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HOUSTON AREA CONSTRAINT MITIGATION: PHASE II ERCOT Board of Directors Bill Bojorquez. Singleton / Zenith Substations. New 345 Kv Singleton Sub. Singleton Sub Cost Zenith Sub Cost $23.7 Million $15.4 Million In-service by peak 2009 2011. New 345 Kv Zenith Sub.
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HOUSTON AREA CONSTRAINT MITIGATION: PHASE IIERCOT Board of DirectorsBill Bojorquez
Singleton / Zenith Substations New 345 Kv Singleton Sub Singleton Sub Cost Zenith Sub Cost $23.7 Million $15.4 Million In-service by peak 2009 2011 New 345 Kv Zenith Sub
Project Need • North to Houston congestion zone import constraints • Congestion on the Tomball 345/138 kV autotransformer • The proposed substations relieve the autotransformer congestion and increases the North to Houston import capability • Based on the studies described in its independent review, ERCOT staff concluded that the Project is economically justified
Economic Analysis PRODUCTION COST SAVINGS (PCS) OF HACM Phase II PROJECT Singleton Substation Addition Annual PCS ($M) CASE DESCRIPTON RECOMMEND Annual Carrying Charge 2009 w/ only Sandow 5 4.8 3.95 YES 2010 w/ Sandow 5, Oak Grove 1 and 2 YES 7.89 3.95 2011 w/ Sandow, Oak Grove 1,2, Sandy Creek 1 and TNP – Bell County Project. YES 26.63 3.95 Zenith Substation Addition with Singleton Project In-Service 4.53 2.57 YES 2011 w/ Sandow 5, Oak Grove 1,2, and Sandy Creek 1 The annual carrying charge is the first year annual revenue requirement for the project (capital cost x 16.8%), which should be less than the annual production cost savings for the project to be considered economic.
ERCOT Support for the Project • The Stakeholder review period for this project was held in January 2007 • There were no dissenting comments received on this project • The TAC voted in support of the project recommendation at their August 2, 2007 meeting • ERCOT staff recommends that the Board endorse the need for the project