Q. (a) Will any of the projects requiring capital

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Supplemental Response No. 1
Request No. LCRA1-GMT1
Page 1 of 3
RELIANT ENERGY HL&P
DOCKET NO. 22355
LOWER COLORADO RIVER AUTHORITY
Q.
(a)
(b)
(c)
Will any of the projects requiring capital expenditures that you discuss in
your testimony and present on Pages 3421-3423 of the UCOS Filing
(“UCOS”) require a certificate of convenience and necessity (CCN)?
If the answer to (a) is yes, please identify each project and discuss the
stage each is at in terms of acquiring a CCN.
For any projects that will require a CCN.
(1)
Do you anticipate a determination on the application prior to the
issuance of a Final Order in this proceeding?
(2)
Do you anticipate being granted a CCN after the issuance of a
Final Order in this proceeding? If yes and the application is later
denied, how will you treat the projected cost of the project if those
costs had been previously approved in this proceeding?
A.
(b)
A CCN will be required in order to interconnect Merchant Plant 5. HL&P
expects to file this application in the first quarter of 2001.
HL&P has altered some of its transmission system plans and is no longer
preparing a CCN application for a new Greens Bayou – White Oak 345
KV circuit. The change in HL&P’s transmission plans are the result of
several developments as HL&P has progressed with its transmission
system design efforts:
(1)
As indicated in HL&P’s response to SA2-3, HL&P has determined
that the King – North Belt corridor circuits can be upgraded from
906 MVA to approximately 2,900 MVA, instead of the originally
planned 1,960 MVA. The upgrade will be accomplished by using
a new technology, high capacity conductors, that has not been
previously applied at 345 KV by HL&P or any other ERCOT
transmission provider. The circuits will initially be limited to
2,390 MVA by 4000 A substation equipment, but HL&P has
further determined that it can procure 5000 A 345 KV equipment if
necessary to upgrade the circuit to the conductor rating of
approximately 2,900 MVA. This project is expected to be
completed before the 2002 summer peak.
(2)
As also indicated in HL&P’s response to SA2-3, HL&P is
currently upgrading the Cedar Bayou – King circuits from 878 and
Supplemental Response No. 1
Request No. LCRA1-GMT1
Page 2 of 3
RELIANT ENERGY HL&P
DOCKET NO. 22355
LOWER COLORADO RIVER AUTHORITY
906 MVA to approximately 2,500 MVA, instead of the originally
planned increase to 1,088 MVA. This upgrade, now under
construction, will also be accomplished using high capacity
conductors, with completion expected before the 2002 summer
peak.
(3)
HL&P now expects to interconnect two additional plants to its
transmission system by the end of 2002, raising the total number of
new plants (in addition to already completed Tenaska Frontier and
Calpine Pasadena II plants) from six to eight. Also, the capacity of
one of the six new plants originally identified in HL&P’s rate
filing has increased from 1,100 MW to 1,650 MW.
(4)
Considering the changes above, HL&P has determined that there
are three reasonable alternatives for interconnecting one of the new
plants that were not included in HL&P’s original rate filing. Two
of the three alternatives involve connecting the new plant
substation by a new double 345 KV circuit to Merchant Plant 4,
plus building either (a) a new Greens Bayou – White Oak 345 KV
circuit, or (b) a third King – North Belt circuit. A third alternative
involves looping the Cedar Bayou – P. H. Robinson 345 KV
circuit into the new substation, which requires upgrading the Cedar
Bayou – P. H. Robinson – Oasis substation corridor, but avoids the
need for a New Greens Bayou – White Oak or third King – North
Belt 345 KV circuit. All three alternatives are close in terms of
overall cost, but the third alternative is a little lower in overall cost
than the other two alternatives and will not require a CCN
application. For this reason, HL&P is currently planning to pursue
the third alternative.
The details of this analysis are contained in a revised
interconnection study for the associated new generating plant. The
interconnection study contains Highly Sensitive Protected
Information and will be provided pursuant to the Protective Order
in this docket. Please contact Bunny Browning at (713) 207-5566
to make an appointment to review this material.
Supplemental Response No. 1
Request No. LCRA1-GMT1
Page 3 of 3
RELIANT ENERGY HL&P
DOCKET NO. 22355
LOWER COLORADO RIVER AUTHORITY
(c)
As indicated in the supplemental response to (b), HL&P is no longer planning to
file a CCN application for a new Greens Bayou – White Oak 345 KV circuit at
this time.
Attachments: None
Sponsor:
John C. Houston
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