Meeting Minutes Operating Reliability Subcommittee February 12–13, 2013 Florida Power and Light 4200 W. Flagler Street Miami, FL The Operating Reliability Subcommittee (ORS) met on February 12–13, 2013 in Miami, Florida. The meeting agenda and attendance list are affixed as Exhibits A and B, respectively. ORS Chair Colleen Frosch convened the meeting at 8:00 a.m. EST. Secretary Larry Kezele announced that a quorum was present, read the Notice of Public Meeting and referred the committee to the NERC Antitrust Compliance Guidelines. Minutes The subcommittee approved the minutes of the November 13, 2012 ORS meeting. ORS Executive Committee Chair Frosch noted that with the termination of the ICTE reliability coordinator following the transition of the Entergy balancing authority into the MISO reliability area, Don Shipley, former ICTE Reliability Coordinator (RC) is no longer able to serve on the subcommittee’s Executive Committee. Mike Oatts moved to elect Robert Rhodes to the Executive Committee. The subcommittee approved the motion. The members of the Executive Committee are Chair Frosch, Vice Chair Wise, Tony Jankowski, Mike Oatts, and Robert Rhodes. Future Meetings The future subcommittee meetings include:

1. May 7, 2013 (full day) and May 8, 2013 (half day) in Kansas City, MO (hosted by KCPL/SPP)

2. September 10, 2013 (full day) and September 11, 2013 (half day) in St. Paul, MN (hosted by MISO)

3. November 12, 2013 (full day) and November 13, 2013 (half day) in Taylor, TX (hosted by ERCOT)

4. February 11, 2014 (full day) and February 12, 2014 (half day) in Tampa, FL (hosted by FRCC)

Balancing Authority-to-Reliability Coordinator Mapping The secretary reviewed the balancing authority-to-reliability coordinator mapping document. He noted that several balancing authorities within SPP are planning on transitioning to the MISO reliability footprint on June 1, 2013. In addition, the East Kentucky Power Cooperative balancing authority, currently in the TVA reliability area, plans to transition to the PJM reliability area on June 1, 2013. EKPC intends to join the PJM balancing area; hence, it will be de-certified as a balancing area following the transition.

Operating Reliability Subcommittee Minutes – February 12-13, 2013 2

Department of Energy (DOE) Request for 2011 IDC Data Jagjit Singh, Open Access Technology International, Inc., informed the subcommittee that the Department of Energy contracted OATI to conduct a transmission study for which access to aggregated IDC data (e.g., e-Tag data) for the year 2011 was needed (Presentation 1). To facilitate the subcommittee’s discussion Joe Eto (Lawrence Berkeley National Laboratory) stated that DOE is working to finalize its report titled Assessment of Historical Transmission Congestion in the Eastern Interconnection. Dr. Singh noted that DOE requested the same data for 2011, as reflected in IDC CO-357, as was requested for 2010, as reflected in IDC CO-330. The subcommittee extensively discussed concerns related to data ownership and confidentiality, the purpose of the DOE study, and the transition of the IDC from NERC. Tony Jankowski moved to approve IDC CO-357 for development. The subcommittee approved the motion. Summary of Post Seasonal Assessments Jessica Bian, Director of Performance Analysis, and Matthew Varghese, Senior Performance Analysis Engineer, reviewed a draft of the Post Seasonal Reliability Assessment Summary (Presentation 2), which will become a chapter in NERC’s 2013 State of Reliability Report. The subcommittee engaged Ms. Bian and Mr. Varghese in a discussion of the definition of the terms used in the assessment. Following its initial review, the subcommittee will be provided an opportunity to review a final draft of the assessment in late March 2013. Geomagnetic Disturbance Task Force (Phase 2) Status Report Frank Koza, co-chair of the GMD Task Force Phase 2, summarized the task force project plan (Exhibit C). He reported that the North American Transmission Forum is conducting a survey of its members related to GMD operational procedures, GMD operational assessments and GMD detection devices. Mr. Koza noted that GMD modeling will be a much more difficult issue to accomplish. NERC Reliability Tools Transition Frank Koza stated that the Eastern Interconnection Reliability Coordinator Association is working to finalize the Association agreement and a master level services agreement with OATI for the provision of IDC services. The Association continues to address issues related to joint and severable liability, payment default, and hold harmless provisions. Reliability Plans

