Business Practices Subcommittee Update August 16, 2011

2 Free Template from 2 WEQ BPS Update - Meetings Meetings since last update –August 9-10, 2011April 11-13, 2011 –July 12-13, 2011March 8-9, 2011 –June , 2011February 28, 2011 –May 17-19, 2011February 22, 2011 –April 28-29, 2011February 16-17, 2011 Scheduled meetings –September 13-14, hosted by NAESB, in Houston, TX –October 11-12, 2011, hosted by OATI, in Minneapolis, MN (include joint session with IDC Working Group) –November 8-9, 2011 Location TBD –December 14-15, 2011, Location TBD

3 Free Template from 3 Parallel Flow Visualization March/April –Identified key items decisions needed to be made to select Option for Permanent Solution Reach consensus on Seams Agreement/Business Practice Standards/2-Tier Firm Curtailment Hybrid Option Credit for Redispatch Flowgate Allocation Option – Exceed Allocation – First-to-Curtail/Last-to- Curtail or Generation to Load The granularity of transmission service granted under the OATT will be at the same granularity in the parallel flow visualization calculation in the IDC –Drove down each concept to point where decisions could be made to include/exclude from options April –Voted on key concepts to include in Options May –Reviewed options which included concepts selected in April –Selected Hybrid Option as the Option to move forward for the Permanent solution

4 Free Template from 4 Parallel Flow Visualization (cont.) June - August –Continuing to develop detail requirements (filling in gaps) –Addresssing “parking lot” items –Developed documentation for Executive Committee on two-tier firm curtailment September/October –Finalize Parallel Flow Visualization Permanent Solution White Paper –Address “parking lot” items –Joint session with IDC Working Group November/December –Develop standards from Parallel Flow Visualization Permanent Solution White Paper –Vote to post standards for 30-day formal comment period

5 Free Template from 5 Joint NERC BACSDT/ NAESB TIMTF Update Task Force has not met pending NERC standards development activity NERC is preparing to start a field trial for elimination of Manual Time Error Correction March 23, 2011 WEQ Leadership discussed how to coordinate with NERC since NAESB has approved standards to support NERC field trial April 8, 2011 Executive Committee approved Minor Correction to Manual Time Error Correction (WEQ-006) - to suspend the NAESB Business Practice Standards for WEQ through WEQ based on the motion approved by the NERC Operating Committee at their March 9, 2011 meeting (MC11011) June 20, 2011 NAESB file errata to the NAESB WEQ Version Business Practices standards which included Minor Correction MC11011

6 Free Template from 6 Questions/Feedback ?