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Meeting Summary - 04/02/2025 WMS Meeting

Grid Monitor AI
04/03/2025

<div class="news-image-container"><img src="/storage/docs/2025/04/20250402WMS.png" /></div> <h3><a href="/sharing/?token=b030a3bf-553c-4328-8819-a834538e2824">▶️</a>1 - Antitrust Admonition</h3> <h3><a href="/sharing/?token=47c85b99-74c6-48e3-857c-a490c76112c2">▶️</a>2 - Agenda Review</h3> <h3><a href="/sharing/?token=fa333f8d-7b7a-4f55-b409-ecf5bef0a81a">▶️</a>3 - Approval of WMS Meeting Minutes (Possible Vote)</h3> <ul> <li style="font-weight: 400;" aria-level="1">Discussion on approval of previous WMS meeting minutes.</li> <li style="font-weight: 400;" aria-level="1">Opportunity for attendees to review and provide feedback on the minutes.</li> <li style="font-weight: 400;" aria-level="1">Consideration for a vote to officially approve the minutes.</li> </ul> <h4><a href="/sharing/?token=ddce4704-5701-43b2-8fb3-fe2c2d5c1d59">▶️</a>3.1 - February 5, 2025</h4> <ul> <li style="font-weight: 400;" aria-level="1">Motion to approve the February 5, 2025 WMS meeting minutes as submitted was added to the combo ballot.</li> </ul> <h4><a href="/sharing/?token=9b5392ca-3089-4e02-88cb-02af0ddf5993">▶️</a>3.2 - March 5, 2025</h4> <ul> <li style="font-weight: 400;" aria-level="1">Motion to approve the March 5, 2025 WMS meeting minutes as submitted was added to the combo ballot.</li> </ul> <h3><a href="/sharing/?token=feccca08-6c2a-4cf6-8469-d2640833b597">▶️</a>4 - Technical Advisory Committee (TAC) Update</h3> <ul> <li style="font-weight: 400;" aria-level="1">ERCOT discussed a price correction update relating to a software defect and the intent to seek board approval for this correction.</li> <li style="font-weight: 400;" aria-level="1">Concerns were raised about transparency in ERCOT's interpretation of price corrections. Specifically, the approach now only applies corrections to resources with base point changes, contrasting with previous practices that applied to all resources.</li> <li style="font-weight: 400;" aria-level="1">Clarification that while prices in settlements change, the eligibility for additional make-whole payments now depends on whether the base point was altered.</li> <li style="font-weight: 400;" aria-level="1">Discussion on keeping generators whole if the price moves against them and results in lower dispatch opportunities.</li> <li style="font-weight: 400;" aria-level="1">Prior methods involved running all resources through emergency settlements based on price deltas. The new method is more sophisticated, considering whether resources actually experienced harm due to corrections.</li> <li style="font-weight: 400;" aria-level="1">Suggestions were made to refer the current policy to the WMWG for detailed review to ensure adequate price correction processes.</li> <li style="font-weight: 400;" aria-level="1">Gordon Drake from ERCOT reassured members that transparency and correct documentation are being prioritized.</li> <li style="font-weight: 400;" aria-level="1">Recommendation for the WMWG to review recent trends in price corrections, potentially resulting in new action items or changes to protocols.</li> </ul> <h4><a href="/sharing/?token=21d56393-3e91-4e0b-8e0f-f75209730736">▶️</a>4.1 - MDRPOC Outage Methodology Update</h4> <ul> <li style="font-weight: 400;" aria-level="1">ERCOT presented a future improvement to the outage process to include flexible capacity in approved outages.</li> <li style="font-weight: 400;" aria-level="1">Plans to introduce the red line methodology at April 23rd TAC and file a market notice for intended change.</li> <li style="font-weight: 400;" aria-level="1">A 14-day comment period will follow the market notice before approval by the June board of directors.</li> <li style="font-weight: 400;" aria-level="1">Desire for WMS to discuss additional improvements due to significant load growth and calculation outcomes.</li> <li style="font-weight: 400;" aria-level="1">Eric Goff suggested a fresh review of outage coordination involving input from affected generators.</li> <li style="font-weight: 400;" aria-level="1">Bill Barnes emphasized the need for a stakeholder version of process changes and potential discussion at the May TAC meeting.</li> <li style="font-weight: 400;" aria-level="1">Bill proposed returning MDRPOC to an informational tool and reconsidering outage submission timelines.