Southwest Power Pool STRATEGIC PLANNING … · At this point, Mel indicated that 2 models for...

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MINUTES NO. 73 Southwest Power Pool STRATEGIC PLANNING COMMITTEE MEETING Intercontinental-Stephen F. Austin, Austin, Texas January 19, 2012 • MINUTES • Agenda Item 1 – Call to Order and Administrative Items Ricky Bittle (AECC) called the meeting to order at 8:00 a.m. SPC members participating in person were Jim Eckelberger (Director); Harry Skilton (Director); Josh Martin (Director); Rob Janssen (Dogwood); Mel Perkins (OGE); Bary Warren as proxy for Mike Palmer (EDE); Mike Wise (GSEC); Mitch Elmore as proxy for David Hudson (Xcel); and Jon Hansen (NPPD). SPP Staff included Michael Desselle, Carl Monroe, Paul Suskie, Lanny Nickell, Katherine Prewitt, Antoine Lucas, Jay Caspary and Josh Phillips. Other guests participated in person or via phone (Attendance – Attachment 1). Mr. Bittle referred to the minutes of October 13, 2011 and asked for additions or corrections (Minutes 10/13/11 - Attachment 2). The minutes were approved by acclamation. Agenda Item 2 – Review Past Action Items Michael Desselle provided a review of past action items (Pending Action Items Status Report – Attachment 3). Agenda Item 3 – Markets and Operations Policy Committee Update Bill Dowling (Midwest Energy and MOPC Chairman) provided an informational report following the MOPC meeting from the previous two days. Of particular interest to the SPC were discussions regarding the Economic Studies Working Group (ESWG) ITP20 scenarios. He noted the approval of TRR 051 (Aggregate Study Exit fees), approval of an advisory vote by the MOPC on a Regional standard for Under-Frequency Load Shedding, and approval of several MPRRs. Bill noted approval of the ITP-NT and ITP-10 Transmission Expansion Plans with accompanying action items. Finally, Bill noted that staff was directed to move forward on software development supporting the Crediting process for direct assigned facilities. Agenda Item 4 – WAPA/Basin Report Carl Monroe provided an informational status report on WAPA/Basin consideration of SPP membership. Agenda Item 5 – Aggregate/GI Study Improvement Efforts Lanny Nickell reported on ongoing staff and BPWG efforts aimed at improving the Aggregate Study process. He noted that the BPWG had met on several occasions and seemed to be leaning towards some “tweaking” of the process. He noted that staff is recommending an effort to consider innovative approaches in parallel with the BPWG’s to consider minor modifications. He discussed the Innocentive.com approach in which SPP would seek innovative solutions from interested participants. SPP would pay Innocentive to craft the problem statement and provide solvers monetary awards depending upon the approach taken. Lanny described the two approaches that SPP could take: Ideation vs. Theoretical. Jim Eckelberger moved for acceptance of SPP moving forward with the Innocentive approach with Mel Perkins seconding. The motion passed with no opposition. Agenda Item 6 – SPCTF Order 1000 Report Mel Perkins provided a status update of the efforts by the SPCTF on Order 1000. He noted that the SPCTF had held 3 face-to-face meeting to dates and had made 1 decision. The decision by unanimous vote was for SPP to seek to retain the Byway ROFR. He noted that the Task Force was focused on 2 areas: 1.) the compliance model; and, 2.) the selection criteria. At this point, Mel indicated that 2 models for compliance are under consideration by the Task Force. The difference in the models is the point in

Transcript of Southwest Power Pool STRATEGIC PLANNING … · At this point, Mel indicated that 2 models for...

MINUTES NO. 73

Southwest Power Pool

STRATEGIC PLANNING COMMITTEE MEETING

Intercontinental-Stephen F. Austin, Austin, Texas

January 19, 2012

• M I N U T E S •

Agenda Item 1 – Call to Order and Administrative Items

Ricky Bittle (AECC) called the meeting to order at 8:00 a.m. SPC members participating in person were Jim Eckelberger (Director); Harry Skilton (Director); Josh Martin (Director); Rob Janssen (Dogwood); Mel Perkins (OGE); Bary Warren as proxy for Mike Palmer (EDE); Mike Wise (GSEC); Mitch Elmore as proxy for David Hudson (Xcel); and Jon Hansen (NPPD). SPP Staff included Michael Desselle, Carl Monroe, Paul Suskie, Lanny Nickell, Katherine Prewitt, Antoine Lucas, Jay Caspary and Josh Phillips. Other guests participated in person or via phone (Attendance – Attachment 1).

