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Long Term Study Transmission Results May 21 st , 2013

Long Term Study Transmission Results

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Long Term Study Transmission Results. Objectives:. ERCOT and ERCOT stakeholders, with the support of a Department of Energy Grant, improved and expanded the existing Long Term Study (LTS) processes. Specifically, the Transmission Analysis component of the LTS seeks to: - PowerPoint PPT Presentation

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Page 1: Long Term Study  Transmission Results

Long Term Study Transmission Results

May 21st, 2013

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Objectives:

ERCOT and ERCOT stakeholders, with the support of a Department of Energy Grant, improved and expanded the existing Long Term Study (LTS) processes. Specifically, the Transmission Analysis component of the LTS seeks to:

•Create a repeatable process to identify intra-regional system needs for both reliability and economic efficiency.

•Study a full spectrum of scenarios to identify similar and contrasting transmission system needs to facilitate various resource portfolios.

•Inform shorter-term study horizons with “least regrets” solutions as study assumptions become more certain.

•Procure and customize a tool to identify ancillary service needs for increasing amounts of non-traditional resources.

May 21, 2013

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Agenda

• Process Review

• Scenario Selection – Transmission Analysis

• Base Case Development

• Reliability Import Expansion Analysis

• Base Case Overloads

• Economic Themes / Observed Congestion

• Major Findings

• Integrating Renewable Energy / KERMIT Analysis

May 21, 2013

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Process Review

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Selected Cases for Transmission Analysis

ERCOT chose to perform a full transmission analysis for each scenario that modified a resource build, load, or dispatch cost enough to modify transmission system needs.

May 21, 2013

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Scenario Selection - Wind

May 21, 2013

CompleteIn ProgressOmitted from Trans Analysis

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Scenario Selection - Load

May 21, 2013

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Scenario Selection – Resource Sites (2032)

May 21, 2013

Business as usual Business as Usual / Retirements

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Scenario Selection – Resource Sites (2032)

May 21, 2013

Business as Usual‘All Technologies’ / Updated Wind

Business as Usual – HighNat Gas Price

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Scenario Selection - Resource Sites (2032)

May 21, 2013

Drought – No PTC or emission costs

Drought – No PTC, emission costs, low gas price

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Resource Sites (2032)

May 21, 2013

Drought – PTC, Water Costs, Emissions cost

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Base Case Reliability Upgrades (2032)

May 21, 2013

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Transformer Base Case Reliability Upgrades: 2022

May 13th 2013

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Transformer Base Case Reliability Upgrades: 2032

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Economic Studies

Each economic project selected for analysis targeted scenario-specific opportunities for production cost savings. Reoccurring themes included:

May 21, 2013

Expanded imports into Houston

Expanded imports into Dallas Expanded connectivity to the San Antonio 345kV ring

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Economic Studies Continued

Each economic project selected for analysis targeted scenario-specific opportunities for production cost savings. Reoccurring themes included:

May 21, 2013

Expanded connectivity to the Texas Panhandle

Expanded Access to Coastal Wind

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Major Findings: Retirements

The retirement of legacy gas-fired resources within ERCOT’s urban load centers:•Greatly increases the need for reliability upgrades in and around urban load centers

•Accelerates the need for new import paths (most notably in Houston; a new import is required within the ten-year study horizon)

•Creates economic opportunities in Houston, Dallas, and San Antonio for transmission expansion.

May 21, 2013

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Major Findings: Beyond 345kV

Expanding the ERCOT system beyond 345kV was cost-effective for select scenarios. If high gas prices and/or continuation of the production tax credit for wind persist, then 500kV solutions are cost-effective for the delivery of concentrated renewable energy to major load centers. Select Drought Scenarios yielded similar results.

May 21, 2013

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Major Findings: Extended Drought / Extreme Load

Increased system loading coupled with water availability issues threatened the economic viability of existing and potential future thermal units. The net effect accelerated the need and quantity of expanded imports into Houston, Dallas, and San Antonio.

May 21, 2013

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Major Findings: Extended Drought / Extreme Load

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Note: If municipal utilities operating in a vertically integrated structure repower or expand existing urban resources, then transmission import needs will be largely offset.

May 13th 2013

Major Findings: Extended Drought / Extreme Load

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Major Findings: Beyond CREZ

Wind-dominated resource expansion scenarios sited wind in the Texas panhandle beyond the current design capacity of the CREZ System.

May 21, 2013

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Major Findings: Beyond CREZ

Multiple scenarios in the Long Term Study suggested that expansive wind development in the Texas Panhandle may threaten steady state stability under certain conditions. Based upon this assessment, the ERCOT Dynamic Studies performed a detailed assessment of LTS findings.

If wind development in the Texas Panhandle is comparable or higher than what was modeled in the LTS, then additional exports from the region are needed for steady-state stability. Numerous projects return production cost savings commensurate with their costs for high gas price and environmental scenarios.

May 21, 2013

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Integrating Renewables / KERMIT analysis

ERCOT procured a time-series simulation model to assess the adequacy of ancillary services needed to balance portfolios with increasing proportions of renewables.

May 21, 2013

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Integrating Renewables / KERMIT Analysis

DNV KEMA’s KERMIT model was modified to represent the ERCOT market, complete with existing and probable future resources.

May 21, 2013

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Integrating Renewables / KERMIT Study

Increased wind penetration and diversity of wind sites decreased the frequency of small magnitude net load ramps on a five-minute basis.

May 21, 2013

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Integrating Renewables / KERMIT Study

May 21, 2013

Increased wind penetration greatly increased the magnitude and frequency of 15-min net load ramps

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Integrating Renewables / KERMIT Study

May 21, 2013

Seldom-occurring high-magnitude net load ramps required a significant increase in seasonal deployment of quick-start / non-spin capacity.

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Integrating Renewables / KERMIT Observations

With increasing penetration of wind;•Large magnitude ramps occurred more frequently.

•Small magnitude ramps occurred less frequently.

Based upon these observations, ERCOT modeled new ancillary products with complementary ramping characteristics. These products: •Represent online resources or resources with zero-startup time•Include only resources capable of ramping to full load within 5 minutes, and• Are technology neutral.

May 13th 2013

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Integrating Renewables / KERMIT Study: Scenario 3/8 Results

ERCOT calculated a portfolio of ancillaries to maintain equal or better than actual frequency performance.

May 21, 2013

Actual Reserves 2012

Initial KERMIT Run

Scenario 3 Scenario 8

Total Nameplate Renewables10 GW 10 GW 20 GW 50 GW

Min Max Max Max Max

Regulation Reserves240 940 600 600 600

Responsive Reserves (Gen) 1400 1400 1050 1050 1050

Responsive Reserves (Load) 1400 1400 1400 1400 1400

New 5-min product in SCED – – –

800 1300

Non Spin QS*470 2000

1650 1650 1650

Non Spin 30-min product ** – – –

Total 3510 5740 4700 5500 6000

* 15-min product – 5-min start, 10-min ramp ** Cold Start

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Integrating Renewables / KERMIT Study: 20 GW Results

May 21, 2013

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Integrating Renewables / KERMIT Study: 50 GW Results

May 21, 2013

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Review:

ERCOT and ERCOT Stakeholders developed a repeatable process to determine:

•Reliability-driven transmission system upgrades and economic alternatives across a spectrum of probable resource builds.

• Document major findings for use in shorter-term study horizons as resource assumptions become more certain.

•Implement a tool and study framework for identifying complementary ancillary service needs for increasing proportions of non-traditional resources

May 21, 2013