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Generation Interconnection Cost Allocation Policy Teresa Mogensen Director of Transmission Planning and Service 5/18/01 Generation Customer Meeting 1 ATC Objectives • Strengthen ATC transmission network • Improve access of ATC customers to competitive energy market – Additional generation interconnections – Impacts on import capability 5/18/01 Generation Customer Meeting 2 Policy • Include the costs of transmission network facilities associated with generation interconnections in the network costs of the ATC system • Subject to tests: – Network facilities – Reasonableness – Eligibility 5/18/01 Generation Customer Meeting 3 Network Facilities • Facilities must carry network flow and be judged beneficial to network • Radial generation leads to network interconnection point are not included 5/18/01 Generation Customer Meeting 4 Example: Interconnecting to an ATC Line Stability SU B D X SU B A SU B B rela y ? Miles X SU BC relay ____ Interconnection Facilities (new facilities necessary to interconnect generation) ____ Required Upgrades (breakers, system protection and control) resulting from short circuit and stability studies ____ Subset of Required Upgrades – line addition due to stability ____ Optional Upgrades (thermal and associated upgrade) ____ Existing Facilities 5/18/01 Generation Customer Meeting 5 Example: Interconnecting to an ATC Substation Line 4 Line 5 Line 3 Line 2 Line 1 ____ Interconnection Facilities (new facilities necessary to interconnect generation) ____ Required Upgrades (breakers, system protection and control) resulting from short circuit and stability studies ____ Subset of Required Upgrades – line addition due to stability ____ Optional Upgrades (thermal and associated upgrade) ____ Existing Facilities 5/18/01 Generation Customer Meeting 6 Reasonableness Tests • ATC will assess factors including, but not limited to: – Distance from generator to existing ATC system – Application of general least cost planning principles – Point-to-point revenue to annual revenue requirement comparison 5/18/01 Generation Customer Meeting 7 Eligibility Requirements • Financial screening of generating firm • Guarantee to cover ATC costs expended if project fails or does not proceed as planned • Executed interconnection agreement 5/18/01 Generation Customer Meeting 8 Policy Subject to Change • Policy may be changed at some time in the future as generation becomes more plentiful, system configuration changes, RTO congestion management systems are implemented or other relevant conditions occur. 5/18/01 Generation Customer Meeting 9 Least Cost Redispatch • I want to suggest a method that will combine most effective use of generation to solve a constraint along with selecting the Least Cost. 5/18/01 Generation Customer Meeting 10 Least Cost Redispatch Process Mike Zahorik 5/18/01 Generation Customer Meeting 11 Least Cost Redispatch • This method will provide Least Cost Plans for 10 of the most probable flowgates that could be subjected to TLR 5 each day. • These plans will be made available to the ATC System Operators Prior to any TLR 5 event. 5/18/01 Generation Customer Meeting 12 Least Cost Redispatch • The ATC Operator will control the TLR 5 Redispatch. – All Non Firm transactions with >5% PTDF have been curtailed. – If the overloaded element is in the WEP, WPS or UPP Control Area, the Pewaukee ATC Operator will be responsible. – If the overloaded element is in the ALTE or MGE Control Area, the Cottage Grove ATC Operator will be responsible. – The responsible ATC Operator will request the needed relief. 5/18/01 Generation Customer Meeting 13 Least Cost Redispatch • The ATC Operator will control the TLR 5 Redispatch. – MAIN issues Firm transaction curtailment list. – MAIN also issues Load curtailments, these load curtailments may be accomplished by redispatch of generation. – The responsible ATC Operator will combine the needed load curtailments and issue the Least Cost Redispatch. 5/18/01 Generation Customer Meeting 14 Least Cost Redispatch • Least Cost Redispatch Plans – Will use Unit Costs. – Will provide plans for the 10 most probable TLR flowgates. – Will use NERC Generation Shift Factors. – These probable plans will be updated daily. 