Mr. Bittle referred to the minutes of October 13, 2011 and asked for additions or corrections (Minutes 10/13/11 - Attachment 2). The minutes were approved by acclamation.

Agenda Item 2 – Review Past Action Items

Michael Desselle provided a review of past action items (Pending Action Items Status Report – Attachment 3).

Agenda Item 3 – Markets and Operations Policy Committee Update

Bill Dowling (Midwest Energy and MOPC Chairman) provided an informational report following the MOPC meeting from the previous two days. Of particular interest to the SPC were discussions regarding the Economic Studies Working Group (ESWG) ITP20 scenarios. He noted the approval of TRR 051 (Aggregate Study Exit fees), approval of an advisory vote by the MOPC on a Regional standard for Under-Frequency Load Shedding, and approval of several MPRRs. Bill noted approval of the ITP-NT and ITP-10 Transmission Expansion Plans with accompanying action items. Finally, Bill noted that staff was directed to move forward on software development supporting the Crediting process for direct assigned facilities.

Agenda Item 4 – WAPA/Basin Report

Carl Monroe provided an informational status report on WAPA/Basin consideration of SPP membership.

Agenda Item 5 – Aggregate/GI Study Improvement Efforts

Lanny Nickell reported on ongoing staff and BPWG efforts aimed at improving the Aggregate Study process. He noted that the BPWG had met on several occasions and seemed to be leaning towards some “tweaking” of the process. He noted that staff is recommending an effort to consider innovative approaches in parallel with the BPWG’s to consider minor modifications. He discussed the Innocentive.com approach in which SPP would seek innovative solutions from interested participants. SPP would pay Innocentive to craft the problem statement and provide solvers monetary awards depending upon the approach taken. Lanny described the two approaches that SPP could take: Ideation vs. Theoretical. Jim Eckelberger moved for acceptance of SPP moving forward with the Innocentive approach with Mel Perkins seconding. The motion passed with no opposition.

Agenda Item 6 – SPCTF Order 1000 Report

Mel Perkins provided a status update of the efforts by the SPCTF on Order 1000. He noted that the SPCTF had held 3 face-to-face meeting to dates and had made 1 decision. The decision by unanimous vote was for SPP to seek to retain the Byway ROFR. He noted that the Task Force was focused on 2 areas: 1.) the compliance model; and, 2.) the selection criteria. At this point, Mel indicated that 2 models for compliance are under consideration by the Task Force. The difference in the models is the point in

Strategic Planning Committee January 19, 2012 which competition occurs: at the Planning Stage or after the Planning Stage. He noted that the goal of the Task Force is to recommend to the SPC for ultimate Board recommendation policy proposals in April. Following the approval of the policies, tariff and other agreement modifications would be submitted for Board approval in July, with the compliance filing in early October. There was some discussion about the retention of the Byway ROFR and ways to support it in the compliance filing. Support for the direction the Task Force is heading was expressed.

Agenda Item 7 – Impact of EPA MATS and CSAPR Rules

A follow-up item from the October 2011 SPC meeting was the finalization of the 2013 ITP20 Futures. Alan Myers (ITC Great Plains, ESWG Chair) presented the ESWG’s futures recommendation to the SPC for adoption (ESWG 2013 ITP20 Futures – Attachment 4) Some concerns and opposition to Future #3 (additional wind and exports) were expressed by OPPD and Missouri PSC. Following a few other comments Rob Janssen moved and Jon Hansen seconded approval of the ITP2013 Futures. The motion passed unanimously. Jay Caspary and Josh Philips provided a status report of the effort underway to assess reliability and resource adequacy associated with the recently passed EPA MATS Rule. They noted that the CSAPR Rule has been stayed. They described the timing of effort. Alan Meyers then provided an update on the ESWG’s concerns about these EPA regulations. He noted that at the time the 2012 ITP10 was developed, best estimates were used. Since that time the key rules have changed and continue to undergo some uncertainty. He noted that the impact on key resources needed to be updated in the 2012 ITP10. Consequently, he recommended to the SPC the addition of high priority “re-do” of the 2012 ITP10. Following discussions, including the associated staffing issues with all these study efforts (ITPNT, ITP20, the ITP10 High Priority and the EPA Reliability Analysis); agreement was reached to perform an ITP10 High Priority in synchronization with all the study efforts to be complete by April 2013.

