Agenda

Operating Committee

September16, 2014 | 1:00–5:00 p.m. (PDT)

September17, 2014 | 8:00 a.m.–Noon (PDT)

Hyatt Regency Vancouver

655Burrard Street

Vancouver, British Columbia

Introductions and Chair’s Opening Remarks

TrusteeChair Frederick Gorbet Opening Remarks

NERC Antitrust Compliance Guidelines and Public Announcement

Agenda

  1. Administrative - Secretary
  1. Arrangements
  2. Safety Briefing and Identification of Exits
  3. Announcement of Quorum
  4. Background Information
  5. 30T30TUUOperating Committee (OC) MembershipUU30T30T
  6. OC Roster*
  7. 30T30TOC Organizational Chart30T30T
  8. 30T30TOC Charter30T30T
  9. Parliamentary Procedures*
  10. 30T30TParticipant Conduct Policy30T30T
  11. Future Meetings

0T0T2014 Meeting Dates / 0T0TTime / 0T0TLocation / 0T0THotel
0T0TDecember 9, 2014
0T0TDecember 10, 2014 / 0T0T1:00 to 5:00 p.m. (Eastern)
0T0T8:00 a.m. to Noon (Eastern) / 0T0TAtlanta, GA / 0T0TWestin Buckhead Atlanta
0T0TMarch 10, 2015
0T0TMarch 11, 2015 / 0T0T1:00 to 5:00 p.m.
0T0T8:00 a.m. to Noon / 0T0TTBD / 0T0TTBD
0T0TJune 9, 2015
0T0TJune 10, 2015 / 0T0T1:00 to 5:00 p.m. (Eastern)
0T0T8:00 a.m. to Noon (Eastern) / 0T0TAtlanta, GA / 0T0TWestin Buckhead
0T0TSeptember 15, 2015
0T0TSeptember 16, 2015 / 0T0T1:00 to 5:00 p.m. (Eastern)
0T0T8:00 a.m. to Noon (Eastern) / 0T0TTBD / 0T0TTBD
0T0TDecember 15, 2015
0T0TDecember 16, 2015 / 0T0T1:00 to 5:00 p.m. (Eastern)
0T0T8:00 a.m. to Noon (Eastern) / 0T0TAtlanta, GA / 0T0TWestin Buckhead
  1. Consent Agenda – Chair Castle
  1. June10–11, 2014 Draft OC Meeting Minutes*

Action: Approve / Objective: Approve consent agenda as a block.
Presentation: No / Duration: 10 minutes / Background Items: June10-11, 2014 OC Meeting Minutes
  1. Chair’s Remarks

a.Report on August13, 2014Member Representatives Committee Meeting and the August14, 2014 Board of Trustees Meeting*

  1. OC Action Items Review* – Chair Castle

Action: None / Objective: Review and discuss open action items from prior OC meetings.
OC Strategic Plan Goal: None, this is an administrative item.
Background: The OC Action Item list will be reviewed near the beginning of each OC meeting, with the intent to effectively work through action items, reaching prompt resolution.
Presentation: No / Duration: 10 minutes / Background Items: Revised OC Action Item List
Notes:
  1. OC Nominating Subcommittee – Chair Castle

Action: Approve / Objective: Chair Castle will nominate three OC members to serve on the Nominating Subcommittee.
OC Strategic Plan Goal: None, this is an administrative item.
Background: The 2014 annual OC election resulted in three vacancies on the OC’s Nominating Subcommittee. Current members of the Nominating Subcommittee are Jerry Rust (chair) and Tom Irvine.
Presentation: No / Duration: 10 minutes / Background Items: None.
Notes:
  1. OC Executive Committee – Jerry Rust, Chair of the Nominating Subcommittee

Action: Approve / Objective: Jerry Rust, chair of the OC’s Nominating Subcommittee will nominate an OC member to serve on the Executive Committee.
OC Strategic Plan Goal: None, this is an administrative item.
Background: The 2014 annual OC election resulted in one vacancy on the OC’s ExecutiveCommittee. Current at-large members of the Executive Committee are Dennis Florom, Keith Carman and Gerry Beckerle.
Presentation: No / Duration: 10 minutes / Background Items: None.
Notes:
  1. Subgroup Status Reports

a.Operating Reliability Subcommittee* – Chair Joel Wise

b.Resources Subcommittee* – Chair Gerry Beckerle

c.Event Analysis Subcommittee* – Chair Sam Holeman

  1. Review of the Reliability Guideline: Generating Unit Winter Weather Readiness
  2. Polar Vortex Lessons Learned Summary
  3. EMS Working Group – Monitoring and Situation Awareness Conference

d.Personnel Subcommittee* – Chair Laurel Hennebury

  1. Reliability Issues Steering Committee Status Report – Vice Chair Case
  2. Committee Matters

a.MISO Reliability Plan –James Merlo, Director – Reliability Risk Management

Action: None / Objective: Review a status report related to the implementation of MISO’s reliability plan.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: 1406-09
Background: Michigan Public Service Commission to provide NERC staff and the OC with information supporting its suggestion that implementation of the approved revision to the MISO reliability plan will have adverse reliability impacts.
Presentation: No / Duration: 15 minutes / Background Items: None
Notes:

b.Essential Reliability Services Task Force (ERSTF) –Ken McIntyre, Chair of ERSTF