1. MISO Reliability Plan – Mike McMullen provided an overview of the revised Midwest Independent Transmission System Operator Regional Transmission Organization Reliability Plan, dated June 1, 2013 (Presentation 3). The revised plan reflects Entergy (EES) balancing area changing from a balancing authority (BA) to local balancing authority (LBA) and being incorporated into the MISO BA Area (currently scheduled for December 19, 2013). Also included in this revision are multiple BAs that are expected to join the MISO RC area on June 1, 2013 and subsequently the MISO BA area on December 19, 2013. The BAs included are City of Conway (CWAY), Brazos Electric Corporation (BRAZ), CLECO, Lafayette Utility System (LAFA), Louisiana Energy and Power Authority (LEPA), Louisiana Generating (LAGN), Plum Point Energy Associates (PLUM), City of Osceola (OMLP), City of West Memphis (WMU), City of North Little Rock (NLR), City of Benton (BUBA), Union Power Partners (PUPP), City of Ruston (DERS), and South Mississippi Electric (SME). The listing of BAs above is based on BAs defined on January 1, 2013. The BAs are also evaluating the BA boundaries and may determine to change their BA

Operating Reliability Subcommittee Minutes – February 12-13, 2013 3

boundaries. This version becomes effective with the BAs listed, pending regulatory approvals, Regional Entity/NERC certifications, moving into MISO RC Area, and subsequently into the MISO BA area. Mr. McMullen noted that several of the BAs listed above are planning on fully dissolving their BA areas with their integration into MISO BA area and their facilities will reside within another LBA. Final BA/LBA configuration will be documented in the MISO BA and LBAs NERC Coordinated Functional Registration (CFR) matrix and coordinated with the Regional Entities and NERC. The subcommittee debated its authority to endorse or approve the revised MISO reliability plan, given that Paragraph 1 of the Guideline for Approving Regional and Reliability Coordinator Reliability Plans states:

“Regional Reliability Organization Review and Approval of RRP or RCP. The Regional Reliability Organization (RRO) shall review and approve its Regional Reliability Plan before it is submitted to NERC for review and approval. The Reliability Coordinator shall submit its Reliability Plan to all Regional Reliability Organizations within which it operates for their respective review and approval before such plan is submitted to NERC for review and approval.”

Mr. McMullen reported that the SERC Operating Committee has not yet endorsed the revised MISO reliability plan and is not expected to do so until March 12, 2013. In addition, he reported that since some of the BA transitions may change from what is currently envisioned, MISO may provide another revised reliability plan to the ORS at its May 2013 meeting. Following its discussion, Tony Jankowski moved to empower the ORS Executive Committee to endorse the MISO and/or PJM reliability plans. The subcommittee approved the motion.

2. PJM Reliability Plan – Chris Pilong provided an overview of Revision 9 of the PJM RTO Reliability Plan, effective June 1, 2013. The revised plan reflects 1) the addition of East Kentucky Power Cooperative to its balancing authority area and 2) an updated reliability area map. The discussion above related to the revised MISO reliability plan identifies the action taken by the subcommittee with regard to the revised PJM reliability plan.

Following its discussion of the revised MISO and PJM reliability plans, Chair Frosch scheduled an ORS Executive Committee conference call on March 13, 2013 at 10 a.m. EST. NERCnet Project Marvin Santerfeit, Director of Information Technology and Services, provided an overview of the NERCnet network and a summary of a project that may lead to replacing this network (Presentation 4). With regard to the current NERCnet network, Mr. Santerfeit reported that none of the Option 1 sites have been converted to MPLS. Only 14 of 20 Option 2 sites have converted to MPLS. NERC would like to complete the conversion of all Option 2 sites to MPLS before addressing the Option 1 sites. He noted that some ISN nodes do not have Option 2 installed. Mr. Santerfeit also briefed the ORS on the current status of the Verizon contract. The NERCnet contract with Verizon expires in the spring of 2013 and without any action taken would revert to a month-to-month contract. NERC is investigating the possibility of hiring a third party billing agent to help analyze the monthly Verizon bills. In addition, NERC will be issuing a Request for Proposal to identify other potential