Agenda Item 8 – SPC Organizational Group Survey Results

Ricky Bittle presented the SPC Organizational Group survey results (SPC Org Group Survey Results – Attachment 5).

Agenda Item 9 – SPP Strategic Plan Metrics

Michael Desselle reviewed the status of strategic plan initiatives. (January 2012 Strategic Plan Status Report – Attachment 6).

Agenda Item 10 – SPC Retreat Participation and Discussion Topics

Ricky Bittle led a discussion to consider participation at the upcoming SPC retreat. He noted no opposition to attendance of all Board members; the question was “…how to obtain input from all stakeholders on the front end?” Jim Eckelberger suggested a luncheon discussion on strategy at the April Board meeting. He noted that it would be announced in advance and a Board member would facilitate dialogue at each table.

Agenda Item 11 – Summary of Action Items

Action items are: • Decide on need for April SPC meeting. • Board luncheon in April on strategic issues.

Agenda Item 12 – Discussion of Future Meetings

The next regularly-scheduled SPC meeting is July 19 in Kansas City, Missouri. Respectfully Submitted, Michael Desselle Secretary

Southwest Power Pool, Inc. STRATEGIC PLANNING COMMITTEE MEETING

Thursday, January 19, 2012 8 AM – 3 PM

Intercontinental-Stephen F. Austin, Austin, Texas

• A G E N D A • 1. Call to Order and Administrative Items ................................................................................... Ricky Bittle

2. Review of Past Action Items .......................................................................................... Michael Desselle

3. MOPC Update ....................................................................................................................... Bill Dowling

4. WAPA/Basin report ............................................................................................................... Carl Monroe

5. Aggregate/GI Study Improvement Efforts ........................................................................... Lanny Nickell

6. SPCTF (Order 1000) Report ................................................................................................. Mel Perkins

7. Impact of EPA MATS and CSAPR Rules

a. ESWG Study Efforts.......................................................................................... Alan Meyers

b. Other Efforts .................................................................................. Caspary/Philips/Desselle

8. 2011 SPC Organizational Group Survey Results ................................................................... Ricky Bittle

9. SPP Strategic Plan Metrics ........................................................................................... Michael Desselle

10. SPC Retreat Participation and Discussion Topics ................................................................. Ricky Bittle

11. Summary of Action Items .............................................................................................. Michael Desselle

12. Discussion of Future Meetings ...................................................................................... Michael Desselle

May 3-4, 2012 Retreat TBD

July 19, 2012 Kansas City

October 18, 2012 San Antonio

MINUTES NO. 72

Southwest Power Pool

STRATEGIC PLANNING COMMITTEE MEETING

Doubletree Galleria, Dallas, Texas

October 13, 2011

• M I N U T E S •

Agenda Item 1 – Call to Order and Administrative Items

Ricky Bittle (AECC) called the meeting to order at 8:00 a.m. SPC members participating in person were Jim Eckelberger (Director); Harry Skilton (Director); Josh Martin (Director); Rob Janssen (Dogwood); Mel Perkins (OGE); Mike Palmer (EDE); Les Evans (KEPCO); Mike Wise (GSEC); David Hudson (Xcel); and Paul Malone, proxy for Pat Pope (NPPD). SPP Staff included Michael Desselle, Carl Monroe, Paul Suskie, Antoine Lucas, and Jay Caspary. Other guests participated in person or via phone (Attendance – Attachment 1).

Mr. Bittle referred to the minutes of July 14, 2011, and August 30, 2011 and asked for additions or corrections (Minutes 7/14/11 and 8/30/11 – Attachment 2). The minutes were approved by acclamation.

Agenda Item 2 – Review Past Action Items

Michael Desselle provided a review of past action items (Pending Action Items Status Report – Attachment 3).

Agenda Item 3 – Markets and Operations Policy Committee Update

Todd Fridley (KCPL and MOPC Vice-Chairman) provided an informational report following the MOPC meeting from the previous two days. Of particular note was the pre-MOPC meeting in which SPP tariff schedule modifications associated with the Integrated Marketplace were discussed. MOPC was provided an update on the progress of developing Future scenarios for the ITP10. He noted that 2 Futures have been proposed with 5 variations in each for a total of 10 variations. He reported that the MOPC spent a good deal of time considering the proposed “waiver” conditions.

