1. Structured / Unstructured Market Trials Weekly Update – Friday Meeting October 4, 2013

2. Call Reminders Please help to minimize disruptions: Mute your phones Do not dial-in from a recorded line Do not put the call on hold, even if you are on mute When asking a question on the phone, please state your name and the entity you represent 2

3. Agenda TCR Update (20 min) 9:00–9:20A Preliminary Results Sept 30 – Oct 4 (5 min) 9:20–9:25A Analysis Sept 23 – 27 (40 min) 9:25–10:05A Settlements (10 min) 10:05–10:15 A Announcements & Outstanding Questions (10 min) 10:15–10:25A Look-Ahead Oct 7 – Oct 11 (15 min) 10:25-10:40A Updates (10 min) 10:40-10:50A Release Scorecard Migration Report Known Issues Log Questions (10 min) 10:50-11:00A 3

4. TCR Allocation Process Auction Process Revenue Next Steps 4 Jason Robison

5. TCR: Monthly Allocation Trending as Expected Residual capacity granted as ARRs 5 Jason Robison

6. TCR: October Auction Volume 6 Jason Robison

7. TCR: Revenue Adequate In All Product Periods 7 Jason Robison

8. TCR: Revenue by AO: October On-peak 8 Net Revenue Rd 1: $274,246 Rd 2: $306,155 Charges Credits Jason Robison

9. Round 1 ARR MW with no set Price (%) 43% in On-Peak 39% in Off-Peak Self Converts (MW) 3932.4 MW On-Peak 4125.8 MW Off-Peak Buy Bid & Sell Offers (#) 246 On-Peak 175 Off-Peak Round 2 ARR MW with no set Price (%) 54% in On-Peak 52% in Off-Peak Self Converts (MW) 2090.9 MW On-Peak 1633.2 MW Off-Peak Buy Bid & Sell Offers (#) 86 On-Peak 95 Off-Peak TCR: Auction Participation 9 Jason Robison

10. TCR: Don’t Forget to Click ‘Submit’ on Portfolios Valid means ready for credit check Only Approved portfolios are used in the Auction http://www.spp.org/publications/TCR%20MUI%20Job%20Aid.pdf 10 Jason Robison

11. TCR: Don’t Forget to Click ‘Submit’ on Portfolios For reference, if you DO NOT click “submit,” this is what the screen will look like after the bid window closes: http://www.spp.org/publications/TCR%20MUI%20Job%20Aid.pdf 11 Jason Robison

12. TCR: Conclusion Participation was higher—Thank You! October is revenue adequate for all auction periods Risky behavior is still being observed Submit your Auction Portfolios Market Trials is complete 12 Jason Robison

13. TCR: Next Steps CWG Recommendation for TCR Go-Live:10/07/13 Market Leadership Team vote for TCR Go-Live:10/11/13 Interim-Annual TSR Verification Period:10/18/13-10/31/13 13 October 1 2345 6789101112 13141516171819 20212223242526 2728293031 Jason Robison

14. Preliminary Results from Sept 30 – Oct 4 14 Alan Adams Scheduled Scenarios 6.1 DA Capacity Excess 6.2 RUC Capacity Excess 34 Offline Supplemental Deployment Questions?

15. Analysis: Sept 23 – Sept 27 15 Alan Adams Structured Market Trials Statistics posted to spp.org Structured Market Trials Statistics spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Presentations, Statistics, MP Meetings Analysis of Sept 23 – 27 Operating Days posted to spp.org Analysis spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder > Structured Market Trials Presentations, Statistics, MP Meetings

16. Market Settlement System (MSS) Known Issues Goal to be at 100% upstream data by October 1. Only 2 upstream data issues remaining. –KIL# 622 Baseline Hourly Quantity (DRLs). –KIL# 732 Day Ahead Commitments 16 Tony Alexander

17. Market Settlement System (MSS) Known Issues KIL# 622 Fill in missing data with DRL Snapshot prior to commitment. If MPs do not submit their Baseline data for DRLs then POPS will fill the missing data. Until this is fixed, Settlements will need to use test data for Baseline data. –Fixed in Production for the September 24 Operating Date forward. –No MPs are impacted by this issue. 17 Tony Alexander

18. Market Settlement System (MSS) Known Issues KIL# 732 Settlements not able to receive Day Ahead Commitments from Markets. –Fixed in Production for the September 25 Operating Date forward. –Settlements for Sep-25 OD forward include upstream DA Commitment data. 18 Tony Alexander

