ROCK ISLAND CLEAN LINE

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ROCK ISLAND CLEAN LINE
Clean Energy. Delivered.
U.S. Onshore Wind Resources
United States - Annual Average Onshore Wind Speed at 80 m
2
Existing Transmission Lines
3
Clean Line Energy Partners
Clean Line projects
Connecting the lowest-cost wind
resources to major demand
centers
4
Rock Island Clean Line
SD
NE
IA
DE NC I N PA MD VA NJ IL
OH KY TN M I WV DC
Delivers 3,500 MW
of wind power
500-mile direct
current transmission
line
Approximate project
cost: $2 billion
1.4 million homes
powered per
year
5
Rock Island Regulatory Approvals
STATUS
MILESTONES
Federal Energy Regulatory Commission authorized Rock
Island to negotiate rates in 2012
REGULATORY
APPROVALS
Illinois Commerce Commission unanimously approved the
Rock Island Clean Line on November 25, 2014, making Rock
Island a public utility.
Iowa Utilities Board informational meetings completed in 16
counties, franchise petitions filed in November 2014.
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Key Partnerships
Kiewit will provide development
support and construction
management services for the Rock
Island Clean Line
Sabre Tubular Structures is the preferred
supplier of transmission structures for the
Rock Island Clean Line
Siemens will provide the high voltage
direct current technology solutions for
the Rock Island Clean Line
Southwire is the preferred supplier
for the overhead transmission cable
for the Rock Island Clean Line
7
Growing Demand and Value for Renewables
RPS Demand in PJM States
TWh
180
160
MD/NJ/PA Average REC Prices 2011-2014
$
Projected demand1
14
120
12
100
10
80
Current supply + Rock Island
0
8
6
40
20
18
16
140
60
20
Current supply (in PJM states, 2013 YE installed
capacity)
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
4
2
Jan-11
Jan-12
Jan-13
Jan-14
Rock Island will supply 15 million MWh of clean energy per year to reduce projected REC
shortfalls, helping states comply with Renewable Portfolio Standards. EPA 111(d) rules strengthen
need for renewables and minimize likelihood of RPS repeal or rollback.
1.
2.
Projected demand for renewable energy credits within PJM. States with voluntary goals are not included in the demand calculations. Source: EIA;
DSIRE; AWEA
Prices as of 10/20/2014. 2013, 2014, 2015, and 2016 Vintage, Class 1/Tier 1 Maryland, New Jersey, and Pennsylvania. Source: SNL
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Clean Line Competes
Levelized Cost of Energy
$ / MWh
180
160
140
145
120
120
100
94
80
20
105
104
74
60
40
154
20
Transmission2
23
Wind1
0
Clean Line
Delivered
Product
Combined Solar PV
3
Cycle Gas Thin-Film
3, 4
Turbine
3
Nuclear
Coal
3
3
IGCC
Solar
Off-shore
3
Thermal
wind 3
1. Based on the Lazard estimate for high-capacity factor wind, includes Production Tax Credit
2. Assumes ~725 miles of transmission at $2 mm per mile, end-point converter costs of $250 mm each, mid-point
converter at $100 mm and development cost of ~$100 mm, price is flat for 25 years