Agenda Item 4 – Reliability Impacts of EPA’s CSAPR

Jay Caspary presented a report (SPP Reliability Assessment Based on EPA CSAPR Model – Attachment 4) supporting SPP’s conclusions and concerns expressed in a letter (Letter to EPA Administrator Jackson – Attachment 5) from Nick Brown to EPA Administrator Jackson. Adam McKinnie (MoPSC Staff) reminded the audience that the Missouri PSC was conducting a hearing on the EPA CSAPR in Docket EW2012-0065 on October 26. SPP had previously committed to participate. Participants echoed the concerns articulated in SPP’s letter to the EPA. Stacy Dochoda (SPP RE) suggested that the impacts should be reflected in next year’s winter and summer reliability assessments. It was also recommended that staff poll members for their compliance plans and that such compliance plans also be factored into the reliability assessments.

Agenda Item 5 – Entergy Update

Carl Monroe provided a status report of regulatory activities associated with Entergy’s proposal to join the MISO. He noted three large issues under consideration included: 1), calculating the impact on other systems; 2), Firm Rights on others’ systems; and, 3), Cost allocation on a planning environment. Mike Palmer (EDE) also noted that tariff differences on Point-to-Point transactions will increase the costs to EDE customers in excess of $1.3 Million/year. Finally, Mike also noted that something will need to done to address the issue of “pancaked rates”. Carl also informed the committee that Basin Electric, WAPA, and Heartland Cooperative have hired CRA to assist them analyze the decisions to join a RTO. He noted that cost allocation would likely be an issue.

Strategic Planning Committee October 13, 2011 Finally Carl informed the Committee that entities in the WECC have continued to visit with SPP and some of its members regarding SPP’s governance model and EIS market,

Agenda Item 6 – SPP RE Strategy Development

Stacy Dochoda (SPP RE General Manager) presented (Presentation of Draft SPP RE Strategic Plan – Attachment 6) the SPP RE’s draft Strategic Plan for 2012-2015 (Draft SPP RE Strategic Plan – Attachment 7). Stacy encouraged stakeholders to provide feedback, either on-line, direct to Stacy, or directly with the RE Trustees at their next meeting scheduled on October 24th in Santa Fe. Chairman Eckelberger noted that there is room for improvement and that the recent stand the RTO took with EPA in cooperation with the SPP RE was a good example of the “hand-in-hand” cooperation that is needed.

Agenda Item 7 – ITP20 Futures

Alan Myers (ITC Great Plains, ESWG Chair) presented a status of the Economic Studies Working Group (ESWG) ITP20 Futures (Presentation of Futures for 2013 ITP20 Assessment – Attachment8). Participants provided feedback on different components of the futures under consideration. Notably, there were comments on the joint SPP/MISO future, concerns about the seams and their ability to be truly resolved before cost allocation is resolved, exports as a separate future and the impact of the EPA MACT and CSAPR rules on the Futures (also whether ITP10 or ITPNT should reflect the rules). Alan noted that from a policy perspective the ESWG would like to have the futures locked down by early next year. Action item is to bring final Futures recommendations to the SPC and Board in January.

Agenda Item 8 – FERC Order 1000 Whitepapers

Paul Suskie presented a recap of Order 1000 Regional (RTO) Requirements and the current status of SPP Compliance (Order 1000 Regional (RTO) Requirements – Attachment 9). He additionally made a presentation on two Order 1000 Whitepapers (Presentation to SPC on Order 1000 Whitepapers – Attachment 10, State Siting and Construction Requirements “4th Exception to ROFR” – Attachment 11, and Transmission Developer Qualifications – Attachment 12). Staff’s proposal to establish eligibility requirements generated significant dialogue without acceptance of the proposal. Antoine Lucas presented a summary of staff’s whitepaper on Transmission Developer Submission requirements, project evaluation and Plan re-evaluation criteria (Presentation to SPC on Order 1000 Whitepapers – Attachment 13, FERC Order 1000 Project Proposal Information Submission Requirements, Project Evaluation, and Project Re-evaluation Criteria – Attachment 14). Next steps include the creation of a task force of the SPC to further refine the proposals and to address some specific questions:

• How to treat the Byway portion and still propose ROFR? Local in nature? • When do criteria become effective? Before? At the time of the NTC? Is it a bidding

process? Is it a selection process? The task force is charged to bring a recommendation to the SPC at the January meeting. Volunteers were instructed to inform Michael Desselle of their desire to serve on the task force.

Agenda Item 9 – SPP Strategic Plan Metrics

Michael Desselle reviewed the status of strategic plan initiatives (October 2011 Strategic Plan Status report – Attachment 15). During that review he noted that the background material contained a written status report on Federal Funds (Fed Funds Status Report - Attachment 16).

