1. 1 TDTWG Report to RMS Recommended Solutions for SCR 745 ERCOT Unplanned System Outages and Failures Wednesday, August 10th

2. 2 SCR 745 Status The original SCR 745 requested ERCOT perform in depth analysis in order to determine root causes for unplanned system outages. At the July 13 RMS meeting, RMS approved the revised SCR745 which included the full evaluation of ERCOT systems as well as options for resolving ERCOT system failures and outages On July 13 th a SCR745 workshop was scheduled in order for Market Participants and their technical experts to thoroughly evaluate the options as well as determine recommended solutions This presentation includes the recommended solutions made at that workshop They are consistent with the ERCOT recommended solutions which were presented to RMS on July 13

3. 3 Retail Systems NAESB PaperFree TCH-EAI (Transaction Clearing House) All Retail (Database Server) Market Participant

4. 4 All options presented to RMS at the July meeting were discussed in depth at the Workshop These included: 1 of 2 options for NAESB Proxy Server improvements 1 of 3 options for NAESB Application 1 of 2 options for PaperFree improvements 1 of 3 options for Database Server for All Retail System Options

5. 5 Review of NAESB Proxy Server Options Option 1 – Fully Clustered* V880 Solution – 4 V880 NAESB Proxy Servers Summary – Maximum reliability solution. This option will provide a fully clustered and fault tolerant solution; opportunity to consolidate the current 18 production proxy servers including the servers identified in Option 2 This option virtually eliminates the potential for NAESB proxy outages, unplanned or planned. This option will provide 99.99% availability for the NAESB proxy servers. *Cluster: A group of servers that are typically on different physical machines and have the same applications configured within them, but operate as a single logical server.

6. 6 Review of NAESB Proxy Server Options Option 2 – 4 V120 NAESB Proxy Servers. Summary – Minimum reliability solution. This option will provide redundancy to address the single point of failure. Two servers will be located in Taylor and two servers will be located in Austin. This will not be a clustered solution it will be a load balance solution. V120 servers cannot cluster. This solution will reduce the frequency and duration of proxy outages, is not as costly as option 1 but is also not as a robust solution as Option 1.

7. 7 NAESB Proxy Server Option Recommended Those attending the workshop determined that… Option 1 – Fully Clustered* V880 Solution – best meets the needs of the Market. Primary Discussion points included: This solution is the most robust for NAESB Proxy Servers and will provide the best reliability of the two options. Those attending the workshop support this option since it will allow more flexibility for maintenance This option is more expensive but the Market improvements that will result from implementing this option more than make up for the cost difference

8. 8 Review of NAESB Application Options Option 3 - Separate Application Server Cluster This option moves peripheral NAESB processes (data encryption, decryption) to the PaperFree cluster and separates inbound and outbound transmissions to disconnected clusters.

9. 9 Review of NAESB Application Options Option 4 Hybrid Application Cluster This option creates an application cluster for inbound transactions and moves outbound transaction processing to the PaperFree system in order to utilize PaperFree’s load balancing and high availability capabilities.

10. 10 Review of NAESB Application Options Option 5 – Combined Application Cluster This option combines inbound and outbound transaction processing into a single application cluster.

11. 11 NAESB Proxy Server Application Recommendation Those attending the workshop determined that… Option 4 – Hybrid Application Cluster best meets the needs of the Market. Primary Discussion points included: This solution was found to be the most likely for success in that it fits best with the PaperFree application This option utilize PaperFree’s load balancing and high availability capabilities. Those attending the workshop believe this option allows ERCOT the best ability for maintenance

12. 12 NAESB Proxy Server and Application Costs Option 1 V880 Server Cluster$370,000 Option 4 Hybrid Application Cluster$165,000 An additional cost of $66,105 identified for Training, Business Process and Monitoring.

13. 13 Review of PaperFree Options Option 1 – Clustered File System Server solution This option represents the maximum availability solution.

14. 14 Review of PaperFree Options Option 2 – Local File System Solution –This option supports the load balancing applications –The system will still be active with a single sever failure; however server interruptions may result in delays in processing persistent data for the server experiencing an interruption.

15. 15 Paperfree Recommendation Those attending the workshop determined that Option 1 – Clustered File System Server solution best meets the needs of the Market Primary discussion points included: Best solution to protect real time data Least expensive to implement and more effective as the other option An additional cost of $10,815 identified for Training, Business Process and Monitoring.

16. 16 Review of All Retail System

17. 17 Review of Database Server High Availability Options Option 1 - All HP-UX Oracle Real Application Cluster (RAC) Option 2 - All Linux Oracle Real Application Cluster (RAC) For options 1 and 2: Provides active redundancy for database connectivity for all retail databases Complex to implement Removes single point of failure at the database server level

18. 18 Database Server High Availability Options Option 3: –NAESB Linux Oracle RAC and Different Standby/cluster solution for the rest of the Retail databases Provides active redundancy for database connectivity for NAESB database Less complex to implement as NAESB database is small and easier to migrate Provides option to migrate PaperFree and Siebel to migrate into this RAC Removes single point of failure at the database server level –Veritas cluster, or Oracle Standby or Oracle RAC for other databases on HP-UX or Linux for appropriate availability requirements. Phased implementation NAESB first and other databases next Removes single point of failure at the database server level

19. 19 Data Base Server Recommendation Those attending the workshop determined Option 3 NAESB Linux Oracle RAC and Different Standby/cluster solution for the rest of the Retail databases as the recommended solution Primary Discussion points included: This solution provides a high availability option for the NAESB database Will provide appropriate high availability solutions for the rest of the retail databases in subsequent phases. Easier to implement in phased manner addressing acute availability needs first. An additional cost of $79,685 identified for Training, Business Process and Monitoring.

20. 20 Summary of Costs for PaperFree, All Retail Database recommendations PaperFree Clustered File System Server solution $75,000 All Retail Database Solution Hardware – $400,000 - $600,000 Cluster SW –$100,000 - $400,000 Oracle RAC SW - $0-$400,000 Cluster Ext Service –$0-$120,000 Oracle RAC Ext Service - $120,000 - $180,000 Internal project cost (FTE) - $120,000 - $180,000 Total: $1,650,000

21. 21 Motion for RMS Approve the following recommendations to be implemented in order to resolve ERCOT System Outages and System failures. Recommendations include: NAESB Proxy Server Option 1, V880 Server Cluster solution at a projected cost of $370,000 NAESB Application Option 4, Hybrid Application Cluster solution at a projected cost of $165,000 PaperFree Clustered File System Server solution at a projected cost of $75,000 Database Server Option 3 All Retail Database Solution at a projected cost of $1,650,000

22. 22 Thank You