Michael Skelly, President April 2013 Clean Lines projects connect - - PowerPoint PPT Presentation

Clean Line Energy Clean Energy. Delivered.

Michael Skelly, President April 2013

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Clean Line’s projects connect the best wind resources to load centers

Rock Island Grain Belt Express Plains & Eastern Centennial West

Existing Transmission Lines (500–999kV AC and HVDC)

Clean Line projects

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National Grid brings extensive experience in building, owning, and operating large transmission projects in the United States and overseas National Grid owns and operates more than 8,600 miles of transmission in the United States National Grid joins Clean Line’s existing investors that include private equity firm ZBI Ventures

National Grid is a key investor in Clean Line Energy

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50 100 150 200 2014 2016 2018 2020 2022 2024

Substantial growth in demand for renewable energy requires a portfolio of projects

PJM

• Demand driven by

existing RPS requirements (nine states and DC) Renewable Energy Supply-Demand, TWh California

• Demand driven by

existing state RPS (33% by 2020) Southeastern United States

• Reflects TVA’s 2,500 MW

renewables target and 10% renewables penetration in Duke & Southern by 2020 Region

1. Current renewables supplies includes existing wind, biomass, and solar projects Source: EIA, DSIRE, AWEA, TVA 2010 IRP

20 40 60 80 100 2014 2016 2018 2020 2022 2024 20 40 60 80 2014 2016 2018 2020 2022 2024 Demand Clean Line Projects Current renewables supply1

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HVDC transmission brings a unique set of advantages for wind integration

Access to high capacity factor wind resources Appropriate technology for long-distance transmission Move variability to larger balancing areas that are better suited to integrate large amounts of wind Transmit large volumes of renewables with high reliability and direct control

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Grain Belt Express will deliver wind energy from Kansas to Missouri, Illinois, Indiana and states farther east

KEY MILESTONES

Utility Applications Interconnection Outreach

• Obtained public utility status in Kansas; will file for siting approval in 2013
• Filed utility application in Indiana in November 2012
• PJM: Feasibility Study complete, System Impact Study underway at Sullivan 345 kV
• MISO: Feasibility Study complete for 500 MW injection at Palmyra Tap 345kV
• SPP: Scheduled to seek approval for Criteria 3.5 Affected Parties Study in Aug 2013
• Granted Franchise Approvals by all 16 Missouri counties in study area
• Nearly 800 community leaders from more than 100 Kansas, Missouri and Illinois

counties provided input on routing at roundtable meetings

• Presented planning corridors in Kansas to more than 2,200 people at public open

house meetings

STATUS

Environmental & Routing

• Route network established

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Rock Island will connect western Iowa with PJM 765 kV system

KEY MILESTONES

Regulatory Interconnection Converter Stations Outreach

• Received FERC negotiated rate approval
• Filed with the Illinois Commerce Commission for public utility status and route

approval; will submit preferred route to the Iowa Utilities Board in 2013

• PJM: Re-tooled System impact study underway
• MISO: No Harm study underway
• Converter station land options acquired in Illinois and Iowa
• Development agreement with Siemens for HVDC converter stations
• Invited more than 40,000 property owners and residents within study corridors to

33 open house meetings

• Held 10 local business open houses in IA and IL to build supply chain database

STATUS

Agreements & Partnerships

• MOU with Kiewit for EPC development support
• Preferred supplier agreement with Southwire (Flora, IL)

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Centennial West Clean Line will deliver renewable energy from New Mexico and Arizona to California

KEY MILESTONES

Interconnection Federal Procedure Outreach Environmental & Routing

• CAISO interconnection request filing planned for 2014; WECC Project

Coordination Review completed

• Development agreement with Western Area Power Administration
• Held 18 community leader workshops in four states and two tribal nations to

gather information about local routing opportunities and constraints

• SF – 299 Right of Way application filed with BLM in 2010
• BLM National Project Manager coordinating NEPA process with Western, USFS

Agreements & Partnerships

• MOU with New Mexico Renewable Energy Transmission Authority

STATUS

9 STATUS KEY MILESTONES

Interconnection

• Draft System Impact Study from TVA
• Criteria 3.5 (No Harm) approved by SPP

Regulatory

• FERC granted Clean Line authority to negotiate rates with customers
• Department of Energy (DOE) and Southwestern Power Administration considering

participation under Section 1222 of EPAct 2005

• Public utility in Oklahoma

Environmental & Routing

• Potential route network submitted to DOE
• DOE started Environmental Impact Statement (EIS) under NEPA, expect final EIS Q3 2014

Agreements & Partnerships • MOU with Fluor for EPC development support

• MOU with General Cable (Malvern, AR)

Public Outreach

• Held 33 roundtables, 9 local business opportunity meetings, and 20 open houses for

local community leaders and stakeholders in OK, AR, and TN in 2012

Plains & Eastern will connect the Oklahoma panhandle to the TVA system

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Finally, a few words on federal wind policy. . .

• The American wind industry was built on

the combination of the federal PTC plus state RPS standards

• Wind turbine technology will continue to

bring lower costs, however;

• A federal policy of subsidizing every energy

resource except wind/solar cannot reasonably be expected to result in strong wind growth

• Master Limited Partnerships are not an

effective substitute for PTC as wind projects do not produce taxable income for 10+ years

• Don’t forget transmission!

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