Agenda Item 10 – Summary of Action Items

Action items are: • Survey member compliance plans for the EPA Rules. Incorporate information into updated

reliability assessments and possibly ITPNT. • Remind members to provide feedback to RE, or RE Trustees on the RE strategy development.

Strategic Planning Committee October 13, 2011

• ITP20 Futures – ESWG to propose final futures recommendation in January. • Form Task Force to address Order 1000 proposals and bring final recommendation to the SPC in

January.

Agenda Item 11 – Discussion of Future Meetings

The next regularly-scheduled SPC meeting is January 19 in Austin, Texas. Respectfully Submitted, Michael Desselle Secretary

Southwest Power Pool, Inc.

STRATEGIC PLANNING COMMITTEE Pending Action Items Status Report

January 19, 2012

Action Item Date Originated Status Comments

Staff to develop Grid Emergency Communication proposal and recommendation for the July MOPC meeting.

March 28, 2011 In Progress

• Staff developed process and flowchart

• Present to ORWG in April

4th Exception to ROFR - Draft an informational paper on state by state requirements regarding the construction of transmission facilities, including but not limited to authority over siting or permitting of transmission facilities.

August 30, 2011 Complete SPCTF (Order 1000)

Qualification Criteria – Draft a white paper on possible qualification criteria for determining an entity’s (incumbent or non-incumbent’s) eligibility to propose a transmission project for selection in the regional transmission plan for purposes of cost allocation. Include qualification criteria relating to the necessary financial resources and technical expertise to develop, construct, own, operate and maintain transmission facilities.

August 30, 2011 Complete SPCTF (Order 1000)

Transmission Developer Submission Requirements – Draft a white paper on possible requirements for project submissions including dates, information, details necessary to allow for evaluation.

August 30, 2011 Complete SPCTF (Order 1000)

Project Evaluation – Draft a white paper on a transparent and nondiscriminatory process for evaluating a proposed transmission facility.

- This process must comply with the Order No. 890 transmission planning principles, ensuring transparency, and the opportunity for stakeholder coordination.

- The evaluation process must culminate in a

August 30, 2011 Complete SPCTF (Order 1000)

determination that is sufficiently detailed for August 30, 2011 stakeholders to understand why a particular transmission project was selected or not selected in the regional transmission plan for purposes of cost allocation.

Plan Re-evaluation – Draft a white paper on circumstances and procedures under which public utility transmission providers in the regional transmission planning process will reevaluate the regional transmission plan to determine if delays in the development of a transmission facility selected in a regional transmission plan for purposes of cost allocation require evaluation of alternative solutions, including those proposed by the incumbent transmission provider, to ensure the incumbent transmission provider can meet its reliability needs or service obligations.

August 30, 2011 Complete SPCTF (Order 1000)

Survey member compliance plans for the EPA Rules. Incorporate information into updated reliability assessments and possibly ITPNT.

October 13, 2011 In Progress

Survey conducted in November Additional survey underway following finalized MATS Rule and Stayed CSAPR Rule

Remind members to provide feedback to RE, or RE Trustees on the RE strategy development.

October 13, 2011 Complete

IPT20 Futures – ESWG to propose final futures recommendation n January.

October 13, 2011 In Progress Agenda Item for

January

Form Task Force to address Order 1000 proposals and bring final recommendation to the SPC in January.

October 13, 2011 In Progress

Task Force formed Agenda Item for January Status

Report Policy

Recommendations for April Bd Mtg

Tariff Recommendations

for July Bd Mtg

1

2013 ITP20 Futures

SPC

January 19, 2012

Alan Myers, ESWG Chair

ESWG Future Discussion Background

• ESWG presented preliminary future recommendations to the SPC at the October meeting

• SPC requested that the ESWG flesh out the recommendations and bring back further details to the January meeting

• ESWG further refined futures proposal at meetings from November to January

• ESWG and MISO PAC met in December to discuss Joint Future

• New future definitions differ somewhat from those used in the 2010 ITP20 and 2011 ITP10

2

2

Proposed 2013 ITP20 Futures

• Future 1:  Business as Usual

– EPA Regulations

CSAPR (CAIR), MATS (MACT), 316b (water), Regional Haze

– Use existing state targets for wind generation –approximately 10 GW

– Load growth follows expectation of MDWG models

– Include Entergy within MISO market/footprint

• Future 2:  Additional Wind

– Builds upon Business as Usual

– Regional Renewable Energy Standard (RES) of 20% ‐approximately 17 GW

3

Proposed 2013 ITP20 Futures

• Future 3: Additional wind plus exports

• Builds upon Future 2

• Additional wind exports of approximately 10 GW

• Future 4:  Combined Policy

– 20% RPS, include DSM, load reduction and a carbon constraint.

