May 2010 Newsletter
This month, the California Transmission Planning Group (CTPG) released its "Final Phase 2 Study Report" as part of a multi-phased plan to help meet applicable California mandates, including achieving the Renewables Portfolio Standard (RPS) of 33 percent by 2020.
The Phase 2 Study Report analyzed 13 scenarios that could form the basis for a statewide transmission plan. Importantly, the findings in the Phase 2 Study Report are not prescriptive, as the CTPG is not a generation or transmission project decision-making body. The Phase 2 Study Report identifies potential scenarios that merit further consideration during Phase 3 and in CTPG's Phase 3 report. That report is expected to identify a suite of "least regrets" transmission plan options that would provide access to the many renewable resource areas in California, both north and south.
The Phase 2 Study Report reflects comments and recommendations from a host of stakeholders and entities with roles in the planning, development and implementation/operation of transmission systems, including California's principal energy agencies and the California Renewable Energy Transmission Initiative (RETI).
"As a member of CTPG we're encouraged at the level of involvement from stakeholders and the close coordination with RETI," said James Beck, general manager for the Transmission Agency of Northern California. "If there's one thing everyone agrees on, it's that California needs more transmission capacity -- not just to meet the RPS goals, but also to ensure we have reliable energy sources as our population grows and energy demands continue to increase."
While both the CTPG and RETI are exploring options for meeting California's RPS goals, their approaches are intended to be complementary. RETI is focused on identifying and prioritizing where the renewable sources that can meet these goals are located, both inside and outside California. CTPG is conducting the technical studies to identify the transmission infrastructure needed to get those renewable resources on the grid.
CTPG has also published its Final Phase 3 Study Plan and is expected to publish its final report later in 2010. The CTPG transmission planning and evaluation process will continue on a similar cycle in 2011.
California's most critical energy infrastructure is its transmission system. Yet, the state is burdened with aging transmission infrastructure, particularly in Northern California.
This problem comes with substantial costs for consumers. In 2008 alone, congestion and related reliability services cost Californians approximately $232 million, up from $221 million in 2007, according to the Cal-ISO Market Issues and Performance 2008 Annual Report.
Suffice it to say, the magnitude of the infrastructure that California has to plan, permit, procure, develop, and connect with the state's electricity power grid in the next decade to meet future needs is unprecedented. Using past practices as a guide, the scale of transmission and generation that needs to be built to meet California's Renewables Portfolio Standard of 33 percent will take at least 10 to15 years, assuming implementation were to start in 2010.
Thanks to extensive feedback from TANC members and stakeholders, TANC has redesigned its website to provide more user-friendly information on everything from the basics of how energy moves from source to the end-user to information about how transmission lines are designed and built. By signing up on our website, you can receive future newsletters and keep informed on the latest transmission news and information.
At its May 19 commission meeting TANC adopted a new set of planning principles for transmission projects, to (a) guide its participation in regional and statewide planning efforts and (b) establish rules of engagement in the pursuit of resource and transmission solutions, once TANC members have identified the need for additional transmission. Read TANC's Planning Principles to learn more.
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