</li> <li style="font-weight: 400;" aria-level="1">Katie Rich and other representatives expressed support for stakeholder collaboration and urgency due to difficulty in taking necessary outages.</li> <li style="font-weight: 400;" aria-level="1">Amanda Frazier confirmed the ability to fit discussion into the May 5 agenda with potential for a June board decision.</li> <li style="font-weight: 400;" aria-level="1">Fred Wong from ERCOT highlighted efforts to balance sufficient outage windows with system condition variations.</li> <li style="font-weight: 400;" aria-level="1">ERCOT exploring a risk-based methodology to better forecast and manage generation capacity related to outages.</li> <li style="font-weight: 400;" aria-level="1">Fred welcomed input and collaboration from stakeholders to adapt to quickly changing system conditions.</li> </ul> <h3><a href="/sharing/?token=87ed5202-9648-448a-b4de-6328a5da9211">▶️</a>5 - WMS Goals/Strategic Objectives (Possible Vote)</h3> <a href="/storage/docs/2025/04/05.-2025-WMS-Strategic-Objectives-Draft.pdf">05.-2025-WMS-Strategic-Objectives-Draft.pdf</a> <ul> <li style="font-weight: 400;" aria-level="1">The aim is to transition objectives to be more evergreen, similar to TAC's approach.</li> <li style="font-weight: 400;" aria-level="1">More granular action items will be distributed to working groups.</li> <li style="font-weight: 400;" aria-level="1">The draft includes four strategic objectives for review by the group.</li> <li style="font-weight: 400;" aria-level="1">The draft also compares 2024 WMS goals to ensure new objectives cover old goals.</li> <li style="font-weight: 400;" aria-level="1">The group is requested to review these objectives as homework for potential voting next month.</li> </ul> <h3><a href="/sharing/?token=84f56f67-ca6f-42ad-b575-17afec279657">▶️</a>6 - ERCOT Operations and Market Items - 9:45 a.m.</h3> <h4><a href="/sharing/?token=c2061fff-3dd4-4aa1-933d-624cd6e7046f">▶️</a> 6.1 ERCOT presentation NCLRS in ADER</h4> <a href="/storage/docs/2025/04/06.-NCLR-in-ADER.pdf">06.-NCLR-in-ADER.pdf</a> <ul> <li style="font-weight: 400;" aria-level="1">Introduction to settlement treatment for Noncontrollable Load Resources (NCLRs) by ERCOT.</li> <li style="font-weight: 400;" aria-level="1">Presentation focused on background and education about NCLRs in real-time energy and AS imbalance.</li> <li style="font-weight: 400;" aria-level="1">NCLRs have a 10-minute ramp capability and participate in ancillary services in the DAM.</li> <li style="font-weight: 400;" aria-level="1">Restrictions include inability to carry both responsive reserve and non-spin on the same capacity.</li> <li style="font-weight: 400;" aria-level="1">NCLRs are settled as real-time adjusted meter load and are not part of SCED.</li> <li style="font-weight: 400;" aria-level="1">AS imbalance is a charge/payment based on the capacity and ancillary service reserves imbalance for QSEs.</li> <li style="font-weight: 400;" aria-level="1">Examples provided to clarify that no extra payment occurs when an NCLR is deployed for ancillary services.</li> <li style="font-weight: 400;" aria-level="1">Charge and payment dynamics explained for QSEs in real-time energy imbalance and AS imbalance contexts.</li> <li style="font-weight: 400;" aria-level="1">Emphasis on avoiding extra payments and ensuring QSEs only avoid the LMP component of energy costs.</li> <li style="font-weight: 400;" aria-level="1">Presentation concluded with a summary of key points on NCLR settlement and QSE responsibilities.</li> <li style="font-weight: 400;" aria-level="1">Discussion on pilot program caps initiated by Tesla representative urging removal or increase in caps.</li> <li style="font-weight: 400;" aria-level="1">Tesla claims caps are a barrier to entry without impacting reliability, suggests higher caps would increase participation.</li> <li style="font-weight: 400;" aria-level="1">Process for proposing changes to governing documents discussed with May deadline for a decision on changes.</li> </ul> <h4><a href="/sharing/?token=c6200748-238f-4908-b64c-214b38bde8bf">▶️</a>6.1 - ADER discussion – Phase 3 governing document (Possible Vote)</h4> <a href="/storage/docs/2025/04/06.-WMS-Vistra-Presentation-on-ADER_FINAL.pdf">06.