Transmission Trends Issue 3, Volume 4
Transcription
Transmission Trends Issue 3, Volume 4
Inside This Issue: PROJECTS Maryland PSC staff recommends approval, with conditions, of part of Delmarva Power’s proposed rebuild project TransmissionTrends A weekly newsletter for members of TransmissionHub TM Monday, january 20, 2014 Issue 3, Volume 4 FERC issues NOPR on reliability standard aimed at mitigating impacts of geomagnetic disturbances on bulk power system Corina Rivera-Linares FERC on Jan. 16 proposed to adopt a new reliability standard aimed at mitigating the impacts of geomagnetic disturbances (GMDs) that can have potentially severe and widespread effects on reliable operation of the nation’s bulk-power system. (continued on page 40) Lucky Corridor proposes new 115-kV line in New Mexico Rosy Lum Lucky Corridor is embarking on a new project in New Mexico, the 102-mile, 115-kV Mora line. Connecticut PURA conducts proceeding on proposed 115-kV project California regulators allow SoCal Edison to modify Tehachapi project Regulators deny Maine Public Service motion for protective order related to proposed Northern Maine reliability solution Public comments support and oppose plans for Hawaiian interisland transmission Opponents seek to reopen docket for HamptonRochester-La Crosse transmission project No investigation required for proposed National Grid 115-kV refurbishment project in New York Public meetings begin for Greentown to Reynolds 765-kV project Virginia agency issues environmental report on proposed Dominion Virginia Power line SoCal Edison supports recommended decision modifying Tehachapi project Iowa legislation could affect Rock Island Clean Line PLANNING Center for Rural Affairs: Open houses, education help in potential clashes between communities, transmission developers operations Northwest utilities commit to developing projects to enhance regional efficiency The project, which will deliver 180 MW of wind generated from Phase I of the Gallegos Wind Farm to a substation owned by Public Service Co. of New Mexico, is estimated to cost $67m. The Mora line is independent of the company’s first announced project in New Mexico, the Lucky Corridor line, and does not cross any federal lands. (continued on page 22) FERC staff: In broad scope, overall outcome better during recent polar vortex than during February 2011 cold weather event Monthly Project Review December 2013 POLICY Kent Knutson & Aaron Moline New Jersey governor vetoes changes in state’s Energy Master Plan PJM, ISO-NE, NYISO tell FERC proper planning, communication helped maintain reliability during polar vortex West Penn Power to pay $86,000 civil penalty in case of woman’s death by fallen power line Seven projects totaling $1.2bn of investment were completed by the end of 2013, according to TransmissionHub data. Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects The largest of these was AltaLink/EPCOR’s C$610m Heartland transmission project, which was energized on Dec. 28. The project comprised 41 miles of double-circuit 500-kV line between Ellerslie and Fort Saskatchewan in Alberta, Canada. Related ProjectS: American Transmission Company completed the six-mile Pleasant Prairie to Zion 345-kV line on Dec. 6. The company projects the line’s total cost to be $36m, an increase from the original estimate of $31.6m. The project runs between Pleasant Prairie, Wis., and Zion Energy Center, Ill. West Krum to Anna Four Texas CREZ projects were energized by Dec. 31. Oncor Electric Delivery energized the $166.5m, 70-mile (345-kV) line between West Krum and Anna on Dec. 30, and on Dec. 18 energized the 345-kV, $163.3m, 110-mile Clear Crossing to Willow Creek project. South Texas Electric Cooperative on Dec. 1 energized the 345-kV Odessa to Bakersfield project, a $100.9m, 70-mile line that runs between the new McCamey C substation located in Pecos County and the existing North McCamey substation located in McCamey. Wind Energy Transmission Texas completed the 345-kV Sand Bluff to Divide project, an $83.7m, 37-mile project located near the Glasscock County and Sterling County border and ending at LCRA’s Divide Substation located in western Coke County. Nine project announcements totaling $770m in estimated capital investment were made in December. The largest of these was Puget Sound Energy’s Energize Eastside project to increase capacity and enhance reliability in the Seattle area. The 230-kV project is estimated to cost around $290m and is scheduled for completion in 2018. Northern Indiana Public Service Co. (NIPSCO) also announced the NIPSCO G project involving the construction of 345-kV line between Wilton Center, Ind., and Reynolds, Ill. The $205m project is expected to enter service by early June 2022. In addition, Sharyland Utilities announced the Antelope-Elk to White River project. The $117.9m project will connect the planned gas-fired Antelope-Elk Energy Center to the ERCOT grid and is expected to enter service in 2016. In other news, Nebraska Public Power District increased the cost estimate for its Stegall to Scottsbluff project to $39m from $32.5m. ATCO Electric has begun construction on the Beartrap Substation Transmission Project, scheduled to enter service in 2014. 2 projects Planning operations policy page 1 Heartland Transmission Project Pleasant Prairie to Zion Clear Crossing to Willow Creek Line Odessa to Bakersfield Sand Bluff to Divide Energize Eastside NIPSCO G Antelope-Elk to White River Stegall–Scottsbluff Beartrap Substation Transmission Project Related Documents: Monthly TransmissionHub Project Review MTP DEC 2013.pdf Related News: Alberta’s Heartland transmission line energized ATC energizes 345-kV Pleasant Prairie to Zion MVP project Bad weather prevents perfect CREZ record, though only one project is pending completion MISO board approves MTEP13, providing 317 new transmission projects Sharyland Utilities proposes 345kV line in response to Golden Spread Electric Cooperative’s interconnection request NPPD to begin public process for power line project Construction underway on ATCO Electric’s Beartrap substation, transmission line Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Maryland PSC staff recommends approval, with conditions, of part of Delmarva Power’s proposed rebuild project Related ProjectS: Corina Rivera-Linares Maryland PSC staff testimony, Jan 17 2014.pdf Glasgow to Cecil Rebuild Related Documents: Delmarva Power’s proposed project involving rebuilding part of a 138-kV transmission line would resolve anticipated reliability criteria violations and mitigate potential thermal overloads that could affect the safety and reliability of the electric transmission system, according to Maryland regulatory staff. Related News: Delmarva Power seeks approval in Maryland to rebuild part of 138-kV line Ralph De Geeter, a transmission and generation engineer in the state Public Service Commission’s (PSC) Division of Engineering, in Jan. 17 testimony on behalf of PSC staff, recommended that the PSC issue a certificate of public convenience and necessity (CPCN) for “Section 1” of the project, contingent upon certain conditions of state agencies. Staff also conditioned approval upon the company providing notice to the PSC at least five business days before putting each portion of the project in service and of the completion date of the entire project. 3 projects Planning operations policy page 1 TM | FOSSIL FUELS TRACKER Evaluate the Future of Fossil Fueled Generation ble Not availare elsewhe ! and coal-powered generation. For More Information: Fossil Fuels Tracker offers a user-friendly online interface to quickly download up-to-date plant and unit data reports on North American coal plant retirements, environmental/emission control/compliance projects and proposed fossil-fueled electric plants. Contact your account representative today: 800.823.6277 PennWell MAPSearch • 1455 West Loop, Suite 400 • Houston, TX 77027 • 800.823.6277 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects As TransmissionHub reported, Delmarva Power filed in April 2013 an application for a CPCN to rebuild the Maryland portion of the 5.25-mile line beginning at the company’s Glasgow substation in New Castle County, Del., to its Cecil substation in Cecil County, Md., all within existing right-of-way (ROW). The company referred to the portion of the line from the Maryland/Delaware state line to the Cecil substation as the “entire Maryland project.” The project is included in the PJM Interconnection regional transmission expansion plan (RTEP) and was designated for construction by Delmarva Power with an in-service date of June 1, 2015, De Geeter said. “Timely completion of the project requires careful scheduling so that each construction phase of the project is coordinated with the required transmission outages to connect the facilities,” De Geeter said. “The need to coordinate both the transmission system outage dates and the final in-service date requires timely approval of the application. Delaying the building of the project increases the risk of reliability criteria violations that could disrupt the transfer of power from generation sources in Cecil and Harford Counties, Maryland and sources to the north and west, into the Delmarva Peninsula.” Section 1 of the project refers to the 2.05 miles of the project that run from the Maryland/Delaware state line to the Amtrak railroad in Cecil County, De Geeter said. Of the 5.25 miles of the project’s length, 4.45 miles will be located in Cecil County, he noted. De Geeter also said that the PJM 2010 RTEP identified an anticipated violation of PJM N-1-1 planning criteria under which an unacceptable thermal overload on 230-kV lines from generating sources in Cecil and Harford counties, and points north and west of the Delmarva Peninsula. The project is PJM’s recommended solution to address the Delmarva Power thermal violation by upgrading the existing 138-kV line between the Glasgow and Cecil County substations. If the identified contingencies were to occur, the consequences could lead to customer interruptions, most likely in Cecil and Harford counties, he added. While the 2013 RTEP process reflected a reduced load forecast, it reaffirmed the need for the project by June 1, 2015, as identified in the 2010 RTEP process, he added. 4 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects As for the economic impact to customers of the project, De Geeter said that PJM has indicated the load in the Delmarva Power transmission zone is responsible for all costs associated with the project and project costs will become a part of the company’s FERC-regulated transmission rate base. Based on the estimated $5.7m overall project cost, the first year annual charge or annual revenue requirement attributable to the entire project will be about $1.2m. The Maryland revenue requirement would be about $399,468, or about 9 cents per MWh effective June 1, 2015, the first full year of service. As a point of reference, De Geeter added, the current Maryland Delmarva Power standard offer service rate is about 9 cents per kWh. The project would have a minimal impact on customer retail rates as proposed. Among other things, he said that should the project obtain a CPCN in the timeframe requested in accordance with the proposed procedural schedule in the proceeding and subsequent PSC approval, construction would begin in September. Delmarva Power is a subsidiary of Pepco Holdings (NYSE:POM). Connecticut PURA conducts proceeding on proposed 115-kV project Related ProjectS: Stamford Reliability Cable Project Corina Rivera-Linares Connecticut state regulators on Jan. 16 said it is conducting an uncontested proceeding to address issues raised in Connecticut Light and Power’s (CL&P) December 2013 application involving its proposed Stamford Reliability Cable Project (1151 Line). The state Public Utilities Regulatory Authority (PURA) added in its notice of proceeding that it has designated CL&P, the state Office of Consumer Council and the commissioner of the state Department of Energy and Environmental Protection as participants to the proceeding. Other persons seeking participants status in the proceeding must file a motion by Feb. 5. In the company’s December 2013 application, CL&P requested that PURA approve the method and manner of construction and provide permission to energize the project, whose purpose is to enhance electrical supply and reliability, and to accommodate future load growth. 