1. Congestion Revenue Rights Market Trials Call 15 January, 2010

2. ANTITRUST ADMONITION ERCOT strictly prohibits Market Participants and their employees who are participating in ERCOT activities from using their participation in ERCOT activities as a forum for engaging in practices or communications that violate the antitrust laws. The ERCOT Board has approved guidelines for members of ERCOT Committees, Subcommittees and Working Groups to be reviewed and followed by each Market Participant attending ERCOT meetings. If you have not received a copy of these Guidelines, copies are available at the Client Relations desk. Please remember your ongoing obligation to comply with all applicable laws, including the antitrust laws. DISCLAIMER All presentations and materials submitted by Market Participants or any other Entity to ERCOT staff for this meeting are received and posted with the acknowledgement that the information will be considered public in accordance with the ERCOT Websites Content Management Operating Procedure.

3. Agenda Topics: I.Market Trials Roadmap II.Documents Posted Since Last CRR Market Call III.Known Issues IV.Successful CRR Qualifications as of 5pm Thursday V.Bilateral Trades VI.Questions/Comments Slide 3

4. Market Trials 2010 Roadmap http://nodal.ercot.com 4

5. Documents Added Since Last Market Call All Documents Found at http://nodal.ercot.com/readiness/markettrials/crr/index. html http://nodal.ercot.com/readiness/markettrials/crr/index. html CRR Known Issues Compiled 1/08/2010 Congestion Revenue Rights Market Trials Handbook v1.2 New version with slight revisionsCongestion Revenue Rights Market Trials Handbook v1.2 CRR Qualification Dashboard: 01/08/10

6. Known Issues 0.1MW Error in awarded MW Awarded PTP CRR is.1 MW less than bid for Obligation but clearing price is above bid price Some MW Flow values are not equal to Limit in BindingConstraint download file Performance Test (2 Issues) Inactive link in MIS Applications tab for Counterparty Not able to sell (offer) OBL PCRR past 1st month Monitored Lines and Transformers contains no data JAN2010 CRR Monthly Network Model report file (11204) does not contain all the required network files.

7. Known Issues JAN2010 CRR Monthly Network Model report file (11204) does not contain all the required network files. Monitored Lines and Transformers contains no data Portfolio upload - Portfolio Editor becomes unusable when uploading a "targeted" bid portfolio containing a valid source/sink that is not biddable for that specific auction

8. Successful CRR Qualifications As of 18:00 CPT Thursday 22/83 = 26% Congratulations! 8 Business Days left in the qualification period! Slide 8 CITY OF AUSTIN DBA AUSTIN ENERGY (CRRAH) CITY OF GARLAND (CRRAH) GEUS (CRRAH) GREEN MOUNTAIN ENERGY COMPANY (CRRAH) KEYSTONE ENERGY PARTNERS LP (CRRAH) LOWER COLORADO RIVER AUTHORITY (CRRAH) OCCIDENTAL POWER SERVICES INC (CRRAH) OCCIDENTAL POWER MARKETING LP (CRRAH) BP ENERGY COMPANY (CRRAH) CONOCOPHILLIPS COMPANY (CRRAH) DB ENERGY TRADING LLC (CRRAH) MIDAMERICAN ENERGY COMPANY (CRRAH) MORGAN STANLEY CAPITAL GROUP INC (CRRAH) GDF SUEZ ENERGY MARKETING NA INC (CRRAH) GDF SUEZ ENERGY RESOURCES NA INC (CRRAH) SEMPRA ENERGY SOLUTIONS OPTIM ENERGY MARKETING LLC (CRRAH) LUMINANT ENERGY COMPANY LLC (CRRAH) J ARON AND COMPANY (CRRAH) CPS ENERGY (CRRAH) TENASKA POWER SERVICES CO (CRRAH) CITIGROUP ENERGY INC (CRRAH)

9. Bilateral Trades The Bilateral Market area in the application has two purposes 1.Public Posting The Postings area of the application allows you to post expressions of interest in sales or purchases Somewhat like Craigslist 2. Submission of Completed Trades By targeting a trade to another participant and having that participant confirm the trade, the trade is reported to ERCOT Somewhat like a title transfer at the DMV

10. Public Posting By choosing the “PUBLIC” option when creating an offer, you are telling the system to publish the offer on the Postings tab If no other party is designated, the status will be open

11. Posting Screenshot

12. Registering a Trade Once a transaction has occurred between market participants, the bilateral market area allows the two parties to register that sale Either Buyer or Seller may initiate the registration/trade 1)Describe the sale 1)If Buyer, choose appropriate source/sink,edit time of use, dates, MW and contact information 2)If Seller, choose appropriate CRR, edit time of use, dates, MW and contact information as desired 3)Private or Public can be used, but most likely Private 2)Press Post 3)Add Other Party 4)Press Accept

13. Registering a Trade After the first party has initiated the trade, the other party must accept the trade If Buyer 1.Verify details are correct 2.Click Accept If Seller 1.Verify details are correct. 2.Drag and drop CRR you wish to sell into the My Offer Details window 3.Edit MW such that they match the bid 4.Click Accept

14. Open Question Time Questions? Slide 14