-WMS-Vistra-Presentation-on-ADER_FINAL.pdf</a> <ul> <li style="font-weight: 400;" aria-level="1">James Langdon from Vistra Corp expressed concerns about uncoordinated actions by third-party aggregators causing economic harm to LSEs by disrupting hedge positions.</li> <li style="font-weight: 400;" aria-level="1">Vistra proposed red lines to Phase 3 governing document focusing on contested issues and ensuring coordination with third-party aggregators.</li> <li style="font-weight: 400;" aria-level="1">James Langdon presented a potential alternative solution requiring ERCOT to verify the relationship between QSEs and allowing coordination to prevent hedge disruptions.</li> <li style="font-weight: 400;" aria-level="1">Seth Cochran with Vitol queried the impact on retail hedges due to third-party aggregation and was informed that lack of prior notice results in unidentified customer enrollment.</li> <li style="font-weight: 400;" aria-level="1">Kimaya Abreu from Voltus expressed concerns over deviation from previously agreed compromise solutions and potential anticompetitive implications by blocking non-rep participation.</li> <li style="font-weight: 400;" aria-level="1">Bill Barnes emphasized historical regulatory constraints and consumer protection concerns regarding third-party participation.</li> <li style="font-weight: 400;" aria-level="1">Further concerns were raised about the financial risks for customers not hedged on the energy side, especially highlighted during events like Winter Storm Uri.</li> <li style="font-weight: 400;" aria-level="1">Dave Maggio from ERCOT clarified the historical and procedural context of allowing third-party participation and differences from previous LMP-Proxy G discussions.</li> <li style="font-weight: 400;" aria-level="1">Agreement on needing continued discussions on coordination and alternative solutions, with an emphasis on fair and transparent stakeholder involvement.</li> </ul> <ul> <li style="font-weight: 400;" aria-level="1">Vistra to draft and submit red lines for ERCOT's review and stakeholder discussion at the next meeting.</li> <li style="font-weight: 400;" aria-level="1">Participants are encouraged to provide feedback and possibly propose alternative red lines or solutions.</li> <li style="font-weight: 400;" aria-level="1">ERCOT to assess and verify the procedural implementation of proposed solutions in the governing document.</li> </ul> <h4><a href="/sharing/?token=d2492b52-65f5-4722-b47c-165612859c5f">▶️</a>6.2 - Behind-the-Meter Resources Providing Ancillary Services</h4> <ul> <li style="font-weight: 400;" aria-level="1">The topic of behind-the-meter resources providing ancillary services was previously requested for discussion.</li> <li style="font-weight: 400;" aria-level="1">Internal work and development of ideas on this topic are ongoing.</li> <li style="font-weight: 400;" aria-level="1">A white paper capturing these thoughts and others will be published in the coming months.</li> <li style="font-weight: 400;" aria-level="1">Upon release, the white paper will be highlighted for awareness and potential further discussion.</li> <li style="font-weight: 400;" aria-level="1">Any resulting discussions will be brought back to the WMS or supporting working group as appropriate.</li> </ul> <h4><a href="/sharing/?token=a11aca2f-4d78-4feb-8423-9af5d5c552c9">▶️</a>6.3 - Discussion on Recent RUC Instructions</h4> <ul> <li style="font-weight: 400;" aria-level="1">ERCOT has been analyzing increases in RUC (Reliability Unit Commitment) instructions, particularly related to congestion. These findings are shared in regular updates to the board.</li> <li style="font-weight: 400;" aria-level="1">The discussion will be further elaborated at the upcoming WMWG meeting on May 5, focusing on the complexities of assigning single reasons for commitments due to simultaneous power balance and congestion solutions.</li> <li style="font-weight: 400;" aria-level="1">Ryan King and his team have been closely studying the situation and are preparing more detailed analysis for future discussions.</li> <li style="font-weight: 400;" aria-level="1">There is acknowledgment of the challenges faced by ERCOT operators who make decisions rapidly, highlighting the seasonality factor in RUC activity during outage seasons and high congestion periods.