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HomeMy WebLinkAbout20150717PAC to Staff 1-7.pdfROCKY MOUNTAIN FiCn rER T_ ._11 ,.'!1 i . r., ^ {- J! --.- / -L ?$l$ JUL ll Pll h: ll+ t-\ i' ",l-ii:,..-, i i UT ll" iTi;:S Cfji' i', iiJlCtrJu,ly 17,2015 Jean Jewell Idaho Public Utilities Commission 472W. 'Washington Boise, ID 83702-5918 i ean j ewell@puc.idaho. sov (C) RE: ID PAC-E-I5-04 IPUC I't Set Data Request (1-7) Please find enclosed Rocky Mountain Power's Responses to IPUC Data Requests 1-7. If you have any questions, please feel free to call me at (801) 220-2963. Sincerely, 201 South Maln, Suite 2300 Salt Lake Citf Utah 84ll I J. T.Z /u,/b1 /t-^ J. Ted Weston Manager, Regulation PAC-E-I5-04 / Rocky Mountain Power luly 17,2015 IPIIC Data Request I IPUC Data Request I The Company mentions in Volume 1, Chapter 4 at the bottom of page 54 that it is a member of the Northern Tier Transmission Group (I{TTG) and the Westem Electricity Coordinating Council's (WECC's) Transmission Expansion Planning Policy Committee (TEPPC). In relation to PacifiCorp's participation in these tu,o or ganizations, p I ease :. explain whether the resulting regional and inteffegional plans result in a cost- allocation framework that is suitable for PacifiCorp's investment and ownership rights;o describe how PacifiCorp implements Powerflow or Production Cost Model data improvements to TEPPC's Common Base Case and to NTTG's regional analyses;. explain whether the Company's improvements to the transmission data are provided to TEPPC or NTTG for future Common Base Case model improvements; andr explain how the TEPPC and"/or NTTG analyses contribute to the Company's transmission planning and benefit evaluation efforts. Response to Data Request I NTTG has established regional and interregional transmission planning and cost allocation processes as approved by the Federal Energy Regulatory Commission. Pacif,rCorp participates in those processes consistent with requirements outlined in Attachment K of its Open Access Transmission Tariff ("OATT"). PacifiCorp continues to plan for its local transmission system consistent with OATT requirements. PacifiCorp has member representation on the WECC reliability planning committees and the NTTG planning committee that develop both power flow and production cost modeling databases. In addition to submitting data updates, committee members continue to work on developing assumptions and modeling algorithms that improve modeling tools and more accurate system dispatch results. PacifiCorp submits data to both the TEPPC and NTTG forums, consistent with commiuee specified guidelines and schedules. NTTG starts with the TEPPC database and adds more definition that focuses on regional planning. As one example of how PacifiCorp is contributing toward future common base case model improvements, the company's representative on the NTTG technical committee has been working with a counterpafi from Idaho Power to improve and automate the "round trip" in GridView. The GridView system is a production cost modeling tool that is used by boih TEPPC and NTTG. NTTG uses the "round-trip" capability for exporting hours' of interest "raw PAC-E-15-04 / Rocky Mountain Power July 17,2015 IPUC Data Request t data" from the production cost database to build upon for the power flow core cases that allow for analyzing system reliability under different conditions of stress. As noted above, PacifiCorp continues to plan for its local transmission system consistent with requirements outlined in its OATT. PacifiCorp participates in the transmission planning efforts at both WECC and NTTG. o Please refer to the responses above. Recordholders: Shayleah LaBray (l&4) / Jamie Austin (2&3) Sponsor: To Be Determined PAC-E-15-04 / Rocky Mountain Power hily 17,2015 IPUC Data Request 2 IPUC Data Request 2 The Company mentions in Volume 1, Chapter 4, near the bottom of page 48 that the Company is "required to meet mandatory...reliability standards and planning requirements." With respect to the Company's compliance with these regulations, please: describe how the Company's transmission planning and benefit evaluation efforts address reliability challenges; explain whether PacifiCorp performs a'round trip' analysis to estimate transmission benefits (i.e., PCM - Power Flow - PCM); and describe how PacifiCorp conducts dynamic stability analyses for future transmission system improvements or mitigations. Response to Data Request 2 T'he majority of transmission planning required is due to continuing growth of electric demand on PacifiCorp's transmission system. Increasing demand requires more transmission system capability, even if more transmission lines and substations are not built. A large part of transmission planning in many cases involves detemining how to increase the capacity of existing systems without adding new lines and rights-of'-way. This is accomplished by upgrading transmission lines and transmission systems throughout PacifiCorp's balancing authority areas. Other reasons that transmission planning is required include replacement of aging electric power infrastructures, planning for relocation of transmission lines that must be removed due to societal demands or changes in makeup of metropolitan areas, or to lower the cost of power by reducing transmission congestion in the Western Intcrconnection. ln meeting the challenges of an ever changing transmission system, PacifiCorp is required on an on-going basis to perform transmission planning studies that demonstrate performance results that are measured against the North American Reliability Corporation and Western Electricity Coordinating Council system performance criteria. System performance issues that are identified as part of this process are mitigated by development of new or modified grid operation