Iowa State University Ames, IA July 5, 2011 Wind on the Wires – Wind and Transmission Issues

1. Iowa State UniversityAmes, IAJuly 5, 2011Wind on the Wires – Wind and Transmission Issues Beth Soholt Wind on the Wires bsoholt@windonthewires.org

2. Background on Wind on the Wires • Non-profit Advocacy Organization launched in 2001 to overcome the barriers to bringing wind energy to market in the Midwest. • Members include non-profit environmental organizations, tribal representatives, farm groups, wind developers and manufacturers, American Wind Energy Association, businesses that provide goods and services to the wind industry. • Work in 3 areas: • Technical – work with electric utilities and Midwest Independent System Operator (MISO – regional “grid” operator) on transmission planning for wind, market and operational rules that treat wind fairly • Regulatory – actively participate in cases where states are approving new transmission lines that will deliver wind energy and other dockets that affect wind development • Policy education/outreach/advocacy – work with governors, state regulators, legislators, local elected officials, regional groups, colleague organizations, general public on wind and transmission issues • Support – Foundation grants and member contributions

3. Wind on the Wires Footprint

5. MISO State RES Requirements • MISO existing wind: ~9,000 MW • MISO State RESs: ~25,000 MW • MISO-wide 20% wind: ~50,000 MW • MGA 30% by 2030: 75-100,000 MW

6. Projected RPS Requirements in MISO States

7. Wind on the Wires Overview • Technical/Transmission • We speak MISO! • Transmission Planning including MTEP, CMVP • Wind Integration, Markets, Operations, Tariff Development • AC, PAC, MSC, RSC, task forces, work groups • RECB, IPTF • FERC filings – Cost Allocation, DIR, Queue Reform, RSG • MISO Board including System Planning Committee, Markets Committee

8. Wind on the Wires Overview • Regulatory • Contested case proceedings and dockets before state Public Utilities Commissions, Public Service Commissions • 3 large transmission cases • SW Minnesota 825 MW case - 92 mile 345 kV line from South Falls to Lakefield Junction • BRIGO – 3 new 115 kV lines in Buffalo Ridge area • CapX 2020 – 600 miles of new double-circuit ready 345 kV • RPS implementation/rulemaking – IL, IN, MI, MN, MO • Utility Integrated Resource Plans • Siting issues

9. Wind on the Wires Overview • Policy/Legislative/Education/Outreach • Policy development • Legislative education/advocacy in 9 states • IA, IL, IN, MI, MN, MO, ND, SD, WI • Common issues: • Creating a market for wind development • Clear and consistent rules • Debunk myths (wind is not reliable and is too expensive) • Siting and setbacks – wind farms, transmission lines

10. Regional Generation Outlet Study (RGOS) • Developed transmission portfolios needed to implement Renewable Portfolio Standards or goals at the least cost for consumers while continuing to reliably serve load. • RGOS summary (full report posted November 19, 2010): • Renewable energy: ~ 40 GW of total wind (~28.5 GW new & ~11 GW ‘existing’) • Iterative development of transmission plans; options include 345 kV, 765 kV, and HVDC; analysis included power flow, production cost models (PROMOD), and business case / value metrics • The three transmission overlay plans represent potential investment of $16B to $22B (2010 dollars) over the next 20 years and consist of new transmission mileage of 6,400 miles to 8,000 miles • RGOS identified a set of Starter Projects considered viable for near term development; The estimated cost for this starter set is approximately $5.8 Billion (2010 dollars), $4.4 billion of which is within the Midwest ISO borders

11. Source: Midwest ISO BOD System Planning Committee, April 19, 2011

12. 2011 Candidate MVP Project List Source: Midwest ISO CMVP Technical Study Task Force, November 10, 2010

13. Eastern Interconnection Planning Collaborative (EIPC) • EIPC proposal covered entirety of “Topic A” • Establishment and funding of a multi-constituency Stakeholder process • – open participation, meeting space, professional facilitators, etc. • Funding for study work – Planning Authority and Consultant costs for performing technical studies • Funding for NGO participation on Steering Committee and Stakeholder Working Group as described in the FOA • Funding for Stakeholder meetings, webinars, etc. that are open to all parties • EISPC proposal covered “Topic B”

14. Eastern Interconnection Planning Collaborative (EIPC) Key Objectives • Integration and analysis of approved regional plans • Development of possible interregional expansion scenarios to be studied • Development of interregional transmission expansion options

15. Source: EIPC Revised Statement of Project Objectives 2/16/10

16. Eastern Interconnection Planning Collaborative (EIPC) Draft Futures to be Studied • Business as Usual • Federal Carbon Constraint: National Implementation • Federal Carbon Constraint: State & Regional Implementation • Aggressive Energy Efficiency, Demand Response, Distributed Generation, and Smart Grid • Federal RPS: National Implementation • Federal RPS: State & Regional Implementation • Nuclear Resurgence • Combined Federal Climate and Energy Policy Future