Draft Appendix F.4- 2013 Resource Alternatives Resource and Transmission Expansion Alternatives The Work Groups created four resource addition scenarios for 2013. The scenarios reflect a range of resource development outcomes, spanning utility integrated resource plans (IRPs) to scenarios that capitalize on the region’s abundant, low cost fuels (e.g., wind and Powder River Basin coal) for purposes of export to West Coast and Southwest markets. The Work Groups then developed transmission solutions to support these generation resource scenarios. Through an iterative process, the economic evaluation of these scenarios, referred to as Alternatives 1-4, set the stage for two sets of transmission expansion recommendations (Recommendations 1-2). Alternative 1 reflects the IRPs of Load Serving Entities (LSEs) in the Rocky Mountain region, where available. Alternative 2 is a “quasi” regional IRP that targets development of Powder River Basin (PRB) coal and wind resources. Both Alternatives 1 and 2 include generation additions in the Rocky Mountain region of 3,900 MW to meet the forecast load growth in the Rocky Mountain region: but the generation assumed in Alternative 2 would be more dependent on transmission expansions to be viable. Alternative 3 includes the resources in Alternative 2, and adds 3,900 MW of PRB coal and wind resources for export to West Coast and Southwest markets. Alternative 4 includes the resources in Alternative 3, and adds yet another 3,900 MW increment of PRB coal and wind to double the export supply. Alternatives 3 and 4 are “export” scenarios which add resources in the Rocky Mountain region to supply west-wide markets and include 7,800 MW and 11,700 MW of new generation in the Rocky Mountain region, respectively. The following is a detailed discussion on each alternative, what is included, its purpose, and the results of the study. Appendix F 43 Draft Alternative 1 Alternative 1 reflects the generation proposed by the Load Serving Entities (LSEs) in the RMATS region that have published integrated resource plans. These plans tend to emphasize the development of new gas-fired generation close to load centers and thus represent a scenario with minimal new transmission additions. Figure F.4.1 displays the resources added for this alternative. The new generation investment assumed in this alternative is expected to be $6 billion. 225 Wind 250 Wind 575 Coal 125 Wind 50 Gas 925 Wind 250 Wind 200 Coal 1250 Coal 575 Coal 525 Gas 210 Gas 800 Wind Figure F.4. 1: Alternative 1 resource additions Without new transmission build, certain paths will become congested. Figure F.4.2 illustrates the top six Rocky Mountain area paths that are congested with generation added and without new transmission build. The focus of Alternative 1 is to serve Rocky Mountain area load and follow the individual companies’ Integrated Resource Plans as much as possible. After discussion of the resource additions TAWG recommended one transmission upgrade: a 345kV line that starts at Miners, Wyoming and extends to Ben Lomond, Utah. This line is would integrate large amounts of wind in Wyoming to the load center in Salt Lake City. This is shown in Figure F.4.3. The cost of this transmission upgrade is approximately $303 million. Without this investment, the Bridger West interface would be congested 30% of all hours and has an opportunity cost $61,729 of not increasing the path by 1 MW for an entire year. What this graphic does not show is that without additional transmission built, the generators at Jim Bridger and Naughton will cycle excessively. In other words, the generation level is going up and down at rate the plant is not designed for. Appendix F 44 3,900 MW added to Rocky Mtn. States % Montana 5% Percent of Time at Binding Limit Interface Name Opportunity Cost/Savings ($) Montana – NW $9,136 Idaho Alternative 1- no transmission additions Draft Wyoming 6% Utah 14% Path C $19,322 30% Bridger West $61,729 West of Naughton $40,571 9% Bonanza West $17,736 40% TOT 2C $74,557 Colorado Figure F.4. 2: Alternative 1 top six congested Rocky Mountain Area interfaces without new transmission build Jim Bridger Ben Lomond Naughton Miners Added 345 kV Line Figure F.4. 3: Alternative 1 recommended transmission upgrades Appendix F 45 Draft Table F.4.1 outlines the results of the three analyses conducted for Alternative 1. The first analysis estimates the minimal amount of production costs for the Western Interconnect given the existing 20131 and Alternative 1 resources. This is done by eliminating transmission constraints on the system. Without transmission constraints, the model dispatches units on a least cost basis, which result in the optimal dispatch of plants. The results of this study are found in Column A of this table. Column A serves as a benchmark to measure incremental production cost savings as new transmission lines are added. This analysis demonstrates the difference in potential maximum savings and estimated savings from the transmission additions studied. The second analysis estimates the Western Interconnect production costs with existing 2013 and Alternative 1 resources given the 2013 transmission system 2. The results of this study are found in Column B. The delta in overall production costs between Column A and B is $163 million, which represents the maximum amount of production cost savings that additional transmission would provide. The third analysis, which includes recommended transmission upgrades outlined in Figure F.4.3 for the Rocky Mountain Area, provides an additional $15 million of production cost savings, compared to not building new transmission. The remaining $148 million of benefits could be realized by solving for transmission congestion in other areas of the Western Interconnect. Table F.4.2 outlines the change in interface loading before and after transmission lines are added to the Alternative 1 generation levels. For example, the Bridger West interface was fully loaded for 30% of the hours without new transmission upgrades and is loaded only 4% of the hours when the 345kV line is added between Miners and Ben Lomond. The opportunity cost, also known as a shadow price, represents the amount of annual savings (or cost to the system) of adding an additional MW of capacity to the interface. In the case of the Bridger West, the opportunity cost of relieving/adding an additional MW of capacity moves from $61,729 to $5,801. Figures B.4.4 and B.4.5 are before and after contour maps that show average July Locational Marginal Prices (LMPs). The color indicates the LMP- red being higher, blue being lower. In the before map (Figure F.4.4), LMPs are lower in Wyoming and Montana than in the after map (Figure F.4.5). This is because without the Miners to Ben Lomond transmission upgrade, low cost resources are bottled up, causing islands of low and high prices. In the after map (Figure F.4.5), prices are relatively level across the areas because most of the congestion is removed. 