ERCOT Nodal Protocols
Section 9: Settlement and Billing
Draft—November 30, 2004
Round 2
9-31
ERCOT Nodal Protocols Draft—November 30, 2004
9 SETTLEMENT AND BILLING 9-1
9.1 Overview 9-1
9.2 Settlement and Billing for the DAM 9-1
9.2.1 Settlement Statement Process for the DAM 9-1
9.2.2 Settlement Calendar for the DAM 9-1
9.2.3 Settlement Statements for the DAM 9-2
9.2.4 Settlement Statement Access for the DAM 9-3
9.2.5 Settlement Statement Data for the DAM 9-3
9.2.6 Initial Statements for the DAM 9-3
9.2.7 Resettlement Statement for the DAM 9-4
9.2.7.1 Notice of Resettlement for the DAM 9-4
9.2.8 Validation of the Initial Settlement Statement for the DAM 9-4
9.2.9 Confirmation of Statement for the DAM 9-5
9.2.10 Suspension of Issuing Settlement Statements for the DAM 9-5
9.3 Settlement Invoices for the DAM 9-5
9.3.1 Timing and Content of Settlement Invoices for the DAM 9-6
9.4 Payment Process for the DAM 9-7
9.4.1 Overview of Payment Process for the DAM 9-7
9.4.2 Invoice Payments Due ERCOT for the DAM 9-7
9.4.3 ERCOT Payment to Invoice Recipients for the DAM 9-7
9.4.4 Partial Payments for the DAM 9-7
9.4.5 Enforcing the Security of a Defaulting QSE 9-9
9.4.6 Late Fees for the DAM 9-9
9.4.6.1 Timing and Content of Late Fee Invoice for the DAM 9-9
9.5 Settlement and Billing for the Real-Time Market 9-10
9.5.1 Settlement Statement Process for the Real-Time Market 9-10
9.5.2 Settlement Calendar for the Real-Time Market 9-11
9.5.3 Settlement Statements for the Real-Time Market 9-11
9.5.4 Settlement Statement Access for the Real-Time Market 9-12
9.5.5 Settlement Statement Data for the Real-Time Market 9-13
9.5.6 Initial Daily Statements for the Real-Time Market 9-13
9.5.7 Final Daily Statements for the Real-Time Market 9-14
9.5.8 Resettlement Daily Statement for the Real-Time Market 9-14
9.5.8.1 Notice of Resettlement for the Real-Time Market 9-15
9.5.9 True-Up Statement for the Real-Time Market 9-16
9.5.10 Notice of True-Up Settlement Timeline Changes for the Real-Time Market 9-16
9.5.11 Validation of the True-Up Statement for the Real-Time Market 9-16
9.5.12 Confirmation for the Real-Time Market 9-17
9.5.13 Suspension of Issuing Settlement Statements for the Real-Time Market 9-17
9.6 Settlement Invoices for the Real-Time Market 9-17
9.6.1 Timing and Content of Settlement Invoices for the Real-Time Market 9-17
9.7 Payment Process for the Real-Time Market 9-18
9.7.1 Overview of Payment Process for the Real-Time Market 9-19
9.7.2 Invoice Payments Due ERCOT for the Real-Time Market 9-19
9.7.3 Enforcing the Security of a Defaulting Invoice Recipient for the Real-Time Market 9-20
9.7.4 Late Fees for the Real-Time Market 9-20
9.7.4.1 Timing and Content of Late Fee Invoice for the Real-Time Market 9-21
9.8 Settlement and Billing Dispute Process 9-22
9.8.1 Data Review, Validation, Confirmation, and Dispute of Settlement Statements 9-22
9.8.2 Notice of Dispute 9-22
9.8.3 Contents of Notice 9-23
9.8.4 ERCOT Processing of Disputes 9-24
9.8.4.1 Open 9-25
9.8.4.2 Denied 9-25
9.8.4.3 Granted 9-25
9.8.4.4 Granted with Exceptions 9-25
9.8.4.5 Closed 9-26
9.8.5 Disputes for Operations Decisions 9-26
9.8.6 Reporting Capability for Disputes 9-27
9.9 Settlement Charges 9-27
9.9.1 Equalization Adjustment 9-27
9.10 Administrative Fees 9-28
9.10.1 ERCOT System Administration Fees 9-28
9.10.2 Texas Non-ERCOT Load Serving Entity Fee 9-28
9.10.3 Market Participant Application Fee 9-29
9.10.4 Private Wide Area Network Fees 9-29
9.11 Transmission Billing Determinant Calculation 9-29
9.11.1 Billing Determinant Data Elements 9-29
