1. Distributed Generation Registration June 30, 2008

2. Slide 2 OVERVIEW TOPICS Resource Entity Registration Overview of DG Registration Metering DG for Settlement Acknowledging LSE for Back Feed Power Acknowledging QSE

3. Slide 3 MP and Asset Registration Resources

4. RESOURCE ENTITY AND RESOURCE REGISTRATION

5. Slide 5 Registration - Summary Registration: Enables RE for Operations and Business Legal Entity Identification with ERCOT ISO through application and Standard Form Agreement Establishes authority for accepting and applying Resource Assets within ERCOT IT systems. Establishing Resource Entity’s relationship with Resource Assets and Qualified Scheduling Entity in ERCOT IT Systems for Market and Operation Enabling Access to ERCOT Market Information System for facilitating Resource Asset management, Secure and Certified Market Data and Information.

6. Slide 6 Overview: Registration - Definitions 16.5Registration of a Resource Entity (1) A Resource Entity owns or controls an All-Inclusive Resource connected to the ERCOT System. Each Resource Entity operating in the ERCOT Region must register with ERCOT. … The Resource Entity shall provide Resource Registration data pursuant to Planning Guide Section 6.8.2, Resource Registration Process, for each All-Inclusive Resource through ERCOT registration, Except for Distributed Generation (DG) with an installed capacity equal to or lower than the DG registration threshold. (5) DG with an installed capacity greater than one MW, the DG registration threshold, must register with ERCOT.

7. Slide 7 Overview: Resource Entity Registration Resource entities (REs) either own or control a Generation Resource or a Load Resource (LR) that can comply with ERCOT instructions to reduce electricity usage or provide an ancillary service.

8. Slide 8 Overview: Registration ERCOT.com SUPPORT General information for navigating through requirements

9. Resource Entity Registration and Resource Ownership

10. Slide 10 Registration: Resource Asset Ownership Protocol Treatment of Resource Asset Ownership with Single Point of Interconnect 1.Single RE of DG Resource(s). 2.Protocol does not support multiple RE(s) of DG Resources interconnected at single point of coupling with DSP.

11. Slide 11 Registration: Resource Asset Ownership Single RE of DG Resource(s) QSE RE ~ ~~ LSE Load Serving Entity Net Load Settlement

12. Slide 12 Registration: Resource Asset Ownership Protocol Treatment of Resource Asset Ownership with Single Point of Interconnect 1.Single RE of DG Resource(s). 2.Protocol does not support multiple RE(s) of DG Resources with single point of distribution interconnection.

13. Distributed Generation Registration

14. Slide 14 Overview: Registration All-inclusive Resource: A term used to refer to a Generation Resource, Load Resource and a Non-Modeled Generator. Distributed Generation: An electrical generating facility located at a Customer’s point of delivery (point of common coupling) ten megawatts (MW) or less and connected at a voltage less than or equal to 60 kilovolts (kV) which may be connected in parallel operation to the utility system

15. Slide 15 Overview: Registration Information on ERCOT.com Distributed Generation (DG) An electrical generating facility located at a Customer’s point of delivery (point of common coupling) ten megawatts (MW) or less and connected at a voltage less than or equal to 60 kilovolts (kV) which may be connected in parallel operation to the utility system. Distributed Renewable Generation (DRG) Electric generation with a capacity of not more than 2,000 kW provided by a renewable energy technology that is installed on a retail electric Customer’s side of the meter.

16. Slide 16 Treatment for non-Registered DG via Retail Market: Distributed Renewable Generation (DRG) below registration threshold Addressed in Protocol Section 11.4.4.2, Load Reduction for Excess PhotoVoltaic and Wind Distributed Renewable Generation Non-DRG below registration Threshold Addressed in Protocol Section 11.4.4.3, Load Reduction for Excess from Other Distributed Generation Overview: Registration Information on ERCOT.com

17. Slide 17 Overview: Registration Information on ERCOT.com Emergency Response Service (ERS) An emergency service consistent with P.U.C. S UBST. R. 25.507, Electric Reliability Council of Texas (ERCOT) Emergency Response Service (ERS), used during an Energy Emergency Alert (EEA) to assist in maintaining or restoring ERCOT System frequency. ERS is not an Ancillary Service. Emergency Response Service (ERS) Generator Either (1) an individual generator contracted to provide ERS which is not a Generation Resource or a source of intermittent renewable generation and which provides ERS by injecting energy to the ERCOT System, or (2) an aggregation of such generators.

