Transcript MOPC Presentation
Transmission Expansion
Kansas Wind and Renewable Energy Conference Topeka, KS September 23, 2008
Overview
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SPP Background SPP Transmission Expansion Plan 2008 EHV Overlay Study Joint Coordinated System Plan Cost Allocations in SPP
www.spp.org
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SPP System: 230 kV and above www.spp.org
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Transmission Expansion www.spp.org
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Quote from MISO RECB Order Issued July 23, 2007
“We need a true nationwide transmission version of our interstate highway system; a grid of extra-high voltage backbone transmission lines reaching out to remote resources and overlaying, reinforcing, and tying together the existing grid in each interconnection to an extent never before seen. . . . Indeed I would tend to assume that a large multi-state 500 or 765 kV transmission line would not have much difficulty showing net benefits over a very broad region. . .”
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Suedeen Kelly, FERC Commissioner www.spp.org
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STEP What Is It?
www.spp.org
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SPP Transmission Expansion Plan
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SPP Transmission Expansion Plan (STEP) “Everything pertaining to transmission development” 1. Generation Interconnection Upgrades 2. Transmission Service Upgrades 3. Reliability Standards Upgrades 4. Economic / Sponsored Upgrades 5. Planned Upgrades 6. EHV Overlay / JCSP + www.spp.org
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SPP Generation Interconnections (KS) SPP Wind Farm statistics based on nameplate capacities (KS data)
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1,800 MWs in-service (350 MW)
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2,100 MWs under construction (1,405 MW) 1,600 MWs with signed IAs on suspension (549 MW)
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4,800 MWs with IAs pending/Facility Studies (1,555 MW) 6,300 MWs with Impact/Feasibility Studies in process (2,953 MW) Almost 32,000 MW with Feasibility Studies requested (7,702 MW) Explosion of Generation Interconnection Requests
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161 active requests (14,639 MW of Wind in KS)
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Significantly more wind than SPP peak demand Generation Queuing Task Force (GQTF)
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Limit queue
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ID project milestones Possible GI clustering Target MOPC/BOD October meetings for recommendations www.spp.org
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Transmission Service Issues FERC 890 compliance.
3 rd party impacts, seams issues are problematic.
Aggregate Study Improvement Task Force (ASITF) recommendations approved by MOPC in April to expedite and improve the Aggregate Study process.
Proposing to pair AG studies to allow SPP to catch up in processing past and future requests.
www.spp.org
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Reliability Standards Planning NERC Reliability Standards match SPP Criteria. Projects needed for reliability are base plan funded with revenue requirement cost allocations of 33% to all loads and 67% to project benefactors as measured by MW-MI impacts.
Some members have stricter standards for load pockets. Projects to meet higher standards for TOs are eligible for zonal cost recovery. Appropriate definition of reliability is being discussed to consider probabilistic metrics www.spp.org
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Economic Planning Reliability and Economics are Inseparable Economic Upgrades sold – sponsored under existing tariff but eligible for credits based on new service Balanced Portfolio
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Postage stamp cost allocations for a portfolio of Economic Upgrades which benefit SPP as a whole, and for which each zone realizes benefits in excess of their costs
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Tariff language has been approved and filed at FERC Balanced Portfolio in final stages of development www.spp.org
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Portfolio 3
www.spp.org
Axtell Iatan
Portfolio 3-A
Knoll Spearville Reno Co Nashua Summit Swissvale – Stilwel Tap Wichita Potter Sooner Cleveland Chesapeake Muskogee Anadarko XF Seminole Tolk El Dorado Longwood Substation Upgrade New Transmission Circuit www.spp.org
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Axtell Iatan
Portfolio 3-B
Knoll Spearville Reno Co Nashua Summit Swissvale – Stilwel Tap Wichita Sooner Cleveland Chesapeake Muskogee Anadarko XF Seminole El Dorado Longwood Substation Upgrade New Transmission Circuit www.spp.org
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Adjusted Production Cost Results Project
Portfolio 3-A Portfolio 3-B Portfolio 3-A Portfolio 3-B
Cost ($M) SPP Benefit ($M) SPP B/C 345 kV Construction
$585 $545 $776 $693 1.33
1.27
765 kV Construction
$761 $721 $776 $693 1.02
0.96
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Results shown for both 345 kV and 765 kV construction (with 345 kV operation) 765 kV includes
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Spearville – Knoll 765 kV
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Seminole – Muskogee 765 kV Wind modeled at 2,600 MW (year end, 2008 levels) www.spp.org
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Portfolio Balance
B/C Per Zone
4.00
3.50
Portfolio 3a Portfolio 3b 3.00
2.50
2.00
1.50
1.00
0.50
1.0 = Balanced
(0.50)
A EP W
(1.00)
E M D E G R D A K C P L M ID W M IP U O K G E S PC IU T www.spp.org
Zone S U N C S W P S W E FA W E P L W E R E