9.11.2 Direct Current Tie Schedule Information 9-30
9.12 Profile Development Cost Recovery Fee for a Non-ERCOT Sponsored Load Profile Segment 9-30
9-19-19-19-19-19-29-39-39-39-49-49-49-59-59-59-69-79-79-79-79-79-99-99-99-109-109-109-119-129-129-139-149-149-159-159-169-169-169-179-179-189-199-199-199-209-209-219-229-229-229-239-249-259-259-259-269-269-279-279-279-279-289-289-289-299-299-299-299-309-309 SETTLEMENT AND BILLING 9-1
9.1 Overview 9-1
9.2 Settlement and Billing for the DAM 9-1
9.2.1 Settlement Statement Process for the DAM 9-1
9.2.2 Settlement Calendar for the DAM 9-1
9.2.3 Settlement Statements for the DAM 9-2
9.2.4 Settlement Statement Access for the DAM 9-2
9.2.5 Settlement Statement Data for the DAM 9-3
9.2.6 Initial Statements for the DAM 9-3
9.2.7 Resettlement Statement for the DAM 9-3
9.2.7.1 Notice of Resettlement for the DAM 9-4
9.2.8 Validation of the Initial Settlement Statement for the DAM 9-4
9.2.9 Confirmation of Statement for the DAM 9-4
9.2.10 Suspension of Issuing Settlement Statements for the DAM 9-4
9.3 Settlement Invoices for the DAM 9-5
9.3.1 Timing and Content of Invoice for the DAM 9-5
9.4 Payment Process for the DAM 9-6
9.4.1 Overview of Payment Process for the DAM 9-6
9.4.2 Invoice Payments Due ERCOT for the DAM 9-6
9.4.3 ERCOT Payment to Invoice Recipients for the DAM 9-6
9.4.4 Partial Payments for the DAM 9-7
9.4.5 Enforcing the Security of a Defaulting QSE 9-8
9.4.6 Late Fees for the DAM 9-8
9.5 Settlement and Billing for the Real-Time Market 9-9
9.5.1 Settlement Statement Process for the Real-Time Market 9-9
9.5.2 Settlement Calendar for the Real-Time Market 9-9
9.5.3 Settlement Statements for the Real-Time Market 9-9
9.5.4 Settlement Statement Access for the Real-Time Market 9-11
9.5.5 Settlement Statement Data for the Real-Time Market 9-11
9.5.6 Initial Daily Statements for the Real-Time Market 9-12
9.5.7 Final Daily Statements for the Real-Time Market 9-12
9.5.8 Resettlement Daily Statement for the Real-Time Market 9-12
9.5.8.1 Notice of Resettlement for the Real-Time Market 9-13
9.5.9 True-Up Statement for the Real-Time Market 9-14
9.5.10 Notice of True-Up Settlement Timeline Changes for the Real-Time Market 9-14
9.5.11 Validation of the True-Up Statement for the Real-Time Market 9-14
9.5.12 Confirmation for the Real-Time Market 9-15
9.5.13 Suspension of Issuing Settlement Statements for the Real-Time Market 9-15
9.6 Settlement Invoice for the Real-Time Market 9-15
9.6.1 Timing of Invoice for the Real-Time Market 9-15
9.6.2 Content of Invoice for the Real-Time Market 9-16
9.7 Payment Process for the Real-Time Market 9-16
9.7.1 Overview of Payment Process for the Real-Time Market 9-16
9.7.2 Invoice Payments Due ERCOT for the Real-Time Market 9-17
9.7.5 Enforcing the Security of a Defaulting Invoice Recipient for the Real-Time Market 9-18
9.7.6 Late Fees for the Real-Time Market 9-18
9.8 Settlement and Billing Dispute Process 9-18
9.8.1 Data Review, Validation, Confirmation, and Dispute of Settlement Statements 9-18
9.8.2 Notice of Dispute 9-19
9.8.3 Contents of Notice 9-20
9.8.4 ERCOT Processing of Disputes 9-21
9.8.4.1 Open 9-21
9.8.4.2 Denied 9-21
9.8.4.3 Granted 9-22
9.8.4.4 Granted with Exceptions 9-22
9.8.4.5 Closed 9-23
9.8.5 Disputes for Operations Decisions 9-23
9.8.6 Reporting Capability for Disputes 9-23
9.9 Settlement Charges 9-24
9.9.1 Equalization Adjustment 9-24
9.10 Administrative Fees 9-24
9.10.1 ERCOT System Administration Fees 9-24
9.10.3 Texas Non-ERCOT Load Serving Entity Fee 9-25
9.10.4 Market Participant Application Fee 9-25
