4.7: New Jersey RTEP Overview

Transcription

1 State RTEP Overview Section PJM DE DC IL IN KY MD MI NJ NC OH PA TN VA WV.7: New Jersey RTEP Overview MAP.26: PJM Service Area in New Jersey PJM operates the electric transmission system for the delivery area served by several Transmission Owners in New Jersey: Atlantic Electric (AE), Jersey Central Power & Light (JCPL, a subsidiary of FE/GPU), Public Service Electric & Gas Company (PSEG) and Rockland Electric Company (Rockland) as shown on MAP.26. The Neptune Regional Transmission System interconnects with the transmission system in New Jersey at Sayreville substation. The transmission system in New Jersey delivers power to customers from native generation and from power imported from adjacent systems west and south. New Jersey also exports power to New York and wheels energy from upstate New York to New York City. Critical RTEP Issues and Upgrades Since 2003, a number of factors have continued collectively and progressively to reduce system reliability in eastern Mid-Atlantic PJM: Load growth Power exports to New York City and Long Island over merchant transmission facilities Deactivation/retirement of generation resources Sluggish development of new generating facilities Continued reliance on transmission to meet load deliverability requirements and to obtain access to more economical sources of power west of the Delaware River. PJM 2007 Regional Transmission Expansion Plan 221

2 Section State RTEP Overview TABLE.26: Critical Issues in New Jersey RTEP Topic Report Sections Importance to New Jersey Wind and other renewables Susquehanna - Lackawanna - Jefferson - Roseland 500 kv Line Amos - Bedington - Kemptown 765 & 500 kv Line Mid-Atlantic Power Pathway (MAPP) Transmission Line 2.2.3, 2.2., , 3.2, 3.5.5, , 3.3, 3.5.5, 3.7.5, 3.8.5, , 3., 3.5.5, Load Growth Trends 2.1,.0.2, 5.1 Generator Deactivations 2.3, Potential for wind and other renewable generating resources in the state Alleviating constrained power transfers, the result of deliverability based NERC criteria violation overload(s) beginning in 2015 Alleviating constrained power transfers, the result of deliverability based NERC criteria violation overload(s) beginning in 2012 Alleviating constrained power transfers, the result of deliverability based NERC criteria violation overload(s) beginning in year forecasted peak power demand for TO zones within state Impact of generation removed from the system, the result of requested deactivation. Generator Interconnection Plans 2.2, 3.5.3,.7.2 New sources of electric power for the state. Merchant Transmission Interconnection Plans 2., 3.5. Impact of merchant transmission projects on the state. Additional Reliability Issues and Approved Upgrades Additional Backbone Facilities Under Consideration 3.10 Improvements to PJM RTEP Process 5.0, 5.1 RTEP Extrinsic factors 5.0, 5.2 Alleviating TO zone-specific baseline reliability violations within the state. Ongoing assessment of need for new backbone transmission facilities. Market Efficiency studies, cost allocation, queue process, RPM FERC Order 890, NERC/RFC, NIETC corridor, environmental public policy Present trends indicate that reliability criteria violations will continue to be identified in New Jersey and other areas of eastern Mid-Atlantic PJM where similar conditions exist. TABLE.26 summarizes key critical issues facing New Jersey discussed in this report. 222 PJM 2007 Regional Transmission Expansion Plan