1 Existing 2013 resources include all plants expected to be in service in 2013 and gas plants added outside the Rocky Mountain area for this analysis. These resources were identified in the SSG-WI process’s “All Gas Scenario”. 2 Existing 2013 transmission system is the current transmission configuration in addition to the STEP project upgrades in California and Arizona and the Potential Projects identified in the 2008 Base Case. Appendix F 46 Draft Table F.4. 1: Alternative 1 area production costs (dollars are in millions) A B C Generation added Generation added and Both generation and with no transmisson no new transmission new transmission constraints added ID Area 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total 470 4,295 1,215 514 943 15 647 1,016 202 275 2,813 2,188 553 34 1,743 0 0 253 68 69 173 589 911 200 66 83 307 17 165 449 3,958 1,192 448 880 18 780 1,493 304 274 3,359 2,191 540 32 1,433 0 0 235 62 68 163 524 732 200 58 83 331 17 165 449 3,934 1,145 453 879 18 787 1,510 290 274 3,315 2,202 540 32 1,434 2 0 235 65 68 162 538 783 200 60 83 334 17 165 19,826 19,989 19,974 Table F.4. 2: Alternative 1 top six congested interfaces before and after transmission is added Generation added and no new transmission Interface TOT 2C Bridger West West of Naughton Path C Bonanza West Montana - Northwest Appendix F Opportunity Cost ($) 74,557 61,729 40,571 19,322 17,736 9,136 % Time at Binding Limit 40% 30% 14% 6% 9% 5% Both generation and new transmission added Opportunity Cost ($) 55,894 5,801 2,015 5,408 11,758 12,589 % Time at Binding Limit 35% 4% 1% 2% 8% 9% 47 Draft PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: N. LETHBRIDGE NELWAY CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH BOUNDARY SAHTLAM GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BOARDMAN BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON RIVERTON GOSHEN KINPORT K-FALLS MERIDIAN CO GEN GRANTS PASS DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER PLATTE MONUMENT HUMBOLDT VALMY (562 MW) HILL TOP WARNER CASCADE ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS VALLEY ROAD TABLE MT STORY VALMONT RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI MIDWAY PONCHA COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES SAN JUAN FOUR CORNERS MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR MCKINLEY FLAGSTAFF CHOLLA VINCENT PARKER EAGLE MT. LUGO RINALDI BLACKWATER CORONADO YAVAPAI BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB WESTWING ELCENTRO MIGUEL IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA SEMPRA TIJUANA GREENLEE LIBERTY ARTESIA AMRAD GILA INTERGEN METROPOLI JUAREZ KYRENE SILVER KING SAGUARO MEXICALI LA ROSITA ARROYO LUNA TORTOLITA SAN LUIS SOUTH HIDALGO LOMAS CIPRES NEWMAN VAIL BICKNELL CALIENTE DIABLO Figure F.4. 4: July 2013 average Locational Marginal Prices with Alternative 1 generation included, no new transmission is included. PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: NELWAY BOUNDARY SAHTLAM CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH N. LETHBRIDGE GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER BOARDMAN YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON K-FALLS MERIDIAN CO GEN GRANTS PASS RIVERTON GOSHEN KINPORT DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER HILL TOP CASCADE HUMBOLDT VALMY (562 MW) PLATTE MONUMENT WARNER ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN VALLEY ROAD TABLE MT STORY VALMONT TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI PONCHA MIDWAY COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES FOUR CORNERS SAN JUAN MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR FLAGSTAFF CHOLLA VINCENT PARKER EAGLE MT. LUGO RINALDI MCKINLEY YAVAPAI BLACKWATER CORONADO BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB MIGUEL WESTWING ELCENTRO IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA TIJUANA JUAREZ SEMPRA METROPOLI INTERGEN LIBERTY ARTESIA AMRAD KYRENE SAGUARO SILVER KING ARROYO LUNA TORTOLITA SAN LUIS CIPRES GREENLEE GILA MEXICALI LA ROSITA SOUTH HIDALGO LOMAS BICKNELL NEWMAN VAIL CALIENTE DIABLO Figure F.4. 5: July 2013 average Locational Marginal Prices after Alterative 1 generation and Transmission is included. Appendix F 48 Draft Alternative 2 Alternative 2 is a quasi IRP for the Rocky Mountain Region. Priority is given to developing Powder River Basin (PRB) coal and open range wind resources. Alternative 2 includes 359 MW more coal generation and 380 MW more wind generation than Alternative 1. New gas-fired generation drops from 785 MW to 350 MW. In Alternative 2, the coal and wind resource additions are located differently and are more transmissiondependent. The assumptions driving these relocations are: 1) the transmission cost for new generation at the Powder River mine-mouth is less than coal transportation costs for coal generation sited elsewhere; and 2) wind conditions are of higher quality in southern Wyoming. New generation locations, sizes and fuel type are shown in Figure F.4.6. The capital requirement for resources in this alternative is $6.6 billion. 250 Coal 280 Wind 359 Coal 50 Wind 250 Wind 125 Wind 700 Coal 575 Coal 1150 Wind 500 Wind 100 Wind 500 Coal 575 Coal 140 Gas 210 Gas 500 Wind Figure F.4. 6: Alternative 2 resource additions The focus of this alternative is to use low cost Montana and Wyoming resources and move its generation to load centers in Salt Lake City, Utah and Denver, Colorado. To do so, new transmission must be built; otherwise, the new generation will be bottlenecked as shown in Figure F.4.7. This figure displays the top ten Rocky Mountain Area congested paths based upon their expansion value. Also shown is the percent of time at the binding limit for 2013. To solve the congestion, Figure F.4.8 outlines transmission that could be constructed so that new generation can reach load centers. The capital requirement for this transmission is estimated at $1.5 billion. Appendix F 49 Draft 3,900 MW added to Rocky Mtn. States % Percent of Time at Binding Limit Montana 9% Idaho Interface Name Opportunity Cost/Savings ($) 52% West of Broadview Montana – NW 24,510 $171,010 IdahoMontana $47,527 4% Wyoming 9% Utah Path C $25,935 32% 84% 74% Black Hills – C. Wyoming $268,164 Bridger West $227,152 West of Naughton $100,655 TOT 3 $235,968 16% 75% Bonanza West $23,010 29% TOT 2C $52,297 Colorado Figure F.4. 7: Top 10 congested paths if Alternative 2 generation is added without new transmission Ringling Broadview Colstrip Added 345 kV Line Added 500 kV Line Added Series Compensation Only Midpoint Antelope Mine/Reno Borah Dave Johnston Treasureton Added Phase Shifter Jim Bridger LRS Ben Lomond Naughton Miners Cheyenne Tap Ault Green Valley Figure F.4. 