Duke Energy Carolinas Stakeholder Meeting

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Duke Energy CarolinasStakeholder Meeting

• Independent Entity Services
• September 12, 2008

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Agenda

• Customer Survey Results
• Customer Recommendations
• Budget
• Future of Independent Entity Services
• Appendix
• Survey Questions and Results

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Attachment K IE Responsibilities

• Evaluation and approval of all transmission
  service requests
• Calculation of Total Transfer Capability (TTC)
  and ATC
• Operation and administration of Duke Energy
  Carolinas OASIS
• Evaluation, processing and approval of all
  generation interconnection requests, and
  performance of related interconnection studies
• Coordination of transmission planning

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Survey Objectives

• Seek continuous improvement of services provided
  while ensuring the highest value of service
• Confirm the collaborative efforts showed a
  seamless transition of tariff administration
  services to customers
• Gauge general confidence of customers

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Summary of Survey Questions

• Customer Satisfaction
• View of Performance
• Customer Expectations
• Customer Experiences
• Consistency of Service
• Suggested Improvements
• Expected Impact of Survey
• Expected follow-up

Survey conducted by Practical Approaches
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Customer Satisfaction

• Overall Midwest ISO Service Performance
• Reflects Customer Satisfaction
• (23 Respondents)

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Customer Expectations

• Timeliness
• Accuracy
• Availability
• Consistency
• Compliance with Tariff and Business Practices
• Communication

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Customer Experiences

• Customers have
• Seen increased improvement in Independent Entity
  services since start-up
• Indicated Midwest ISO is more knowledgeable now
  of the Duke Energy Carolinas system
• Seen that Midwest ISO has good understanding of
  upcoming regulatory changes

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Customer Observations

• Independent Entity Staffing customers seem to
  be comfortable with
• Quality of the personnel
• Number of dedicated staff
• Current staffing levels for after-hours coverage
• Execution of FERC requirements
• NERC and NAESB standards

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How IE services are provided?

• Customers would like to see the IE improve
  current services by
• More personalized service
• Follow up on suggested business practice changes
• Increased understanding of the geographic
  intricacies of the Duke system
• No delays in study schedules (Generation
  Interconnection)
• Know when to contact Midwest ISO versus Duke
  Energy Carolinas

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How the Tariff is Administered?

• Customer feedback noted two suggestions
• Review the minimum (Daily Firm) and maximum
  (Hourly Non-firm) lead time for requesting
  transmission service reservations to further
  align adjacent markets
• Make it easier to do business during Daylight
  Savings Time change
• Make it easier to do business across regions in
  different time zones

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Proposed Plan

• The NC Planning Collaborative meets the
  requirement of FERC Order 890 to provide
  transparency for transmission planning
• Independent oversight is no longer needed from
  the Midwest ISO
• Continue to use Midwest ISO for the remainder of
  the Independent Entity functions in order to
  efficiently implement substantial pending changes
  in tariff requirements
• Continue to use Potomac Economics as the
  Independent Market Monitor

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Budget

• Initial IE contract specified 2.2 Million
• Midwest ISO Services delivered under budget with
  a reduced scope scaling back after hours
  coverage while performing additional work due to
  changes in FERC requirements

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IE Proposed Next Steps

• Quarterly Stakeholder Meeting
• This is the forum for discussing customer survey
  topics and emergent topics (Upcoming changes,
  stakeholder input)
• Tuesday, October 21, 2008 2 p.m. to 3 p.m. ET

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Questions / Feedback?
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Appendix

• The following slides are the nine questions asked
  of the survey participants

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Survey Question 1

• As you think about the service (s) you receive
  from Midwest ISO on behalf of Duke Energy
  Carolinas, would you say the services you
  receive
• Participant Response

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Survey Question 2

• Describe what the 2-3 key expectations are that
  you have of this group
• Participant Response is found on slide 7 of this
  presentation

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Survey Question 3

• As you think about the service (s) you receive,
  would you say that over the past year, things
  are
• Participant Response

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Survey Question 4

• If you could change ONE THING in the way the
  services/relationship works today, what would
  that be?
• Participant Response is found on slide 7 of this
  presentation

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Survey Question 5

• Comparing the Tariff Administration Service(s)
  you receive from Midwest ISO to the Tariff
  Administration Services(s) you received from Duke
  Energy-Carolinas, would you say Midwest ISO is
• Much better
• Better
• About the same
• Worse
• Participant Response

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Survey Question 6

• Comparing the Tariff Administration Service(s)
  you receive from Midwest ISO on behalf of Duke,
  to the Tariff Administration Services(s) you
  received from other providers, would you say
  Midwest ISO/ Duke Independent Entity is
• Much better
• Better
• About the same
• Worse
• Than the services you received elsewhere.
• Participant Response

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Survey Question 7-9

• Survey Question 7 Is there any issue currently
  unresolved that we should bring to their
  attention?
• Participant Response corresponds to the
  information on slides 8, 9,10, 11 14
• Survey Question 8 What should we have asked you
  about that we didnt?
• Participant Response corresponds to the
  information on slides 8, 9,10, 11 14
• Survey Question 9 Do you think Midwest ISO will
  take your input seriously and act on it?
• Why or why not?
• Participant Response corresponds to the
  information on slides 11 14

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