Action: Endorse / Objective: Review and discuss recent ERSTF activities and review, discuss and endorse the Concept Paper on Essential Reliability Services that Characterize Bulk Power System Reliability.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: The ERSTF kicked off the official task force business in June following the OC/PC meetings. The task force work was divided into four subgroups based on the areas of study as decided by the task force. These subgroups could include various characteristics and services that could fall under the umbrella of ERS.
  1. Load and Resource Balance
  2. Voltage Support
  3. Frequency Support
  4. Policy and Advisory Group
This presentation will provide a brief update on each subgroup. The next deliverable will include as a whole, a framework for assessment and detailed technical analysis for each subgroup area. The concept paper for the ERSTF is posted online on30T30TERSTF30T30T NERC website.
The ERSTF is meeting onSeptember 17, 2014 from 1 – 5 p.m. PDT and September 18, 2014 from 8 a.m. – 12 p.m. PDT in Vancouver, British Columbia.
Presentation: Yes / Duration: 20 minutes / Background Item: See ERSTF Concept Paper
Notes:

c.2014 Polar Vortex Weather Phenomenon Status Report – James Merlo, Director – Reliability Risk Management

Action: None / Objective: Review and discuss the January 2014 cold weather events.
OC Strategic Plan Goal: Utilize the results of the Event Analysis Process to improve the reliable operation of the BES.
Action Item Number: 1403-04 and 1403-05
Background: In early January 2014 a Polar Vortex impacted the ERCOT and Eastern Interconnections. NERC and the impacted Regional Entities are documenting this cold weather event in a report, which is expected to be available in late September 2014. Mr. Merlo will provide the OC with an overview of the report’s development and findings and recommendations.
Presentation: Yes / Duration: 15 minutes / Background Items: None
Notes:

d.Wildfire Impact on Transmission Webinar–James Merlo, Director – Reliability Risk Management

Action: None / Objective: Review and discuss the Wildfire Impact on Transmission webinar.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: NERC hosted a webinar on July 15, 2014 that addressed C41T41Treating Wildfire Resilience Through Preparedness and Situational Awareness. 41T41TPresenters from San Diego Gas & Electric (SDG&E), Western Electricity Coordinating Council (WECC) and NERC shared information regarding industry practices and operational experiences related to wildfire threats.
Presentation: Yes / Duration: 15 minutes / Background Items: None
Notes:

e.Winter Weather Preparedness Webinar–James Merlo, Director – Reliability Risk Management

Action: None / Objective: Review and discuss the status of the 2014 Winter Weather Preparedness webinar.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: NERC issued the 2014 Winter Weather Preparedness Webinar announcement to industry on September 2, 2014. The webinar is scheduled for Thursday, October 2, 2014 from 2:00-3:00 p.m. EDT. During this year’s webinar, information will be shared from the 2014 Polar Vortex Report, preliminary 2014-15 North America Winter Outlook, and the survey to assess the effectiveness of severe winter weather preparation materials.
Presentation: Yes / Duration: 15 minutes / Background Items: None
Notes:

f.Strategic Plan Review – Vice Chair Case

Action: None / Objective: Review and discuss the OC’s Strategic Plan
OC Strategic Plan Goal: None, this is an administrative item.
Action Item Number: None
Background: The Board of Trustees approved the OC’s 2014-2018 Strategic Plan in November 2013. The OC may conduct break-out sessions to identify other areas where the committee should be focusing.
Presentation: Yes / Duration: 20 minutes / Background Items: OC Strategic Plan
Notes:

g.Lessons Learned – RAS Misoperation–Ralph Barone, BC Hydro

Action: None / Objective: Review and discuss a recent event that occurred in BCHA causing a separation from the Alberta system.
OC Strategic Plan Goal: Utilize the results of the Event Analysis Process to improve the reliable operation of the BES.
Action Item Number: None
Background: Ralph Barone is currently a Specialist Engineer within the Protection and Control Planning department of BC Hydro, where he specifies new or revised protective relaying systems, as well as producing relay settings for them. He has 26 years of experience in protective relaying, telecommunications and HVDC systems, both in operations/maintenance and design/analysis. Mr. Barone has a Bachelor’s degree in Electrical Engineering from the University of British Columbia and is a registered professional engineer in British Columbia, as well as a Senior Member of the IEEE. He is currently the BC Hydro representative on the WECC RAS Reliability Subcommittee.
Presentation: Yes / Duration: 20 minutes / Background Items: None
Notes:

h.Functional Model Demand Response Advisory Team (FMDRAT)* – Jerry Rust, Vice Chair – Functional Model Working Group

