Generation Interconnection Cost Allocation Policy

1
Generation Interconnection Cost Allocation Policy

• Teresa Mogensen
• Director of Transmission Planning
• and Service

2
ATC Objectives

• Strengthen ATC transmission network
• Improve access of ATC customers to competitive
  energy market
• Additional generation interconnections
• Impacts on import capability

3
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

4
Network Facilities

• Facilities must carry network flow and be judged
  beneficial to network
• Radial generation leads to network
  interconnection point are not included

5
Example Interconnecting to an ATC Line

SUB D
Stability
X
SUB B relay
SUB A  
? Miles
SUB C relay  
X
____ 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
 
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Example Interconnecting to an ATC Substation
Line 4
Line 5
Line 3
Line 1
Line 2
____ 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  
 
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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

8
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

9
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.

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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.

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Least Cost Redispatch Process

• Mike Zahorik

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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.

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Least Cost Redispatch

• The ATC Operator will control the TLR 5
  Redispatch.
• All Non Firm transactions with gt5 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.

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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.

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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.

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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.

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Unit Costs

• Each Control Area would provide Generation Costs
  to ATC.
• Example of Wisconsin Electric's costs.

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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.

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Least Cost Redispatch Plans
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Least Cost Redispatch Plans
MW Relief Required 50 Paris
Albers 138 Kv 3503
Redispatch Redispatch Increment Unit
Inc Decrement Unit Dec
GSF Delta Cost Needed Cost
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
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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.

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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.

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Update on Single System ATC

• Teresa Mogensen
• Director of Transmission Planning and Service

25
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

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Single System ATCNon-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
• CE??WUMS, DPC??WUMS, NSP??WUMS, UPPCo??WUMS and
  MECS??WUMS.
• Note that WUMS is a proxy for ATCLLC
• UPPCo will be added to this group when they
  become a network customer

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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

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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
• Please refer to the draft proposal for details

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Single System ATCCongestion 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

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Single System ATCNext 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.

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Maintenance Scheduling Process

• Don Morrow

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Who Do I Talk To?

• On the old WEP system ATC-Pewaukee
• On the old WPS system WPS Operating
• On the old ALTE system ATC-CG
• On the old MGE system MGE

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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

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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

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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

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Load Shedding Subcommittee

• Kurt Dickinson
• Manager, System Control
• Cottage Grove

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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

38
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.

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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.

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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).

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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.