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SECTION 2-TRANSMISSION PLAN SUMMARY Nevada Power Is The

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SECTION 2-TRANSMISSION PLAN SUMMARY Nevada Power Is The SECTION 2-TRANSMISSION PLAN SUMMARY Nevada Power is the electric utility for most of Southern Nevada. Its service area is approximately 4,500 square miles. Service is primarily to Las Vegas, Henderson, and several smaller towns in Clark County. Nevada Power is a wholly-owned subsidiary of Sierra Pacific Resources. Nevada Power operates 1,665 miles of Federal Energy Regulatory Commission ("FERC") jurisdictional transmission lines ranging from 500 kV to 69 kV. Transmission services are offered under the Sierra Pacific Resources Operating Companies' Open Access Transmission Tariff (OATT). Nevada Power's existing Rd-, transmission system is composed of am,-=- three sections as shown in Figure TP-1. The first part is the uncongested grid, where the vast majority of Nevada Powcr's customers reside. Geographically, the uncongested grid is located within thc Las Vegas Valley. Generally, the ability to deliver resources is not limited by the transmission facilities within this area. The second and third parts of the transmission system deal with congested portions of the transmission grid. These are shown on Figure TP-1 as heavy dashed lines. The second part is the Southern cut-plane, which allows s:"b, Nevada Power to bring in power % from market hubs - namely Mead, McCullough, and Eldorado Substations - located south of Las A Vegas in the Eldorado Valley. The Neda Power- Southern cut-plane consists of . fourteen 230 kV bulk transmission lines electrically situated in parallel with each other. These lines are connected to Mead, McCullough, Eldorado, and Hoover. They connect to several trading hubs south of Nevada Power's transmission system and proportionally bring in import or deliver out any export that is scheduled across this cut-plane. Annual studies are done to verify the capability of this cut-plane and to identify the southern cut plane transmission limitation. The third part is the Northern cut-plane, comprised of the Red Butte-Harry Allen 345 kV interconnection with PacifiCorp in Utah and the Crystal interconnection with the Navajo - McCullough 500 kV line. The lines south of Harry Allen 230 kV currently limit Nevada Power's ability to bring in generation resources and purchased power from north of Las Vegas, including resources from Reid Gardner, Crystal, and the Nevada- Utah border, as well as generation interconnected to Harry Allen 230 kV. With the addition of the Harry Allen - Mead ("HAM") 500 kV line in 2007, this constraint will be reduced so as not to be the limiting factor of the northern cut-plane. Annual studies are conducted to verify the capability of this cut-plane and to provide the northern cut-plane transmission limitation. SPECIFIC REQUESTS FOR COMMISSION APPROVAL In this 2006 Resource Plan, Nevada Power seeks Commission approval of the following (unless otherwise noted, all estimated costs are in year spent dollars). 1. To immediately begin securing and purchasing easements, rights of way (ROW), as well. as authorize necessary permitting and construction for the following Ely Energy Center ("EEC5)-related projects: - Ely Energy Center 500 kV Switching Station - Ely Energy Center-Robinson Summit 500 kV No. 1 Transmission Line - Robinson Summit 5001345 kV Switching Station - Falcon-Gonder 345 kV line fold into Robinson Summit 5001345 kV Substation - Harry Allen-Robinson Summit 500 kV No. 1 Transmission Line (EN-ti) - Harry Allen 500 kV Switching Station improvements for EEC (EN-ti) - Funding to initiate studies, permitting, and land acquisition for Nevada Power's Robinson Summit to Hany Allen 500 kV No. 2 Transmission Line. Total Estimated Cost: $570.6 million (Allocation - 80 percent to Nevada Power and 20 percent to Sierra). The timing of the expenditures may change due to Robinson Summit Substation being put into service in 2008 rather than 2010. 2. To immediately begin securing and purchasing easements, ROW, as well as authorize necessary permitting and construction for the following White Pine Energy Associates ("WPEA") and Great Basin Transmission Company ("GBT"), related projects: - Robinson Summit and Hany Allen Substation work necessary for GBT (LS Power) Transmission Interconnection of its Robinson Summit - Harry Allen 500 kV line - Harry Allen-Mead 500 kV line No. 2 and associated Substation work for the WPEA (LS Power) Point to Point Transmission Service Request - if executed or filed unexecuted 3. To immediately begin sccuring and purchasing easements, ROW, as well as authorize necessary permitting and construction for the following: Sunrise fold of Harry Allen to Mead 500 kV line and associated 230 kV, 138 kV and 69 kV modifications between Sunrise and Winterwood Substations Sunrise to Clark 230 kV transmission line Sunrise to Equestrian 230 kV transmission lines (two lines) Equestrian North 5001230 kV North Suhstation Equestrian North to Equcstrian 230 kV transmission