Agenda Day 2 Preliminary Reliability Assessment Results

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Agenda Day 2 Preliminary Reliability Assessment Results Kristina Osborne Stakeholder Engagement and Policy Specialist 2014-2015 Transmission Planning Process Stakeholder Meeting September 24-25, 2014

2014-2015 Transmission Planning Process Stakeholder Meeting - Today s Agenda Topic Presenter Introduction SDG&E Proposed Reliability Solutions SCE Proposed Reliability Solutions VEA Proposed Reliability Solutions PG&E Proposed Reliability Solutions Next Steps Kristina Osborne - ISO Fidel Castro SDG&E Jonathan Yuen - SCE Chris Tomchuk - VEA Kelly Dichoso, Meng Zhang & Prabodh Bhusal - PG&E Kristina Osborne - ISO Page 2

2014 Grid Assessment Results CAISO Stakeholder Meeting September 24-25, 2014 2001 San Diego Gas and Electric. All copyright and trademark rights reserved.

Agenda Introduction San Diego Area Summary Objectives SDG&E Grid Assessment Study 2014 Study Scope Expansion Plan Summary Study Results & Expansion Plan Major Projects Small Projects Project Summaries Projects requiring CAISO approval New distribution substations 2

Introduction San Diego Area - Summary The assessment identified: Category B and Category C overloads Low steady-state voltage and voltage deviations on 69 kv substations driven by Category B contingencies Comparing to last year results: All Category B overloads until years 2019 and 2024 mitigated by projects and/or SPS 3

Introduction Objectives SDG&E Project Proposals Mitigate overloaded facilities Category B contingencies Mitigate voltage deviations Category B contingencies Operating procedures, SPS Category C contingencies 4

SDG&E Grid Assessment Study 2014 Study Assumptions Study years Five-Year Studies (2015-2019) Ten-Year Study (2024) Major assumptions CEC Load Forecast for San Diego Cabrillo II peakers retired in 2014 Pio Pico peakers online starting in year 2015 Encina retired end of year 2017 SX-PQ 230 kv line in study years 2017 and later CAISO-approved reactive power projects 2x225MVAr Synchronous Condensors at Talega 230kV in year 2015 2x225MVAr Synchronous Condensors at San Luis Rey 230kV in year 2016 1x375MVAr Synchronous Condensors at Miguel 500kV in year 2017 300MVAr Static VAr Compensator at Suncrest 230kV in year 2017 Imperial Valley Phase Shifter in year 2017 5

Expansion Plan Summary Project # Project Title ISO Status ISD Proposed Projects Requiring CAISO Approval P14XYZ HV AC/DC Alternatives Valley Inland Power Link Pending 2023 P14XYZ 2 nd Pomerado Poway 69kV Circuit Pending 2015/16 P14XYZ TL632A Granite Loop-In + Cancel TL631 Reconductor (Los Coches El Cajon) Pending 2015/16 P14XYZ TL692 Reconductor: Japanese Mesa Las Pulgas Pending 2015/16 New Distribution Substations Info Only Ocean Ranch Substation - 2019 Info Only Vine Substation - 2017 Info Only Salt Creek Substation - 2016 6

HV Transmission Lines Valley Inland Power Link Need Justification Meet G-1/N-1 and N-1-1 planning criteria Retirement of SONGS Retirement of Once Through Cooling (OTC) units in Southern California In Service Date = June, 2023 Evaluation Criteria Viable and Feasible Alternatives (Multi-Disciplinary) Reduce the Need for In-Basin Generation Transfer Capacity Potential Technologies AC 500 kv and/or 230 kv HVDC Voltage TBD (±320-500 kv) Line Commutated Converter (LCC) Voltage Source Converter (VSC) Overhead, Underground and Underwater 7

8

Valley Inland Power Link Summary of Justification 9 Necessary to meet WECC 2.5% and 5% reactive margin requirements Partially replace inertia and dynamic reactive capability of retiring OTC generation South Bay (2010 retirement) SONGS (2013 retirement) Encina (2017 OTC compliance date) Renewable Integration Provides dynamic reactive capabilities that typical wind and photovoltaic/solar cannot provide Import Capability Reduces the risk of voltage collapse during high import scenarios Operational Flexibility Improves 230 kv voltage control Increases secure operating range 9

