Panel Discussion: Planning for Today and Tomorrow Moderator: Chuck Farmer, Director, Stakeholder and Panelists: Public Affairs, IESO Nicola Presutti, Senior Manager, Control Room Operations, IESO Bob Chow, Director, Transmission Integration, IESO Greig Cameron, Vice President, Engineering & IT, Kitchener-Wilmot Hydro Inc. Robert Reinmuller, Director, System Planning, Hydro One
Operation of the Ontario Electricity System in Southwestern Ontario Nicola Presutti, IESO Southwest Ontario Regional Electricity Forum November 23, 2017
Electricity System in Southwest Ontario 2
Electricity System in Southwest Ontario FETT 3
Electricity System in Southwest Ontario FABCW FETT 4
Electricity System in Southwest Ontario FABCW FETT BLIP 5
Electricity System in Southwest Ontario FABCW FETT QFW BLIP 6
Electricity System in Southwest Ontario FABCW FETT ON/MICH BLIP QFW ON/NY 7
Electricity System in Southwest Ontario 8
Planning of the Ontario Electricity System Introductory Remarks Bob Chow, IESO Southwest Ontario Regional Electricity Forum November 23, 2017
Ontario s Electricity Sector Participants Regulation Transmission Planning, Market & System Operation Five Nations & others Ontario Electricity System and its Customers Distribution Generation Customers & other generators Residential Commercial Industrial Hydro One Distribution & other local distribution utilities 3
Overview: Types of Electricity Planning Bulk System Planning (Long-term Energy Plan, Ontario Planning Outlook) Regional Planning (Integrated Regional Resource Plan, Regional Infrastructure Plan) Distribution Network Planning (Distribution System Plan) 500 kv & 230 kv transmission Interconnections Inter-area network transfer capability System reliability (security and adequacy) to meet NERC, NPCC, ORTAC Congestion and system efficiency System supply and demand forecasts Incorporation of large generation Typically medium- and long-term focused 230 kv & 115 kv transmission 115/230 kv autotransformers and associated switchyard facilities Customer connections Load supply stations Regional reliability (security and adequacy) to meet NERC, NPCC, & ORTAC ORTAC local area reliability criteria Regional/local area generation & CDM resources Typically near- & medium-term focused Transformer stations to connect to the transmission system Distribution network planning (e.g. new & modified Dx facilities) Distribution system reliability (capacity & security) Distribution connected generation & CDM resources LDC demand forecasts Near- & medium-term focused
Electricity System in Southwest Ontario 5
Planning Considerations for Southwest Ontario Large load centres at Waterloo, London, Hamilton, and Windsor Major generation facilities in Ontario are sited in this region Nuclear in Bruce Gas in Sarina Hydroelectric in Niagara Sizeable renewable developments distributed over the region Many large industrial customers Strong and well utilized 500/230/115 kv networks Tie points with New York and Michigan Aging facilities (e.g., repurpose Nelson TS) Local interests in exploring community-based energy solutions 6
Planning for Today and Tomorrow A Utility s Perspective Presented by: Greig Cameron, P.Eng. VP Engineering & IT, Kitchener-Wilmot Hydro Inc. IESO Regional Electricity Forum November 23, 2017
2 Agenda Background Planning Issues How are we Responding
Background Kitchener-Wilmot Hydro Inc. 95,500 Load Customers 705 DG Customers (23 MW) City of Kitchener and Wilmot Township 382MW Peak Demand 2006 Summer Peaking (mostly) 8 Transmission Stations 7 Distribution Stations 125/216V Secondary Grid Network, 347/600V Spot Network 9th largest LDC (largest medium LDC) 3
4 REGION OF WATERLOO POPULATION Municipality 2006 Population 2031 Population 2006 Employment 2031 Employment Cambridge 123,900 176,000 75,020 102,500 Kitchener 214,500 319,500 99,380 132,500 North Dumfries 9,200 16,000 6,080 8,700 Waterloo 101,700 140,000 64,070 89,000 Wellesley 10,100 12,500 3,290 4,300 Wilmot 17,700 28,500 6,730 10,000 Woolwich 20,100 36,500 13,540 19,000 Region 497,200 729,000 268,310 366,000
KWHI'S SERVICE AREA 5
Peak Demand (MW) 6 KWHI ANNUAL PEAK DEMAND 600 550 500 450 400 350 300 250 200 2004 2006 2008 2010 2012 2014 2016 2018 Year Installed Capacity (MW) Peak Demand (MW) Linear (Peak Demand (MW))
7 Planning Issues and Trends 1) DER 2) Reliability 3) Intensification Move from centralized generation and delivery to a decentralized model Customer needs are changing more engaged Shift from manufacturing to IT e.g. Google Canada Places to Grow, LRT Corridor, O/H vs. U/G 4) Changing Business Model 2017 LTEP 5) Energy Disruptors are coming Microgrids Energy storage coupled with DERs
8 Planning Issues and Trends 6. Capacity Planning to Meet Demand New Transformer Stations and Distribution System Region/City/Township 7. Electrification of Transportation Systems EVs & Charging Stations climate change action plan, building code revision LRT 19km of tracks built between Waterloo and Kitchener. Seven TPSS in Kitchener. 8. Extreme Weather Events Wind storms, ice storms, floods 9. Cybersecurity IT and OT convergence Hackers and data breach
9 How are we Responding 1) Smart Grid - Designing a distribution system that is flexible and can respond to the new direction Enhanced monitoring and controlling of distribution equipment Implement flexible communication infrastructure 2) Shift in Distribution Planning Philosophy Traditionally based on load Now has to consider load, generation, storage and conservation Outcomes based with rate impacts considered Explore non-wire alternatives Adjust service size and available capacity at residential distribution transformers to accommodate EVs
10 How are we Responding 3) Update Design and Operating Philosophy Resiliency built-in Security built-in Asset Management 4) Implement Best in Class Information Systems Geographic Information Systems (GIS) manage & track assets Outage Management Systems (OMS) identify, display location and manage outages and incidents Customer Information System (CIS) - settle transactions and manage customer relationships Distribution Management System (DMS) future implementation 5) Local Partnerships GSC, USF, GRE, ROW Community Energy Investment Strategy, etc.
