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Seams Agreements

Seams Agreements. Presentation to WECC SIS November 18, 2008. Topics. Need for Seams Agreements Seams Agreements Provisions Benefits of Seams Agreements Overview of Congestion Management Process SPP’s Seams Situation. Need for Seams Agreements.

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Seams Agreements

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  1. Seams Agreements Presentation to WECC SIS November 18, 2008

  2. Topics • Need for Seams Agreements • Seams Agreements Provisions • Benefits of Seams Agreements • Overview of Congestion Management Process • SPP’s Seams Situation

  3. Need for Seams Agreements

  4. Seams Agreements – Who, What, When, Where, and Why • Who – any party performing NERC reliability functions or commercial operations responsible for activities that need to be coordinated • Transmission Service Provider • Planning Coordinator • Reliability Coordinator (generally covers BA, TOP, and GOP activities) • Market Operator • What – content depends on the function performed by the parties • When – now!...and until such time as FERC and/or NERC address seams issues in regulations and/or reliability standards • Where – between parties whose performance impacts each other • Why – to facilitate improved reliability and economic interactions between parties

  5. Seams Agreements Provisions

  6. Transmission Provider and Planning Coordinator Provisions • Data exchange • ATC coordination • Coordination of transmission service • Coordination of interconnection studies • Joint/collaborative planning • Cost allocation for transmission expansion

  7. Reliability Coordinator Provisions • Data exchange • Congestion management • Emergency procedures • Voltage/reactive coordination • Outage coordination

  8. Market Operator Provisions • Data exchange • Congestion management • Joint redispatch • Joint development of market structures

  9. Benefits of Seams Agreements

  10. Benefits of ATC and Planning Coordination • Reduces reliance on TLR and other congestion management mechanisms • Increases market confidence and stability • Facilitates improved resource planning • Improves identification of best projects to serve reliability and economic needs across a broader area • Facilitate sharing of transmission expansion costs • Increases opportunity for broad stakeholder and regulatory support of transmission expansion plans

  11. Benefits of Coordinated Reliability Ops • Allows for effective proactive planning • Reduces amount of TLR and congestion management • Results in more effective and efficient congestion management • Provides more effective and efficient response to emergencies

  12. Overview of Congestion Management Process

  13. Congestion Management Process • Several in EI are using CMP model - MAPP - MISO - PJM - SPP - TVA - EON - BREC - EKPC - MHEB • CMP model can be used by both market based and non-market based operating entities

  14. Congestion Management Process • CMP processes apply in both real-time coordination and in coordination of transmission sales • Requires market based operating entities to calculate and prioritize their market impacts on flowgates based on real-time generation and load information • Allocates flowgate capacity for purposes of coordinating transmission sales • Applies to all parties who have a CMP agreement with at least one other CMP party • Prioritization principles designed to motivate others to participate

  15. Congestion Management Process – Market Flows • Market based entities determine market flow impacts on Coordinated Flowgates (CFs) and Reciprocal Coordinated Flowgates (RCFs) • CFs are all flowgates impacted by the market based entity as determined by CMP required analyses • Market Flow priorities can be F-7 or NN-6 • RCFs are those CFs also impacted by another party to a CMP based seams agreement • Market Flow priorities can be F-7, NN-6, NH-2 • Market flow updated and submitted to the IDC every 15 minutes for current hour and next hour • Uses real-time generation and load data

  16. Congestion Management Process – ATC Coordination • Flowgate capacity allocated based on historical usage • Allocations assigned to market based and non-market based entities on all RCFs • Allocations are converted to AFC values and used in each party’s tariff administration processes • Provides a reliable method of ensuring that market flows and transmission reservations are limited in a coordinated and equitable fashion

  17. Examples of ATC Coordination Models Assumptions • Party 1 owns constraint • Constraint limit = 1,000 MW • TRM = 100 MW • Both Party 1 and Party 2 have base load impacts on constraint • Available capacity after removing TRM and base load impacts of both parties is 400 MW • Market desires all available transmission • Transmission service administered under both Parties’ OATTs impact constraint • Both parties recognize constraint in ATC calcs ATC Coordination Models • Model 1 - No coordination • Model 2 - Periodic data sharing • Model 3 - CMP

  18. SPP’s Seams Situation

  19. SPP Functional Responsibilities • Reliability Coordinator for 25 BAs • Transmission Service Provider for 12 TOs • Market Operator for 10 BAs • EIS Market only • Physical transmission rights • Interchange Authority for 15 BAs

  20. SPP’s Neighbors and Current Seams Status

  21. Lanny Nickell501.614.3232lnickell@spp.org

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