5 projects Planning operations policy Related Documents: CL&P letter, Dec 23 2013.doc CL&P petition, Dec 20 2013.pdf Connecticut PURA notice, Jan 16 2014 .doc Related News: CL&P proposes new 115kV line in Stamford, Conn. page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects The proposed construction will take place between the Glenbrook substation and the South End substation in Stamford, Conn., along streets, roads and public ways, and, where necessary, onto adjacent private right of way areas. Construction is scheduled to begin in late February or early March, with completion anticipated by the end of 2014. The entire length of the project is about 1.4 miles and the project involves building a new 115-kV circuit, the company added. An underground concrete duct bank and splice vaults will be built as part of the project, CL&P said, noting that a pipe jacking trenchless installation will be used to cross under the Metro-North Railroad corridor. The project does not include overhead line construction. Among other things, CL&P said that the project was reviewed for impacts to the facilities of certain utilities and municipalities, including the state Department of Transportation, Aquarion Water Company of Connecticut and Yankee Gas Service. CL&P attached letters of no objection from the city of Stamford, Spectra Energy, Fiber Technologies Networks, Cablevision and Yankee Gas to the application. CL&P and Yankee Gas Service are Northeast Utilities (NYSE:NU) companies. California regulators allow SoCal Edison to modify Tehachapi project Carl Dombek California regulators have approved a proposed decision modifying their July 11, 2013 decision regarding the Tehachapi Renewable Transmission Project (TRTP), granting project developer Southern California Edison (SCE) technical changes it had requested and setting a new method for approval of the project’s increased cost (Docket No. A07-06-031). The proposed decision, drafted by Administrative Law Judge (ALJ) Jean Vieth, was adopted by the California Public Utilities Commission (CPUC) on a 5-0 vote during its Jan. 16 public meeting at its headquarters in San Francisco. 6 projects Planning operations policy Related ProjectS: Tehachapi Renewable Transmission Project Tehachapi Segments 4-11 Related News: SoCal Edison supports recommended decision modifying Tehachapi project California regulators recommend approving changes to technical details of Tehachapi project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Technical changes more related news: In the July 2013 decision, which ordered the undergrounding of a 3.5-mile stretch of the project’s Segment 8A that passes through the city of Chino Hills, Calif., the CPUC denied an SCE request that it be allowed to include voltage control equipment on the 500-kV line. Instead, the CPUC directed the utility to study the possibility of changing the basic insulation level (BIL) rating for the line. SCE completes removal of transmission towers through city of Chino Hills, Calif. The utility countered that the provisions of the order would be problematic, as the highest-rated cross-linked polyethylene (XLPE) cable available that can be used in the 500-kV application is rated at 550-kV, allowing only a 10% deviation from the intended operating voltage. SCE further noted that undergrounding the transmission line will cause an increase in the transmission line charging current that could, in some cases, cause the voltage on the system to exceed its 550-kV rating. Therefore, the company said, voltage control is necessary to control voltage and prevent damage. In addition, the utility stated that studying the possibility of changing the basic insulation level (BIL) rating for the line, as directed by the CPUC in its July 2013 order, would significantly delay the in-service date of the TRTP, perhaps to as late as 2019. The decision approves SCE’s request to remove the basic insulation level study requirement and authorizes the utility to include voltage control equipment for reactive compensation as part of the construction of Segment 8A. Cost recovery As originally drafted, the proposed decision ordering undergrounding would have increased the reasonable maximum cost for Segments 4 through 11 of the project by $23m, which a previous decision identified as the approximate cost based on SCE’s preliminary engineering. In comments filed Jan. 2, SCE took issue with the proposed decision’s handling of the cost issue, noting that the cost of the modified voltage control design was not yet known. While the utility had sought to have the CPUC “defer all findings concerning the costs of components of the project and consider the issue in a consolidated process when the overall project cost estimates were addressed,” it noted that it would not seek changes to the proposed decision “in the interest of minimizing risk of further delay [and] given that the issue is not binding since transmission costs are ultimately recovered at FERC.” 7 projects Planning operations policy California regulators approve SCE request to modify Tehachapi project ALJ recommends approving SCE request to modify Tehachapi project SCE: Tehachapi project is first of its kind; will require ‘extraordinary cooperation’ SCE to update Chino Hills, Calif., residents about TRTP underground construction Chino Hills supports SoCalEd request to modify order to underground Tehachapi project SCE proceeding with Tehachapi project while awaiting answer to petition to modify SoCalEd seeks modification of order to underground Tehachapi project CPUC receives request for rehearing of Tehachapi decision Update: Ruling to underground Tehachapi line uncontested No appeals of Tehachapi ruling yet as regulatory deadline approaches California regulators concerned about precedent from decision on Tehachapi project Update: Tehachapi transmission project to be placed underground — CPUC News Flash: California regulators approve undergrounding Tehachapi project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects However, SCE also voluntarily agreed to file a new petition for modification when it seeks to adjust the finding of maximum cost for the project. Regulators found that approach acceptable and determined that further reviews of the original 2009 decision approving the project and the revised cost estimate contained in the 2013 decision ordering undergrounding were unnecessary. When completed, the project will be able to deliver up to 4,500 MW of largely renewable energy to Southern California, enough electricity to power three million homes, the utility said. SCE has called the project “a critically important, high-voltage transmission line, the timely completion of which is essential for California’s progress toward its aggressive renewable energy goals.” California’s renewable portfolio standard calls for 33% renewable energy by 2020. SCE is a subsidiary of Edison International (NYSE:EIX). Regulators deny Maine Public Service motion for protective order related to proposed Northern Maine reliability solution Corina Rivera-Linares Maine state regulators on Jan. 13 issued an order denying Maine Public Service’s (MPS) motion for a protective order related to information about its proposed plans to address reliability issues in Northern Maine. Temporary protection is provided to information provided by Loring Holdings LLC to MPS on a confidential basis, the state Public Utilities Commission (PUC) said. Related Documents: Maine PUC order, Jan 13 2014.pdf Related News: Opposition arises to Maine Public Service’s motion for protective order in relation to proposed Northern Maine reliability solution Several parties filed timely oppositions to MPS’ motion, including Eastern Maine Electric Cooperative, Van Buren Light & Power, the state Office of the Public Advocate (OPA) and Central Maine Power (CMP). The PUC also said that it held a conference of counsel on Jan. 9 to hear arguments on the proposed motion. Of the parties’ positions, the PUC noted that MPS requested the protection of its “analysis and cost estimates of the potential solutions to the reliability issues in Northern Maine and the comparison of options to (a) secure in-region generation through long term contracts; (b) strengthen transmission ties to New 8 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Brunswick and (c) connect Maine Public directly to the [ISO New England (ISO-NE)] transmission grid.” Parties opposing the motion contended that the motion is too broad in simply referencing cost analysis, the type of material described as confidential information is not information that warrants protection, MPS does not make a showing of harm, and denying access to the parties is inconsistent with Maine statute and would prevent the parties from meaningfully participating in the case, the PUC said. Of its decision, the PUC said that MPS has not met its burden of showing that cost analysis regarding possible solutions to reliability issues in Northern Maine is the type of information that should be subject to a protective order. “MPS could not point to any certificate of public convenience and necessity (CPCN) proceeding in which such analyses had been determined to be proprietary business information,” the PUC said. “Indeed, this information is the kind of information that is typically developed in a CPCN proceeding in order for the commission to evaluate both the need for the project and whether the proposed project is the most cost effective solution.” In this case, MPS’ assertions that the cost analysis is analogous to bid information fails to meet its burden of showing that cost analysis and assumptions underlying that analysis is proprietary business information or trade secrets. “The examiners conclude that the cost and project analysis that MPS seeks to protect does not constitute proprietary business information or trade secrets,” the PUC added. “Accordingly, such information should remain available not only to the parties in this proceeding but to the public.” The PUC further noted that MPS sought protection for information supplied to it on a confidential basis by Loring. While it is not clear at this time exactly what information Loring provided, the examiners are aware that Loring will seek to file a protective order in the case and that a protective order was in place for certain Loring information in another docket. Thus, the PUC added, protecting, on a temporary basis, information confidentially supplied to MPS by Loring will allow Loring to make its case for protection, the PUC said, adding that Temporary Protective Order No. 4 will be issued solely with respect to the information in MPS’ draft plan relating to Loring and solely on a temporary basis. MPS is wholly owned by Emera. CMP is a subsidiary of Iberdrola USA, which is a subsidiary of Iberdrola S.A. 9 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Public comments support and oppose plans for Hawaiian interisland transmission Related ProjectS: Carl Dombek Related Documents: The Hawaii Public Utilities Commission (PUC) has received a variety of comments in advance of public meetings on Oahu and Maui on Jan. 21 and 23, respectively, to gather input on whether a subsea, interisland transmission system connecting the Oahu and Maui electric grids may be in the public interest (Docket No. 2013-0169). Hawaii Undersea Cable Docket, Jul 11 2013.pdf The PUC opened the investigatory docket in July 2013, and since then has received initial comments and reply comments from a wide range of interested parties. The public hearings are the next step in the process. Related News: Part of the purpose of the PUC’s investigation is to solicit comprehensive information pertaining to the economic benefits and costs as well as potential technical issues associated with an undersea cable from prospective cable developers, renewable energy project developers, two utilities that are part of Hawaii Electric Industries (NYSE:HE), and other stakeholders. Specifically, the PUC is seeking input on policy issues, and overall objectives with respect to how, where and at what cost an undersea cable may be developed, as well as specific comments on the initial comments and reply comments already submitted. To date, several developers have joined as intervenors and have submitted comments, including NextEra Energy Hawaii (NEEH), First Wind Holdings and Hawaii Interisland Cable. In addition, the state’s Department of Business, Economic Development, and Tourism filed 220 pages of initial comments, detailing its economic analysis that lead to the conclusion that the benefits of such a cable would exceed its costs. That, it said, means “an unequivocal ‘yes;’ an interisland transmission cable connection O’ahu and Maui is in the public interest.” NextGrid Hawaii NEEH-Presentation Undersea Cable, Sep 18 2013.pdf Hawaii regulators to hold public hearings on undersea cable between Oahu, Maui Anbaric Transmission: What Hawaii, the Northeast and Germany have in common Commentary: And you thought YOUR electric bills were high? Hawaii legislature unanimously approves framework for interisland cable Hawai’i advances bill to give PUC authority over interisland transmission cable Other commenters were less enthusiastic. While not explicitly supporting or opposing an undersea cable, the group Life of the Land called on the state to complete environmental studies under both the National Environmental Policy Act (NEPA) and the Hawaii Environmental Policy Act (HEPA) “before any further regulatory approvals.” Environmental studies had been initiated six times over the last 25 years for undersea cables tied to a variety of proposed projects, it said, but none was completed. 