Texas PUC Working On Extending Settlement Invoice Dispute Timelines At ERCOT

During today's open meeting, the Texas PUC said that it is working on the issue of extending the settlement invoice dispute timelines at ERCOT, though no formal action was taken at the meeting

Texas PUC Chairman Arthur C. D'Andrea said that ERCOT is still working on determining what the right timelines are

The Commission directed PUC staff to work with ERCOT on the issue and develop an order for the March 11 open meeting

Commissioners did not address any issues specifically, including various requests from REPs for waivers of the requirement to immediately pay, to ERCOT, any amounts REPs are disputing under the dispute resolution procedures in the ERCOT Protocols. Various REPs have sought a PUC order allowing them to delay payment of certain ERCOT Settlement Invoices while they fully exercise their rights under the ERCOT Nodal Protocols to dispute the invoiced payment amounts

REPs have noted that ERCOT’s dispute resolution procedures, set forth in Section 9.14 of its Nodal Protocols, generally require disputes to be initiated within ten (10) business days after an invoice is posted by ERCOT, and ERCOT may request additional information regarding the dispute within seven (7) business days. Once a dispute is initiated, ERCOT will attempt to resolve a dispute within fifteen (15) days unless more time is requested because of the complex nature of a dispute. If a dispute is not resolved through the dispute resolutions procedures set forth in Section 9.14 of the Nodal Protocols, the party raising the dispute may proceed to the Alternative Dispute Resolution (ADR) Procedures outlined in Section 20 of the ERCOT Nodal Protocols.

D'Andrea framed the issue as follows: "This is addressing the problem of settlement invoices, ADR timelines ... there was some uncertainty as to whether the deadline is really short or long, and I think we want the longer one."