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NPRR606
Summary
| Title | Removal of Risk Management Verification Fee |
|---|---|
| Next Group | |
| Next Step | |
| Status | Approved on 06/10/2014 |
| Effective Dates |
07/01/2014
|
Action
| Date | Gov Body | Action Taken | Next Steps |
|---|---|---|---|
| 06/10/2014 | BOARD | Approved | |
| 05/29/2014 | TAC | Recommended for Approval | ERCOT Board for consideration |
| 05/15/2014 | PRS | Recommended for Approval | TAC for consideration |
| 04/10/2014 | PRS | Recommended for Approval | PRS for Impact Analysis consideration |
Voting Record
| Date | Gov Body | Motion | Result |
|---|---|---|---|
| 06/10/2014 | BOARD | To approve as recommended by TAC in the 5/29/14 TAC Report | Passed |
| 05/29/2014 | TAC | To recommend approval as recommended by PRS in the 5/15/14 PRS Report. | Passed |
| 05/15/2014 | PRS | To endorse and forward the 4/10/14 PRS Report and Impact Analysis to TAC | Passed |
| 04/10/2014 | PRS | To recommend approval as submitted | Passed |
Background
| Status: | Approved |
|---|---|
| Date Posted: | Mar 17, 2014 |
| Sponsor: | ERCOT |
| Urgent: | No |
| Sections: | 16.16.3 |
| Description: | The Protocols currently allow ERCOT to assess a fee to eligible Counter-Parties for all or part of the costs of verifying the risk management framework as set forth in Section 16.16.3. The ability to charge and collect a separate fee to account for ERCOT’s risk management verification costs was added to the Protocols with NPRR 438, Additional Minimum Counter-Party Qualification Requirements, Including Risk Management Capability Requirements, which was approved by the ERCOT Board in July 2012. The Protocol language added by NPRR438, however, is not accompanied by a specific fee amount or approved methodology for calculating the fee. As noted in the Impact Analysis for NPRR438, system implementation costs for NPRR438 were immaterial, and the ongoing staffing costs related to oversight of risk management verification should not exceed one Full-Time Equivalent. Following discussion at the November 18, 2013 Finance and Audit Committee meeting, there was consensus that because the overall expenses related to risk management verification are minor, it would be more practical to eliminate the fee and include this expense within ERCOT’s Operations and Maintenance budget. This NPRR removes the language establishing the risk assessment fee from Section 16.16.3. |
| Reason: | Administrative |
Key Documents
Mar 17, 2014 - doc - 100.5 KB
Apr 10, 2014 - doc - 54.5 KB
Apr 14, 2014 - doc - 107 KB
May 20, 2014 - doc - 107.5 KB
May 30, 2014 - doc - 111 KB
Jun 11, 2014 - doc - 108 KB