Minnesota Biennial Transmission. Zone Meeting 8

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1 Minnesota Biennial Transmission Plan Zone Meeting 8

2 Today s Agenda Purpose of meeting Transmission What is it? How it works? Why improve it? System and Zone Overview Deficiencies Improvement Alternatives Public input Ideas, comments, suggestions

3 The Minnesota Transmission i System

4 Minnesota Transmission Utilities Primary participating transmission owners American Transmission Company Central Minnesota Municipal Power Agency Dairyland Power Cooperative East River Electric Power Cooperative Great River Energy Hutchinson Utilities Commission ITC Midwest L&O Power Cooperative Minnesota Power Minnkota Power Cooperative Missouri River Energy Services Otter Tail Power Company Rochester Public Utilities Southern Minnesota Municipal i Power Agency Willmar Municipal Utilities Xcel Energy

5 Minnesota Regulatory Oversight Minnesota Public Utilities Commission Central authority over state s transmission system Receives the biennial transmission plan Issues Certificates of Need Determines routing of transmission lines Reviews environmental impacts Extensive public processes

6 MN Biennial Transmission Plan A part of the Minnesota Energy Security and Reliability Act of 2001 Energy planning Conservation Infrastructure

7 State t Transmission i Plan (100kV( and over) Must be filed by November 1 of each oddnumbered year Input from public and local governments (zonal meetings) Present and foreseeable future transmission inadequacies Alternatives in addressing inadequacies General economic, environmental, and social issues associated with alternatives ti Next report: Due Nov. 1, 2009

8 MN State Plan Team

9 Midwest Reliability Organization In 2005 replaced MAPP as the area reliability council of NERC Participation by utilities and regulatory stakeholders Determine utility compliance with reliability standards and established criteria (MRO) (

10 Regional Transmission Organization Planning authority for MISO members (coordinates regional planning) Ensures equal access to transmission system Maintains or improves transmission reliability Transmission Owners Participation in RTOs is voluntary for utilities www. MidwestISO.org

11 mapp Association of electric utilities and other industry participants Planning Authority for MAPP members (review and approve transmission additions) Regional Transmission Group Facilitate open access to transmission Generation Reserve Sharing Pool Efficient sharing of available generation capacity

12 About Electricity Generally cannot be stored Generated and delivered the instant it is needed Carried by transmission from the generating plant to distribution points

13 How it works

14 Transmission s s Role#1 Transmission delivers electricity to substations Voltage is reduced and electricity is distributed to homes, businesses, farms

15 Transmission s Role # 2 To connect utilities together to enhance reliability

16 Transmission s Role # 3 Accommodate economic exchanges of electricity (wholesale market)

17 Transmission s i Role #4 Deliver Renewable Energy MN PUC Requirements to study alternatives Develop efficient transmission plan for renewable energy. Optimize delivery of renewable energy, while maintaining reliability. Studies are ongoing Dispersed Renewable Generation (Phase 1 and 2) Corridor Study ITC s Green Power Express

18 CapX2020 Three 345-kV projects One 230-kV project Certificates of Need granted All projects in various routing stages

19 Green Power Express Population Centers Green Power Express

20 Green Power Express ITC Holdings announced project in February 2009, concurrent with FERC filings to establish incentives, accounting treatment and a formula rate Network of 3,000 miles of 765 kv transmission lines to interconnect with the existing 765 kv network In Illinois and Indiana Would provide 10,000-12,000 MW transfer capacity to support over 20,000 MWs new wind generation Expected cost of $10 - $12 billion Set up to be a partnership ITC is discussing the project with utilities throughout the seven state project area Portions of the proposed project facilities are located in the West Central, Southeast, Southwest and Twin Cities Planning Zones Project in is MTEP 09 Appendix C and being considered in Midwest ISO planning studies

21 Renewable Energy Study Replace existing 230-kV line between Granite Falls and SW Twin Cities Replace with double-circuit 345-kV line Add line between LaCrosse and central Wisconsin Enable up to 7000 MW of energy from western MN and Dakotas Study available at

22 Distributed Renewable Generation Two phases of study mandated by Next Generation Energy Act of 2007 Phase 1: Identified areas to inject 600 MW of small (10-40 MW) energy projects Phase 2: Goal to identify additional 600 MW Results posted on Sept. 15. Results available at

