Interconnection and Transmission

Transcription

1 Interconnection and Transmission Gary L. Brown, P.E. Director of Energy Development Kevin Coffee Energy Management Committee Meeting Irvine, California August 26, 2015

2 Interconnection and Transmission Topics Covered Interconnection Studies Voltage Considerations Transmission vs. Distribution System Connection Power or Load Flow Interconnection Standards Application Processes Costs and Timing Network vs. Direct Assignment Upgrades & Costs Financial Security Interconnection Agreement Curtailment Issues Economic / congestion / Over-Generation Emergency / dispatch down

3 Interconnection Studies Purpose: Determine impacts on the transmission and/or distribution Determine cost to interconnect utility facilities Determine system upgrade costs trans. & dist. Study Types: Fatal Flaw or Initial Site Assessment Feasibility System Impact Facility Operational

4 Voltage Considerations Transmission Level: Dependent on specific utility 69kV to 500kV Dependent on generator resource size Directly affects the cost to interconnect Distribution Level: 12kV to 69kV, possibly as low as 4160v Generally there are capacity limits on lower voltage lines; i.e. ~ 10 MW on a 12kV Line More sensitive to voltage fluctuations

5 Transmission Access Considerations Proximity of transmission lines and substations Available Transmission Capacity Interconnection Facilities and Cost Tap, loop-in, available breaker position; project size Planned transmission upgrades Transmission Service / Wheeling Charges going across BA boundaries

6 Transmission vs. Distribution System Connection Effects on Interconnection Costs ( Tap to an existing line) 500 kv Tap Unavailable 230 kv Tap Unavailable 115 kv - $1M to $3M 69 kv - $0.5M to $2M This would include: Possible pole-line reconfiguration SCADA controlled switches Direct Transfer Trip (DTT) Telecom

7 Transmission vs. Distribution System Connection Effects on Interconnection Costs ( Loop-in station to an existing line) 500 kv - $25M to $40M (generally the utility won t segment a 500 kv line) 230 kv - $20M to $30M 69 kv or 115 kv - $7M to $15M This would include: Transmission line reconfiguration New or expanded switching station RTU / Telecom CTs/PTs Breakers, disconnects Protection relays

8 Interconnection Standards Need Grid Reliability and Stability to Overcome and Compensate for Intermittency Low Voltage Ride-Through (LVRT) Frequency Disturbance Ride-Through Capability Power Factor (Reactive Power) Set-point Capability Supervisory Control and Data Acquisition (SCADA) Capability Coming Soon Ramp Rate Limits & Control Up and Down Remote set-point control (voltage / power factor) Controlled Dispatch or Power Management

9 Application Processes Costs and Timing Transmission FERC Jurisdictional Large Generator Interconnection Procedures (LGIP) Large Generator Interconnection Agreement (LGIA) RTO/ISO/Utility Variations Exist Cluster Process Independent Study Fast Track (up to 5 MW) Serial Process o Feasibility Study o System Impact Study o Facilities Study

10 Application Processes Costs and Timing Distribution Wholesale Distribution Access Tariff (WDAT) FERC jurisdictional wholesale energy sales generally follow the LGIP process Rule 21 (CA CPUC Jurisdictional) - Similar to IEEE-1547 Serial Process o Initial Review (Fast Track Screening up to 3 MW) o Supplemental Review o System Impact Study o Facilities Study Included in CAISO Cluster Process for Deliverability Assessment

11 Application Processes Costs and Timing The Interconnection Request (IR) Example Application Deposits CAISO - $50,000 plus $1000/MW ($250K max.) PG&E/SCE/SDG&E WDAT - $50,000 plus $1000/MW LADWP - $250,000 IID $250K for >20 MW; $150K for =< 20 MW APS - $250K for >75 MW; $160K for =<75 MW NVE - $10,000 (referred to as Pre-Application Deposit) WAPA/WALC - $10,000

12 Study Timelines Serial Process Feasibility 45 to 60 days; $25k to $35K System Impact 90 to 120 days; $50k to $75K Facilities 120 days; $75K to $100K Cluster Process Aggregate impact of multiple interconnections One or two study windows per year (CAISO has 1 window per year) Phase 1 and Phase 2 Study process ~ 2 years Example CAISO Sub Groupings within a Cluster Fresno-Kern region for PG&E North of Lugo (SCE) part of East of Lugo Bulk System

13 Network vs. Direct Assignment Upgrades & Costs Network Transmission System Upgrades supporting Reliability and Deliverability or Network Service o Line Reconductoring or New Transmission Lines o Circuit Breaker upgrades due to exceeding SCD o Transformer replacement o Special Protection Schemes (SPS) Direct Assignment Distribution System upgrades and Utility Interconnection Facilities o Point of Interconnection (POI) facilities o Dist. Line Reconductoring o Dist. Facility upgrades (breakers, fuses, reclosers, etc.)

