Download Cost Estimation

Cost Estimation
for Regional Transmission Overlay Study (RTOS)
Purpose &
Key
Takeaways
Purpose:
To provide detail for MISO’s cost estimation approach
Key Takeaways:
• Planning-Level and Scoping-Level
MISO cost estimate approach
• Generic Cost Estimation Data
Cost Estimates:
Overview

Planning-Level cost estimates will be used to compare long-term
indicative overlay roadmaps

Why does MISO develop cost estimates

3

Prior to FERC Order 1000, Transmission Owners or stakeholders provided
cost estimates for regional projects

FERC Order 1000 introduced competition to who constructs, owns, and
operates regionally cost shared projects

Project cost is one area that Transmission Owners and Developers compete

Stakeholders sought MISO’s involvement to develop cost estimates
MISO Staff Expertise
Cost Estimates:
Planning-Level and Scoping-Level

MISO estimates project cost in two stages – Planning and Scoping

A Planning-Level cost estimate is a high level cost estimate for facilities in
studies based on overall facility characteristics

A Scoping-Level cost estimate is a preliminary cost estimate based on
information derived from further research on particular project
requirements in terms of assumed transmission line routing and
construction details of line and substation
4
RTOS Study Cost Estimates:
Regional Needs
Identification
Long term Indicative Overlay
Roadmaps Development
MISO Planning-Level cost
estimate
Preliminary Regional Plan
Identification
Candidate Regional Plan
Evaluation
5
MISO Scoping-Level cost
estimate
Planning-Level Cost Estimate:
Transmission Line
Length; Voltage; Conductor; Structure, New or Re-Conductor
Terrain Type
Right-of-Way Cost
Construction Cost Estimate
AFUDC; Overhead; Contingency
Project Implementation Cost Estimate
6
Planning-Level Cost Estimate:
Transmission Line Inputs
Transmission Estimate
Inputs
Definition
Source:
Straight Line Length + 20%
Straight line between two interconnecting substations +20%
Geography
Voltage and Circuits
Determined by the Voltage level and the number of circuits on
the proposed line
Planning Solution Idea
Conductor Type
ACSR, ACSS, or HTLS
Planning Solution Idea
Structure Type
Lattice, or Tubular structure - determined to match existing
structure types in the project area.
Planning Solution Idea
New or Re-Conductor
Whether the proposed line is new, or re-conductoring an
existing line.
Planning Solution Idea
Terrain Type
Farmland, Desert, Wetland, Suburban, Rolling Hill, Urban,
Mountain, Forested.
Geography
Right-of-Way Width
Value is determined by the Voltage level and the number of
circuits on the proposed line.
Estimate Input Data
AFUDC
Allowance for Funds Used During Construction
Estimate Input Data
Overhead
Services needed to complete the project, such as:
Construction Management; Project Management; Permits;
Legal Fees; and any other indirect costs.
Estimate Input Data
Contingency
Additional funds included in estimate to account for unknown
conditions at the time of completing the estimate
Estimate Input Data
7
Planning-Level Cost Estimate:
Substation
# of New Positions; Arrangement; Voltage; New/Existing site
Major Equipment (Transformer, Shunt Reactor, Series Capacitor)
Construction Cost Estimate
AFUDC; Overhead; Contingency
Project Implementation Cost Estimate
8
Planning-Level Cost Estimate:
Substation Inputs
Substation Estimate
Inputs
Definition
Source:
# of New Positions
Number of new line and/or major equipment positions added
with the proposed project
Planning Solution Idea
Arrangement
Ring Bus or Breaker-and-a-Half Bus Arrangement.
Planning Solution Idea
New Substation Adder
If Substation is new, general facilities are needed such as land
Planning Solution Idea
cost, grading, fencing, grounding, and a control enclosure.
Shunt Reactor MVA
If a shunt reactor is required, the MVA will be specified.
Planning Solution Idea
Series Capacitor MVA
If a series capacitor is required, the MVA will be specified.
Planning Solution Idea
Transformer MVA
If a transformer is required, the MVA at the voltages of the
transformer will be specified.
Planning Solution Idea
AFUDC
Allowance for Funds Used During Construction
Estimate Input Data
Overhead
Services needed to complete the project, such as:
Construction Management; Project Management; Permits;
Legal Fees; and any other indirect costs.
Estimate Input Data
Contingency
Additional funds included in estimate to account for unknown
conditions at the time of completing the estimate
Estimate Input Data
9
Planning-Level Base Cost
Transmission Line
230kV Single
345kV Single
345kV Double
500kV Single
765kV Single
Circuit
Circuit
Circuit
Circuit
Circuit
$1.2M
$2.0M
$3.3M
$2.1M
$2.45M
Base cost
($/mile) in
2017$,
M=Million
Assumptions for Base cost as mentioned below
Conductor
Type
Structure Type
Length
Terrain
ACSS
ACSS
ACSS
ACSR
ACSR
Tubular Steel
Tubular Steel
Tubular Steel
Lattice Steel
Lattice Steel
Greater than 10
Greater than 10
Greater than 10
Greater than 10
Greater than 10
Miles
Miles
Miles
Miles
Miles
Flat Farmland
Flat Farmland
Flat Farmland
Flat Farmland
Flat Farmland
Base Costs do not include AFUDC, Overhead, or Contingency
10
Planning-Level Base Cost
Substation
230 kV
345 kV
500 kV
765kV
Substation
Substation
Substation
Substation*
$1.6M
$2.4M
$3.3M
$11.4M
$2.4M
$3.7M
$4.9M
$13.8M
$8.4M
$12.1M
$15.8M
$50.1M
$11.7M
$17.0M
$22.4M
$59.9M
New line position
Existing Substation
Ring Bus
New line position
Existing Substation
Breaker-and-a-Half Bus
New Substation
4 positions
Ring Bus
New Substation
4 positions
Breaker-and-a-Half Bus
*765kV Line Positions include one 300MVAr Reactor per line position
2017 Dollars, M = Million
Base Costs do not include AFUDC, Overhead, or Contingency
11
Planning-Level Base Cost
Substation Transformers
Transformer
300 MVA
500 MVA
700 MVA
115kV/345kV
$3.3M
$5.6M
$7.8M
138kV/345kV
$3.3M
$5.6M
$7.8M
161kV/345kV
$3.3M
$5.6M
$7.8M
750 MVA
1200 MVA
230kV/500kV
$9.2M
$14.7M
345kV/500kV
$10.9M
$17.4M
345kV/765kV
$40.7M
500kV/765kV
$40.7M
2017 Dollars, M = Million
12
2250 MVA
Feedback

