HomeMy WebLinkAbout20180529Admitted Exhibit 72.pdfRMP Cross Exhibit
PAc1FicORP-2017 IRP CHAPTER 4-TRANSMISSION
O CHAPTER 4 -TRANSMISSION
CHAPTER HIGHLIGHTS
PacifiCorp is obligated to plan for and meet its customers'future needs,despite
uncertainties surrounding environmental and emissions regulations and potential new
renewable resource requirements.Regardless of future policy direction,PacifiCorp's
planned transmission projects are well aligned to respond to a change in policy direction
and comply with increasing reliability requirements,while providing sufficient flexibility
to ensuæ resources can cost-effectively and reliably meet customer demand.
Given the long periods of time necessary to site,permit and construct major new
transmission lines,these projects need to be planned in advance.
PacifiCorp's transmission planning and benefits evaluation efforts adhere to regulatory
and compliance requirements and respond to commission and stakeholder requests for a
robust evaluation process and clear criteria for evaluating transmission additions.
PacifiCorp requests acknowledgment of its plan to construct the Wallula to McNary
portion of the Walla Walla to McNarytransmission project (Energy Gateway Segment A)
based on customer need and associated regulatory requirements.PacifiCorp requests
àcknowledgement of its plan to construct the Aeolus to Bridger/Anticline portion of
Gateway West (Energy Gateway Sub-Segment D2)based on customer benefits and the
inclusion ofthis segment in the 2017 PacifiCorp IRP preferred portfolio.
While construction of the balance of future Energy Gateway segments (i.e.,Gateway
O West,Gateway South,and Boardman to Hemingway)is beyond the scope of
acknowledgement for this IRP,these segments continue to offer benefits under multiple
future resource scenarios.Thus,continued permitting of these segments is warranted to
ensure the Company is well positioned to advancethese projects as required.
PacifiCorp's bulk transmission network is designed to reliably transport electric energy from
generation resources (owned generation or market purchases)to various load centers.There are
numerous benefits associated with a robust transmission network:
1.Reliable delivery of energy to continuously changing customer demands under a wide
variety of system operating conditions.
2.Ability to meet aggregate electrical demand and customers'energy requirements at all
times,taking into account scheduledoutages and the ability to maintain reliability during
unscheduledoutages.
3.Economic exchange of electric power between PacifiCorp and third-party systems and
electric utility industry participants.
4.Development of economically feasible generation resources in areas where it is best
suited.
5.Access to diverse energy resource areas to support customer needs.
6.Protection against extreme market conditions where limited transmission constrains
energy supply.
7.Ability to meet obligations and requirements of PacifiCorp's Open Access Transmission
Tariff (OATT).
8.Increased capability and capacity to access energy supply markets.
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PACIFICORP-2017 IRP CHAPTER 4 -TRANSMISSION O
PacifiCorp's transmission network is a critical component of the IRP process and is highly
integratedwith other transmission providers in the western United States.It has a long history of
reliable service in meeting the bulk transmission needs of the region.Its purpose will become
more critical in the future as energy resources become more dynamic and customer demand
continues to grow.
Regulatory Requirements
Open Access Transmission Tariff
Consistent with the requirements of its OATT,approved by the Federal Energy Regulatory
Commission (FERC),PacifiCorp plans and builds its transmission system based on two
customer-type agreements-network customer or point-to-point transmission service.For the
network customers,PacifiCorp uses customer ten-year load and resource (L&R)forecasts,as
well as network transmission service requests.Each year,the Company solicits L&R data from
each of its network customers to determine future load and resource requirements for all
transmission network customers.These customers include PacifiCorp Energy Supply
Management (ESM)(which serves PacifiCorp's retail customers and comprises the bulk of the
Company's transmission network customer needs),Utah Associated Municipal Power Systems,
Utah Municipal Power Agency,Deseret Power Electric Cooperative (including Moon Lake
Electric Association),Bonneville Power Administration,Basin Electric Power Cooperative,
Black Hills Power,Tri-State Generation &Transmission,the United States Department of the
Interior Bureau of Reclamation,and the Western Area Power Administration.
The Company uses its customers'L&R forecasts and best available information,including
transmission service requests,to determine project need and investment timing.If customer L&R
forecasts change significantly,PacifiCorp may consider alternative deployment scenarios or
schedules for its project investment,as appropriate.In accordance with FERC guidelines,the
Company is able to reserve transmission network capacity based on these data.PacifiCorp's
experience,however,is that the lengthy planning,permitting and construction timeline required
for significant transmission investments,as well as the typical.useful life of these facilities,is
well beyond the 10-year timeframe of L&R forecasts.'A 20-year planning horizon and ability to
reserve transmission capacity to meet existing and forecasted need over that timeframe is more
consistent with the time required to plan for and build large-scale transmission projects,and
PacifiCorp supports clear regulatory acknowledgement of this reality and corresponding policy
guidance.
For point-to-point transmission service,the OATT requires the Company to accommodate the
service on existing transmission infrastructure using existing capacity or build transmission
system infrastructure as required to provide the service.The required action is determined with
each point-to-point transmission service request through FERC-approved study processes that
identify the transmission need.
'For example,PacifiCorp's application to begin the Environmental Impact Statement (EIS)process for the Gateway
West segment of its Energy Gateway Transmission Expansion Project was filed with the Bureau of Land
Management (BLM)in 2007.A partial Record of Decision was received in late April 2013,and a supplemental
Record of Decision was received in January 20 17.