14 Network vs. Direct Assignment Upgrades & Costs Network Upgrades Reimbursable o Reimbursed via transmission service credits o Reliability Network Upgrades (RNU) reimbursed up to $60,000 per MW (CAISO) following Commercial Operation o Deliverability Network Upgrades (DNU) reimbursed 100% (under CAISO Phase 2 Option A approach) following Commercial Operation Direct Assignment Non-Reimbursable cost to project

15 Financial Security Relative to the CAISO and PTO WDAT Cluster Study Process o Security Posting due following Phase 1, Phase 2, and at the start of Construction o Phase 1 Financial Security (FS) due 90 Calendar Days following issuance of Phase 1 Study Report (60 CDs following issuance of System Impact Study report for Independent Study Process) o Phase 1 FS (two FS postings required) Network Upgrades: Lesser of $20,000/MW; or 15% of allocated Network upgrade estimated costs; or $7.5M (for Large Generators); and no less than $500K For Small Generators: Lesser of $20,000/MW; or 15% of allocated Network upgrade estimated costs and no less than $50K

16 Financial Security cont... Relative to the CAISO and PTO WDAT Cluster Study Process o Phase 1 FS (two FS postings required) cont. PTO Interconnection Facilities FS: Lesser of $20,000/MW; or 15% of allocated Interconnection Facilities estimated costs; or $7.5M (for Large Generators); and no less than $500K For Small Generators: Lesser of $20,000/MW; or 15% of allocated Network upgrade estimated costs and no less than $50K o Phase 2 Financial Security (FS) due 180 Calendar Days following issuance of Phase 2 Study Report (120 CDs following issuance of Facilities Study report for Independent Study Process)

17 Financial Security cont... Relative to the CAISO and PTO WDAT Cluster Study Process o Phase 2 FS (two FS postings required) cont. Network Upgrades: Lesser of $15M; or 30% of allocated Network upgrade estimated costs and no less than $500K for Large Generators); For Small Generators: Lesser of $1M; or 30% of allocated Network upgrade estimated costs and no less than $100K PTO Interconnection Facilities FS: Lesser of $15M; or 30% of allocated Interconnection Facilities estimated costs; and no less than $500K for Large Generators For Small Generators: Lesser of $1M; or 30% of estimated Interconnection Facilities costs and no less than $50K o 3 rd Financial Security Posting is 100% due at the start of Construction

18 Interconnection Agreement Contract or Agreement between the Interconnecting Utility and the Generator. For CAISO Controlled Grid Interconnections this is a three party agreement. Agreement incorporates the engineering, procurement, construction and operation of the Generator s facilities interconnecting to the Transmission Owner s electric system. Incorporates the results of the Facilities Study or Phase 2 Study results LGIA or SGIA (Large and Small Generator Interconnection Agreements) are generally pro forma contracts (no touch)

19 Interconnection Agreement cont... Negotiations are limited to the Attachments to the IA. o o o o o o Interconnection & Transmission Description and Costs of the Generating Facilities Upgrades and Interconnection Facilities, Single-Line diagram and Metering Equipment Milestones: Contract performance, Utility In-Service Dates, Synchronization Date, Trial Operation Date, Commercial Operation Date (COD) Special or Additional Operating Requirements Affected Systems interaction Utilities Upgrades and estimated upgrade costs (transmission, distribution, SPS, communications) Interconnection Requirements (LVRT, FRT, PF, SCADA)

20 Curtailment Issues A key issue from a due diligence perspective Probability Duration and quantity Timing of occurrence Economic / congestion / Over-Generation Generally, self-scheduled renewable resources are the last to be curtailed. Curtailment would be prioritized economically with price-sensitive generator offers first in line Curtailments applied where most effective mitigation is possible Potential in Spring cases when Loads are light and sun is bright

21 Curtailment Issues cont.. Dispatch Down is essentially describing events that could effectively cause a generating facility to be either ordered to reduce energy production; or be removed, separated or otherwise caused to cease energy flow to the system. System Owners and Operators are bound to protect the system Effected by Scheduled and Unscheduled maintenance Ongoing scheduled outages to accommodate system upgrades Emergency or Forced outages due to storms and fire Terms and Conditions generally addressed in PPA

22 Interconnection and Transmission

23 ZGlobal Inc. MANAGEMENT TEAM WITH HANDS-ON EXPERIENCE AND IN-DEPTH KNOWLEDGE OF CALIFORNIA AND WESTERN ELECTRICAL GRIDS ZGlobal leadership team members: Played a significant role in operations and planning for Pacific Gas & Electric s and Imperial Irrigation District s electric grid operation, transmission and procurements from Led the initial start-up team that designed, implemented and operated the CAISO Electricity Market and the Electric Grid from Led the implementation of the CAISO Nodal Market. Directed CAISO Grid Operations from including: The design and implementation of CAISO s new state-of-the-art control center located in Folsom, Ca. and it s backup center in Southern California. Implemented the Synchrophasor System, which increases the grid operators visibility of bulk power system conditions in near real-time, and enables earlier detection of problems that threaten grid stability or cause outages.

24 Services Provided T&D Planning and Engineering Energy Markets and Reliability Analysis Infrastructure Development (DG) Market Analytics Our Clients Generation Owners and Developers State and Federal Agencies Local Public Power and Irrigation Districts Regulated and Non-regulated Utilities Water Agencies and Districts Private Equity, Banks and Hedge Funds Regulators Large Industrial and Manufacturing Entities Electric Operations (24x7) Infrastructure Development (T & D & G) T&D Planning & Engineering

25 T&D Planning & Engineering Interconnection and Transmission Transmission & Distribution Engineering & Planning Services Generation Interconnection T&D Planning T&D Planning & Design System Impact & Facility Studies Power Flow & Stability Analysis Detailed Engineering Design T&D Engineering Owner s Engineering Staff Emerging Technologies