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NPRR683
Summary
| Title | Revision to Available Credit Limit Calculation |
|---|---|
| Next Group | |
| Next Step | |
| Status | Approved on 06/09/2015 |
| Effective Dates |
02/07/2018
|
Action
| Date | Gov Body | Action Taken | Next steps |
|---|---|---|---|
| 06/09/2015 | BOARD | Approved | |
| 05/28/2015 | TAC | Recommended for Approval | Board for consideration |
| 04/16/2015 | PRS | Recommended for Approval | TAC for consideration |
| 03/12/2015 | PRS | Recommended for Approval | PRS for Impact Analysis review |
Voting Record
| Date | Gov Body | Motion | Result |
|---|---|---|---|
| 06/09/2015 | BOARD | To approve NPRR683 as recommended by TAC in the 5/28/15 TAC Report | Passed |
| 05/28/2015 | TAC | To recommend approval of NPRR683 as recommended by PRS in the 4/16/15 PRS Report | Passed |
| 04/16/2015 | PRS | To endorse and forward to TAC the 3/12/15 PRS Report and Impact Analysis for NPRR683 with a recommended priority of 2015 and rank of 1300 | Passed |
| 03/12/2015 | PRS | To recommend approval of NPRR683 as submitted | Passed |
Background
| Status: | Approved |
|---|---|
| Date Posted: | Feb 9, 2015 |
| Sponsor: | Luminant |
| Urgent: | No |
| Sections: | 16.11.4.6, 16.11.4.6.1, and 16.11.4.6.2 |
| Description: | This Nodal Protocol Revision Request (NPRR) revises the calculation of Available Credit Limit for the CRR Auction (ACLC) and Available Credit Limit for the DAM (ACLD) by replacing the existing 10% discount to the ACL based on the Counter-Party’s unused letter of credit amount with a 10% gross up of the sum of the Total Potential Exposure Any (TPEA) and the Total Potential Exposure Secured (TPES). |
| Reason: | The current method unfairly penalizes Counter-Parties posting excess collateral and equally incents other Counter-Parties to post little to no excess collateral. The method proposed by this NPRR better aligns collateral requirements with actual credit risk and provides a level playing field for all Market Participants. |
Key Documents
Feb 9, 2015 - doc - 86.5 KB
Mar 16, 2015 - doc - 120.5 KB
Mar 25, 2015 - doc - 39 KB
Apr 8, 2015 - doc - 55.5 KB
Apr 21, 2015 - doc - 122 KB
May 29, 2015 - doc - 124.5 KB
Jun 10, 2015 - doc - 126 KB