19. Settlements Scorecard Delay The Settlements Charge Type Scorecard for the week of October 4 is posted.Settlements Charge Type Scorecard Includes Operating Days September 16 through 22. Charge Types and Scenarios hit by MPs are continuing to increase. 19 Tony Alexander

20. Charge types not using stubbed data All Charge Types are using upstream data from September 25 Operating Date forward. 43 Charge Types or 100% of the Charge Types for SMT. MPs should validate these Charge Types “Bid to Bill”. 20 Tony Alexander

21. Charge types not using stubbed data 21 Tony Alexander MPs should validate these Charge Types “Bid to Bill”. DaEnergyHrlyAmtRtRegDnDistHrlyAmtRtNEnergy5minAmt RtEnergy5minAmtRtSpinDistHrlyAmtRtCRDeplFailDistHrlyAmt DaRegUpHrlyAmtRtSuppDistHrlyAmtRtOom5minAmt DaRegDnHrlyAmtRtRegAdj5minAmtDaVEnergyHrlyAmt DaSpinHrlyAmtDaOclDistHrlyAmtRtVEnergy5minAmt DaSuppHrlyAmtRtOclDistHrlyAmtDaVTxnFeeAoAmt RtRegUp5minAmtDaMwpCpAmtRtRnuHrlyAmt RtRegDn5minAmtDaMwpDistHrlyAmtArrAucTxnDlyAmt RtSpin5minAmtRtMwpCpAmtArrUpliftDlyAmt RtSupp5minAmtRtMwpDistHrlyAmtArrPaybackMnthlyAmt DaRegUpDistHrlyAmtRtRegNonPerf5minAmtTcrFundHrlyAmt DaRegDnDistHrlyAmtRtRegNonPerfDistHrlyAmtTcrUpliftDlyAmt DaSpinDistHrlyAmtRtCRDeplFailAmtTcrPaybackMnthlyAmt DaSuppDistHrlyAmtDaNEnergyHrlyAmtTcrAucTxnDlyAmt RtRegUpDistHrlyAmt

22. Announcements & Outstanding Questions Scenario #30 Loss of ICCP scheduled for Fri Oct 11 Please review Scenario 30 Document on spp.orgScenario 30 Document Ramp Rates Presentation scheduled for Fri Oct 18 ARRs and TCRs –ARRs and TCRs awarded to AOs during an annual market span the entire TCR calendar year (6/1 – 5/31).  The annual market restricts AOs from fully hedging themselves in most products of the Auction, especially the seasonal products (Fall, Winter, Spring).  In the seasonal products, AOs are only allowed to hedge what is feasible on 60% of system capacity.  The monthly markets provide the AOs an opportunity to increase their hedge – the remaining 40%. 22 Ginny Watson

23. Announcements & Outstanding Questions Non-OATI Tag Agents –Non-OATI Tag Agent has successfully tested sending a Tag as the Tag Agent for one of SPP’s MPs in the Integrated Marketplace ITE Tagging environment.  They were able to confirm that they received the Tag approval information back from OATI  SPP was able to verify that those using a non-OATI Tag Agent can still have their EIS prod tags mirrored to the IM ITE environment 23 Ginny Watson

24. CR Ramp Rates & SPIN Product Shortages Contingency Reserve Ramp Rates Please check your offered Contingency Reserve Ramp Rates. SPP is still seeing several Resources with CR Ramp rates that are smaller than their Energy Ramp Rates. CR Ramp Rate should independently be the Ramp Rate in MW/min MPs can achieve following a contingency event. This is not an amount additive to Energy Ramp Rate. Similarly, it appears several of the Regulation Ramp Rates are low. This should be the maximum Ramp Rate achievable when the resource is cleared to provide Regulation For details, please see Section 4.2.2.1 and 4.2.2.1.1 of the Protocols.Protocols SPIN Product Shortages SPIN Product Shortages led SPP to Find numerous resources that are no longer registered as SPIN qualified. SPP will be working with MPs to verify the SPIN qualification statuses of these resources. 24 Carrie Simpson

25. Look-Ahead: Oct 7 – Oct 11 25 Oct 7 – Oct 11 Daily Calendar Oct 7 – Oct 11 spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Includes some Settlements Dates. All details on Settlements Calendar marketplace.spp.org > Public > Settlements > CalendarsSettlements Calendar Scheduled Scenarios 22 Manual and ID RUC Commitment 32 Day before Day-Ahead RUC 30 Loss of ICCP Official Operating Days Monday - Friday Friday Maintenance Saturday reserved for MP Testing Ginny Watson