10 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Life of the Land emphasized that environmental assessments must be completed before any project is undertaken, and cited a ruling from the 9th U.S. Circuit Court of Appeals, which held that “dilatory or ex post facto environmental review cannot cure an initial failure to undertake environmental view” before commencement of a project. The Renewable Energy Action Coalition of Hawaii called on the Hawaii Electric Industries’ utilities “to make a commitment to achieving a goal of 100% renewable generation for the islands of Oahu, Hawaii, Maui, Molokai and Lanai,” and expressed support for an undersea cable, but also said that such a cable “should be owned by “a state of Hawaii-owned regulated utility,” not an investor-owned utility. In their comments, two of Hawaii Electric Industries’ utilities — Hawaiian Electric Company (HECO), which serves Oahu and Maui Electric Company (MECO), which serves Maui – said both cost and benefits “are unknown at this time,” and noted that there are still many questions that must be answered before determining whether such a project would be in the public interest. The utilities pointed out that the cost of the project could vary significantly, depending in large measure on where the DC converter stations are located on each island, which would determine the length of the cable. In their comments, HECO and MECO presumed that the majority of the project would be HVDC. At least one developer presented a clearer picture of its plans. At a Sept. 18, 2013, community meeting on Maui, NEEH provided a presentation in which it estimated the cost of a 112-mile cable sited along a preliminary proposed route, from near the town of Maalaea on Maui to a point near downtown Honolulu, at $600m. Comments to date from individual members of the public have varied, from those supporting renewable energy at virtually any cost to those who pointed out that wind and solar energy “are not dispatchable and cannot provide given power at scheduled times.” Others questioned how environmentally friendly renewable energy actually is by pointing to pollution resulting from the processes used to manufacture “the magnets [found] in the massive wind turbines that advocates for ‘green energy’ want to install wherever they can.” Other individuals commented that undersea cables are “just too risky.” 11 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects There are undersea HVDC installations around the world, with the oldest – joining the island of Sardinia and Corsica, Italy and France – being in continuous operation since 1967, according to a list of frequently asked questions prepared by the Hawaii State Energy Office. Some commenters objected to the “environmental impacts” of an undersea cable and concerns about its effects on area fisheries. Still others expressed the opinion that “power generated in Maui County needs to stay in Maui County for the use of people of Maui.” Currently, each Hawaiian island has its own electrical grid, meaning that some islands have an abundance of energy or potential energy, while other islands – particularly Oahu – are facing resource adequacy challenges. Neighboring islands have substantially more renewable energy resources than Oahu but they have very small populations and cannot use most of what would be generated. NEEH is a subsidiary of NextEra Energy (NYSE:NEE). Opponents seek to reopen docket for HamptonRochester-La Crosse transmission project Carl Dombek Two citizens groups are asking that the Public Service Commission of Wisconsin (PSCW) reopen the docket for the CapX2020 Hampton-Rochester-La Crosse project, asserting that the commission should reconsider its approval of the project in light of reduced electricity demand since the project was approved (PSCW Docket No. 5-CE-136). “New information calls into question the scale, proportionate value, and very need for the CapX2020 Hampton-La Crosse transmission line,” the Citizens Energy Task Force (CETF) and Save Our Unique Lands (SOUL) wrote in their joint petition to reopen the docket, filed Jan. 9. “New information includes continued depression in electrical demand, studies and actions influencing capabilities of demand response, energy efficiency and distributed generation, [and] changes in La Crosse area electrical resources,” among other issues. Related ProjectS: Hampton-Rochester-La Crosse 345-kV Project Related Documents: Petition to reopen CapX2020 docket, Jan 9 2014.pdf Minnesota Wind Map, Jan 15 2014.pdf Related News: Economic analysis of La Crosse-Madison shows up to $840m in net benefits – ATC and Xcel Energy The PSCW approved the $500m project in May 2012, and construction began in 2013. The project involves about 125 miles of 345-kV transmission line and about 28 miles of 161-kV line. The double circuit-capable transmission line will improve reliability for the 12 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Twin Cities and Rochester, Minn., and La Crosse, Wis., areas, as well as improve access to generation in the south east part of Minnesota. The groups assert that the final application submitted in December 2010 “used outdated 2004-2005 utility demand forecasts predicting a demand growth of 2.49% per year.” The project’s developers acknowledge that, while electricity sales have been depressed nationwide in the recent past, sales in the project area are experiencing an upturn. “Electricity sales were up 0.5% in 2013 but more importantly, for the fourth quarter of 2013 they were up 2.7%,” for Xcel Energy (NYSE:XEL) subsidiary Northern States Power Wisconsin (NSPW), a project spokesperson told TransmissionHub Jan. 15. Demand in La Crosse, an area singled out in the complaint, has been climbing steadily. “Every year since 2008, the La Crosse area has reached a new peak number,” the spokesperson said. “In 2013, once again we hit a new number there. [The] increase from 2012 to 2013 was about 2%.” Xcel Energy is one of 11 companies involved in the development of the CapX2020 projects. Dairyland Power Cooperative, another utility involved in the project, also saw sales increase 5% during 2013, the spokesperson said. The city of Rochester, Minn., which is at a pivotal point in the line, is also expected to need additional capacity in the near future. ”In 2013, the [Rochester-based] Mayo Clinic announced a $6bn expansion with 25,000 to 35,000 new jobs,” the spokesperson said. “That’s not going to happen when the transmission capacity in that area is already at its peak.” On a larger scale, developers say the line is needed to move wind energy from its sources to the sinks in locations to the east, and point to recent curtailments of wind generation as an illustration of that need. “On days when the wind is blowing and [wind generators] are trying to ship electricity from their wind farms to the east, there is not sufficient transmission capacity going into Wisconsin,” the spokesperson said. Areas in southern and western Minnesota are among the Midwest’s richest wind resources, according to data compiled by the National Renewable Energy Laboratory. 13 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Demand for wind energy, as well as for other forms of cleaner generation, has increased recently and is expected to continue to increase in the future. “When you’re talking about generation, you’ve got to be talking about wind and natural gas,” the spokesperson said. “That’s what’s growing, that’s where the CapX utilities are moving and, in the case of Xcel, it’s a substantial portion of their generation mix.” The spokesperson noted that in 2013, Xcel Energy announced either the purchase of, or signing power purchase agreements for, 750 MW of additional wind generation. Although the petition to reopen the docket calls the PSCW’s May 2012 order approving the line “flawed,” developers point out that the project was reviewed and approved by a broad range of regulatory authorities. “This line has gone through the Wisconsin process, the Minnesota process and through the Federal [Rural Utilities Service] process, so it’s had more scrutiny than any other line has received,” the spokesperson said, noting that the line was the subject of three environmental impact statements – one from each of those areas. The PSCW has 30 days to review the complaint. If it does not act upon the petition, then the petition is deemed “denied by operation of law.” Developers are confident the commission will side with the project. “We believe that, once the commission looks at this, that they will agree that the CapX line is needed today and in the future, just as it was needed seven years ago when we proposed it,” the spokesperson said. “Construction is underway in Minnesota and we’re not going to hold it up. This is absolutely critical that we move forward and get this line built.” The project is scheduled to be completed in 2015, according to TransmissionHub data. No investigation required for proposed National Grid 115-kV refurbishment project in New York Corina Rivera-Linares The New York Department of Public Service (DPS) on Jan. 13 told National Grid USA that state regulators will not require an investigation of the company’s proposed DeWitt-Tilden #19 115-kV Line Conductor Clearance Refurbishment Project. 14 projects Planning operations policy Related ProjectS: DeWitt–Tilden Conductor Clearance Refurbishment Project Related News: National Grid proposes refurbishment project involving 115-kV line in Onondaga County, N.Y. page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects The DPS noted that the work proposed to the 115-kV overhead electric transmission facility, located in the towns of DeWitt, Lafayette and Onondaga in Onondaga County, N.Y., has been reviewed. As TransmissionHub reported last November, Niagara Mohawk Power d/b/a National Grid filed a Part 102 report with the state Public Service Commission. The line, which begins at the Dewitt substation in Dewitt and ends at the Tilden substation in Onondaga, is about 7.5 miles long and located on mostly single-circuit wood H-frame structures. The project is necessary to provide system reliability to the electric end users, as well as provide for public safety in areas where structure replacement or other methods are used to mitigate substandard clearances. The company also said that similar to projects conducted in accordance with the 2010 NERC guidance document involving field conditions and facility ratings, National Grid adheres to a limited timeline to address substandard clearances to comply with New York ISO standards and guidelines related to facility ratings. National Grid is a subsidiary of National Grid plc. Public meetings begin for Greentown to Reynolds 765-kV project Related ProjectS: Carl Dombek Reynolds to Greentown Northern Indiana Public Service Company (NIPSCO) and Pioneer Transmission will hold the first round of open houses Jan. 21-23 to give members of the community the opportunity to learn more about the proposed Greentown-Reynolds 765-kV electric system improvement project, a part of the larger Pioneer Project. Reynolds to Topeka Pioneer Project “We’re holding three open house meetings in populous areas along the study area,” a NIPSCO spokesperson told TransmissionHub Jan. 14. The open houses, in Kokomo, Logansport, and Delphi, Ind., will provide area residents opportunities to learn more about the project and share potential concerns. “Primarily we’re looking for feedback from property owners within the study area,” the spokesperson said. “We expect typical concerns from farm owners regarding irrigation systems, 15 projects Planning operations policy Related Documents: Greentown-Reynolds StudyAreaMap, Nov 14 2013.pdf Related News: Indiana commission approves Pioneer transmission project