5/18/01 Generation Customer Meeting 15 Unit Costs • Generation Information will be communicated to ATC each day/week. – General Cost, to the nearest dollar. – Unit availability. – ATC will provide a spreadsheet to be filled out. 5/18/01 Generation Customer Meeting 16 Unit Costs Wisconsin Electric Unit Costs Unit Availablity Cost/Mw WEC_GER GT1 13.8_1 Y $75.00 WEC_GER GT2 13.8_2 Y $75.00 WEC_GER GT3 13.8_3 WEC_GER GT4 13.8_4 Y Y $75.00 $75.00 WEC_GER GT5 13.8_5 Y $75.00 WEC_PL PRG1 24.0_1 Y $10.00 WEC_PL PRG2 24.0_2 Y $10.00 WEC_POW G1 W22.0_1 Y $25.00 WEC_POW G2 E22.0_2 WEC_POW G3 W22.0_3 Y Y $25.00 $25.00 WEC_PRS GT1 13.8_1 Y $50.00 WEC_PRS GT2 13.8_2 Y $50.00 WEC_PRS GT3 13.8_3 Y $50.00 WEC_PRS GT4 13.8_4 WEC_PT BHG1 19.0_1 Y Y $50.00 $5.00 WEC_PT BHG2 19.0_2 Y $5.00 WEC_UNIV GT 13.8_1 Y $65.00 5/18/01 • Each Control Area would provide Generation Costs to ATC. • Example of Wisconsin Electric's costs. Generation Customer Meeting 17 10 Most Probable TLR's • Each Night Shift, ATC System Operator will select 10 possible Flowgates that could be subjected to TLR 5. – Based on Knowledge of System Topology – Recent Past History • ATC System Operator will gather NERC GSF's for the selected flowgates. 5/18/01 Generation Customer Meeting 18 Least Cost Redispatch Plans 5/18/01 Generation Customer Meeting 20 Least Cost Redispatch Plans MW Relief Required 50 Paris Albers 138 Kv 3503 Redispatch Redispatch Increment Unit Inc Cost Decrement Unit Dec GSF Delta Cost Needed Cost Cost WEC_PRS GT2 13.8_2 $50.00 WEC_PL PRG2 24.0_2 $10.00 -50.8 $40.00 98.43 $3,937.01 WEC_UNIV GT 13.8_1 $65.00 WEC_PL PRG2 24.0_2 $10.00 -19.4 $55.00 257.73 $14,175.26 Delta Cost = Inc Cost - Dec Cost Redispatch Needed = Mw Relief Required / GSF Redispatch Cost = Redispatch Needed * Delta Cost 5/18/01 Generation Customer Meeting 21 Least Cost Redispatch Plans • Items the responsible ATC Operator will have to consider during TLR 5 event. – ATC Operator may not know the current dispatch of units and/or the availability to move them. – ATC Operator will have to inquire if a generator pair is available. – If the Least Cost Redispatch spans two control areas, the control areas will have to enter schedules. 5/18/01 Generation Customer Meeting 22 Summary • ATC Operator controls Redispatch • MAIN issues Firm curtailment lists and Load Relief numbers • Control Area's supply Unit Costs • ATC Operator calculates and issues Redispatch orders. • If Redispatch is not available, load shedding will be necessary. 5/18/01 Generation Customer Meeting 23 Update on Single System ATC Teresa Mogensen Director of Transmission Planning and Service 5/18/01 Generation Customer Meeting 24 Single System ATC: Non-Firm • The “Proposed Changes to the Calculation of Non-firm ATC for the ATCLLC Transmission System” document was approved by the MAIN ATCSC on April 10, 2001 and implemented on April 25, 2001 5/18/01 Generation Customer Meeting 25 Single System ATC: Non-Firm (cont.) • A single ATCLLC non-firm ATC value is calculated and shared by all network customers of the ATCLLC for each of the interconnected directions – CEWUMS, DPCWUMS, NSPWUMS, UPPCoWUMS and MECSWUMS. – Note that WUMS is a proxy for “ATCLLC” – UPPCo will be added to this group when they become a network customer 5/18/01 Generation Customer Meeting 26 Single System ATC: Firm • There are several issues associated with a single zone approach to granting firm transmission service including: – Identification of true source/sink – Impacts on the transmission system based on the true source/sink – The work group has been unable to reach consensus • The work group is drafting a proposal titled “Single Zone Firm ATC” for executive review 5/18/01 Generation Customer Meeting 27 Single Zone Firm ATC: Latest Proposal • Only applies to studies within the next 13 months • Continue to calculate every control area to control area path • Calculate the Firm Service Load Ratio Share (FSLRS), based on each network customers’ load in proportion to total ATCLLC network load • Determine which path is most constrained, taking into account the FSLRS • Constrain all directions based on the most constrained path and FSLRS 5/18/01 Generation