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HomeMy WebLinkAbout2023-05-05 IMC Agenda and docs INTERTIE MANAGEMENT COMMITTEE (IMC) REGULAR MEETING AGENDA May 5, 2023 8:30 AM Alaska Energy Authority Board Room 813 W Northern Lights Blvd, Anchorage, AK 99503 To participate dial 1-888-585-9008 and use code 212-753-619# 1. CALL TO ORDER 2. ROLL CALL FOR COMMITTEE MEMBERS 3. PUBLIC ROLL CALL 4. PUBLIC COMMENTS 5. AGENDA APPROVAL 6. APPROVAL OF PRIOR MINUTES – March 24, 2023 7. OLD BUSINESS A. Railbelt Synchro-phasor Project B. Intertie Vegetation Management Plan 8. COMMITTEE REPORTS A. Budget to Actuals Report B. IOC Report C. Operator’s Report 9. NEW BUSINESS A. Approval of FY24 IMC Budget 10. MEMBERS COMMENTS 11. NEXT MEETING DATE – June 23, 2023 12. ADJOURNMENT Alaska Energy Authority AK Intertie Budget to Actual Revenues and Expenses 07/01/2022 to 03/31/2023 Page 1 of 4 FY23 Approved Budget BUDGET 07/01/2022 - 03/31/2023 Actuals YTD Actuals as a % of Total Annual Budget OVER (UNDER) YTD Variance Revenue From Utilities AKI-GVEA 2,659,180 2,030,274 1,384,302 52%(645,972) AKI-CEA 405,435 341,602 341,602 84%- AKI-MEA 440,368 347,945 355,687 81%7,742 Total Revenue From Utilities 3,504,984 2,719,821 2,081,591 59%(638,230) Interest/Capital Credits - - 40,179 0%40,179 Total Revenues 3,504,984 2,719,821 2,121,769 61%(598,051) Total Revenues 3,504,984 2,719,821 2,121,769 61%(598,051) 56200 Station Expenses Golden Valley Electric AK Intertie-Substation Electricity Usage - - 2,677 0%2,677 Golden Valley Electric Total - - 2,677 0%2,677 56600 Misc Transmission Expense Alaska Energy Authority AK Intertie-Cell Phone Comm. Svc. for Wx Monitorng 13,000 9,750 7,982 61%(1,768) AK Intertie-Miscellaneous Studies as Needed 546,000 409,500 - 0%(409,500) Alaska Energy Authority Total 559,000 419,250 7,982 1%(411,268) Golden Valley Electric AK Intertie-Private Line Telephone Service SCADA 10,000 7,500 3,010 30%(4,491) Golden Valley Electric Total 10,000 7,500 3,010 30%(4,491) 56601 Weather Monitoring Batteries Alaska Energy Authority AK Intertie-SLMS Support & Intertie Ground Patrol 140,000 105,000 88,052 63%(16,948) Alaska Energy Authority Total 140,000 105,000 88,052 63%(16,948) 56700 Rents Alaska Energy Authority AK Intertie-Alaska Railroad 700 525 1,500 214%975 Alaska Energy Authority Total 700 525 1,500 214%975 Matanuska Electric Association AK Intertie-Talkeetna Storage 7,200 5,400 4,800 67%(600) AK Intertie-Equipment Rental - - 102 0%102 Matanuska Electric Association Total 7,200 5,400 4,902 68%(498) 57000 Maintenance of Station Equip Chugach Electric Association AK Intertie-Teeland Substation 173,200 129,900 53,935 31%(75,965) Chugach Electric Association Total 173,200 129,900 53,935 31%(75,965) Golden Valley Electric AK Intertie-Healy, Cantwell, Goldhill 75,000 56,250 111,019 148%54,769 AK Intertie-SCADA Maint Healy, Cantwell, Goldhill 5,000 3,750 - 0%(3,750) AK Intertie-Cantwell 4S2 Switch Repair 156,000 117,000 30,434 20%(86,566) AK Intertie-Maint & Repaint Reactors Healy SVC Yd 80,000 60,000 4,472 6%(55,528) Golden Valley Electric Total 316,000 237,000 145,925 46%(91,075) Matanuska Electric Association AK Intertie-Douglas Substation 25,000 18,750 - 0%(18,750) Matanuska Electric Association Total 25,000 18,750 - 0%(18,750) 57100 Maint of OH Lines Golden Valley Electric AK Intertie-Northern Maintenance 100,000 75,000 44,048 44%(30,952) Golden Valley Electric Total 100,000 75,000 44,048 44%(30,952) Matanuska Electric Association AK Intertie-Special Patrols (Incl Foundation Insp) 10,000 7,500 488 5%(7,012) ALASKA ENERGY AUTHORITY AK INTERTIE BUDGET TO ACTUAL REVENUE AND EXPENSES FOR THE PERIOD 07/01/2022 THROUGH 03/31/2023 Page 2 of 4 FY23 Approved Budget BUDGET 07/01/2022 - 03/31/2023 Actuals YTD Actuals as a % of Total Annual Budget OVER (UNDER) YTD Variance ALASKA ENERGY AUTHORITY AK INTERTIE BUDGET TO ACTUAL REVENUE AND EXPENSES FOR THE PERIOD 07/01/2022 THROUGH 03/31/2023 AK Intertie-Southern Maint. (Incl Ground Insp) 140,000 105,000 2,665 2%(102,335) AK Intertie-Equipment Repair & Replacement 684,000 513,000 - 0%(513,000) Matanuska Electric Association Total 834,000 625,500 3,153 0%(622,347) 57102 Maint OH Lines-ROW Clearing AK Intertie-Northern ROW Clearing 400,000 300,000 20,961 5%(279,039) Golden Valley Electric Total 400,000 300,000 20,961 5%(279,039) Matanuska Electric Association AK Intertie-Southern ROW Clearing 500,000 375,000 367,998 74%(7,002) Matanuska Electric Association Total 500,000 375,000 367,998 74%(7,002) 58306 Misc Admin AK Intertie-IMC Admin Cost (Audit, Meeting, Legal) 20,000 15,000 10,022 50%(4,978) Alaska Energy Authority Total 20,000 15,000 10,022 50%(4,978) 58401 Insurance Premiums Alaska Energy Authority AK Intertie-Insurance 25,000 18,750 22,183 89%3,433 Alaska Energy Authority Total 25,000 18,750 22,183 89%3,433 Total Total Expense 3,110,100 2,332,575 776,346 25%(1,556,229) Total Operating Expenses 3,110,100 2,332,575 776,346 25%(1,556,229) 71001 Total Expense, Budget Administrative Support Services 200,000 150,000 91,809 46%(58,191) Alaska Energy Authority Total 200,000 150,000 91,809 46%(58,191) Total Total Expense 200,000 150,000 91,809 46%(58,191) Total AEA Administration Expenses 200,000 150,000 91,809 46%(58,191) Total Expenses 3,310,100 2,482,575 868,155 26%(1,614,420) Surplus (Shortage)194,884 237,246 1,253,615 643%1,016,369 Page 3 of 4 Alaska Intertie FY23 Budget to Actuals Status Report for the Period 07/01/2022 through 03/31/2023 Budgeted Usage Actual Usage to Date GVEA MEA CEA TOTAL GVEA MEA CEA TOTAL MONTH MWH MWH MWH MWH MONTH MWH MWH MWH MWH Jul 32,301 1,918 - 34,219 Jul 10,865 2,252 - 13,117 Aug 36,741 1,968 - 38,709 Aug 19,648 2,239 - 21,887 Sep 37,596 1,951 - 39,547 Sep 21,418 2,080 - 23,498 Oct 40,739 2,003 - 42,742 Oct 35,865 2,205 - 38,070 Nov 35,783 2,269 - 38,052 Nov 16,159 2,213 - 18,372 Dec 35,761 2,455 - 38,216 Dec 16,826 2,535 - 19,361 Jan 35,543 2,139 - 37,682 Jan 13,942 2,363 - 16,305 Feb 30,397 2,018 - 32,415 Feb 36,444 2,162 - 38,606 Mar 33,294 2,171 - 35,465 Mar 20,752 2,355 - 23,107 Apr 38,537 1,906 - 40,443 Apr - - - - May 33,177 1,867 - 35,044 May - - - - Jun 38,652 1,811 - 40,463 Jun - - - - TOTAL 428,521 24,476 - 452,997 TOTAL 191,919 20,404 - 212,323 INTERTIE PROJECTED ENERGY USAGE TO DATE (MWH)337,047 INTERTIE ACTUAL ENERGY USAGE TO DATE (MWH) 212,323 Budgeted Operating Costs for the Period 2,332,575$ Actual Operating Costs for the Period 776,346$ (based on amended budget) Budgeted Usage Revenue for the Period 1,725,681$ Actual (Billed) Usage Revenue for the Period 1,087,094$ (budgeted rate * projected usage)(budgeted rate * actual usage) Estimated Budgeted Energy Rate per MWH 5.78$ (based on budgeted costs and usage) Annual Budgeted Energy Rate (Billed Rate)5.12$ Projected Actual Energy Rate per MWH 3.05$ (based on minimum contract value)(based on actual costs and usage) Page 4 of 4 Intertie Management Committee Meeting IOC Report April 21, 2023 1.Intertie Operating Committee a.The IOC reviewed and is recommending approval of the attached draft 2024 budget. The proposed 2024 budget is approximately $1.15M larger than the 2023 budget. This increase is mostly due to increases in vegetation management, specifically the remote sensing that will help determine future growth patterns and clearing cycles. With the larger budget and expected energy usage on the line down 40%, the overall usage rate is up 132% from $0.0053/kWh to $0.01232/kWh. 2.System Studies Subcommittee a.The SSS presented a modified plan for a sychrophaser project which included a delayed roll-out in 2024 after utilities have the necessary infrastructure in place. The cost of implementing the project is included in the 2024 budget and a write-up on the proposed plan is attached. b.The SSS is also actively engaged in developing scopes for an inverter based resource (IBR) study and a study that looks at the impacts of upgrading the Northern Intertie to 230 kV. Both studies are anticipated to be completed in 2024 and are included in the 2024 budget. 