8: Recommended transmission build for Alternative 2 generation Appendix F 50 Draft Table F.4.3 outlines the results of the three analyses conducted for Alternative 2. The approach for this analysis is similar to Alternative 1. The addition of Alternative 2 generation has a potential production cost savings of $382 million if no transmission constraints existed. Building the recommended transmission provides $249 million of that potential savings. The remaining $133 million of benefits could be realized by solving for transmission congestion in other areas of the Western Interconnect. Comparing Table F.4.3, column B to Table F.4.1, column B from Alternative 1, Alternative 1 has lower production costs without building new transmission. This is because under Alternative 1, generation is added closer to load centers, with the exception of some coal and wind. With most of the new generation near load centers, less transmission is required. Alternative 2 has new generation added away from load centers. The existing transmission system bottlenecks the generators, increasing production costs, unless transmission is built. When new transmission is taken into consideration (Table F.4.3) Alternative 2 provides $187 million of additional production cost savings compared to Alternative 1. Table F.4. 3: Alternative 2 area production costs (dollars are in millions, 2004 nominal terms) ID Area 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total Appendix F A B Generation added Generation added with no transmisson and no new constraints transmission C Both generation and new transmission added 470 4,292 1,215 513 942 15 645 1,016 199 253 2,807 2,186 554 34 1,743 0 0 253 76 69 173 461 867 200 66 83 307 37 177 448 3,954 1,244 459 876 19 778 1,454 303 253 3,517 2,191 547 31 1,430 1 0 234 70 68 148 403 806 200 65 76 262 34 166 447 3,909 1,193 452 877 18 776 1,489 292 252 3,354 2,210 540 32 1,432 1 0 234 76 68 159 422 695 200 58 83 306 36 176 19,654 20,036 19,787 51 Draft Table F.4.4 shows the interface loadings before and after transmission lines are added to the Alternative 2 generation levels. Without these new transmission lines, many of the proposed generation additions could not reach load centers. Table F.4. 4: Alternative 2 top ten congested interfaces before and after transmission is added Generation added and no new transmission Interface Black Hills to C Wyoming TOT 3 Bridger West West of Broadview West of Naughton TOT 2C Idaho to Montana Patch C Montana - Northwest Bonanza West Opportunity Cost ($) 268,164 235,968 227,152 171,010 100,655 52,297 47,527 25,935 24,510 23,010 % Time at Binding Limit 84% 75% 74% 52% 32% 29% 4% 9% 9% 16% Both generation and transmission added Opportunity % Time at Cost ($) Binding Limit 0% 3,455 3% 14,398 10% 55,996 24% 29,740 15% 72,276 31% 2,835 2% 0% 6,268 5% 1,206 1% Figures B.4.9 & B.4.10 show LMP prices before and after transmission additions for Alternative 2. The before map (Figure F.4.9) has extremely low prices in Wyoming. This is because low cost coal and wind resources were added there, without adding new transmission. This causes the energy to be bottlenecked. After transmission is added (Figure F.4.10), most of the congestion has been eliminated, although the differences in colors indicate that there still remains some congestion during the month of July. Prices in the bottlenecked areas are low because the marginal units in these areas have low incremental cost plants. The calculation of LMPs is the price to serve an additional one megawatt of load at each bus and in these bottlenecked areas without new transmission, available generation exceeds the available transmission in many hours, which leaves low cost power available, producing low LMPs. Appendix F 52 Draft PEACE RIVER GM S500 PEACE CANYON PCN500 RUTH LAKE M ITSUE KENNEDY KDY 5CX3 LITTLE SM OKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD N. CALDER BARLOW LAM OUREUX WABAM UN CLOVERBAR SUNDANCE KEM ANO M ARGUERITE LAKE WHITEFISH LAKE DEERLAND SAGITAWAH KITM AT EAST EDM ONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZ EAU SODA CREEK BATTLE BAT RV79RIVER M ETISKOW BENALTO M ICA 100 M ILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EM PRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA M ALASPINA M ERIDIAN INVERM ERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSM UIR PEIGAN ARNOTT CUSTER SELKIRK WANETA WHALEACH L E G E N D: N. LETHBRIDGE NELWAY BOUNDARY SAHTLAM CHIEF JOE M ONROE 345KV +-500KV DC 500KV CRANBROOK GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYM PIA PAUL / CENTRALIA TAFT VANTAGE M OSCOW LOW M ON HANFORD M IDWAY N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER M ILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BOARDM AN BUCKLEY BROADVIEW TOWNSEND M cNARY (1169 M W) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS M ARION GRIZ Z LY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AM PS CALDWELL THERM OPOLIS BOISE JEFFERSON SUM M ER LAKE DIXONVILLE RESTON K-FALLS M ERIDIAN CO GEN GRANTS PASS RIVERTON GOSHEN KINPORT DAVE JOHNSTON BORAH M IDPOINT ATLANTIC CITY M ALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE M USTANG LARAM IE RIVER TREASURETON WEED JCT STEGAL BRIDGER HILL TOP WARNER CASCADE PLATTE M ONUM ENT HUM BOLDT VALM Y (562 M W) ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOM OND ROUND MT FLAM ING GORGE OLINDA AULT CRAIG TERM INAL HAYDEN 90 SOUTH BORDERTOWN STORY VALM ONT TRACY BONANZ A IPP AUSTIN SM OKY HILL DILLON M ONA GONDER FT CHURCHILL DRUM PAWNEE (530 M W) CAM P WILLIAM S VALLEY ROAD TABLE MT RIFLE M ACHACEK DANIELS PARK M ALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON M ONTROSE TRACY CURECANTI M IDWAY PONCHA COM ANCHE TESLA PINTO RED BUTTE M OSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES SAN JUAN FOUR CORNERS M ARKETPLACE OJO M CCULLOUGH TAOS M EAD M OENKOPI M IDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AM BROSIA M OJAVE ADELANTO DAVIS WEST M ESA SELIGM AN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAM INO SYLM AR M CKINLEY FLAGSTAFF CHOLLA VINCENT PARKER EAGLE M T. LUGO RINALDI BLACKWATER CORONADO YAVAPAI BLYTHE DEVERS M IRALOM A SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE M ESA KNOB M IGUEL WESTWING ELCENTRO IM PERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA SEM PRA TIJUANA M ETROPOLI JUAREZ GREENLEE LIBERTY ARTESIA AM RAD GILA INTERGEN KYRENE SILVER KING SAGUARO M EXICALI LA ROSITA ARROYO LUNA TORTOLITA SAN LUIS SOUTH HIDALGO LOM AS CIPRES NEWM AN VAIL BICKNELL CALIENTE DIABLO Figure F.4. 