1. NERC COMPLIANCE AND CERTIFICATION COMMITTEE CCC FRCC Compliance Committee Ted Hobson 12/18/08

2. Agenda  Overview of CCC  Review of 12/10/08 Meeting  Review of 2009 CCC Annual Plan

3. CCC Mission  In the capacity of a NERC Board-appointed stakeholder committee serving and reporting directly to the NERC Board the Compliance and Certification Committee (CCC) will engage with, support and advise the NERC Board and NERC Compliance regarding all facets of the NERC Compliance Monitoring and Enforcement Program (Compliance program), Organization Registration program (Registration program) and Organization Certification program (Certification program). As a committee providing support and advice but otherwise independent of the execution of these programs the CCC will monitor NERC’s compliance with the Rules of Procedure for these programs on an ongoing basis. Also and in a similar manner, as a committee independent of the Reliability Standards development process the CCC will be the body responsible for monitoring NERC’s compliance with the Rules of Procedure regarding the Reliability Standards development process, with the exception of appeals of substantive or procedural action or inaction associated with a reliability standard or the standards process as defined in the appeals section of the Reliability Standards Development Procedure.

4. CCC Charter  Establish and implement programs to monitor  NERC’s compliance with standards applicable to NERC  NERC’s adherence to ROPs for the CMEP  NERC’s adherence to ROPs for the Reliability Standards development process

5. Charter Cont’d  Hearing body.  Serves as the hearing body for any contest regarding findings of or penalties or sanctions for violation(s) of reliability standard(s) where NERC is directly monitoring the entity for compliance with those standards (Registered Entity by agreement with an Regional Entity or absent a delegation agreement; the Region itself where approved standards are applicable to the region) as described in the NERC Rules of Procedure (ROP) Section 409.

6. Charter Cont’d  Mediator  As directed by the NERC Board, serves as the mediator for any disagreements between NERC and the Regional Entities concerning NERC performance audits of Regional Entities’ compliance programs. When directed by the Board to serve as mediator, the committee chair will appoint three disinterested members of the committee to meet with representatives of NERC and the Regional Entity to attempt to resolve the matter.

7. Charter Cont’d  Compliance administration.  Develops compliance administration elements for proposed reliability standards under development or for proposed revisions to existing reliability standards as requested and authorized by the NERC Standards Committee.  Organization registration and certification.  Provides assistance to NERC and the Regional Entities to implement the Compliance and Organization Registration and Certification programs.  Board assignments.  Undertakes assignments from the Board or the Board’s Compliance Committee related to compliance, organization registration and organization certification.

8. CCC Charter  Provide comments and recommendations to the BOT and NERC compliance staff  On stakeholders’ perception of the policies, practices and effectiveness of the Compliance program, Registration program, and Certification program  For revisions of the ERO Rules of Procedure related to the Compliance program, Registration program, and Certification program to the NERC Board.

9. Compliance and Certification Committee (CCC) Organization Registration and Certification Subcommittee (ORCS) Standards Interface Subcommittee (SIS) ERO Monitoring Subcommittee (EROMS) Procedures Subcommittee (PS) Compliance & Certification Committee

10. Membership  Appointed by the NERC Board and serve at the pleasure of the Board  Membership structure modeled upon the membership structure of the NERC Member Representatives Committee (MRC)  Regional Entities recommend their member- BOT Approves  Other segment members recommended by CCC and confirmed by the Board  Canadian representation required

11. CCC Roster  Chairman Shawn T. Abrams Vice President of Planning and Power Supply, Santee Cooper Vice Chairman W. Clay Smith Vice President - Chief Legal and Compliance Officer Georgia Systems Operations Corporation  RRO-ERCOT Kent Saathoff Vice President of System OperationsElectric Reliability Council of Texas, Inc.  RRO-FRCC Ted E. Hobson VP, Fuels, Purchased Power & Compliance JEA  RRO-MRO Terry Bilke Director, Standards and Compliance Midwest ISO, Inc.  RRO-NPCC Edward F. Dahill National Grid USA  RRO-RFC Thomas C. Burgess Director, Energy Delivery Structuring FirstEnergy Corp.  RRO-SERC Rick Riley Vice President, Transmission Regulatory Compliance Entergy Services, Inc.  RRO-SPP David Hodges Standards Compliance Manager Southwest Power Pool  RRO-WECC Robert Johnson Manager—Transmission Operations Public Service Company of Colorado  Cooperative Thomas A. Smith Senior Manager of System Operations Tri-State G & T Association Inc.

12. Roster Cont’d  Electricity Marketer Brent Hebert Director, Government and Regulatory Affairs Calpine Corporation  Federal/Provincial Utility/Power Authority Earl Cass Manager, operations Support and Compliance Western Area Power Administration  Federal/Provincial Utility/Power Authority Ajay Garg Manager Transmission Connections Hydro One Networks, Inc.  Federal/Provincial Utility/Power Authority Martin Huang Vice President, System Operations British Columbia Transmission Corporation  IOU John J. Blazekovich Compliance Manager Exelon Corporation  IOU Lucius Burris Manager Operations Services Southern Company Services, Inc.  ISO/RTO Gregory Campoli Supervisor, Reliability Compliance and Assessment New York Independent System Operator  ISO/RTO Matthew F. Goldberg ISO New England, Inc.

13. Roster Cont’d  Large End-Use Electricity Customer John P. Hughes Vice President, Technical Affairs Electricity Consumers Resource Council  State/Municipal Laurence Chaset Staff Attorney California Public Utilities Commission  State/Municipal Stuart Nelson Manager, Asset Development Lower Colorado River Authority  U.S. State James Spearman Executive Assistant & Senior Technical Advisor Public Service Commission of South Carolina  TDU Andrew Fusco Manager, Resource Planning North Carolina Eastern Municipal Power  Transmission Dependent Utility Patricia E. Metro National Rural Electric Cooperative