THE FUTURE OF THE GRID:
An Interactive Summit
Tuesday, March 8, 2005
7:00 – 8:00 8:00 – 8:20 Registration and Continental Breakfast Welcome and Introduction by Summit Chair Laurie J. Oppel, Managing Director, Navigant Consulting, Inc. Federal Transmission Policy and Regulation 8:20 – 9:10 Keynote Address: THE BUSH ADMINISTRATION’S TRANSMISSION POLICIES Kevin Kolevar, Director, Office of Electricity and Energy Assurance, U.S. Department of Energy Featured Speaker: AN UPDATE ON FERC TRANSMISSION POLICY Nora Mead Brownell, Commissioner, Federal Energy Regulatory Commission Morning Refreshment and Networking Break Reliability and the Grid 10:30 – 11:15 Featured Speaker: AN UPDATE ON NERC RELIABILITY STANDARDS Gerry Cauley, Director of Standards, North American Electric Reliability Council Panel One: THE IMPACT OF NERC’S RELIABILITY STANDARDS
For the entire history of the bulk-power transmission grid, the rules for the operation of the bulk-power transmission system have been voluntary. While such voluntary standards worked well in a system of integrated utilities, with the changing electricity markets and industry players, the electric utility industry has reached a different conclusion: the reliability rules must be made mandatory and enforceable. NERC’s Version 0 Reliability Standards are currently undergoing balloting and are proposed to be effective by April 1, 2005. This panel will explore the evolution to mandatory reliability standard and what this means for the operation and reliability of the transmission grid. It will also explore how prescriptive the standards are likely to be and what impact they will have on utilities flexibility in making maintenance, operation, and investment decisions.
9:10 – 10:00
10:00 – 10:30
11:15 – 12:15
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Moderator: Stanley W. Widger, Jr., Partner, Nixon Peabody LLP Panelists: Roberta S. Brown, P.E., CEO, Sassafras River Associates Jack Hawks, Vice President, Public Affairs & Planning, Electric Power Supply Association R. Scott Henry, Vice President, Energy Policy, Duke Power Scott Moore, Vice President, transmission Operations, American Electric Power 12:15 – 1:45 Group Luncheon Hosted by:
RTO Developments and Seams Issues 1:45 – 3:45 Panel Two: UPDATES FROM THE NATION’S RTOs
This panel will provide conference participants updates from the Regional Transmission Organizations and Independent System Operators throughout the United States. The panelist will discuss such questions as: How will RSC policies on transmission siting and expansion affect RTOs? How will RTOs coordinate with merchant transmission companies and independent transmission companies? Will FERC’s recent inquiry regarding accounting standards and cost containment measures for RTOs affect transmission planning and investment? What is the role of the RTO in promoting new transmission technologies? How would federal reliability legislation, if enacted, affect RTO operations?
Moderator: Harvey Reiter, Partner, Stinson Morrison Hecker Panelists: Jim Detmers, Vice President of Grid Operations, California Independent System Operator (CAISO) Steven R. Herling, Vice President, Planning, PJM Interconnection, L.L.C. Carl Monroe, Senior Vice-President, Operations & Chief Operating Officer, Southwest Power Pool William J. Museler, President and CEO, New York ISO 3:45 – 4:15 4:15 – 5:15 Afternoon Refreshment and Networking Break Panel Three: SEAMS ISSUES
Seams issues will occur whenever two or more regions with slightly or drastically different market rules and operating protocols attempt to conduct transactions across those boundaries. A recent FERC decision, sure to elicit some debate from utilities in the Midwest and MidAtlantic regions, allows utilities to seek recovery of lost revenues due to the FERC-mandated elimination of through-and-out charges. The elimination of this “seam” is a key step in integrating the PJM and MISO markets. As more controllable transmission lines are constructed between the regions, such as New York, New England, and PJM, it will also be necessary to resolve scheduling-related seams issues across these facilities. This panel will discuss the direction and resolution of key seams issues, such as these, in an effort to develop a more integrated regional markets.
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Moderator: Robert Daileader, Partner, Nixon Peabody LLP Panelists: Jim Detmers, Vice President of Grid Operations, California Independent System Operator (CAISO) Kevin Jones, Ph.D., Associate Director, Navigant Consulting, Inc. John Reese, Senior Policy Advisor, Director of the Office of Economic Development and Policy, New York State Public Utility Commission William H. Whitehead, General Manager, Transmission and Interconnections Planning, PJM Interconnection, L.L.C. 5:15 – 6:45 Reception Hosted by:
Wednesday, March 9, 2005
State Transmission Policies and Regulation 8:00 – 9:00 Panel Four: STATE TRANSMISSION POLICIES AND REGULATION
Each state has its own process for granting permission to entities seeking to build new transmission lines, and even a small number of states do not require a siting certificate. State utility commission also can determine who pays for the transmission investment in some situations. In this panel, we’ll hear various approaches to policies and regulations being taken by state commissions in transmission planning, siting, development, and cost recovery.
Moderator: Richard M. Cogen, Partner, Nixon Peabody LLP Panelists: Bert Garvin, Commissioner, Wisconsin Public Service Commission Diane Munns, Chairman, Iowa Utilities Board Sharon M. Reishus, Commissioner, Maine Public Utilities Commission Enabling a Green Grid 9:00 – 10:00 Panel Five: ENABLING A GREEN GRID
RTO/ISOs may eliminate some of the structural and organizational barriers which prevent renewable energy projects from integrating into the grid and fully accessing the competitive markets. Presently under study in New York is the level of wind penetration that may create a reliability problem on the grid. The Rocky Mountain Area Transmission Study group is considering various types of transmission service to encourage the development of wind resources in recognition of the location and variability of the resource. This panel will discuss the policies necessary to encourage the development of a greener grid.
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Moderator: Elizabeth W. Whittle, Partner, Nixon Peabody LLP Panelists: Jay Carriere, Manager, Federal Regulatory Affairs, PacifiCorp Robert E. Gramlich, Economic Advisor to Chairman Pat Wood III, Federal Energy Regulation Commission Mike Jacobs, Acting Policy Director, American Wind Energy Association Charlie Smith, Executive Director, Utility Wind Interest Group 10:00 – 10:30 Morning Refreshment and Networking Break New Technologies and the Grid of the Future 10:30 – 12:00 Panel Six: THE FUTURE USE OF NEW TECHNOLOGIES IN THE TRANSMISSION SYSTEM
The transmission technology applied in building a majority of the US grid has not changed much in the last 50 years. Transmission towers and aluminum conductors still rule the day. Even modern grid control technologies such as state estimation is more than 25 years old. While significant new technologies such as Flexible AC Transmission Systems (FACTS) and High Voltage DC (HVDC) system have been developed and many successful installations are reported worldwide, their application in the vast US market is low compared to the market potential. What is holding back the application of new technology? Is it their high costs? Does regulatory uncertainty around transmission investment a factor? Are utilities too conservative and techno-phobic? The panelist will explore these questions.
Moderator: Rana Mukerji, Vice President & General Manager, ABB Electric Systems Consulting Panelists: Gil Bindewald, P.E., Program Manager, U.S. Department of Energy, Office of Electric Transmission and Distribution Chris Hickman, Director of Engineering and Technology, Public Service of New Mexico John Howe, Vice President Electric Industry Affairs, American Superconductor 12:00 Summit Adjourns