9.10.5 Private Wide Area Network Fees 9-25
9.11 Transmission Billing Determinant Calculation 9-26
9.11.1 Billing Determinant Data Elements 9-26
9.11.2 Direct Current Tie Schedule Information 9-26
9.12 Profile Development Cost Recovery Fee for a Non-ERCOT Sponsored Load Profile Segment 9-27
9 SETTLEMENT AND BILLING 9-1
9.1 Overview 9-1
9.1.1 Settlement Statement Process 9-1
9.1.2 Settlement Calendar 9-1
9.2 Settlement Statements 9-2
9.2.1 Settlement Statement Access 9-2
9.2.2 Settlement Statement Data 9-3
9.2.3 Initial Daily Statements 9-3
9.2.4 Final Daily Statements 9-4
9.2.5 Resettlement Daily Statement 9-4
9.2.5.1 Notice of Resettlement 9-5
9.2.6 True-Up Statement 9-6
9.2.6.1 Notice of True-Up Settlement Timeline Changes 9-6
9.2.6.2 Validation of the True-Up Statement 9-6
9.2.6.3 Confirmation 9-7
9.2.7 Suspension of Issuing Settlement Statements 9-7
9.3 Settlement Invoice 9-7
9.3.1 Timing of Invoice 9-7
9.3.2 Content of Invoice 9-8
9.4 Payment Process 9-8
9.4.1 Overview of Payment Process 9-8
9.4.2 Invoice Payments Due ERCOT 9-9
9.4.5 Enforcing the Security of a Defaulting Invoice Recipient 9-10
9.4.6 Late Fees 9-10
9.5 Settlement and Billing Dispute Process 9-10
9.5.1 Data Review, Validation, Confirmation, and Dispute of Settlement Statements 9-10
9.5.2 Notice of Dispute 9-11
9.5.3 Contents of Notice 9-12
9.5.4 ERCOT Processing of Disputes 9-13
9.5.4.1 Open 9-13
9.5.4.2 Denied 9-13
9.5.4.3 Granted 9-14
9.5.4.4 Granted with Exceptions 9-14
9.5.4.5 Closed 9-15
9.5.5 Disputes for Operations Decisions 9-15
9.5.6 Reporting Capability for Disputes 9-15
9.6 Settlement Charges 9-16
9.6.1 Equalization Adjustment 9-16
9.7 Administrative Fees 9-16
9.7.1 ERCOT System Administration Fees 9-16
9.7.3 Texas Non-ERCOT Load Serving Entity Fee 9-17
9.7.4 Market Participant Application Fee 9-17
9.7.5 Private Wide Area Network Fees 9-17
9.8 Transmission Billing Determinant Calculation 9-18
9.8.1 Billing Determinant Data Elements 9-18
9.8.2 Direct Current Tie Schedule Information 9-18
9.9 Profile Development Cost Recovery Fee for a Non-ERCOT Sponsored Load Profile Segment 9-19
9-31
ERCOT Nodal Protocols Draft—November 30, 2004
Section 9: Settlement Statements
9 SETTLEMENT AND BILLING
Overview
Settlement is the process used to resolve financial obligations for market services procured through ERCOT for Market Participants. Settlement also assesses administrative and miscellaneous fees and provides Transmission Billing Determinants to Transmission Service Providers (TSPs) or Distribution Service Providers (DSPs). The Settlement and Billing timeline and process for the DAMay Ahead Market shall be separate from the Settlement and Billing timeline and process for the Real-time Market.
Settlement and Billing for the DAM
Settlement Statement Process for the DAM
ERCOT will produce daily Settlement Statements for DAM, as defined in Section 9.2.3, Settlement Statements for the DAM, reflecting a breakdown of market charges for hourly and other Settlement Interval Market Services, monthly charges and any annual charges. The Settlement Statement for DAM will also reflect administrative and miscellaneous charges. (NOTE:Will there be administrative and miscellaneous charges in DAM?) The publication of all Settlement Statements, Settlement Invoices and Late Fee Invoices can occur as late as midnight per the timelines described herein.
A Settlement Statement reflecting a negative settlement amount will represent a payments to the Statement RecipientQSE’s. A Settlement Statement reflecting a positive settlement amount will represent a payments due to ERCOT.
