of collateral is an important issue for financial marketers. Most financial marketers and smaller entities are required to post cash for FTR transactions, while most utilities post unsecured credit. Therefore, the timing for posting collateral is especially crucial to financial marketers. There are two posting periods for FTRs:

• The Bidding Requirement: Credit must be posted with FTR bids and these monies are held until bids are cleared

• The Holding Requirement: After bids are cleared and FTRs awarded, collateral is required for the amount of time the FTR is active

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Ongoing Activities • Review of NERC Activities

– Assess NERC projects, SARs, and Interpretations to determine if potential for NAESB complementary standards

– Recommend detail assessments by appropriate subcommittee/working group, based on assessment of projects

• Review of standards posted for formal comments

• Annual review of NERC’s Reliability Standards Development Plan

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Feedback from the SRS • Request additional participation

in SRS meetings• Request active participation in

SRS meetings