Project Title: 2 nd Pomerado Poway 69kV Circuit Driving Factor: NERC Cat B Criteria Violations for a G-1/N-1 scenario Issues: G-1 of Palomar Energy and N-1 of TL23051 overloads TL6913: 5% in 2015 15% in 2024 Violation occurs PRE and POST Artesian East 230kV Expansion. Scope: Install a second Pomerado to Poway 69kV circuit to achieve a 155MVA rating. Circuit will be ~ 2.6miles Cost Range: $17M-$19M Alternatives/Cost Range: Exhausted all alternatives X To Bernardo Tap Artesian TL23051 TL616C TL6939 N-1 TL23051 District: North East Bernardo Palomar Energy Out-of-Service TL633 G Rancho Camel Need-Date June 2015 TL648 TL6913 5% OL in 2015 15% OL in 2024 on TL6924 To Warren Canton Tap Project: P14XYZ Poway Proposed New TL69XX Pomerado TL6915 TL6920 Sycamore Canyon Legend Contingency X Overloaded Conductor Substation 69 kv Line 230 kv Line

Project Title: District: Need-Date: Project: TL632A Granite Loop-In Eastern June 2015 P14XYZ Driving Factor: Mitigate overloads on TL631 Provide a third source into Granite. Removes existing 3-terminal tap. Scope: RFS Granite Tap and Loop-in TL632 into Granite Sub Double circuit design from Granite to tap, creating 2-Los Coches Granite 69kV lines and reconfigure TL6914 to terminate at Miguel and Loveland. Cost: Pending Issues: N-1 of TL632 overloads TL631 Grid Ops watch list: GR is 100+MW substation with only 2 sources Benefits: Operational flexibility Add a 3 rd line at Granite RFS existing 3-Terminal Line Cancel/Delay TL631 Reconductor Alternatives: Reconductor TL631 to mitigate overloads TRC and CAISO approved. Existing TL620 Contingency TL620 Garfield Overloaded Conductor Proposed Garfield TL6925 TL6925 TL624 TL624 TL631 El Cajon TL630 TL631 El Cajon TL630 Granite Granite TL6914 TL632A TL632C TL69YY NEW Los Coches TL632B Granite Tap TL632 TL69XX Loveland Los Coches Loveland To Miguel

Project Title: TL692 Reconductor: JM LP District: North Coast Need-Date: June 2015 Project: P14XYZ Driving Factor: Cat C criteria violations, 8% OL, N-2 of TL23007 and TL23052 Scope: Reconductor TL692 to archive a minimum continuous rating of 102 MVA. Line is approximately 8 miles. Estimated Cost: $6.4M-$7.1M Issues: Outage at TL23007 and TL23052 causes a 108% loading on TL692 in 2015 G-1 (Pen-Out), TL23052 and TL23007 causes a 119% loading on TL692 in 2015 W2S Project not until 2017/18 Benefits: RFS existing Talega Bank 50 SPS Advance W2S Project estimated $19.5M-$21.4M Alternative: Drop load at Basilone or Japanese Mesa substations

Expansion Plan Summary- New Substations Ocean Ranch Substation Vine Substation Salt Creek 13

Project Title: Ocean Ranch Substation Driving Factor: Provide capacity to the existing and future load in the Vista/Melrose Load pocket area. Scope: Construct a 60MVA, 69/12kV, Ocean Ranch Substation. Loop-in TL693 & TL694 into Ocean Ranch. Reconductor both circuits from SA-OR to 175MVA rating. The ultimate capacity of Ocean Ranch Substation is120mva Preliminary Estimate: $61-68M Proposed San Luis Rey District: North East Loop-in TL694 & TL693 into Ocean Ranch. Reconductor SA OR ckt 1&2 to achieve 175MVA rating TL69XX TL69YY Morro Hill Est. ISD Date: December 2019 To Monserate C B TL694 TL693 TL694A Project: Info Only Issues: The existing system cannot support the projected load growth in the area. Alternative: There are no alternatives, the existing substations capacity is less than the projected new business load. Legend Substation Ocean Ranch 2-30MVA Banks Initially 4-30MVA Bank Ultimate Loop-in s & Reconductors 69kV Tie Line Melrose

