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Integrated Transmission Plan (ITP)

Integrated Transmission Plan (ITP). Katherine Prewitt November 12, 2010. Why did SPP develop the Integrated Transmission Planning Process (ITP)?. Aging infrastructure Growing need for transmission Market Seams Dynamic policy climate Demand response Renewable mandates Smart grid.

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Integrated Transmission Plan (ITP)

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  1. Integrated Transmission Plan (ITP) Katherine Prewitt November 12, 2010

  2. Why did SPP develop the Integrated Transmission Planning Process (ITP)? • Aging infrastructure • Growing need for transmission • Market • Seams • Dynamic policy climate • Demand response • Renewable mandates • Smart grid

  3. Integrated Transmission Plan (ITP) • Balance • long-term investment • congestion costs • Forward looking and proactive • Create efficiencies in other processes • Generator Interconnection • Transmission Service Request • Integrate west to east

  4. ITP Principles • Focusing on regional needs • Also consider local needs • Planning the backbone transmission system • Serving SPP load by SPP resources in cost-effective manner • Backbone enhances interconnections • west & east regions • Strengthen ties to Eastern Interconnection and beyond

  5. ITP Principles • Incorporate a 20-Year physical modeling & 40-Year financial analysis • Proactively prepare & respond to national priorities • Provides flexibility to adjust expansion plans • Simplify multiple cost allocation methods • Develop holistic, long-range view • Authorization to Plan (ATP)

  6. ITP Goals • Goal: Design transmission backbone to connect load to the most reasonable generation alternatives • Improve connections between SPP’s east and west regions • Horizons: 20, 10, and 4 year • Focus: Regional, integrated with local • Resulting in: Comprehensive list of needed projects for SPP region over next 20 years • Underlying Value: Reliability and economics are inseparable

  7. SPP Renewable Resources SPP Load

  8. Assumptions for model runs: • Energy Efficiency • Fuel Prices • Environmental & Governmental Regulations • Generation Retirements • Market Structures • Wind Profiles • Renewable Electricity Standards • Load Growth • Demand Response

  9. Triennial 20-Year Assessment • 345+ kV solutions • Also monitor underlying system (100 kV+) • Encompass scenarios: • Renewable energy penetration • Load growth • Fuel prices • Others • Flexible to evolve with changing landscape

  10. ITP20 expectations • Robust EHV expansion plan for the SPP region • Identified through analysis of multiple futures • What it is • Long-term, robust EHV expansion plan • Value-based, cost-effective solution • Considers both economics and reliability • One piece of the ITP pie

  11. Triennial 10-Year Assessment • 100+ kV solutions • Also monitor underlying system (69 kV+) • Narrower focus • Collector and delivery grid facilities • Mitigation of congestion • Improved market access • EHV overlay staging and interconnection

  12. Annual Near-Term Assessment • 69+ kV solutions • Local planning needs • Look at known assumptions • Adherence to reliability standards

  13. Robustness Metrics • Improvements in Reliability • Enable Efficient Location of New Generation Capacity • Reduced Losses • Increased Effective Capacity Factor • Ability to Reduce Cost of Capacity • Positive Impact of Losses Capacity • Levelization of LMPs • Improved Competition in SPP Markets • Change in the Installed Capacity Reserve Margin • TLR Reduction – Enabling Market Solutions

  14. Robustness Metrics • Limited Export/Import Improvements • Improved Market Dynamics • Reduction of Market Price Volatility • Reduction of Emissions Rates and Values • Transmission Corridor Utilization • Ability to Reduce Cycling of Base Load Units • Generation Resource Diversity • Ability to Serve New Load • Part of Overall EHV Overlay Plan

  15. Conclusion • Foster new era of transmission planning • Forward-looking and proactive planning • GI and Aggregate Study more efficient • Meet short-term and long-term needs • Robust, flexible, and cost-effective • Maintain reliability while providing long term economic solutions

  16. Katherine PrewittDirector, Planning501-614-3518kprewitt@spp.org

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