PJM Queue Process Challenges. Aaron Berner Manager, Interconnection Analysis Planning Committee July 14, 2016

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1 PJM Queue Process Challenges Aaron Berner Manager, Interconnection Analysis Planning Committee July 14, 2016

2 Applications Types of applications: Attachment N new generation and uprates to existing generation Attachment S merchant transmission requests Attachment Y new generation, less than 2 MW synchronous, 5 MW inverter and not seeking Capacity Interconnection Rights (CIRs) Attachment BB inverter based generation no larger than 10kW Attachment EE Upgrade Request (IARR request) Attachment FF Long term firm request 2

3 Interconnection Process Overview Queue open Build model Feasibility Study Customer review report and return Impact Study Agreement Impact Study Customer review report and return Facility Study Agreement Facility Study Customer review report and return ISA/WMPA (CSA) or UCSA PJM prepare CSA [Required only if CSA not tendered with ISA] Customer review and return CSA Remaining timeline defined by ISA/WMPA milestones, CSA/UCSA schedule and rights to suspend 3

4 Feasibility Study High level, initial evaluation of project Customer can select a primary and secondary Point of Interconnection (POI) Estimates are desk-side level estimates (no field evaluation) 4

5 System Impact Study Refinement of Feasibility Study results Generation customer must select a single POI (if two were evaluated in the Feasibility Study) Analysis incorporates any changes that occurred since the Feasibility Study analysis was performed Estimates are still desk-side 5

6 Current Queue Process New Service Request Studies Feas Imp Fac ISA/CSA/UCSA/ WMPA Execution ISA/CSA/UCSA Implementation Commercial Operation Feasibility Study (Long Term Firm - Initial Study (no reinforcements identified) ; Not performed for Upgrade Requests) Long Term Firm Transmission Service Receives initial study PJM identifies flowgates which may be impacted by service No involvement with Transmission Owners No reinforcements or costs identified PJM performs an initial impact study review after customer returns impact study agreement (might be before queue close) Provides costs to customers for reinforcements Upgrade Requests (IARR) No studies before System Impact Study Phase All other types of projects Initial review of constraints, specifying reinforcements, cost estimates, time to construct reinforcements 6

7 Current Queue Process New Service Request Studies Feas Imp Fac ISA/CSA/UCSA/ WMPA Execution ISA/CSA/UCSA Implementation Commercial Operation Impact Study (Start of analysis for Upgrade Requests) Long Term Firm Transmission Service Receives updated impact study Upgrade Requests (IARR) First study performed All other types of projects Refinement of feasibility study 7

8 Study Alignment Studies intended to be evaluated in coordinated queue Current individual processes for the transmission service and IARR requests do not provide customers with study refinements similar to other projects in queue 8

9 Cost Allocation Rules for upgrades which are estimated to cost less than $5 million PJM must determine if any project in the queue adds load to the element which is overloaded at the end of the queue to assign cost allocation to all customers who add load Requires PJM to wait for end of queue to begin to study projects Reduces the potential that a single customer will fund a reinforcement by themselves 9

10 Alternate Queue Attempt to move projects through process quicker by determining that no Tariff facilities are affected Requires PJM to wait for end of queue to begin to study projects Moves customers to a Wholesale Market Participation Agreement if project is qualified for the Alternate Queue and avoids re-tools 10

11 Potential Delays Less than $5M and Alternate Queue Requires PJM to wait for end of queue to begin to study projects Look for ways to restructure rules to reduce delays in obtaining results for smaller generation projects 11

12 Next Steps Problem statement PC sub-group 12

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