26. 22 Manual and ID RUC Commitment Scenario Description *does not apply to NDVERS and DVERS with SPP provided forecast SPP Operators will execute the Day Ahead RUC process to assess any additional commitments that may be necessary for the upcoming Operating Day or remainder of the current Operating Day The RUC process may also suggest that a commitment period for a resource already committed in the COP be extended either by starting the Resource earlier or running the Resource for additional hours. –This will create additional commitment periods that will be assessed for Make Whole Payments in Real-Time, separately from the Make Whole assessment performed for the Day-Ahead Market commitment period(s). MPs will need to extend a resource commitment period by changing a resource Commit Status to “Self” for additional hours before and after a DA Market Commitment Period. This will alter the original commitment period out of the DA Market and require the Make Whole Payment to be reevaluated. 26 Alan Adams

27. 22 Manual and ID RUC Commitment Scenario Description - Continued *does not apply to NDVERS and DVERS with SPP provided forecast This Scenario will ensure the appropriate notifications are being issued when DARUC commitment modifications are issued and will check the calculation of the Make-Whole Payments for DA Market and RTBM commitment periods. The following conditions will be simulated: –RTBM extension of DA Market Commitment by SPP RUC Operator –RTBM extension of DA Market Commitment by MP 27 Alan Adams

28. 22 Manual and ID RUC Commitment Expected Result Using results from the DARUC analysis, SPP will updated the COP and issue START/STOP notifications as appropriate –This will include early starts and later shutdowns from the original commitment period Settlements will evaluate each commitment period to determine if a Make Whole Payment is required. –Start-up costs will be ignored from any RTBM commitment period that is an extension or early notification from SPP of a previously DA Market committed Resource –If the resource is self-committed for the RTBM, the Resource will not be eligible for Make- Whole payments during those hours 28 Alan Adams

29. 22 Manual and ID RUC Commitment MP Activities * Applicable to MPs with Resources Select two Resources that will be online for a portion of the Operating Day in the EIS Market and will have its commitment period extended in the COP. If possible, choose Resources that will be online for 24 hrs in the EIS Market. Submit an RMS Ticket labeled Scenario 22 indicating which two resources will be used in this Scenario by 5P Monday Oct 7. This ticket should include the Resources that will have the commitment period extended in the COP and the hours the Resource is planned to run in the EIS Market.RMS Ticket 29 Alan Adams

30. 22 Manual and ID RUC Commitment MP Activities - continued *Applicable to MPs with Resources RTBM Extension of DA Market Commitment by MP – MPs to submit: –DAMKT OFFER:  Commit Status = “Not Participating” during hours 00:00 – 08:00  Commit Status = “Market”, Startup Cost 8 hrs, and Min Run Time < 8 hrs during hours 08:00 – 16:00  Commit Status = “Not Participating” during hours 16:00 – 24:00 –RTBM OFFER:  Commit Status = “SELF” during hours 00:00 – 08:00  Commit Status = “Market” with Min Run Time < 8 hrs during hours 08:00 – 16:00  Commit Status = “SELF” during hours 16:00 – 24:00 RTBM extension of DA Market Commitment by SPP RUC operator - MPs to submit: –DAMKT OFFER:  Commit Status = “Not Participating” during hours 00:00 – 08:00  Commit Status = “Market”, Startup Cost 8 hrs, and Min Run Time < 8 hrs during hours 08:00 – 16:00  Commit Status = “Not Participating” during hours 16:00 – 24:00 –RTBM OFFER:  Commit Status = “Market” during hours 00:00 – 08:00  Commit Status = “Market”, No Load Cost = $20*ECO MAX ($20 per MW Capacity), Max Run Time > 8 hr, and Min Run Time < 8 hr during hours 08:00 – 16:00  Commit Status = “Market” during hours 16:00 – 24:00 30 Alan Adams

31. 22 Manual and ID RUC Commitment MP Activities - continued * Applicable to MPs with Load Continue to follow the Base Scenario practices of offering in Fixed Demand bids at least 10% below the forecast load for each hour. This will help ensure the need for RUC commitments and extensions * Applicable to all MPs To keep the need for additional resources high during the RUC process, those who are submitting virtual bids and offers should submit such that more offers clear than bids. 31 Alan Adams

