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Accommodating High Levels of Variable Generation - NERC

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Transmission Planning & Resource Adequacy<br />

such inter-area transmission development to provide access to and sharing <strong>of</strong> flexible resources.<br />

Therefore, the composite capacity value <strong>of</strong> variable generation resources significantly improves<br />

when inter-area transmission additions allow variable generators across much wider geographic<br />

areas to interact with one another, hence improving overall system reliability.<br />

As such, the resource adequacy planning process should no longer solely be a function <strong>of</strong><br />

planning the resource mix alone. Transmission system expansion is also vital to unlock the<br />

capacity available from variable generation. Further, in those regions with a competitive<br />

generation marketplace, regulatory targets such as Renewable Portfolio Standards heavily<br />

influence the location and timing <strong>of</strong> renewable generation investments and their development.<br />

Furthermore, government policy and any associated cost allocations (i.e. who pays for<br />

transmission, additional ancillary services and ramping capability) will be a key driver for<br />

variable generation capacity expansion. Therefore, an iterative approach between transmission<br />

and generating resource planning is required to cost-effectively and reliably integrate all<br />

resources.<br />

In summary, transmission expansion, including greater connectivity between balancing areas,<br />

and coordination on a broader regional basis, is a tool which can aggregate variable generators<br />

leading to the reduction <strong>of</strong> overall variability. Sufficient transmission capacity serves to blend<br />

and smooth the output <strong>of</strong> individual variable and conventional generation plants across a broader<br />

geographical region. Large balancing areas or participation in wider-area balancing management<br />

may be needed to enable high levels <strong>of</strong> variable resources. As long as existing transmission<br />

pathways are not congested, transmission expansion may not be required to achieve the benefits<br />

<strong>of</strong> larger balancing areas or sharing ramping capability and ancillary services between adjacent<br />

areas, depending on how existing and planned inter-area transmission assets are used.<br />

Currently, high-voltage transmission overlay expansions are being considered in various parts <strong>of</strong><br />

the <strong>NERC</strong> footprint. <strong>High</strong>-Voltage Alternating Current (HVAC), <strong>High</strong>-Voltage Direct Current<br />

(HVDC) transmission or a hybrid combination <strong>of</strong> both provides expansion alternatives for this<br />

overlay approach. HVAC can flexibly interconnect to the existing AC grid, including tapping by<br />

generation and load centers, as the grid evolves. However, for very long, over ground distances<br />

(wind sites are hundreds <strong>of</strong> miles away from demand centers), or for special synchronous<br />

purposes, dedicated HVDC may be a more suitable solution. In addition to long distances,<br />

<strong>of</strong>fshore applications also <strong>of</strong>fer technical challenges that can preclude HVAC cables. With the<br />

advent <strong>of</strong> voltage-source converter (VSC) technologies, additional HVDC benefits (e.g. reactive<br />

power control voltage and frequency control) have proven useful for <strong>of</strong>fshore wind plants 60 and<br />

may be useful in other applications.<br />

60 www.abb.com and www.siemens.com.<br />

<strong>Accommodating</strong> <strong>High</strong> <strong>Levels</strong> <strong>of</strong> <strong>Variable</strong> <strong>Generation</strong> 43

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