23 Today s Challenges #1 Aging System Portions years old Limited expansion over last two decades Portions of system at or near capacity

24 Today s Challenges # 2 Growing Electric Usage Average electricity i usage in Minnesota has steadily grown % annually Some areas of Minnesota are growing faster than average Annual ups and downs in usage; historical upward trend continues Minnesota Electric Load

25 Today s Challenges # 3 New Generating Facilities Transmission facilities required with new generation Renewable energy resources (e.g. wind) Natural Gas Coal Nuclear Can t deliver generation without transmission

26 Today s Challenges # 4 Public Acceptance Is the transmission line needed? Reasonable cost? Reasonable route? Social impacts? Environmental impacts?

27 Reliability Standards - Analysis Load projections Operational records Historical load metering Voltage regulators inspection Voltage recorders Computer simulations i Comparison of computer model with operating records

28 Transmission Structures Various designs available depending on terrain, available ROW width, urban versus rural, etc. Different costs and capabilities associated with the different structure designs.

29 Develop Alternative Plans Enhance transmission to meet criteria Reconductor overload facilities Voltage upgrades Reconfigure network New transmission lines Compare alternative plans Cost Construction time Inter-utility tilit and public discussions (permitting)

30 Any Questions, so far? Typical project questions: Is the transmission line needed? Reasonable cost? Reasonable route? Social impacts? Environmental impacts? Are there alternatives?

31 West Central Zone Transmission i Projects

32 Includes: Benton Big Stone, Chippewa Douglas Grant Kandiyohi Lac Qui Parle Mcleod Meeker Pope Renville Sherburne Stearns Stevens Swift Traverse Wright

33 Completed Projects Tracking Number Utility Description PUC Docket Date Completed 2003-WC-N10 Ottertail Power Appleton Canby Rebuild 2005-WC-N3 Xcel Energy, Great 5-mile 115 kv line River Energy between Mary Lake and Buffalo Substations 2007-WC-N1 Great River Energy, Xcel Energy Construct new Mayhew Lake Substation CN April 2009 CN Early 2010 Permitted locally Stearns County Mid 2008

34 Willmar-Litchfield-Paynesville Area Project Need Serve the growing load of the area Improve reliability Issues Transmission equipment overload during contingency Low voltage problem during contingency Solution Establish a third source, Spicer 230/69 kv sub, and construct 69 kv lines to the Atwater and Grove City area Also construct double circuit 69 kv lines from Spicer to Green Lake to improve service to the Willmar area The line from Spicer to Atwater will be constructed to the 115 kv standard, but will be operated at 69 kv Convert load from 69 kv to 115 kv system

35

36 Panther Area Project Need Load growth in this are is slow yet it needs system improvement Large spot loads are present in the Olivia and Danube areas Issues Low voltage problems during contingency Panther 230/69 kv transformer overloads during contingencies Solution Add a second 230/69 kv transformer at Panther Construct McLeod to Brownton 115 kv line and establish a 11/69 kv source at Brownton

37

38 Douglas County-Paynesville-Wakefield- West St. Cloud Project Need Load Growth along the I-94 corridor Issues Low voltage problems during contingency System intact and contingency transmission equipment overloading issues Solution Construct a 115 kv line from Alexandria to West St. Cloud Establish a 115/69 kv source at Albany Convert the substation, such as Sauk Center and Melrose, to the 115 kv system

39

40 West St. Cloud Area Project Need Load growth in the West St. Cloud area and along the I-94 Corridor Issues Low voltage problems in the West St. Cloud area during contingency West St. Cloud 115/69 kv transformer overload Solution Convert the LeSauk and Westwood 69 kv distribution substation to the 115 kv system, which is located at a very close proximity to these substations Install a larger transformer at the West St. Cloud 115/69 kv substation Long-term solution for the area is included din the Douglas County-Paynesville-Wakefield-West St. Cloud Area discussion

41

42 Sartell Distribution Substation Project Need Load Growth in the Sartell area Improve service in the area at system intact or contingency cases Issues Loading issues in the existing distribution substations, such as LeSauk and Westwood subs Solution Establish a new sub in the Sartell area Serve growing loads from Sartell sub Relieve loading from LeSauk and Westwood subs by taking loads off from these sub to the Sartell sub Establish backfeeding skim between Sartell, LeSauk and Westwood substations