9: July 2013 average Locational Marginal Prices with Alternative 2 generation included, no new transmission is included. PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: NELWAY BOUNDARY SAHTLAM CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH N. LETHBRIDGE GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER BOARDMAN YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON KINPORT K-FALLS MERIDIAN CO GEN GRANTS PASS RIVERTON GOSHEN DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER HILL TOP CASCADE HUMBOLDT VALMY (562 MW) PLATTE MONUMENT WARNER ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN VALLEY ROAD TABLE MT STORY VALMONT TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI PONCHA MIDWAY COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES FOUR CORNERS SAN JUAN MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR PARKER EAGLE MT. LUGO MCKINLEY FLAGSTAFF CHOLLA VINCENT RINALDI YAVAPAI BLACKWATER CORONADO BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB MIGUEL WESTWING ELCENTRO IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA TIJUANA JUAREZ SEMPRA METROPOLI INTERGEN LIBERTY ARTESIA AMRAD KYRENE SAGUARO SILVER KING ARROYO LUNA TORTOLITA SAN LUIS CIPRES GREENLEE GILA MEXICALI LA ROSITA SOUTH HIDALGO LOMAS BICKNELL NEWMAN VAIL CALIENTE DIABLO Figure F.4. 10: July 2013 average Locational Marginal Prices with Alternative 2 generation and new transmission is included. Appendix F 53 Draft Alternative 3 Alternative 3 includes similar resource additions as Alternative 2, and adds 3,900 MW of Powder River coal and open range wind resources for export purposes, as shown in Figure F.4.11. The total capital requirements for this alternative are estimated to be $12.3 billion, although in this case $2.3 billion of West Coast gas-fired generation build could be avoided by this alternative. 500 Coal 950 Wind 260 Gas 500 Wind 609 Coal 100 Wind 250 Wind 1400 Coal 125 Wind 50 Gas 575 Coal 160 Wind 1000 Wind 500 Wind 200 Wind 950 Coal 250 Wind 1540 Coal 575 Coal 210 Gas 140 Gas 800 Wind 120 Wind Figure F.4. 11: Alternative 3 resource additions Appendix F 54 Draft 73% Alberta - BC $53,112 B.C. 7,800 MW added to Rocky Mtn. States % Percent of Time at Binding Limit Alberta Wash. 71% Interface Name Opportunity Cost/Savings ($) Montana 60% West of Broadview $187,948 Montana – NW $157,469 100% Idaho Black Hills – C. Wyoming $288,392 82% Oregon Bridger West $241,727 Wyoming Utah 31% Nevada TOT 3 $140,590 50% Bonanza West $48,990 IPP DC $69,519 TOT 2C $157,912 Colorado California 90% 46% New Mexico Arizona Mexico Figure F.4. 12: Top 10 congested paths if Alternative 3 generation is added without new transmission There are a number of options to relieve transmission congestion that appear in Alternative 3. Figure F.4.12 illustrates the top ten congested paths when the resources are added to the existing system without new transmission build. The most heavily constrained paths are paths that move power out of Wyoming and Montana. The Workgroups determined that at least two 500 KV transmission paths would be required from the Rocky Mountain region to reach the West Coast, and that these paths should not be in the same corridor. Figure F.4.13 shows the four optional combinations of 500 KV lines that were studied. Additional combinations are possible. The capital requirements for these options range from $3.7 to $4.2 billion. New 500 KV lines to move power from Montana to Washington and from Utah to southern Nevada were investigated. Three optional 500 KV lines were identified to move power from Idaho to southern Nevada, northern California, and central Oregon. The option combinations that were analyzed are: 1. New transmission from Montana to Washington and from Idaho to northern California. 2. New transmission from Utah to southern Nevada and from Idaho to northern California. 3. New transmission from Utah to southern Nevada and from Idaho to central Oregon. Appendix F 55 Draft 4. New transmission from Idaho to southern Nevada and from Idaho to California. Common to all the options in Alternative 3 is the addition of new converter equipment to the new 500 KV DC line from Utah to Southern California (the IPP line) to increase its capacity by 500 MW. The Workgroups did not analyze an option with two new 500 KV lines terminating in the Northwest because the delivery of that much power to the Northwest would probably require expensive upgrades to the Pacific Intertie to move the power to California. Bell Noxon Great Falls Taft Ashe Hot Springs Missoula Grizzly Ringling Requires two 500 kV lines for export Midpoint 500 kV Kinport 345 kV Dave Johnson Borah Inc. DC Series Capacitor Upgrade Broadview Colstrip Option 1 LRS Ben Lomond Naughton Table Mtn. IPP Ant Mine Jim Bridger Miners Mona Cheyenne Tap Ault Option 2 Emery Grand Junction Tesla Crystal Added Phase Shifter Green Valley Red Butte Option 3 Market Place Adelanto Options 2-4 Option 4 Option 1 Only Figure F.4. 13: Recommended transmission build for Alternative 3 generation. Requires two of potentially five export paths to the West Coast Appendix F 56 Draft Table F.4.5 outlines the results of the six analyses conducted for Alternative 3. The first analysis adds the generation as shown in Figure F.4.11 and lifting all transmission constraints on the Western Interconnect System (column A). This demonstrates the maximum amount of savings that could be obtained given the generation. The second analysis (column B) adds the generation shown in Figure F.4.11 to the existing transmission system. The difference in production costs is an estimated $918 million for the Western Interconnect. Columns C through F are the results of including both Alternative 3 generation and the four transmission options. Each of the four options has similar total Western Interconnect production costs, or an average of $18.5 billion. On average the transmission added provides $758 million of the $918 million of potential production cost savings. The remaining $160 million of savings could be realized by solving for transmission congestion in other areas of the Western Interconnect. Table F.4. 