Operating Reliability Subcommittee Minutes – February 12-13, 2013 4

NERCnet vendors and has contracted with Advocate Consulting to 1) create and manage the RFP process, 2) review and analyze vendor responses, and 3) make a recommendation and assist with vendor negotiation. Mr. Santerfeit encouraged the support of the Data Exchange Working Group and the Telecommunications Working Group in this project. Net Actual and Net Scheduled Interchange Terry Bilke provided a summary of a project to share net scheduled and net actual interchange to improve system operations resiliency (Presentation 5). Occurrences of missed interchange schedules or errors in tie-line data still exist where the underlying cause is not immediately discernible. Similarly EMS problems occasionally occur and a balancing authority (BA) operates without a valid Area Control Error (ACE) or has no ACE visibility. This proposal is to have BAs share ICCP data with one RC in their respective Interconnection. The RC would develop an error-checking matrix that could be reviewed if frequency was significantly off-schedule and the underlying cause is not known. The matrix could also be used if a BA's EMS were down as it would provide an alternate ACE calculation for the impacted RC and BA. Mr. Bilke noted that the Resources Subcommittee supports further consideration of this proposals and that the RS intends to recommend that the Operating Committee task the RS and ORS to work together to have BAs share ICCP net interchange actual (by neighbor) and net interchange scheduled (total) data with a designated RC in their respective Interconnection and that the designated RC develop an error checking matrix. Vice Chair Wise suggested the perhaps this proposal be conducted as a voluntary field trial in one of the Interconnections. Chair Frosch summarized the subcommittee’s discussion and stated that the ORS would support the RS’s recommendation to the OC. IDC Working Group Status Report Larry Kezele introduced Raja Thappetaobula, newly elected vice chair of the IDC working group. Mr. Thappetaobula provided an overview of recent working group activities (Presentation 6). He highlighted the working group’s analysis of the location of the IDC model swing bus. This comprehensive analysis demonstrated that the location of the IDC model swing bus does not impact IDC TDF of GLDF calculations. Therefore, the working group does not propose to change the location of the IDC model swing bus. Mr. Thappetaobula also noted that the working group provided comments on a draft revision to the e-Tag specification. The Joint Electric Scheduling Subcommittee proposed to change the approval process of reliability limit profiles. The proposed modification would be in conflict with Requirement 1.1 of INT-005-3. Telecommunications Working Group (TWG) Status Report Clifton Johnson, chair of the TWG, briefed the subcommittee on the following:

1. NERCnet – NERCnet has been very stable for the last several months, with no significant outages. The last significant outage occurred in March 2012 and impacted NYISO and PJM. The TWG is working with NERC staff to compile network statistics for review by the ORS, the Data Exchange Working Group (DEWG) and the TWG.

Operating Reliability Subcommittee Minutes – February 12-13, 2013 5

2. NERCnet Request for Proposal – As noted above, the TWG will be reviewing NERC’s draft RFP for a replacement data transport network.

3. PMU Data Transfer – Chair Johnson reported that a test was recently conducted between NYISO and MISO of Phasor Measurement Unit data over NERCnet. The test was determined to be very successful. The TWG and the DEWG will jointly establish criteria that would govern such transfers, given that the transfer of ICCP data would likely take precedent over the transfer of PMU data.

Data Exchange Working Group Status Report Keith Mitchell, chair of the DEWG, informed the subcommittee of recent working group activities (Presentation 7). He highlighted that the DEWG is working with NERC IT on several fronts: 1) formalization of a problem reporting and escalation procedure that would keep RC staff informed during NERCnet outages and 2) supporting NERCnet request for proposal process. Chair Mitchell also highlighted the lessons learned for the PMU data transfer test between NYISO and MISO. The test, conducted in two phases, was closely monitored to assure that there were no negative impacts to the transfer of operational ICCP data traffic between the two entities. Others on NERCnet were also monitoring the test. While the DEWG supports using NERCnet for transferring PMU data, the TWG has not met to consider the test results. Chair Mitchell reviewed proposed revisions to its scope. In response to subcommittee comments, Chair Mitchell will ask the DEWG to consider further modifications to its scope. NERC Interconnections 2012 Primary/Secondary Frequency Control Performance and Trends Carlos Martinez, Consortium for Electric Reliability Technology Solutions, discussed NERC Interconnections 2012 frequency performance, frequency event characteristics, and 2008-2012 trends (Presentation 8). Some of the trends highlighted by Mr. Martinez were:

1. 2008-2012 frequency error (yearly median) for each Interconnection

2. 2008-2012 frequency error per hour for each Interconnection

3. 2008-2012 hourly epsilon1 (yearly median) for each Interconnection

4. 2008-2012 hourly epsilon1 hourly median for each Interconnection

5. 2008-2012 events frequency C monthly median for the Eastern, Western and ERCOT Interconnections

6. 2008-2012 events delta frequency (A-C) monthly median for the Eastern, Western and ERCOT Interconnections

7. 2008-2012 events MW loss monthly median for the Eastern, Western and ERCOT Interconnections

8. 2008-2012 events frequency response monthly median for the Eastern, Western and ERCOT Interconnections

9. 2008-2012 events frequency rate from A to 8 seconds monthly median for the Eastern, Western and ERCOT Interconnections

10. 2008-2012 events violation duration monthly median for the Eastern, Western and ERCOT Interconnections

Operating Reliability Subcommittee Minutes – February 12-13, 2013 6

NERC Reliability Coordinator (RC) Hotline and SAFNR Version 2 Sam Chanoski, Manager of Bulk Power System Awareness, informed the subcommittee that NERC is internally reviewing replacing the existing NERC RC Hotline, which is currently housed in the Princeton area (Presentation 9). The replacement Hotline would function almost identically to the current one, however, some additional functionality is being considered, such as persistent calling (in the event the RC does not answer on the first attempt) and email notification to a non-responding RC informing them that a call is in progress. The subcommittee requested consideration of multiple call groups such that WECC, ERCOT and HQT are not called for Eastern Interconnection time error notifications and of call recording. Mr. Chanoski also addressed the current state of the SAFNR Version 2 project. He primarily focused on the need to institute a process and procedure to annually update the SAFNR Version 2 system model. In addition, he identified several enhancements currently being considered by NERC (e.g., identifying multiple pre-defined views and contour options and overlaying weather radar SAFNR displays). Adjourn and Reconvene The subcommittee adjourned at 5:15 p.m. EST and reconvened the following morning at 8:05 a.m. Southwest Outage Chair Frosch reviewed the Operating Committee’s assignment to the ORS related to the September 2011 Southwest outage. In roundtable, each of the RCs discussed the questions raised by the OC. The RCs highlighted the number of transmission operators that are running real time contingency analysis in their respective reliability areas, whether the RC posts its RTCA results, need to focus on next-day studies, and processes and procedures in place in the event that an entity’s RTCA is not functioning as expected. With regard to the Real-time Tools Best Practices Task Force Final Report, the subcommittee, in general, was not supportive of expending the resources to re-do the report. The subcommittee also recognized the ongoing work of the Standards Project 2009-02 (Real-time Reliability Monitoring and Analysis Capabilities). Chair Frosch requested all subcommittee members to develop responses to the OC assignment and to provide those responses to Vice Chair Wise and herself. Chair Frosch and Vice Chair Wise will develop a summary of the survey responses. NERC ORS IROL Survey Request Mike Cassiadoro stated that the WECC RC issued an Interconnection Reliability Operating Limit (IROL) Survey on January 21, 2013 to all RCs. To date WECC RC has received four or five responses. He would like those RCs that have not yet responded to the IROL survey to do so by the end of February 2013. WECC RC will provide the ORS an aggregated summary of the responses received at its May 2013 meeting. Energy Emergency Alert Level 3 Reports Chair Frosch stated that there were no Energy Emergency Alert Level 3 events since the last subcommittee meeting. Operations Review Reliability coordinator members of the subcommittee discussed operating events within their reliability area that occurred during the winter of 2012/2013 and expectations for system operations for the

