As an ISO, ERCOT is subject to the risk of monetary and/or non-monetary penalties assessed by the Federal Energy Regulatory Commission (FERC) and/or by North American Electric Reliability Corporation (NERC) or any regional entity to which NERC may delegate enforcement authority, in accordance with FERC Order Nos. 672 and 672-A1 for violations of mandatory Reliability Standards. This Protocol Revision Request (PRR) allows for recovery of the costs of paying or complying with any such penalties.
Reason:
To address how to handle penalties issued by the new Texas Regional Entity (TRE), NERC or FERC.