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O Reliability Standards
PacifiCorp is required to meet mandatory FERC,North American Electric Reliability
Corporation (NERC),and Western Electricity Coordinating Council (WECC)reliability
standards and planning requirements.PacifiCorp's transmission system operations also responds
to requests issued by Peak Reliability as the NERC Reliability Coordinator.The Company
conducts annual system assessments to confirm minimum levels of system performance during a
wide range of operating conditions,from serving loads with all system elements in service to
extreme conditions where portions of the system are out of service.Factored into these
assessments are load growth forecasts,operating history,seasonal performance,resource
additions or removals,new transmission asset additions,and the largest transmission and
generation contingencies.Based on these analyses,PacifiCorp identifies any potential system
deficiencies and determines the infrastructure improvements needed to reliably meet customer
loads.NERC planning standards define reliability of the interconnected bulk electric system in
terms of adequacy and security.Adequacy is the electric system's ability to meet aggregate
electrical demand for customers at all times.Security is the electric system's ability to withstand
sudden disturbances or unanticipated loss of system elements.Increasing transmission capacity
often requires redundant facilities in order to meet NERC reliability criteria.
This chapter provides:
Justification supporting acknowledgement of the Company's plan to construct the
Wallula to McNary and Aeolus to Bridger/Anticlinetransmission projects.
Support for the Company's plan to continue permitting Gateway South and the balance of
O Gateway West;
Key background information on the evolution of the Energy Gateway Transmission
Expansion Plan;and
An overview of the Company's investments in recent short-term system improvements
that have improved reliability,helped to maximize efficient use of the existing system,
and enabled the Company to defer the need for larger scale infrastructure investment.
Requestfor Actulowledgementof Wallula to McNary
The Wallula to McNary transmission project is required to satisfy PacifiCorp's federal regulatory
obligations to its transmission customers under its OATT.Specifically obligations include an
active transmission service agreement with a transmission customer where service is contingent
upon completion of the project.The project consists of a 30-mile,230 kilovolt (kV)transmission
line between Wallula,Washington,and McNary,Oregon,and represents a portion of the Walla
Walla,Washington,to McNary Energy Gateway transmission project (Segment A).Since 2008,
the Company has worked with stakeholders to permit the transmission project.In 2009,the
Company decided to move forward with building the Wallula-to-McNary portion of the
transmission line and delay development of the Wallula-to-Walla-Walla portion based on
continuing evaluation of evolving regional transmission and resource plans.In 2011,PacifiCorp
obtained a certificate of public convenience and necessity from the Public Utility Commission of
Oregon.In 2014,transmission customers determined a continued need for the Wallula to
McNary transmission line,which prompted the Company to restart permitting and rights-of-way
acquisition activities.In addition,federal,county and local public outreach activities were
reinitiated in 2015.The project is estimated to be placed into service in 2017-2018,subject to
O completion of permitting,rights-of-way acquisition,and interconnection to the McNary
substation.To meet its obligation to transmission customers under the OATT,the Company
requests acknowledgement of the Wallula to McNary transmission project in the 2017 IRP.
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Factors Supporting Acknowledgement
The key driver supporting PacifiCorp's request for acknowledgement of the Wallula to McNary
transmission project is meeting its obligations to its transmission customers consistent with its
OATT.Without the transmission line,there is no available capacity to serve transmission
customers on the existing Wallula to McNary transmission line.This new line will enable the
Company to meet its obligation to serve transmission customers under the OATT and an
executed transmission service agreement,and improve reliability in the area by providing a
second connection between Wallula and McNary and a possible future connection between
Walla Walla and Wallula (see "Plan to Continue -Wallula to McNary"section below).The
transmission line will support future resource growth,including access to renewable energy,and
transmission needs.
Currently there are only two megawatts posted for available transfer capacity on the existing line
between Wallula and McNary,which is insufficient to satisfy the request for service that drives
the need for the project.By contrast,there was sufficient capacity associated with the new line
that was already in the permitting stage between Wallula and McNary that could be used for the
requested transmission service.Based on this information,it was determined that no new studies
were required to grant the transmission service request.The maximum transfer capability of the
upgraded Wallula to McNary path will be determined by completion of studies in concurrence
with the Western Electricity Coordination Commission Project Coordination,Path Rating and
Progress Report Processes guideline.
The rate offered by PacifiCorp to the transmission customer was a rolled-in or embedded rate.
Under FERC precedent,transmission rates are designed using an embedded cost approach,
which is the rolled-in embedded cost for the system as expanded.Embedded cost rates are
justified for transmission facilities that are part of the transmission network,such as the facilities
that will be installed as part of the Wallula to McNaryproject.Under FERC transmission pricing
policy and precedent,network transmission facilities enjoy a presumption of rolled-in rate
treatment so long as any degree of network integration or benefit is shown,and that benefit need
not be large to be significant.PacifiCorp's OATT contains additional guidance on cost
assignment.In section 1.27,"Network Upgrades"are defined as "Modifications or additions to
transmission-related facilities that are integrated with and support the Transmission Provider's
overall Transmission System for the general benefit of all users of such Transmission System."
Network Upgrade costs are typically shared by all network customers.The network concept is
supportedby projected use of the new line by area network customers in an outage condition of
the existing line.
Reliability benefits correspond to the fact that with only a single line between Wallula and
McNary,line outages,either planned or unplanned,cause disruption of service to customers.
This disruption can result in loss of service under existing contracts or reduced reliability for
customers served from the Wallula substation.The second line provides service reliability in a
single line outage condition.Additionally,the new line will provide lightning protection,
allowing continued operation of the line if there is a lightning strike,whereasthe existing line is
not protected.In the past,customer service has been disrupted due to line outages caused by
lightningstrikes on the existing line.Constructing a second 230 kV line betweenthe Wallula and
McNary substations will provide additional flexibility and added reliability to customers served
in the area and is required to comply with PacifiCorp's OATT and Federal Power Act
obligations.With the new line in place,outages on either the new or existing line can occur
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without interruption of customer service,thus providing added reliability of service.The Walla
Walla to McNary transmission project alleviates a constrained transmission path used to move
resources into and out of the Walla Walla and Wallula areas.At this time,only the Wallula to
McNary transmission line segment is being constructed to meet a customer request for point-to-
point service under PacifiCorp's OATT.The segment between Walla Walla and Wallula will be
completed when there is a transmission customer need.
