ERCOT Pilot Project for Fast Responding Regulation Service (FRRS) PDCWG April 26, 2013

2 Objective 1.FRRS Pilot overview 2.Monthly FRRS Deployments 3.FRRS-up Response to sudden large low Frequency Events 4.Measuring ERCOT deployed FRRS-up against rate of change of Frequency and Regulation-up deployment 5.Monthly FRRS Performance 6.Stakeholder Review Process 7.Questions 8.Next Steps ERCOT PDCWGApril 26, 2013

3 FRRS Pilot Overview FRRS pilot deployment obligations began on Feb. 25, 2013 at hour ending 11. When the pilot began, there were 32 MW FRRS UP and 30 MW FRRS DOWN qualified to participate. Additional 1 MW FRRS UP and DOWN began participating on Mar. 16, All the qualified resources completed the qualification tests. ERCOT has made FRRS parameter changes twice and more parameter changes are expected during the course of pilot April 26, 2013 ERCOT PDCWG

4 Log of Parameter Changes FAST RESPONDING REGULATION SERVICE PILOT PROJECT PARAMETER SETTINGS Effective Date and Time Operating Day HE 11 Operating Day HE 1 Operating Day HE 1 Band 1 High Trigger Frequency (Hz) Band 2 High Trigger Frequency (Hz) Band 3 High Trigger Frequency (Hz) Band 1 Low Trigger Frequency (Hz) Band 2 Low Trigger Frequency (Hz) Band 3 Low Trigger Frequency (Hz) Capacity Deployment in Band 1 (%) 50 Maximum Deployment Time per Band (sec) Recall Interval (sec) 12 Single Event Reset High Trigger Frequency (Hz) Single Event Reset Low Trigger Frequency (Hz) ERCOT PDCWGApril 26, 2013

5 Overview of FRRS-UP Awards ERCOT PDCWGApril 26, 2013

6 Overview of FRRS-DN Awards ERCOT PDCWGApril 26, 2013

7 Dollar Amounts ERCOT PDCWGApril 26, 2013

8 Number of FRRS Deployments 3/25/

9 ERCOT Public Simulation: Effect of FRRS on sudden large Frequency decay FRRS-Up Full Deployment with 1 second delay after Hz

Event with high resolution data 3/25/

Event with high resolution data 3/25/

Frequency event - - No FRRS available 3/25/ Frequency FRRS-Up Deployed FRRS Response Regulation Deployed

event with high resolution data 3/25/

event with high resolution data 3/25/

High Frequency Event 3/25/

High Frequency Event 3/25/

17 ERCOT PDCWGApril 26, 2013 Frequency FRRS-Up Deployed FRRS Response Regulation Deployed Effect of FRRS-Up on Frequency and Reg-Up

18 ERCOT PDCWGApril 26, 2013 Frequency FRRS-Up Deployed FRRS Response Regulation Deployed Effect of FRRS-Up on Frequency and Reg-Up…..cntd

19 ERCOT PDCWGApril 26, 2013 FRRS Impact on RoCoF

20 ERCOT PDCWGApril 26, 2013 FRRS Impact on Reg-Up Deployment

21 Next Steps Continue to evaluate and share FRRS Pilot data with various stake-holder groups Post Preliminary (3 month) report on Pilot in early June. Perform cost benefit analysis prior to July 2013 board meeting Obtain PDCWG feedback on cost benefit analysis approach. ERCOT PDCWGApril 26, 2013

22 Stakeholder Review Process ERCOT discussed progress of FRRS-pilot and some performance data with ETWG and PDCWG in March 2013 scheduled meeting. PDCWG meeting April 26 ETWG meeting April 30 TAC May 2 (Update on Pilot and outline options) BOD May 14 (General update, Heads-up on decision required at July BOD meeting) ERCOT PDCWGApril 26, 2013

23 Questions? ERCOT PDCWGApril 26, 2013