Operating Reliability Subcommittee Minutes – February 12-13, 2013 7

summer 2013. Most reliability coordinators stated that there was nothing significant to report (i.e., no new seasonal peaks established, no significant storm activity, and no unusual operating events). IESO provided an operational summary of the performance of the phase angle regulators on the Michigan-Ontario interface. In some instances 600 MW of Lake Erie loop flow was reduced, which in turn resulted in a significant reduction in the number of TLRs called by IESO. NYISO noted that gas coordination issues are becoming more of an operational issue. PJM and NYISO implemented market-to-market protocols in mid-January 2013. ERCOT, SPP and VACAR-S noted that drought conditions continue to linger in their respective reliability areas. Use of Proxy Flowgates Robert Rhodes, SPP RC, and Mike McMullen, MISO RC, reviewed the use of proxy flowgates in their respective reliability areas during TLR since the last subcommittee meeting (Presentation 10 and Presentation 11). Frequency Monitor Reports and Frequency Excursions Vice Chair Wise reported that there no reportable frequency events in the Eastern Interconnection since the subcommittee’s November 2012 meeting. However, he identified two 20-minute low frequency events that occurred; one during a time error correction and the second event recovered shortly after the 20-minute time period. Mike Cassiadoro, WECC RC, did not have any significant frequency excursions to report and the ERCOT and HQT RCs did not provide a report. Eastern Interconnection Time Monitor Transition Don Reichenbach informed the subcommittee that responsibility for EI time monitor transitioned from NBSO RC to VACAR-S RC on February 1, 2013, in accordance with the Time Monitor Reference Document. The subcommittee noted that the Time Monitor Reference Document needs to be revised given that the ICTE RC no longer exists. GMD Task Force – Review of Space Weather Prediction Center Product Dissemination Mike McMullen reviewed the current procedures used to make SWPC GMD warnings and alerts available to MISO (Presentation 12). MISO in turn disseminates the notifications of possible GMDs to reliability coordinators, balancing authorities and transmission operators in the Eastern and ERCOT Interconnections. SWPC also provides information to the WECC RC. The GMD Task Force believes that this process needs to be streamlined. Furthermore, MISO is concerned with the compliance ramifications of receiving and disseminating GMD warnings and alerts. The SWPC provides a subscription service that is available to any entity. However, Mr. McMullen noted that perhaps the SWPC could disseminate its warnings and alerts directly to reliability entities by the use of existing reliability tools such as the Reliability Coordinator Information System or the RC Hotline. In addition, he noted that perhaps the responsibility for receiving and disseminating GMD warnings and alerts could be rotated among the Eastern Interconnection RCs as is the responsibility for time monitoring. Mr. McMullen will develop a draft GMD guideline for discussion at the subcommittee’s next meeting.

Operating Reliability Subcommittee Minutes – February 12-13, 2013 8

Next Meeting The next meeting of the Operating Reliability Subcommittee will be on May 7–8, 2013 in Kansas City, Missouri. Adjourn There being no further business before the Operating Reliability Subcommittee, Vice Chair Wise adjourned the meeting on Wednesday, February 13, 2013 at 10:20 a.m. EST.

Larry Kezele Larry Kezele Secretary

Agenda Operating Reliability Subcommittee February 12, 2013 | 8:00 a.m. – 5:00 p.m. EST February 13, 2013 | 8:00 a.m. – 12:00 p.m. EST Florida Power and Light 4200 W. Flagler Street Miami, Florida (305) 442-4466 Dial-In Information: 1-866-740-1260 | Access Code: 5247004 | Security Code: 097745 Introductions and Chair’s Remarks NERC Antitrust Compliance Guidelines and Public Announcement Agenda

1. Administrative Matters

a. Arrangements – Eric Senkowicz

b. Announcement of Quorum – Secretary

i. Operating Reliability Subcommittee (ORS) Roster*

c. Parliamentary Procedures* – Secretary

d. Balancing Authority-to-Reliability Coordinator Mapping* – Secretary

e. ORS Executive Committee – Chair Frosch

f. Future Meetings – Secretary

i. May 7–8, 2013 – Kansas City, KS (hosted by KCPL/SPP)

ii. September 10–11, 2013 – Denver, CO or Vancouver, WA (hosted by WECC RC)

iii. November 12–13, 2013 – Atlanta, GA (hosted by NERC)