Pioneer, IURC testimonial staff reach settlement over ReynoldsGreentown project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects environmental concerns to be mindful of…and looking out of endangered species, so there’s a whole host of things to consider when constructing one of these lines.” The companies have not yet identified any specific routes within the study area. The upcoming open houses are the first round of such meetings; the companies will hold a second round of open houses in May and expect to begin finalizing route segments some time during the summer. Once that is done, they will begin targeted outreach to homeowners and businesses in the area, including direct mailings and advertisements in local media, to make them aware of the project and provide opportunity for comments. more related news: Pioneer offers point-bypoint counterargument to IURC staff objections Pioneer Transmission settlement offer ‘fatally flawed’–IURC testimonial staff The 70-mile project, with an estimated $328m price tag, is one of 17 multi-value projects (MVP) identified by regional grid operator Midcontinent ISO (MISO) in its 2011 transmission expansion plan (MTEP11). Studies conducted by MISO determined that improvement projects such as Greentown-Reynolds are necessary to maintain the reliability of the transmission grid while meeting local energy and reliability needs. New projects in Indiana identified in the draft of MISO’s MTEP 13 include the planned construction of a second Guion-RockvilleThompson 345-kV line and associated construction of a new Guion 345/138kV transformer. At an estimated cost of $57m, that project is estimated to enter service by Dec. 31, 2019. The draft also includes a proposal to build a new 138-kV transmission line of approximately 10 miles from Dresser to the Wabash River Generating Station at a cost of approximately $13m, to be in service by June 2016. However, there were no new MVPs included in MTEP 13. Greentown-Reynolds’ path across central Indiana will create an additional path for wind energy across the state, providing facilities that will bring less expensive wind generation into areas closer to the East Coast, where the generation of power can be considerably more expensive. In addition, the new 765-kV line will mitigate existing reliability constraints on the 345-kV system north of the study area toward Chicago and Michigan, as well as in southwestern Indiana. Construction could start in early 2016 with project completion by 2018. The Greentown-Reynolds project will ensure the continuous and reliable delivery of power through a 765-kV transmission line, modernizing and expanding the energy delivery system while improving access to regional power supplies, according to the project’s website. 16 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Pioneer Transmission and NIPSCO will each own a segment of the completed line. The Greentown-Reynolds project is one of two MVP projects located entirely within Indiana. The other is the Reynolds to Topeka project, which NIPSCO kicked off in 2013. That project is a 99-mile, 345-kV line from the Reynolds/Brookston substation to East Winamac to Burr Oak and to Hiple through northern Indiana. During the summer of 2013, the utility identified routing segments for that project, and it is currently in the process of acquiring right-of-way (ROW) segments, the spokesperson said. That project, with an expected in service date of December 2019, is estimated to cost $271m. The remaining two segments of the Pioneer project consist of 220 miles of 765-kV transmission.. One segment will run from the Reynolds substation to Indiana Michigan Power’s Sullivan substation, with the portion within the Reynolds substation being owned by NIPSCO. A second segment will run from the Sullivan substation to Indiana Michigan Power’s Rockport substation located at the AEP’s coal-fired Rockport power plant. Those segments are being built entirely by Pioneer Transmission. Pioneer Transmission is a joint venture between American Electric Power (NYSE: AEP) and Duke Energy (NYSE: DUK) through subsidiaries AEP Transmission Holding Co. and Duke Energy Transmission Holding Co. Virginia agency issues environmental report on proposed Dominion Virginia Power line Corina Rivera-Linares The Virginia Department of Environmental Quality (DEQ) has issued several recommendations, such as to limit the use of pesticides and herbicides to the extent practicable, for consideration by the Virginia State Corporation Commission (SCC) in relation to Virginia Electric and Power’s d/b/a Dominion Virginia Power’s proposed 230-kV Dooms-Lexington Line #2168. The 39.1-mile line would go between the company’s Dooms switching station in Augusta County, Va., and its Lexington Station in Rockbridge County, Va. The company also said in its Nov. 7, 2013, application for approval and certification of electric facilities that the project is needed to assure the company can continue providing reliable electric service to its customers in 17 projects Planning operations policy Related ProjectS: Dooms–Lexington 500kV Rebuild Project Related News: Dominion Virginia Power proposes 230-kV DoomsLexington line Virginia SCC approves Dominion Virginia Power 500-kV rebuild project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects the Lexington Station area, consistent with mandatory NERC reliability standards for transmission facilities and the company’s transmission planning criteria. According to a Dec. 18, 2013, SCC order, SCC staff has requested the DEQ to begin its wetland impacts and coordinated environmental reviews. The SCC said it will accept comments on the application and will consider requests for a hearing on the application. By Feb. 14, any interested person may file written comments on the application with the SCC, as well as a written request for a hearing. By Feb. 24, SCC staff is to file with the SCC clerk its report and exhibits regarding its investigation of the application. Also, by March 3, Dominion Virginia Power may file with the clerk any comments on the staff report, comments from interested persons and requests for hearing that were filed with the SCC. According to the Jan. 8 DEQ report, the purpose of the review is to develop information for SCC staff about potential impacts to natural and cultural resources associated with the proposed project. Several agencies and other entities joined in the review, including the Virginia Outdoors Foundation. The recommendations are in addition to requirements of certain federal, state or local law or regulations and include reducing solid waste at the source, reusing it and recycling it to the maximum extent practicable and following DEQ’s recommendations to manage waste, as applicable, and coordinating with the Department of Historic Resources regarding its recommendations to protect historic and archaeological resources. According to the information provided, the DEQ added, the project centerline crosses 12 perennial streams and 39 intermittent streams. “Dominion indicates that its project planning has considered avoidance and minimization of wetland and stream impacts along the project route,” the DEQ said. “Further, Dominion is committed to additional wetland and stream avoidance and minimization efforts, where practical, during project construction by” maintaining 100-foot-wide buffers along either side of streams, for instance. The DEQ Office of Wetlands and Stream Protection (OWSP) recommended, among other things, that before beginning project work, all wetlands and streams within the project corridor should be field delineated and verified by the U.S. Army Corps of Engineers. 18 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects Also, wetland and stream impacts should be avoided and minimized to the maximum extent practicable, the DEQ added, noting that towers should be placed to avoid wetlands, wherever possible, for instance. Other recommendations included in the report include implementing and strictly adhering to applicable state and local erosion and sediment controls and stormwater management laws and regulations to minimize adverse impacts to the aquatic ecosystem as a result of the proposed activities, and coordinating with the U.S. Fish and Wildlife Service (FWS) to ensure compliance with protected species legislation due to the legal status of the Madison Cave Isopod. The Madison Cave Isopod is an extremely rare troglobitic species that typically inhabits cave lakes and ranges from Lexington, Va., to Leetown, W.Va. Threats to the Madison Cave Isopod include groundwater pollution and disruptive human activities. The species, the DEQ added, is currently listed as threatened by the FWS and the Department of Game and Inland Fisheries. Another recommendation is for the company to adhere to a time-of-year restriction from Oct. 1 through March 31 of any year for all instream work, whether resulting in temporary or permanent impacts, in Sawmill Run, Otts Creek and a tributary to Otts Creek, the DEQ said. Dominion Virginia Power is a subsidiary of Dominion Resources (NYSE:D). SoCal Edison supports recommended decision modifying Tehachapi project Carl Dombek The developer of the Tehachapi Renewable Transmission Project (TRTP) has offered its qualified support of a recommended decision that would grant it permission to make technical changes to the portion of the project ordered to be placed underground through the city of Chino Hills, Calif. (Docket No. A07-06-031). In comments filed with the California Public Utilities Commission (CPUC) on Jan. 2, project developer Southern California Edison (SCE) said it supports the recommended decision by administrative law judge (ALJ) Jean Vieth, that would have California regulators amend their July 11 decision and change some of the technical provisions of its order. 19 projects Planning operations policy Related ProjectS: Tehachapi Renewable Transmission Project Tehachapi Segments 4-11 Related Documents: SCE comments supporting PD, Jan 2 2014.pdf Related News: California regulators recommend approving changes to technical details of Tehachapi project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects In the July 11 decision, which ordered the undergrounding of a 3.5-mile stretch of the project that passes through the city of Chino Hills, the CPUC denied SCE a request that the company be allowed to include voltage control equipment on the 500-kV line. Instead, the CPUC directed the utility to study the possibility of changing the basic insulation level (BIL) rating for the line. The utility countered that the provisions of the order would be problematic, as the highest-rated cross-linked polyethylene (XLPE) cable available that can be used in the 500-kV application is rated at 550-kV, allowing only a 10% deviation from the intended operating voltage. SCE further noted that undergrounding the transmission line will cause an increase in the transmission line charging current that could, in some cases, cause the voltage on the system to exceed its 550-kV rating. Therefore, the company said, voltage control is necessary to control voltage and prevent damage. In addition, the utility stated that studying the possibility of changing the basic insulation level (BIL) rating for the line, as directed by the CPUC in its July order, would significantly delay the in-service date of the TRTP, perhaps to as late as 2019. The proposed decision approves SCE’s request to remove the basic insulation level study requirement and authorizes the utility to include voltage control equipment for reactive compensation as part of the construction of Segment 8A. It also increases the reasonable maximum cost for Segments 4 through 11 of the project by $23m, which a previous decision identified as the approximate cost based on SCE’s preliminary engineering. In its comments, SCE took issue with the proposed decision’s handling of the cost issue, noting that the cost of the modified voltage control design was not yet known. While the utility had sought to have the CPUC “defer all findings concerning the costs of components of the project and consider the issue in a consolidated process when the overall project cost estimates were addressed,” it noted that it would not seek changes to the proposed decision “in the interest of minimizing risk of further delay [and] given that the issue is not binding since transmission costs are ultimately recovered at FERC.” The proposed decision, issued Dec. 12, was subject to a 30-day public comment period before it could be placed on the agenda for a voting meeting. It is on the agenda for the CPUC’s meeting on Jan. 16. 