interconnection and transmission - scapscap1.org/potw reference library/august 26, 2015 energy...

Interconnection and Transmission

Gary L. Brown, P.E. Director of Energy Development

[email protected]

916-985-9461

Kevin Coffee

Energy Management Committee Meeting

Irvine, California

August 26, 2015


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

Topics Covered

Interconnection & Transmission

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


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

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


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


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

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



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



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



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


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


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.)


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


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


Financial Security cont.…..


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)


Financial Security cont.…..


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 3rd Financial Security Posting is 100% due at the start of Construction

of upgrades


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)


Interconnection Agreement – cont. …..

Negotiations are limited to the “Attachments” to the IA.

o Description and Costs of the Generating Facilities Upgrades and

Interconnection Facilities, Single-Line diagram and Metering Equipment

o Milestones: Contract performance, Utility In-Service Dates,

Synchronization Date, Trial Operation Date, Commercial Operation Date

(COD)

o Special or Additional Operating Requirements

o Affected Systems interaction

o Utilities’ Upgrades and estimated upgrade costs (transmission,

distribution, SPS, communications)

o Interconnection Requirements (LVRT, FRT, PF, SCADA)


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


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


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 1971 – 2000.

Led the initial start-up team that designed, implemented and operated the CAISO Electricity Market and the Electric Grid from 1998 – 2004.

Led the implementation of the CAISO Nodal Market.

Directed CAISO Grid Operations from 2000 – 2011 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.

Services Provided T&D Planning and Engineering Energy Markets and Reliability Analysis Infrastructure Development (DG)

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

Market

Analytics

Interconnection and Transmission Transmission & Distribution

Engineering & Planning Services T&

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T&D Planning

Generation Interconnection

T&D Planning & Design

System Impact & Facility Studies

Power Flow & Stability Analysis

T&D Engineering

Detailed Engineering Design

Owner’s Engineering Staff

Emerging Technologies

interconnection and transmission - scapscap1.org/potw reference library/august 26, 2015 energy...

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