State of Maine Energy Assurance and Emergency Management Plan ____________________________________________________ _ Series: v2.0.2011.03.21 State of Maine: Proprietary Information S TATE OF M AINE O FFICE OF THE G OVERNOR 22 S TATE H OUSE S TATION A UGUSTA, M AINE 04333-0001 PAUL R. LEPAGE KENNETH C. FLETCHER GOVERNOR DIRECTOR OFFICE OF ENERGY INDEPENDENCE AND SECURITY March 2011 Honorable, Governor Paul R. LePage State of Maine Office of the Governor 1 State House Station Augusta, Maine 04333-0001 RE: State of Maine Energy Assurance and Emergency Management Plan Dear Governor LePage: The Governor’s Office of Energy Independence and Security (OEIS) is responsible for developing and revising the State of Maine Energy Assurance and Emergency Management Plan. The purpose of the Energy Assurance Plan is to provide the Governor, the Legislature, the Executive Departments, the energy industry and the general public with a clear, concise and comprehensive blueprint and strategy to address a potential or actual energy emergency caused by a supply disruption, a rapid and unsustainable increase in energy prices or other energy emergency situation. The OEIS created Maine’s first energy emergency plan in 2008 in response to Maine citizens’ increasing vulnerability to rapid price escalations, fossil fuel supply curtailments and infrastructure disruptions. The American Recovery and Reinvestment Act (ARRA) provided states with an opportunity to revise the plan to build greater capacity and resiliency for energy assurance and emergency planning and response. The State of Maine Energy Assurance and Emergency Management Plan is designed to be a living document that will be presented to the U.S. Department of Energy and updated every two years. Sincerely, Kenneth C. Fletcher Kenneth C. Fletcher Director Governor’s Office of Energy Independence and Security Series: v2.0.2011.03.21 State of Maine: Proprietary Information 2 State of Maine Energy Assurance and Emergency Management Plan _____________________________________________________ Acknowledgements The Office of Energy Independence and Security would like to thank all the contributing organizations, departments, and agencies and their staff members who provided us with assistance and information, including the Maine Emergency Management Association and Maine Public Utilities Commission. Special thanks to John Kerry, previous OEIS Director, for his preparation and oversight of the first State of Maine Energy Emergency Management Plan in 2008 and to Jeffrey Marks for his management and coordination of the new plan’s development. We also appreciate the dedicated, professional and enthusiastic approach of the AZ-Tech International team to the plan’s revision and update. This State of Maine Energy Assurance and Emergency Management Plan 2011 contains proprietary information prepared by AZ-Tech International for the State of Maine Governor’s Office of Energy Independence and Security (OEIS) in compliance with the American Recovery and Reinvestment Act (ARRA) of 2009 Energy Assurance Grant Program, Contract Number: CT20101203000000002886. Kenneth C. Fletcher, Director Governor’s Office of Energy Independence and Security Series: v2.0.2011.03.21 State of Maine: Proprietary Information State of Maine Energy Assurance and Emergency Management Plan _____________________________________________________ Contents 1. Executive Summary ……………………………………………………………………………….. 9 A. Background ……………………………………………………………………………….. 9 B. The Energy Assurance and Emergency Management Plan ………………………. 11 C. Future Direction ………………………………………………………………………….. 11 2. Introduction ………………………………………………………………………………………… 13 A. Purpos e …………………………………………………………………………………….. 13 B. Schedule for Review and Update ……………………………………………………… 15 3. Description of Maine Energy Consumption and Expenditures …………………………… 16 A. State Energy Profile ……………………………………………………………………… 16 Energy Market ………………………………………………………………………… 16 Economic Development …………………………………………………………….. 17 B. Energy Cons umption …………………………………………………………………….. 18 Electricity ………………………………………………………………………………. 18 Electricity Generation …………………………………………………………… 18 Maine Electric Grid ………………………………………………………………. 19 Electricity Infras tructure and Dis tribution …………………………………… 22 Petroleum ………………………………………………………………………………. 23 Fuel Oil / Heating Oil Infras tructure and Dis tribution ……………………… 24 Keros ene Infras tructure and Dis tribution …………………………..……….. 24 Northeas t Regional Home Heating Oil Res erve …………………………….. 24 Natural Gas …………………………………………………………………………….. 25 Natural Gas Infrastructure and Dis tribution …………………………………. 26 Natural Gas Development Potential of Marcellus Shale …………………… 28 Propane …………………………………………………………………………………. 30 Propane Infras tructure and Dis tribution ……………………………………… 30 Coal ………………………………………………………………………………………. 