NPRR #416 · Revision Request
NPRR416 Creation of the RUC Resource Buyback Provision (formerly "Removal of the RUC Clawback Charge for Resources Other than RMR Units")
ReasonThe existence of the RUC clawback is leading to inefficient scheduling of units, inefficient RUC selection in the Day-Ahead Market (DAM) and hourly market. The clawback negatively affects valid hedging strategies. The lack of necessity for the clawback mechanism tied to Resource DAM participation, in light of the other incentives for DAM participation, was recognized in early review of the Nodal Protocols in Public Utility Commission of Texas (PUCT) Docket No. 31540, Proceeding to Consider Protocols to Implement a Nodal Market in the Electric Reliability Council of Texas (ERCOT) Pursuant To P.U.C. Subst .R. 25.501: "What is your recommendation regarding the clawback provisions? I recommend the elimination of the clawback provisions. I have confidence in the incentives created by the day-ahead and real-time prices to promote full participation by both loads and suppliers in the day-ahead market. Some have argued that the lack of a mandatory offer requirement in the day-ahead market may make these provisions necessary. However, the Midwest IS0 does not have a mandatory offer requirement, but nevertheless enjoys relatively full participation in the day-ahead market by both supply and demand." Direct Testimory of David B. Patton, President, Potomac Economics Ltd., on behalf of the PUCT Staff, November 20, 2005.
Created2011-10-20
Approved2012-07-17
Sections Affected
2.13.9.15.5.25.6.25.7.25.7.66.4.6
Summary
This Nodal Protocol Revision Request (NPRR) adds a buyback provision for Resources committed by ERCOT’s Reliability Unit Commitment (RUC) process that allows all RUC Clawback Charges associated with the RUC commitment to be waived and RUC Make-Whole Payments to be forfeited.
Action Log 8 milestones
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Oct 20
PRSDeferred/Tabled→ PRS language consideration
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Nov 17
PRSDeferred/Tabled→ PRS language consideration
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Mar 22
PRSDeferred/Tabled→ PRS language consideration
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Apr 19
PRSRecommended for Approval→ PRS Impact Analysis review
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May 17
PRSDeferred/Tabled→ PRS Impact Analysis review
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Jun 21
PRSRecommended for Approval→ TAC consideration of NPRR416
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Jun 28
TACRecommended for Approval→ ERCOT Board consideration of NPRR416
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Jul 17
BOARDApproved
Amendments
| Date | Body | Motion | Result |
|---|---|---|---|
| Apr 19 '12 | PRS | To recommend approval of NPRR416 as amended by the 4/18/12 STEC comments and as revised by PRS. | Passed |
| Jun 21 '12 | PRS | To endorse and forward the 4/19/12 PRS Report as amended by the 6/20/12 ERCOT comments and Impact Analysis for NPRR416 to TAC with a recommended priority of 2012 and rank of 365. | Passed |
| Jun 28 '12 | TAC | To recommend approval of NPRR416 as recommended by PRS in the 6/21/12 PRS Report and as revised by TAC. | Passed |
Documents 34
| Name | Type | Posted | Classification |
|---|---|---|---|
| 416NPRR-01 Removal of the RUC Clawback Charge for Resources Othe | doc | Sep 28 '11 | Revision Request |
| 416NPRR-02 ERCOT Comments 101111 | doc | Oct 11 '11 | Revision Request Comments |
| 416NPRR-03 WMS Comments 101711 | doc | Oct 17 '11 | Revision Request Comments |
| 416NPRR-04 PRS Report 102011 | doc | Oct 24 '11 | Committee Report |
| 416NPRR-05 WMS Comments 110911 | doc | Nov 9 '11 | Revision Request Comments |
| 416NPRR-06 PRS Report 111711 | doc | Nov 21 '11 | Committee Report |
| 416NPRR-07 WMS Comments 120911 | doc | Dec 9 '11 | Revision Request Comments |
| 416NPRR-08 WMS Comments 011212 | doc | Jan 12 '12 | Revision Request Comments |
| 416NPRR-09 WMS Comments 021712 | doc | Feb 17 '12 | Revision Request Comments |
| 416NPRR-10 Exelon-Calpine Comments 031912 | doc | Mar 19 '12 | Revision Request Comments |
| 416NPRR-11 STEC Comments 032012 | doc | Mar 20 '12 | Revision Request Comments |
| 416NPRR-12 AEP Comments 032112 | doc | Mar 21 '12 | Revision Request Comments |
| 416NPRR-13 Luminant Energy Company LLC Comments 032112 | doc | Mar 21 '12 | Revision Request Comments |
| 416NPRR-14 PRS Report 032212 | doc | Mar 26 '12 | Committee Report |
| 416NPRR-15 PRS Voting Ballot 032212 | xls | Mar 26 '12 | Revision Request Ballot |
| 416NPRR-16 ERCOT Comments 040212 | doc | Apr 2 '12 | Revision Request Comments |
| 416NPRR-17 WMS Comments 041612 | doc | Apr 16 '12 | Revision Request Comments |
| 416NPRR-18 CPS Energy Comments 041812 | doc | Apr 18 '12 | Revision Request Comments |
| 416NPRR-19 AEP Comments 041812 | doc | Apr 18 '12 | Revision Request Comments |
| 416NPRR-20 STEC Comments 041812 | doc | Apr 18 '12 | Revision Request Comments |
| 416NPRR-21 PRS Report 041912 | doc | Apr 20 '12 | Committee Report |
| 416NPRR-22 Morgan Stanley Comments 050212 | doc | May 2 '12 | Revision Request Comments |
| 416NPRR-23 ERCOT Comments 051012 | doc | May 10 '12 | Revision Request Comments |
| 416NPRR-24 ERCOT Comments 051512 | doc | May 15 '12 | Revision Request Comments |
| 416NPRR-25 PRS Report 051712 | doc | May 21 '12 | Committee Report |
| 416NPRR-26 Impact Analysis 061412 | doc | Jun 14 '12 | Staff Report |
| 416NPRR-27 ERCOT Comments 062012 | doc | Jun 20 '12 | Revision Request Comments |
| 416NPRR-28 PRS Report 062112 | doc | Jun 21 '12 | Committee Report |
| 416NPRR-29 PRS Voting Ballot 062112 | xls | Jun 21 '12 | Revision Request Ballot |
| 416NPRR-30 Morgan Stanley Comments 062212 | doc | Jun 22 '12 | Revision Request Comments |
| 416NPRR-31 Revised Impact Analysis 062612 | doc | Jun 26 '12 | Staff Report |
| 416NPRR-32 TAC Report 062812 | doc | Jun 29 '12 | Committee Report |
| 416NPRR-33 TAC Voting Ballot 062812 | xls | Jun 29 '12 | Revision Request Ballot |
| 416NPRR-34 Board Report 071712 | doc | Jul 18 '12 | Committee Report |
Meetings That Took It Up 35