iv. Schedule future meetings

2. Meeting Minutes* – Approve – Chair Frosch

a. Minutes of November 13, 2012 ORS Meeting

Agenda – Operating Reliability Subcommittee 2

3. Reliability Plans* – Chair Frosch

a. Periodic Review of Reliability Plans

b. New or Revised Reliability Plans for Endorsement

4. Operations Review* – All

a. Operations Review

b. Use of Proxy Flowgates

5. Interconnection Frequency Monitoring*

a. Frequency Monitor Reports and Frequency Excursions

i. Eastern Interconnection – Vice Chair Wise

ii. ERCOT – Chair Frosch

iii. WECC – Mike Cassiadoro

iv. HQT – Richard Mailhot

6. Eastern Interconnection Time Monitor Transition – Don Reichenbach

7. NERC Interconnections 2012 Primary/Secondary Frequency Control Performance and Trends – Carlos Martinez

8. Summary of Post Seasonal Assessments* – Matthew Varghese

9. Geomagnetic Disturbance Task Force (Phase 2) Status Report – Frank Koza

10. NERC Reliability Tools Transition – Frank Koza

11. NERCnet Project – Marvin Santerfeit

12. NERC Reliability Coordinator (RC) Hotline – Sam Chanoski

13. Situation Awareness FERC, NERC, and Regional Entities, Version 2 – Sam Chanoski

a. SAFNR Version 2 Status Report

b. Tentative Plan for SAFNR Version 2 Model Updates

Objective: Attached is the Regional Narrative Appendix of the Post Seasonal Assessment. The complete document will be sent to the ORS for review prior to the meeting.

Objective: NERC is internally reviewing replacing the existing NERC RC Hotline, which is currently housed in the Princeton area. The replacement Hotline would function almost identically to the current one, however, there are some additional features available.

Objective: Review of load-generation control performance trends and impact on the future Frequency Response Standard.

Agenda – Operating Reliability Subcommittee 3

14. Net Actual and Net Scheduled Interchange* – Larry Kezele

15. Department of Energy Request for 2011 IDC Data – Jagjit Singh

a. IDC CO-357 (Authorization for OATI Use of IDC Data for DOE Studies (2011))*

b. Historical Schedule Flow Analysis for NEEM Pipes*

16. Southwest Outage* – Chair Frosch

a. Operating Committee Assignment to the ORS*

b. WECC’s Recommended NERC Activities*

Background: At its December 2012 meeting, the OC engaged in a discussion with WECC representatives regarding the Southwest outage report recommendations. Although the OC did not believe that issues raised by WECC were candidates for new, or modifications to existing reliability standards, the OC thought it prudent to solicit advice from the ORS on a number of issues as outlined below. This advice will help provide a more global perspective on current practices which may enable the OC to provide more comprehensive feedback to WECC.

OC Assignment to the ORS: The attachment to this agenda item discusses three charges from the OC to the ORS. The OC expects a preliminary report on this assignment at its March 2013 meeting, with a final report provided at its June 2013 meeting.

Objective: At its November 2011 meeting, the subcommittee discussed the implementation of IDC CO-330 and the provision of IDC data to the Department of Energy. The IDC Working Group was informed by the IDC vendor at its October 2012 meeting that the DOE recently requested IDC data through 2011. The ORS consider DOE’s request at its November 2012 meeting and expressed some reservations in providing the requested data.

Objective: The Resources Subcommittee (RS) supports a project to share net scheduled and net actual interchange to improve system operations resiliency. Occurrences of missed interchange schedules or errors in tie-line data still exist where the underlying cause is not immediately discernible. Similarly EMS problems occasionally occur and a balancing authority (BA) operates without a valid Area Control Error (ACE) or has no ACE visibility.

This proposal is to have BAs share ICCP data with one RC in their respective Interconnection. The RC would develop an error-checking matrix that could be reviewed if frequency was significantly off-schedule and the underlying cause is not known. The matrix could also be used if a BA's EMS were down as it would provide an alternate ACE calculation for the impacted RC and BA.

The RS recommendation is for Operating Committee (OC) endorsement for the RS and ORS to work together to have BAs share ICCP net interchange actual (by neighbor) and net interchange scheduled (total) data with a designated RC in their respective Interconnection and that the designated RC develop an error checking matrix.

Agenda – Operating Reliability Subcommittee 4

17. NERC ORS IROL Survey Request* – Mike Cassiadoro

18. Energy Emergency Alert Level 3 Reports – Chair Frosch

19. IDC Working Group Status Report – Raja Thappetaobula

20. Data Exchange Working Group Status Report – Keith Mitchell

a. Approve – Revised DEWG Scope*

b. Information – Test of PMU Data Transfer Using NERCnet

21. Telecommunications Working Group Status Report – Clifton Johnson

*Background materials included.

Objective: The ORS reviews recent Energy Emergency Alert (EEA) Level 3 reports at each of its meetings. There have not been any EEA Level 3 events since the subcommittee’s last meeting.

Objective: WECC RC issued an Interconnection Reliability Operating Limit survey to the ORS. Mr. Cassiadoro will review the survey and address any questions the subcommittee may have.

