Duke Energy Carolinas Transition to AFC Methodology Stakeholder Meeting Independent Entity Services Thursday, March 17, 2011 2:00 to 3:00 p.m. EDT Agenda What is AFC Methodology? Flowgate Method vs. Contract Path Introduction to Duke’s Process Business Practice Changes Transition Expectations Analytical Tools Wrap-up 2 What is AFC Methodology? ATC Path Methodology (prior to April 1) ATC - Available Transfer Capability Control Area to Control Area (Path) capability calculation Transfers studied for each Path and a limit is determined for that Path - Total Transfer Capability (TTC) Key Aspect: assumes all power from one Control Area to another flows on that path 3 What is AFC Methodology? AFC Methodology (post April 1) Available Flowgate Capability (AFC) Flowgates are pre-determined points on the system where problems have been seen or are expected to occur Control Area to Control Area transfers studied against a pre-determined set of transmission limiters – flowgates AFC values are compiled into an Effective ATC for path postings Key Aspect: AFC based on how power actually flows 4 Introduction to Duke’s Process Increased Coordination with Neighbors Load Forecasts & Outages TSRs & Tags Flowgates & AFC Overrides Two-Part Process Model Builder ATC Calculator 5 Introduction to Duke’s Process Model Builder Builds model snapshots Calculates base-flows & shift factors ATC Calculator Calculates posted ATC (Effective ATC) as the minimum of: Available Contract Path capability Available flowgate capability Utilizes base-flows & shift factors from Model Builder 6 Business Practice Changes Business Practice 1 - Changed Who to Call > TTC/ATC Reference to ATC/TTC or TTC/ATC change to ATC Reference to Total Transfer Capability (TTC) change to Total Flowgate Capability (TFC) ATC Information Page Reference to ATC/TTC or TTC/ATC change to ATC Business Practice 2.E - Changed NAESB Business Practice Standards Incorporated as filed in Duke Energy Carolinas OATT Section 4.2; effective April 1, 2011 Business Practice 3.A.v - Changed ATC changed to ATCID - hyperlink to OASIS Homepage Posting; April 1, 2011 Business Practice 3.E - Eliminated NAESB BP 001-8.2 Queue Flooding Business Practice 7.C.i (a) – Changed (TTC= 0 Contract Path = 0) 7 Transition Expectations Scheduled Transition Date & Hour March 29, 2011@ (Time-TBD) Dead-band on Processing Approximate duration (TBD) Queued Requests during Transition Processed manually on OASIS Submitted Tags Processed manually Assessment of Open Requests Accepted or Counteroffered Requests Honored Rebids will be evaluated using AFC Methodology Request in the evaluation phase Queued through Study will be evaluated using AFC Methodology 8 Analytical Tools OASIS Development System webOASIS Demo Node Login ( http://demo.oatioasis.com/ ) Offerings Accessed on OASIS by clicking Effective ATC Available Contract Path capability vs. Available flowgate capability No change to your analysis Outages Accessed on OASIS from the Security Template by clicking No change to your analysis 9 Wrap-up Proposed Next Quarterly Stakeholder Meeting Friday, May 13, 2011 – 2 p.m. to 3 p.m. ET Customer Suggested Topics? This is the forum for discussing emergent topics Questions and Comments 10