1. Retail Market Subcommittee Update to TAC Kathy Scott January 28, 2014 1

2. RMS Voting Items for TAC’s Consideration 2014 RMS Leadership Confirmation ◦ Kathy Scott – Chair (CenterPoint Energy) ◦ Rob Bevill – Vice Chair (NRG) Retail Market Guide Revision Requests (RMGRR) RMS Unanimously Approved: ◦ RMGRR116, Updates to the Process for Acquisition Transfer Events – (ERCOT Comments) ◦ RMGRR118, Customer Chooses to Receive Non- Standard Metering Services (Project 41111) ◦ RMGRR119, Texas SET language clarifications January 28, 2014RMS Update to TAC2

3. NPRR Status Report NPRR583, Validates CSA Bypass Code in a Move- Out Request is From Current CSA CR (Vote) ◦ This Nodal Protocol Revision Request (NPRR) requires ERCOT to validate that the Competitive Retailer (CR) submitting an 814_24, Move-Out Request containing the Continuous Service Agreement (CSA) bypass code, is also the current CSA CR. ◦ 12/18/13 and 12/19 NPRR583 endorsed by RMS and PRS approved 01/10/14 – NPRR583 RMS Impact Analysis Review/Vote:  Between $80k and $90k  Estimated Project duration – 4-6 months – No impacts to ERCOT staffing, business functions, grid operations, and practices  NPRR583 was unanimously endorsed by RMS with a Priority of 2014 and Rank of 1080. ◦ 01/16/14 – PRS agreed to Table NPRR583 to allow feedback from ERCOT on occurrences and whether the incorrect use of the CSA bypass code violates PUCT Rules or the ERCOT Protocols. January 28, 2014RMS Update to TAC3

4. SCR Status Report SCR776, Retail Data Transport Upgrade to NAESB EDM v2.2 (Vote)  This System Change Request (SCR) will upgrade North American Energy Standards Board (NAESB) Electronic Delivery Mechanism (EDM) from v1.6 to v2.2, providing ERCOT and Market Participants the ability to support NAESB EDM specified digital signature as well as retail file data identification in compliance with NAESB EDM v2.2.  Strengthens data security and increases efficiency in identifying data for retail file transmissions, such as:  11/20/13 and 11/21/13- RMS endorsed and PRS approved  01/10/14 – RMS Unanimously endorsed that PRS “TABLE” SCR776 to allow additional time for RMS to review and discuss implementation options along with market benefits based upon our review of the cost reported in ERCOT’s Impact Analysis.  TDTWG has been assigned this action item from RMS.  01/16/14 –PRS Unanimously agreed to “TABLE” SCR776 January 28, 2014RMS Update to TAC4

5. Working Group Updates Advanced Metering Working Group (AMWG) (01/21/14 Meeting): ◦ 3 rd Party Letter of Authorization (LOA) functionality on Smart Meter Texas still scheduled for 2014 Q4 implementation  SMT Team accepting volunteers from the Market for 3 rd Party LOA- API Testing contact: Andrea.oflaherty@solutionscubegroup.comAndrea.oflaherty@solutionscubegroup.com  Posting of High Level Project Plan along with other documents will be posted on ERCOT.com under AMWG’s Key Documents main page: http://www.ercot.com/committees/board/tac/rms/amwg/ http://www.ercot.com/committees/board/tac/rms/amwg/ ◦ TDSP’s AMS Install Status Report:  AEP – approx. 97.5% complete: 1,000,000 as of 01.07.2014  TNMP – approx. 55% complete: 125,789 as of 12.31.2013  Oncor – 100% complete: 3,262,864 as of 12.31.2012  CNP – 100% complete: 2,283,012 as of 07.31.2012  Total Number of AMS Meters Installed: 6,671,665 January 28, 2014RMS Update to TAC5

6. Working Group Updates TX SET Working Group (01/22- 23 Meetings): ◦ Mass Transition Update :  Volume limitations are still being discussed to determine if additional options are available to increase ESI ID throughput volumes higher than 75,000 ESI IDs per day  Discussions concerning 2-Calendar Days vs. 1-Calendar Day for the Mass Transition Requested Date concluded:  2-Calendar Days complies with PUCT Subst. Rule 25.43(o) “REP obligations in a transition of customers to POLR service” – Item (16) that states:  “ In a mass transition event, the ERCOT initiated transactions shall request an out-of-cycle meter read for the associated ESI IDs for a date two calendar days after the calendar date ERCOT initiates such transactions to the TDU”  TX SET’s Consensus: The MORE time Gaining REPs have to prepare to receive these ESI IDs lessens the RISK the market may experience post mass transition event completion. ◦ Market Flight Testing review continues to determine if efficiencies can be achieved for future test flights January 28, 2014RMS Update to TAC6

7. Taskforce Updates Sharyland Transition Taskforce (1/09/14 Meeting):  Rate Case Update  SU transition settlement was Approved by the PUCT during the January 23, 2014 Open Meeting.  SU plans to submit their new compliance Tariff’s to the PUCT on February 1, 2014.  First SU CR Reception and Workshop scheduled for February 18-19, 2014 in Dallas at the Hyatt Regency Reunion Tower.  Educational Public Meetings scheduled for:  February 24, 2014 – Stanton 3:30 PM – 7:30 PM  February 25, 2014 – Colorado City 3:30 PM – 7:30 PM  February 27, 2014 – Brady 3:30 PM – 7:30 PM  March 3, 2014 – Midland 3:30 PM – 7:30 PM  March 6, 2014 – Celeste 3:30 PM – 7:30 PM January 28, 2014RMS Update to TAC7

8. Taskforce Updates MarkeTrak Taskforce: ◦ Project 010_03 SCR756 Part B  Identifying sections in the Marketrak User’s Guide that will need to be updated to include new system design and functionality  Planning Market Training sessions in May 2014  Implementation Planned for end of June 2014  System Stabilization 4-6 Weeks  Planning to conduct Project Lesson Learned session  RMS will plan to sunset the MarkeTrak Taskforce by end of year January 28, 2014RMS Update to TAC8

9. Additional Meeting Updates Smart Meter Texas Development Oversight (SMT DO) restarted conducting monthly Web conferences for 2014 on: ◦ Friday, February 28 th 10 AM – 11:00 AM (tentative) ◦ Friday, March 21th 10AM – 11: 00 AM ◦ Friday, April 25 th 10AM – 11:00 AM ◦ Friday, May 23 rd 10AM – 11:00 AM ◦ Friday, June 20 th 10AM – 11:00 AM January 28, 2014RMS Update to TAC9

10. Questions? 10January 28, 2014RMS Update to TAC