NOTICE DATE: August 26, 2021
NOTICE TYPE: M-B082621-01 Financial/Credit
SHORT DESCRIPTION: Collateral Requirements for NPRR1078
INTENDED AUDIENCE: ERCOT Counter-Parties
DAY AFFECTED: September 8, 2021
LONG DESCRIPTION: On August 20, 2021, Protocol language associated with Nodal Protocol Revision Request (NPRR) 1078, Clarification of Default Uplift, became effective.
NPRR1078 clarifies the definition of Potential Uplift (PUL) within the calculation of a Counter-Party’s “Total Potential Exposure Any” (TPEA).
On September 8, 2021, the PUL component of the TPEA calculation will be revised to capture of the sum of: (a) amounts expected to be uplifted within one year of the date of the calculation; and (b) the lesser of: (i) 25% of amounts expected to be uplifted beyond one year of the date of the calculation; or (ii) five years’ worth of uplift charges.
ACTION REQUIRED: Counter-Parties can review the Total Potential Exposure (TPE) Summary Report (EMIL ID: NP16-664-SG, Report Type ID: 11174) on September 8 to view any modifications to the PUL.
ADDITIONAL INFORMATION: NPRR1078 and associated documents can be found on the ERCOT website.
CONTACT: If you have any questions, please contact your ERCOT Account Manager. You may also contact your ERCOT Account Manager or call the general ERCOT Client Services phone number at (512) 248-3900 or contact ERCOT Client Services via email at ClientServices@ercot.com.
If you are receiving email from an ERCOT distribution list that you no longer wish to receive, please follow this link in order to unsubscribe from this list: http://lists.ercot.com