20 projects Planning operations policy more related news: SCE completes removal of transmission towers through city of Chino Hills, Calif. California regulators approve SCE request to modify Tehachapi project ALJ recommends approving SCE request to modify Tehachapi project SCE: Tehachapi project is first of its kind; will require ‘extraordinary cooperation’ SCE to update Chino Hills, Calif., residents about TRTP underground construction Chino Hills supports SoCalEd request to modify order to underground Tehachapi project SCE proceeding with Tehachapi project while awaiting answer to petition to modify SoCalEd seeks modification of order to underground Tehachapi project CPUC receives request for rehearing of Tehachapi decision Update: Ruling to underground Tehachapi line uncontested No appeals of Tehachapi ruling yet as regulatory deadline approaches California regulators concerned about precedent from decision on Tehachapi project Update: Tehachapi transmission project to be placed underground — CPUC News Flash: California regulators approve undergrounding Tehachapi project page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects When completed, the project will be able to deliver up to 4,500 MW of largely renewable energy to Southern California, enough electricity to power three million homes, the utility said. SCE has called the project “a critically important, high-voltage transmission line, the timely completion of which is essential for California’s progress toward its aggressive renewable energy goals.” California’s renewable portfolio standard calls for 33% renewable energy by 2020. SCE is a subsidiary of Edison International (NYSE:EIX). Iowa legislation could affect Rock Island Clean Line Related ProjectS: Carl Dombek Related News: As the 2014 session of the 85th Iowa General Assembly opened on Jan. 13, three Republican legislators from eastern Iowa said they would co-sponsor two bills to strengthen Iowans’ private property rights with measures that specifically target the proposed Rock Island Clean Line (RICL). Clean Line to adjust portion of Rock Island route in northwestern Iowa Rock Island Clean Line The first of the bills, to be co-sponsored by state Reps. Walt Rogers, Bobby Kaufmann and Pat Grassley, would limit the taking of private property through the use of eminent domain to projects that have a “public use” purpose. With projects like the RICL, the bill would require developers to provide a significant portion of the power transmitted to customers in Iowa. Clean Line to acquire 200-mile, 345-kV project in New Mexico National Grid investment in Clean Line closes “One of the complaints about the Rock Island project is that the power generated will be used for customers in Chicago and points east, rather than benefiting Iowa customers,” Rogers, who is running for U.S. Congress, said in a Jan. 10 statement on his campaign website. Developers say the project will enable wind generators in western Iowa to deliver their output to markets to the east, thus providing substantial benefits to the citizens of the Hawkeye state. “Just as Iowa leads the nation in producing and exporting…lots of agricultural commodities, the Rock Island project will help Iowa to lead the nation in producing and exporting wind energy as well,” Hans Detweiler, director of development for the RICL, told TransmissionHub Jan. 13. “We think that is a very strong and significant benefit to the state of Iowa.” 21 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects A second bill to be cosponsored by Rogers and Kaufmann would clarify that developers of private projects, including merchant transmission lines like RICL as well as other facilities like recreational lakes, could not use eminent domain but instead would have to purchase the land required through voluntary negotiations with landowners. “The [RICL] project itself may have some merit, but the developers need to work with landowners to purchase easements voluntarily, rather than using government-backed force to simply take the land rights they want,” Rogers said. Kaufmann sponsored a bill in the 2013 legislative session that contained a similar provision. The measure, House File 219, passed the state House of Representatives 93-6 and was sent to the state Senate. It was referred it to the Senate Judiciary committee from which it did not emerge. The bills for the 2014 session were still being drafted as of mid-day Jan. 13, Kaufmann told TransmissionHub. Inquiries seeking additional comments from the legislators involved were not returned by press time Jan. 13. While the developer will not be able to provide specific comments until the bills are actually introduced, Detweiler said, “We believe that our project is very much in tune with Iowa values and benefits overall from very strong support.” The Rock Island Clean Line is a $2bn, 500-mile overhead direct current transmission line that would deliver up to 3,500 MW of wind-generated electricity from northwest Iowa to communities in Illinois and other states to the east that have little wind power potential but a strong demand for clean energy. Lucky Corridor proposes new 115-kV line in New Mexico Related ProjectS: (continued from first page) The Gallegos Wind Farm has begun construction and its owner intends to capture the production tax credit. “Our tenant is under construction and that means we are moving forward with acquiring right-of-way, permitting and doing everything it takes to build the Mora line,” Lucky Corridor CEO Lynn Green told TransmissionHub. 22 projects Planning operations policy Lucky Corridor Transmission Mora Line Related Documents: Lucky Corridor files amended SF299, Nov 2013.pdf page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. projects The early stage developer of Gallegos is looking for a partner to provide $1.5m of capital, according to Glen Black, manager of Gallegos Wind Farm Phase I. Lucky re-designs Lucky Corridor project Lucky Corridor has re-designed its eponymous project, the 130-mile Lucky Corridor line, to a single-circuit 345-kV line from double-circuit 230-kV line, and is no longer working with Tri-State Generation and Transmission Association, with which it had a joint study agreement, on the project. The Lucky Corridor transmission line is designed to transport electricity generated from renewable resources in eastern and northern New Mexico to the NYMEX trading hub, Four Corners. The Lucky Corridor transmission project as re-designed is a 345-kV single-circuit line that would run from the existing Ojo substation, near Espanola, and the existing Gladstone 230-kV substation, located near Farley. The line is proposed to parallel an existing 345-kV transmission line that runs from the Ojo substation to the Taos substation, and then to parallel an existing 115-kV line from the Taos substation, located near Taos, to the Black Lake substation, near Angel Fire, to the Springer substation, near Springer, and on to the Gladstone substation. Related News: Lucky Corridor secures first anchor tenant, gets MOU Lucky Corridor offers nearly $9m in private placement FERC grants Lucky Corridor authority to charge negotiated rates CEO: N.M. clean energy line narrows costs, gets milestone with MOU As originally conceived, the project proposed to upgrade to two 230-kV circuits Tri-State’s 115-kV line that runs from Taos to Gladstone. Under this original proposal, Tri-State would continue to own the ROW and physical assets of the project, and would own capacity equal to the 200 MW on the 115-kV line. Lucky would own the capacity created by the upgrade. The redesigned project is estimated to cost $260m, comprising $180m in debt financing and $80m in development financing and project equity. The estimate is $83m less than the 230-kV alternative. The company has completed civil engineering on both the 345-kV and 230-kV proposals, both of which would require 150-foot ROW, and is seeking permitting for both systems. The company has secured 32 miles of contiguous, 150-foot wide right-of-way, with 100% landowner support for the project. Of that 32 miles, 7.5 miles of ROW were obtained from the state. 23 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Planning Center for Rural Affairs: Open houses, education help in potential clashes between communities, transmission developers Corina Rivera-Linares Related ProjectS: St. Cloud to Monticello 345-kV Project Grain Belt Express Clean Line When it comes to potential clashes between communities and transmission line developers, one of the easiest recommendations for developers to implement is to increase the frequency of open houses and public meetings, according to the Center for Rural Affairs. Badger Coulee Transmission Line Project “Developer open houses present a prime opportunity to not just educate stakeholders on a specific project, but to also answer questions and address concerns at a personal level,” according to the report, “From the ground up: addressing key community concerns in clean energy transmission,” by the Center for Rural Affairs and Lu Nelsen, energy policy associate at the center, released on Jan. 8. Related Documents: Big Stone South to Ellendale Center for Rural Affairs report, Jan 8 2014.pdf Related News: According to its website, the Center for Rural Affairs is a private nonprofit specializing in strengthening small business, rural communities as well as family farms and ranches. Minnesota utilities must pay minimum compensation, relocation under “buy the farm” law In the report, local media reports focusing on transmission projects and the reactions of community members to those projects were gathered from several states. Grain Belt Express Clean Line issues RFI involving wind projects in Kansas The center also noted in its report that analysis of those sources identified six common issues that surround transmission development in each case: agriculture, conservation, health, eminent domain, need and fairness. ATC, Xcel Energy file for Wisconsin approval of 345-kV transmission line The sample was narrowed to 100 discrete media pieces, examining 14 different transmission projects, including Monticello-St. Cloud, Grain Belt Express and Badger Coulee. According to TransmissionHub data, the 30-mile, 345-kV Monticello-St. Cloud double circuit line was placed into service in December 2011. The project is part of CapX2020, and the utilities involved in that initiative include Xcel Energy (NYSE:XEL), Otter Tail Power and Dairyland Power Cooperative, among others. Clean Line Energy Partners’ 550-mile, 600-kV, $2.2bn Grain Belt Express Clean Line project received approval from the Kansas Corporation Commission in December 2011. Clean Line’s primary owners are ZAM Ventures LP and National Grid USA subsidiary GridAmerica Holdings. National Grid is a subsidiary of National Grid plc. 24 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Planning TransmissionHub data also notes that the anticipated final decision from Wisconsin state regulators on American Transmission Company’s 345-kV Badger Coulee project is anticipated this year, which would mean construction would begin in 2016 and the project would be energized in 2018. In discussing its recommendations, the center noted in its report that outreach can continue once the official open house period has ended. Improving the online presence of projects is an easy step for developers, the center added, noting that many transmission projects have websites that list out-of-date information as the top links in their news sections, or list substandard or inaccessible information. An example of a project that presents a clean and interactive design for users is the site for the Big Stone South to Ellendale project, which is being developed by Otter Tail Power and Xcel Energy, the center added. Developers can also mirror the actions of advocates in providing fact sheets on the regulatory process that is required by the state. Developers can also use other approaches to address concerns from communities and landowners. For instance, Clean Line Energy Partners have signed an agreement with the Illinois Department of Agriculture to mitigate certain impacts that construction may have on agricultural land. In that case, the company agreed to use monopole structures to minimize land taken out of production, and to limit the impact to soil and drainage systems. Also, using information gathered from communities and landowners, developers can form lists of locations that they should try to avoid when siting a line, which can make it easier to mitigate impacts to local areas of importance during the siting and construction process. “A stronger dialogue with