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Political, Operational and Technical Challenges in Establishing Cross-border Transmission Networks
the US is capable of meeting the nation’s energy challenges. Today’s put, the integrated EHV grid needs to be planned on an integrated
technology allows transmission planners to study system needs under basis and on an interconnection-wide level. Much like the national
a variety of conditions, enabling the system itself to take advantage of highway system, which integrated new interstates with existing
more interconnections. The US government recently awarded highways in the US, focusing and standardising our transmission
substantial funding to support collaboration between the country’s planning processes will revolutionise the transmission grid and
three interconnection transmission networks. While a substantial leap ensure the delivery of lower-cost and more efficient generation.
Despite the debate that has occurred over the past few years, very
little progress has been made. We need to be strategic about the
While transmission is vital to
way we build the system to ensure that we build the ‘right’
the successful implementation
transmission and build it smarter.
of any climate change solution,
History has taught us that simple objectives, clarity of purpose and a
its progress should not be
standardised approach can enable revolutionary advances in
stymied by its role in the
infrastructure projects. Today, a parochial approach to transmission
development and a reliance on local generation are overly
climate change debate. complicating what should be a relatively simple task.
Transmission is a small part of the delivered cost of energy, but a
forward, unless coupled with a clear objective and a set of planning robust EHV backbone system can provide significant benefits and have
criteria that treats all EHV transmissions the same and applies the same a great impact on our energy future. Empowering FERC to make siting
rules consistently, efforts to build a robust system will fail. Specific decisions would further complement the benefits of reforming EHV
recommendations include: transmission planning. Similarly, EHV transmission systems that
provide benefits across broad regions will necessitate relatively simple
the creation of FERC-approved interconnection-wide planning and predictable cost allocation policies that ensure that everyone who
principles and assumptions that apply to all new EHV facilities and benefits from the system – the entire region – shares in the cost of its
to be applied by all planning authorities and transmission planners development. In addition to mitigating the cost per customer,
within an interconnection; principles that ensure broadly defined cost responsibility will reduce
that all EHV facilities within a region and inter-regional facilities
would be subject to the interconnection-wide planning principles
and assumptions, replacing previously FERC-approved cross-border
The transmission grid that we
agreements relating to cost allocation and planning;
FERC to establish an aggressive schedule for these plans to enable
build today will be the
delivery of the first phase of an interconnection-wide, long-term
foundation for energy markets
blueprint, including articulation of the benefits and costs of the
and system reliability and will
plan; and
FERC approval of EHV transmission plans and cost allocation determine how quickly we can
methodologies resolved for all new EHV assets across the Eastern
adapt to changes in our
and Western interconnections.
generation portfolio.
Adoption of consistent standards for EHV transmission planning is not
a philosophical decision with respect to what is built, but rather is
imperative to avoid system redundancy and to ensure adaptability and the vigorous attempt to shift and re-shift costs among groups of
the efficient use of resources. customers. Today, that cost shifting is the hallmark of the rate
proceedings that bring inherent delays, and often enters into debate
An enhanced interconnection-wide, multistate planning regime is about what should be built.
needed for EHV transmission for better integration into existing
fragmented facilities. Today, transmission expansion plans are being The transmission grid that we build today will be the foundation for
developed on a fragmented basis to accommodate new-generation energy markets and system reliability and will determine how quickly
grids. However, the lack of EHV planning standardisation and a we can adapt to changes in our generation portfolio. Without
multiregional planning process are resulting in paralysis. Simply concrete action in the short term, our opportunity will have passed. n
1. US Department of Energy, Office of Electricity Deliverability 3. PJM Interconnection, LLC 96 FERC 61,061 (2001) July at Ohio can have significant impacts to the entire Northeastern
and Energy Reliability, GridWorks Website. America operates 61,240. Available at: www.ferc.gov/docs-filing/elibrary US and Canada; and the inherent value of a robust grid.
about 157,000 miles of high-voltage (>230kV) electric 4. Brattle Group, Transmission Investment Needs and Cost The risk associated with a tightly integrated grid is an
transmission lines. Avalable at: www.oe.energy.gov/ Allocation: New Challenges and Models December 1, 2009 overtaxed, fully loaded system, which was clearly
smartgrid.htm (Presented to the FERC by Johannes Pfeifenberger, Peter Fox- demonstrated with the 2003 blackout. The 500kV and
2. Brattle Group, Transmission Investment Needs and Cost Penner and Delphine Hou), page 13. 765kV systems in place in PJM prevented the cascade of
Allocation: New Challenges and Models December 1, 2009 5. RTO or planning authority subject to FERC Order 890 events on the lower voltage system.
(Presented to the FERC by Johannes Pfeifenberger, Peter Fox- requirements. 7. Federal Highway Administration, Available at:
Penner and Delphine Hou). 6. The blackout of August 2003 demonstrated how events in www.fhwa.dot.gov
MODERN ENERGY REVIEW VOLUME 2 ISSUE 1
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