Thank You
Southwest Regional Forum November 23, 2017
Our Role Hydro One s Role in the Electric System TRANSMISSION DISTRIBUTION Electricity Generation Sources Transformer Transmission (Increased to System Higher voltage) Transformer (Decreased to Medium voltage) Distribution System 98% of capacity 75% of geography and 25% of end use customers Percentage of Ontario Market Transformer (Decreased to Lower voltage) Industrial, Residential, Commercial Customers 2
One of North America s Largest Electric Utilities Service Territory Pure electric transmission and distribution utility 30,000 circuit KMs of transmission lines across 98% of Ontario, home to 38% of Canadian population Largest local distribution company (LDC) in Ontario with 1.3 million end customers 99% of revenue from regulated operations Service area is larger than France or the State of Texas Combined transmission and distribution rate base of $17.83 billion Common shares traded on the TSX under ticker symbol H 3
Planning Considerations IESO LDC IESO TRANSMITTER 4
Major Transmission Projects Recently Completed or Currently Underway in Southwestern Ontario Legend 500 kv 230 kv 115 kv Bruce 1 5 KWCG Sarnia 2 London 8 7 4 3 6 Chatham - Improved network transfer capability: 1 Bruce-to-Milton 2 Lambton-to-Longwood - Provided additional reactive support: 3 Nanticoke TS 4 Detweiler TS - Reinforced local area supply: 5 GATR 6 SECTR & Leamington TS - Connected over 4500MW of generation (nuclear refurbishment, wind, solar & gas) - Addressed Load customer needs: 7 Nelson TS 8 Wanstead TS 5 Privileged and Confidential Internal
Future Transmission Projects in Southwestern Ontario Legend 500 kv 230 kv 115 kv Bruce 3 KWCG Sarnia 7 8 London 6 4 5 2 1 Chatham - Network Sustainment ABCB projects: 1 Nanticoke TS 2 Middleport TS 3 Bruce TS - Local area supply reinforcements: 4 switching facilities at Brant TS 5 Aylmer-Tillsonburg area - Renewable Generation Connection (Otter Creek Wind Farm 50 MW, Romney Wind Farm 60 MW, Dutton CGS 57.5 MW) and Line Upgrades N21W/N22W 8 - Customer driven projects: 6 Woodstock Toyota TS expansion 7 Nova Corunna station expansion 6 Privileged and Confidential Internal
Goals Safe, Reliable, Efficient Facilitate the delivery of the Long Term Energy Plan Comply with stringent Reliability Standards Meet Customer Needs Meet Regional Planning Obligations Expand on System Monitoring and Analysis Continued Collaboration with Indigenous Communities Engagement and Transparency for all Customers Continue Innovation 7
Operational Excellence CANADIAN-BASED CHAMPION & LEADING NORTH AMERICAN UTILITY OPERATIONS 2020 VISION: Establish a culture of operational excellence with industry leading safety to deliver cost effective, reliable service for our customers. Create a repeatable platform for growth as the leading owner and operator of grid infrastructure in North America. Be an industry leader in SAFETY & ENVIRONMENT for our employees, contractors, and the public Deliver improved RELIABILITY to our customers, incorporating their input and priorities Provide COST EFFECTIVE service to our customers by improving our productivity Always be there for our CUSTOMERS with a seamless experience in all operations interactions Foundational OPERATING MODEL enabled by people, process, and technology 8