3 State RTEP Overview Section.7.1 Load Growth and Existing Generation Internal Load Growth Native New Jersey load is served over the transmission systems of the Transmission Owners operating in New Jersey: AE, JCPL, PSEG and Rockland. The load growth forecasts for the geographic area served by Transmission Owners are shown in TABLE.1 in Section.0.2. The summer peak load growth rate for these four zones ranges from 0.5% to 2.0% annually over the 10- year period through Forecasted loads are modeled in power flow studies used to develop PJM s RTEP through December PJM s RTEP includes baseline transmission upgrades in New Jersey to meet expected 2012 peak load conditions. Beyond 2012, additional transmission system expansion will be needed to meet expected peak load supply requirements. Exports by Merchant Transmission Exports to New York have the impact of new load in New Jersey. Merchant transmission projects either in service or currently active in the interconnection queue for the purpose of delivering capacity and energy from New Jersey to New York include: The Neptune HVDC project (685 MW) The Linden VFT project (330 MW) The Bergen O66 project (670 MW) The Bergen Q75 project (1200 MW) As a result of these facilities, the impact of internal New Jersey load growth is compounded by the stresses on the transmission system of FIGURE.1: Existing Installed Capacity in New Jersey, by Fuel Type Nuclear - 3,98 MW Kerosene - 2,598 MW potentially having to accommodate more than 2,800 MW of planned exports of power from eastern PJM to New York City and Long Island and energy wheeled from upstate New York to New York City. About one-quarter of that amount 685 MW - began in July 2007 with the commercial operation of the Neptune project. Existing Generating Capability FIGURE.1 provides a snapshot of the existing installed capacity by fuel type in the TO zones that serve New Jersey. Coal - 2,061.9 MW Natural Gas - 6,731 MW Other - Gas - 19 MW Other - Solid - 10 MW Oil MW Hydro - 05 MW Distillate Oil MW PJM 2007 Regional Transmission Expansion Plan 223

4 Section State RTEP Overview.7.2 Generator Interconnection Requests PJM has received interconnection requests for nearly 150 new generating resources proposed for installation in New Jersey since 1999, summarized in the table below. MW # of Projects In-Service, Under Construction 51 6 Active 8,85 38 Withdrawn 23,23 67 TOTAL 36, TABLE.27 includes generating resource interconnection requests located in New Jersey. PJM received these requests during the windows of time associated with Queues A through T (as of December 31, 2007). The generator interconnection projects in this table are either under construction or active in PJM s interconnection process. Section 2.2 of this report describes how generation interconnection requests are modeled in RTEP studies. For this report, generating resources that are fully in-service (designated IS ) are included in the summary tabulation above but are NOT separately enumerated in TABLE.27. A status code of IS-NC (in-service, no capacity) indicates a generator that is in-service for energy only. Such units have not requested consideration for capacity status. A status code of ISP (in-service, partial) denotes a generating resource that is only partially in-service and has not reached full capacity status. TABLE.27: Queued Generator Interconnection Requests in New Jersey Queue Project Name MW MWC Status Schedule TO Fuel Type B19 Melrose 3.5 kv IS-NC /6/2001 JCPL Natural Gas G20 Essex 6 6 IS-NC 6/1/2003 PSEG Natural Gas H17 Salem 500 kv ISP 6/1/2008 PSEG Nuclear H18 Hope Creek 500 kv ISP 12/1/2007 PSEG Nuclear H19 Hope Creek 500 kv 3 3 UC 12/1/2007 PSEG Nuclear J05 Huron 69 kv 8 8 ISP 7/30/2003 AEC Natural Gas K0 Camden 26 kv 5 ISP 6/30/2005 PSEG Methane N27 Pequest River 3.5 kv IS-NC 7/1/2006 JCPL Methane O11 Bustelton 13 kv IS-NC 6/1/2007 PSEG Methane O20 Lakehurst 3.5 kv IS-NC 12/31/2006 JCPL Methane P06 Cumberland 230 kv ACTIVE 12/31/2008 AEC Natural Gas P23 Bayonne 138 kv ACTIVE 6/1/2007 PSEG Natural Gas Q08 Red Oak 230 kv ACTIVE 6/1/2008 JCPL Natural Gas Q11 Red Oak 230 kv ACTIVE 6/1/2008 JCPL Natural Gas Q22 Columbia 3.5 kv UC 12/26/2006 JCPL Hydro Q1 Mt. Hope Mine 3.5 kv 30 ACTIVE 1/1/2008 JCPL Biomass Q7 Linden 230 kv ACTIVE 6/1/2009 PSEG Oil Q76 Quinton 12 kv 2 2 ACTIVE 11/1/2008 AEC Methane Q86 Hudson - Essex 230 kv ACTIVE 5/31/2009 PSEG Natural Gas Q90 Mickleton 230 kv ACTIVE 6/1/2012 AEC Coal R11 South River 230 kv ACTIVE 6/30/2009 JCPL Natural Gas R23 Lakewood 230 kv ACTIVE 1/1/2007 JCPL Natural Gas R39 Red Oak 230 kv ACTIVE 8/1/2009 JCPL Natural Gas R58 Gloucester 230 kv ACTIVE 6/1/2008 PSEG Natural Gas R66 Fair Lawn 138 kv ACTIVE 3/1/2007 PSEG Natural Gas R7 Carlls Corner.8.8 ACTIVE 6/1/2008 AEC Methane R91 Columbus-NJ ACTIVE 6/1/2007 PSEG Methane S25 Parlin 230 kv ACTIVE 7/1/2007 JCPL Natural Gas S3 Vineland ACTIVE 6/1/2008 AEC Oil 22 PJM 2007 Regional Transmission Expansion Plan

