OPSI Raleigh, NC Gas Market & Electric Integration
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Transcript of OPSI Raleigh, NC Gas Market & Electric Integration
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OPSI
Raleigh, NC
Gas Market & Electric Integration
John Lawhorn, Senior Director
Policy & Economic Studies
October. 8, 2013
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Major Interstate Pipelines in the MISO Footprint
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MISO’s Gas-Electric Coordination Efforts
Coordination with FERC• MISO has also been actively involved in FERC’s on-going gas-electric coordination efforts, including
participating in technical conferences, providing feedback on key gas-electric issues, and keeping FERC up-to-date on MISO’s collaboration with its Stakeholders and the natural gas industry
OPSI October 8, 2013 Meeting – Raleigh OPSI October 8, 2013 Meeting – Raleigh
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MISO’s Electric and Natural Gas Coordination Task Force
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BackgroundMISO Stakeholder group established in Oct. 2012 to provide a forum for cross-industry education and collaboration, to identify gas-electric interdependency challenges, and to develop recommendations for solutions.
Initiative StatusDraft Issue Paper on Misalignment of the Gas/Electric Days Completed Aug. 2013; recommendation to MISO Steering
Committee to survey MISO Market Participants on moving up MISO Day Ahead market schedule
Draft Issue Paper on Resource Adequacy
- Scope Loss of Load Expectation Study to capture fuel risk
In progress; examines GADS reporting, seasonal aspects of resource adequacy, LOLE methodology and capacity accreditation; considers market-based vs. administrative solutions
In progress; study completion targeted for Q1 2014
Draft Issue Paper on Coordinated Operations In progress; examines info/data sharing; trial communication exchange with NG pipelines planned
Develop database of NG generators and associated infrastructure in the MISO footprint
In progress
Develop web platform to consolidate critical pipeline notices impacting MISO, and pipeline overlay overhead display for MISO Ops
Being investigated / in progress
Set up seasonal meetings/conference calls with NG pipelines to improve communication and situational awareness.
Being investigated / in progress
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Phase III Gas Study Overview
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Takeaways
• The Phase III builds upon MISO’s previous gas infrastructure analyses through the application of complementary methodologies; the outcome is a comprehensive understanding of major gas infrastructure trends in the MISO Midwest and MISO South regions.
MISO Midwest
• There is a clear trend of decreasing sub-regional constraints and increasing interconnectivity in the MISO Midwest footprint, with isolated exceptions.
• Shifting supply and demand fundamentals outside and inside the Midwest Market will increasingly position the region as a destination rather than a waypoint for gas en route to other markets.
• The increased retention of supply passing through the region, the greater diversity of supply options and the growth in Bakken production will provide end users with opportunities to reassess asset portfolios.
• Strong supply basins in the Northeastern US will continue to impact Midwestern flow patterns and will increasingly help serve Midwestern demand; however, infrastructure expansion is still needed to move gas into the region and to address area-specific constraints.
MISO South
• End users in the MISO South Region will continue to have access to numerous supply sources due to an exceptionally well-connected pipeline network.
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APPENDIX
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Midwest Demand Still Mostly Residential and Commercial in Base Demand Scenario
Residential /Commercial is largest source of demand in region
Powerburn and Industrial demand have base load growth
Source: Bentek Energy
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Midwest Market Area Realizes a More Diversified Supply Portfolio
Source: Bentek Energy
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Up to 35% of inflow volumes were destined for downstream markets
Source: Bentek Energy
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The future of corridor flows into the Midwest Market
Source: Bentek Energy
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Nominal Gas Prices for MTEP13 and Phase III Study Scenarios
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