3.SCADA & telecommunications Subcommittee a.The IOC was briefed on a project to bring an AEA owned microwave communication system from Anchorage to Douglas. The communication project would be paid for through a standalone grant and would not come out of the 2024 budget. AEA will verify funding is available and then the project will begin. Construction is anticipated to go through 2024 and the total cost is estimated at around $650k. A short summary of the scope is attached. A similar project to provide AEA owned microwave communication between Douglas and Healy was also discussed and AEA noted grant funding may also be available for this work. The subcommittee will be providing a high level scope, schedule and cost to install microwave communication between Douglas and Healy at the next IOC meeting. b.Inadvertent accounting was discussed, and the result of that discussion was an assignment for the SCADA subcommittee. The subcommittee was assigned a task to review the process for inadvertent accounting and report back to the IOC with a process all parties agree to. Alaska Intertie FY24 Approved Budget FY23 Approved Proposed FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 ACTUALS FY23 FY24 Actual Actual Actual Actual Actual Actual Actual Actual @12/31/22 Budget Budget REVENUES GVEA 2,056,392 2,971,977 1,326,928 1,819,599 1,856,523 1,554,543 1,942,988 2,075,721 956,242 2,659,181 3,631,114 ML&P 217,355 196,819 105,652 285,075 146,246 237,938 111,217 CEA 235,695 209,205 115,519 298,554 166,406 258,090 290,065 265,259 277,769 405,435 471,717 MEA 271,940 335,586 162,479 350,920 247,774 448,478 460,479 413,239 256,628 440,368 654,520 INTEREST 266 2,842 4,801 6,636 32,412 16,611 903 1,668 18,440 TOTAL REVENUES 2,781,648 3,716,429 1,715,379 2,760,783 2,449,361 2,515,661 2,805,652 2,755,887 1,509,078 3,504,985 4,757,352 EXPENSES FERC 562 - Station Operation Expenses GVEA - Substation Electricity Usage 8,076 5,174 7,946 7,624 7,199 9,675 9,382 45,889 2,677 -- 8,076 5,174 7,946 7,624 7,199 9,675 9,382 45,889 2,677 -- FERC 566 - Miscellaneous Transmission Expense Private Line Telephone Service for AKI SCADA (GVEA)55,641 49,163 49,701 47,810 32,793 11,718 5,556 5,556 3,010 10,000 6,000 Cell Phone Comm. Svc for Weather Monitoring (Verizon)14,140 29,642 24,926 11,736 12,022 12,022 11,904 12,025 4,980 13,000 13,000 SLMS Support and Intertie Ground Patrol 46,180 47,652 105,217 59,073 79,290 87,863 98,540 154,947 25,601 140,000 175,000 Misc Studies as needed (Cyber Security Study)15,377 ---------- 131,338 126,457 179,844 118,618 124,105 111,603 116,000 172,528 33,591 163,000 194,000 FERC 567 - Transmission Expenses - Rents Rents - Alaska Railroad 700 700 700 700 700 700 700 700 1,500 700 1,000 MEA - Talkeetna Storage 7,200 7,200 7,200 7,200 7,200 7,200 7,200 7,200 3,600 7,200 7,200 Equipment Return -------375 102 - PSSE key replacement -------- 7,900 7,900 7,900 7,900 7,900 7,900 7,900 8,275 5,202 7,900 8,200 FERC 569 Maintenance of Structures MEA - Maintenance of Structures -9,580 --------- MEA - Evaluate Re-insulating 20 dead-end structures 75,000 MEA - Evaluate Re-insulate 30 tangent structures 75,000 ----------- -9,580 -----150,000 FERC 570 - Maintenance of Station Equipment GVEA - Healy, Cantwell, Goldhill 91,657 27,641 91,490 46,976 14,892 104,224 154,917 63,163 111,019 75,000 125,000 GVEA - SCADA Maintenance Healy, Cantwell, Gold Hill -4,007 -6,265 1,790 ----5,000 - GVEA - Replace Healy Substation Breaker B17 ----------- GVEA - Healy, Teeland, Goldhill Dampers -4,007 ---59,016 ----- GVEA - Healy and Goldhill Digital Fault Recorders 53,255 -- GVEA - Healy SVC Fire Alarm Panel Replacement (56,289)---1,697 ------ GVEA - Gold Hill SVC Fire Alarm Panel Replacement (151,776)--------- GVEA - Gold Hill SVC Cooling 460 --- GVEA - Cantwell Install Breakers or Load Break Switches 5,029 -----182,606 30,434 156,000 306,000 GVEA - Cantwell 4S2 Switch Repair ---3,778 ------ GVEA - Replace Battery Healy SVC --23,532 ------- GVEA - Replace Battery Goldhill SVC --14,325 3,272 ------ GVEA - Perform Maintenance, repaint Reactors Healy SVC Yard ---6,785 19,820 60,414 145,494 ---- GVEA - Perform Maintenance, repaint Reactors Gold Hill SVC Yard 7,452 4,472 80,000 - GVEA - Mobile Substation Site ---------- GVEA - Cantwell RTU, Recloser, & Transformer Protection replacement ---------- GVEA - Recloser Control Replacement ---------- GVEA - Transformer Protection Upgrades ---------- GVEA - Capcitor Spares ---------20,000 GVEA - Cantwell Standby Generator Replacement 29,016 - GVEA - SVC Intertie Trust Fund Eligible Expenses ------ SVC ALASKA INTERTIE TRUST FUND ------ CEA - AK Intertie Yard ---------- CEA - Teeland Substation Communication --5,000 5,000 CEA - Teeland Substation 51,540 167,628 70,713 70,882 82,890 113,849 183,401 115,365 50,548 168,200 170,000 MEA - Douglas Substation 138 kV BKR Inspections 25,000 25,000 GVEA - Douglas Substation OOS relaying and communications ---610 ------ CEA - Telecomm Support (Douglas, Teeland, Anc-Fbks Leased Circuits)---31,403 2,125 --1,742 --- (59,839)203,283 200,060 169,971 123,214 337,502 512,828 424,043 196,472 514,200 651,000 Page 1 of 2 FERC 571 - Maintenance of Overhead Lines GVEA - Northern Maintenance 29,056 50,631 30,102 42,580 147,299 37,171 68,204 107,641 44,048 100,000 150,000 GVEA-Private Line Telephone Service --------20,961 - GVEA - Northern ROW Clearing 29,852 13,209 -15,321 99,382 89,493 36,721 68,882 -300,000 550,000 GVEA - Northern ROW Remote Sensing and Analysis 400,000 GVEA - Landing Pads -------75,000 GVEA - Re-level Structures & Adjust Guys 46,710 ------80,000 GVEA - Repair Tower 504 Foundation -- GVEA - Repair Tower 537 Foundation - GVEA - Repair Tower 539 Foundation - GVEA - Repair Tower 569 Foundation -- GVEA - Repair Tower 531 Foundation 50,000 150,000 GVEA - Repair Tower 532 Foundation 50,000 150,000 GVEA - Repair Tower 748 ---486,740 677,877 ---- GVEA - Repair Tower 692 -------- MEA - Special Patrols [Incl Helicopter Inspections]12,594 ---4,571 599 488 10,000 - MEA - Southern Maint (Incl Ground and Climbing Inspect)29,195 12,893 8,804 187,283 181,802 97,175 138,199 191,358 -140,000 140,000 MEA - Southern ROW Clearing -8,382 509 39,184 76,703 38,023 228,413 168,367 170,150 500,000 500,000 MEA - Southern ROW Remote Sensing and Analysis 125,000 MEA - TWR 195 Repair Monitoring -------- MEA - Equipment Repair and Replacement ----16,521 780,866 76,494 -684,000 350,000 147,407 85,115 39,415 771,108 1,187,634 278,383 1,252,403 613,341 235,647 1,834,000 2,670,000 FERC 924 - Property Insurance AK Intertie - Insurance 24,660 129,723 31,016 35,466 33,909 36,253 38,773 37,133 -25,000 37,000 24,660 129,723 31,016 35,466 33,909 36,253 38,773 37,133 -25,000 37,000 Intertie Operating Costs Total 259,542 567,232 466,181 1,110,688 1,483,961 781,318 1,937,286 1,301,209 473,589 2,544,100 3,710,200 FERC 570 - Maintenance of Station Equipment MEA - Replace Protective Relay Schemes Douglas ---843,382 6,324 ------ ---843,382 6,324 ------ Intertie Cost of Improvements Total ---843,382 6,324 ------ FERC 920 - AEA Administrative Costs Personal Services, Travel and Other Costs 24,581 53,801 43,446 99,383 85,139 101,058 210,409 235,608 25,891 200,000 250,000 24,581 53,801 43,446 99,383 85,139 101,058 210,409 235,608 25,891 200,000 250,000 FERC 920 - IMC Administrative Costs IMC Administrative Costs (Audit, meetings, legal)12,097 34,598 62,326 22,364 18,211 11,533 30,890 29,276 16,466 20,000 - 12,097 34,598 62,326 22,364 18,211 11,533 30,890 29,276 16,466 20,000 - FERC 566 - Miscellaneous Transmission Expense Misc Studies: System Reserves Study (IBR), PSS/E maint, 230 kV Upgrade System Impact Study -173,055 140,218 15,680 20,719 69,023 186,675 145,327 (27,000)216,000 266,000 LIDAR study (complete lidar, vegetation, PLS CADD file with drawings, structure/foundation movement, infrared, and imaging)226,125 -- Asset management plan 50,000 - Proposed Synchrophaser system 230,000 250,000 Unbalanced Snow Load mitigation analysis and recommendations 50,000 - Reliability Standards Update (Hdale Inc.)