The below sections of the OATT outline the FERC requirements associated with providing
transmission service as requested.These requirements mandatecompletion of the project.
OATT section 28.2:As a Transmission Provider,PacifiCorp is obligated to "plan,
construct,operate and maintain its Transmission System in accordance with Good Utility
Practice and its planning obligations in Attachment K in order to provide the Network
Customer with Network Integration Transmission Service over the Transmission
Provider's Transmission System."
OATT section 15.4:"If the Transmission Provider determinesthat it cannot
accommodatea Completed Application for Firm Point-To-Point Transmission Service
because of insufficient capability on its Transmission System,the Transmission Provider
will use due diligence to expand or modify its Transmission System to provide the
requestedFirm Transmission Service consistent with its planning obligations in
Attachment K...."
O These sections of the OATT require the transmission provided to perform transmission system
upgrades as required to serve customer need driven either from network or point-to-point
transmission service requests.The network needs are generatedfrom the outcome of the yearly
network L&R planning study that shows projected load growth and required system changes to
meet this growth.The point-to-pointneeds are driven by specific point-to-point requests where
system changes are required to meet the requested service.
Plan to Continue-Wallula to McNary
The Wallula to McNary transmission project will offer benefits under multiple,future resource
scenarios.In addition,as part of its asset exchange agreementwith Idaho Power Company,there
is an option for Idaho Power to partner with PacifiCorp to construct the remaining Walla Walla
to Wallula portion of the transmission line.2 To ensure the Company is well positioned to
advance the projects as required to meet customer need,PaciflCorp believes it is prudent to
finalize permitting,acquire rights-of-way,and construct the Wallula to McNary segment of the
Walla Walla to McNarytransmission project.
Requestfor Acknowledgementof Aeolus to ßridger/Anticline
The 2017 PacifiCorp IRP preferred portfolio includes the Aeolus to Bridger/Anticline
transmission segment (Energy Gateway West,Sub-SegmentD2).This segment is included in the
preferred portfolio as a component of the least-cost,least-risk strategy for existing and future
capacity delivery.The Aeolus to Bridger/Anticlinetransmission line relieves existing congestion
2 FERC Docket Nos.ECl5-54 and ER15-680.
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and facilitates the addition of new wind resources in Wyoming that can take full advantageof the
federal production tax credits (PTCs)and maximize customer benefits.
The 500 kV transmission segment extends 140 miles betweenthe planned Aeolus substation near
Medicine Bow,Wyoming,and the new annex substation (Bridger/Anticline)that is located near
the existing Bridger substation in western Wyoming.This transmission segment represents a
portion of the Windstar to Populus transmission project (Segment D),which is part of Energy
Gateway West.The Company,with stakeholder involvement,has pursued permitting of the
Energy Gateway West transmission project since 2008.On April 26,2013 the BLM released its
final Environmental Impact Statement (EIS).The Record of Decision was released on November
14,2013,which provided a right-of-way grant for the federal properties.This transmission
segment was part of four Energy Gateway scenarios analyzed in the IRP and was ultimately
chosen to be included in the 2017 IRP preferred portfolio.Based on the IRP analysis,the Aeolus
to Bridger/Anticline transmission segment would be placed into service by the end of 2020,
subject to completion of local permitting and private rights-of-way acquisitions.To align
development of the Aeolus to Bridger/Anticline transmission segment with additional wind
projects that will further decarbonize PacifiCorp's portfolio and qualify for the full value of
PTCs by year-end 2020,thereby maximizing customer benefits,the Company requests
acknowledgment in this IRP of the Aeolus to Bridger/Anticlinetransmission segment.
Factors SupportíngAcknowledgement
Acknowledgment of the Aeolus to Bridger/Anticlinetransmission segment is supported by the
extensive analysis and demonstrated customer benefits that led to the inclusion of the
transmission line in the 2017 IRP preferred portfolio.This transmission segment will allow
PacifiCorp to implement system improvements,relieve existing congestion,and add incremental
Wyoming wind resources to support customer needs and deliver benefits to customers in the
most cost-efTectiveway.Timing of construction is driven by the phase-out schedule of federal
PTCs,particularly the 2020 in-service requirements for 100 percent PTC eligibility.In addition
to supporting renewable resource additions in PacifiCorp's generation portfolio,qualifying them
for full value of the PTCs,the new transmission segment will increase transfer capability out of
eastern Wyoming and alleviate voltage issues.
PacifiCorp's transmission system in eastern Wyoming is operating at capacity,specifically the
known WECC path #37 TOT 4A,which limits transfer of resources from eastern Wyoming.The
TOT 4A cut plane is a WECC-defined path in southeastern Wyoming consisting of three 230 kV
transmission lines.The Aeolus to Bridger/Anticlinetransmission segment increases the transfer
capability from east to west across Wyoming by 750 MW.The WECC-rated path #37 TOT 4A
from the rating path catalog has a non-simultaneous rating of 1,025 MW.However,the
interaction with WECC path #38,TOT 4B,limits the transfer capability of TOT 4A in real-time
operations.TOT 4A is currently identified as a constrained path in the mainly 230 kV
transmission system in eastern Wyoming.To relieve existing congestion and add resources in
eastern Wyoming,new transmission is required to increase transfer capability out of eastern
Wyoming.
Completion of the new transmission segment will allow the addition of up to 1,270 MWs of
additional wind resources (depending on re-dispatch)added to the system east of the TOT 4A cut
plane.PacifiCorp's preferred portfolio includes 1,100 MW of new wind resources,which reflects
a least-cost,least risk mix when the anticipated economic re-dispatch of resources in the area is
considered.Importantly,the transmission project includes critical voltage support,which is the
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system limitation in the area.The new transmission capacity,voltage support,generation re-
dispatch,and a generator tripping scheme will allow for a disproportionate amount of wind
generation to be integrated into the system.The 230 kV transmission system today east of the
TOT 4A cut plane is operating at the limits of the system and has fully exhausted the ability to
interconnect additional resources behind the cut plane.The addition of this new transmission
segment has the potential to provide a path for projects sited east of the TOT 4A interconnected
at or near Aeolus Substation.