Exhibit B

Operating Reliability Subcommittee

Meeting Attendance February 12–13, 2013

Miami, Florida

ORS Members

Chairman (ERCOT RC) Colleen Frosch

Vice Chairman (TVA RC) Joel Wise

NCEMC Richard McCall

NYISO RC Jim Castle

Southeastern RC Mike Oatts

IESO RC Gary McLellan (Proxy for Leonard Kula)

PJM RC Chris Pilong

VACAR-S RC Don Reichenbach

MISO RC Michael McMullen

WAPA/MRO Steve Sanders

NBSO RC Alden Briggs

FRCC RC Eric Senkowicz (Proxy for Bob Croes)

SPP RC Robert Rhodes

Southern Co. Generation Cliff Shepard

WE Energies Tony Jankowski

WECC RC Mike Cassiadoro

ORS Meeting Attendance February 12–13, 2013 Miami, Florida

- 2 -

GUESTS:

Name Organization

Frank Koza PJM (speakerphone)

Chris LaRussa FRCC

Scott Vidler NATF

Steve Corbin SERC

Keith Mitchell MISO

Clifton Johnson TVA (speakerphone)

Joe Eto LBNL (speakerphone)

Jagjit Singh OATI (speakerphone)

Gariann Gelston PNNL (speakerphone)

Angela Dalton PNNL (speakerphone)

Carlos Martinez CERTS

Terry Bilke MISO (speakerphone)

Stuart Goza TVA

Raja Thappetaobula MISO

NERC Staff

Larry Kezele

Jessica Bian

Matthew Varghese

Sam Chanoski

Roman Carter (speakerphone)

Marvin Santerfeit (speakerphone)

Robert Jackson (speakerphone)

Jeff Hicks (speakerphone)

ORS Meeting Attendance February 12–13, 2013 Miami, Florida

- 3 -

Name Organization

David Kruke (speakerphone)

GMD Task Force Phase 2 Project Plan

February 5, 2013

Task #

Task Description Team Deliverables EPRI Supporting Work (2013 Action Plan)

Status Estimated Completion

1.1 Survey of industry for detailed information on existing high voltage transformer fleet, using a sample set by industry segment and geographic location (e.g., geomagnetic latitude, physiographic region) as appropriate, and limited to specific voltage levels. A Section 1600 information and data request may be pursued if necessary to gather sufficient information. This information will need to be handled securely (as CEII if necessary)

1. Detailed listing of transformers by construction (e.g., core type, winding connection), age, power system connection (e.g., transmission network, generating station), location (i.e.,lat/long.) 2. List of in‐service transformers with existing GIC monitoring in‐place and capability

1.2 Provide and maintain data confidentiality

Determine secure (or CEII compliant if necessary) means for storing data. This may be addressed through enhancement and expansion of the Spare Equipment Dbase.

NERC Secure data repository and exchange process

Ongoing 18‐36 months Continuous

1.3 Define transformer thermal models with the support of transformer manufacturers, international organizations (e.g., National Grid UK, Svenska Kraftnät), and other bodies (e.g., IEEE Transformers Committee).

Thermal model relating transformer voltage and current input (ac+dc) to critical hot spot temperature

1.4 Transformer testing (and model validation)

Evaluate transformer thermal models by testing full‐scale transformers. This would include voluntary nondestructive testing on fully instrumented transformers in service, and could include destructive testing on retired equipment if feasible.

2 Live transformer testing results for thermal model validation by industry experts

11a. Determine correct var consumption and harmonic content vs GIC mapping (report‐partial) Sep 13 11b. Updated with more tests. tbd 2014 12. Transformer testing 14a. Develop time‐domain thermal models based on measurements. (Report) Dec13

EPRI/HYDRO-ONE/SOUTHERN Company Project start date Apr 2013

18‐36 months Jan 2014

GMD Task Force Phase 2 Project Plan

February 5, 2013

Task #

Task Description Team Deliverables EPRI Supporting Work (2013 Action Plan)

Status Estimated Completion

1.5 Create open‐source GIC modeling tools and training material. The input and output of the GIC modeling tools will be clearly documented to support integration with other commonly‐used applications. Evaluate the impact of various GIC mitigation measures on the bulk electric system

1. Modeling tool to calculate GIC from E‐field taking into account B‐field and ground conductivity models 2. Modeling tool to calculate system parameters (e.g., reactive power absorption, harmonics) from GIC and dc power system model 3. Validation by industry experts 4. Report describing the engineering analysis that should be performed in evaluating GIC mitigation measures

1.6 Extreme “Carrington” GMD scenario development

Develop extreme E‐field models and associated waveforms that simulate a “Carrington” type event.