Action: Endorse / Objective: Review and discuss the FMDRAT’s findings and recommendations regarding the impacts of demand response programs on operations planning, which includes monitoring Demand Response (DR) development and identification of if and when DR technology and penetration levels creates a unique impact on BES reliability.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: On April 9, 2014, the Standards Committee approved a report prepared by the Functional Model Working Group Demand Response Advisory Team. The report assessed the need to include Demand Response (DR) functions and associated functional entities either in the NERC Functional Model or as an Applicable Entity in certain NERC Standards.
Presentation: No / Duration: 15 minutes / Background Items:
  1. Letter dated July 25, 2014 from Standards Committee to OC Chair Castle
  2. A Report on Assessing the Need for Introducing Demand Response Functions and Entities to the NERC Reliability Functional Model

Notes:

i.GridEx III* – Matt Blizard, Director – Critical Infrastructure

Action: None / Objective: Review and discuss the goals and objectives of GridEx III, which is scheduled for November 18-19, 2015.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: GridEx II provided an opportunity for Reliability Coordinators to organize participation and planning in their territory that benefited the overall exercise. As part of its mission to ensure the reliability of the bulk power system in North America, NERC plans to encourage even greater participation in GridEx III in 2015 by reaching out to more entities, large or small. To help encourageincreased participation, NERC needs to ensure that GridEx is planned and executedina manner that is efficient and cost-effective for NERC as well as participating entities. The GridEx II Distributed Play report identified a number of recommendationsto consider when planning future exercises. One of them is examined here – the extent to which the 2015 GridEx III security exercise could be de-centralized by having reliability coordinators (RCs) or other local coordinating entities guide the planning and exercise control activities with other entities at the local level, while maintaining consistency and supporting the overall objectives of GridEx at the North American level.
Presentation: Yes / Duration: 15 minutes / Background Items: Planning for Grid Security Exercise 2015 (GridEx III) – A Reliability Coordinator-Centric Approach
Notes:

j.AC Substation Equipment Task Force– John Moura, Director of Reliability Assessment

Action: None / Objective: Review and discuss the status of ACSETF activities. Assign OC reviewers to review and comment on the draft ACSETF report.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: The OC endorsed the scope of the ACSETF at its September 2013 meeting. The ACSETF was formed to analyze one of NERC’s top priority reliability issues – AC Substation Equipment Failures. As reported in the NERC 2013 State of Reliability Report, AC substation equipment failures have been observed to be a significant contributor to disturbance events, and have a positive correlation to increased transmission severity for outages associated with them. The task force is developing a report for industry which summarizes trends in disturbance events resulting from AC substation equipment failure, identification of root and contributing causes, and recommendations for actions. The ACSETF will present its report for endorsement at the December 2014 Planning Committee and Operating Committee meetings.
The report is in progress and expected to be available for OC review by September 25, 2014. Report approval is due by OC and PC at December meetings.
Presentation: Yes / Duration: 15 minutes / Background Items: ACSETF documents, including its scope, are posted at 30T30TACSETF30T30T.
Notes:

k.Department of Energy Research and Development Program Status Report –Dr. Emmanuel Taylor, U.S. Department of Energy

Action: None / Objective: Review and discuss the DOE’s goals and objectives of its Research and Development program regarding operating reliability.
OC Strategic Plan Goal: To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None.
Background: Dr. Taylor, Department of Energy, will provide an overview of DOE’s research and development efforts.
Presentation: Yes / Duration: 20 minutes / Background Items: None
Notes:

l.Balancing Authority ACE Limit (BAAL) Field Trial –Glenn Stephens and Tom Siegrist

Action: None / Objective: Review and discussthe draft Balancing Authority ACE Limit Field Trial report.
OC Strategic Plan Goal: The OC will be proactive in leading the focus on the prioritization of Reliability Standards development andimprovement.
Action Item Number: 1212-21
Background: Mr. Stephens and Mr. Siegrist are Chair and Vice Chair, respectively, on the Project 2010-14.1 (Phase 1 of Balancing Authority Reliability-based Controls: Reserves) Standard Drafting Team. At the OC’s June 2014 meeting the BARC SDT provided an overview of the BAAL field trial. The draft report will be presented for OC for its review and dsicussion.
At its December 2011 meeting, the OC approved a request of the Balancing Authority Reliabilty-based Controls standard drafting team to continue the BAAL field trial until after the final ballot of the proposed BAL-001-1 standard. The drafting team will present an overview of the field trial.
Presentation: Yes / Duration: 15 minutes / Background Items: Balancing Authority ACE Limit (BAAL) Preliminary Field Trial Report
Notes:

m.Reliability Standards Projects –Steve Crutchfield, Standards Developer and Bob Cummings, Director – Reliability Initiatives and System Analysis

