NPRR #88 · Revision Request
NPRR088 Revision to 16.11.5, Monitoring of a Counter-Party’s Creditworthiness and Credit Exposure by ERCOT
- PRS Jan 17 '08
- TAC Feb 7 '08
- BOARD Feb 19 '08
- PUCT —
ReasonSection 16.11.5 requires a Counter-Party and its guarantor to provide unaudited quarterly and audited annual financial statements to ERCOT for creditworthiness monitoring. Bilateral credit practices typically only require the financial statements of either the contracting entity or the guarantor, as there is only one entity whose creditworthiness is relied upon. Counter-Parties that are subsidiaries of larger organizations generally do not prepare audited financial statements at the subsidiary level, and in many cases, financial statements at the subsidiary level are not prepared at all. This revision conforms the protocols to industry credit practice.
Created2007-11-15
Approved2008-02-19
Sections Affected
16.11.5
Summary
The revision ensures that ERCOT will receive and accept as sufficient from the Counter-Party, financial statements of the Counter-Party or a guarantor if a guarantee is being provided for the purpose of determining the Counter-Party’s creditworthiness.
Timeline
- Oct 31
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Nov 5
Listed without action at 1 meeting
- Nov 15
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Dec 13
PRS PRS MeetingPRSRecommended for Approval Amended by the Credit WG comments“To recommend approval of NPRR088, as revised by Credit WG comments.” — Passed→ PRS Impact Analysis review
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Jan 17
PRS PRS MeetingPRSRecommended for Approval Forwarded → TAC“Forward the Recommendation Report and IA to TAC for approval” — Passed
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Feb 7
TAC TAC MeetingTACRecommended for Approval“To recommend approval of NPRR088 as recommended by PRS.” — Passed→ Board consideration
- Feb 19
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Posted since the last meeting