-86,213 ------ -259,268 140,218 15,680 20,719 69,023 412,800 145,327 (27,000)546,000 516,000 Intertie Administration Costs Total 36,678 347,667 245,990 137,427 124,069 181,614 654,099 410,211 15,357 766,000 766,000 TOTAL EXPENSE 296,220 914,899 712,171 2,091,497 1,614,354 962,932 2,591,385 1,711,420 488,945 3,310,100 4,476,200 SURPLUS (SHORTAGE)2,485,428 2,801,530 1,003,208 669,285 835,007 1,552,729 214,267 1,044,468 1,020,133 194,885 281,152 Page 2 of 2 April 14, 2023 To: Jon Sinclair, Chair of Intertie Operating Committee From: Keith Palchikoff, Chair of System Studies Subcommittee Re: Update and Revision to Synchrophasor Project Memo The System Studies Subcommittee met March 23 and formulated responses to address two main concerns with the synchrophasor project plan discussed at the March 10 IOC meeting. The responses are outlined in the second half of this memo. A unified Railbelt data collection, analysis and reporting system has numerous tangible and intangible benefits for the present and future bulk electric system and the subcommittee wants to continue development in the upcoming fiscal year. We propose shifting the unspent FY2023 synchrophasor budget of $230,000 forward to the FY2024 budget and add ing $20,000 (total $250,000). The 9% increase reflects this year’s price (versus the previous 2022 cost estimate). If this budget request is approved, expenditures or contracting for synchrophasor services would not proceed without prior approval from the IOC. Actual expenditures in FY2024 could be significantly lower than the budget if progress is slower than anticipated or the SSS determines there are avenues to reduce the cost of the EPG services contract. SSS Responses to IOC Concerns with Syn chrophasor Project: Concern 1 - Aggressive implementation schedule - utilities do not have internal resources to support the project Solution 1 – SSS proposes to extend the project development over FY2024 and use a sequential, two -phase plan. During Phase 1, the utility participants would establish working phasor data concentrators (synchrophasor data collection computer) within their respective IT networks. This is the “local solution ” component of the project. During this phase, the utilities will verify adequate communication channels to the substatio ns and ability to store and view “local” data. EPG co uld assist utilities with software and services or a utility may elect to use an alternative software product that is compatible with the synchrophasor IEEE standards. Phase 2 - connecting the individual data concentrators to a communal system. This is the “cloud ” component. Phase 2 would proceed with IOC approval after satisfactory completion of Phase 1. Depending on utility progress, d evelopment of Phase 2 may extend beyond FY2024. Concern 2 - Project benefits require increased support of Tesla PMU infrastructure Solution 2 – The project has positive and robust ROI independent of infrequent unplanned outages of individual Tesla PMUs that could reduce the value of the real time grid operation benefits . The March 2 memo to the IOC listed three categories of benefits and, where feasible , assigned dollar values. By itself, category 2 – Study Mode (using the synchrophasor system as an engine ering tool) has 11 benefits potentially worth millions of dollars per year . One of these benefits is the ongoing calibration of the Railbelt PSS/E model. The present method is inadequate and incurs a significant ly higher cost than this project. Also worth noting, Tesla DFR / PMUs have a long and successful reputation as dependable Railbelt substation equipment. Please let me know if the IOC has additional concerns or questions and I will respond ahead of next week’s meeting or be prepared to discuss them during the meeting. Thank you Keith CC: John Bell , Nathan Greene, Mike Tracy, Bill Price Enclosure: March 2 memo to IOC Page 1 of 13 March 2, 2023 To: Jon Sinclair, Chair of Intertie Operating Committee From: Keith Palchikoff, Chair of System Studies Subcommittee Re: Recommendation to Approve One Year Contract with EPG for Railbelt Synchrophasor System and Budget Funding for a Second Year Summary: The System Studies Subcommittee, including HEA, recommends the IOC approve GVEA contracting with EPG for a turnkey, one year, Railbelt synchrophasor pilot project to commence by April 1 and be commissioned by August 31. The cost of the EPG contract is $250k, 9% over the $230k allotted in the current fiscal year IMC budget. In addition, the SSS recommends budgeting $280k to renew the EPG contract for a second year which will also expand data collection to an additional 10 substations. The project will require assistance from other IOC subcommittees. The IOC should consider assigning the relay, SCADA and operations subcommittees to assist or engage with their respective SSS participants from each utility. The full contract is contained herein as Attachment 4. Background: In 2021, to improve the ongoing Railbelt oscillation remediation effort, the SSS developed a pilot plan for a communal system to stream, store and analyze synchrophasor data from Tesla high speed data recorders (DFR) at 12 key Railbelt substations. The data recorders are part of network of approximately $2 million of underutilized recorders installed at 45 transmission substations from Delta Junction to Homer. For the past 20 years regional synchrophasor data networks have successfully been used throughout the Lower 48 transmission grid for oscillation detection, source location and overall awareness of transmission system stability. CEA uses synchrophasor data to monitor areas of the South Central transmission network. In early 2022, the SSS contacted vendors and requested budgetary pricing and availability of cloud based software services that would communicate with the Railbelt data recorders. Based on the vendor responses and a project justification memorandum, a budget amount was approved in the IMC budget for the current fiscal year. In October, 2022 the SSS, through GVEA, issued a formal request for proposals for a cloud based synchrophasor system and then promoted the RFP during a public presentation at the November NWPPA E&O Conference in Anchorage. The full contract is provided alongside this memo as a separate document. Page 2 of 13 Synchrophasor systems with interconnected PMUs are widely used throughout North America and industrialized countries with managed transmission networks. These outdated maps show the Lower 48 grid during the previous decade. The systems have since expanded. The Railbelt Synchrophasor Project will modernize the Alaska transmission network. The SSS received four proposals and in late December selected Pasadena, California based Electric Power Group (EPG). In January, EPG presented their proposal to an audience of Railbelt technical personnel from HEA, CEA, MEA, GVEA and AEA. On behalf of the IMC, GVEA purchasing department worked with EPG and the SSS to draft a proposed contract for a turnkey, annual subscription service. 2014 Page 3 of 13 Project Cost, Justification and Return on Investment: The EPG system is a software as a service (SAaS) annual subscription consisting of both local software installed at each Railbelt utility and a communal cloud software system hosted in a high security data center. The EPG turnkey contract pricing is summarized in the first row of Table 1 below. This price includes initial setup costs and training. The pricing in Table 1 is for single year commitments and includes optional annual escalators to increase the number of connected substations from the initial 12 to a possible 50 by year 5.1 Attachment 1 lists price reductions for multi- year commitments and an additional reduction if pre-paying for multiple years. The project is estimated to provide a positive return on investment which increases over time. Table 1 summarizes the annual return on investment over five years and Attachment 1 lists the details of how the total benefit was calculated. The key benefits are improvements in transmission / Intertie loading, mitigating risk of equipment damage due to power system oscillations, reduction in cost to comply with reliability standards, more accurate system models for planning Railbelt capital projects / renewable integration and optimizing Railbelt reserves commitments. The software subscription renews each year in April and there is no penalty for cancellation. The April contract renewal date was set to integrate with the budget planning schedule of the IMC and individual utilities. Table 1 *Details for Net Benefits calculation are shown in Attachment 2 In addition to the EPG contract cost, each of the four Railbelt utilities would need an on premise computer for aggregating the data from the Tesla recorders installed at their respective substations, a secure Internet connection to the synchrophasor cloud system and internal support labor for the initial setup. Project Schedule and Utility Labor Contribution: The proposed schedule is listed below in Table 2 and has been reviewed by relevant staff at each utility. As a turnkey project, the bulk of the work will be performed by EPG. Each utility will need to allocate 28 to 40 hours of IT labor to implement the on premise portion (refer to Attachment 2 for breakdown on hours). In addition there would be additional labor expected from a project manager at each utility, for 1 Increasing the number of connected substations will extend the Railbelt coverage to allow a full network model solution within the linear state estimator and ensure each power plant interconnection is measured, allowing for complete model validations and more accurate location of oscillation sources. Row#Description Year 1 FY 2023 Pilot Year 2 Year 3 Year 4 Year 5 1 EPG Contract Annual Subscription 250,000$ 265,000$ 265,000$ 300,000$ 315,000$ 