5 State RTEP Overview Section TABLE.27: Queued Generator Interconnection Requests in New Jersey (Continued). Queue Project Name MW MWC Status Schedule TO Fuel Type S60 Essex 26 kv ACTIVE 6/1/2008 PSEG Natural Gas S61 Tosco 230 kv ACTIVE 7/1/2007 PSEG Natural Gas S121 Vineland 69 kv ACTIVE 7/1/2008 AEC Natural Gas S122 Churchtown Cumberland 230 kv ACTIVE 11/1/2009 AEC Natural Gas T1 Kearny 230 or 138 kv ACTIVE 6/1/2010 PSEG Natural Gas T2 Kearny 230 or 138 kv ACTIVE 6/1/2011 PSEG Natural Gas T3 Essex 230 kv ACTIVE 6/1/2010 PSEG Natural Gas T Essex 230 kv ACTIVE 6/1/2011 PSEG Natural Gas T5 Hudson 230 kv ACTIVE 6/1/2011 PSEG Natural Gas T5 Cumberland 138 kv ACTIVE /1/2009 AEC Natural Gas T55 Sherman Ave ACTIVE /1/2009 AEC Natural Gas T57 Middle ACTIVE /1/2009 AEC Oil T59 Mickleton ACTIVE /1/2009 AEC Natural Gas T60 Missouri Ave ACTIVE /1/2009 AEC Oil T61 Cedar ACTIVE /1/2009 AEC Oil T63 Carlls Corner ACTIVE /1/2009 AEC Natural Gas T75 South River 230 kv ACTIVE 9/25/2007 JCPL Natural Gas T76 South River 230 kv 0 0 ACTIVE 6/15/2009 JCPL Natural Gas T77 Linden 230 kv 6 6 ACTIVE 10//2007 PSEG Natural Gas T81 Cedar 230 kv ACTIVE 12/31/2012 AEC Wind T82 Cardiff 230 kv ACTIVE 12/31/2012 AEC Wind T83 Merion 138 kv ACTIVE 12/31/2012 AEC Wind T8 Corson 138 kv ACTIVE 12/31/2012 AEC Wind T98 South Mahwah 69 kv 6 6 ACTIVE 10/29/2007 RE Natural Gas T107 Essex 230 kv ACTIVE 1/31/2012 PSEG Natural Gas T119 Sewaren 230 kv ACTIVE 1/1/2011 PSEG Natural Gas PJM 2007 Regional Transmission Expansion Plan 225

6 Section State RTEP Overview FIGURE.15: Queued Capacity by Fuel Type in New Jersey A generating unit is ineligible for full capacity status until all transmission upgrades needed to ensure deliverability are completed. Only then will PJM grant capacity status designation. FIGURE.15 shows the capacity rights requested, by fuel type, for generator interconnection requests in Queues A through T located in New Jersey and in-service (as of December 31, 2007), under construction or active in PJM s interconnection process. MAP.27 and MAP.28 show the locations of each queued request in TABLE.27 for northern New Jersey and southern New Jersey, respectively. Oil, 658 MW Wind, 1,07.5 MW Natural Gas, 10,28.3 MW Diesel, 8 MW Methane, 3. MW Nuclear, 331 MW Biomass, 30 MW Hydro, 0.5 MW Coal, 650 MW 226 PJM 2007 Regional Transmission Expansion Plan