43

44 Wakefield Paynesville Maple Lake Area Project Need Load growth along highway 55 The 69 kv system being old and has had reliability concerns in the past Issues Low voltage problems in the Watkins, Fairhaven, Luxemburg area Line overload on the Maple Lake Watkins 69 kv system Solution Rebuild the Maple Lake to Watkins 69 kv line Build new 69 kv line from Paynesville to Watkins

45

46 Elk River-Becker Area Project Need Line overloads in Elk River, Big Lake, and Becker areas Transformer overloads in Elk River and Becker areas Issues Existing 69 kv transmission feed is nearing loading limits Transformer loadings nearing capacity Highway 10 corridor is largely undeveloped Solution 2 nd Liberty 115/69 kv transformer Alternatives are under review New area bulk transmission substation (345 kv or 230 kv)

47

48 Big Stone Interconnection Project Need Big Stone II Issues Additional Outlet capacity needed Solution Big Stone Johnson Jct. Morris 230 kv line with a Big Stone Canby Granite Falls 230 kv line

49

50 Rugby Wind Project Project Need Rugby Wind Project would cause a transient voltage problem at the Paynesville 230 kv bus in Minnesota. Issues The connection would cause a transient voltage problem at the Paynesville 230 kv bus in Minnesota. Solution increasing one of the 20 MVAR capacitor banks to 30 Mvar at the Paynesville 115 kv bus

51

52 CapX 2020 Projects Tracking Numbers CX-1 (Twin Cities Fargo 345 kv) 2005-CX-2 (Southeast Twin Cities Brookings County 345 kv) Discussion. The CapX 2020 Projects are discussed in detail in Section 5. One of the three CapX lines (2005-CX-1) is a 345 kv line from Fargo to Alexandria to Benton County, part of which will be located in the West Central Zone. Another CapX line (2005-CX-2) located partially in the West Central Zone is a 345 line from Brookings, South Dakota, to the Southeast Twin Cities.

53 Project Need Morris Grant County 115 kv Line Big Stone II impacts line Issues Line overloads Solution Rebuild line with larger conductor

54

55 West tcentral lminnesota Generation Outlet t Project Need Generation outlet studies focused on moving wind energy from the Buffalo Ridge area to the Twin Cities load center have identified the Granite Falls to Blue Lake 230 kv line as the next most limiting facility in the region Solution Projects identified in the southwest zone

56

57 Project Need St. Cloud Area Load Growth along the I-94 corridor Issues The total load exceeds the capability of the 115 kv loop to supply the area during a contingency Solution Construction of a new bulk supply source

58

59 Osakis Sauk Centre Project Need Outage of the Black Oak Grove 69 kv line will result in low voltage at Sauk Centre Substation Issues Low voltage problems during contingency Solution This situation can be helped (but not entirely resolved) d)by the solution to the Douglas County Paynesville Wakefield West St. Cloud Add Capacitors or rebuild 69kV line

60

61 Douglas County Area Project Need Douglas County 115/69 kv transformer is the main source for the 69 kv lines between Paynesville and Douglas County Issues The loss of this transformer will result in severe low voltages in the area. Solution Adding a second 70 MVA 115/69 kv transformer at Douglas County Substation.

62

63 Maynard - Kerkhoven Project Need The existing Maynard Kerkhoven Tap 115 kv line contains ti approximately tl 14 miles of flow-capacity conductor that overloads during outage of the Granite Falls Willmar 230 kv line Issues Issues Conductor overloads as a result of this contingency Solution Rebuild the low-capacity conductor to a higher capacity

64

65 Brooten Lowry area Project Need relatively low load growth, and is served by very low capacity lines with high h impedance Improve reliability Issues Transmission i equipment overload dduring contingency Low voltage problem during contingency Solution Reconductoring the line from grove Lake switching station ti to Lowery will result in reducing the impedance sufficiently improve the voltages in the area Recondutoring the line will also replace the aging glines in the study area thereby improving the reliability

66

67 Contact Us Website: Phone/ Brian Zavesky Missouri River Energy Services 3724 West Avera Drive Sioux Falls, SD

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