About Texas Nodal

In September 2003, as part of Project 26376, the Public Utility Commission of Texas (PUCT) ordered ERCOT to develop a nodal wholesale market design. The Texas Nodal Program exists to facilitate the transition from a zonal to a nodal market, and affects many business processes and systems, including: a day-ahead market (DAM), reliability unit commitment (RUC), real-time or security constrained economic dispatch (SCED) and congestion revenue rights (CRRs).

The redesigned grid will consist of more than 4,000 nodes, and will replace the current congestion management zones (CMZs).

The implementation of the nodal market design is expected to deliver the following benefits:

• Improved price signals
• Improved dispatch efficiencies
• Direct assignment of local congestion

The Texas Nodal program is directly governed by the ERCOT Board of Directors and the Special Nodal Program Committee (SNPC).

The Understanding Texas Nodal brochure provides an informative overview of the ERCOT transition to a nodal market. This guide also introduces nodal project teams and includes answers to frequently asked questions.