communities and landowners will help developers better understand specific conservation concerns,” the center added. On health, the center noted that perhaps the only way to mitigate concerns over health effects is to make a concerted effort during siting to keep a line as far from residences as possible. The center also discussed compensation, noting that given the fact that voluntary acquisition is one of the best ways to belay concerns over the use of eminent domain, it is in the developers’ interest to make easement agreements as appealing as possible to landowners. Clean Line Energy Partners, for instance, is trying 25 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Planning to make its easement agreements more appealing by providing the option for landowners to receive annual payments instead of a single lump sum. Educating landowners on when eminent domain is used, and how the process works would help alleviate some of the anxiety inherent in the process, the center added. Possible steps include publicly posting a standardized easement agreement for stakeholders to read through and analyze, as well as group negotiations with several stakeholders. The center also noted that localizing benefits of a transmission line can be a difficult task, particularly if the developer is not in need of any materials or services that a community can provide. Showing how upgraded transmission can affect consumers’ rates and reliability may be a good tact for developers, the center said. ”In order to improve the transmission system in the Midwest and across the country, it is vital that developers and advocates confront the concerns of those affected,” Nelsen said in a Jan. 8 statement. “Infrastructure is important, but it is essential that it be done in partnership with communities.” The center noted in its report that the nation’s most abundant wind resources reside in the remote regions of the upper Midwest and Great Plains. Those lightly populated areas require only a small amount of electricity, making it imperative that new transmission infrastructure be put in place to move that energy from where it is produced to where it is needed most. In 2012, the center added, the United States installed more than 13 GW of new wind projects. At the same time, investments in transmission infrastructure continue to lag, remaining the single biggest impediment to further industry growth, the center said. 26 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations Northwest utilities commit to developing projects to enhance regional efficiency Carl Dombek A group of 18 public and investor-owned utilities in the Northwest has committed $4.3m to develop a set of actions and investments that will increase visibility of the region’s electric grid, foster a more robust bilateral capacity market and further evaluate elements of the potential for security-constrained economic dispatch (SCED) in the region. “We identified seven projects that we are going to be pursuing and financing as a group,” a spokesperson for the Northwest Power Pool (NWPP) members’ market assessment committee told TransmissionHub Jan. 16. “Now that we have funding, we need to develop the detailed work plans [for the projects].” The Northwest Power Pool is a group of more than 30 major generating utilities serving the northwestern United States and the Canadian provinces of British Columbia and Alberta. The commitment of funds is the next step in the group’s Market Assessment and Coordination Initiative, which was begun in May 2012 to build on the NWPP’s 70-year history of improving regional coordination and finding efficient solutions to operational challenges. The utilities that committed the funds are members of the group’s market assessment committee, which was chartered as a complement to the group’s reliability committee. The reliability committee has responsibility for overseeing the region’s reserve sharing group. Planned projects include developing a regional flow forecast of system conditions on targeted transmission flowgates; regional data aggregation and data sharing tools to provide balancing authorities and merchants greater visibility and access to selected operating data; and improved resource monitoring and deliverability to ensure availability and deliverability of energy and capacity. Eighteen utility members of the Northwest Power Pool have committed more than $4m to develop seven actions that will enhance the operation of the grid in the northwest as well as enhance bilateral trading and pave the way for securityconstrained economic dispatch. Additional projects include flow-based operational integration to ensure appropriate coordination between the reliability coordinator, the NWPP reserve sharing group and regional operators; 15-minute flexible capacity definitions and a functional transaction platform to improve the efficiency and liquidity of the bilateral capacity market; development of balancing authoritylevel resource sufficiency data collection and reporting process, protocols, and agreements; and additional analysis of design, cost and governance elements of a security constrained economic dispatch within the Northwest Power Pool footprint. 27 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations Many of the tools and actions being looked into are already in use by grid operators elsewhere in the country, so NWPP members will not have to reinvent the wheel. “What we’re trying to do is enhance tools that already exist,” but which are not currently in use in the Northwest, the spokesperson said. “There are no brand-new platforms that we’re building from the ground up. We are trying to keep costs down and use things that have already been proven.” The northwest region of the United States has historically resisted any constructs that resemble the independent system operators (ISOs) and regional transmission organizations (RTOs) in place in other parts of the United States and Canada. The projects being studied are expected to bring the region some of the efficiencies of such organizations without sacrificing the independence of existing entities. “[The actions] will address many critical needs with respect to reliability coordination and will help resolve longstanding barriers to a more robust bilateral market,” Elliot Mainzer, acting BPA administrator, said in a statement announcing the commitment of funds. BPA is one of the 18 utilities represented on the market assessment committee. As well as making bilateral markets more robust, the actions are also expected to enable the region to use its existing infrastructure more efficiently. ”The steps [are] important precursors to coming reliability requirements in the region and to a security constrained economic dispatch model if utilities ultimately decide to move in that direction together,” Jim Piro, president and CEO of Portland General Electric (NYSE:POR), said in the statement. Portland General Electric is also a member of the market assessment committee. While one goal of the steps is to evaluate the potential for regional security constrained economic dispatch (SCED), such an approach to generation dispatch is not universally accepted. “Customer value and critical governance issues must be closely addressed as we work through [the planning] and consider additional steps,” Bill Gaines, director and CEO of Tacoma Public Utilities, said. “While we still have unresolved concerns about the ultimate costs and benefits of a SCED within the region, I believe it is important to keep the region’s utilities working together on these issues.” 28 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations As defined by FERC, SCED is “the operation of generation facilities to produce energy at the lowest cost to reliably serve consumers, recognizing any operational limits of generation and transmission facilities” including limits on generator output, transmission pathways and flowgate constraints. Any solutions that emerge will be required to adhere to three principles, including cost-causation, leveraging existing tools and platforms as feasible, and preserving the value of the region’s existing contingency reserve sharing program. The group plans to schedule and host a public meeting in midFebruary to provide interested stakeholders opportunities to learn more about the market assessment and coordination initiative and to provide input regarding the planned activities. As currently planned, the activities and projects should be developed by the end of the year. “We’re looking at a majority of the work being done during 2014,” the spokesperson said. Additional planning will be performed to ensure that the schedule is feasible. FERC staff: In broad scope, overall outcome better during recent polar vortex than during February 2011 cold weather event Corina Rivera-Linares FERC staff on Jan. 16 updated the commission on the bulk power system performance during the extreme cold weather event of the week of Jan. 6, during which many system operators in the eastern United States broke their winter peak demand records. Related Documents: FERC staff presentation, Jan 16 2014.pdf Related News: PJM, ISO-NE, NYISO tell FERC proper planning, communication helped maintain reliability during polar vortex The Midcontinent ISO (MISO), Southwest Power Pool (SPP), the Electric Reliability Council of Texas (ERCOT), PJM Interconnection (PJM) and the New York ISO (NYISO) all set winter peak demand records, as did most of the utilities in the Southeast, staff said in its presentation before the commissioners. PJM, ISO New England (ISO-NE) and NYISO recently told FERC that proper planning helped them maintain reliable operation of their respective region’s electric grids during the cold snap brought about by the polar vortex phenomenon. Beginning on Jan. 5 and continuing through Jan. 8, a significant cold weather system moved across the eastern United States, with temperatures generally 20 to 40 degrees below normal for this time of year, staff said. 29 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations In the days leading up to the cold snap, system operators and generator owners took steps to prepare their systems and equipment for the freezing temperatures. For generators, staff added, such actions typically include the deployment of additional insulation, supplemental heating to prevent critical components from freezing, and testing of systems’ dual-fuel capability. System operators worked to cancel or postpone scheduled outages, commit additional resources, request information about fuel restrictions and ensure adequate staffing. MISO, for instance, arranged for operating personnel to stay onsite to ensure full staffing during the event. On Jan. 3, the Friday before the cold snap, PJM filed with FERC for a week-long waiver of certain non-disclosure provisions in its operating agreement. As granted by FERC, the waiver allowed PJM to engage in unit-specific review of day-ahead plans with the interstate natural gas pipelines to help ensure that adequate supplies of natural gas were available and to confirm unit availability, staff added. Based on preliminary data, at this time it appears that Midwest, Northeast and Southeast regions set record demands for natural gas, while other parts of the eastern and central U.S. were near their all-time peaks. While fuel restrictions certainly stressed the electric supply, system operators were able to maintain reliable electric service. In addition to gas restrictions, system operators reported problems such as frozen coal stockpiles at coal-fired generating stations, and problems with fuel switching at dual-fuel units. Wind turbines were also affected by the cold, staff added, with some wind turbine models reaching their minimum operating temperatures. Additionally, two nuclear units tripped due to equipment problems, but it is not clear at this time if the problems were related to the cold temperatures. Demand response was helpful during the event and the NYISO, for instance, requested voluntary demand response on Jan. 7 so that it could reduce demand locally and use that energy to help another RTO seeking resources. MISO was the first region to be affected by the cold weather, setting a new all-time weather peak of nearly 110 GW on Jan. 6. The SPP region also established a new winter peak of nearly 37 GW on Jan. 6. Meanwhile, ERCOT set a new winter peak demand record of more than 57 GW on Jan. 7. As for utilities in the southeast, Duke Energy’s (NYSE:DUK) Duke Energy Carolinas and 30 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations SCANA’s (NYSE:SCG) South Carolina Electric and Gas implemented