Project Title: Vine Substation District: Beach Cities Need-Date: Dec 2017 Project: Info Only Driving Factor: Provide capacity to the rapidly growing load in the Downtown and surrounding San Diego Load pocket area. Proposed OLD TOWN 69kV Scope: Initially install 3-30MVA banks at Vine Substation (69/12kV). Loop-in TL604 into Vine Sub. The ultimate capacity of Vine Substation is 120MVA. Preliminary Estimate : $40-44 million Issues: The existing 69/12kV substations cannot support the growing load demand. Alternative: There are no alternatives, the existing substations capacity is less than the projected new business load. TL604A KETTNER 69kV v TL604B VINE SUB 69kV Loop-In TL604 to VINE SUB Substation Legend v TL609 KE-B TL609 v STATION B 69kV

Project Title: Salt Creek Substation District: Metro Need-Date: June 2016 Project: Info Only Driving Factor: Provide capacity to the existing and future load in the Otay Ranch Load pocket area. Scope: Construct a 60MVA, 69/12kV, Salt Creek Substation. Loop-in TL6910 into Salt Creek and add a second circuit,tl6965 from Miguel to Salt Creek Substation. The ultimate capacity of Salt Creek Substation is120mva Salt Creek Substation 60 MVA, 69/12kV TL6964 (1) TL6965 (2) TL6910 Miguel Substation TL6910 TL6964 (1) TL23041 TL6965(2) TL23042 Cost: $70-77 million Otay Substation Issues: The existing system cannot support the projected load growth in the area. TL649A/F TL649G Alternative: There are no alternatives, the existing substations capacity is less than the projected new business load. San Ysidro Substation TL649D Border Otay Mesa Substation Legend Substation TL6910 Loop-in 2 nd ML-SCR TL6965 69kV Tie Line 230kV Tie Line 16

Questions? Send comments to: Fidel Castro San Diego Gas & Electric 8316 Century Park Court, CP-52K San Diego, CA 92123 Phone: (858) 654-1607 e-mail: frcastro@semprautilities.com 17

SM Southern California Edison 2014 Proposals Jonathan Yuen Power Systems Planner 2014-2015 CAISO TPP Stakeholder Mtg September 25, 2014 Folsom, CA SOUTHERN CALIFORNIA EDISON

SM Metro Area: Laguna Bell Corridor Upgrades Objective: Upgrade the Laguna Bell Mesa No. 1 & 2 and Lighthipe Mesa 220 kv lines to achieve conductor rating Laguna Bell Corridor MESA Preliminary Scope: Replace terminal equipment at Laguna Bell for Mesa No. 1 and No. 2 220 kv lines Replace terminal equipment at Lighthipe for Mesa 220 kv line LAGUNA BELL Remove clearance limitations on two lines Laguna Bell - Mesa No. 1 220 kv (estimated 1 span) Lighthipe - Mesa 220 kv (estimated 1 span) LIGHTHIPE Operating Date: December 2020 Cost Estimate: $ 5M L E G E N D 220 kv Transmission Substation 500/220 kv Transmission Substation 220 kv Transmission Lines Page 2 SOUTHERN CALIFORNIA EDISON

SM Eastern Area: Operating Procedure Background: A forced outage of the Julian Hinds Mirage 230 kv line followed by a forced outage of the Julian Hinds shunt reactor (or vice-versa) will cause high voltages in the Eastern Area in excess of the SCE breaker ratings. Mead Mitigation: SCE is implementing an Operating Procedure which will take these actions following the first contingency: Camino 1. Attempt to readjust the system to maintain voltages within operational limits Gene 2. Open the Buck Blvd gen-tie circuit breaker at Julian Hinds reducing voltage to within acceptable limits 161 kv 230 kv Key: SCE Load Pumping Station Shunt Reactor Mirage Julian Hinds (SCE) Julian Hinds (MWD) Eagle Mtn Iron Mtn Blythe-SCE Parker Headgate Blythe Buck Blvd Page 3 SOUTHERN CALIFORNIA EDISON