MISO presented Cost Estimation Data in the February Planning
Subcommittee meeting, and the February Economic Planning Users
Group meeting and requested feedback

Feedback was received on March 9, 2017

MISO will provide responses to the feedback received at upcoming
Planning Subcommittee, and Economic Planning Users Group meetings
13
Contact Information
Devang Joshi, PE

Principal Transmission Design Engineer – MISO

[email protected]
Alex Monn, PE
14

Senior Substation Design Engineer – MISO

[email protected]
END
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APPENDIX
16
Scoping-Level Estimate:
Transmission Line
Planning-Level Estimate
Scoping-Level Estimate
Straight Line
Length
g +20%
Google Earth
Line Routing
g
Voltage &
# of Circuits
Voltage &
# of Circuits
Conductor
yp
Type
Conductor
yp
Type
Conductor
Size
Fittings &
Accessories
Shield Wire
17
Scoping-Level Estimate:
Transmission Line
Planning-Level Estimate
Scoping-Level Estimate
Structure
Type
yp
Structure
Type
yp
# of Structures
Foundation
Details
18
New or
Re-conductor
New or
Re-conductor
Right-of-Way
Right-of-Way
Terrain Type
Terrain Type
Scoping-Level Estimate:
Transmission Line
Planning-Level Estimate
Scoping-Level Estimate
AFUDC
AFUDC
Overhead
Construction
Management
g
Project
g
Management
Permits &
g Fees
Legal
Indirect
Costs
Contingency
19
Contingency
Scoping-Level Estimate:
Substation
Planning-Level Estimate
Scoping-Level Estimate
# of New
Positions
Mobilization &
Demobilization
All Equipment,
g
Bus & Fittings
Steel Stands
Foundations
Conduit &
Control Cable
Relay Panels
20
Scoping-Level Estimate:
Substation
Planning-Level Estimate
Scoping-Level Estimate
Arrangement
Arrangement
New Substation
Adder
Land Cost
Clearing &
Grubbingg
Grading, Fence
& Groundingg
Control
Enclosure
21
Scoping-Level Estimate:
Substation
Planning-Level Estimate
Scoping-Level Estimate
Shunt Reactor
MVA
Shunt Reactor
MVA
Series
Capacitor
p
MVA
Series
Capacitor
p
MVA
Transformer
MVA
Transformer
MVA
22
Scoping-Level Estimate:
Substation
Planning-Level Estimate
Scoping-Level Estimate
AFUDC
AFUDC
Overhead
Construction
Management
g
Project
g
Management
Permits &
g Fees
Legal
Indirect
Costs
Contingency
23
Contingency