– Load growth reduction from Business as Usual by approximately 1% annually

• Future 5:  Joint ESWG/MISO PAC future

– SPP and MISO will coordinate input assumptions to approximate a joint business as usual future

4

3

ESWG Recommendation 

• The ESWG adopted these five futures for recommendation to the SPC for the 2013 ITP20

5

Overview

2011 2010 2009 2011 2010 *2009Business Practices Working Group 64% 82% n/a 4.3 4.6 3.8Change Working Group 44% 65% 38% 4.3 4.2 3.3Corporate Governance Committee 88% 75% 43% 4.4 4.5 3.2Cost Allocation Working Group 50% 33% 27% 3.8 4.0 3.3Credit Practices Working Group 67% n/a n/a 4.0 n/a n/aCritical Infrastructure Protection Working Group 75% 69% 27% 4.8 4.6 4.3Economic Studies Working Group 67% 71% 38% 3.5 3.9 4.3Finance Committee 86% 86% 30% 4.5 4.2 3.7Generation Working Group 22% 50% 38% 3.5 4.2 2.8Human Resources Committee 100% 86% 40% 3.7 4.3 3.3Market Working Group 63% 81% 38% 4.3 4.2 3.2Markets and Operations Policy Committee 48% 47% 33% 3.7 3.9 3.2Model Development Working Group 100% 92% 48% 3.9 3.9 2.8Operating Reliabilty Working Group 87% 77% 38% 4.2 4.2 3.6Operations Training Working Group 83% 92% 45% 4.6 4.7 3.7Oversight Committee 100% 100% 100% 4.8 4.8 3.5Regional Tariff Working Group 71% 67% 43% 4.2 4.2 3.5Strategic Planning Committee 100% 92% 43% 4.3 4.2 3.1Systems Protection and Control Working Group 77% 77% 38% 4.5 3.5 3.6Transmission Working Group 79% 67% 41% 3.7 4.0 3.4

Average 74% 74% 42% 4.1 4.2 3.5

 GroupOverall 

effectivenessResponse rate

2011 Organizational Group Survey Analysis

* Note: Overall effectiveness was measured in a different way in 2009

Table below shows overal response rates and overall effectiveness scores by Organizational Group in alphbetical order.

Respondents were asked to select a score from 1 ‐ 5 with 1 being a strong disagreement to the statement and 5 being a strong agreement with statement.

There is a recurring theme across scores and comments to improve providing meeting materials in a timely manner.

Critical Infrastructure Protection WG and the Oversight Committee tied for highest overall effectiveness. Lowest effectiveness scores were the Generation WG and Economic Studies WG.

Only one score across all groups and questions lower than 3.0 (meeting materials ‐ ESWG).

1

Strategic Planning Committee 2011 2010Number of members 12 12Number of responses 12 11

Response rate 100% 92%Overall effectiveness score 4.3 4.2

Lowest scoreHighest score

2011 2010The agenda reflects the actions to be taken during the meeting. 4.6 4.6Meeting materials are provided in a timely manner. 4.2 4.1The information provided prior to the meeting is utilized during the meeting. 4.4 4.2Meeting minutes are an accurate reflection of the meeting. 4.7 4.4

Additional comments:

Membership represents the diversity of the SPP organization. 4.5 4.2Membership has the necessary expertise and/or skills to accomplish its goals. 4.7 4.6Members come prepared to meetings. 4.3 4.3Members are committed to participate and accomplish the group's goals. 4.7 4.3Members are supportive and respectful of the individual needs and differences of group members. 4.7 4.6

Members are focused during discussion. 4.6 4.5Decisions are identified and action is recommended. 4.6 4.6Facilitation is sufficient to guide discussion. 4.6 4.3

Dissenting voices are heard. 4.7 4.5I depart with a feeling that we have accomplished something. 4.5 4.4

The chair seeks input, and organizational group members are able to influence key decisions and plans. 4.6 4.5The chair is supportive and respectful of the individual needs and differences of group members. 4.7 4.6The chair keeps the group on task. 4.6 4.6The chair ensures follow‐through on questions and commitments. 4.7 4.6

Additional comments:

well run committee.....comm takes the initiative   on important issues to SPP.....