3 Extreme event E‐field waveform(s)

3. Scale reference storm to North America regions (Table) Jun13 4. Determine statistics for max theoretical storm and Carrington storms Aug 13

Completed tests for selecting appropriate model settings for extreme scenarios. NASA's Discover supercomputer carried out initial extreme scenario simulations.

12‐24 months Sep 2013

1.7 Develop 1‐D conductivity models for all remaining physiographic zones.

1‐D conductivity models for all physiographic regions in North America

1.8 Facilitate system‐wide vulnerability analysis

Provide tools and training to the industry to support vulnerability analysis incorporating thermal, transient, geological, and GMDstorm models. Training materials and tools will be released as related tasks are completed.

1 Training material on the use of tools and the process to perform detailed vulnerability studies 2. Confidential validation of specific results with subject matter experts 3. Confidential validation specific results with asset owners 4. Validation of summary results with EPRI Project Funders 5. Validation of summary results with Technical Committees Discuss w/ TF Leadership

8. Determine if transient stability studies are needed to assess voltage stability (report) Mar 13 9a. Deliver EMTP‐RV transformer models (Interim softwre). Feb13 9b.EMTP‐RV models (Full set) Aug 13 13. Application guide for performing GIC integrated power flow analysis (Interim Rept) (May 13) 13b. Update Dec13

Draft application guide in team review.

12‐24 months Discuss

GMD Task Force Phase 2 Project Plan

February 5, 2013

Task #

Task Description Team Deliverables EPRI Supporting Work (2013 Action Plan)

Status Estimated Completion

1.9 Survey industry on transformer GIC‐withstand specifications; work with IEEE Transformers Committee to identify appropriate specifications and design vulnerability

Report on industry survey and IEEE recommendations for transformer specifications to withstand GIC/dc‐offset

1.1 Compile results for release to GMDTF (and industry)

Compile survey and assessment results into CEII compliant public report (CEII compliant if necessary).

NERC Public assessment report not started 12‐24 months

1.1 Incorporate summary of surveys, tools and vulnerability assessments into Special Assessment.

Updated Special Assessment on GMD

2.1 GMD operating practices survey

Survey industry on current operating practices for response to GMD events.

4 1. Descriptions of operating practices/procedures for responding to GMD, with references to specific susceptible or monitoredequipment, presented in full confidentiality 2. Review by industry subject matter experts

19a. Preliminary evaluation of Operating Procedures for mitigation (Int Report) Jul13 19b. (Report) tbd 2014

Draft operating procedure template in TF review. TF Webinar 4 Feb Industry TechConf 26 Feb

12‐24 months Mar 2013

2.2 Update and release NERC Alert

Update and release NERC Alert

4 1. Updated draft NERC Alert 2. Second draft reviewed by NATF & GMDTF 3. Third draft reviewed by OC/PC/CIPC & FERC 4. Approved NERC Alert

Alert will be reviewed following Op Procedure Tech Conf for decision

12‐24 months May 2013

3.1 Develop GMD webinar

Prepare webinar to introduce GMD concepts and highlight the need for studies and operating practices. Updates will include progress on tasks and training highlights.

NERC 1. Draft webinar to Legal and Communications for review 2. Final webinar

Materials to be coordinated with Task Force leadership. Last: Feb 4 Next: (T)May 16

Quarterly

3.2 Update System Operator training with GMD best practices

1. Proposed changes to training 2. Review with operations experts 3. Updated training

GMD Task Force Phase 2 Project Plan

February 5, 2013

Task #

Task Description Team Deliverables EPRI Supporting Work (2013 Action Plan)

Status Estimated Completion

3.3 Establish GMD data clearinghouse

Create open GMD reference library and collaboration site.

NERC Website for GMD data Sunburst NERC GMDTF Resource Page is established. Working with EPRI to make Sunburst data availability;

18‐36 months

4.1 Review Reliability Standards

Identify changes to existing Standards or needed Standards to address GMD.

NERC Recommendations for changes/additions to Reliability Standards

Technical issues in development. Formal Std Development not initiated.

18‐36 months