7 State RTEP Overview Section MAP.27: Queued Generation Interconnection Requests in Northern New Jersey PJM 2007 Regional Transmission Expansion Plan 227

8 Section State RTEP Overview MAP.28: Queued Generation Interconnection Requests in Southern New Jersey 228 PJM 2007 Regional Transmission Expansion Plan

9 State RTEP Overview Section.7.3 Anticipated Generation Deactivations Known generator deactivations in New Jersey between October 2003 and December 2007 are summarized in TABLE.28 and shown in MAP.29. The absence of these units has a quantifiable impact on baseline reliability in New Jersey, compounded by forecasted summer peak load growth and sluggish new generation development. Major transmission upgrades required to address baseline reliability issues driven by these deactivations are summarized in Section.7.5 together with other known baseline reliability transmission needs. In addition, Section of this report addressed generator deactivation not only in New Jersey but throughout the rest of eastern Mid-Atlantic PJM as well. Neither New Jersey, nor any state within PJM, acts in isolation. Understanding system conditions throughout eastern Mid-Atlantic PJM in particular is key to understanding impacts on New Jersey itself. Thus, while this report provides results in Section on a state-by-state basis, RTEP analysis is based on the aggregate requirements of the entire PJM system. NOTE PSEG indicated in July 2007, that Hudson Unit #2, originally considered for deactivation as late as November 2006, will remain operational. Accordingly, PSEG has withdrawn its deactivation request. TABLE.28: Generation Deactivations in New Jersey Retirement Date Generator TO Capacity (MW) Status Oct-03 Hudson 3 CT PS 129 No Reliability Issues Feb-0 Sayreville JC 11 Reliability Issues Identified and Resolved Feb-0 Sayreville 5 JC 115 Reliability Issues Identified and Resolved Apr-0 Burlington PS 208 No Reliability Issues Apr-0 Burlington 105 PS 52 No Reliability Issues Jun-0 Sherman VCLP AE 6.6 No Reliability Issues Jan-05 Riegel Paper NUG (Milford Power LP) JC 27 No Reliability Issues May-05 Deepwater CT A AE 19 Reliability Issue resolved (Blackstart) Jun-05 Kearny 7 PS 150 Reliability issue identified and resolved Jun-05 Kearny 8 PS 150 Reliability issue identified and resolved Jun-05 Howard M. Down (Vineland) Unit 7 AE 8 No Reliability Issues Oct-05 DSM (Hoffman LaRoche) JC 9 No Reliability Issues Oct-05 Newark Boxboard PS 52 May-06 Bayonne CT1 PS 21 No Reliability Issues May-06 Bayonne CT2 PS 21 No Reliability Issues Sep-10 Hudson 1 PS 383 Reliability issue identified and expected to be resolved by 6/2007 Reliability Issues Identified - Unit retained through summer 2010 Deactivated 1/9/2006, Reactivated for 6/1/2007 Prime Energy (Marcal) PS 7 No Reliability Issues Deactivated /10/2006, Reactivated for 6/1/2008 Parlin JC 11 No Reliability Issues Deactivated 6/1/2006, Reactivated for 6/1/2008 Howard M. Down (Vineland) Unit 9 AE 17 No Reliability Issues Deferred Glen Gardner 1&5 JC 0 Reliability Issue - Blackstart Deferred Gilbert 1& CTs JC 50 Reliability Issue - Blackstart PJM 2007 Regional Transmission Expansion Plan 229

