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Challenges in Building Transmission in California

Challenges in Building Transmission in California. Power Association of Northern California P.J. Martinez VP, Engineering Pacific Gas & Electric Company September 8, 2009. Pacific Gas and Electric Company - Overview. Headquarters Location San Francisco, CA Service Area

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Challenges in Building Transmission in California

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  1. Challenges in Building Transmission in California Power Association of Northern California P.J. Martinez VP, Engineering Pacific Gas & Electric Company September 8, 2009

  2. Pacific Gas and Electric Company - Overview Headquarters Location San Francisco, CA Service Area 70,000 square miles in northern and central California Service Area Population 15 million people (or about 1 of every 20 Americans) Distribution Customer Accounts 5.1 million electric, 4.3 million gas Employees Approximately 20,000 System  159,364 miles of electric transmission and distribution lines  48,198 miles of natural gas T&D pipelines  6,900 megawatts of generation, including Diablo Canyon nuclear power plant, Helms pumped storage plant, and one of the largest hydroelectric systems in the country

  3. Challenges and Drivers • Challenges to Building Transmission • Permitting and Siting • Multiple Planning Processes • Construction • Main Drivers for Transmission • Reliability • Renewable Portfolio Standards 3

  4. Reliability PG&E continues to strengthen and modernize its electric transmission grid. • - Two-fold increase since 2004 • Replace aging Infrastructure • Improve service reliability • Automate operation, SCADA and improve system protection • Modernize design and configurations • Connect new generation and accommodate aging generation retirement • Meet demand increase PG&E Capital Spend on Reliability Projects Forecasted 4

  5. Renewable Portfolio Standard • - CA State Impacts • Increased Import Capability • Lower System Losses • Access to new renewable resources • Improved Reliability • CA State Challenges • Concentration of SoCal resources • Intermittency Issues • Resource Planning – LGIP • Transmission permitting • Regional Challenges • Increase of out of state transfers • Need for broader coordinated planning process • Treatment of economics, reliability, operational benefits 5

  6. Large Generator Interconnection Process (LGIP) • Transition to improved interconnection process is ongoing • Results of Phase 1 of LGIP • Assessed needed network upgrades • 108 projects evaluated totaling 39,000 MW • Billion in system upgrades • Key Issues • Number of projects in the process • Security postings – CAISO stakeholders working on improvements • Recommendations to CAISO Board on Sept. 11 6

  7. Process Challenges • Industry ability to plan, approve, and build necessary transmission. • Multiple Jurisdictions and Processes • CAISO • MUNIs • CPUC Permits • CEC Permits • WECC TEPPC • FERC • Meeting Challenges by • Understand limitations of existing process • Streamline process to minimize duplication • Objective on results that facilitate project progress 7

  8. PG&E Plan & Vision To British Columbia • PG&E collaborating on planning to develop a statewide transmission plan. Near and long term efforts include: • RETI • CTPG • CAISO • TEPPC • PG&E proactively focused on transmission line projects to meet renewables targets. • Canada – Northern California • C3ETP • Carrizo Plains • SCE projects in SoCal Malin Captain Oregon Jack California Canada - NorCal Round Mt Olinda Table Mt Vaca Dixon Tracy Bellota Tesla Metcalf Gregg Moss Landing Los Banos C3ETP Gates Midway Diablo Carrizo Plains Vincent 8

  9. Conclusion PG&E is optimistic that together with the State and all stakeholders California will both: - Build the necessary transmission for the States future and - Develop an effective planning process 9

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