Valley Electric Association s 2014 Request Window Proposals Chris Tomchuk EVP of Engineering & Operations 2014/2015 ISO Transmission Plan September 25, 2014 Folsom, CA

Projects Seeking CAISO Approval Nevada West Connect 230 kv - Phase I 2

Nevada West Connect 230 kv New Line Scope: Fifty (50) miles of new 230 kv transmission line to connect VEA s Fish Lake Valley system to the Bishop, CA area 3

Nevada West Connect 230 kv New Line Phase 1 Needs Addressed: Phase 1 of the Project mitigates impacts of outages to VEA members in the Fish Lake Valley area. This Project also provides for integration of renewal resources, relieves congested areas, and increases transfer/import capacity between CA and NV Cost: Approximately $165 M In Service Date: Mid-2018 4

Nevada West Connect 230 kv New Line Power Flow Studies Indicate: - Increase reliability of service to loads in the northwestern portion of the VEA area - Facilitate the development of at least 250 MW of generation in the proximity of the proposed Dyer substation with all Phases of the project completed 5

Questions?

1 PG&E s 2014 Request Window Proposals CAISO 2014-2015 Transmission Planning Cycle Kelly Dichoso PG&E September 25, 2014

Transmission Projects Overview 2 Projects Seeking CAISO Approval Yosemite/Fresno 1. Le Grand-Chowchilla-Dairyland 115 kv Loop 2. Panoche-Oro Loma 115 kv Reconductoring 3. Barton Airways - Sanger 115kV Line Load Interconnection Projects Seeking CAISO Approval Stockton 1. Kasson-Louise 60 kv Load Interconnection

Dairyland-Mendota 115 kv Line Le Grand-Chowchilla-Dairyland 115 kv Loop 3 Area Background The Chowchilla Substation (Chowchilla) is located in Madera County and is critical in supplying electric power to the City of Chowchilla The Le Grand-Chowchilla 115 kv Line is the primary line for importing power from the Wilson Area to Chowchilla Additional power is supplied to Chowchilla from Sanger and the Kerckhoff PH units, via the Chowchilla-Kerckhoff 115 kv Line Assessment L-1/G-1 outage: Le Grand-Chowchilla 115 kv Line overlapped with the Kerckhoff No. 2 Power House Low Voltage Facility: Chowchilla and Sharon Prison substations at 0.86 per unit Transmission Line Facility: Chowchilla- Kerckhoff #2 115 kv Line is loaded to 99% of its SE ratings in 2024 Load Serving Capacity is limited by the Chowchilla-Kerckhoff #2 115 kv Line Only two (2) MW of additional load can be added to Chowchilla in 2024 before exceeding it SE rating El Nido Oro Loma De Francesco Hammonds Dairyland New Hall Oxford LLC Madera Gill Ranch Wilson-Oro Loma 115 kv Line Wilson-Le Grand 115 kv Line Legrand Chowchilla- Le Grand - Dairyland Legrand 115 kv 115 kv Line Line Chowchilla-Kerckhoff #2 115 kv Line NO Paromount Mendota San Luis Certainteed Panoche-Mendota 115 kv Line Westland Wilson Exchequer-Le Grand 115 kv Line Sharon Chowchilla Chowchilla Co-gen Panoche Panoche-oro Loma 115 kv Line Exchequer Kerckhoff 1 PH Coarsegold Kerckhoff 2 PH CalPeak Starwood