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Next Steps on Balanced Portfolio
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CAWG meeting tomorrow in Dallas SPP Staff recommends that Portfolio 3 and 3-A be used for future analysis
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Future (2017, 2023) analyses Scenarios 1. Higher Wind
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2. Carbon Regulation Impact on reliability plan (negative and positive) Leading portfolio moved forward to construction www.spp.org
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2008-2017 STEP
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2008-2017 SPP Transmission Expansion Plan (STEP) approved by BOD in January 2008
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$2.2 B of transmission projects over 10 year horizon with almost $800M of transmission projects requiring financial commitments in 2008-2011 and $465M of major economic upgrades primarily in KS (costed at 345 kV) www.spp.org
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Updated EHV Overlay Study
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Quanta Technology Report posted at http://www.spp.org/section.asp?group=1216&pageI D=27
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Analysis of Alternative 5 from original study does not support continued grid build out at 345 kV, but demonstrates that 765 kV solution is appropriate when wind penetration exceeds 4,600 MW
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Soliciting input from stakeholders on results to date, issues, concerns at [email protected]
www.spp.org
New Wind in Updated EHV Overlay Study
Kansas Missouri New Mexico Oklahoma Texas TOTAL 6,600
MW
31.9% 750
MW
3.6% 300
MW
1.4% 8,550
MW
* 41.3% 4,500
MW
21.7% 20,700 MW 100%
* Includes 4,450 MW in Oklahoma Panhandle www.spp.org
Potential EHV Overlay Mid Point Design for 13.5 GW Wind www.spp.org
Updated EHV Overlay Study Findings Focus on midpoint designs to collect / deliver 13.5 GW of new wind in SPP
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5.5 GW to SPP
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3 GW to WECC via HVDC
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2.5 GW to northeast 2.5 GW to southeast $8 billion at $2 million / mile engineering and construction costs + $65,000 / mile for Rights-of-Way
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2,250 miles of 765 and 500 kV in SPP
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Almost 600 miles of 765 kV in new interconnections and connectivity in neighboring systems www.spp.org
2008 EHV Overlay Next Steps
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SPP Transmission Working Group supports further work Scope being finalized to identify alternative plans and sensitivities for economic analyses to be concluded in 4 th Quarter 2008
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Review and incorporate new data, objectives, etc. as appropriate into concurrent plans e.g., see DOE’s “20% Wind Energy by 2030” report released May 12 th at www.20percentwind.org
. Nebraska entities integration into SPP Must be robust, flexible and coordinate with neighbors’ plans.
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Must demonstrate incremental value and merits of 765 vs. 345 kV overlay in SPP www.spp.org
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JCSP Next Steps
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Evaluate existing RPS baselines, as well as a 20% National RPS as part of 2008 NREL/DOE Eastern Wind Integration Transmission Study (EWITS)
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Next Meeting October 2 in Carmel, IN
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Studies will be used to demonstrate the value of bulk power transmission to harvest best wind resources in central plains, rather than build local wind to met local requirements.
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Check out www.jcspstudy.org
www.spp.org
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Wind Integration Issues
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Operational issues / reliability concerns warrant further investigation to address wind integration challenges
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Developing scopes of wind integration and penetration studies
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Further dynamics and reactive compensation analyses required
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SPP staff / members involved in numerous industry initiatives on wind integration
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EHV build out, regardless of drivers, will require changes to power system planning and operations www.spp.org
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Cost Allocations Are Key
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Cost allocations can be a barrier to effective transmission expansion planning, but need not be. Witness EHV expansion by South Central Electric Companies in the 1960s.
FERC Order 890 is forcing industry to address this topic SPP Cost Allocation Working Group in process of finalizing recommendations on Balanced Economic Portfolio of 345 kV transmission expansion projects, primarily, with associated postage stamp cost recovery.
Power industry can not afford to undervalue transmission anymore. www.spp.org
Reliability Economic EHV Base Plan Funding 33% / 67% Criteria or Designated Resource Balanced Portfolio Postage Stamp Benefits / Cost ≥ 1 345 kV and above Transmission Filed on 08/15/08 2005 www.spp.org
Postage Stamp 765 kV Work in Progress
Questions?
www.spp.org
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Jay Caspary Director, Engineering 501.614.3220
www.spp.org
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