10 Section State RTEP Overview TABLE.28: Generation Deactivations in New Jersey, Cont. Retirement Date Generator TO Capacity (MW) Status Withdrawn Gilbert 2 & 3 CTs JC 8 No Reliability Issues Withdrawn Glen Gardner 2-, 6-8 CTs JC 120 No Reliability Issues Withdrawn Werner 1- CTs JC 212 No Reliability Issues Withdrawn Hudson 2 PS 608 Reliability Issues Identified Withdrawn B L England 1 AE 129 Withdrawn B L England 2 AE 155 Withdrawn B L England 3 AE 155 Withdrawn B L England IC1-IC AE 8 Withdrawn Sewaren 1 PS 10 Withdrawn Sewaren 2 PS 118 Withdrawn Sewaren 3 PS 107 Withdrawn Sewaren PS 12 Reliability Issues Identified and expected to be resolved by 12/2007 Reliability Issues Identified and expected to be resolved by 12/2007 Reliability Issues Identified and expected to be resolved by 12/2007 Reliability Issues Identified and expected to be resolved by 12/2007 Reliability Issues Identified - Unit retained through summer 2008 Reliability Issues Identified - Unit retained through summer 2008 Reliability Issues Identified - Unit retained through summer 2008 Reliability Issues Identified - Unit retained through summer PJM 2007 Regional Transmission Expansion Plan

11 State RTEP Overview Section MAP.29: Generation Deactivations in New Jersey PJM 2007 Regional Transmission Expansion Plan 231

12 Section State RTEP Overview.7. Merchant Transmission Interconnection Requests Merchant transmission interconnection requests queued in PJM that include a terminal in New Jersey are shown in TABLE.29 and shown on MAP.30. PJM s RTEP, representing plans completed and approved by the PJM Board through December 2007 currently only encompasses the upgrades required to accommodate the Linden VFT and Bergen HVDC merchant transmission interconnection requests. TABLE.29: Merchant Transmission Interconnection Request Activity in New Jersey Queue Project Name MW Status Schedule TO Project Type G22_MTX5 Linden 230 kv 300 UC 3/31/2009 PSEG VFT O66 Bergen 230 kv 670 ACTIVE 7/1/2009 PSEG DC Q75 Bergen 230 kv 1,200 ACTIVE 6/1/2010 PSEG S68 Sayreville 230 kv 660 ACTIVE 12/31/2007 JCPL S10 Linden 230 kv 200 ACTIVE 6/1/2011 PSEG DC The Linden VFT project (G22_MTX5) will connect PSEG s 230 kv transmission system in the Linden area with ConEd s Goethals 35 kv substation on Staten Island. The project, under construction, will consist of three variable frequency transformers and permit 330 MW of firm transmission withdrawal rights. A th quarter 2009 in-service date is currently anticipated. The Bergen HVDC (O66) project (Hudson Transmission Project) proposal would interconnect PSEG and New York City, from PSEG s Bergen 230 kv substation in northern New Jersey to Consolidated Edison s W. 9th Street 35 kv substation. Firm Transmission Withdrawal Rights of 670 MW are requested. A late 2010 in-service date is currently anticipated. If constructed, the facility will withdraw 670 MWs of firm energy from Bergen station in northern New Jersey. A facilities study was underway as of December 31, System Impact study results have revealed that the 670 MW withdrawal of power at Bergen would introduce almost two dozen overloads, requiring $50 million of network upgrades throughout the PSEG, JCPL, METEd, PENELEC, PPL, PEPCo and Dominion TO zones. Half of these overloads would be expected to occur prior to In addition, the following merchant transmission projects are also under development: The Bergen 230 kv project at queue position Q75 would include an AC circuit with Phase Angle Regulator control. PJM has completed a Feasibility Study with a requested 1,200 MW firm withdrawal from Bergen. The study revealed the need for over 1,200 reinforcements in New Jersey and other areas of PJM caused by reliability criteria violations. While specific individual fixes for each of the individual overloaded facilities have not been fully determined, based upon the extent of the upgrades required, PJM estimates that $500 million or more of network upgrades will be required. Detailed system reinforcements are being identified and estimated in the System Impact Study for this project. PJM s queue also includes two additional merchant transmission requests S68 and S10 which are in the Feasibility Study phase of PJM s RTEP interconnection process. Additional discussion of the impact of merchant transmission interconnection requests on eastern Mid-Atlantic PJM can be found in Section The System Impact Study for Project Q75 was NOTE issued on February 12, 2008, identifying the need for over $1.1 billion of network upgrades to permit interconnection of this project. 232 PJM 2007 Regional Transmission Expansion Plan

