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Special Open Meeting of the Arizona Corporation Commission Energy Workshop. February 16, 2001 Arizona Public Service Company Cary B. Deise Director, Transmission Operations and Planning. Overview. Reliability Service Territory Load Forecast Resources Fuel Supply Plan Transmission
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SpecialOpen Meeting of the Arizona Corporation CommissionEnergy Workshop February 16, 2001 Arizona Public Service Company Cary B. Deise Director, Transmission Operations and Planning
Overview • Reliability • Service Territory • Load Forecast • Resources • Fuel Supply Plan • Transmission • Conclusion
Reliability • To meet customers electric energy requirements on time. • Factors impacting reliability • Customer Requirements • Transmission, Generation and Distribution availability • Weather • Neighboring systems
6023 Other - 373 4.0% 5793 5.7% Other - 361 Commercial Industrial - 2721 5479 Other - 330 Commercial Industrial - 2660 Commercial Industrial - 2596 Residential - 2929 Residential - 2772 Residential - 2553 2000 Actual 2001 2002 Values in MW Peak Load Forecast
Navajo 315 Four Corners 782 Cholla 615 WPhoenix 365 Ocotillo 366 Palo Verde 1105 Saguaro 319 Yuma 147 Existing Generation 3982 Douglas 16 APS Existing Generation(Nominal ratings in MW)
Resources 20012002 • Existing Generation 3982 4497 Renewable 9 13 • Additions Upgrade of existing CC&CT 107 - Reactivate WPhx Steam 4&6 96 - WPhx CC 4 114 - Temporary WPhx CT’s - 5 units 99 (99) Temporary Saguaro CT’s - 5 units 99 (99) Redhawk CC 1&2 _-__988 Subtotal 515 790 • Long-term Contracts Pacificorp Exchange 480 480 SRP_______________336 343 Subtotal 816 823 • Short-term Contracts 1176 638 • Total Resources 6498 6761
6761 Margin Margin 6498 6023 705 738 5793 Resources Peak Load Resources Peak Load 2001 2002 APS Load and Resources
Fuel Supply Plan • APS fuel supply plan is characterized by • Diverse fuel types • Firm contracts • Futures and options contracts • Spot market transactions • Duel fuel burning capacity at existing gas fired plants
Projected annual fuel consumption Fuel Supply Continued
Fuel Supply Continued • Length of Supply and delivery contracts Coal: 2004 - 2011 Depending on plant Natural Gas: Firm supply contracts - 2004 with 100% coverage through 2002; transport 2013 • Nuclear: 100% coverage through 2003; evaluating proposals for 2004 to 2008
Navajo 315 Four Corners 782 559 1175 Moenkopi Cholla 615 236 Yavapai 1683 Pinnacle Peak Westwing 1643 Palo Verde 1105 Saguaro 319 Kyrene 140 500kV Mead N. Gila 345kV APS EHV SystemTransmission Capacityless wheeling obligations
APS EHV System 2001 2002 Total Transmission to Load 4261 4261 Purchased Transmission 400 675 Total 4661 4936 Remote Generation (2817) (3805) Purchase (Pac + Short-Term) (1656) (1118) Margin 188 13
Westwing Pinnacle Peak Reach Agua Fria Alexander Country Club White Tanks West Phoenix Ocotillo Kyrene Overhead Underground APS Valley 230kV Transmission
APS Valley Load Serving Capability Existing 2001 2002 Transmission 2870 4227 Generation (WPhx & Ocotillo) 701 __-___ Subtotal 3571 - Transmission Additions270 Generation Additions386(99) Load Serving Capacity4227 4128 Valley Load(3800)(3950) Margin427 178
Conclusions • APS fuel sources are secure and diverse. • Future new generation is critical. • Transmission additions are critical.
Conclusions (cont.) • APS has and will acquire the resources necessary to achieve reliable system operations in 2001 and 2002 • Although the APS plans meet the forecast reliability requirements, unforeseen events such as violent storms, extreme hot spells,equipment failures and construction delays can threaten the security and adequacy of the electric power system.