18. Slide 18 Overview: Registration Information on ERCOT.com Generators that are solely offered in conjunction with Emergency Response Service as ERS Generator(s) will generally be registered using the DG registration process to enable wholesale settlement for instances emergency actions call for power injection onto the ERCOT System. If the generators are used to affect only an ERS Load response then registering the generator(s) may not be necessary. ERCOT will review and approve on a case-by-case basis.

19. Slide 19 DG in NOIE AREA If the DG is within a Non-Opt In Entity’s (NOIE) boundary, the DG Resource owner will need to coordinate with the NOIE regarding possible data requirements to properly report the impact of the DG generation on the NOIE’s exchange onto the ERCOT System. Note: Individual DG Resource installations of less than the DG registration threshold per Section 16.5 (5) [currently 1 MW] and for which production nets with customer load are not required to be registered.

20. Slide 20 Overview: Registration

21. Slide 21 Registration - Summary

22. Slide 22 RESOURCE ASSET REGISTRATION RE Submits DG RARF through Service Request (SR) ERCOT Resource Registration receives SR and performs manual check of data and approves or rejects for corrections TDSP submits DG metering form ERCOT loads DG Resource into Settlement System RE names LSE if applicable

23. Slide 23 RE and DG RESOURCE REGISTRATION Related ERCOT Forms: Resource Entity Registration Form. QSE Acknowledgement. DG Registration using “Non_Modeled_Gen_Form” [RARF package] Designate LSE for “Net Load” settlement [General_Site_ESIID_Information] TDSP Read Generation Metering Registration Form Upon TDSP Request – EPS Metering Design Proposal

24. Slide 24 DG RESOURCE ASSET REGISTRATION Other Notables: ERCOT will generally not be involved with the interconnection requirements with host Distribution Service Provider (DSP). Does not contact DSP to arrange for TDSP read metering.

25. Distributed Generation Registration TDSP Metering

26. Slide 26 Overview: Registration Information on ERCOT.com Metering requirements and reporting are the responsibilities of the host transmission/distribution service provider (TDSP) and Section 10.2.2 of ERCOT Protocols provides guidance on TDSP requirements in regards to meter data submittal. If an ERCOT Polled Settlement Meter (EPS) is to be used, the DG resource owner must work with the host TDSP to insure that the host TDSP completes and submits an EPS Metering Design Proposal. If a TDSP Read meter is to be used, the DG resource owner must work with the host TDSP to obtain a TDSP Read Generation Registration Form (available at TDSP Registration), completed by the TDSP, and submit this form to ERCOT along with the Distributed Resource Registration Form.TDSP Registration

27. Slide 27 DG Metering 10.2.2TSP and DSP Metered Entities (1) Each Transmission Service Provider (TSP) and Distribution Service Provider (DSP) is responsible for supplying ERCOT with meter data associated with: Distributed Generation (DG) interconnected to a DSP behind a registered NOIE boundary metering point, not registered as a Generation Resource and with an installed capacity below the DG registration threshold, as determined in Section 16.5, Registration of a Resource Entity, and posted on the Market Information System (MIS) Public Area. 10.2.3ERCOT-Polled Settlement Meters (1)ERCOT shall poll Metering Facilities that meet any one of the following criteria: (g) DG where there is an energy storage Load Resource that has associated Wholesale Storage Load (WSL);

28. Slide 28 DG Metering TDSP Metering TDSPs to inform ERCOT of the unique identifier (RID) that will be used to submit generation data to ERCOT via TX SET 867_03 transactions. RE is obligated to contact TDSP to request complete ERCOT TDSP Read Generation Form. RE is obligated to ensure ERCOT receives the TDSP Read Generation Form.

29. Slide 29 WRAP-UP – Questions Slide 29