Dairyland-Mendota 115 kv Line Le Grand-Chowchilla-Dairyland 115 kv Loop 4 Preferred Scope Construct roughly two (2) miles of DCTL to loop Chowchilla onto the Le grand-chowchilla 115 kv Line with conductors rated to handle at least 631 Amps and 742 Amps under normal and emergency conditions Upgrade Chowchilla 115 kv Bus to a six (6) element ring bus Alternative Considered Install four (4) steps of 10 MVAR at Chowchilla Substation Will require future project (beyond 2024) to reconductor 24 mile section of the Chowchilla-Kerckhoff #2 115 kv Line Proposed In Service Date May 2022 Estimated Cost $25M - $40M El Nido Oro Loma De Francesco Hammonds Dairyland New Hall Oxford LLC Madera Gill Ranch Wilson-Oro Loma 115 kv Line Paromount Mendota San Luis Westland Wilson-Le Grand 115 kv Line Legrand Chowchilla- Legrand 115 kv Line Certainteed Panoche-Mendota 115 kv Line Wilson Exchequer-Le Grand 115 kv Line Chowchilla-Kerckhoff #2 115 kv Line NO Sharon Chowchilla Chowchilla Co-gen Panoche Panoche-oro Loma 115 kv Line Exchequer Kerckhoff 1 PH Coarsegold Kerckhoff 2 PH CalPeak Starwood

Dairyland-Mendota 115 kv Line Panoche-Oro Loma 115 kv Reconductoring 5 Area Background Panoche and Oro Loma substations are located in the western section of Fresno County and serves (directly and indirectly) over 30,000 customers Panoche Substation currently has five (5) 115 kv sources which include the Panoche-Oro Loma, Panoche- Mendota, Panoche-Schindler #1 and #2, and Panoche-Cal Peak-Starwood 115 kv lines Oro Loma Substation currently has two 115 kv sources which include the Panoche-Oro Loma and Wilson- Oro Loma 115 kv lines Assessment L-1/G-1 outage: Panoche-Mendota 115 kv Line overlapped with Exchequer Generation Transmission Line Facility: Panoche-Oro Loma 115 kv Line is loaded to114% of its SE ratings in 2024 El Nido Oro Loma De Francesco Hammonds Dairyland New Hall Oxford LLC Madera Gill Ranch Wilson-Oro Loma 115 kv Line Wilson-Le Grand 115 kv Line Legrand Chowchilla- Le Grand - Dairyland Legrand 115 kv 115 kv Line Line Chowchilla-Kerckhoff #2 115 kv Line NO Paromount Mendota San Luis Westland Certainteed Panoche-Mendota 115 kv Line Wilson Exchequer-Le Grand 115 kv Line Sharon Chowchilla Chowchilla Co-gen Panoche Panoche-oro Loma 115 kv Line Exchequer Kerckhoff 1 PH Coarsegold Kerckhoff 2 PH CalPeak Starwood

Dairyland-Mendota 115 kv Line Panoche-Oro Loma 115 kv Reconductoring 6 Preferred Scope Reconductor 17 miles of the Panoche-Oro Loma 115 kv Line between Panoche Jct. and Oro Loma 115 kv Substation with conductors rated to handle at least 825 Amps and 975 Amps under normal and emergency conditions Upgrade circuit breaker and switches at Panoche Substation Upgrade switches and bus conductor at Hammonds Substation Alternative Considered Curtailment of roughly 500 MW of generation at Panoche and south of Panoche Substation Proposed In Service Date May 2022 Estimated Cost $30M - $45M El Nido Oro Loma De Francesco Hammonds Reconductor Dairyland New Hall Oxford LLC Madera Gill Ranch Wilson-Oro Loma 115 kv Line Wilson-Le Grand 115 kv Line Legrand Chowchilla- Le Grand - Dairyland Legrand 115 kv 115 kv Line Line Chowchilla-Kerckhoff #2 115 kv Line NO Paromount Mendota San Luis Westland Certainteed Panoche-Mendota 115 kv Line Wilson Exchequer-Le Grand 115 kv Line Sharon Chowchilla Chowchilla Co-gen Panoche Panoche-oro Loma 115 kv Line Exchequer Kerckhoff 1 PH Coarsegold Kerckhoff 2 PH CalPeak Starwood