31 Renewable Energy Sources …………………………………………………………. 32 Renewable Energy Programs and Incentives ……………………………….. 34 4. Smart Grid Technology Applications ……………………………………………………………. 38 A. Electric Grid Infrastructure Projects and Proposals ……………………………….. 39 B. Cyber Security ……………………………………………………………………………… 43 Security Standards ……………………………………………………………………. 44 SCADA Sys tems ………………………………………………………………………. 45 5. Energy Infrastructure Vulnerability Assessment …………………………………………….. 46 A. Electricity Vulnerability …………………………………………………………………… 46 Contributing Factors to Electric Sys tem Vulnerability …………………….. 47 Series: v2.0.2011.03.21 State of Maine: Proprietary Information 4 State of Maine Energy Assurance and Emergency Management Plan _____________________________________________________ B. Petroleum Vulnerability ………………………………………………………………….. 48 Transportation Fuels …………………………………………………………………. 48 Contributing Factors to Transportation Fuel Vulnerability ……………….. 49 #2 Fuel Oil / Heating Oil ………………………………………………………………. 50 Contributing Factors to #2 Fuel Oil / Heating Oil Vulnerability …………… 50 Propane ………………………………………………………………………………….. 51 Contributing Factors to Propane Vulnerability………………………………. 51 Keros ene ………………………………………………………………………………… 52 Contributing Factors to Keros ene Vulnerability …………………………….. 52 C. Natural Gas Vulnerability …………………………………………………………………. 53 Contributing Factors to Natural Gas Vulnerability ………………………….. 53 D. Renewable Energy Vulnerabilities ………………………………………………………. 54 Biomas s …………………………………………………………………………………. 54 Contributing Factors to Biomas s Vulnerability ……………………………… 55 Wind / Solar / Tidal …………………………………………………………………….. 55 Contributing Factors to Wind / Solar / Tidal Vulnerability …………………. 55 E. Energy Prices and Expenditures ………………………………………………………… 55 Demand & Price Res pons e …………………………………………………………... 55 F. Historical Events that Caused Energy Outages in Maine …………………………… 56 6. Government Agencies & Their Roles Impacting the Energy Sector ……………………….. 64 A. Federal Agencies & Roles ………………………………………………………………… 64 B. State Agencies & Roles …………………………………………………………………… 65 State Authorities ……………………………………………………………………….. 66 Regional Authorities …………………………………………………………………... 69 C. Energy Emergency Organizations ………………………………………………………. 69 D. Energy Emergency Res pons e Mechanis ms …………………………………………… 70 7. State Plan for Enhancing Resiliency and Protecting Critical Energy Infrastructure …… 74 A. Critical Energy Infrastructure ……………………………………………………………. 74 B. Plan for Critical Infras tructure Protection ……………………………………………... 74 8. Energy Stakeholders ……………………………………………………………………………….. 75 A. Government Stakeholders ………………………………………………………………... 76 Federal …………………………………………………………………………………… 76 State ……………………………………………………………………………………… 77 B. Non-Governmental Organizations (NGOs ) …………………………………………….. 78 C. Producers ……………………………………………………………………………………. 79 D. Cons umers ……………………………………………………………………………….…. 80 E. IS O – NE ……………………………………………………………………………………… 80 F. Interaction with Federal, Regional and Local Authorities …………………………… 81 Series: v2.0.2011.03.21 State of Maine: Proprietary Information 5 State of Maine Energy Assurance and Emergency Management Plan _____________________________________________________ 9. Energy Supply Dis ruption Proces s …………………………………………………………… 83 A. Monitoring Energy Supplies …………………………………………………………... 83 Energy Supply Dis ruption Tracking ……………………………………………. 83 Main Features ………………………………………………………………………. 82 Status of Implementation ………………………………………………………… 84 Security ……………………………………………………………………………… 84 10. Energy Emergency Procedures by Phas ed Res pons e …………………………………. 87 11. Energy Emergency Res pons e Strategies for Maine ……………………………………. 89 A. Public Information Meas ures ……………………………………………………….… 89 B. Public Information and Dissemination Guidelines ………………………………. 90 Communication with the Media ………………………………………………… 91 Coordination ……………………………………………………………………….. 91 Operational Cons iderations ……………………………………………………... 91 Ongoing Public Information Resources ………………………………………. 92 Event- or Time Period-Specific Res ources …………………………………… 92 C. Waiver of Load Restriction Measures and Driver Hours ……………………….. 93 D. Demand Reduction Strategies ………………………………………………………. 93 Electric Demand Reduction Strategies ……………………………………….. 93 Natural Gas Demand Reduction Strategies ………………………………….. 94 Petroleum Demand Reduction Strategies ……………………………………. 94 Phas es of Petroleum Demand Reduction …………………………………….. 95 Additional Meas ures ……………………………………………………………… 98 12. State Plan for Enhancing Resiliency and Protecting Critical Energy Infrastructure .. 99 A. Metrics and Decis ion Support ………………………………………………………… 99 B. Energy Res toration Priorities ………………………………………………………….. 100 C. NDRF Priorities …………………………………………………………………………