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RMR EXIT STRATEGY FOR B.M. DAVIS December 16, 2003

RMR EXIT STRATEGY FOR B.M. DAVIS December 16, 2003. BILL BOJORQUEZ Director of Transmission Services. RMR UNITS. EXIT TIMELINES. B.M. DAVIS EXIT SCOPE OF WORK. Phase 1 (complete by January, 2005) Installation of series reactors on both lines between White Point and Nueces Bay

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RMR EXIT STRATEGY FOR B.M. DAVIS December 16, 2003

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  1. RMR EXIT STRATEGY FOR B.M. DAVISDecember 16, 2003 BILL BOJORQUEZ Director of Transmission Services

  2. RMR UNITS

  3. EXIT TIMELINES

  4. B.M. DAVIS EXIT SCOPE OF WORK Phase 1 (complete by January, 2005) • Installation of series reactors on both lines between White Point and Nueces Bay • Terminate the Lon Hill to CCCP into the Weil substation • Cut in the Nueces Bay – Morris 138-kV line into the Highway 9 line • Reconnect the Westside to Davis 138-kV line and install two 28.8 MVAR capacitor banks at Weil, Westside and Airline substations Phase 2 (complete by June, 2006) • Nelson Sharpe 345/138-kV substation on the south side of the Corpus Christi at the crossing of Lon Hill to Rio Hondo 345-kV line and Alazan to Celanese 138 kV line • 150-MVA 30-degree phase shifting transformer

  5. CORPUS SYSTEM,PHASE 1 ADDITIONS

  6. CORPUS SYSTEM,PHASE 1 ADDITIONS

  7. CORPUS SYSTEM,PHASE 1 ADDITIONS

  8. CORPUS SYSTEM,PHASE 1 ADDITIONS

  9. CORPUS SYSTEM,PHASE 1 ADDITIONS

  10. CORPUS SYSTEM,PHASE 2 ADDITIONS

  11. COST TRANSMISSION ADDITIONS PHASE 1 & 2 Total Capital Cost $33.3 M Annual TCOS $ 6.7 M ESTIMATED RMR COST Projected Cost Net Uplift $22 M per year

  12. QUESTIONS/MOTION • ERCOT Staff recommends that the Board approve the Phase 1 and 2 RMR Exit Strategy for B.M. Davis Unit No 1 as described in the RMR Exit document

  13. REJECTED OPTIONS • Original Nelson Sharpe Proposal w/ Two Series Reactors • Special Protection Schemes • Seven Series Reactors • Multiple 138kV Upgrades • Nelson Sharpe with New 9-mile 345kV line into Rodd Field

  14. APPROACH • Staged approach to determine cost effective and timely transmission alternatives • Near-term Alternatives: Upgrades to existing infrastructure that can be expedited • Do not require CCN • Can be completed in less than three years • Long-term Alternatives: Future lines and system upgrades necessary to ensure that load is served reliably and without uneconomic RMR support

  15. OPEN PROCESS • September 15, ERCOT hosted stakeholder meeting in Austin to review short-term RMR alternatives • September 22, Stakeholders submitted comments to the short-term alternatives • September 30, ERCOT issued a draft recommendation on RMR short-term exit strategies • October 9, TAC voted in support of alternatives for Fort Phantom and La Palma • October 10, Second stakeholder meeting: • Long-term alternatives for the Valley and Laredo and • Short-term alternatives for Corpus Christi • November 21, ERCOT issues a revised draft exit strategy recommendation for B.M. Davis • November 26, Stakeholder comments on B.M. Davis exit strategy • December 4, TAC Support of Exit Strategy

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