Barton Airways - Sanger 115kV line Load Interconnection 7 Preferred Scope This project proposes to connect a new customer owned ~200ft tap line from PG&E s Barton Airways Sanger 115kV Line to a new customer owned substation Other Alternatives Considered Interconnection onto Manchester Airways Sanger 115 kv Line via a new 115 kv line extension to the Project facility (Transmission) Interconnection into PG&E s Airways Substation 115 kv Bus via a new 115 kv line extension of ~1.7 mile to the Project facility (Transmission) Interconnection onto Barton 1115 12 kv Feeder via a new 12 kv line extension to the Project facility (Distribution) Interconnection into Airways Substation 12 kv Bank via a new 12 kv line extension to the Project facility (Distribution) In Service Date December 1, 2016 Estimated Cost Interconnection $1.2~2.4M Network Upgrades None

Barton Airways - Sanger 115kV line Load Interconnection 8 Single Line Diagram

Kasson-Louise 60 kv Load Interconnection 9 Area Background The project will serve residences & businesses within Lathrop The customer plans to interconnect a new substation with a projected load of 14 MW to PG&E s electric transmission grid, south of Interstate 5 near Lathrop, California The 60 kv interconnection is an interim connection since there are adverse impacts above 7 MW The POI will be changed to the 115kV line prior to the identified impacts based on the projected load growth provided by the customer, this load level will be reached in 2016 Assessment No overloads below 7 MW Future plans to move to the Schulte Sw Sta Kasson Manteca 115kV Line when load grows beyond 7 MW

Kasson-Louise 60 kv Load Interconnection 10 Preferred Scope The customer owned new 60kV substation and a 60 kv transmission line will be tapped into PG&E s Kasson-Louise 60kV Line Install three new switches on the Kasson-Louise 60 kv line so the new tap line can be isolated from permanent faults on the tap line sections Alternatives Considered Status Quo (No interconnection) Proposed In Service Date December 2015 Estimated Cost $1 to 2 million

Thank you 11

1 PG&E s 2014 Request Window Proposals CAISO 2014-2015 Transmission Planning Cycle Meng Zhang PG&E September 25, 2014

Transmission Project Overview 2 Project Seeking CAISO Approval Kern 1. Semitropic Wasco Famoso Kern Oil Kern 70 kv Voltage Conversion Project Seeking CAISO Approval Los Padres 1. Santa Ynez Sisquoc 115kV line Load Interconnection

Semitropic Wasco Famoso Kern Oil Kern 70 kv Voltage Conversion 3 Area Background The Northeast Kern 115 kv system is served from Kern PP, Kern Oil Substations in the south and Semitropic Substation in the north The system serves approximately 22,300 customers and the load is forecasted to reach 300 MW by 2024 The system serves a number of oil industrial customers and has been receiving new load and load increase applications 4,330 customers at Famoso, Charca and Semitropic Substations along with Wasco Prison are served radially during summer months to mitigate thermal concerns Local retirement of QF generation is expected in 2014, with the loss of roughly 36.5 MVA of generation capacity Assessment Outage Facility: 1. L-1: 7 th Standard Kern 115 kv Line 2. L-1/G-1: Kern Oil Witco 115 kv Line & Live oak Co Gen 3. L-1/G-1: Kern Live Oak 115 kv Line & Live Oak Co Gen 4. L-1/G-1: Kern Oil Witco 115 kv Line & Mt Poso Co Gen Overloaded Facility: 1. Lerdo Kern Oil 7 th Standard 115 kv Line 2. Kern Live Oak 115 kv Line 3. Kern Oil Witco 115 kv Line 4. Live Oak Kern Oil 115 kv Line

Semitropic Wasco Famoso Kern Oil Kern 70 kv Voltage Conversion Existing System 4

Semitropic Wasco Famoso Kern Oil Kern 70 kv Voltage Conversion 5 Preferred Scope Convert and reconductor 20 miles of the Semitropic Wasco Famoso 70 kv Line to 115 kv operation Convert and reconductor 25 miles of the Kern Kern Oil Famoso 70 kv line to 115 kv operation Reconductor 10 miles Kern Oil Lerdo Jct Lerdo section of the Lerdo Kern Oil 7 th Standard 115 kv Line Reconductor 0.5 miles Semitropic Jct Semitropic section of the Smyrna Semitropic Midway 115 kv Line Convert Famoso 115 kv bus, Kern Oil 115 kv bus and Kern PP 115 kv bus Section E to Breaker- And-A-Half (BAAH) to terminate the new 115 kv lines Remove Semitropic 115/70 kv transformer and use the terminal for the converted line Alternatives Considered Alt 1: New Rio Bravo 7 th Standard 115 kv Line Proposed In Service Date May 2025 Estimated Cost $85M - $125M