Voltage control issues under certain operating conditions have been identified on the
transmission system in southeastern Wyoming,with additions of wind resources in the area
exacerbating the issue.An identified solution to the voltage control issues is the addition of
transmission lines in the area.The transmission system in the area will benefit with the addition
of the new transmission segment by reducing voltage issues behind the TOT 4A cut plane that
currently restrict the addition of new resources interconnected behind the cut plane.
Other customer benefits of the new transmission segment include increased reliability of the
transmission system,congestion relief,reduction of capacity and energy losses on the
transmission system,and greater flexibilitymanaging existing generation resources.Reliability
will be augmented with the addition of the new transmission segment,which will provide
support to the underlying 230 kV system during outages.Most of these outages result in a
deration of TOT 4A transfer capacity and some outage scenarios require significant generation
curtailment.The new 500 kV transmission segment will significantly reduce,if not eliminate,
many of the impacts caused by the 230 kV outages.Increased energy imbalance market (EIM)
and transmission wheeling opportunities under the OATT will also result from the additional
system capacity.Capacity and energy losses on the transmission system are reduced with the
new transmission segment,which has the potential to provide significant monetary savings over
time.
GatewayWest -Continued Permitting
In addition to the Windstar to Populus line (Energy Gateway Segment D),the Gateway West
transmission project also includes the Populus to Hemingway transmission segment (Energy
Gateway Segment E).In a future IRP,the Company will support a request for acknowledgement
to construct the balance of Gateway West with a cost-benefit analysis for the project.While the
Company is not requesting acknowledgement in this IRP of a plan to construct these segments at
this time,the Company will continue to permit the projects.
Windstar to Populus(Segment D)
The Windstar to Populus transmission project consists of three key sections:
Dl-A single-circuit 230 kV line that will run Figure 4.1 -Segment D
approximately 75 miles between the existing
Windstar substation in eastern Wyoming and the ^YwsgyWYOM I NG
planned Aeolus substation near Medicine Bow,
Wyoming;ewindnr
D2-A single-circuit 500 kV line running
approximately 140 miles from the planned '
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PAcrEiCORP-2017IRP CHAPTER4-TRANSMISSloN OAeolussubstationtoanewannexsubstation(Anticline)near the existing Bridger
substation in western Wyoming;and
D3-A single-circuit 500 kV line running approximately 200 miles between the new
annex substation (Anticline)and the recently constructed Populus substation in southeast
Idaho.
Populusto Hemingway(Segment E)
Figure 4.2 -Segment E The Populus to Hemingway transmission project consists
N D A Ho of two single-circuit 500 kV lines that run approximately
M.Inwa 500 miles between the Populus substation in eastern
Idaho to the Hemingway substation in western Idaho.
Midpoint
Borah The Gateway West project would enable the Company to
more efficiently dispatch system resources,improve
performance of the transmission system (i.e.,reduce line
losses),improve reliability,and enable access to a diverse range of new resource alternatives
over the long term.
Under the National Environmental Policy Act,the BLM has completed the EIS for the Gateway
West project.The BLM released its fmal EIS on April 26,2013,followed by the Record of
Decision on November 14,2013,providing a right-of-way grant for all of Segment D and most
of Segment E of the project.The Agency chose to defer its decision on the western-most portion
of Segment E of the project located in Idaho in order to perform additional review of the Morley
Nelson Snake River Birds of Prey Conservation Area.Specifically,the sections of Gateway
West that were deferred for a later Record of Decision include the sections of Segment E from
Midpoint to Hemingway and Cedar Hill to Hemingway.A Record of Decision for these final
sections of Segment E was issued on January 19,2017.
GatewaySouth -Continued Permitting
As part of PacifiCorp's Energy Gateway Transmission Figure 4.3 -Segment F
Expansion,the Company is planning to build a high-PµA..
voltage transmission line,known as Gateway South
(Segment F),which extends approximately 400 miles
from the planned Aeolus substation in southeastern 6
Wyoming into the Clover substation near Mona,Utah.
The BLM published its Notice of Intent in the Federal Mona
Register in April 2011,followed by public scoping col &A
meetings throughout the project area.Comments on this project from agencies and other
interested stakeholderswere considered as the BLM developed the draft EIS,which was issued
in February 2014.A final EIS was released May 2016 and the Record of Decision was signed
December 13,2016.
Plan to Continue Permitting -GatewayWest and GatewaySouth
The Gateway West and Gateway South transmission projects continue to offer benefits under
multiple,future resource scenarios.To ensure the Company is well positioned to advancethe
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projects,it is prudent for PacifiCorp to continue to permit the balance of Gateway West and
Gateway South transmission projects.The Records of Decision and rights-of-way grants contain
many conditions and stipulations that must be met and accepted before a project can move to
construction.PacifiCorp will continue the work necessary to meet these requirements and will
continue to meet regularly with the Bureau of Land Management to review progress.
Energy GatewayTransmission ExpansionPlan
Introduction
Given the long periods of time necessary to successfully site,permit and construct major new
transmission lines,these projects need to be planned well in advance.The Energy Gateway
Transmission Expansion Plan is the result of several robust local and regional transmission
planning efforts that are ongoing and have been conducted multiple times over a period of
several years.The purpose of this section is to provide important background information on the
transmission planning efforts that led to PacifiCorp's proposal of the Energy Gateway
Transmission Expansion Plan.