procedures or transmission projects that will be added to the 1O-year capital transmission improvement plan. PacifiCorp does not use o'round trip" analysis to estimate transmission benefits. However, the company is investigating ways to use the round trip constructively. As part of the transmission planning studies that are conducted by PacifiCorp, dynamic stability analysis is performed for system conditions and contingencies that have previously demonstrated a potential for transient instability. Dynamic stability studies are perfbrmed for all transmission PAC-E-15-04 / Rocky Mountain Power July 17,2015 IPUC Data Request 2 improvements or mitigations that may impact internal transmission paths or major WECC transmission paths Recordholders: Craig Quist (1&3) / Jamie Austin (2) Sponsor: To Be Determined PAC-E-15-04 / Rocky Mountain Power July 17,2015 IPUC Data Request 3 IPUC Data Request 3 NTTG is currently analyzing an'ounsponsored project" for mandatory regional cost allocations for additional transmission capacity for the Aeolus - Anticline - Populus 500 kV. According to NTTG this alternative was identified by the Technical Workgroup to solve overload on the Dave Johnston to Larumie River 230 kV line. Please provide the following:o the specific location of this project, including any interconnection points to Pacifi Corp' s transmission or distribution facilities ;o the planned additional capacity from the additional transmission;o whether Pacif,rCorp's analysis confirms that this project is necessary for regional transmission reliability; and. an explanation as to why PacifiCorp is not sponsoring this project. Response to Data Request 3 The unsponsored project (Populus to Anticline to Aeolus) identified as part of the NTTG 2014-2015 regional planning cycle includes 500 kilovolt facilities that were located between southeast Idaho (Downey, Idaho) and southeast Wyoming (Carbon County). Interconnection points of this project to the PacifiCorp transmission system include: Populus 345 kilovolt, Bridger 345 kilovolt and Freezeout to Shirley Basin 230 kilovolt lines. The NTTG Planning Committee identified the need for the unsponsored project as part of the transmission reliability analysis. While the revised NTTG 2014-2015 Biennial Study Plan provided an opportunity for transmission needs vs. available transmission capacity to be assessed for specific transmission paths, the determination of transmission capacity increase associated with specific facilities additions is beyond the NTTG purvierv and would be addressed under the WECC planning coordination committee path rating process should the unsponsored project become a sponsored project. PacifiCorp participates in NTTG's regional transmission planning and cost allocation efforts. The alternative project is the result of NTTG's regional transmission planning analysis pursuant to its requirements under Order 1000. The alternative project was borne from NTTG's regional transmission plan. At this time, PacifiCorp has made no determination whether it would request to sponsor the project. Recordholders: Craig Quist (1&2) / Shayleah LaBray (3&4) Sponsor: To Be Determined PAC-E-I5-04 / Rockv Mountain Power luly 17,2015 IPUC Data Request 4 IPUC Data Request 4 a. 1) The Company mentions in Volume 1, Chapter 4, near the bottom of page 48 that the Company's transmission system operations also respond to requests made by Peak Reliability as the NERC Reliability Coordinator. Please describe the services PacifiCorp obtains as a member of Peak Reliability including senices such as the Enhanced Curtailment Calculator, the Advanced Applications, or the third party certification of the Company's physical security inventory. 2) Does PacifiCorp anticipate expanding its use of any Peak Reliability services in the future? b. How does the Company's transmission system operation, in response to Peak Reliabi I ity requests, affect Pacifi Corp transmission planning? Rcsponse to Data Request 4 a. I The enhanced curtailment calculator is in the conceptual phases and therefore not in-service. T'he service is not anticipated until sometime in 2016. PacifiCorp does not currently use peaks advanced applications or third party certification process. a.2 PacifiCorp does not anticipate expanding its use of the peak RC tools. The company has its own advanced applications (i.e. real-time contingency analysis and state estimator). b. Transmission system operations interfaces with transmission planning on a daily basis, providing a free flow of information between the two organizations. [f interaction with peak reliability identifies potential system concerns requiring long term transmission solutions, such feedback if provided to transmission planning by grid operations for further evaluation. Recordholder: Brent Roholt Sponsor: To Be Determined PAC-E-I5-04 /Rocky Mountain Power July 17,2015 IPUC Data Request 5 IPUC Data Request 5 Regarding the Company's "Wind Integration Study" update that seeks to account for estimated benefits from the Company's participation in the EIM (See Volume 2, Section H), please provide information on the following: o how the Company estimates transmission congestion and how this is factored in to the cost-benefit analysis; o whether the Company is utilizing, or plans to develop or utilize, a "resource sufficiency tool" to demonstrate adequate reseryes and resotrces for reliability requirements compliance ; r whether the Cornpany has reduced its regulating reserve requirement as a result of its allocation of diversity benefits (See Volume 2, Section H, pg. 127 , first paragraph); o a description of the Company's "regional flow tbrecast tool" that identifies locations of transmission constraints; and . if the Company's participation in "regulation pooling" is expected to increase or decrease