</li> <li style="font-weight: 400;" aria-level="1">The discussion touched on the potential for technical changes in the RUC process to consider battery storage (ESRs) capacity in the same manner as thermal generation.</li> <li style="font-weight: 400;" aria-level="1">The conversation included exploration of potential future changes to how behind-the-meter resources and ancillary services are managed, though no changes are currently proposed.</li> <li style="font-weight: 400;" aria-level="1">Questions were raised regarding the visibility of state of charge in the RUC engine and the ability to commit available ESR capacity, with plans suggested to address these in future protocols.</li> <li style="font-weight: 400;" aria-level="1">Detailed scenarios were discussed, like apparent peculiarities in unit dispatch for constraint relief, highlighting areas for ERCOT to investigate further.</li> <li style="font-weight: 400;" aria-level="1">There's an ongoing effort to improve accuracy in logging and coding of RUC instructions to better inform and simplify analysis of ERCOT decisions.</li> </ul> <h3><a href="/sharing/?token=97e57b37-cd9e-4476-ace0-e6537bec9d25">▶️</a>7 - WMS Revision Requests (Vote)</h3> <ul> <li style="font-weight: 400;" aria-level="1">Motion to approve the combined ballot re NPRR164-related RRs passed unanimously with no abstentions.</li> <ul> <li style="font-weight: 400;" aria-level="2">Discussion on impact analysis for items related to NPRR1264, including COPMGRR, SMOGRR, and VCMRR.</li> <li style="font-weight: 400;" aria-level="2">ERCOT has posted comments indicating a delay in the impact analysis due to PRS discussions; expected by May.</li> <li style="font-weight: 400;" aria-level="2">Vote needed to keep items on the table awaiting the impact analysis.</li> <li style="font-weight: 400;" aria-level="2">Austin Roselle reminded attendees to file written comments regarding NPRR1264 before the next PRS meeting.</li> <li style="font-weight: 400;" aria-level="2">Acknowledgment of comments in progress from various stakeholders despite busy schedules.</li> <li style="font-weight: 400;" aria-level="2">Request for a heads-up if additional written comments are incoming.</li> </ul> </ul> <div class="news-image-container"> </div> <div class="news-image-container"><img src="/storage/docs/2025/04/20250402ComboitemsRe1264.png" width="867" height="101" /></div> <div class="news-image-container"><img src="/storage/docs/2025/04/20250402CombRe1264.png" width="865" height="872" /></div> <h3><a href="/sharing/?token=f1ce03ea-24dd-422b-bacc-9629496d166e">▶️</a>8 - Revision Requests Tabled at PRS and Referred to WMS (Possible Vote)</h3> <h4><a href="/sharing/?token=5145a0c2-e7e7-42b7-aba6-92455176e4be">▶️</a>8.1 - NPRR1070, Planning Criteria for GTC Exit Solutions</h4> <ul> <li style="font-weight: 400;" aria-level="1">NPRR1070 is currently in a holding pattern.</li> <li style="font-weight: 400;" aria-level="1">Awaiting comments from EDF.</li> </ul> <h3><a href="/sharing/?token=0b6eee74-3558-49dd-a22b-dd53b906a585">▶️</a>9 - Meter Working Group (MWG)</h3> <h4><a href="/sharing/?token=2a92f7a6-4d6c-4886-9a4a-88208b44b440">▶️</a>9.1 - NPRR1263, Remove Accuracy Testing Requirements for CCVTs (MWG) (Possible Vote)</h4> <ul> <li style="font-weight: 400;" aria-level="1">MWG did not meet in the past month.</li> <li style="font-weight: 400;" aria-level="1">NPRR1263 is under MWG's review.</li> <li style="font-weight: 400;" aria-level="1">The next MWG meeting is scheduled for April 9.</li> <li style="font-weight: 400;" aria-level="1">An update on NPRR1263 is expected in May.</li> </ul> <h3><a href="/sharing/?token=e225e3f9-bdeb-4534-9446-46495e850d94">▶️</a>10 - Supply Analysis Working Group (SAWG)</h3> <ul> <li style="font-weight: 400;" aria-level="1">SAWG did not have a meeting in March.</li> <li style="font-weight: 400;" aria-level="1">Next SAWG meeting is scheduled for April 25.</li> </ul> <h4><a href="/sharing/?token=ae18e9da-894f-4d59-bf26-4cf076c78c1a">▶️</a>10.1 - NPRR1235, Dispatchable Reliability Reserve Service as a Stand-Alone Ancillary Service (SAWG) (Possible Vote)</h4> <ul> <li style="font-weight: 400;" aria-level="1">NPRR1235 is still assigned to SAWG and awaits ERCOT's next steps on the DRRS initiative.</li> <li style="font-weight: 400;" aria-level="1">Last discussed in February during a workshop focused on real-time outcomes in alignment with statutory language.