Action: None / Objective: Review and discuss the status of several reliability standards projects.
OC Strategic Plan Goal: The OC will be proactive in leading the focus on the prioritization of Reliability Standards development and improvement.
Action Item Number: None
Background:The OC will be presented information for discussion related to the following active reliability standards projects:
  1. Project 2007-11 (Disturbance Monitoring) – 30T30TProject 2007-11 Background Information30T30T
  2. Project 2007-06 (System Protection Coordination) – 30T30TProject 2007-06 Background Information30T
  3. Project 2008-02 (Undervoltage and Underfrequency Load Shedding) – 30T30TProject 2008-02 Background Information30T
  4. Project 2010-05.2 (Special Protection Systems (Phase 2) – 30T30TProject 2010-05.2 Background Information30T
  5. Project 2010-13.3 (Phase 3 of Relay Loadability: Stable Power Swings) – 30T30TProject 2010-13.3 Background Information30T

Presentation: Yes / Duration: 20 minutes / Background Items: See Project web pages.
Notes:

n.Project 2014-03 (Revisions to TOP/IRO Reliability Standards) – David Souder

Action: None / Objective: Review and discuss proposed revisions to TOP and IRO Reliability Standards.
OC Strategic Plan Goal: The OC will be proactive in leading the focus on the prioritization of Reliability Standards development and improvement.
Action Item Number: None
Background: The primary goal of Project 2014-03 (Revisions to TOP/IRO Reliability Standards) is to address the concerns identified in the FERC NOPR proposing to remand IRO standards developed in Project 2006-06 (Reliability Coordination) and TOP standards developed in Project 2007-03 (Real-time Operations). On April 16, 2013, NERC submitted two petitions requesting Commission approval of TOP and IRO standards. One petitionaddresses three revised TOP Reliability Standards: TOP-001-2 (Transmission Operations), TOP-002-3 (Operations Planning), TOP-003-2 (Operational Reliability Data), and one Protection Systems (PRC) Reliability Standard, PRC-001-2 (System Protection Coordination) (collectively, the “TOP Standards”) to replace the eight currently-effective TOP standards. The second petition addresses four revised IRO Reliability Standards: IRO-001-3 (Responsibilities and Authorities), IRO-002-3 (Analysis Tools), IRO-005-4 (Current Day Operations), and IRO-014-2 (Coordination Among Reliability Coordinators) (collectively, the “IRO Standards”) to replace six currently-effective IRO standards.
On November 21, 2013, the Commission issued a NOPR proposing to remand these TOP and IRO Standards, stating that NERC “has removed critical reliability aspects that are included in the currently-effective standards without adequately addressing these aspects in the proposed standards.” For example, the Commission cites the fact that the proposed TOP Standards do not require Transmission Operators to plan and operate within all System Operating Limits (“SOLs”), which is a requirement in the currently effective standards.
30T30TProject 2014-03 Background Information30T30T
Presentation: Yes / Duration: 20 minutes / Background Items: None
Notes:

o.Long-Term Reliability Assessment – Elliott Nethercutt, Senior Technical Analyst

Action: None / Objective: Review and discuss the 2014 LTRA’s proposed Long-Term Reliability Challenges and Emerging Issues.
OC Strategic Plan Goal:To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: 41T41TLong-Term Reliability Assessments41T41Tannually assess the adequacy of the Bulk Electric System in the United States and Canada over a 10-year period. The reports project electricity supply and demand, evaluate transmission system adequacy, and discuss key issues and trends that could affect reliability.
Presentation: Yes / Duration: 15 minutes / Background Items: None
Notes:

p.Integration of Variable Generation Task Force–John Moura, Director of Reliability Assessment

Action: None / Objective: Review and discuss the status of IVGTF activities. Assign OC reviewers to review and comment on the draft of the final IVGTF report.
OC Strategic Plan Goal:To investigate emergent issues that impact the reliability of the BES.
Action Item Number: None
Background: 41T41TThe IVGTF was formed in 2008 and tasked to prepare 1) a concepts document that includes the philosophical and technical considerations for integrating variable resources into the Interconnection and 2) specific recommendations for practices and requirements, including reliability standards, that cover the planning, operations planning, and real-time operating timeframes.
41T41TSince 2008, the IVGTF has developed and published several reports addressing a variety of operational and planning issues related to the integration of variable generation into the bulk power system. Those reports are available at 41T30T41T30TIVGTF30T41T30T41T.
Presentation: Yes / Duration: 10 minutes / Background Items: None
Notes:

0T0T*Background materials included.

Agenda – Operating Committee Meeting – September 16-17, 20141