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PUCT Approves Dispatchable Reliability Reserve Service (DRRS) But Declines to Designated DRRS as a New Ancillary Service

Dockets: 54445 ,Texas
Category: Texas
Related Categories: Ancillary Service, ERCOT, REP

On July 9, 2026, an administrative law judge (ALJ) of the Public Utilities Commission of Texas (PUCT)

issued proposed order approving ERCOT’s revision requests.  This Order addresses 21 proposed revisions to Electric Reliability Council of Texas (ERCOT) protocols. The Commission approves these revisions and accompanying market impact statements.

On July 2,2026 Commission Staff filed a memorandum related to these 21 proposed revisions in which it recommends that the Commission approve the revisions.

Commission approval includes the following 21 proposed revisions:

  • NPRR1264, Creation of a New Energy Attribute Certificate Program;
  • NPRR1302, Addition of a Market Participant Service Portal within the MIS Certified Area and Revision of Forms;
  • NPRR1306, Removal of Digital Certificate References for Market Participants with ERCOT MIS Access;
  • NPRR1307, Revised Definition of Mitigation Plan;
  • NPRR1308, Board Priority – Related to NOGRR282, Large Computational Load RideThrough Requirements – URGENT;
  • NPRR1309, Board Priority – Dispatchable Reliability Reserve Service Ancillary Service – URGENT; As reported previously the Retail Electric Providers (REPs) had requested this designation “solely for customer contracts that were existing prior to the date on which DRRS is included in the applicable ERCOT Ancillary Services Plan.” The REPs had argued that “[t]his designation will ensure that REPs are not in a position of trying to speculate about what these costs might be for those customers today who desire to sign onto a multi-year electricity service agreement. Further, it keeps customers from incurring any charges for these costs before the costs are actually implemented. In addition, without this designation, REPs may be reluctant to enter into multi-year contracts that would span into the period in which DRRS is expected to be implemented, even though those multi-year contracts provide customer protections, and market stability for those looking to invest in this market to provide generation.”

Recall that under 16 TAC 25.475(b)(5), for an existing fixed rate to be adjusted to reflect the cost of a new ancillary service, the Commission must first designate the ancillary service as one that incurs charges beyond the REP’s control for existing customer contracts.

The PUCT, however, in its finally ruling ultimately declined to grant the REPs’ request, instead stating that at its open meeting that the PUCT may open a project concerning the matter.

  • NPRR1315, Changes to Process of Evaluating the Potential Needs for Additional Capacity and Mitigated Offer Cap – URGENT;
  • NPRR1316, Implement an Annual ERCOT RFI Process to Gather Information Related to Retirement and Mothballing Plans of Select Resources;
  • NPRR1318, Specific Exclusion of the Incentive Factor to ERCOT Approved Outside Attorney Fees and Approved Emissions Costs;
  • NPRR1322,60-Day Disclosure of the Day-Ahead Market (DAM) Ancillary Service Only Offer Awards;
  • NPRR.1324, Clarification of the Process to Determine RUC Warmth State; • NPRR1327, As-Built for NPRR1281, Improvements to Alternate FFSS Resource Designation; • NPRR1330, Mitigated Offer Caps for RMR Units;
  • COPMGRR052, Related to NPRR1306, Removal of Digital Certificate References for Market Participants with ERCOT MIS Access;
  • NOGRR281, Related to NPRR 1307, Revised Definition oi Mitigation Plan;
  • NOGRR282, Board Priority – Large Computational Load Ride-Through Requirements – URGENT:
  • NOGRR283, Board Priority – Related to NPRR1309, Dispatchable Reliability Reserve Service Ancillary Service – URGENT;
  • PGRR133, Clarifying Legacy Generation Breaker Control for PGRR115 Implementation;
  • PGRR143, Steady State Planning Schedule Posting Location Update;
  • RMGRR184, Related to NPRR1306, Removal ofDigital Certificate References for Market Participants with ERCOT MIS Access; and
  • VCMRR045, Related to NPRR1306, Removal of Digital Certificate References for Market Participants with ERCOT MIS Access