Semitropic Wasco Famoso Kern Oil Kern 70 kv Voltage Conversion 6 Post Project

Santa Ynez Sisquoc 115kV Line Load Interconnection 7 Preferred Scope This project proposes to connect a new customer owned 115kV tap line from PG&E s Santa Ynez Sisquoc 115 kv Line to a new customer owned substation The Scope of the Project include: Transmission Line extension from Santa Ynez Sisquoc 115 kv Line, Pole 004/079, to Customer A s Proposed Substation location Three (3) SCADA Switches with 5-bottle interrupters and automatics for Power Fail and Restore Other Alternatives Considered Distribution Service via Palmer Substation Directly Connect to Palmer Substation Proposed In Service Date January 1, 2017 Estimated Cost Interconnection $1.8M Network Upgrades None

Santa Ynez Sisquoc 115kV Line Load Interconnection 8 Customer Substation Single Line Diagram

Thank you 9

1 PG&E s 2014 Request Window Proposals CAISO 2014-2015 Transmission Planning Cycle Prabodh Bhusal PG&E September 25, 2014

Transmission Project Overview 2 Project Seeking CAISO Approval North Valley 1. Anita 60 kv Substation Conversion to 115 kv Operation

Anita 60 kv Substation Conversion to 115 kv Operation 3 Area Background Anita Substation is a single tap 60 kv substation normally supplied by the Glenn #3 60 kv Line (approx. 17.5 miles long) Approximately 2,286 customers are served by this Anita Substation The existing Anita area distribution system capacity is approximately 32.5 MVA, and the future planned capacity is planned for 60 MVA by end of 2016 to meet the forecasted load growth The current Anita Load Serving Capability (LSC) is limited to 19 MVA due to transmission system limitations The alternate source is normally open at Vina Substation, this source is not sufficient to serve Anita Load

Anita 60 kv Substation Conversion to 115 kv Operation 4 Area Background Continued. There is a 115 kv idle line approx. 3.3 miles long off the Butte Sycamore 115 kv Line nearby Anita Substation Assessment Normal System Condition: Glenn #3 60 kv Line overload with increased load at Anita Substation N-1 Outage: Glenn 230/60 kv Transformer #2 overloading for outage of Transformer #1

Anita 60 kv Substation Conversion to 115 kv Operation 5 Preferred Scope Build approximately 4.5 miles of new double circuit line on the Existing Idle Line Right-of- Way with a conductor capable of at least 631 amps summer normal rating (Equivalent 715.5 AAC) Complete Anita Substation Ring Bus, and convert to 115 kv operation Loop in new double circuit line to Anita Substation Proposed In Service Date May 2024 Estimated Cost $20M - $30M Alternatives Considered Alt #1: Anita 60 kv Area Reinforcement Reconductor Glenn #3 60 kv 17.5 miles Line from Glenn to Anita Substation Replace Glenn #2 Transformer Estimated Cost: $20M - $30M

Anita 60 kv Substation Conversion to 115 kv Operation 6 Preferred Scope Continued

Thank you 7

Next Steps Kristina Osborne Stakeholder Engagement and Policy Specialist 2014-2015 Transmission Planning Process Stakeholder Meeting September 24-25, 2014

Next Steps Date September 25- October 9 October 15 October 30 Milestone Stakeholder comments on ISO preliminary reliability results and PTO mitigation solutions to be submitted to regionaltransmission@caiso.com Request window closes. Submissions to be submitted to requestwindow@caiso.com Post final 2014-2015 reliability study results Page 2