2 Expanded Substation Coverage (optional) -$ 15,000$ 25,000$ 40,000$ 40,000$ 3 Total Railbelt Shared Costs (Rows 1 and 2)250,000$ 280,000$ 290,000$ 340,000$ 355,000$ 4 Number of Connected Substations 12 22 32 45 50 5 Total Benefits - High Estimate 9,288,000$ 9,288,000$ 9,288,000$ 9,288,000$ 9,288,000$ 6 Total Benefits - Low Estimate 309,600$ 371,520$ 422,182$ 516,000$ 546,353$ 7 Net Benefits Low Estimate*59,600$ 106,520$ 157,182$ 216,000$ 231,353$ 8 ROI = Net Benefits / Total Costs 24%40%59%72%73% 9 Five year average Return on Investment - Railbelt Synchrophasor System 54% Page 4 of 13 operator and engineering staff to attend training and for ongoing testing / commissioning feedback to EPG during the initial setup. GVEA, HEA and CEA staff reviewed the schedule and support the timeline. Due to IT labor constraints and the need to reconfigure their datalinks to DGS and EGS, MEA expects to complete their part of the project later in the year. To keep the project schedule on track, the SSS is investigating an option for either CEA or GVEA to connect via existing DGS datalinks to the AEA owned Tesla data recorder at DGS. The SSS recommends the IOC assign other subcommittees to assist with the project, including SCADA and Telecommunications (substation datalinks and possible ICCP data integration), Engineering, Relay and Reliability (involvement with Tesla recorders) and Dispatch and System Operations (Control room integration). Table 2 Example Key Performance Indicators for Measuring Project Benefits Following commissioning, a recurring KPI report will quantify the system value. Improvement to Railbelt Real Time Operation 1.Synchrophasor system availability / up time – how reliable is the software system 2.Number of Railbelt disturbance events captured, reported to designated recipients within xx minutes with root cause analysis 3.Number of Railbelt stability / oscillation alarms reported and acted upon by system dispatchers. 4.Number of Railbelt oscillation sources detected. 5.Changes to Alaska Intertie capacity utilization due to real time stability reporting 6.Changes to Railbelt spinning reserve requirements due to inertia calculation Improvements to Railbelt Engineering and Reliability Analysis 1.Number of PSS/E model checks and corrections 2.Number of Railbelt reliability standard compliance efforts – e.g. machine model validation reports / updated performed 3.Complete a Railbelt oscillation analysis report once per year, more often if needed, with recommendations for any improvements. 4.Complete a Railbelt reserves performance analysis, inertia analysis with options for adjusting / optimizing reserve requirements. Page 8 of 13 Attachment 1 – Breakdown of System Benefits Below are three categories of benefits and estimated annual dollar values. The combined estimate of $9,288,000 is the high amount shown in Table 1 above. To compute a more conservative estimate of return on investment, the low estimate in Table 1 was reduced by at least one order magnitude. 1. Dispatch Center Real Time Applications = $3,752,000 per year consisting of average of $938,000 per year per utility in machine damage risk mitigation, Intertie loading improvements, Railbelt reliability improvements and optimization of unit commitment. Not all categories below have a dollar value assigned. 1.1 Oscillation detection - $1,000,000 - new capability to rapidly detect and respond to unstable or machine damaging oscillations. Railbelt EMS / SCADA systems do not perform oscillation detection, source location or modal analysis. In the recent past, the Railbelt has experienced unstable oscillations resulting in wide spread load shed and possible machine damage from subsynchronous torsional interaction (SSTI) to synchronous generators.2 The Railbelt has invested hundreds of thousands of dollars to understand the type, extent, source and remediation options and does not yet have a coordinated and real-time system to notify system operators. Increased penetration of inverter based resources is known to increase oscillations.3 1.2 Transmission line capacity and stability improvements – $2,628,000 – a new capability that will provide accurate transmission line loading for prevailing conditions by measuring the phase angle difference across the line segments. Current Alaska Intertie loading limits are static values based on infrequent studies using simulations based on imperfect software models. Additionally, the ability to monitor the angle difference across the interconnections should facilitate faster restoration following an islanding event. 1.3 Frequency event detection - Improvement to an existing capability. Railbelt dispatch centers have real-time capability to detect and measure absolute frequency excursions. However, the measurement methods / capabilities / fidelity are inconsistent between utilities and limited in geographic scope. The limited scope results in lack of visibility during islanding situations. In addition, the frequency measurements may not be integrated into the EMS for convenient access. The synchrophasor system offers both coordinated and consistent absolute frequency and rate-of-change of frequency measurements from key locations across the Railbelt with the option to use ICCP to stream the measurement data and alerts to the EMS. 1.4 Voltage stability monitoring – A new capability not available within the EMS / SCADA systems. Many of the unstable contingencies simulated for the Alaska Intertie are due to voltage collapse. The Alaska Intertie operating procedure calls for taking the Intertie out of service if two of the three AEA SVCs are offline. This requirement is based on system studies. It is unclear if this is an actual requirement and a synchrophasor system with empirical data would allow keeping the Intertie in service, monitoring the voltage stability and reducing the loading as needed. 2 and 3 References provided on page 11 Page 9 of 13 1.5 Event Detection, management, alarming and restoration – $100,000 reduction in Railbelt transmission system outage time. Improve existing capability by expanding and coordinating dispatch centers' awareness / validation / diagnosis of critical events throughout the Railbelt where operators can manually intervene and take action. Local events may start in one control area and then propagate and impact other areas. The synchrophasor system will detect events throughout the Railbelt and deliver a consistent set of alerts to all dispatch centers. The alerts can be integrated with the EMS via ICCP. 1.6 Wide area awareness/visibility Improvement / expand each dispatch center’s awareness of overall steady state of the Railbelt. 1.7 Renewable resource integration performance monitoring - New Capability. Due to the 3 to 5 second measurement scan rate, Railbelt EMS / SCADA systems lack the fidelity to record and display the fast dynamics of inverter based resources. Standard and specialized synchrophasor data is recorded at high sampling rates. 1.8 Immediate Access to Disturbance Reports – $24,000 - dispatch and management do not have to contact engineer to download, review and summarize Improvement Consistent, unified, timely, detailed and insightful reporting of Railbelt disturbances. The current reporting system does not provide these capabilities. A likely labor savings of 5 hours / month per utility or 240 hours annually @ $100/hr. = $24,000 labor savings. 1.9 Inertia Calculation / Reserves Optimization – value captured in the next group below - new Capability - Railbelt EMS / SCADA systems do not perform inertia calculation and calculated estimates using models and simulations are not timely and may not capture actual system dynamics such as effect of system load characteristics. Following a system disturbance, the synchrophasor system will compute and report the system inertia. This could allow optimization of contingency reserve requirements, potentially freeing BESS capacity for other uses or reducing reserves carried on rotating machines. Next iteration of EPG inertia calculation will compute during steady state operation to facilitate real-time optimization of dispatchable reserves. 2 - Study Mode Application = $5,436,000.00 per year or $1,359,000 average cost savings per utility per year. 2.1 Regulatory / Reliability / IBR Plant Interconnection Compliance – $48,000. Utility labor savings 10 hr. /month x 4 utilities @$100 hr. labor rate. Documenting compliance with various reliability standards where higher frequency data is needed and not available for SCADA - e.g. compliance / validation of the fast frequency response of each machine or validation of IBR plant interconnection voltage / frequency ride through performance. The labor savings would also apply where Railbelt wide coordinated reporting can utilize a Raibelt wide dataset and reporting format. This will allow all Railbelt entities to confirm grid operation performance by referencing a communal dataset. 