NPRR1247  Incorporation of Congestion Cost Savings Test in Economic Evaluation of Transmission Projects

This Nodal Protocol Revision Request (NPRR) incorporates the consumer energy cost reduction test as the congestion cost savings test in economic project evaluation to address recent amendments by the PUCT to 16 Texas Administrative Code (TAC) § 25.101 —specifically adding the requirements in § 25.101(b)(3)(A)(i). Consistent with the PUCT’s rule, this NPRR also preserves the production cost savings test as another standalone means to establish economic need for a transmission project. This NPRR also removes obsolete language regarding transmission projects’ benefits evaluation in paragraph (6) of Section 3.11.2. Additional details regarding how the congestion cost savings test will be performed are included in the Congestion Cost Savings Test Evaluation Guideline white paper, which will be available on the Planning page of the ERCOT website once finalized. ERCOT may also apply the longstanding Impact of Weather Uncertainty and Transmission Outages on Economic Project Evaluations white paper in the instances specified therein to evaluate the impact of weather uncertainties and the impact of including transmission outages on the congestion cost savings test, as it has for the production cost savings test. This white paper is also available on the Planning page of the ERCOT website.