5: Alternative 3 area production costs (dollars are in millions, 2004 nominal terms) ID 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 Area Name New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total A B Generation added Generation added with no and no new transmisson transmission constraints 450 421 4,100 3,630 1,072 1,304 473 422 877 867 12 17 555 693 844 1,405 153 274 341 339 2,291 3,488 1,970 2,192 517 531 34 31 1,707 1,434 0 2 96 42 235 204 120 72 69 66 160 123 461 352 877 583 200 194 60 55 83 79 307 233 49 44 189 118 18,298 19,216 C Option 1 Transmission Added D Option 2 Transmission Added E Option 3 Transmission Added F Option 4 Transmission Added 433 3,669 1,226 416 869 14 653 1,307 277 338 2,900 1,940 477 30 1,405 0 69 212 113 67 141 399 651 198 52 82 301 48 186 435 3,725 962 420 866 14 645 1,291 252 340 2,983 1,988 482 31 1,415 0 73 218 113 64 144 425 684 200 53 83 305 48 186 434 3,714 927 418 866 14 654 1,318 257 339 3,155 1,908 471 29 1,404 69 213 112 63 142 422 662 200 53 83 305 48 185 434 3,725 1,020 409 868 14 657 1,296 276 341 2,911 2,016 485 31 1,418 0 73 216 112 66 143 414 654 200 52 83 303 48 185 18,475 18,443 18,465 18,449 Figures B.4.14 & B.4.15 show before and after transmission additions for Alternative 3 (option 3 shown). The before map (Figure F.4.14) has extremely low prices in Wyoming and Montana. This is because low cost coal and wind resources were added without new transmission and the energy it generates is bottlenecked. After transmission is added (Figure F.4.15), the congestion has been eliminated across the Rocky Mountain area to the Northwest and Nevada. This is because the two 500kV export paths and the upgrade to the IPP DC have allowed greater export of power to these locations, therefore lowering LMPs by displacing higher cost gas plants. Appendix F 57 Draft PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD N. CALDER BARLOW LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO MARGUERITE LAKE WHITEFISH LAKE DEERLAND SAGITAWAH KITMAT EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: N. LETHBRIDGE NELWAY CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH BOUNDARY SAHTLAM GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW LOW MON HANFORD MIDWAY N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BOARDMAN BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON RIVERTON GOSHEN KINPORT K-FALLS MERIDIAN CO GEN GRANTS PASS DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER PLATTE MONUMENT HUMBOLDT VALMY (562 MW) HILL TOP WARNER CASCADE ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS VALLEY ROAD TABLE MT STORY VALMONT RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI MIDWAY PONCHA COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES SAN JUAN FOUR CORNERS MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR MCKINLEY FLAGSTAFF CHOLLA VINCENT PARKER EAGLE MT. LUGO RINALDI BLACKWATER CORONADO YAVAPAI BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB WESTWING ELCENTRO MIGUEL IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA SEMPRA TIJUANA GREENLEE LIBERTY ARTESIA AMRAD GILA INTERGEN METROPOLI JUAREZ KYRENE SILVER KING SAGUARO MEXICALI LA ROSITA ARROYO LUNA TORTOLITA SAN LUIS SOUTH HIDALGO LOMAS CIPRES NEWMAN VAIL BICKNELL CALIENTE DIABLO Figure F.4. 14: July 2013 average Locational Marginal Prices with Alternative 3 generation included, no new transmission is included. PEACE RIVER PEACE CANYON RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE RIVER BAT RV79 METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: N. LETHBRIDGE NELWAY CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH BOUNDARY SAHTLAM GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER BOARDMAN YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON RIVERTON GOSHEN KINPORT K-FALLS MERIDIAN CO GEN GRANTS PASS DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER HILL TOP CASCADE PLATTE MONUMENT HUMBOLDT VALMY (562 MW) WARNER ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN TABLE MT STORY VALMONT TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS VALLEY ROAD RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI PONCHA MIDWAY COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES FOUR CORNERS SAN JUAN MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR PARKER EAGLE MT. LUGO MCKINLEY FLAGSTAFF CHOLLA VINCENT RINALDI YAVAPAI BLACKWATER CORONADO BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB MIGUEL WESTWING ELCENTRO IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA TIJUANA JUAREZ SEMPRA METROPOLI INTERGEN LIBERTY ARTESIA AMRAD KYRENE SAGUARO SILVER KING ARROYO LUNA TORTOLITA SAN LUIS CIPRES GREENLEE GILA MEXICALI LA ROSITA SOUTH HIDALGO LOMAS BICKNELL NEWMAN VAIL CALIENTE DIABLO Figure F.4. 15: July 2013 average Locational Marginal Prices with Alternative 3 generation and option 3 transmission. Appendix F 58 Row 1 2 3 4 5 6 7 9 10 11 12 13 15 14 16 17 18 23 21 22 20 19 24 26 25 31 28 29 43 32 30 37 38 33 27 35 34 Interface Black Hills to C Wyoming BRIDGER WEST WEST OF BROADVIEW TOT 2C MONTANA - NORTHWEST TOT 3 IPP DC LINE ALBERTA - BRITISH COLUMBIA BONANZA WEST North of Miguel WOR -n- El Dor to Lugo TOT 2B2 West of Naughton (E-S&W) SOUTHERN NEW MEXICO (NM1) TOT 1A PAVANT, INTRMTN - GONDER 230 KV SOUTHWEST OF FOUR CORNERS TOT 2A SW Wyoming to N Utah Combined PACI & PDCI NW to Canada, East BC COI PATH C N to S Utah IDAHO - MONTANA PACIFIC DC INTERTIE (PDCI) TOT 7 Montana - Southeast ARIZONA - CALIFORNIA Combined 4a, 4b IDAHO - NORTHWEST NORTHWEST - CANADA CA INDEPENDENT - MEXICO (CFE) NORTHERN - SOUTHERN CALIFORNIA Southern CA Imports Idaho to LV (SWIP) Idaho to N. California Generation added and no new transmission Opportunity % Time at Cost ($) Binding Limit 288,392 100% 241,727 82% 187,948 60% 157,912 46% 157,469 71% 140,590 50% 69,519 90% 53,112 73% 48,990 31% 43,937 55% 40,721 53% 33,590 24% 28,997 11% 24,319 40% 21,756 18% 20,105 10% 15,389 7% 14,692 10% 14,492 3% 14,367 21% 14,267 8% 13,750 61% 9,187 5% 6,177 3% 5,812 2% 5,321 20% 5,274 4% 5,010 9% 4,719 26% 4,495 6% 4,364 2% 4,087 3% 3,881 43% 3,615 20% 3,427 27% N/A N/A N/A N/A Appendix F % Time at Binding Limit 0% 24% 10% 53% 24% 5% 69% 64% 22% 60% 56% 14% 0% 34% 14% 2% 4% 4% 0% 21% 9% 45% 0% 1% 0% 8% 0% 8% 33% 11% 2% 4% 43% 10% 56% N/A 0% Option 1 Opportunity Cost ($) 43,495 25,541 128,369 34,847 4,668 29,428 38,988 33,242 35,441 29,973 19,699 25,197 15,844 1,647 7,679 5,542 15,611 10,530 8,306 204 1,283 1,898 10,322 3,539 7,364 2,766 7,366 3,869 2,774 6,244 N/A % Time at Binding Limit 0% 13% 15% 22% 28% 5% 68% 66% 17% 62% 57% 8% 1% 32% 4% 0% 6% 4% 0% 20% 11% 50% 0% 0% 18% 6% 0% 15% 40% 7% 0% 3% 42% 9% 55% N/A 0% Option 2 Opportunity Cost ($) 17,917 42,105 23,335 24,181 4,745 21,456 40,148 29,420 34,869 31,767 10,211 1,242 24,548 3,224 324 13,377 6,013 11,142 13,573 10,924 14,711 1,154 31,248 3,864 6,309 400 4,226 3,833 2,566 5,739 N/A % Time at Binding Limit 0% 10% 16% 20% 28% 6% 68% 60% 14% 63% 56% 9% 5% 32% 4% 1% 6% 5% 0% 24% 12% 60% 0% 0% 20% 4% 0% 25% 38% 6% 0% 4% 43% 7% 70% N/A N/A Option 3 Opportunity Cost ($) 12,907 44,633 22,037 25,917 5,884 24,906 38,847 25,471 36,434 33,467 12,113 5,834 24,758 2,734 905 13,380 7,207 15,692 16,476 12,870 17,276 769 53,203 3,652 6,470 5,980 3,873 1,792 6,531 N/A N/A % Time at Binding Limit 0% 14% 16% 20% 28% 4% 72% 60% 3% 61% 60% 8% 0% 32% 0% 7% 7% 4% 0% 17% 10% 34% 0% 2% 20% 0% 0% 24% 40% 9% 1% 3% 43% 4% 56% 25% 0% Option 4 Opportunity Cost ($) 27,298 45,147 43,869 25,622 3,560 26,994 40,359 4,319 36,516 31,037 9,848 24,639 312 10,098 16,521 3,996 10,179 14,080 7,132 911 15,731 1,408 3 46,782 3,864 9,704 1,102 4,349 3,929 982 6,569 22,237 - Draft The top congested paths for Alternative 3 are outlined in Table F.4.6. The table is sorted by the opportunity cost for generation added without transmission additions. The table also demonstrates how the added transmission has lowered congestion for Options 1 through 4. Table F.4. 