2.2 Black Start / Contingency Response Training – Future value TBD - Use by dispatch centers to simulate and train for how to respond to large Railbelt outages. EPG offers a Page 10 of 13 simulator software add-on module that would facilitate communal training exercises. 2.3 Transmission system model validation & improvement – $200,000. Railbelt planning studies underpin multi-million dollar capital investments. These studies rely on the Railbelt PSS/E software model. Due to the importance of the model, Railbelt reliability standards AKMOD 32 and 33 require a structured process for model validation. The SSS, whose primary function is to maintain a validated Railbelt model, has struggled to fulfill this responsibility. In 2021, PTI, the PSS/E software vendor, provided a quote for $200,000 to perform a one-time validation / calibration effort. The work was deferred. Since the model is periodically updated to reflect changes to Railbelt infrastructure, the validation / calibration process needs to be a recurring activity to accommodate these changes and the EPG software will provide this structured process. 2.4 Power plant machine model improvement - $600,000. Validation / calibration of each of the individual power plant / machine models within the overall PSS/E model is a separate task and the focus of AKMOD-25, 26 and 27. The conservative cost to validate a 50 MW gas turbine machine model is $120,000 consisting of $60k for outside engineering services and $60k to take the machine out of normal service and operate if for a day of testing. Due to scheduling challenges and cost, often these models are infrequently validated and some Railbelt machines may not have been tested for many years. Assume model maintenance for 50 Railbelt machines, at five machines per year @ $120,000 per machine. 2.5 Post event analysis and forensics - $108,000 (utility labor savings 10 hr. /month x 4 utilities) + oscillation event analysis x 2 events per year (Historic cost for PTI study) 2.6 Operator training – dollar value TBD. Synchrophasor system includes a disturbance event playback mode to facilitate ongoing operation training and analysis of event response. 2.7 Fault Location – dollar value TBD. Additional capability of synchrophasor system not yet quantified. 2.8 Asset Monitoring – dollar value TBD. EPG offers a supplemental software module for early detection of failing of high voltage substation current and voltage transducers. Future value. 2.9 Engineering Labor Savings – dollar value TBD. System will provide easy access to Railbelt performance data to assist utility engineers and outside consultants with recurring study and analysis 2.10 Oscillation Mitigation Planning – $100,000. Annual system wide oscillation analysis (PTI / EPS single study cost). If the IMC elected to perform an annual analysis of Railbelt oscillation modes and damping to check impact of system changes, an annual study by a consulting group would be required. This synchrophasor system software would substitute for the consulting study report. 2.11 Inertia Calculation / Reserves Optimization – $4,380,000. Reduce BESS spin allocation 5 MW x 8760 hr. /year x $100 MWh avoided cost. Assumption is the overall Railbelt spin requirement will be optimized in aggregate by 5 MW based on analysis of inertia versus spin Page 11 of 13 events. The spin set points for two and eventually three Railbelt BESS systems could be dynamically adjusted based on actual inertia, freeing up BESS capacity for renewable regulation. 3 - Soft Benefits = $100,000 per year, average of $25k cost savings per utility per year 3.1 Improved Railbelt Utility Coordination - RRC Vision and Objective – dollar value = $50,000 per year or average $12.5k savings per year per utility due to coordinated operation - presenting each utility control center with consistent and identical views of the Railbelt network can facilitate pooling of operator experience, skills and intellect. Similar to a Railbelt power pooling arrangement, grid operation pooling via a common software framework should encourage operational efficiency and spur discussion for improvements / innovation. 3.2 Grid Modernization - Adopting Industry Standard Technology and Practices, Improving Workforce Development – $50,000. Two areas for cost savings and operational efficiency - 1) $12.5k per utility in reduced consulting labor costs due to new software tools that perform and present analysis that previously the Railbelt would pay a consultant to perform; 2) Consultants will also have access to the software tools and large data set which should improve efficiency and lower cost of study work while also allowing for new areas of analysis. References 1.Inverter-Based Resources (IBR) contribution to transmission system oscillations: a.IEEE Std 2800-2022, Standard for Interconnection and Interoperability of Inverter-Based Resources Interconnecting with Associated Transmission Electric Power Systems, page 131, subsection C.3.1.2 Control instability and section C3.2 Subsynchronous instability - pages 133 – 135. b.Integrating Inverter-Based Resources into Low Short Circuit Strength System, NERC Reliability Guideline, December 2017, page 8 c.NERC Reliability Guideline BPS-Connected Inverter-Based Resource Performance, September 2018, Chapter 7: Other Topics for Consideration, page 63 2.Using synchrophasor systems for model calibration a.“Multifold insights for power system dynamics from data assimilation: Meeting current challenges,” IEEE Power Energy Mag., vol. 21, no. 1, pp.36-43, Jan./Feb. 2023 3.Synchrophasor systems in North America a.Department of Energy, Office of Electricity – https://www.energy.gov/oe/big-data-synchrophasor-analysis 4.Subsynchronous Torsional Oscillations (SST) and Equipment Damage IEEE Subsynchronous Resonance Working Group of the Power System Dynamic Performance Subcommittee, “Reader’s Guide to Subsynchronous Resonance,” IEEE Transactions on Power Systems, vol. 7, no. 1, pp. 150–157, Feb. 1992, doi: 10.1109/59.141698. Page 12 of 13 Attachment 2 – Parts, Data Circuit and Labor Contribution per Utility Parts: Computers: 1)One Windows server at each utility for PDC and local visualization software, database and backup data storage. System admins will need remote desktop access. End users of the local visualization application connect via thin client web browser: A virtual server is acceptable for connection of up to 15 PMUs. 2)One Windows workstation or server for Generator Model Validation and PSS/E software. GMV is a desktop application and users will need desktop access to use the application. Spec. from GMV software manual: Minimum Data circuit requirements: a.Each PMU will have a minimum of two sets of three phase Voltage (A, B, C) - Six Phasors b.Each PMU will have a minimum of two sets of three phase Current (A, B, C) - Six Phasors c.Each PMU will have a minimum of frequency and rate of change of frequency – Two Phasors d.Total minimum number of phasors for each PMU will be 14. e.Each PMU will send data at 60 Samples per Second f.Required capacity for one PMU as described above is 104.2 kbps g.Required capacity for 4 PMUs from the local PDC to the Cloud solution is 416.4 kbps Page 13 of 13 Network equipment: Edge firewall or VPN appliance for IPsec tunnel to cloud system – each utility should already have this capability. Labor: The work effort ranges as each organization addresses these types of tasks differently. Below is an estimate of the number of people typically involved and the expected effort in hours. 