Customer Meeting for details 28 • Please refer to the draft proposal Single System ATC: Congestion Management • In order to track ATCLLC customer costs due to “Zero ATC” or TLR events, we have asked all customers impacted by TLR and/or denied transmission requests (based on “No ATC”) to report their estimated replacement costs and summarize by event • This data will be summarized by constraint (flowgate) and used, in part, to justify new projects • ATCLLC is also exploring ways to facilitate use of the NERC Market Redispatch program for our customers 5/18/01 Generation Customer Meeting 29 Single System ATC: Next Steps • Next SSATC Working Group meeting is June 5 at ATC HQ – Main goal of June 5 meeting is to finalize “best” proposal(s) for implementation of single zone ATC for firm • Ongoing series of biweekly meetings (June 5, June 19 etc.) to continue to discuss issues • Your ongoing input and participation is requested and appreciated.Generation Customer Meeting 5/18/01 30 Maintenance Scheduling Process Don Morrow 5/18/01 Generation Customer Meeting 31 Who Do I Talk To? On the old WEP system: On the old WPS system: On the old ALTE system: On the old MGE system: 5/18/01 ATC-Pewaukee WPS Operating ATC-CG MGE Generation Customer Meeting 32 Who Is ATC-Pewaukee? • Manager: Mike Zahorik 262-544-7002 • Team Leader: Eric Solberg 262-544-7228 • Security Coordinator: Darrel Yohnk 262-544-7106 • Outage Coordinator: Ed Funk • Outage Coordinator: Liz Gehrt • Real Time Operator: 262-544-7008 5/18/01 Generation Customer Meeting 33 Who Is ATC-Cottage Grove? • Manager: Kurt Dickinson 608-877-8237 • Security Coordinator: Francis Esselman 608-877-8172 • Outage Coordinator: Jon Staff 608-877-8208 • Outage Coordinator: Bill Hoesly 608-877-8209 • Real Time Operator: 608-877-8233 5/18/01 Generation Customer Meeting 34 Upcoming Changes • ATC-Pewaukee Control Center Move – New Phone #’s • ATC-CG Assumes Functional Control of Old MGE System • ATC-Pewaukee Assumes Functional Control of Old WPS System 5/18/01 Generation Customer Meeting 35 Load Shedding Subcommittee Kurt Dickinson Manager, System Control Cottage Grove 5/18/01 Generation Customer Meeting 36 LSS - Members • The following ATC customers have volunteered to discuss Load Shedding procedures: • • • • • • • Chuck Spargo – ACEC Phil Hansen & Pat Conners – WPPI Dale Koch – Manitowoc Public Utilities Paul Roehr – MGE Tony Jankowski – WE Jim Maenner (or Chris Plante) – WPS Ron Graber – Alliant • Kurt Dickinson – ATCLLC – 608.877.8237 5/18/01 Generation Customer Meeting 37 LSS – To Date The LSS has NOT met yet. • E-mail sent recently asking for concurrence on the issues. • Conference call scheduled Tuesday, June 5, 2001. Kurt will contact everyone with details. 5/18/01 Generation Customer Meeting 38 LSS – The Issues • Load shedding due to capacity deficiency. Rolling blackouts/distribution load shedding. This would be the responsibility of the individual control areas/local distribution companies or load balancing areas. There would be little or no involvement by ATCLLC. • Underfrequency load shedding and manual load shedding due to frequency decline as required by NERC/MAIN. This issue will be a little different for each customer and will have to be discussed. 5/18/01 Generation Customer Meeting 39 LSS – The Issues • Load shedding orders as a result of a Transmission Loading Relief (TLR) procedure, i.e. TLR level 5. We will definitely have to determine an acceptable procedure for this situation. If we run out of Redispatch and Schedule curtailment options, the act of shedding load to provide relief on a flowgate may get a bit complicated. • Specific load shedding as a result of a local transmission problem. If TLR could not help a particular situation, the ATCLLC System Control Operator may order shedding of some specific/local loads to prevent a worse problem (e.g.low voltage, voltage collapse or major overloads). 5/18/01 Generation Customer Meeting 40 LSS – Temporary Measures • Until there are specific procedures and processes developed by ATCLLC and its customers, we will continue to operate within the procedures and practices already in place by the utility or control area. 5/18/01 Generation Customer Meeting 41