1. Request for Information IDC Granularity Option 3/3A
Jeff Norman
May 11, 2005

2. What does NERC want to know?
Technological feasibility
Estimated project cost
Cost per phase
Cost of individual options
Estimated project development time
Possible venders

3. What does the ORS want to know?
Can the granularity of the IDC be significantly increased?
Can a replacement to the existing IDC optimally minimize the overall re-dispatch cost in order to effectively relieve a constraint within an acceptable period of time?
Can Option3/3A be developed at an acceptable cost?

4. Timeline May 13, 2005 – Official RFI is released
June 8, RFI responses are due
September 2005 – NERC business case
January 2006 – Release of RFP

5. Structure of the RFI Project Description Introduction
Selection Procedure and Rules
Background
Vender Questions
Business Requirements
Technical Requirements
Vender Requirements
Price
Quality
Development and Testing
Other

6. Introduction and Rules
Defines the purpose and contents of the RFI.
Selection Procedure and Rules
Defines the response deadline, acceptable contents of a response, and where to submit the responses to the RFI.

7. Who is NERC?
Non-profit corporation consisting ten regional reliability councils
Sets reliability standards, conducts industry audits, and manages the development of reliability tools
Policy, standards, and projects are determined and approved by NERC committees
Annual funding is approved by the NERC Board of Trustees, and assessed to the NERC Regions

8. The current IDC process
During a TLR transactions with a 5% or higher TDF are subject to curtailment
Impacts Reliability
The TLR process requires a significant amount of time to implement
Impacts cost
A significant number of transactions may need to be curtailed in order to achieve a small amount of relief

9. IDC Granularity Option 3
Intended to “optimally minimize the overall cost of re-dispatch in order to effectively relieve a constraint within an acceptable period of time”
i.e. re-dispatch with financial resolution
Tool is to be developed in phases, beginning with the ability to provide equivalent relief to that provided by the existing IDC.

10. Assignment of Relief Responsibility
Relief responsibility will be assigned via transaction, as described by the IRR/TRR process in Option 3A
Transactional Relief Responsibility (TRR) assigns financial responsibility for the cost of re-dispatch to the TPs responsible for the congestion

11. Re-dispatch Options & Considerations
Options include
Inc/dec generation pairs
Coordinated movement of multiple units across multiple flow gates
Voluntary curtailments based upon pricing signals
Considerations include
Start-up and ramping capabilities
Financial impacts
Effect of re-dispatch on next contingency analysis

12. Data and System Considerations
1,800 flow gates with a base case of over 50,000 elements
Available through E-Tags, ICCP, TSIN…
System analysis
Re-dispatch and financial responsibility must be determined in under 15 minutes (preferably less than 5 minutes)

14. Required Features
Study Module for determining re-dispatch alternatives
Module for viewing relevant factors
Module for reviewing Predicted flows
CH and NH flows
20, 40, 60 minute look ahead

15. NERC Contractual Requirements
Security
Data
Hardware and development languages
System availability
Application distribution

16. Vender Input
Demonstrate a thorough understanding of the requested functionality of the tool
Identify any limitations to developing this tool
Provide a break-down of cost and development time based upon a phased implementation
Demonstrate relevant experience

17. NERC Contacts Brian Nolan – Brian.Nolan@NERC.net
Jeff Norman –
Larry Kezele –
NERC Office:

18. Questions?