Settlement Calendar for the DAM
ERCOT will post on the Market Information System (MIS) a Settlement Calendar for the DAM to denote, for each Operating Day when:
(1) Each scheduled Settlement Statement will be issued, in accordance with Section 9.2.3, Settlement Statements for the DAM;
(2) Each Settlement Invoice will be issued, in accordance with Section 9.3, Settlement Invoices for the DAM;
(3) Payments are due, in accordance with Section 9.4, Payment Process for the DAM;
(4) Settlement and Billing Disputes for each scheduled Settlement Statement must be submitted in order to be considered timely, in accordance with Section 9.85, Settlement and Billing Dispute Process for the DAM; and
(5) Each Late Fee Invoice will be issued, in accordance with Section 9.4.6.1, Timing and Content of Late Fee Invoices for the DAM;
(6) ESI ID and Resource ID meter readings are due, in accordance with Section 10.3.3.1, Data Responsibilities;
ERCOT shall notify Market Participants if any of the aforementioned data will not be available in accordance with the Settlement Calendar.
Settlement Statements for the DAM
The Settlement Statement(s) will be made available according to the Settlement Calendar for each Operating Day and will be published to the Market Information System for Statement Recipients electronically on Business Days.
(1) The QSE to which the Settlement Statement is addressed (“Statement Recipient”) is responsible for accessing the Statement from the MIS.
(2) In order to issue a Settlement Statement, ERCOT may use estimated, disputed or calculated meter data and schedule information(Does this apply for DAM?).
(3) An Initial Statement for the DAMay Ahead Market will be created for each Operating Day.
(4) Resettlement Statements for the DAM can be created for any given Operating Day, depending on the criteria set forth in Section 9.2.75, Resettlement Statement for the DAM. When actual validated data and schedule information are available and all of the settlement and billing disputes raised by Statement Recipients during the validation process have been resolved, When all data error corrections and settlement and billing disputes raised by Statement Recipients during the validation process have been resolved, ERCOT shall recalculate the amounts payable and receivable by the affected Statement Recipient, as described in Section 9.2.75, Resettlement Statements for the DAM.
(5) For each QSE, Settlement Statement(s) will denote:
(A) Operating Day,
(B) Statement Recipient’s name,
(C) ERCOT identifier (settlement identification number issued by ERCOT),
(D) Status of the Statement (Initial or Resettlement),
(E) Statement version number,
(F) Unique Statement identification code, and
(G) Market services settled.
(6) Settlement Statements will break down fees by Market Services into the appropriate Settlement Interval for that service. When a settlement and billing dispute has been entered for a Settlement Interval, the Settlement Statement must denote whether a settlement and billing dispute status has been submitted by the a Statement Recipient
(7) The Settlement Statement(s) will have a summary page of the corresponding detailed documentation.
Settlement Statement Access for the DAM
All Settlement Statements can be accessed by the Statement RecipientQSE’s electronically, via the following methods:
(1) Secured entry on the MIS;
(2) eXtensible Markup Language (XML) access to the MIS.
Settlement Statement Data for the DAM
ERCOT shall provide, on each Settlement Statement, the quantityvolume, price, and dollar amounts for each DAM settlement charge and payment. Settlement data used to prepare each Settlement Statement for the DAM will include any available:
(1) Day Ahead hourly Settlement Point Prices;
(2) The amount of each Statement Recipient’sQSE’s cleared energy sales;
(3) The amount of each Statement Recipient’sQSE’s cleared energy purchases;
(4) Each CRR owner’s PTP Option offer cleared in DAM;
(5) Each Statement Recipient’sQSE’s PTP Obligation bid cleared in DAM;
(6) AS obligations, amounts awarded, and clearing prices;
(7) Day Ahead Shadow Price per constraint (for MCFRI);
(8) Base point per resource per LMP interval and time duration of the interval;
(9) Previously sold or allocated CRR’s
Initial Statements for the DAM
ERCOT will use settlement data, as described in Section 9.2.3, Settlement Statements for the DAMDay Ahead Market to produce the Initial Statements for the DAM for each Statement Recipient for the given Operating Day. Initial Statements for the DAM shall be issued by midnight the end (Central Prevailing Time) of the first (1st) calendar day following the Operating Day. If the first day is not a Business Day, the Initial Statement for the DAM shall be issued by midnight (Central Prevailing Time) the end of the next Business Day thereafter.