1. Presentation to the Western Electricity Coordinating Council Board of Directors Seattle, WA by Jeff Burks and Bill Westerfield April 21, 2004 Western Renewable Energy Generation Information System (WREGIS)

2. April 21, 2004 WREGIS for WECC 2 What is WREGIS? Western Renewable Energy Generation Information System An computerized registry and tracking system for renewable energy certificates or tags. Critical piece of infrastructure for development of west-wide market for renewable energy. WREGIS is not a trading platform or market, but it will support them.

3. WREGIS Geography Western Interconnection System In Operation System Under Development

4. April 21, 2004 WREGIS for WECC 4 Sponsors Western Governors Association California Energy Commission Western Regional Air Partnership

5. April 21, 2004 WREGIS for WECC 5 WREGIS Project Goals Create an independent tracking system for renewable energy generation in the West Establish a single institution in the West that will issue, register and track RECs Maximizes value of renewable energy resources Support state regulatory compliance and voluntary green market programs WREGIS operational in 2005

6. April 21, 2004 WREGIS for WECC 6 Renewable Energy & RECs Production of Renewable Electricity RECs = Green Attributes Commodity Electricity RECs (Renewable Energy Certificates) represent the contractual right to claim the environmental and other attributes associated with electricity generated from a renewable energy facility May be traded independently of energy markets

7. April 21, 2004 WREGIS for WECC 7 How Will WREGIS Operate? WREGIS will operate like a banking system When generators register, they open an account with WREGIS All RECs are initially issued to generators accounts RECs act as the currency that is moved between accounts Other parties who wish to have RECs accounts within WREGIS may also open accounts.

8. April 21, 2004 WREGIS for WECC 8 WREGIS may be Used by Multiple Programs Renewable (or environmental) portfolio standards NM, CA, AZ, BC, NV Info disclosure WA, CO, CA, OR, NM, MT, AZ Green pricing OR, CO, PacifiCorp states Public benefits programs CA, MT, OR Consumer protection Production tax credits NM Tracking REC ownership Air Quality, Regional Haze, and SIPs

9. April 21, 2004 WREGIS for WECC 9 Institutional Home Options Western Electricity Coordinating Council (WECC) Western Interstate Energy Board (WIEB) Non-profit corporation

10. April 21, 2004 WREGIS for WECC 10 WREGIS Supports WECCs Mission WREGIS Supports WECCs Reliability Mission by: Facilitating a more diversified portfolio of energy resources; and Contributing to a more efficient competitive market in renewable energy.

11. April 21, 2004 WREGIS for WECC 11 WREGIS is Consistent with WECCs Values and Priority Goals Will assist WECC in developing and maintaining technical proficiency in data gathering and management. Will improve WECCs power supply assessments and power system models Will assist WECC in demonstrating WECCs adaptability in meeting the evolving needs of the electricity industry.

12. April 21, 2004 WREGIS for WECC 12 A WREGIS Governance Model at WECC Governance through WREGIS Board Committee composed of WECC and/or non-WECC member representatives WREGIS Board Committee to have policy making authority subject to WECC Board WREGIS account holders contract with WECC similar to WECCs Reliability Management System (RMS) program Day-to-day operations performed by outside IT contractor WECC Bylaw 7.7.2 changed to allow non-WECC members to participate on WREGIS Board Committee

13. April 21, 2004 WREGIS for WECC 13 WREGIS Costs No cost burden to WECC Software development system funded by California Energy Commission On-going operational costs to be covered by user fees ERCOT: ~$160K/year (2.2¢ per MWh) NEPOOL: ~$2.4M/year (1.8¢ per MWh)

14. April 21, 2004 WREGIS for WECC 14 Summary: WECC and WREGIS are a Good Fit WECC provides needed geographic scope WECC provides WREGIS stature as a regional organization Strengthens WECCs data handling capabilities WECC gains high visibility, low controversy program

15. April 21, 2004 WREGIS for WECC 15 Next Steps at WECC Begin more detailed discussions with WECC staff Report to WECC Board in July 2004 with a specific proposal, including possible bylaws change.

16. April 21, 2004 WREGIS for WECC 16 Thanks! www.westgov.org/wieb/wregis/ Contact Bill Westerfield, CECJeff Burks, WGA 916-654-4475(801) 538-5414 bwesterf@energy.state.ca.usbwesterf@energy.state.ca.us jeffburks@utah.gov