1)Project management – one PM per utility 2)Per utility implementation labor – below estimate from EPG 3)Utility support for testing / commissioning Task EPG Role Customer Role Customer Required Resource Customer Effort Per Person (in Hours) Review and Order Hardware if required EPG will provide Hardware Requirements Customer will lead this effort One IT Admin One Procurement 4 hours Configure Network / Firewall Rules for PMU Input, and Output to Cloud over VPN EPG will advise and assist with requirements Customer will lead this effort One Network Admin 24 - 40 hours Installation of EPG Software EPG will lead this effort Customer will support One IT Admin 2 hours Configuration of EPG’s software for PMU Input and output to Cloud EPG will lead this effort Customer will support One IT Admin 4 - 8 hours Troubleshooting hardware and network issues EPG will support this effort Customer will lead this effort One IT Admin One Network Admin 8 hours The table above does not include training, which will require resources as each utility sees fit. Douglas Communications Project Scope Utility communications from Teeland Substation to Douglas Substation are provided by two means, an independent DS1 service provided by the State of Alaska Public Safety Communications Service (APSCS) on their microwave network, and a leased Metro Ethernet service from MTA. The DS1 is used by Chugach, MEA, and GVEA for tele-protection, SCADA, telephone, and relay engineering access. The bandwidth of this DS1 circuit is fully allocated and more is currently needed. The MTA leased service is for MEA’s sole use. Currently, the DS1 interconnection is provided via microwave between Chugach’s International Transmission Substation (ITSS) and APSCS’ Tudor Tower. Upgrades at the following three State of Alaska sites are needed to complete a utility- owned and maintained microwave path from Douglas Substation to Teeland Substation: Tudor Tower Willow Creek Douglas Substation Chugach is proposing to overbuild the microwave path to Douglas Substation with a private, high-speed microwave network from the State’s Tudor Tower Site to Douglas Substation. Once Chugach has established an interconnection point on our existing high-speed microwave network, communications to Teeland and Ship Creek Water Tower* will be available via multiple routes. This will allow both GVEA and MEA to have private high speed connections to Douglas with common points of interconnection for data services between utilities. Joint use of APSCS antenna/feedline infrastructure would allow Chugach to install a second set of radios on the RF systems to vastly increase the Railbelt Utilities' capabilities at Douglas Substation, increase substation security, and allow Chugach to diversify the communications paths on our existing network. This approach is used successfully at other sites Chugach jointly operates with APSCS. Licensed FCC frequencies have been coordinated and Chugach has discussed colocation with APSCS to complete this effort. In these discussions, APSCS identified some site infrastructure upgrades that will be needed to ensure site reliability for the link to Douglas Substation. Upgrades include replacement of site generators, battery plants, HVAC systems, a new shelter at Douglas Substation, and changes to tower structural elements and shared antenna systems at the sites. A map of the project area and costs estimates can be found below. Chugach and APSCS have an existing MOU that allows for similar arrangements as is proposed for this project and is in the process of updating to include the 2 links and associated sites. The MOU will need to be completed prior to initiating the procurement phase of the project. *GVEA manages the lease of a DS-1 circuit between SCWTF and GVEA PROJECT MAP TUDOR TOWERMaterial CostProfessional Svcs.Chugach LaborChugach PMSubtotal20kW Kubota Generator41,580.00$ 1,600.00$ -$ 800.00$ 43,980.00$ VRLA Battery Plant17,086.00$ -$ -$ 800.00$ 17,886.00$ DPS Telecom 2-HVAC Controller4,636.00$ -$ -$ -$ 4,636.00$ DPS Telecom 6-String 4x12VDC Battery Monitor7,214.00$ -$ -$ -$ 7,214.00$ Aviat Microwave51,554.00$ 2,500.00$ 12,000.00$ 800.00$ 66,854.00$ Commscope Feed Line, Connectors, Ground Kits, Hangers, etc.2,500.00$ -$ 4,000.00$ 800.00$ 7,300.00$ Miscellaneous Materials - Fuse Panel, Breakers, Wire, Cable2,500.00$ -$ 4,000.00$ 800.00$ 7,300.00$ Tudor Tower155,170.00$ WILLOW CREEKMaterial CostProfessional Svcs.Chugach LaborChugach PMSubtotalBard HVAC Right Side - W24AB-A05ZXXXXJ8,677.70$ 600.00$ -$ 400.00$ 9,677.70$ Bard HVAC Left Side - W24LB-A05ZXXXXJ8,677.70$ 600.00$ -$ 400.00$ 9,677.70$ 12kW Kubota Generator from ESI - KPG-12-V15-MCR3 KPG-12-V15MR3 TG41014,145.00$ 3,200.00$ -$ 800.00$ 18,145.00$ DPS Telecom 2-HVAC Controller4,636.00$ -$ -$ 4,636.00$ DPS Telecom 6-String 4x12VDC Battery Monitor7,214.00$ -$ -$ 7,214.00$ Aviat Microwave56,701.00$ 2,500.00$ 12,000.00$ 800.00$ 72,001.00$ Commscope Feed Line, Connectors, Ground Kits, Hangers, etc.5,000.00$ -$ 4,000.00$ 800.00$ 9,800.00$ Miscellaneous Materials - Fuse Panel, Breakers, Wire, Cable2,500.00$ -$ 4,000.00$ 800.00$ 7,300.00$ Willow Creek138,451.40$ DOUGLASS (ARR)Material CostProfessional Svcs.Chugach LaborChugach PMSubtotalNANA Construction Pre-fab Shelter220,000.00$ -$ -$ 4,000.00$ 224,000.00$ Bard HVAC Right Side - W24AB-A05ZXXXXJ8,677.70$ 600.00$ -$ 400.00$ 9,677.70$ Bard HVAC Left Side - W24LB-A05ZXXXXJ8,677.70$ 600.00$ -$ 400.00$ 9,677.70$ VRLA Battery Plant17,086.00$ -$ 800.00$ 17,886.00$ 12kW Kubota Generator from ESI - KPG-12-V15-MCR3 KPG-12-V15MR3 TG41014,145.00$ 3,200.00$ -$ 800.00$ 18,145.00$ DPS Telecom 2-HVAC Controller4,636.00$ -$ -$ 4,636.00$ DPS Telecom 6-String 4x12VDC Battery Monitor7,214.00$ -$ -$ 7,214.00$ Aviat Microwave34,914.00$ 2,500.00$ 12,000.00$ 800.00$ 50,214.00$ Commscope Feed Line, Connectors, Ground Kits, Hangers, etc.2,500.00$ -$ 4,000.00$ 800.00$ 7,300.00$ Miscellaneous Materials - Fuse Panel, Breakers, Wire, Cable2,500.00$ -$ 4,000.00$ 800.00$ 7,300.00$ Douglas356,050.40$ Total649,671.80$ Alaska Intertie FY24 Proposed Budget FY23 Approved Proposed FY21 FY22 ACTUALS FY23 FY24 Actual Actual @12/31/22 Budget Budget REVENUES GVEA 1,942,988               2,075,721               956,242                           2,659,181                      3,631,114                           CEA 290,065                  265,259                  277,769                           405,435                         471,717                              MEA 460,479                  413,239                  256,628                           440,368                         654,520                              INTEREST 903                          1,668                       18,440                              ‐                                       ‐                                            TOTAL REVENUES 2,694,435               2,755,887               1,509,078                       3,504,985                      4,757,352                           EXPENSES FERC 562 ‐ Station Operation Expenses GVEA ‐ Substation Electricity Usage 9,382                       45,889                    2,677                               ‐                                       ‐                                            9,382                       45,889                    2,677                               ‐                                       ‐                                            FERC 566 ‐ Miscellaneous Transmission Expense Private Line Telephone Service for AKI SCADA (GVEA) 5,556                       5,556                       3,010                              10,000                            6,000                                   Cell Phone Comm. Svc for Weather Monitoring (Verizon)11,904                    12,025                    4,980                              13,000                            13,000                                SLMS Support and Intertie Ground Patrol 98,540                    154,947                  25,601                             140,000                         175,000                               Misc Studies as needed (Cyber Security Study)‐                                 ‐                                 ‐                                        ‐                                       ‐                                             116,000                  172,528                  33,591                             163,000                         194,000                              FERC 567 ‐ Transmission Expenses ‐ Rents Rents ‐ Alaska Railroad 700                          700                          1,500                              700                                1,000                                   MEA ‐ Talkeetna Storage 7,200                       7,200                       3,600                              7,200                             7,200                                   Equipment Return ‐                               375                          102                                   ‐                                       ‐                                            PSSE key replacement ‐                                ‐                                ‐                                        ‐                                       ‐                                            7,900                       8,275                       5,202                              