6: Alternative 3 top congested interfaces before and after transmission is added 59 Draft Alternative 4 This alterative builds upon the resource and transmission additions in Alternative 3, adding another 3,900 MW of PRB coal and wind generating capacity for export purposes. This generation is sufficient to meet load growth in the Rocky Mountain region, and export power equal to two times the region’s load growth. Generation capacity additions in Alternative 4 total 11,700 MW as shown in Figure F.4.16. The capital requirements for this level of generation are approximately $19.8 billion, although $4.5 billion of West Coast gas fired plants would not need to be constructed. Not surprisingly, without new transmission Alternative 4 creates significantly more congestion than Alternative 3. This congestion is summarized in Figure F.4.17. To accommodate this level of new resources in the RMATS region, the Workgroups investigated the addition of two 500 KV DC lines from Wyoming to northern or southern California and applied this to Alternative 3- option 3 transmission build. Figure F.4.18 outlines the transmission additions for this alternative at an estimated cost of $5.6 to $5.8 billion. 750 Coal 1000 Wind 260 Gas 1000 Wind 1109 Coal 100 Wind 250 Wind 440 Wind 2100 Coal 125 Wind 125 Wind 50 Gas 800 Wind 575 Coal 230 Wind 320 Wind 1500 2450 Wind 950 Coal Wind 2500 Coal 575 Coal 140 Gas 250 Wind 603 Gas 1500 Wind 250 Wind Figure F.4. 16: Alternative 4 resource additions Appendix F 60 Draft B.C. 11,700 MW added to Rocky Mtn. States % Percent of Time at Binding Limit Alberta Wash. Interface Name Opportunity Cost/Savings ($) Montana 42% West of Broadview $128,921 79% Montana – NW $251,693 Idaho 9% Idaho- Montana $103,932 100% Black Hills – C. Wyoming $175,556 96% Oregon Bridger West $272,351 Wyoming Utah TOT 3 $100,932 60% Nevada 55% Bonanza West $132,741 IPP DC $73,000 TOT 2C $176,124 TOT 2A $86,407 California Colorado 47% 82% 50% New Mexico Arizona Mexico Figure F.4. 17: Top 10 congested paths if Alternative 4 generation is added without new transmission Taft Missoula DC Broadview Colstrip Ringling Grizzly Midpoint Boise 500 kV Wyodak Kinport 345 kV Borah Dave Johnson Option 1 Jim Bridger 230 kV LRS Ben Lomond Naughton IPP Additional DC Series Capacitor Upgrade Miners Mona Cheyenne Tap Ault Option 2 Emery Grand Junction Tesla Midway Crystal Market Place Vincent Adelanto Green Valley Red Butte Added Phase Shifter Added Transformer Ant Mine Mira Loma Figure F.4. 18: Recommended transmission build for Alternative 4 generation, requires two of potential five 500kV export lines to the west coast (Alternative 3- option 3 shown here). Also required is one 500kV DC line from NE Wyoming to California. Appendix F 61 Draft Table F.4.7 outlines the results of the four analyses conducted for Alternative 4. The first analysis adds the generation as shown in Figure F.4.16 and lifts all transmission constraints on the Western Interconnect System (column A). This demonstrates the maximum amount of savings that could be obtained given the generation. The second analysis (column B) adds the generation as shown in Figure F.4.16 to the existing transmission system. The difference between these analyses reflects the cost of transmission congestion, which is estimated to be $2 billion for the Western Interconnect. Column C and D are the results of both Alternative 4 options. The production costs results are nearly identical overall and on average the recommended transmission upgrades capture $1.7 billion of the potential transmission savings. The remaining $302 million of savings could be realized by solving transmission congestion in other areas of the Western Interconnect. Table F.4. 7: Alternative 4 area production costs (dollars are in millions) Row 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 Area Name New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total Appendix F A B Generation Generation added with no added and no transmisson new transmission constraints 430 418 3,829 3,538 896 1,317 410 397 780 865 9 17 450 668 681 1,388 114 275 344 341 1,780 3,429 1,697 2,184 472 518 33 30 1,654 1,421 1 85 22 218 203 150 51 69 56 146 116 458 347 988 508 200 153 54 41 83 66 307 169 61 47 209 65 16,609 18,652 C Option 1 Transmission Added D Option 2 Transmission Added 420 3,405 1,061 366 849 11 502 1,060 227 335 2,570 1,827 439 28 1,381 49 187 139 55 127 387 619 193 50 82 299 58 183 420 3,375 963 373 814 11 428 890 164 338 3,048 1,816 439 29 1,385 47 191 139 55 127 392 606 194 50 82 297 58 182 16,910 16,911 62 Draft The top congested paths for Alternative 4 are outlined in Table F.4.18. The table is sorted by the case that has generation added without transmission additions. The table also demonstrates how the added transmission lowers congestion for Options 1 & 2. Table F.4. 8: Alternative 4 top congested interfaces before and after transmission is added Generation added and no new transmission Row 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Interface BRIDGER WEST MONTANA - NORTHWEST TOT 2C Black Hills to C Wyoming BONANZA WEST WEST OF BROADVIEW IDAHO - MONTANA TOT 3 TOT 2A IPP DC LINE TOT 1A ALBERTA - BRITISH COLUMBIA West of Naughton (E-S&W) WOR -n- El Dor to Lugo North of Miguel TOT 2B2 PAVANT, INTRMTN - GONDER 230 KV SOUTHWEST OF FOUR CORNERS SOUTHERN NEW MEXICO (NM1) Montana - Southeast Combined 4a, 4b TOT 7 Combined PACI & PDCI COI NW to Canada, East BC TOT 4B SW Wyoming to N Utah TOT 4A PACIFIC DC INTERTIE (PDCI) ARIZONA - CALIFORNIA NORTHWEST - CANADA CA INDEPENDENT - MEXICO (CFE) PATH C Southern CA Imports NORTHERN - SOUTHERN CALIFORNIA Imp.Valley to Miguel SW Wyoming to Bonanza MIDPOINT - SUMMER LAKE Wyodak DC Colstrip South 500KV Option 1 Option 2 Opportunity % Time at Opportunity % Time at Opportunity % Time at Cost ($) Binding Limit Cost ($) Binding Limit Cost ($) Binding Limit 272,351 96% 23,870 16% 25,147 16% 251,693 79% 76,702 43% 82,796 44% 176,124 50% 73,423 57% 40,574 30% 175,556 100% 0% 0% 132,741 60% 80,080 34% 70,004 28% 128,921 42% 25,130 11% 27,111 11% 103,923 9% 34,969 26% 33,019 24% 100,932 55% 3,260 2% 2,342 2% 86,407 47% 15,220 9% 12,848 8% 73,000 82% 42,622 70% 41,884 81% 71,020 60% 20,629 18% 16,177 15% 53,068 73% 37,994 60% 39,233 62% 51,847 21% 39,603 25% 28,429 18% 45,071 55% 18,080 47% 8,756 21% 43,210 51% 24,189 53% 18,213 40% 39,695 28% 28,882 20% 22,663 16% 33,270 14% 81 0% 402 1% 29,943 13% 12,662 5% 14,458 7% 29,183 45% 33,206 46% 32,280 45% 23,285 33% 1,254 2% 1,600 2% 18,485 24% 551 1% 544 1% 18,040 9% 