Revision of OP17: Load Power Factor Correction

1. Revision of OP17: Load Power Factor Correction Prepared by : Omar Sanchez – ISO NE, VTF Member Dean Latulipe – National Grid, VTF Member February 4, 2003

2. Summary of Changes • Load Power Factor (LPF) Area Definitions - Updated to more closely reflect NEPOOL system characteristics. • Study Methodology – Clarified Stage I testing methodology, and eliminated Stage II Testing. • Survey Procedure - Revised to better serve customer needs.

3. AREA DEFINITIONSAppendix I Before: • 5 NEPOOL Load Power Factor Areas. • North (VT, NH and Maine lumped into one area). • Southwest NE (CT, Central Western MA) • Boston, Southeast NE and Northeast. Proposed: • 10 NEPOOL Load Power Factor Areas • North Area broken up into three areas (NH,VT, Maine) • Southwest area divided into CT excl. SWCT, SWCT, Western MA and Harriman Central.

4. Graphical Representation of the LPF Areas Before Proposed

5. STUDY METHODOLOGY Testing Criteria APPENDIX II – Section II Before: • Two rules are applied during various stages of testing: 1. Zero VAR interchange - makes each area responsible for its own reactive needs and minimizes the need to consider voltage/reactive performance of areas outside of the area being studied 2. Minimum/maximum voltage Proposed: 3. Cap for Minimum Power Factor Standard – Can never exceed 1.0

6. STUDY METHODOLOGY Cap for Minimum LPF APPENDIX II – Section II

7. STUDY METHOLOGYLoad Flow DevelopmentAppendix II - Section III (formerly Table 1) Before 1) Generator Data and Dispatch 2) Bus Data 3) Transformer and Tie Lines Proposed 1) Load Levels to be modeled 2) Generator Data and Dispatch 3) Load Data 4) Capacitors/Reactor Dispatch 5) Tie Lines 6) Solution Parameters 7) Load Power Factor Measurement

8. STUDY METHOLOGY Contingencies to Be Tested Appendix II - Section IV (Page 11) Before: • Did not specify. Proposed: • All normal contingencies, as defined in OP 19, are to be tested. These include Breaker Failure and Double Circuit Tower Contingencies, that have unacceptable inter-Area impact. • All Special Protection Systems (SPSs) are to be appropriately tested in the loadflow simulations.

9. STUDY METHOLOGY Testing Procedure Appendix II - Section V (Page 11) • Stage I Testing: No major changes – Added details and step by step instructions. • Stage II Testing: Eliminated

10. STUDY METHOLOGY Report Requirements Appendix II (Page 14) Before: • No report required. Proposed: • Report required that documents study assumptions and results: 1) Area Definition (i.e. list of branches that define subject Area)    2)       Base Case Summaries for all 6 loadflows developed: a)  MW and MVAr Output of all major generators in New England b)  Dispatch of all Transmission Capacitors & Reactors in subject Area. c)  Interface flows (MW) for all relevant Transmission Interfaces d)  NEPOOL Load (GW) e)  HVDC Transfer Levels (MW) 3) Contingency List 4)       A table that itemizes the results of the study.

11. Survey Procedure and EvaluationSection III Survey (Page 4) • Before On an annual basis , the ISO staff will survey the NEPOOL Participants ….. The survey procedure is covered in Appendix 3, Instructions for the NEPOOL Load Power Factor Survey. New On an annual basis, the ISO staff will survey the NEPOOL Participants…… For compliance purposes the audit data will be compared against curves representative of the load at the time which the data was collected. In order to give DPs a target of future LPF requirements, a year year before the Audit the VTF will update the curves and provide future reactive targets. The survey procedure is covered in Appendix 3, …

12. Survey Procedure and EvaluationSection III Survey (Page 4) • A summary of the survey results will be presented to the NEPOOl Reliability Committee. • Updated Appendix II Table 1 (Added Responsible Reporting Agent). • Eliminated Capacitor Summary, Table 3 (List Maintained in OP-12) and updated NEPOOL Load Power Factor Survey

13. Questions ????