13 State RTEP Overview Section MAP.30: Merchant Transmission Interconnection Requests in New Jersey PJM 2007 Regional Transmission Expansion Plan 233

14 Section State RTEP Overview.7.5 Transmission Expansion Plans in New Jersey TABLE.30 summarizes new RTEP planned transmission upgrades for New Jersey as approved by the PJM Board during MAP.31 shows the location of upgrades enumerated in TABLE.30. System reliability trends that have emerged in New Jersey, and throughout eastern PJM, over the past ten years constitute a classic system planning study: Growing native load Deactivation/reactivation of existing generation resources Sluggish development of new generating resources Continued reliance on transmission to meet load deliverability requirements and access to cheaper sources of power from west of New Jersey Exports to New York Together, these collectively have a growing negative impact on sustained system reliability in New Jersey and throughout eastern Mid- Atlantic PJM. The extent to which eastern Mid-Atlantic PJM continues to rely on transfers into the area to meet load-serving needs also has a quantifiable, negative impact on the high voltage backbone transmission system west and southwest of New Jersey. Three new major backbone transmission facilities have been approved by the PJM Board in 2007 to resolve growing reliability criteria violations in eastern Mid-Atlantic PJM and west/central Pennsylvania, upgrades that are now part of PJM s RTEP: Susquehanna Lackawanna Jefferson Roseland 500 kv circuit Amos Bedington Kemptown 765 & 500 kv circuit Possum Point Calvert Cliffs Indian River Salem 500 kv Circuit; Mid-Atlantic Power Pathway (MAPP) These are discussed in Section Transmission Upgrades Approved Prior to 2007 Transmission expansion upgrades approved by the PJM Board prior to 2007 are summarized in TABLE.31 and MAP.32. Additional discussion of these upgrades can be found in the February 27, 2007 PJM Regional Transmission Expansion Plan which can be found online at: planning/reg-trans-exp-plan.html. A complete listing of all system reinforcements approved by the PJM Board can be found online at: upgrade-projects.html. 23 PJM 2007 Regional Transmission Expansion Plan

15 State RTEP Overview Section TABLE.30: New Major Transmission Upgrade Plans in New Jersey Approved During 2007 System Upgrade Drivers Baseline Upgrades Network Upgrades Supplemental Upgrade Transmission Service MAP Ref. Limiting Facility / Upgrade Description Baseline Load Growth/ Deliverability & Reliability Congestion Relief Economic Operational Performance Generator Deactivation Generation Interconnection Merchant Transmission Interconnection TO Local Issue Long-term Firm Transmission Service Date / Status Cost TO Zones States 1 Saddle Brook Athenia 230 kv Increase the emergency rating of Saddle Brook - Athenia 230 kv by 25% by adding forced cooling June 2012 $ 25 M PSEG NJ 2 Deliverability and other reliability criteria violations in 15 year analysis- Construct a Susquehanna - Roseland 500 kv circuit (PSEG equipment) June 2012 $ 606 M PSEG NJ 3 Chichester Mickleton 230 kv Loop the 5021 circuit into New Freedom 500 kv substation November 2008 $ 17 M PSEG NJ Kittatinny Newton 230 kv line Upgrade 230 kv of PSEG side with double 1033 ACSS conductors O66 June 2009 $ 75 M PSEG NJ 5 Branchburg Flagtown 230 kv Line Upgrade 230kV with 2x1033 ACSS ( mi) O66 June 2009 $ 12 M PSEG NJ 6 Somerville Flagtown 230 kv line Upgrade 230kV with 2x1033 ACSS (5.25 mi) O66 June 2009 $ 15 M PSEG NJ 7 Newton Montville 230 kv line Upgrade 230 kv PSEG side of the circuit O66 June 2009 $ 20 M PSEG NJ 8 Athenia Saddlebrook 230 kv line New 230 kv Parallel Circuit O66 June 2009 $ 25 M PSEG NJ PJM 2007 Regional Transmission Expansion Plan 235