99 1% 40 1% 14,931 22% 12,576 17% 18,098 29% 14,931 61% 10,374 59% 20,571 78% 12,121 6% 20,421 15% 19,371 14% 9,122 7% 0% 0% 7,413 3% 0% 0% 6,933 6% 224 0% 229 0% 6,004 18% 2,696 10% 2,737 11% 4,784 24% 1,203 18% 688 13% 4,655 3% 6,188 4% 7,019 4% 3,646 41% 2,594 37% 2,024 29% 3,471 4% 0% 0% 3,461 28% 6,680 54% 1,780 20% 3,290 18% 3,861 13% 1,020 5% 2,711 11% 5,188 19% 4,271 17% 2,470 1% 0% 0% 2,398 1% 853 1% 1,373 1% N/A N/A 139,647 95% 144,851 97% N/A N/A 4,944 6% 4,256 3% Figures B.4.19 & B.4.20 show before and after transmission addions for Alternative 4. The before map (Figure F.4.19) has extremely low prices in Wyoming and Montana. This is because low cost coal and wind resources were added there and without new transmission, the energy it generates is bottlenecked. After transmission is added (Figure F.4.20), the congestion has been eliminated across the Rocky Mountain area to the Northwest and Nevada. This is because the new 500kV DC, each of the two 500kV export paths and the upgrade to the IPP DC have exported power to these locations, therefore lowering LMPs by displacing higher cost gas plants. Even though the West Coast is importing 7,800MW of low cost generation, it is still not enough new generation to displace all the higher cost generation in Southern California. Appendix F 63 Draft PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER L E G E N D: N. LETHBRIDGE NELWAY CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK SELKIRK WANETA WHALEACH BOUNDARY SAHTLAM GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BOARDMAN BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON GOSHEN KINPORT K-FALLS MERIDIAN CO GEN GRANTS PASS RIVERTON DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER MONUMENT HUMBOLDT VALMY (562 MW) HILL TOP WARNER CASCADE PLATTE ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS VALLEY ROAD TABLE MT STORY VALMONT RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI MIDWAY PONCHA COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES SAN JUAN FOUR CORNERS MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR MCKINLEY FLAGSTAFF CHOLLA VINCENT PARKER EAGLE MT. LUGO RINALDI BLACKWATER CORONADO YAVAPAI BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB WESTWING ELCENTRO MIGUEL IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA SEMPRA TIJUANA GREENLEE LIBERTY ARTESIA AMRAD GILA INTERGEN METROPOLI JUAREZ KYRENE SILVER KING SAGUARO MEXICALI LA ROSITA ARROYO LUNA TORTOLITA SAN LUIS SOUTH HIDALGO LOMAS CIPRES NEWMAN VAIL BICKNELL CALIENTE DIABLO Figure F.4. 19: July 2013 average Locational Marginal Prices with Alternative 4 generation included, no new transmission is included. PEACE RIVER PEACE CANYON PCN500 RUTH LAKE MITSUE KENNEDY KDY 5CX3 LITTLE SMOKY LOUISE CREEK PRINCE RUPERT WILLISTON TELKWA SKEENA GLENANNAN N. BARRHEAD WHITEFISH LAKE DEERLAND SAGITAWAH N. CALDER KITMAT BARLOW MARGUERITE LAKE LAMOUREUX WABAMUN CLOVERBAR SUNDANCE KEMANO EAST EDMONTON BICKERDIKE ELLERSLIE KEEPHILLS BRAZEAU SODA CREEK BATTLE BAT RV79RIVER METISKOW BENALTO MICA 100 MILE HOUSE M ETI S644 RED DEER KELLY LAKE SHEERNESS REVELSTOKE BRIDGE RIVER JANET SARCEE ASHTON CREEK SAVONA LANGDON EMPRESS WARE JTN. JENNER W. BROOKS CHEEKYE GOLD RIVER NICOLA MALASPINA MERIDIAN INVERMERE CLAYBURN NATAL ROSEDALE INGLEDOW DUNSMUIR PEIGAN ARNOTT CUSTER SELKIRK WANETA WHALEACH L E G E N D: N. LETHBRIDGE NELWAY BOUNDARY SAHTLAM CHIEF JOE MONROE 345KV +-500KV DC 500KV CRANBROOK GRAND COULEE 230KV 115-161KV HUNGRY HORSE LIBBY ECHO LAKE CAB GORGE ROCKY REACH NOXON BELL HOT SPRINGS RAVER GREAT FALLS BENEWAH SCHULTZ OLYMPIA PAUL / CENTRALIA TAFT VANTAGE MOSCOW MIDWAY LOW MON HANFORD N LEWISTON LIT GOOSE ASHE ROSS THE DALLES KEELER MILES CITY DC TIE GARRISON LOLO CUSTER WALLA WALLA JOHN DAY OSTRANDER COLSTRIP ANACONDA BILLINGS CROSSOVER ENTERPRISE SLATT HELLS CANYON LAGRANDE BUCKLEY BROADVIEW TOWNSEND McNARY (1169 MW) ROUNDUP PEARL HATWAI LOW GRANITE ALLSTON OVANDO DWORSHAK BEAVER BOARDMAN YELLOWTAIL OXBOW BROWNLEE SHERIDAN PETERSON FLATS MARION GRIZZLY DILLON WYODAK BUFFALO LANGE OREGON BASIN ONTARIO LANE ALVEY WEST HILL BURNS AMPS CALDWELL THERMOPOLIS BOISE JEFFERSON SUMMER LAKE DIXONVILLE RESTON K-FALLS MERIDIAN CO GEN GRANTS PASS RIVERTON GOSHEN KINPORT DAVE JOHNSTON BORAH MIDPOINT ATLANTIC CITY MALIN BOYLE COPCO CASPER SPENCE CAPT JACK LONE PINE MUSTANG LARAMIE RIVER TREASURETON WEED JCT STEGAL BRIDGER HILL TOP CASCADE PLATTE MONUMENT HUMBOLDT VALMY (562 MW) WARNER ROCK SPRINGS NAUGHTON SIDNEY ARCHER BEN LOMOND ROUND MT FLAMING GORGE OLINDA AULT CRAIG TERMINAL HAYDEN 90 SOUTH BORDERTOWN TABLE MT STORY VALMONT TRACY BONANZA IPP AUSTIN SMOKY HILL DILLON MONA GONDER FT CHURCHILL DRUM PAWNEE (530 MW) CAMP WILLIAMS VALLEY ROAD RIFLE MACHACEK DANIELS PARK MALTA PAVANT HUNTINGTON HUNTER SIGURD VACADIXON MONTROSE TRACY CURECANTI PONCHA MIDWAY COMANCHE TESLA PINTO RED BUTTE MOSS LANDING LOS BANOS NAVAJO GLEN CANYON HARRY ALLEN GATES FOUR CORNERS SAN JUAN MARKETPLACE OJO MCCULLOUGH TAOS MEAD MOENKOPI MIDWAY NORTON EL DORADO DIABLO B-A P.E.G.S. AMBROSIA MOJAVE ADELANTO DAVIS WEST MESA SELIGMAN LEUPP LEUPP VICTORVILLE ROUND VALLEY CAMINO SYLMAR FLAGSTAFF CHOLLA VINCENT PARKER EAGLE MT. LUGO RINALDI MCKINLEY YAVAPAI BLACKWATER CORONADO BLYTHE DEVERS MIRALOMA SERRANO PRESCOTT SPRINGERVILLE VALLEY TABLE MESA KNOB MIGUEL WESTWING ELCENTRO IMPERIAL VALLEY EL CENTRO PALO VERDE PINNACLE PEAK NORTH GILA TIJUANA JUAREZ SEMPRA METROPOLI INTERGEN LIBERTY ARTESIA AMRAD KYRENE SAGUARO SILVER KING ARROYO LUNA TORTOLITA SAN LUIS CIPRES GREENLEE GILA MEXICALI LA ROSITA SOUTH HIDALGO LOMAS BICKNELL NEWMAN VAIL CALIENTE DIABLO Figure F.4. 20: July 2013 average Locational Marginal Prices with Alternative 4 generation and new transmission is included. Appendix F 64 Draft Recommendations The analysis of the four alternatives led to two recommendations. The recommendations represent transmission build that is benefits the region of the Rocky Mountain States by creating low cost power to serve its load and to produce low cost power to export to West Coast Regions. Both Recommendations use the Alternatives as a starting point. Recommendation 1 assumes the same generation as Alternative 1 and includes a majority of the same transmission. Recommendation 2 on the other hand is the same as Alternative 3. The next section covers detailed results and assumptions for Recommendation 1. Refer to the Alternative 3 discussion for results on Recommendation 2 Recommendation 1 Recommendation 1 has the same resource configuration as Alternative 2, although the transmission configuration is slightly different, in that this transmission configuration exports power from Montana to the Northwest instead of moving it south to Idaho. The other change from Alternative 2 is that only one 345kV line is necessary between Wyoming and Colorado. This is because TAWG agreed that a compensated 345kV line would be sufficient to send power to Colorado. The transmission assumed in Recommendation 1 is shown in Figure F.4.21. An area breakout of the results is found in Table F.4.9. The top congested paths, based on if no new transmission were added are outlined in F.4.10. Further detail on Recommendation 1 can be found in Chapter 3. Modified Interface Montana to NW Taft 280 Wind West of Broadview Townsend West of Colstrip Broadview Garrison Added Resource Montana Upgrades 50 Wind Colstrip 250 Coal Added 345 kV Line Added Series Compensation Only 359 Coal 250 Wind Borah West 125 Wind Midpoint 700 Coal Antelope Mine Path C West of Bridger Treasureton 100 Wind Black Hills to C. Wyoming Dave Johnston 575 Coal LRS Jim Bridger Ben Lomond West of Naughton Naughton Miners 500 Wind Cheyenne Tap 1150 Wind TOT 4A TOT 3 Ault 575 Coal Bridger Expansion C Wyoming to LRS Bridger E New WY- CO lines TOT 7 Green Valley 140 Gas 210 Gas 500 Coal 500 Wind Figure F.4. 