lines (two lines) Equestrian to Faulkner 230 kV line Equestrian North fold of Harry Allen to Mead 500 kV line Northwest 500/230 kV substation transformer bank No. 2 Thunderbird 2301138112 kV substation Thunderbird to Iron Mountain 230 kV line Thunderbird to Northwest Substation 230 kV line Five new 230112 kV substations along the Harry Allen to Northwest 230 kV line corridor Mobile 230 x 138/12 kV 25 MVA transformer for new 230/12 kV Substations Brooks 2301138 kV substation Southeast 1, Southeast 2, and West Henderson 230112 kV Substations Sinatra Project Iron Mountain Substation 2301138 kV transformer bank No. 2 Northwest Substation 2301138 kV transformer hank No. 2 Arden 230i138 kV transfomler bank No. 2 Valley Electric Interconnection at Northwest 230 kV substation Clark 2301138 kV bank No. 6 Transformer Change out Solargenix 230 kV Interconnection Total Estimated Cost: $848.9 million 4. To immediately begin securing and purchasing easements, ROW, as well as authorize necessary permitting and construction for the Clark Peaker Units project: Total Estimated Cost: $384.3 million 5. Westconnect membership costs for Nevada Power Company. The estimated WcstConnect membership cost is $52,000 in 2006, $54,000 in 2007, $55,000 in 2008, and $57,000 in 2009. 6. Spending up to $350,000 over a 12 month period for Nevada Powcr's participation in regional transmission expansion feasibility analysis. 7. Funding to initiate studies, permitting, and land acquisition for Sunrise to Highland, Highland to Sinatra, and Highland to Brooks 230 kV transmission lines (20071, Total Estimated Cost: $1,000,000 in 2007. TRANSMISSION PATH RATINGS Nevada Power owns three transmission paths, each consisting of one or more transmission lines, that are rated by the Western Electricity Coordinating Council ("WECC") and is a partial owner of one additional WECC-rated transmission path. Nevada Power and Sierra are in the process of rating the proposed Eastern Nevada Transmission Intertie ("EN-ti"). Descriptions of all the Nevada Power rated transmission paths are as Follows: Crvstal500 1 230 kV Path (WECC Path # 77) This path allows energy to be moved from the Navajo - McCullough 500 kV transmission line into the northeast comer of the Nevada Power system at Crystal. This path is rated for 950 MW of inbound flow measured at Crystal. Harry Allen - Red Butte 345 kV Path (WECC Path # 35) This path allows energy to be moved to and from Utah (PacifiCorp - East) to the northeast comer of the Nevada Power system at Hany Allen. This path is rated for 300 MW of bi-directional flow; however, actual schedules from Utah are significantly limited due to load growth in Southern Utah not by the Path rating. East of River (WECC Path #49) Nevada Power is a 25 percent owner in the Navajo - McCullough 500 kV transmission system. This line is one of several that comprise the WECC East of the River ("EOR) path #49. Nevada Power's contractual rights on the Navajo- McCullough 500 kV line are 371 MW in either direction along the entire length of this path. These rights can be used to deliver power to Nevada Power via Crystal or McCullough substations. A planned upgrade of the EOR path is expected to increase the Nevada Power rating - via a pro-rata share method of allocation of the total increase among the various EOR path owners. If Nevada Power participates in the funding of this upgrade project, it would be allocated approximately 75 MW of additional transmission capacity across this path. Nevada Power's rights would then be increased to 446 MW on the Navajo - McCullough 500 kV system. Centennial Proiect (WECC Path # 111-2) The Centennial Project has been granted a Phase I11 rating for delivery of 3,000 MW injected at the Hany Allen 500 kV substation. This rating has been evaluated for both the delivery of the full 3,000 MW rating to Mead substation, which is owned by the Westem Area Power Administration ("Western"), and for partial delivery of the rated power into the Nevada Power system with the balance going to Mead substation. Upon completion of the Centennial Project this Phase 111 rating will become a WECC Accepted Rating. Eastem Nevada Transmission Intertie ("EN-ti") The EN-ti is thc proposed Robinson Summit to Hany Allen 500 kV transmission line. Nevada Power has initiated the WECC Regional Review Process, the first stage of the WECC three-phase path rating process. The initial estimate for this rating is 2,000 MW north to south and 1,000 MW south to north. Great Basin Transmission, LLC (GBT) has also initiated the WECC path rating process for a second 500 kV transmission line that parallels the EN-ti 500 kV transmission line, between Robinson Summit and Hany Allen 500 kV substations. Both projects are being proposed to interconnect new coal generation projects in Northcrn Nevada, allow expanded access to renewable resources, and allow the combined utilization of Nevada Power and Sierra Pacific Power resources. Itizport Capability Import capability is the energy that can bc transferred into a control area.
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