 

Question Average score

Other comments

Additional comments:

I'm not sure that all of the issues we work on are strategic, but this is the best policy forum for consideration of all of the items that come before the SPC.

This is the best committee in the SPP stakeholder process.

Additional comments:

Please provide three or more recommendations for improvement of this particular group and/or SPP's overall organizational group structure

Need for follow‐through to ensure ideas become part of the operating fabric on SPP.    Be a primary interface with the RE    Use of more task force organizations to deal with issues to broad to develop first in the committee.

Ricky Bittle does an admirable job!

19

Jan 2012  Initiative 

Milestones /  Recent Activity 

Current Status 

Build

 a Rob

ust T

ransmission

 System 

Implement Priority Projects   • Priority Projects are progressing on schedule 

o The Tulsa reactor is in service 4 months ahead of schedule. • The PCWG has made significant progress on a business practice and TRR to be 

presented to the BPWG and RTWG to implement the Conditional Notification to Construct Process.   They will be meeting later in January to finalize the draft version of these documents, so they can continue through the stakeholder process.  

 

 

Develop/Implement Integrated Transmission Planning Processes  • The 2012 ITP10 and 2012 ITPNT analysis and report have been completed and 

will be presented to the MOPC for review and development of recommendation to the BOD at their January 31 meeting. 

o 40 yr B/C analysis has been completed for the 2012 ITPNT staff recommended plan. 

o There is an expected reduction of $0.34 to the typical residential ratepayer’s bill. 

o Stability and deliverability analysis has been completed.  

 

Regional Cost Recovery  • The Regional Allocation Review Task Force (RARTF) completed its report of recommendations as to the methodologies to Review the Highway/Byway. 

• Completed meetings with/presentation to state retail regulators in the SPP footprint. 

 

   

 Inter‐Regional Optimization  • Seams Steering Committee –  

o Completing gap analysis of current seams agreements for Order 1000 compliance items 

o Developing work plan to achieve Order 1000 compliance of interregional requirements 

o Providing staff guidance on negotiation of a JOA with WAPA including a potential generation redispatch agreement 

o Providing significant input to SPP staff on issues related to Entergy joining MISO as well as market flow issues between SPP and MISO 

• Staff working with seams neighbors on joint planning o Developing work plan to meet full requirements of Joint Coordinated 

Planning activities under SPP’s JOA’s o Kicked off joint future development between SPP and MISO for use 

in ITP20 o Coordinating potential seams projects with AECI and WAPA 

• Seams Cost Allocation Task Force (RSC)  o SCATF will be overseeing the compliance activities for interregional 

cost allocation requirements of Order 1000 with input from the SSC o Brattle developing its report on interregional cost allocation 

mechanisms to be presented to RSC in January and finalized by April 2012 

o Brattle has assisted staff in the development of proposed JOA language to incorporate interregional cost allocation principles and mechanisms 

 

Operational Optimization  • PMU pilot with NPPD and KCPL approved late 2011 and equipment installation in process now 

• 3 installations to capture data for flows across Cooper South flowgate, plus point in western Nebraska 

• EPRI funded project to capture and analyze voltage angles for 12 months with support of University of Texas ‐ Austin staff and capabilities to improve grid operations and validate models. 

 

   

Develop

 Efficient  

Market P

rocesses 

Implement Day Ahead Market with Transmission Congestion Rights 

• Program Accomplishments • Program 

o Continued defining Program Delivery Strategy • Markets Tower 

o  Approved Alstom MCST/CMT SOW & purchasing requisition o Began EMS Pre‐FAT at Alstom o Held Nexant Demonstration #2 

• Technology Tower o  Completed Functional Design Template for interface/data objects o Portal software selection (Liferay) approved at ITAWG o Portal scope approved at CCG 

•  Readiness, Training, Communications Tower o  Started Level 3 course design o Approved Communication Approach (including Q&A process) 

• Regulatory & Compliance Tower o  Conducted Outreach Education session for Arkansas State 

Commission o Continued drafting FERC Testimony 

• Upcoming Program Activities • Program 

o Continue reviewing/updating Program Delivery Strategy • Markets Tower 

o  Assessing Post Settlements Validation scoping impacts o  SPP providing responses to MP questions & holding Mock Auction 