as a result of EIM participation. Response to Data Request 5 o Estimating transmission constraints is accomplished using the Company's Planning and Risk (PaR) model. The PaR model is a constrained optimization model that solves an objective cost function subject to constraints that model transmission congestion. The inputs to the PaR model consist of load and wind forecasts, electricity and gas price forecasts, transmission forecasts, estimated Energy Imbalance Market (EIM) benefits and required reserve demand levels. The output of the PaR model is an estimated price of providing non-contingency reserves of megauatt-hour (MWh). o Participation in the EIM requires a formal passing of a resource sufficiency test every hour, knovtm as the Flexible Ramp Sufficiency Test. This test establishes required reserve levels for each lS-minute interval of the upcoming hour. The test is published at three intervals before the upcoming hour: (1) at 75-minutes before the start of the hour, (2) at 55-minutes before the start of the hour, and (3) at 40-minutes before the start of the hour. The test is limited to load, variable energy resources (VER) and uncertainty factor regulation. It includes targets for following and regulation reserves, but does not test for contingency reserve obligations (CRO). Additionally, the Company estimates resource sufficiency for both planning PAC-E- I 5-04 I Rocky Mountain Power Iuly 17,2015 IPUC Data Request 5 reserves and operating reserves as part of its Integrated Resource Plan (lRP) process. These assessments are detailed in the Company's most recent IRP, the 2015 IRP, specifically Volume II, Appendix F (Flexible Resource Needs Assessment) and Appendix I (Planning Reserve Margin (PRM) Study). A diversity benefit has been recognized but not explicitly quantified, Additionally, it is not part of the Flexible Ramp Sufficiency Test regulation requirement (following and regulation reserves). It is anticipated to contribute to the regulation requirement but the increased need for regulation is expected to outpace the contribution of the diversity benefit as a result of VER penetration. The Company assumes that the request is asking whether it incorporates transmission consfiaints in its cost-benefit analysis. Based on this assumption, the Company responds as follows: The transmission constraints are reflected by one of the inputs modeled in the Company's studies for the IRP and wind integration study (WIS) transmission topology. The Company uses a transmission topology that captures major load centers, generation resources, and market hubs interconnected via firm transmission paths. Transfer capabilities across transmission paths are based upon the firm transmission rights of PacifiCorp's merchant function, including transmission rights from PacifiCorp's transmission function and other regional transmission providers. It is anticipated that EIM participation will increase regulation pooling. It is also anticipated that with increased VER penetration, increases in regulation requirements will outpace the benefits of regulation pooling. Recordholder: Tom Burns / Chris Miner Sponsor: To Be Determined PAC-E-15-04 / Rocky Mountain Power July 17,2015 IPUC Data Request 6 IPUC Data Request 6 The December22,2014 memorandum to PacifiCorp from the 2014 Wind Integration Study Technical Review Committee recommended that "future work should explore balancing area cooperation between" the eastern and western Balancing Authority Areas of PacifiCorp "under the EIM framework" (See Volume 2, Section H, page 134). o Please explain the steps taken by the Company to address this recommendation. o Please also explain whether the recent exchange of transmission assets with Idaho Power furthers this type of coordination. Response to Data Request 6 o The Company anticipates updating its wind integration study for the20l7 Integrated Resource Plan (lRP), and will consider how to best address recommendations from the Technical Review Committee (TRC) at that time. As described in the Company's 2014 Wind Integration Study (2014 WIS), by participating in the Energy Imbalance Market (EIM), portfolio diversification of load and variable energy resources provides a diversity benefit that reduces PacifiCorp's regulating reserve requirement. The estimated diversity benefit was captured in PacifiCorp's 2014 WIS as described in Volume II, Appendix H, page 127 and 128 of the 2015 IRP. The diversity benefit was applied in PacifiCorp's west balancing authority area (BAA) where there is a transmission connection between PacifiCorp and the California Independent System Operator (CAISO). PacifiCorp system resources are then used to meet reserve obligations, net of assumed diversity benefits associated with participating in the EIM, accounting for existing system transmission limits, including limits between the PacifiCorp East (PACE) BAA and the PacifiCorp West (PACW) BAA. o The transmission asset exchange will significantly strengthen the dynamic dispatch capability between PACE BAA and PACW BAA. PacifiCorp will evaluate operating from the EIM when developing its next wind integration study for the 2017 IRP. Recordholder: Tom Burns / Rick Link Sponsor: To Be Determined PAC-E-15-04 / Rocky Mountain Power July 17,2015 IPUC Data Request 7 IPUC Data Request 7 The Energy Storage Smeening Study was commissioned by the Company to define energy storage technologies' applications among other purposes (See Volume 2, Section Q, page 531). Please explain whether the Company is evaluating the use ofenergy storage to address any distribution system issues. Response to Data Request 7 The Company has begun to consider the use of battery storage as a potential altemative to making feeder and substation upgrades in select circumstances. Ian Andrews Sponsor: To Be Determined