voltage reductions on Jan. 7 to help meet high demand, staff added. PJM set a new winter peak of around 141 GW on Jan. 7. Also on that day, NYISO set a new winter peak of nearly 26 GW. Staff also noted that FERC and NERC’s joint staff report on the cold weather event of February 2011 detailed 26 recommendations for the electric industry. Using the key findings and recommendations from that report, seven lessons learned were developed that focused on maintaining individual unit reliability and preventing cold weather related generation outages. Two lessons learned, for instance, addressed issues related to transmission equipment outages and recommended that transmission facilities be inspected for areas where water could collect and freeze. Among other things, staff said, “It is too soon to draw detailed comparisons of performance in 2011 versus last week, or assess the extent to which entities avoided the particular mistakes of 2011, but in broad scope certainly the overall outcome was better, which suggests that the efforts made since 2011 have yielded a change for the better.” With regard to next steps, staff said NERC and the regional entities will continue the efforts underway to get the details of what happened and why from transmission operators, generators and others, so that any aspects of performance still needing improvement can be identified. PJM, ISO-NE, NYISO tell FERC proper planning, communication helped maintain reliability during polar vortex Corina Rivera-Linares Proper planning helped PJM Interconnection, ISO New England (ISO-NE) and the New York ISO (NYISO) maintain reliable operation of their respective region’s electric grids during the cold snap brought about by the polar vortex phenomenon during the week of Jan. 6, the RTOs told FERC. 31 projects Planning operations policy Related Documents: PJM Interconnection filing, Jan 10 2014.pdf Related News: Subzero temperatures equal East Coast spot power prices of more than $220/MWh page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations In its response to FERC’s Jan. 8 data request regarding PJM’s operations during the cold weather events of Jan. 6-8, PJM noted that its responses are based on its preliminary review of the January events and, therefore, are subject to change pending the completion of its review of the situation. FERC staff made the request in order to prepare a report on system operations during the weather events, a NYISO spokesperson told TransmissionHub on Jan. 14. That report will be provided by FERC staff to the commissioners at the Jan. 16 FERC meeting. PJM and most of its neighboring balancing authorities experienced a polar vortex weather phenomenon that resulted in sub-zero temperatures and high-speed wind conditions from Jan. 6-8, and as a result, there was a significant increase in electricity demand in several transmission zones in the PJM region, PJM told FERC. PJM added that while the cold weather negatively affected some generating plants and transmission facilities, with forecasting, prior planning, calling for load reductions by demand response resources and careful communications with its members and their gas suppliers, PJM was able to take steps to better manage the adverse effects of the weather conditions and ultimately keep the bulk electric system reliable and deliver power to customers. During the January events, there was a significant increase in electricity demand in the PJM region, setting new records for the winter peak load. PJM added that the previous winter peak load record of 136,675 MW, set in February 2007, was broken on Jan. 7 when the load of 138,733 MW was reached. A new record was set later that same day when load reached 141,312 MW. PJM also noted that it managed the weather effects by taking emergency actions, including its Jan. 3 request of FERC for expedited relief, for instance, to enable PJM to better communicate with certain natural gas pipelines operators serving PJM members to ensure reliability during the forecast extreme weather conditions. Starting on Jan. 5, PJM declared a cold weather alert for Jan. 6-8, and on Jan. 6, PJM called for maximum emergency generation and a voltage reduction warning, leading to a call for public conservation for Jan. 7. PJM later extended the public appeal to Jan. 8 to better manage the continuing strain on primary reserves. PJM noted that it held two joint calls with interstate pipelines in its footprint, one on Jan. 7 and another on Jan. 8. The pipelines, in general, had issued operational flow orders, restricting nominations to non-interruptible transportation customers. They also issued notices affirming the restriction of customers to their hourly schedules and the penalties that would apply if they went over their ratable amounts. 32 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations PJM also received reports of coal quality issues related to the heavy rains during the weekend before Jan. 6, and then subsequent icing of coal and coal-related equipment during the Jan. 6-9 period. The RTO further noted that there were constraints on 345-kV and higher portions of its system during peak periods between Jan. 6 and Jan. 8, including the American Electric Power (NYSE:AEP) CIN Wheatland 345-kV tie line for the loss of the JeffersonRockport 765-kV line, and the PPL (NYSE:PPL) Susquehanna 21 500/230-kV transformer for the loss of Susquehanna Unit 1. Also, 765-kV forced outages included AEP’s Kammer-VassellMaliszewski 765-kV line, while 765-kV planned/ongoing outages included AEP’s Baker Phase 3 765-kV reactor and Broadford 765-kV reactors. PJM also noted that 500-kV forced outages included Dominion’s (NYSE:D) Mt Storm 500-kV G2T554 CB and PPL’s Juniata KeystoneAlburtis Tie 500-kV CB. The RTO said that 500-kV planned/ ongoing outages included Baltimore Gas and Electric’s (BGE) Conastone 500/230-kV 500-3 transformer and Dominion’s Loudoun-Pleasant View 500-kV line. Also, 345-kV forced outages included Commonwealth Edison’s (ComEd) 115-kV Bedford Park 345/138-kV TR82 transformer and 108 Lockport-120 Lombard 345-kV Line 10808. PJM added that 345-kV planned/ongoing outages included AEP’s Twinbranch 345/138-kV #6 transformer and Kanawha River 345-kV 1 & 2 series capacitors, as well as Duquesne’s Collier 345/138-kV T3 transformer. Among other things, PJM said that lessons learned include that proactive communication with the states was helpful in notifying and clarifying emergency procedures and expectations. Also, cold weather preparations, such as seeking an operating agreement waiver from FERC for Order 787 further enabled gas/electric coordination, were helpful in securing additional data PJM needed to improve operations. BGE and ComEd are subsidiaries of Exelon (NYSE:EXC). ISO New England ISO-NE also prepared a report in response to FERC’s request, but the report is not posted at this time, an ISO-NE spokesperson told TransmissionHub on Jan. 14. “[T]he power system in New England performed as expected so we were in good shape through the latest cold snap,” the spokesperson said. 33 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations According to a summary of the ISO-NE report, the Jan. 15, 2004 “Cold Snap” had the lowest average temperature in the last 20 years and the all-time winter peak of 22,818 MW. The January 2014 days were among the coldest 5% of days in the last 20 years, with daily average temperatures between “5-12 degrees F.” The summary further noted that while the preliminary peak load for Jan. 7 was 21,320 MW at 7.9 degrees Fahrenheit, the highest peak demand so far this winter occurred on Dec. 17, 2013, at 21,514 MW, although that figure is also preliminary. Six natural gas-fired generators reported that they could not confirm whether they would be able to procure fuel when called intraday during the period from Jan. 7-8. Many of the resources that could not provide gas procurement answers in a timely way later called and advised they were available, the summary added, citing that as an indication of the difficulty in arranging for gas during tight pipeline conditions. ISO-NE maintains daily communication with the five interstate pipelines serving the region in order to assess system conditions. On Jan. 3, ISO-NE and the Northeast Gas Association held a conference call to discuss the upcoming cold weather and areas of concern to both industries, and daily communication continued, as usual, through the cold snap, the summary added. “When a constraint occurred on a pipeline outside New England, the inter-industry communications were extremely helpful to the ISO in order to be able to understand the abilities of the pipeline system in real time and for the immediate future,” the summary said. While most of the pipelines were operating at or near capacity, a significant amount of the New England gas fleet was offline due to economics or they were burning their alternate fuel. On the peak hour – from 6 to 7 p.m. – on Jan. 7, the energy produced by generators in New England, by fuel type, arranged by percent of total generation was: • Natural gas: 25% • Oil: 25% • Nuclear: 23% • Coal: 11% • Hydro: 9% • Renewables: 5% 34 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations • Wind: 1% • Other: 1% Over the evening peak, from 6 to 7 p.m., on Jan. 7, the natural gas percentage of New England generation was relatively low while oil, which on average produced less than 1% of the energy in 2012 and 2013, was contributing 25% and coal was producing 11%. The summary further noted that ISO-NE was able to meet demand and reserve requirements and on Jan. 7, to provide 500 MW requested by PJM from 3 p.m., to 11 p.m. New York ISO The NYISO spokesperson said that the RTO responded to FERC’s request on Jan. 10, and that NYISO’s response is not available at this time. In a Jan. 7 statement, NYISO said it called for the activation of voluntary demand response programs statewide between 4 p.m., and 10 p.m., to support electric system reliability throughout the Northeast and Midwest regions as frigid weather conditions affected electricity use and power production. The NYISO also encouraged consumers to help conserve electricity by adjusting thermostats to a comfortable but lower-than-normal setting if health conditions permitted, refraining from using major electric appliances and turning off unnecessary electric lights and appliances during that time period. “System conditions will be tight today with some generating units either not at full capacity or unavailable as a result of the extreme cold, icing conditions and high demand for natural gas,” NYISO President and CEO Stephen Whitley said in the statement. On Jan. 9, the NYISO said that it successfully met a new winter record peak demand for electricity of 25,738 MW on Jan. 7. The previous record winter peak demand of 25,541 MW was set on Dec. 20, 2004. Record-low temperatures in many portions of the United States resulted in a challenging day for electric system operators in New York, New England, the mid-Atlantic and the Midwest, Whitley said in that statement. “However, thanks to excellent regional cooperation and coordination, the expertise of our operators and the performance of New York’s generation owners, utilities and demand response partners, we successfully managed those challenges and maintained system reliability,” he said. 35 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations The NYISO and neighboring grid operators, including ISO-NE, PJM, Hydro Quebec and the Ontario Independent Electric System Operator continue to work together on initiatives to improve coordination and communication. NYISO added that it was able to import power on Jan. 7 from ISO-NE and Ontario over the evening peak hours and export power to help the PJM region. Also, the NYISO’s demand response programs, which reduce energy use at peak times, were activated to help support regional reliability and manage demand. On wind power, the NYISO noted that it had the benefit of more than 1,000 MW of wind power throughout much of the day on Jan. 7. The NYISO also highlighted certain challenges, noting that extremely cold temperatures can cause equipment problems on the electric system, such as reduced pressure in high voltage circuit breakers, icing in rivers for hydroelectric plants and frozen pipes and valves associated with outdoor auxiliary systems. While the state benefits from a diverse fuel mix for its generation fleet, natural gas fuels the largest percentage of the generation portfolio. The NYISO added that the high demand for natural gas during periods of extreme cold weather over a large portion of the country can reduce the availability of natural gas for generation plants. That differs from the summer when demand for natural gas by retail customers is relatively low and there is usually excess capacity on the pipeline infrastructure available for gasfired generation facilities. Those weather and system dynamics can make meeting a 25,738 MW record peak in the winter just as challenging as meeting the record peak of 33,956 MW experienced last summer, the NYISO said. West Penn Power to pay $86,000 civil penalty in case of woman’s death by fallen power line Corina Rivera-Linares West Penn Power is to pay an $86,000 civil penalty and provide annual refresher training for linemen and supervisors in a case related to the death of a woman involving a fallen power line, Pennsylvania state regulators said on Jan. 9. 