Background
Until PacifiCorp's announcement of Energy Gateway in 2007,its transmission planning efforts
traditionally centered on the generation additions identified in the IRP.With timelines of seven
O to ten years or more required to site,permit,and build transmission,this traditional planning
approachwas proven problematic,leading to a perpetual state of transmission planning and new
transmission capacity not being available in time to be viable transmission resource options for
meeting customer need.The existing transmission system has been at capacity for several years,
and new capability is necessary to enablenew resource development.
The Energy Gateway Transmission Expansion Plan,formally announced in May 2007,has
origins in numerous local and regional transmission planning efforts discussed further below.
Energy Gateway was designed to ensure a reliable,adequate system capable of meeting current
and future customer needs.Importantly,given the changing resource picture,its design supports
multiple future resource scenarios by connecting resource-rich areas and major load centers
across PacifiCorp's multi-state service area.In addition,the ability to use these resource-rich
areas helps position PacifiCorp to meet current state renewable portfolio requirements.Please
refer to the regional maps of wind,solar,biomass,and geothermal potential available on
PacifiCorp's Energy Gateway project website to see an overlay of the Energy Gateway project
and renewable resource potential.3 Energy Gateway has since been included in all relevant local,
regional and interconnection-wide transmission studies.
Planning Initiatives
Energy Gateway is the result of robust local and regional transmission planning efforts.
PacifiCorp has participated in numerous transmission planning initiatives,both leading up to and
since Energy Gateway's announcement.Stakeholder involvement has played an important role in
each of these initiatives,including participation from state and federal regulators,government
'http://www.pacificorp.com/tran/tpleg html
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agencies,private and public energy providers,independent developers,consumer advocates,
renewable energy groups,policy think tanks,environmental groups,and elected officials.These
studies have shown a critical need to alleviate transmission congestion and move constrained
energyresources to regional load centers throughout the west,and include:
Northwest Transmission Assessment Committee (NTAC)
The NTAC was the sub-regional transmission planning group representing the Northwest
region,preceding Northern Tier Transmission Group and ColumbiaGrid.The NTAC
developed long term transmission options for resources located within the provinces of
British Columbia and Alberta,and the states of Montana,Washington and Oregon to
serve Pacific Northwest loads and northern California.
Rocky Mountain Area Transmission Study
Recommendedtransmission expansions "The analyses presented in thisoverlapsignificantlywithEnergyGatewayReportsuggestthatwell-configuration,including:considered transmission
o Bridger system expansion similar to upgrades capable of giving LSEs
Gateway West greateraccess to lower cost
o Southeast Idaho to southwestUtah generationand enhancing fuel
a diversity,are cost-effectiveforexpansionakintoGatewayCentralconsumersunderavanetyofandSigurdtoRedButtereasonableassumptionsaboutoImprovedeast-west connectivity natural gas prices.similar to Energy Gateway Segment
H alternatives
Western Governors'Association Transmission Task Force Report
Examined the transmissionneeded to
deliver the largely remote generation "The Task For ce observes that
resources contemplatedby the Clean and transmission invesonents
Diversified Energy Advisory Committee,typicany continue to provide
value even as networkThiseffortbuiltuonthetransmissionconditionschange.For example,previously modeled by the Seams Steering transmission originally built toGroup-Western Interconnection,and the site of a now obsolete
included transmission necessary to support a power plant continues to be
range of resource scenarios,including high used since a new power plant is
efficiency,high renewablesand high coal often constructed at the same
scenarios.Again,for PacifiCorp's system,location
the transmission expansion that supported
these scenarios closely resembled Energy Gateway's configuration.
Western Regional Transmission Expansion Partnership (WRTEP)
The WRTEP was a group of six utilities working with four western governors'offices to
evaluate the proposed Frontier Transmission Line.The Frontier Line was proposed to
connect California and Nevada to Wyoming's Powder River Basin through Utah.The
utilities involved were PacifiCorp,Nevada Power,Pacific Gas &Electric,San Diego Gas
&Electric,Southern California Edison,and Sierra Pacific Power.
Northern Tier Transmission Group (NTTG)Transmission Planning Reports :
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In the 2016-2017 NTTG Draft Regional
Transmission Plan,Energy Gateway (both 'Wfter analy:ing the steady-state
performanceof stresseriGatewayWestandGatewaySouthandconditionedcases,a rigorousGatewayWest)were listed as necessary for conttngency analysisacceptablesystemperformance.The study cornmenced-then.NEG
also establishedthat the amount of new Technical cornmittee
Wyoming wind that is added over time 'determined additional facilities
impacts the transmission system reliability would be needed to meet the
west of Wyoming.Additionally three reh ability entena...'
interregional projects were included in the
study (SWIP North,Cross Tie and TransWest Express),which showedthat all three
projects relied on Energy Gateway to attain their full transfer capability rating.
WECC/Transmission Expansion Policy and Planning Committee (TEPPC)Annual
Reports and Western Interconnection
Transmission Path Utilization Studies "Path 19 [Bridger]is the most
These analyses measure the historical use of heavily loaded WECC path in the
transmission paths in the west to provide study ...Usage on this path is
currently of interest due to theinsightintowherecongestionisoccurringandhighnumberofrequestsforassessthecostofthatcongestion.The Energy transmission service to moveGatewaysegmentshavebeenincludedintherenewablepowertotheWest
analyses that support these studies,alleviating from the wyoming area,
several points of significant congestion on the system,
O includingPath 19 (Bridger West)and Path 20
(Path C).
Energy GatewayConfiguration
To address constraints identified on PacifiCorp's system,as well as meeting system reliability
requirements discussed further below,the recommended bulk electric transmission additions
took on a consistent footprint,which is now known as Energy Gateway.This expansion plan
establishes a triangle of reliability that spans Utah,Idaho and Wyoming with paths extending
into Oregon and Washington,and contemplates logical resource locations for the long term
based on environmental constraints,economic generation resources,and federal and state energy
policies.
