Title: Removal of Notification Requirement for Disclosures of Protected Information Required by CFTC
Next Group:
Next Step:
Status: Approved on 03/19/2013
Effective Dates:


Date Gov Body Action Taken Next Steps
03/19/2013 BOARD Approved
03/07/2013 TAC Recommended for Approval ERCOT Board for consideration.
02/21/2013 PRS Recommended for Approval TAC for consideration.

Voting Record

Date Gov Body Motion Result
03/19/2013 BOARD To approve NPRR518 as recommended by TAC in the 3/7/13 TAC Report. Passed
03/07/2013 TAC To recommend approval of NPRR518 as recommended by PRS in the 2/21/13 PRS Report. Passed
02/21/2013 PRS To recommend approval of NPRR518 as submitted. Passed

Vote tallies here reflect individual votes, not the weight of the votes by market segment. Affirmative votes are not recorded in these vote tallies. For additional details on the voting record, please consult the Recommendation or Action Report, or the official vote tally if available, as posted in the key documents.


Status: Approved
Date Posted: Feb 6, 2013
Sponsor: ERCOT
Urgent: Yes
Sections: 2.2, 1.3.4, 1.3.5, 1.3.6
Description: Protocol Section 1.3.5 requires ERCOT to notify a Market Participant prior to disclosing its information to any outside Entity, except when disclosing that information to the Public Utility Commission of Texas (PUCT), in which case no notice is required. As a condition for receiving an exemption from all but the anti-manipulation and anti-fraud provisions of the Commodity Exchange Act, the CFTC will mandate the removal of any requirement that ERCOT notify a Market Participant before disclosing its information in response to a subpoena or other request for information or documents from the CFTC. More specifically, the proposed CFTC order contemplates the following provision: "Notification of requests for information: With respect to each Requesting Party, neither the tariffs nor any other governing documents of the particular RTO or ISO pursuant to whose tariff the agreement, contract or transaction is to be offered or sold, shall include any requirement that the RTO or ISO notify its members prior to providing information to the Commission in response to a subpoena or other request for information or documentation." This NPRR therefore proposes to modify Section 1.3.6 to create an explicit exception to the prohibition against disclosing Protected Information that would authorize ERCOT to respond to CFTC requests, and further proposes adding an exception to the notice requirement in Section 1.3.5 to accommodate CFTC investigative requests. Like the current exception for the PUCT, this proposed exception is necessary because having to notify an affected Market Participant of this disclosure may lead the Market Participant to take actions that could compromise the investigation or other regulatory inquiries. This NPRR also proposes additional language in Section 1.3.4 that would require ERCOT to submit a written request for confidential treatment to the CFTC whenever disclosing Protected Information. CFTC rules require the filing of such a request as a condition for asserting confidentiality, and because the current Protocol language would otherwise require ERCOT to seek a protective order, which is not a readily available remedy in this circumstance, this additional language is necessary to ensure that all available means are used to protect Market Participant information.
Reason: The CFTC has required the modifications proposed by this NPRR as a condition for granting ERCOT’s request for an exemption from most provisions of the Commodity Exchange Act.

Key Documents

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