California s Renewable Energy Transmission Initiative

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1 California s Renewable Energy Transmission Initiative Anne Gillette California Public Utilities Commission August 24, 2009

2 Renewable Energy Transmission Initiative Statewide collaborative study effort to identify and facilitate the development of the transmission needed to access the most cost-effective and environmentally-preferable renewable resources in CA and neighboring states Engages a broad range of stakeholders early in the planning process Environmentalists, ratepayer advocates, tribal representatives Transmission owners, load-serving entities, generation developers CPUC, California Energy Commission, California Independent System Operator, local governments Federal agencies and the military

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4 RETI Organization / Roles Coordinating Committee Provides policy guidance as needed Coordinates with other processes Stakeholder Steering Committee Primary working group Key stakeholder representatives ~30 members Plenary Stakeholder Group Reviews Steering Committee work Provides feedback, groundtruthing All stakeholders and the public

5 RETI is a 3-Phased Process Phase 1 Identification and ranking of Competitive Renewable Energy Zones (CREZ) Phase 2 Refinement of CREZ analysis and development of statewide conceptual transmission plan Phase 3 Detailed transmission planning at California ISO and Publicly-Owned Utilities for priority transmission projects

6 Phase 1 Scope of Work Identify renewable-rich resource areas in California and along its border Analyze the economics of development in each area, including: Costs: Generation, Transmission and Integration Value: Energy and Capacity Identify and rank high-value Competitive Renewable Energy Zones (CREZs) using cost analysis, engineering review (slope, road access, land use constraints, etc.), and high-level analysis of transmission constraints Evaluate environmental impact of development in each CREZ very significant development Phase 1 completed in January 2009

7 Phase 1 Methodology Resource Screening Future Cost Projections Renewable Resource Assessment Environmental Screens Project Identification and Characterization CREZ Identification and Characterization Generation Cost Trans- mission Cost Ranking Cost Environmental Rating CREZ Ranking Capacity Value Other Factors Energy Value Resource Valuation

8 Phase 1 Scope of detailed assessment

9 Phase 1 Results: CREZ and non- CREZ resources identified throughout the study area

10 Phase 1B Results Black & Veatch, in consultation with Phase 1B working group > 2,000 individual pre-identified and proxy generation projects > 80,000 MW within 29 CREZs in California 40,000 MW outside of CA with potential to deliver energy to CA. > 25,000 MW of non-crez resources in CA, most from distributed PV systems Environmental Working Group CREZs identified by Black & Veatch are rated according to environmental concerns associated with the projected generation

11 Example: Southeast California Resource Area

12 Phase 1 Results (as updated in Phase 2)

13 RETI Scope of Work Phases 2 and 3 Phase 2 Development of conceptual transmission plans to access CREZ, in collaboration with existing transmission planning organizations/institutions Phase 2A Final Report issued August 12, 2009 Phase 2B: focus on short-term efforts to connect generation, in parallel with Phase 3 long-term efforts Phase 3 Existing transmission planning organizations collaboratively design transmission plans of service that result in applications to construct new transmission Timing uncertain may be iterative

14 RETI Phase 2A Results Report presents new, transparent, objective methodology for conceptual planning, in a process that supports active participation by diverse stakeholders. Base case scenario evaluates 102 network line segments: 23 Renewable Foundation Lines 13 Renewable Delivery Lines 12 groups of Renewable Collector Lines, grouped by resource area Relative value of line segments to deliver renewable energy, and relative environmental concern assessed Foundation Lines, Delivery Lines recommended for immediate study at California ISO, POUs least regrets additions to CA grid

15 Reference System Configuration WECC 2018 Heavy Summer Transmission Plan Components RETI Model System Configuration Renewable LSE Net Short Line Segment Shift Factors CREZ Energy Data Line Segment Energy Access Info Line Segment Grouping Transmission Group Energy Access Info Line Segment Data - Environmental & Cost Transmission Group Summary Information Energy Access Š Environment - Cost

16 RETI Phase 2 Conceptual Plan Northern California

17 RETI Phase 2 Conceptual Plan Southern California

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19 RETI Next Steps Update economic ranking of CREZ Coordinate with CAISO, POU, California Transmission Planning Group processes to implement RETI planning recommendations Reduce number of line segments; prioritize Identify short-term measures for connecting renewable generation in next few years, before major new transmission available

20 RETI Next Steps (cont d) Re-evaluate potential and cost-competitiveness of out-of-state resources; re-visit import assumptions Coordinate with EO S activities, BLM Solar PEIS, other planning activities Support transmission corridor designation at CEC Support work to implement other RETI recommendations

21 RETI expected to be of great value in the transmission permitting process Need determination RETI will provide objective, vetted data on renewable resource quality, transmission costs, and alternative options Environmental review RETI will not (and cannot) pre-judge CEQA, but it may direct developers and utilities to less environmentally-sensitive areas, so that better projects are presented for CEQA review Stakeholder buy-in, public support Some NIMBY-ism is inevitable, but RETI s broad stakeholder process has ensured consideration of wind variety of views and built good-will; key will be carrying this through the permitting process

22 More information Mission Statement, FAQs, meeting notices and minutes, presentations, reports, maps Contact: Anne Gillette,