Since Energy Gateway's announcement,this series of projects has continued to be vetted through
multiple public transmission planning forums at the local,regional and interconnection-wide
levels.In accordancewith the local planning requirements in PacifiCorp's OATT,Attachment K,
the Company has conducted numerous public meetings on Energy Gateway and transmission
planning in general.Meeting notices and materials are posted publicly on PacifiCorp's
Attachment K Open Access Same-time Information System (OASIS)site.PacifiCorp is also a
member of NTTG and WECC's TEPPC.
These groups continually evaluate PacifiCorp's transmission plan in their efforts to develop and
refine the optimal regional and interconnection-wide plans.Please refer to PacifiCorp's OASIS
site for information and materials related to these public processes.4
4 Ì1ÍÍP:ÍWWW.ORÍÏORSÎS.com/ppwlindex.html
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PACIFICORP-2017 IRP CHAPTER 4 -TRANSMISSION O
Additionally,an extensive 18-month stakeholder process on Gateway West and Gateway South
was conducted.This stakeholder process was conducted in accordance with WECC Regional
Planning Project Review guidelines and FERC OATT planning principles,and was used to
establish need,assess benefits to the region,vet alternatives and eliminate duplication of
projects.Meeting materials and related reports can be found on PacifiCorp's Energy Gateway
OASIS site.
Energy Gateway'sContinued Evolution
The Energy Gateway Transmission Expansion Plan is the result of years of ongoing local and
regional transmission planning efforts with significant customer and stakeholder involvement.
Since its announcement in May 2007,Energy Gateway's scope and scale have continued to
evolve to meet the future needs of PacifiCorp customers and the requirements of mandatory
transmission planning standards and criteria.Additionally,PacifiCorp has improved its ability to
meet near-term customer needs through a limited number of smaller-scale investments that
maximize efficient use of the current system and help defer,to some degree,the need for larger
capital investments like Energy Gateway (see the following section on Efforts to Maximize
Existing System Capability).The IRP process,as compared to transmission planning,is a
frequently changing resource planning process that does not always support the longer-term
development needs of transmission,or the ability to implement transmission in time to meet
customer need.Together,however,the IRP and transmission planning processes complement
each other by helping PacifiCorp optimize the timing of its transmission and resource
investments for meeting customer needs.
While the core principles for Energy Gateway's design have not changed,the project
configuration and timing continue to be reviewed and modified to coincide with the latest
mandatory transmission system reliability standards and performance requirements,annual
system reliability assessments,input from several years of federal and state permitting processes,
and changes in generation resource planning and our customers'forecasteddemand for energy.
As originally announced in May 2007,Energy Gateway consisted of a combination of single-
and double-circuit 230 kV,345 kV and 500 kV lines connecting Wyoming,Idaho,Utah,Oregon
and Nevada.In response to regulatory and industry input regarding potential regional benefits of
"upsizing"the project capacity (for example,maximized use of energy corridors,reduced
environmental impacts and improved economies of scale),the Company included in its original
plan the potential for doubling the project's capacity to accommodate third-party and equity
partnership interests.During late 2007 and early 2008,PacifiCorp received in excess of 6,000
MW of requests for incremental transmission service across the Energy Gateway footprint,
which supported the upsized configuration.The Company identified the costs required for this
upsized system and offered transmission service contracts to queue customers.These customers,
however,were unable to commit due to the upfront costs and lack of firm contracts with
customers to take delivery of future generation,and withdrew their requests.In parallel,
PacifiCorp pursued several potential partnerships with other transmission developers and entities
with transmission proposals in the Intermountain Region.Due to the significant upfront costs
inherent in transmission investments,firm partnership commitments also failed to materialize,
leading PacifiCorp to pursue the current configuration with the intent of only developing system
capacity sufficient to meet the long-term needs of its customers.
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PACIFICORP-2017 IRP CHAPTER ¢-TRANSMISSION
In 2010,the Company entered into memorandums of understanding to explore potential joint-
development opportunities with Idaho Power Company on its Boardman to Hemingway project
and with Portland General Electric Company (PGE)on its Cascade Crossing project.One of the
key purposes of Energy Gateway is to better integrate PacifiCorp's east and west balancing
authority areas,and Gateway Segment H from western Idaho into southern Oregon was
originally proposed to satisfy this need.However,recognizing the potential mutual benefits and
value for customers of jointly developing transmission,PacifiCorp has pursued these potential
partnership opþortunities as a potential lower-cost alternative.
In 2011,the Company announced the indefinite postponement of the 500 kV Gateway South
segment between the Mona substation in central Utah and Crystal substation in Nevada.This
extension of Gateway South,like the double-circuit configuration discussed above,was a
component of the upsized system to address regional needs if supported by queue customers or
partnerships.However,despite significant third-party interest in the Gateway South segment to
Nevada,there was a lack of financial commitment needed to support the upsized configuration.
In 2012,the Company determined that one new 230 kV line between the Windstar and Aeolus
substations and a rebuild of the existing 230 kV line were feasible,and that the second new
proposed 230 kV line and proposed 500 kV line planned between Windstar and Aeolus would be
eliminated.This decision resulted from the Company's ongoing focus on meeting customer
needs,taking stakeholder feedback and land-use limitations into consideration,and finding the
best balance between cost and risk for customers.In January 2012,the Company signed the
Boardman to Hemingway Permitting Agreement with Idaho Power Company and the Bonneville
O Power Administration (BPA)that provides for the Company's participation through the
permitting phase of the project.The Boardman to Hemingway project was pursued as an
alternative to PacifiCorp's originally proposed transmission segment from eastern Idaho into
southern Oregon (Hemingway to Captain Jack).Idaho Power leads the permitting efforts on the
Boardman to Hemingway project,and PacifiCorp continues to support these activities under the
conditions of the Boardman to Hemingway Transmission Project Joint Permit Funding
Agreement.The proposed line provides additional connectivity between PacifiCorp's west and
east balancing authority areas and supports the full projected line rating for the Gateway projects
at full build out.PacifiCorp plans to continue forward in support of the project under the Permit
Funding agreement and will assess next steps post-permitting based on customer need and
possible benefits.