3. Cost of generation based on mid-point of Lazard’s Levelized Cost of Energy estimate
4. Assumes $4.50/MMBtu gas price.
Source: Clean Line, Lazard’s 2013 Levelized Cost of Energy Analysis
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Direct Current Technology
•
More efficient — Lower line losses
•
Lower cost — Requires less infrastructure, results in lower costs and
lower prices for delivered renewable energy
•
Improved reliability — Control of power flow enhances system
stability and lowers cost of integrating wind
•
Smaller footprint — Uses a narrower right-of-way than equivalent
Alternating Current (AC)
AC footprint
DC footprint
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Delivering Renewable Energy
• In O’Brien County, Iowa
• Collects wind energy
• Converts energy from AC
to DC
• Transmits energy on the
Rock Island Clean Line
• In Grundy County, Illinois
• Receives energy from the Rock
Island Clean Line
• Converts energy from DC to AC
• Connects with existing
transmission system
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Wind Power Curve Correlations
Correlation of 10-Minute Wind Energy Generated
KS
KS
IA
0.37
IL
IN
PA
0.09
0.03
.00
0.19
0.07
.02
0.75
.15
IA
0.37
IL
0.09
0.19
IN
0.03
0.07
0.75
PA
.00
.02
.15
Low correlation
Medium correlation
High correlation
.19
.19
1. “Low correlation”: between 0.0 and 0.25; “Medium correlation”: between 0.25 and 0.5; “High correlation”: between 0.5 and 1.0
Source: EWITS; Clean Line analysis
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Economic Benefits
$7 billion i n new wind farm
i nvestments
$2 billion i nvestment i n transmi ssion
line project
5,000+ construction jobs
500+ operations jobs
Millions per year in tax payments
Provides electricity to 1.4 million homes
per year
Increased market competition
benefits consumers
Significant pollution reduction
"Expanding transmission is very
important to the U.S. wind industr y
and to Iowa. The Rock Island
Clean Line enables a market for
4,000 MW of new wind, supporting
hundreds of jobs at facilities like
our wind blade factory in Newton,
Iowa."
— Steve Lockard,
President & CEO, TPI Composites
Inc
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Preferred Route
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www.rockislandcleanline.com
Typical Structure Types
Monopole Structure
Lattice Mast Structure
Lattice Structure
Typically 4 - 6 structures
per mile
Typically 4 - 6 structures
per mile
Typically 3 - 5 structures
per mile
Typically 1,000 - 1,300-foot
spans between structures
Typically 1,000 - 1,300-foot
spans between structures
Typically 1,100 - 1,600-foot
spans between structures
Structure sizes and span lengths vary due to soil conditions, topography
and other routing considerations.
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Study Corridors
3 to 10-mile-wide study corridors within which Clean Line has worked
with communities and other stakeholders to determine the preferred
route for the line
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Environmental Benefits
9 MILLION TONS
(equal to taking 1.7
million cars off the
road each year)
16,100 TONS PER
YEAR
OVER 3.5
BILLION
GALLONS OF
WATER PER
YEAR
(sulfur dioxide is a
precursor to acid rain)
8,300 TONS
PER YEAR
(nitrogen oxide
contributes to smog)
140 POUNDS
OF MERCURY
PER YEAR
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Growing Demand For Renewables
Renewable energy supply and demand in PJM states
Thousand GWh
180
160
Rock Island
140
120
100
80
Current renewables
supply
Renewable energy
demand
60
40
20
0
2015
2017
2019
2021
2023
2025
1. Energy from existing wind, biomass, and solar projects within the PJM states
2. Demand for renewable energy credits within PJM. States with voluntary goals are not included in
the demand calculations.
Sources: EIA; DSIRE; AWEA; PJM Transmission Expansion Advisory Committee
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Local Business Opportunities
Engineering
• Geotechnical engineering
• Utility potholing
• Surveying (Lidar, staking)
Equipment Rentals
• Vehicles, excavators, dozers, cranes
• Equipment Fueling
Trucking and Hauling Service
Environmental
• Silt fence
• Dewatering
• Environmental controls ST&S
Local Services
• Title searches and abstracting
• Housing / apartments / hotels
• Restaurants
• Office and event space
Converter/substation equipment
• Transformers
• Converter stations
Access
• Clearing of right away
• Stone purchasing
• Geo fabric material
• Culvert material and installation
Foundations
• Drilled pier contractors
• Concrete suppliers
• Rebar suppliers and installers
• Foundation casings
Structures
• Steel fabricators
• Lattice and monopole structure manufacturers
• Rigging materials
Conductor
• Conductor manufacturers, aluminum producers
• Conductor hardware and insulators
Restoration
• Site grading
• Hydro or broadcast seeding
• Grass matting
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