16 Section State RTEP Overview TABLE.30: New Major Transmission Upgrade Plans in New Jersey Approved During 2007 System Upgrade Drivers Baseline Upgrades Network Upgrades Supplemental Upgrade Transmission Service MAP Ref. Limiting Facility / Upgrade Description Baseline Load Growth/ Deliverability & Reliability Congestion Relief Economic Operational Performance Generator Deactivation Generation Interconnection Merchant Transmission Interconnection TO Local Issue Long-term Firm Transmission Service Date / Status Cost TO Zones States 9 Saddlebrook Maywood 230 kv line New 230 kv Parallel Circuit O66 June 2009 $ 15 M PSEG NJ 10 New Milford Leonia 230 kv line New 230 kv Parallel circuit O66 June 2009 $ 30 M PSEG NJ 11 Maywood New Milford 230 kv line New 230 kv Parallel circuit O66 June 2009 $ 25 M PSEG NJ 12 Montville Roseland 230 kv line Upgrade 230 kv (8 mi O66 June 2009 $ 12 M PSEG NJ 13 Readington Roseland 230 kv line Upgrade 230 kv O66 June 2009 $ 10 M PSEG NJ 1 Hudson 230 kv substation 230 kv substation O66 June 2009 $ 1.35 M PSEG NJ 15 Roseland Kearny 230 kv line Convert the 138 kv D circuit from Roseland to Kearny to 230 kv and terminate the circuit at Roseland 230 kv and Hudson 230 kv substations O66 June 2009 $ 125 M PSEG NJ 236 PJM 2007 Regional Transmission Expansion Plan

17 State RTEP Overview Section MAP.31: Major Transmission Upgrades in New Jersey Approved During 2007 The right-of-way route shown on this map is for illustrative purposes only and may not depict the actual route that may eventually be chosen. Substation locations may also be modified if a more beneficial connection is determined by PJM. PJM 2007 Regional Transmission Expansion Plan 237

18 Section State RTEP Overview MAP.32: Transmission Upgrades in New Jersey Approved prior to 12/31/ PJM 2007 Regional Transmission Expansion Plan

19 State RTEP Overview Section TABLE.31: Existing Major Transmission Upgrade Plans in New Jersey Approved Prior to 12/31/06 System Upgrade Drivers Baseline Upgrades Network Upgrades Supplemental Upgrade Transmission Service MAP Ref. Limiting Facility / Upgrade Description Baseline Load Growth/ Deliverability & Reliability Congestion Relief Economic Operational Performance Generator Deactivation Generation Interconnection Merchant Transmission Interconnection TO Local Issue Long-term Firm Transmission Service Date / Status Cost TO Zones States 1 Bergen Leonia Circuit Convert the Bergen Leonia 138 kv circuit to 230 kv circuit. June 2008 $ 25 M PSEG NJ 2 AE Transmission Voltage Circuits Dennis, Install Dennis 230/138 kv, Dennis 150 MVAR SVC and 50 MVAR capacitor March 2008 $ 27.5 M AEC NJ Install a new 500/230 kv substation in AE area, the high side will be tapped on the Salem East Windsor 500 kv circuit and the low side will be tapped on the Churchtown Cumberland 230 kv circuit. December 2008 $ M AEC NJ 3 Metuchen 230/138 kv Transformer Install 230/138 kv transformer at Metuchen substation June 2009 $ 29 M PSEG NJ Branchburg Flagtown 230 kv Build a new 230 kv section from Branchburg Flagtown and move the Flagtown Somerville 230 kv circuit to the new section June 2009 $ 17 M PSEG NJ 5 Flagtown Somerville Bridgewater 230 kv circuit Reconductor the Flagtown Somerville Bridgewater 230 kv circuit with 1590 ACSS June 2008 $ 12 M PSEG NJ 6 Portland Greystone 230 kv Circuit Upgrade the Portland Greystone 230 kv circuit June 2008 $ 20 M JCPL NJ PJM 2007 Regional Transmission Expansion Plan 239