21: Resource and Transmission Additions assumed in Recommendation 1 Appendix F 65 Draft Table F.4. 9: Recommendation 1 area production costs (dollars in millions) ID Area 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total Recommendation 1 451 3,945 1,170 458 879 18 778 1,469 287 253 3,312 2,165 532 32 1,432 4 238 76 68 162 430 758 200 61 83 307 37 177 19,780 Table F.4. 10: Recommendation 1 interface utilization results Row 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Appendix F Interface Name Black Hills to C Wyoming TOT 3 BRIDGER WEST WEST OF BROADVIEW West of Naughton (E-S&W) ALBERTA - BRITISH COLUMBIA TOT 2C North of Miguel WOR -n- El Dor to Lugo MONTANA - NORTHWEST PATH C BONANZA WEST SOUTHERN NEW MEXICO (NM1) Laramie River to C Wyomong Combined PACI & PDCI NW to Canada, East BC COI East of Bridger Recommendation 1 Opportunity Cost ($) 5,292 13,907 7,353 617 48,445 50,392 42,370 44,122 17,343 12,619 18,694 11,068 12,740 3,112 4,283 % Time at Capacity 0% 6% 10% 6% 0% 70% 26% 64% 60% 10% 0% 9% 22% 0% 21% 9% 26% 2% 66 Draft Reference Cases Two reference cases were created to compare economics between the remote generation/transmission intensive recommendations and alternatives that do not rely on new transmission. These reference cases avoid or minimize new transmission investment primarily by locating new generation near loads. The reference cases differ in the type and location of resource additions in the Rocky Mountain region. The All-Gas Reference Case assumes that load growth is met through new gas-fired generation. The IRP-Based Reference Case includes new gas-fired generation, but also new coal generation, primarily at existing sites, and new wind resources. The reference cases are similar in that both add the same overall resource capacity, and both use the same gas and coal fuel prices and hydro condition assumptions. Both cases assume that generation additions outside the Rocky Mountain States after 2008 will take the form of gas-fired generation located near loads. Both cases also include no significant transmission investment other than for resource integration. As a result, the reference cases bracket a range of potential outcomes that would occur if little new transmission were built. All-Gas Reference Case: This case assumes that load growth in the Rocky Mountain States for the 2008 to 2013 period will be met exclusively by adding gas-fired generation located close to load centers. Capital investment in this case is limited to gas-fired generation additions and associated interconnection costs. The All-Gas Reference Case is representative of the recent past. In the 1990’s nearly all load growth in the West was met by building gas-fired plants. The All-Gas Reference Case presumes this trend will continue, and it is akin to a “do-nothing” case from a transmission expansion perspective. This case is useful for comparing the fuel and investment costs of alternative resources, and for measuring the value of diversifying fuels. Table F.4.11 is a breakdown of production costs for each area studied. Appendix F 67 Draft Table F.4. 11: Gas Reference Case area production costs (dollars in millions) ID Area 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 21 22 23 24 25 26 28 29 30 32 33 New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Wyoming- SW Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total IRP Based Reference Case 453 4,022 1,130 470 880 19 803 1,502 302 253 3,377 2,247 544 32 1,443 103 8 241 50 15 76 359 745 1,134 210 74 83 261 17 165 21,018 IRP-Based Reference Case: This case is based on resource additions in the integrated resource plans of LSE’s in the Rocky Mountain States, where available. Where IRPs are not available, wind capacity is assumed to fill the gap. The IRP-Based Reference Case presumes significant wind and some coal resources are added. Because little transmission is added in the IRP-Based Reference Case, wind generation additions are limited by transmission capacity and the physical ability of coal plants to rapidly cycle to meet changes in the output of wind generators3. Consequently, production costs are substantially lower than in the All-Gas Reference Case because of lower fuel costs. 3 There may be new coal generation technologies that could minimize the problem of cycling coal plants to accommodate more wind generation, such as Integrated Gasification/Combined Cycle (IGCC) coal plants coupled with temporary gas storage capability that would enable the gasification process to operate continuously, but the burning of the gas to generate electricity could better match periods of slack wind generation. Appendix F 68 Draft Capital requirements are higher than in the All-Gas Reference case because of the higher up-front cost of remote coal and wind units. The IRP-based case is a compilation of existing IRPs, and as such, represents the current planning path for major LSEs in the RMATS footprint; but they may, however, not include the transmission investment that would be required to integrate the wind and other resources they propose. Table F.4.12 represents the production costs for each of the areas modeled for this study. Table F.4. 12: IRP Based Reference Case area production costs (dollars in millions) Appendix F ID Area 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 28 29 30 32 33 New Mexico Arizona Nevada WAPA- LC Mexico Imperial San Diego So. California LADWP IPP PG AND E Northwest BC Hydro Aquila Alberta Idaho- West Montana- West Sierra Wyoming- Central Bonanza Utah- North Utah- South Colorado- East Colorado- West Black Hills Laramie River Station Jim Bridger Broadview Colstrip- Crossover Total IRP Based Reference Case 451 3,976 1,166 453 880 18 788 1,504 298 274 3,331 2,198 540 32 1,435 73 237 64 68 167 534 775 200 59 83 261 17 165 20,046 69