In January 2013,PacifiCorp began discussions with PGE regarding changes to its Cascade
Crossing transmission project and potential opportunities for joint development or firm capacity
rights on PacifiCorp's Oregon system.The Company further notes that it had a memorandum of
understanding with PGE for the development of Cascade Crossing that terminated by its own
terms.PacifiCorp had continued to evaluate potential partnership opportunities with PGE once it
announced its intention to pursue Cascade Crossing with BPA.However,because PGE decided
to end discussions with BPA and instead pursue other options,PacifiCorp is not actively
pursuing this opportunity.PacifiCorp continues to look to partner with third parties on
transmission development as opportunities arise.
In May 2013,PaciflCorp completed the Mona to Oguirrh project.In November 2013,the Bureau
of Land Management issued a partial Record of Decision providing a right-of-way grant for all
of Segment D and most of Segment E of Energy Gateway.The agency chose to defer its decision
on the western-most portion of Segment E of the project located in Idaho in order to perform
additional review of the Morley Nelson Snake River Birds of Prey Conservation Area.
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PACIFICORP-2017IRP CHAPTER4--TRANSMISSION
Specifically,the sections of Gateway West that were deferred for a later Record of Decision
include the sections of Segment E from Midpoint to Hemingway and Cedar Hill to Hemingway.
In May 2015,the Sigurd to Red Butte project was completed and placed in-service.
In December 2016,the Bureau of Land Management issued its Record of Decision and right-of-
way grant for the Gateway South project.
In January 2017,the Bureau of Land Management issued its Record of Decision and right-of-
way grant,previously deferred as part of the November 2013 partial Record of Decision,for the
sections of Segment E from Midpoint to Hemingway and Cedar Hill to Hemingway.
PacifiCorp evaluated four Energy Gateway scenarios in this 20l7 IRP:
Energy Gateway 1:Segment D Windstar to Aeolus 230 kV (one new line and one re-built
line)and Aeolus to Bridger/Anticline500 kV line;
Energy Gateway 2:Segment F Windstar to Aeolus 230 kV (one new line and one re-built
line)and Aeolus to Mona/Clover 500 kV line;
Energy Gateway 3:Segments D &F Windstar to Aeolus 230 kV (one new line and one
re-built line)and Aeolus to Bridger/Anticline,Bridger/Anticlineto Populus and Aeolus to
Mona/Clover 500 kV lines;and
Energy Gateway 4:Segment D2 Aeolus to Bridger/Anticline500 kV line.
This analysis demonstrates that Energy Gateway 4 (Aeolus to Bridger/Anticline)showed
potential to align development of this new transmission line with new PTC-eligible wind
resources and provide value for PaciflCorp customers.PacifiCorp refined its analysis during the
IRP process,to understand how the most current assumptions would influence potential
customer benefits associated with this new transmission line.The refined analysis shows that the
Energy Gateway 4 scenario,Aeolus to Bridger/Anticline,in conjunction with new wind
additions and PTCs,is the most cost-effective Energy Gateway transmission segment,providing
the most benefit to customers.Energy Gateway 4 is therefore a component of the 2017 IRP
preferred portfolio.
Finally,the timing of segments is regularly assessed and adjusted.While permitting delays have
played a significant role in the adjusted timing of some segments (e.g.,Gateway West,Gateway
South,and Boardman to Hemingway),PacifiCorp has been proactive in deferring in-service
dates as needed due to permitting schedules,moderated load growth,changing customer needs,
and system reliability improvements.
PacifiCorp will continue to adjust the timing and configuration of its proposed transmission
investments based on its ongoing assessment of the system's ability to meet customer needs and
its compliance with mandatory reliability standards.
O
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PAclFICORP--2017]RP CHAPTER4-TRANSMISSION
O Figure 4.4 -Energy Gateway Transmission Expansion Plan
WASHINGTON
.MONTANA
McNary Wanula
OgFGON IDAHO
captainJacks Borab gwindaar
Cedar NNI An D2D3
CALIFORNIA
NEVADA
ou F
COLOR A DO6PacifiCorpretailservicearea
New transmission lines:UT A H
-500 kV minimum voltage Red Buus
-345 kV minimum voltage
-230 kV minimum voltage
e Existing substation
O New substation
ARIZONA NEW MEXICO
This map is for general reference only and reflects current plans
lt may not reflect the final routes,construction sequence or exact line configuration.
Approximate
Segment &Name Description Mileage Status and Scheduled In-Service
(A)230 kV,single circuit 30 mi Status:local permitting completed
Wallula-McNary Scheduled in-service:2018 is sponsor driven
345 kV,double circuit 135 mi Status:completed
Populus-Terminal Placed in-service:November 2010
(C)500 kV single circuit 100 mi Status:completed
Mona-Oquirrh 345 k,V double circuit Placed in-service:May 2013
Status:rights-of-way acquisition underwayOguirrh-Terminal 345 kV double circuit 14 mi Scheduled in-service:2021
New 230 kV single circuit(Dl)Re-built 230 kV single 75 mi Status:permitting underway
Windstar-Aeolus Scheduled in-service:2019-2024circuit
A us-500 kV single circuit 140 mi Status:permitting underway
Bridger/Anticline Scheduled in-service:2020
Bridge
A3nticline-
500 kV single circuit 200 mi Status:permitting underway
Populus Scheduled in-service:2020-2024
(E)Status:permitting underway
.500 kV single circuit 500 miOPopulus-Hemmgway Scheduled in-service:2020-2024
(F)500 kV single circuit 400 mi Status:permitting underway
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RMP Cross Exhibit
PACIFICORP-2017 IRP CHAPTER 4 -TRANSMISSION
Approximate
Segment &Name Description Mileage Status and Scheduled In-Service
Aeolus-Mona Scheduled in-service:2020-2024
(G).Status:construction began May 2013345kVsinglecircuit170miSigurd-Red Butte Placed in-service:May 20l5
(H)Status:pursuing joint-development and/or firm
Boardman-500 kV single circuit 500 mi capacity opportunities with project sponsors
Hemingway Scheduled in-service:sponsor driven
Efforts to Maximize Existing System Capability
In addition to investing in the Energy Gateway transmission projects,PacifiCorp continues to
make other system improvements that have helped maximize efficient use of the existing
transmission system and defer the need for larger-scale,longer-term infrastructure investment.