</li> <li style="font-weight: 400;" aria-level="1">Request made for updates from ERCOT on next steps or a future workshop timeline.</li> <li style="font-weight: 400;" aria-level="1">No immediate next steps available. Key team members are focused on analysis, policy discussions, testing, and implementation activities for RTC.</li> <li style="font-weight: 400;" aria-level="1">Expected to revisit DRS discussions in the coming months.</li> </ul> <h3><a href="/sharing/?token=7125e343-ffad-4b3d-9ba8-a79a4725028f">▶️</a>11 - Combo Ballot (Vote)</h3> <ul> <li style="font-weight: 400;" aria-level="1">Motion to approve the combined ballot as presented passed unanimously with no abstentions.</li> </ul> <div class="news-image-container"><img src="/storage/docs/2025/04/20250402WMSComboItems.png" width="874" height="76" /></div> <div class="news-image-container"><img src="/storage/docs/2025/04/20250402WMSCombo.png" width="869" height="863" /></div> <h3><a href="/sharing/?token=e5b98357-38b4-4552-a00e-521ff23aed67">▶️</a>12 - Congestion Management Working Group (CMWG)</h3> <a href="/storage/docs/2025/04/12.-CMWG-update-WMS-Mar-2025.pdf">12.-CMWG-update-WMS-Mar-2025.pdf</a> <ul> <li style="font-weight: 400;" aria-level="1">The meeting in March was brief and included the following key points:</li> <ul> <li style="font-weight: 400;" aria-level="2">Presentation by staff on running time, transactions, peak weekday transactions, and running time hours for each sequence.</li> <li style="font-weight: 400;" aria-level="2">PUC received NPRR1261 for approval.</li> <li style="font-weight: 400;" aria-level="2">Seq5 limits were reduced due to recent solution time of approximately 179 hours.</li> <li style="font-weight: 400;" aria-level="2">ERCOT is continuing with formal impact analysis on NPRRs.</li> <li style="font-weight: 400;" aria-level="2">Discussion on the removal of multiple month bidding functionality and the option for a pricing report.</li> <li style="font-weight: 400;" aria-level="2">More information will be provided at the April CMWG meeting.</li> </ul> </ul> <h3><a href="/sharing/?token=67312e1f-6303-4d56-917c-765fec5e0adf">▶️</a>13 - Other Business</h3> <ul> <li style="font-weight: 400;" aria-level="1">Request for notice if attending via Webex only.</li> <li style="font-weight: 400;" aria-level="1">Aim to improve in-person meeting room arrangement.</li> <li style="font-weight: 400;" aria-level="1">Current procedure of notifying intent to attend in person yielded poor response.</li> <li style="font-weight: 400;" aria-level="1">Change in protocol to ensure better seating arrangements.</li> </ul> <ul> <li style="font-weight: 400;" aria-level="1">The goal is to ensure segments sit together and have good visibility.</li> </ul> <h4><a href="/sharing/?token=70d4965e-dc1b-4d09-a1d4-d345160ed8f5">▶️</a>13.1 - Review Open Action Items</h4> <ul> <li style="font-weight: 400;" aria-level="1">NPRR1190 assignment from TAC has been voted through, confirmed for removal from the open action items list upon TAC confirmation next month.</li> <li style="font-weight: 400;" aria-level="1">WMS action item to CMWG regarding the review of requirements for approving the CRR activity calendar needs to be added to the next agenda for discussion.</li> <li style="font-weight: 400;" aria-level="1">The MDRPOC process assignment for WMWG was captured with Bill Barnes as champion.</li> <li style="font-weight: 400;" aria-level="1">Review price correction methodology assigned to Eric Goff from WMSWG.</li> <li style="font-weight: 400;" aria-level="1">Discussion needed on whether WMS should continue approving the CRR activity calendar annually, with feedback from ERCOT requested for the next CMWG discussion.</li> </ul> <h4><a href="/sharing/?token=d5e067bf-a002-4573-9a0f-56e8091a943c">▶️</a>13.2.4 - Wholesale Market Working Group (WMWG)</h4> <ul> <li style="font-weight: 400;" aria-level="1">ERCOT posted regular reports to the WMWG page for the March 31 meeting.</li> <li style="font-weight: 400;" aria-level="1">Reports for February were reposted on the May 5 meeting page due to an issue.</li> <li style="font-weight: 400;" aria-level="1">Acknowledgment of ERCOT's effort in reposting the reports.</li> </ul> <h3><a href="/sharing/?token=07a870a5-b313-4a1c-b2d6-e3a030b91573">▶️</a>14 - Adjourn</h3>