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Joint Ownership of Transmission. Richard A. Lehman Salt River Project. Background. Joint Ownership Projects have played a vital role in the growth and development of the West and SRP Rapid growth in post war years forced IOU’s and public power utilities to work together - PowerPoint PPT Presentation
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RAL 6/20/05 1
Joint Ownership of Transmission
Richard A. Lehman
Salt River Project
RAL 6/20/05 2
Background
Joint Ownership Projects have played a vital role in the growth and development of the West and SRP
Rapid growth in post war years forced IOU’s and public power utilities to work together
SRP has been involved in the development of jointly owned generation and transmission projects for nearly 50-years
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Benefits of Joint Ownership
Economy of scales offered by larger projects Better control and oversight of expenses Lower Cost - expenditures are cost based Easier to match capacity needs to anticipated
growth
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Principles of Joint Ownership Projects
Owned by Participants (“tenants in common”) Owners allocated transmission entitlement based
on their participation level (% or MW) Owners independently administer their share of
allocated transmission entitlement Costs & expenses shared proportionally
Capital expenditures O&M expenditures
Owners participate in oversight & administration Engineering & Operating Committee Ad Hoc Committees
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Principles (continued)
Owners approve Budgets Major expenditures Significant operational matters
Approvals subject to defined voting process Designated Project Manager/Operating Agent
Typically one of the owners Takes direction from the owners
Owners indemnify each other Liabilities incurred are shared proportionally Interconnections require approval/signature of all
owners
ARIZONAARIZONA NEWNEWMEXICOMEXICO
CALIFORNIACALIFORNIA
NEVADANEVADA
UTAHUTAH
COLORADOCOLORADO
WYOMINGWYOMING
IDAHOIDAHOOREGONOREGON
WASHINGTONWASHINGTON
MONTANAMONTANA
SONORASONORA
TEXASTEXAS
OKLAHOMAOKLAHOMA
KANSASKANSAS
NEBRASKANEBRASKA
SOUTHSOUTHDAKOTADAKOTA
NORTHNORTHDAKOTADAKOTA
SASKATCHEWANSASKATCHEWAN
BAJABAJACALIFORNIACALIFORNIA
NORTENORTE
CHIHUAHUACHIHUAHUA
Scale in MilesScale in Miles
00 5050 1001007575
LEGEND:LEGEND:
JOINT LINESJOINT LINES
WECCWECCJOINT FACILITIESJOINT FACILITIES
(DEVELOPED OR OWNED)(DEVELOPED OR OWNED)
SOURCE: POWERmapSOURCE: POWERmap
JOINT PHASEJOINT PHASESHIFTER OPERATIONSHIFTER OPERATION
JOINT POWER GENERATIONJOINT POWER GENERATION
JOINT DC TIESJOINT DC TIES
WECC BOUNDARYWECC BOUNDARY
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Development
Jointly-owned transmission projects have historically been developed in conjunction with jointly-owned generation projects Generation located in remote locations Transmission additions necessary to deliver
generation entitlement to load center of project participants
Jointly-owned transmission projects more recently developed to access market hubs
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Development (continued)
Some Examples Mohave Project (Generation & Transmission) Four Corners Project (Gen & Transmission) Navajo Project (Generation & Transmission) Palo Verde Project (Gen & Transmission) Mead-Phoenix Project (Transmission Only) Rudd Project (Transmission Only) Southeast Valley Project (Transmission Only)
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Sub-Regional Planning
WECC sub-regional planning organizations SWAT (SW Area Transmission) STEP (SW Transmission Expansion Planning) CCPG (Colorado Coordination Planning Group) RMAT (Rocky Mtn Area Transmission System) NTAC (NW Transmission Assessment Committee) CAISO (California Independent System Operator)
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Sub-Regional Planning (continued)
Central Arizona Transmission Study (CATS) was genesis for current sub-regional planning groups
Organized to study needs of specific region Participation open to all interested parties Participants have input to study scope and assist in
performance of study work Process allows:
Consolidation of multi-party needs Study of a broad range of scenarios and alternatives
Leads to solutions that maximize benefits to the most parties in the region
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Southeast Valley Project
First project to be developed from the sub-regional planning process
500 kV transmission line from Palo Verde area to the SE Phoenix metropolitan area/Pinal County, AZ
Participants Arizona Public Service Company Electrical District No. 2 (Pinal County) Electrical District No. 3 (Pinal County) Electrical District No. 4 (Pinal County) Southwest Transmission Cooperative Salt River Project Tucson Electric Power Company
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Contact Information
For additional information please contact:
Richard Lehman
Principal Contract Analyst
Regulatory Affairs and Contracts
Salt River Project
(602) 236-3022