32. 32 Day before Day-Ahead RUC Scenario Description The Operational Planning department at SPP performs Outage Coordination as well as Current Day, Next-Day studies, and Multi-Day studies. –Analysis will identify units that may need to be in the COP for reasons such as, but not limited to:  long lead startup times  voltage support  or to alleviate congestion Transmission Operators may require a Resource to be committed for the purpose of protecting the Bulk Electric System or for resolving Local Reliability Issues. This Scenario will simulate the process of a Resource committed for Reliability purposes in the Day Before Day-Ahead (DBDA) RUC through Real-Time –The DDBA RUC must be completed for OD -1 prior to the closing of the DA Market. –For the purpose of this Scenario, Resources will be committed by the DBDA between 09:00 and 10:00 on Wed Oct 9 for the OD Thurs Oct 10 32 Alan Adams

33. 32 Day before Day-Ahead RUC Expected Result Using the results from the Operational Planning and/or Transmission Operator request, the RUC Operator will update the COP as needed utilizing the DBDA RUC. The RTBM Offer Parameters used in the DBDA are recorded at case creation. At the time of commitment, the recorded RTBM Offer Parameters will become binding and the selected Resource will be included in the DA Market with a Commitment Status similar to Self-Commit. –Unlike Self-Committed Resources, the committed Resources produced from the Reliability Assessment will be eligible for DA Market Make Whole payment. The affected MPs will be notified of the necessary start-up orders via the START/STOP notifications. –Commitment notifications are located in the MUI on the Resource Offers tab under Resource Name > Date > Commitment >View –Commitment notifications are also located in the PostEnergyCommitment Set XML notification 33 Alan Adams

34. 32 Day before Day-Ahead RUC MP Activities *Applicable to MPs with Resources SPP will email Resource Owning MPs prior to the OD indicating which Resource will be used in this Scenario. MPs are to submit offers as direct fro the selected Resource. –Ensure that the RTBM Offer Parameters differ from the DA Market Offer Parameters in order to confirm that the Make Whole Payment was settled using the snapped RTBM Offers in the DBDA.  All Offer Parameters that were in place when the commitment decision is made are to be locked at that moment for the corresponding commitment period in the DA Market.  The normal DA Market Offers will then be applicable if the DA Market runs the Resource beyond the original DBDA RUC commitment period –Offer High Startup Costs, High No Load Costs, and Low Energy Costs in the RTBM Offer with the intentions of becoming eligible for the DA Market Make Whole Payment  A resource is eligible for a DA Market Make Whole Payment when the sum of the Resource’s DA Market Start-Up Offer costs, No-Load Offer costs, Energy Offer Curve and Operating Reserve Offer costs associated with cleared DA Market amounts for Energy and Operating Reserve is greater than the Energy and Operating Reserve DA Market revenues received for that Resource over the Resource’s DA Market Make- Whole-Payment Eligibility Period. 34 Alan Adams

35. 32 Day before Day-Ahead RUC MP Activities - continued *Applicable to MPs with Resources Verify the selected Resource received a START notification in the MUI –START/STOP notifications are located on the Resource Offers tab under Date > Market Results > Commitments > View The RTBM offer used in the DBDA is recorded at case creation. –When Resources are committed in the DBDA, the snapped RTBM Offer will be used in the DA Market. – MPs will be made whole by the snapped Offers in the DA Market. Verify that the DA Market Make Whole Payment in the Settlement Statement is correct. –Examples of the DA Market Make Whole Payments can be found in section 3.6.1 of the Integrated Marketplace Protocols 35 Alan Adams

36. 30 Loss of ICCP Scenario Description Address the loss of the communications between SPP and membership that utilizes ICCP The complete loss of ICCP communications and the loss of selected subsets of ICCP communications will be exercised 36 Alan Adams

37. 30 Loss of ICCP Expected Result Both table-top and simulation exercises involving the coordination of parties and the exercise of backup mechanisms by SPP staff and MPs will demonstrate that the organization is prepared for the loss of ICCP data communications The Scenario is successful if: –SPP, MPs, Transmission Operators (TOPs) and Generator Operators (GOPs):  Communicate the loss of ICCP within the appropriate time frames  Communicate the loss of ICCP In accordance with the identified procedures  Understand the loss of ICCP and know the procedures in place –SPP’s Balancing Authority (BA) ACE is unaffected by losses of selected subsets of ICCP communications related to SPP BA tie lines –SPP’s RTBM solution validity is unaffected by the loss of data –SPP’s State Estimator solves successfully and with the required accuracy for all simulated cases –MPs receive /utilize XML backup setpoint instructions with acceptable deviation 37 Alan Adams

