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2009 Scenario Reliability Assessment - NERC

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<strong>Scenario</strong> <strong>Reliability</strong> Self-<strong>Assessment</strong>sThe Synchronized Study Plan, as described in the TEPPC Protocol, is designed to identifyopportunities for improving economic performance of the transmission system. The delivery ofnew remotely located resources had long been a prime motivator of transmission expansion.However, adding transmission capacity also facilitates energy trading to produce a better overalldispatch of available resources across the system. In practice, the economic justification for newtransmission is usually a combination of interconnecting new resources and energy tradeopportunities.As TEPPC activities reveal transmission needs and as projects are developed by the industry tomeet those needs, projects naturally move from the realm of economic planning to reliabilityplanning activities that fall under WECC’s Planning Coordination Committee. TEPPC providesthe economic intelligence needed by project developers — whether they are developers ofdemand-side services, builders of new resources, or developers of new transmission — toidentify attractive investment opportunities for investors and customers, and to develop abusiness plan. TEPPC’s activities are thus preparatory to more detailed technical reviews that areneeded to seek regulatory permits and approvals, and to construct, install, and operate equipmentor facilities.The TEPPC <strong>2009</strong> study plan — developed in conjunction with Western industry, stateregulators, and other stakeholders — is in the final stages of adoption at the time of this reportand provides for additional studies of heavy renewables penetrations with more specific inputfrom Western Load Serving Entities (LSE) and regulators. It also provides for longer-term (20-year, rather than ten-year) studies and an examination of the potential for constructing a highervoltageoverlay grid in the Western Interconnection as an additional support mechanism forhigher renewables penetration. 107Operating and Adequacy IssuesHigh penetrations of variable renewable generation raise significant operating issues, which arebecoming more widely understood through a number of WECC forums and Western studyefforts, as well as <strong>NERC</strong> efforts such as the IVGTF.WECC is concerned about the operation impacts of increasing levels of variable generation overthe next 10 years. Concerns are centered on assuring that the Western Interconnection has theability to operate efficiently and reliability. These concerns are categorized into three situations:high-load/high-variable generation, low-load/low-variable generation, and low-load/highvariablegeneration. Each of these situations imparts a different set of operating concerns,reliability risks, and possible solutions.The high-load/high-variable generation poses the greatest risk to reliability from a resourceadequacy perspective. In this case, the risk is a drop off of variable generation when it is neededmost. To mitigate this risk, operating reserves are secured by BAs. The increase in variablegeneration would cause an increase in the level of reserves that must be carried.107 A draft of the TEPPC <strong>2009</strong> Synchronized Study Program is posted on the WECC Web site atwww.wecc.biz/documents/meetings/board/TEPPC/<strong>2009</strong>/June/<strong>2009</strong>_TEPPC-Study-Program_V3-2(For%20Approval).doc<strong>2009</strong> <strong>Scenario</strong> <strong>Reliability</strong> <strong>Assessment</strong> Page 155

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