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GridFlorida RTO Overview of Order 2000 Filing February 16, 2001

GridFlorida RTO Overview of Order 2000 Filing February 16, 2001. DEC 1999. JAN 2000. FEB 2000. MAR 2000. APR 2000. MAY 2000. JUN 2000. JUL 2000. AUG 2000. SEP 2000. OCT 2000. NOV 2000. DEC 2000. JAN 2001. FEB 2001. MAR 2001. APR 2001. MAY 2001. JUN 2001.

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GridFlorida RTO Overview of Order 2000 Filing February 16, 2001

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  1. GridFlorida RTO Overview of Order 2000 Filing February 16, 2001

  2. DEC 1999 JAN 2000 FEB 2000 MAR 2000 APR 2000 MAY 2000 JUN 2000 JUL 2000 AUG 2000 SEP 2000 OCT 2000 NOV 2000 DEC 2000 JAN 2001 FEB 2001 MAR 2001 APR 2001 MAY 2001 JUN 2001 JUL 2001 AUG 2001 SEP 2001 OCT 2001 NOV 2001 DEC 2001 Timeline October 16 Joint Filing by Three Florida IOUs Begin Stakeholder Process March 9 FPL Proposes a Transco February 16 GridFlorida answers due December 15 Request Approval of Governance Additional Gridflorida Details Filed January 30 Interventions filed at FERC February 28 first Board Selection meeting January 10 FERC approves Governance Dec 15 2001 Planned Startup Of RTO March 15 GF Files Losses methodology

  3. Overview • Broad collaborative process – over 250 participants • Regional scope is the entire FRCC region • All jurisdictional transmission owners in Florida included • GridFlorida will be security coordinator for FRCC region • Requires unbundled transmission service for retail load

  4. Governance - Structure • Corporate structure – GF Inc. and GridFlorida LLC • GF Inc. will have independent board • Search firm + stakeholder board selection committee • No active ownership by market participants • GF Inc. IPO is planned • Transco structure accommodates • Divesting transmission owners (FPL, TEC +) • Non-divesting transmission owners (FPC +)

  5. Governance - Advisory Committee • Six stakeholder groups represented • IOU transmission owners • Retail electric distributors • Wholesale electric sellers • Generation owners/developers • Power marketers • End-use consumer representatives • Access to board and GridFlorida management

  6. Pricing • Ten year phase in plan • Initially, existing facilities in zonal rates • Each TO is a separate zone • Zonal rate phase-out in years 6-10 • New facility costs in region-wide rate • TDU facility credits phase-in in years 1-5 • Option for immediate full credit (integration test) • Long-term contract phase-out (de-pancake) in years 6-10

  7. Operations & Planning • Transmission facilities defined as 69 kV and above • GridFlorida shall have: • Direct or indirect operational control as needed • Approval authority for all trans. maintenance Sched. • Responsibility for maintenance standards • Approval or adjustment of Generator outages • Security Coordinator Authority

  8. Operations & Planning • GridFlorida (GF) Regional planning process • GF has authority to build and own facilities • Three year transition for local area planning • GF SAIDI, CAIDI reliability standards • GF to develop construction standards • PO has first right of construction • GF will handle all GIS requests, single queue • GF will develop Service Level Agreements • GF will develop Reliability Agreements

  9. Market Design – Control Area Operations • GridFlorida will operate an overlay control area • Existing NERC control areas can remain in place • Call on imbalance energy incs with 10 minute schedule • Control area operators may merge with GridFlorida • X/Y conditions to adjust intra-hour schedules

  10. Market Design – Congestion • Generators must submit inc/dec bids for congestion • Management based on flowgate model • Commercially significant congestion defines flowgates • Physical transmission rights required at flowgates • PTRs allocated to existing users (without auction) • PTRs related to ATC and new capacity auctioned • “Use-it-or-lose-it” rule for unscheduled PTRs • PRT and Flowgates studies underway

  11. Market Design – Ancillary Services • Real-time energy balancing market • Bid-based procurement of • Regulation • Operating reserves • Installed capacity requirement • Set by FPSC, FRCC • GF monitors • System black start

  12. Market Design - Market Monitoring • MonitorCo will be separate organization with 3 member board • Scope of monitoring function • Structure and operation of markets • Compliance with market rules • Competitive practices of market participants • Market power and abuses

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