38. 30 Loss of ICCP MP Activities *Applicable to MPs with Resources Monitor systems to ensure they continue to have system visibility and situational awareness following the loss of SPP ICCP communications –Should have necessary XML data in place and follow the XML setpoint instructions –Switch over to XML instructions for one of the simulations in this Scenario *Applicable to TOPs Monitor systems to ensure they continue to have system visibility of the generation, tielines, and load connected to their systems *Applicable to GOPs Monitor systems to ensure they continue to have system visibility of the generation despite the loss of SPP ICCP Communications *Applicable to all MPs, TOPs, GOPs Ensure that SPP has the correct contact information and that communications are successfully received 38 Alan Adams

39. Release Scorecard 39 Release ScorecardRelease Scorecard posted to spp.org: spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Ginny Watson

40. Migration and Maintenance Report 40 Migration and Maintenance Report Migration and Maintenance Report posted to spp.org spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Annette Holbert

41. Known Issues Log: MP Input 41 Please review the Market Trials Known Issues Log on spp.org Market Trials Known Issues Log spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder The Known Issues Log (KIL) contains defects prioritized by SPP If an MP has feedback regarding priority of a defect on the KIL, please submit an RMS Ticket for consideration by SPP.RMS Ticket Casey Cathey

42. Known Issues Log 42 Carrie Simpson Issue #RMS ID #Component Synopsis Severity 7365102 Markets Systems High Zonal OR Requirements Do Not Trigger AS Scarcity in the Zone Severity 2: High 738 Markets Systems Reg up should clear prior to Spin and Supp whenever there is Reg Up available. Reg Up is high quality product of all AS products, SPP expects that REG UP is cleared to the extent that ramp/capacity is available to clear prior to clearing Spin and Supp. This works in all conditions except for where scarcity is invoked. In this case Reg Up cleared does not necessarily represent all the MW available to MCE to clear for Reg Up, instead it clears some Reg Up and Spin and Supp such that it depletes all the product but the products are depleted to meet OR but not necessarily in the correct order. During scarcity we would expect that Reg Up is still cleared fully to meet requirement or what it has available, then move on to Spin and Supp. Severity 2: High

43. Known Issues Log 43 Carrie Simpson Issue #RMS ID #Component Synopsis Severity 739 Market Systems When a reserve cap is manually entered, then there is a XML Notifications message sent with the start and stop time. The stop time is set to "infinity". This is also sent to the Markets UI. When the cap is terminated by the operator, the Markets UI end time is updated, but there is no XML Notification message generated with the end time. Severity 2: High 7375306 Market Systems Resources are not being mitigated in Day Ahead when they should be. Severity 2: High 7405204 Markets UI When an MP name changes as a result of modeling updates, the Markets UI/API only allows submissions for the new MP name not the old. The UI/API should allow updates using the old MP name up until the termination date, but instead the UI/API blocks submissions as soon as the new MP name is added to the Markets system. The Markets UI/API code needs to be updated to reference the list of Market Participants with the effective and termination dates. This is needed in the event an MP name changes to allow the Markets UI/API to determine which MP name is active in the system. Severity 2: High

44. Scheduled Scenarios 44 Oct 7 - 11 22 – Manual and ID RUC Commitment 32 – Day before Day Ahead RUC 33 – Loss of ICCP Oct 14 - 28 28b – Non-Functional Testing: RTBM Outage 28c – Non-Functional Testing: Markets UI/API Outage during DA Submission 28d – Non-Functional Testing: Markets UI/API Outage during DA Results 28e – Non-Functional Testing: Single Site Outage Ginny Watson

45. Market Trials Useful Resources SMT Hotline: 501-482-2222 for critical & high issues Mon-Fri 8A – 5P Please submit all other inquiries via the Request Management System (RMS)Request Management System (RMS) Settlements Calendar marketplace.spp.org > Public > Settlements > Calendars Integrated Marketplace Market Trials Project Documentation Folder spp.org > Integrated Marketplace > Market Trials > Structured/Unstructured Test > Integrated Marketplace Market Trials Project Documentation Folder Documents found here include: Daily Calendar, Release Scorecard, Migration Report, Known Issues Log, Market Participant Guidehere SMT Presentations, Statistics, MP Meetings Folder SMT Reference Documents Folder New! Tag Validation Criteria for MT TestingTag Validation Criteria for MT Testing SMT Scenarios Folder New! SMT Scenarios ScheduleSMT Scenarios Schedule Change Tracker spp.org > Integrated Marketplace > Marketplace Documents 45