Prep meeting o SPP and Alstom continue reviews of 32 DDNs o  CBA RTGEN & DTS DDNs in progress 

• Technology Tower o  Integration Services is Yellow due to the absence of a solid design 

and build schedule o Finalize Functional Design Methodology efforts o Complete draft of  ITAWG J2EE Standards o BI/Reporting is Yellow due to expected resource constraints resulting 

from EADS/POPS work o Obtain final approval of EADS requirements o Baseline Portal workplan 

• Readiness, Training, Communications Tower 

 

Implement Reliability Unit Commitment Process

Incorporate Operating Reserves into Real Time Balancing and Day Ahead Markets 

Implement Consolidated Balancing Authority

Demand Response Integration 

Manage Implementation 

o Finalize remaining Operations Level 2 Trainingo Continue drafting Readiness metrics o Distribute Integrated Marketplace Program Newsletter 

• Regulatory & Compliance Tower o  SPP internal review of FERC Testimony 

   

Create M

embe

r Value

 Reliability Excellence  • Each facet of the SPP Regional Compliance Outreach Program (RCOP) has 

been established o Registered Entity Evidence Reviews:        

Completed:  5 On‐Site Reviews, 6 In‐House Reviews  Scheduled:  6 Additional Reviews have been 

requested/requested thus far in 2012 o SPP Member Compliance Group (MCG): 

5 MCG meetings have been held to address a variety of compliance issues with SPP RE Staff 

o SPP Compliance Support Site (CSS):  www.sppcss.org  98 members registered to date 

o SPP Event Analysis Working Group EAWG):  The EAWG has met multiple times, and has been engaged 

with the SPP RE on the 2011 Winter Weather Recommendations Report 

• NERC Registration has been a focal point for the Initiative, as Balancing Authority (BA) and Transmission Operator (TOP) functions have been reviewed for potential SPP registration options.  Registration changes would better consolidate existing functions and compliance responsibilities for BAL, MOD, TOP, and TPL standards across the footprint. 

 

Benchmarking and Measurement • Engineering is currently working with Accenture to finalize the SOW for The Standardized Cost Estimation Tool software development.  Once that is complete we will begin development of the project schedule and delivery timeline.   

o There is a risk that the tool will not be available in the first quarter of 2012 

• Added Benchmarking/Measurement disciplines in tracking Business Process Improvement benefits embedded in 2012‐2014 Budget – will provide Quarterly updates to the Finance Committee. 

 

Enhance Market Monitoring Tools • Unanticipated development problems resulted in the new Outage data not available to MMU by yearend target date. 

• Updated project plan has production data available for MMU use by March 1, 2012. 

 

Continuous Process Improvement • Business Process Improvement benefits embedded in 2012‐2014 Budget identified – implementation being tracked and reported quarterly 

• Implemented enhanced SPP management disciplines ‐‐ Business Unit strategic planning to drive budgeting priorities, more rigorous cost benefit analysis hurdles for capital projects and demand/capacity planning for capital project planning 

• Finance Committee endorsed an evolutionary plan for piloting and implementing a more formal SPP‐wide approach to implementing Business Process Improvement methodologies.   Methodology selection and Pilot Projects in 2012 with organization‐wide implementation in 2013 – 2015. 

 

Strategic Membership Expansion and Maintenance 

• SPP is participating in Entergy hearings in AR, LA, NO, and MS. • Continuing discussions with others interested in relationships with SPP. 

 

Communication and Education  • Quarterly reviews and assignments • Corporate‐wide Advocacy 

• Review of FERC Notices of Inquiry (NOI) and Notices of Proposed Rulemaking (NOPR) o RM11‐11 Version 4 CIP Reliability Standards – provided joint IRC 

Comments (SPP RE also provided stand‐alone comments) o RM11‐16 Transmission Relay Loadability – no comments o RM11‐17 Enhancement of Electric Market Surveillance and Analysis 

– Comment period extended until January 27, 2012, working with Market IRC Committee (Dillon) 

o RM11‐18 Revisions to TPL‐002‐oa Standards – no comments o Rm11‐20 Automatic Underfrequency Load Shedding – no comments o RM12‐2 Filing of Privileged Materials – comments due February 27, 

201 • Published first two issues of the Integrated Marketplace newsletter • Initiated Integrated Marketplace Q & A process • Launched and completed survey processes for Organizational Groups, 

Customer Satisfaction and BOD effectiveness • Initiated communications plan in support of Corporate Center • Major media topics: 

o EPA regulations o MISO/Entergy