7,900                             8,200                                   FERC 569 Maintenance of Structures MEA ‐ Maintenance of Structures ‐                                ‐                                ‐                                        ‐                                       ‐                                            MEA ‐ Re‐insulate 20 dead‐end structures ‐                                ‐                                ‐                                        ‐                                      75,000                                MEA ‐ Re‐insulate 30 tangent structures ‐                                ‐                                ‐                                        ‐                                      75,000                                ‐                                ‐                                ‐                                        ‐                                       ‐                                            ‐                                ‐                                        ‐                                      150,000                              FERC 570 ‐ Maintenance of Station Equipment  GVEA ‐ Healy, Cantwell, Goldhill 154,917                  63,163                    111,019                           75,000                            125,000                              GVEA ‐ SCADA Maintenance Healy, Cantwell, Gold Hill ‐                                ‐                                ‐                                       5,000                              ‐                                            GVEA ‐ Replace Healy Substation Breaker B17 ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Healy, Teeland, Goldhill Dampers ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Healy and Goldhill Digital Fault Recorders 53,255                     ‐                                        ‐                                       ‐                                            GVEA ‐ Healy SVC Fire Alarm Panel Replacement ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Gold Hill SVC Fire Alarm Panel Replacement ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Gold Hill SVC Cooling 460                           ‐                                        ‐                                       ‐                                            GVEA ‐ Cantwell Install Breakers or Load Break Switches ‐                               182,606                  30,434                             156,000                         306,000                              GVEA ‐ Cantwell 4S2 Switch Repair ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Replace Battery Healy SVC ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Replace Battery Goldhill SVC ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Perform Maintenance, repaint Reactors Healy SVC Yard 145,494                   ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Perform Maintenance, repaint Reactors Gold Hill SVC Yard 7,452                       4,472                              80,000                             ‐                                            GVEA ‐ Mobile Substation Site ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Cantwell RTU, Recloser, & Transformer Protection replacement ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Recloser Control Replacement ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Transformer Protection Upgrades ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Capacitor Spares ‐                                ‐                                ‐                                        ‐                                      20,000                                GVEA ‐ Dissolved Gas Monitoring Gold Hill & Healy ‐                                ‐                                ‐                                        ‐                                      ‐                                            GVEA ‐ Cantwell Standby Generator Replacement 29,016                     ‐                                      ‐                                            GVEA ‐ SVC Intertie Trust Fund Eligible Expenses ‐                                ‐                                ‐                                        ‐                                      ‐                                            SVC ALASKA INTERTIE TRUST FUND ‐                                ‐                                ‐                                        ‐                                      ‐                                            CEA ‐ AK Intertie Yard ‐                                ‐                                ‐                                        ‐                                       ‐                                            CEA ‐ Teeland  Substation Communication ‐                                ‐                                       5,000                             5,000                                   CEA ‐ Teeland  Substation 183,401                  115,365                  50,548                             168,200                         170,000                              MEA ‐ Douglas Substation 26,115                     ‐                                ‐                                        ‐                                       ‐                                            MEA ‐ Douglas Substation 138 kV BKR Inspections ‐                                ‐                                ‐                                       25,000                            25,000                                GVEA ‐ Douglas Substation OOS relaying and communications ‐                                ‐                                ‐                                        ‐                                       ‐                                            CEA ‐ Telecomm Support (Douglas, Teeland, Anc‐Fbks Leased Circuits)‐                               1,742                        ‐                                        ‐                                       ‐                                            538,943                  424,043                  196,472                           514,200                         651,000                               FERC 571 ‐ Maintenance of Overhead Lines GVEA ‐ Northern Maintenance 68,204                    107,641                  44,048                             100,000                         150,000                              GVEA‐Private Line Telephone Service ‐                                ‐                               20,961                              ‐                                       ‐                                            GVEA ‐ Northern ROW Clearing 36,721                    68,882                     ‐                                       300,000                         550,000                              GVEA ‐ Northern ROW Remote Sensing and Analysis ‐                                ‐                                ‐                                        ‐                                      400,000                              GVEA ‐ Landing Pads ‐                                ‐                                ‐                                        ‐                                      75,000                                GVEA ‐ Re‐level Structures & Adjust Guys ‐                                ‐                                ‐                                        ‐                                      80,000                                GVEA ‐ Repair Tower 504 Foundation ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Repair Tower 537 Foundation ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Repair Tower 539 Foundation ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Repair Tower 569 Foundation ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Repair Tower 531 Foundation ‐                                ‐                                ‐                                       50,000                            150,000                              GVEA ‐ Repair Tower 532 Foundation ‐                                ‐                                ‐                                       50,000                            150,000                              GVEA ‐ Repair Tower 748 ‐                                ‐                                ‐                                        ‐                                       ‐                                            GVEA ‐ Repair Tower 692 ‐                                ‐                                ‐                                        ‐                                       ‐                                            MEA ‐ Special Patrols [Incl Helicopter Inspections]‐                               599                          488                                  10,000                             ‐                                            MEA ‐ Southern Maint (Incl Ground and Climbing Inspect) 138,199                  191,358                   ‐                                       140,000                         140,000                              MEA ‐ Southern ROW Clearing 228,413                  168,367                  170,150                           500,000                         500,000                              Page 1 of 4 MEA ‐ Southern ROW Remote Sensing and Analysis ‐                                ‐                                ‐                                        ‐                                      125,000                              MEA ‐ TWR 195 Repair Monitoring ‐                                ‐                                ‐                                        ‐                                       ‐                                            MEA ‐ Equipment Repair and Replacement 780,866                  76,494                     ‐                                       684,000                         350,000                              1,252,403               613,341                  235,647                           1,834,000                      2,670,000                           FERC 924 ‐ Property Insurance AK Intertie ‐ Insurance 38,773                    37,133                     ‐                                        25,000                            37,000                                 38,773                    37,133                     ‐                                       25,000                            37,000                                Intertie Operating Costs Total 1,963,401               1,301,209               473,589                           2,544,100                      3,710,200                           FERC 570 ‐ Maintenance of Station Equipment  MEA ‐   Replace Protective Relay Schemes Douglas ‐                                ‐                                ‐                                        ‐                                       ‐                                            ‐                                ‐                                ‐                                        ‐                                       ‐                                            Intertie Cost of Improvements Total ‐                                ‐                                ‐                                        ‐                                       ‐                                            FERC 920 ‐ AEA Administrative Costs Personal Services, Travel and Other Costs 210,409                  235,608                  25,891                             200,000                         250,000                              210,409                  235,608                  25,891                             200,000                         250,000                              FERC 920 ‐ IMC Administrative Costs IMC Administrative Costs (Audit, meetings, legal) 30,890                    29,276                    16,466                             20,000                             ‐                                            30,890                    29,276                    16,466                             20,000                             ‐                                            FERC 566 ‐ Miscellaneous Transmission Expense Misc Studies:  System Reserves Study (IBR), PSS/E maint,  230 kV Upgrade System Impact Study 186,675                  145,327                  (27,000)                            216,000                         266,000                               LIDAR study (complete lidar, vegetation, PLS CADD file with drawings,  structure/foundation movement, infrared, and imaging)   226,125                   ‐                                 ‐                                        ‐                                       ‐                                             Asset management plan ‐                                ‐                                ‐                                       50,000                             ‐                                            Proposed Synchrophaser system ‐                                ‐                                ‐                                       230,000                         250,000                              Unbalanced Snow Load mitigation analysis and recommendations ‐                                ‐                                ‐                                       50,000                             ‐                                            Reliability Standards Update (Hdale Inc.)‐                                ‐                                ‐                                        ‐                                       ‐                                            412,800                  145,327                  (27,000)                            546,000                         516,000                              Intertie Administration Costs Total 654,099                  410,211                  15,357                             766,000                         766,000                               TOTAL EXPENSE 2,617,500               1,711,420               488,945                           3,310,100                      4,476,200                           SURPLUS (SHORTAGE) 76,935                    1,044,468               1,020,133                       194,885                         281,152                               Page 2 of 4 Alaska Intertie FY24 Proposed BudgetTrue up toContract GVEAMEA CEATOTALUSAGECAPACITYADMIN CASH FLOWMONTH Value MWH MWH MWH MWH GVEAMEA CEAGVEAMEA CEAGVEA | MEA | CEA TOTALSJul11,500 1,9930 13,493 $141,680 $24,554 $0 $305,760 $89,376 $216,384 $63,833 $841,587Aug13,600 2,0340 15,634 $167,552 $25,059 $0 $63,833 $256,444Sep14,050 1,9720 16,022 $173,096 $24,295 $0 $63,833 $261,224Oct23,500 2,0360 25,536 $289,520 $25,084 $0 $63,833 $378,437Nov25,190 2,2730 27,463 $310,341 $28,003 $0 $63,833 $402,177Dec24,990 2,4940 27,484 $307,877 $30,726 $0 $63,833 $402,436Jan25,470 2,4950 27,965 $313,790 $30,738 $0 $63,833 $408,362Feb24,740 2,0430 26,783 $304,797 $25,170 $0 $63,833 $393,800Mar21,230 2,1580 23,388 $261,554 $26,587 $0 $63,833 $351,973Apr13,470 1,9430 15,413 $165,950 $23,938 $0 $63,833 $253,721May20,380 1,8710 22,251 $251,082 $23,051 $0 $63,833 $337,966Jun31,070 1,8350 32,905 $382,782 $22,607 $0 $63,833 $469,223TOTAL 0 249,190 25,147 0 274,337 $3,070,021 $309,811 $0 $305,760 $89,376 $216,384 $766,000 $4,757,352Total Energy: $3,379,832 Total Capacity : $611,520274,337MWH251,476MWH204,984MWHTOTAL MWH REVENUE $4,757,352O&M BUDGET - Operating 3,710,200 O&M BUDGET - Administrative 766,000 UTILITYFY 24TOTAL O&M BUDGET 4,476,200 MEA 29.20% 22.80 MWSURPLUS (SHORTAGE) $281,152CEA 70.80% 55.20 MWGVEA 100.00% 78.00 MWAnnual Participant Administrative Contribution 255,333.33 156.0Monthly Contribution per Participant 21,277.78 Usage Rate per KWH 0.01232$ Capacity Rate $3.92Section 7.2.2 MINIMUM USAGE CONTRACT VALUEALASKA INTERTIE FISCAL YEAR 2024ENERGY PROJECTIONTOTAL INTERTIE PROJECTED ENERGY USAGE Usage estimate reduced by 1/12 of Total for rate calculations Page 3 of 4 Alaska Intertie FY24 Proposed BudgetAnnual System Demand19-20 20-21 21-22 22-23 3 YR AVG.SOUTHERN UTILITY PARTICIPANTS (MW)CEA 364.5 366.0 349.8 343.8 353.2 MW PROPOSEDAPPROVEDAPPROVEDAPPROVEDAPPROVEDAPPROVEDMEA 137.0 145.0 146.0 147.0 146.0 MW 6/30/2024 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019UNITS FY24 FY23 FY22 FY21 FY20 FY19USAGEKWH 251,476,000 415,247,000 187,902,000 187,902,000 187,902,000 297,441,000OPERATING BUDGET$ 3,710,200 2,544,100 1,992,890 2,007,385 2,168,391 2,024,298 MITCRKW 156,000 156,000 156,100 156,000 156,000 156,000 TOTAL499.2 MWENERGY (A)$.000/KWH $0.01232 $0.00512 $0.00886 $0.00892 $0.00964 $0.00568NORTHERN UTILITY PARTICIPANTS (MW)CAPACITY (B)$/KW $3.92 $2.69 $2.11 $2.12 $2.29 $2.14GVEA 191 204 204.7 205.5 204.7 MWTOTAL204.7 MWMITCR DETERMINATIONFY 24KWHCAP RATECAP CHARGESMEA 29.20% 22.80 MW22,800 $3.92 89,376.00 CEA 70.80% 55.20 MW55,200 $3.92 216,384.00 GVEA 100.00% 78.00 MW78,000 $3.92 305,760.00 156.00 MW156,000 611,520.00 (A) See Section 7.2.5 AK Intertie Agreement(B) See Section 7.2.6 AK Intertie AgreementMINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS(MITCR) DETERMINATIONFOR FISCAL YEAR 2024Page 4 of 4