36 projects Planning operations policy Related Documents: Pennsylvania PUC opinion and order, Jan 9 2014.docx Related News: Pennsylvania PUC files complaint against West Penn Power stemming from death of woman by fallen power line page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations The state Public Utility Commission (PUC) in 2012 filed a complaint against West Penn Power formerly d/b/a Allegheny Energy alleging violations of the public utility code stemming from the death of Carrie Goretzka. According to the PUC’s May 30, 2012, complaint, on June 2, 2009, West Penn Power’s 7,200-volt power line fell from its pole into the yard of Goretzka in Irwin, Pa. Goretzka came into contact with the live wire in her yard, the PUC said, adding that she suffered burns on 85% of her body and died from her injuries on June 5, 2009. more related news: Attorney charges Allegheny Energy’s failure led to death of woman by fallen power line The PUC voted 5-0 on Jan. 9 to approve a modified settlement between West Penn Power and the PUC’s independent Bureau of Investigation & Enforcement (I&E), the PUC said, adding that it will further examine inspection requirements for automatic splices in a separate proceeding that provides interested parties the opportunity to file comments. An attorney representing Goretzka’s family lauded the PUC for its decision. “I am gratified that the PUC took strong remedial action in response to our law firm’s complaint, which will make the citizens of southwestern Pennsylvania safer,” Shanin Specter told TransmissionHub Jan. 13, The company and I&E have 10 days to agree to the modifications to the settlement that includes annual refresher training for West Penn Power employees. If either party does not agree to the modifications, the issue will be referred to the PUC’s Office of Administrative Law Judge for hearings. “FirstEnergy will review the modified settlement and will respond within the 10-day period provided for in that settlement,” a FirstEnergy spokesperson told TransmissionHub on Jan. 13. “We look forward to putting this tragic matter behind us and moving forward.” FirstEnergy (NYSE:FE) completed its merger with Allegheny Energy in February 2011. The PUC noted that under its order, the company is to also modify its training program to ensure that linemen and line supervisors address splice installations and other issues; inspect the automatic splices on its primary distribution system using infrared technology; spot check 5% of the installations a year; and track automatic splice failures and report the information as part of its annual report to the PUC. 37 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. Operations According to the Jan. 9 opinion and order, the PUC has promulgated a policy statement that sets forth 10 factors that it may consider in evaluating whether a civil penalty for violating a PUC order, regulation or statute is appropriate, as well as if a proposed settlement for a violation is reasonable and approval of the settlement agreement is in the public interest. One factor is whether the regulated entity made efforts to modify internal practices and procedures to address the conduct at issue and prevent similar conduct in the future. West Penn Power estimates that the education, training, inspection and review protocols in the settlement will cost more than $2.5m. “We find that these actions, as a whole, demonstrate that West Penn is taking appropriate actions to enhance its installation and inspection practices regarding automatic splices in order to prevent similar occurrences in the future,” the PUC said. Another factor is the number of customers affected and the duration of the violation. In this case, the PUC added, in addition to the Goretzkas, 70 customers experienced an outage that lasted about 4.5 hours. “This factor lends support to a higher civil penalty amount,” the PUC said. Among other things, the PUC added that while it finds that the agreed-upon civil penalty is a sufficient deterrent, it is imperative that it makes one clarification with regard to the civil penalty amount. In its statement in support of the settlement, West Penn Power indicated that the civil penalty may not be recovered through rates regulated by the PUC, but that information is not contained in the settlement. Accordingly, the PUC said, it will modify the settlement to state that West Penn Power will not seek to recover any portion of the $86,000 civil penalty through rates regulated by the PUC. 38 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. policy New Jersey governor vetoes changes in state’s Energy Master Plan Barry Cassell Calling it “superfluous” and “redundant,” New Jersey Gov. Chris Christie on Jan. 13 vetoed a bill passed by the state Legislature that would have required the state to alter its Energy Master Plan. “With this bill, the Legislature seeks to require the State’s Energy Master Plan (‘EMP’) to incorporate benchmarks designed to measure the State’s progress towards meeting its long-term energy objectives and for the EMP to analyze the efficiency of generation capacity and the State’s energy infrastructure,” said a veto message from the governor. “In advancing this bill, however, the Legislature overlooked the fact that my 2011 EMP already includes interim implementation of measures designed to achieve the State’s long-term objectives and discusses in detail the promotion of a diverse portfolio of new, in-state, clean-energy generation and the accordant energy infrastructure opportunities and challenges facing the State.” The advancement of this “redundant” legislation must be contrasted with the Legislature’s failure to act on other priority initiatives,” Christie added. “For example, informed by lessons learned from Tropical Storm Irene and two months before Superstorm Sandy made landfall, I sent to the Legislature ‘The Reliability, Preparedness, and Storm Response Act of 2012.’ That legislation was another step in my Administration’s commitment to protect ratepayers and improve utility response to emergencies by, among other things, substantially strengthening and modernizing the Board of Public Utilities’ (‘BPU’) enforcement powers. In the intervening 16 months, the Legislature has failed to pass that important legislation. Instead, the Legislature advanced a version of my proposal that watered down the enforcement mechanism and exempted certain utilities from its purview.” The Legislature has instead delivered a “superfluous bill” that fundamentally does not alter the state’s EMP and does not address existing energy infrastructure issues identified by the Christie Administration, the governor added. 39 projects Planning operations policy Related Documents: NJ Gov JAN 13 2014 Veto Message.pdf Related News: New Jersey appeals court ruling over its power development law New Jersey energy master plan calls for state’s collaboration with PJM, FERC on transmission New Jersey to hold hearing on capacity procurement, transmission planning Calling it “superfluous” and “redundant,” New Jersey Gov. Chris Christie on Jan. 13 vetoed a bill passed by the state Legislature that would have required the state to alter its Energy Master Plan. page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. policy FERC issues NOPR on reliability standard aimed at mitigating impacts of geomagnetic disturbances on bulk power system (continued from first page) Related Documents: FERC notice of proposed rulemaking, Jan 16 2014.pdf The proposal takes the first step in implementing a May 2013 final rule in which FERC directed NERC to develop new mandatory reliability standards, in two stages, to address GMD vulnerabilities, FERC added in its statement. FERC press release, Jan 16 2014.pdf Under that final rule, NERC is required to file the second stage reliability standards in January 2015 and they would identify “benchmark GMD events” that specify the severity of GMD events that owners and operators must assess for potential impacts on the bulk-power system. FERC directs NERC to develop geomagnetic disturbances standards to ensure reliability FERC also noted that responsible entities would be required to conduct initial and ongoing assessments of the potential impact of those events on equipment and the system, and to develop and implement plans to protect against instability, uncontrolled separation or cascading failures. The Jan. 16 notice of proposed rulemaking (NOPR) pertains to a standard offered by NERC to address implementation of operating plans and operating procedures or processes to mitigate effects of GMD. NERC’s proposed standard would apply to reliability coordinators and transmission operators with an operator area that includes certain power transformers with terminal voltage greater than 200 kV, FERC added. Related News: On cybersecurity, FERC Commissioner LaFleur calls for enhanced information sharing Markey-Waxman report: Most utilities meeting only minimum cybersecurity standards Cyber security initiatives ongoing, but ‘attackers will always be one step ahead’ The standard has three requirements: • Reliability coordinators must develop, maintain and implement a GMD operating plan that coordinates the GMD operating procedures or processes within the reliability coordinator area. (Requirement R1) • Reliability coordinators must disseminate space weather information. (Requirement R2) • Transmission operators must develop operating procedures or processes to address GMD events. (Requirement R3) According to the NOPR, in discussing Requirement R1, NERC explained that the reliability coordinators are required to ensure that GMD operating procedures and operating processes in a reliability coordinator area are not in conflict, but reliability coordinators will not review the technical aspects of the GMD operating procedures and operating processes. 40 projects Planning operations policy page 1 Copyright © 2014 PennWell Corporation • Federal copyright law prohibits unauthorized reproduction by any means and imposes fines of up to $150,000 for violations. policy Instead, NERC said transmission operators will be responsible for the technical aspects of their operating procedures and operating processes. Requirement R1 requires reliability coordinators to describe the activities that must be undertaken in order to mitigate the effects of a GMD event. On Requirement R2, FERC said NERC maintains that entrusting the responsibility to disseminate space weather information to ensure coordination and consistent awareness in its reliability coordinator area to reliability coordinators is appropriate given the reliability coordinator’s wide-area view. Also, on Requirement R3, NERC said that each transmission operator is to specify steps or tasks that must be conducted to receive space weather information; what actions must be taken under what conditions and such conditions must be predetermined; and when and under what conditions the operating procedure or operating process is exited. Comments are due 60 days after publication in the Federal Register, FERC said. 41 projects Planning operations policy page 1 TransmissionTrends transmissionhub.com TransmissionTrends is free to subscribers of TransmissionHub, a PennWell MAPSearch service. 1455 West Loop, Suite 400 Houston, TX 77027 800.823.6277 CHIEF ANALYST Rosy Lum SENIOR EDITOR Carl Dombek PROJECT DATA Kent Knutson SENIOR ANALYST Corina Rivera-Linares CONTRIBUTORS Barry Cassell Wayne Barber General Manager Edward Metz Support [email protected] 800.823.6277 Sales [email protected] 800.823.6277 contacts Content [email protected] We welcome your feedback and story ideas. Copyright © 2014 PennWell Corporation. All Rights Reserved. TransmissionTrends contains copyrighted subject matter and confidential information owned solely by PennWell. 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