20 Section State RTEP Overview TABLE.31: Existing Major Transmission Upgrade Plans in New Jersey Approved Prior to 12/31/06, Cont. System Upgrade Drivers Baseline Upgrades Network Upgrades Supplemental Upgrade Transmission Service MAP Ref. Limiting Facility / Upgrade Description Baseline Load Growth/ Deliverability & Reliability Congestion Relief Economic Operational Performance Generator Deactivation Generation Interconnection Merchant Transmission Interconnection TO Local Issue Long-term Firm Transmission Service Date / Status Cost TO Zones States 7 Roseland 230/138 kv Transformer # Replace both 230/138 kv transformers at Roseland June 2009 $ 15 M PSEG NJ 8 Voltage Drop Problems in JCPL and PSEG Install 600 MVAR Dynamic Reactive Device in the Whippany 230 kv vicinity 9 Kittatinny Newton 230 kv Reconductor the PSEG portion of Kittatinny Newton 230 kv circuit w/ 1590 ACSS June 2010 $ 35 M JCPL NJ June 2011 $ 20 M PSEG NJ 20 PJM 2007 Regional Transmission Expansion Plan

21 State RTEP Overview Section.7.6 Interconnection Requests for Generation Powered by Renewable Fuel Sources PJM s RTEP process offers a structure that assures consistent, equal opportunity across fuel types while flexible enough to adapt to specific technical realities and market challenges. Presently, PJM s queues include interconnection requests in New Jersey for plants fueled by wind, hydro, biomass and methane, as summarized in TABLE.32 and shown on MAP.33. While some renewable resources can operate in a manner similar to the traditional fossil fueled power plants, other renewable energy sources, such as wind, are recognized as intermittent resources. Their ability to generate power is directly determined by the immediate availability and/or magnitude of their specific fuel. For example, wind turbines can generate electricity only when wind speed is within a range consistent with the physical specifications of the related turbines. This presents challenges with respect to real-time operational dispatch and specific capacity value. To address the latter issue, PJM has established a set of business rules unique to intermittent resources that provide for the determination of credible capacity values robust enough to represent capacity during the PJM summer peak period. TABLE.32: Interconnection Requests by Renewable Fuel Type in New Jersey Queue Project Name MW MWC Status Schedule TO Fuel Type K0 Camden 26 kv 5 ISP 6/30/2005 PSEG Methane Q22 Columbia 3.5 kv UC 12/26/2006 JCPL Hydro Q1 Mt. Hope Mine 3.5 kv 30 ACTIVE 1/1/2008 JCPL Biomass Q76 Quinton 12 kv 2 2 ACTIVE 11/1/2008 AEC Methane R7 Carlls Corner.8.8 ACTIVE 6/1/2008 AEC Methane R91 Columbus-NJ ACTIVE 6/1/2007 PSEG Methane T81 Cedar 230 kv ACTIVE 12/31/2012 AEC Wind T82 Cardiff 230 kv ACTIVE 12/31/2012 AEC Wind T83 Merion 138 kv ACTIVE 12/31/2012 AEC Wind T8 Corson 138 kv ACTIVE 12/31/2012 AEC Wind NOTE As a matter of internal RTO process and accounting, hydro plants are not categorized as renewable resources. However, PJM understands that some states account for hydro as a renewable and, thus, to facilitate state understanding of such activity, hydro is enumerated here merely for reporting purposes. PJM 2007 Regional Transmission Expansion Plan 21

22 Section State RTEP Overview MAP.33: Interconnection Requests by Renewable Fuel Type 22 PJM 2007 Regional Transmission Expansion Plan