Despite limited new transmission capacity being added to the system over the last 20 to 30 years,
PacifiCorp has maintained system reliability and maximized system efficiency through other
smaller-scale,incremental projects.
System-wide,the Company has instituted more than 155 grid operating procedures and 17
special protection schemes to maximize the existing system capability whilemanaging system
risk.In addition,PacifiCorp has been an active participant in the EIM since November 2014.The
EIM provides for more efficient dispatch of participating resources in real-time through an
automated system that dispatches generation across the EIM footprint,which currently includes
the PacifiCorp east and west balancing authority areas,the NV Energy,Puget Sound Energy,
Arizona Public Service balancing authority areas,and the CAISO balancing authority area
(collectively,EIM Area)for use as short-term balancing resources to ensure energy supply
matches demand.Entities scheduled to join the EIM include PGE (October 2017),Idaho Power
Company (April 2018),Seattle City Light (April 2019),and the Balancing Authority of Northern
California (April 2019).By broadening the pool of lower-cost resources that can be accessed to
balance systems,reliability is enhanced and system costs are reduced across the entire EIM Area.
In addition,the automated system is able to identify and use available transmission capacity to
transfer the dispatched resources,enabling more efficient use of the available transmission
system.
Transmission System ImprovementsPlaced In-Service Since the 2015 IRP
Constructed the new Standpipe substation and installed a synchronous condenserlocated
in Wyoming.
Installed an additional 230/115 kV 250 MVA transformer at Casper substation located in
Wyoming.
Installed shunt capacitors at Fry substation located in Oregon.
Installed a load-shedding scheme at Grass Creek and Thermopolis substations located in
Wyoming.
Installed a phase-shifting transformer and series reactor at Upalco substation located in
Utah.
Installed an additional 230/115 kV 250 MVA transformer and 230 kV ring bus at Union
Gap substation located in Washington.
Expanded the 230 kV ring bus at PomonaHeights substation located in Washington.
Installed new relays on the Rigby to Sugarmill 161 kV line located in Idaho.
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PACIFICORP-2017 IRP CHAPTER 4-TRANSMlSSION
Installed new relays on the Rigby to Jefferson 161 kV line located in Idaho.
Installed a phase-shifting transformer at Pinto substation located in Utah.
Constructed the new Whetstone substation located in Oregon.
Constructed a 10-mile,46 kV line from the Holden substation tap to the Flowell-Robison
line located in Utah.
Converted the Highland substation to 138 kV located in Utah.
Installed a 138/46kV transformer at Snyderville substation located in Utah.
Planned Transmission System Improvements
Replace the existing l 15/69 kV transformer at Weed substation with a 50 MVA LTC unit
located in California.
Replace 500 kV line relays at several500 kV substations located in Oregon.
Energize one circuit of the 230kV Ben Lomond to Parrish line as a three-terminal 138kV
line from Ben Lomond to Syracuse and Parrish located in Utah.
Install a new remedial action scheme (RAS)in the Goshen/Rigby area located in Idaho.
Reconstruct the Goshen-Jefferson 161kV line located in Idaho.
Energize Red Butte-St.George 345 kV line at 138 kV located in Utah.
Install a new bay with a breaker and half scheme at Spanish Fork substation located in
Utah.
Install a second 700 MVA 345/138 kV transformer at Syracuse substation located in
Utah.
O Install backup bus differential relays at various substations located in Utah and
Wyoming.
Replace breakers identified as over-dutied with higher-capability breakers in various
substations located in Utah,Wyoming,and Idaho.
Replace an existing oil breaker at the Treasureton 138 kV substation with a SF6 breaker
and add a circuit switcher in series with the breaker located in Utah.
Replace conductor on the Moxee-Hopland section of the Moxee-Union Gap l15 kV line
located in Washington.
Construct two new 500-230 kV substations,Snow Goose and Sams Valley,located in
Oregon.
Rebuild the 230 kV portion of the Troutdale substation,located in Oregon,into a six
breaker ring bus configuration.
Rebuild the l 15 kV main and transfer bus into a breaker and half scheme at the Union
Gap substation in Washington.
Construct a 138 kV line from Croydon substation to Silver Creek substation located in
Utah.
Replace conductor between Hazelwood and BPA Albany and construct a new 115 kV
ring bus at Hazelwood substation located in Oregon.
Replace the 25 MVA 115 kV-69 kV transformer at Dry Gulch with a 50 MVA
transformer located in Washington.
Convert portions of Portland,Oregon area transmission network to 115 kV from 57 kV
and 69 kV.
Install an additional 115 kV-69 kV transformer at Yreka substation located in California.
Install a new 230 kV-115 kV transformer at Ponderosasubstation and a new seven-mile
115 kV transmission line between Ponderosaand Baldwin substations located in Oregon.
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RMP Cross Exhibit
PACIFICORP-2017IRP CHAPTER4-TRANSMISSION OTheseinvestmentshelpmaximizetheexistingsystem's capability,improve the Company's
ability to serve growing customer loads,improve reliability,increase transfer capacity across
WECC Paths,reduce the risk of voltage collapse and maintain compliance with NERC and
WECC reliability standards.
e
e
74