TO: Phillip Augustin – Chair, WECC Technical Studies Subcommittee

Doug Tucker – WECC Technical Staff

FROM: Todd Lichtas, Planning Engineer, Arizona Electric Power Cooperative

RE: Arizona Electric Power Cooperative – 2017 Annual Progress Report

DATE: February 28, 2017

Attached is Arizona Electric Power Cooperative’s 2017 Annual Progress Report to WECC in accordance with WECC Progress Report Policies and Procedures. New facilities and their planned system operation are in conformance with NERC Standards and WECC System Performance Criteria. If you have any questions regarding this, please contact me at (520) 586-5114.

Sincerely,

Todd Lichtas TSS Representative Planning Engineer Arizona Electric Power Cooperative 2017 Annual Progress Report to WECC Arizona Electric Power Cooperative (AEPCO)

The following projects on Arizona Electric Power Cooperative’s System qualify as transmission facilities with voltage levels above 200 kV

14.4 MVAr Capacitor Bank on Butterfield 230 kV Bus Date of Operation: January 2017

The Purpose of the project is to provide adequate voltage support for various contingencies in the region on both Arizona G&T’s system and neighboring Tucson Electric Power’s (TEP) system.

50.0 MVAr Capacitor Bank on Dos Condados 230 kV Bus Estimated Date of Operation: October 2018

The Purpose of the project is to provide adequate voltage support for various contingencies in the region on both AEPCO’s system and neighboring Tucson Electric Power’s (TEP) system by moving one of the existing capacitors from AEPCO’s Morenci 230 kV bus to AEPCO’s Dos Condados 230 kV bus.

Second 345/230 kV Transformer at Greenlee substation Estimated Date of Operation: February 2019

The Purpose of the project is to increase reliability for various contingencies by providing additional transformation at AEPCO’s Greenlee substation. The project will purchase a new 345/230 kV 400 MVA transformer for MW & E Copper Verde substation and relocate one of the existing transformers at Copper Verde to AEPCO’s Greenlee substation.

Second 345/230 kV Transformer at Bicknell substation Estimated Date of Operation: April 2019

The Purpose of the project is to increase reliability for various contingencies by providing additional transformation at AEPCO’s Bicknell substation. The project will purchase a new 345/230 kV 400 MVA transformer for MW & E Copper Verde substation and relocate one of the existing transformers at Copper Verde to AEPCO’s Bicknell substation.