Direct Testimony of Thomas M. Hildebrand - Consumer Advocate ...

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21 3. 4 - feasible. This would amount to more than 3,500 MW and by Dominion's numbers would eliminate the need for the Loudoun line. Perhaps 3,500 MW are not feasible by 2011, but in combination with generation options or less-obtrusive transmission options demand management could still eliminate completely any need for the Loudoun line. A 525-MVAR static VAR compensator (SVC) at Meadow Brook. Four such devices would solve voltage problems in Pennsylvania (two places), Maryland, and Meadow Brook.23 The first three are in PJM's plan. The one at Meadow Brook was never mentioned publicly. Installing it would solve the only real problem used by Dominion to justify the Loudoun line. It would cost about $35 million, while the Loudoun line would cost more than $850 million. The device would have a footprint measured in square feet - its only environmental impact. The impact of the Loudoun line, in contrast, would be enormous. The proposed CPV Warren plant to be built near Meadow Brook by 2010 will provide nearly half of the MVARs needed at zero cost if it is connected to the grid properly, reducing the size and cost of the Meadow Brook SVC. A phase-angle regulator (PAR) on the fruntytown-Mi. Storm line, A PAR is a special transformer. PARS increase the impedance of a line, thereby reducing its flows and increasing flows along other paths. It would direct some flows away from the Pruntytown-Mt. Storm-Doubs lines onto lines that are less heavily loaded. It would increase the west-to-east transfer capability by more than half what the Loudoun line would give. It would cost about $150 million. Its environmental impact would be limited to its footprint. PJM has had several in service for many years. They are more reliable than any thermal power plant. A PAR could be a useful hedging option. It could provide some increase in transfer capability while other options (new plants, demand management, etc.) were being built, Alternatively, it could be a permanent element of the system, in combination with other options, 3. The proposed Amos-Bedington-Kemptown 765-kV line. This line would be much larger than the Loudoun line, which it in essence would parallel. In July 2006, PJM said that building the Loudoun line in 2011 would solve all problems in the local region through 2021. By early 2007, PJM said that, even with the Loudoun line, the 765-kV line is needed to solve serious problems in the region beginning in 2012. Neither Dominion/Allegheny nor PJM admits addressing whether the Loudoun line would still be needed if the 765-kV line were built. We have studied this, using PJM's data and the same software PJM and Dominion use. The answer is, "no." 23 PJM and Dominion e-rnails show that they knew this at least as early as May 1, 2006. Dominion Discovery Response, (Bates No DOM000218.)
22 Appendix B: Dominion 5 Analysis of Generation and Demand Management Alternatives KEMA Incorporated evaluated demand-side management (DSM) and generation options in connection with Dominion's SCC filing.24 This evaluation was not part of the planning process, but rather was performed after the fact to justify Dominion's decision to build the Loudoun line. KEMA's "analysis" of DSM or new generation as alternatives to the Loudoun line is biased and shallow. KEMA considered only "new northern Virginia generati~n''~~ and DSM. The power system is regional as are the markets to be serviced by the proposed Loudoun line, There is no justification for restricting the alternatives to northern Virginia. The supposed reliability need for the line is regional. KEMA admits that DSM could displace the Loudoun line, but goes on to argue that to do so DSM would require "about a 3,000 MW load reduction" in Northern Virginia by 2011 .26 The Northern Virginia load growth that supposedly requires the line is only 465 NIW. KEMA offers no reconciliation of these wildly inconsistent numbers. KEMA "analyzed" only two generation alternatives - both destined to fail. 0 Distributed generation. "Our analyses show that nearly 30,000 small new distributed generators would be needed by 2011 and nearly 80,000 by 2016. . . . The number of new distributed generating units that would be required . . . is beyond reasonable expe~tation."~~ KEMA is right - a new technology will not achieve such market penetration so fast. The 80,000 number is especially disingenuous; it refers to what would be needed to displace other major transmission additions - such as the Amos- Bedington-Kemptown 765 kV transmission line - needed even if the Loudoun line is built. 0 New Loudoun substation power plant. According to KEMA: "[Tlh~s would require a 3,000 MW plant by 2011 - by far the largest plant in Virginia, and one of the largest in North America . . . . Such a large new plant would be nearly impossible to license and build by 2011."28 KE MA ignores that it is distinctly possible to site reasonably sized plants 24KEMA Report pp. 69-70 25 Id. at p. 4 Id. at p. 69 (emphasis added) 27 Id. at pp. 69-70 28 Id. At p. 70
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THOMAS M. HILDEBRAND 7336 Sheraton
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Page 41 and 42: Exhibit 5. Estimated Peak Demand (M
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Page 69 and 70: Ronnie BaileylCOMMOPSNANCPOW ER 051
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Virginia Business Magazine: Virgini
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Virginia Business Magazine: Virgini
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.. '2 c3 3 iJa e 16 Komr US. Busine
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--.% & WEST UIROINIA --.. . Print %
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i Keduce CjioDai vvarming raye L VI
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FOR IMMEDIATE RELEASE TUESDAY, OCTO
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The following eight states joined a
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Electric And Magnetic Field (tMk) K
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“43 HEAT STORM THANKS-2-2-2 The F
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FLEX ALERT Save Energy Now! ‘M bK
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R&D Critical Needs Dynamic modeling
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R&D Top I00 in the World SuperVAR
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From Silicon to Diamonds Chemical V
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U.S. appetite for electricity is =
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' AOOx power density of copper 1 lo
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Buckeye Power, Inc. Non-profit gene
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Demand Response
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Transmission Expansion Drivers Expa
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Economic Expansion Metric 1. Econom
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System Congestion Cost Savings soci
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Potential Beneficiaries Relative be
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- Change in Zonal Load Payment due
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0 bse rvations Difficult to justify
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A few thoughts on demand response r
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Barriers to 0 Traditional retail ra
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...--... I. VY, ,““Y I uvvcIllu
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Economic Benefits for Energy Effici
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Established energy efficiency as re
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- i'ciency Can Help Control rowth U
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Energy Efficiency Z2r * Utility fin
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Y STAR 0 ENERGY STAR is a cost-effe
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Direct Testimony of Thomas M. Hildebrand - Consumer Advocate ...

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