HomeMy WebLinkAbout2024-03-22 IMC Agenda and docs INTERTIE MANAGEMENT COMMITTEE (IMC) REGULAR MEETING March 22, 2024 9:00 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 – January 26, 2024 and February 12, 2024
7. NEW BUSINESS
A. FY25 IMC Budget
8. OLD BUSINESS
A. GRID Resilience Grant Applications
9. COMMITTEE REPORTS
A. Budget to Actuals
B. IOC Committee
C. Operator’s Report
10. MEMBERS COMMENTS
11. NEXT MEETING DATE – May 3, 2024
12. ADJOURNMENT
Alaska Energy AuthorityAlaska IntertieDate: March 22, 2024Proposed FY2025 BudgetPage 1 of 8
ALASKA ENERGY AUTHORITYALASKA INTERTIEFY25 Proposed Budget ContentsDescriptionPage #FY25 Proposed Budget Summary3O&M Budget4-5Grant Budget6Usage Projection7AK Intertie MITCR8Page 2 of 8
Alaska Intertie FY25 Proposed BudgetProposed Budget SummaryRevenuesO&MGrantTotalTotal GVEATotal CEATotal MEATotal HEATotalRevenue from Operations 3,911,708 - 3,911,708 2,794,916 428,368 688,425 - 3,911,708 Grant Match - 536,362 536,362 442,794 32,859 60,709 4,805 536,362 3,911,708 536,362 4,448,070 3,237,710 461,227 749,134 4,805 4,448,070 ExpensesOperations 2,907,100 - 2,907,100 Admin 785,000 - 785,000 Grant - 536,362 536,362 3,692,100 536,362 4,228,462 Surplus/(Shortage) 219,608 - 219,608 (Total Paid by Utilities)Page 3 of 8
Alaska Intertie FY25 Proposed Budgetdata @ 1/4/24FY24 Approved DraftFY21 FY22 FY23 ACTUALS FY24 FY25Actual Actual Actual 12/31/23 BudgetBudgetREVENUESGVEA1,942,988 2,075,721 1,632,539 2,008,550 3,631,114 2,794,916 CEA290,065 265,259 405,435 322,773 471,717 428,368 MEA460,479 413,239 450,409 328,562 654,520 688,425 INTEREST903 1,668 58,981 19,609 - - TOTAL REVENUES 2,694,435 2,755,887 2,547,364 2,679,494 4,757,352 3,911,708 EXPENSESFERC 562 - Station Operation ExpensesGVEA - Substation Electricity Usage9,382 45,889 478 - - 9,382 45,889 478 - - - FERC 566 - Miscellaneous Transmission ExpensePrivate Line Telephone Service for AKI SCADA (GVEA)5,556 5,556 5,788 5,005 6,000 6,000 Cell Phone Comm. Svc for Weather Monitoring (Verizon)11,904 12,025 11,983 - 13,000 13,000 SLMS Support and Intertie Ground Patrol 98,540 154,947 145,346 21,205 175,000 175,000 116,000 172,528 163,116 26,210 194,000 194,000 FERC 567 - Transmission Expenses - RentsRents - Alaska Railroad700 700 1,500 1,000 1,000 1,000 MEA - Talkeetna Storage7,200 7,200 7,200 2,400 7,200 7,200 Equipment Rental- 375 102 - - - 7,900 8,275 8,802 3,400 8,200 8,200 FERC 569 Maintenance of StructuresMEA - Re-insulate 20 dead-end structures- - - - 75,000 300,000 MEA - Re-insulate 30 tangent structures- - - 75,000 250,000 - - - - 150,000 550,000 FERC 570 - Maintenance of Station Equipment GVEA - HLSB17 Sync PT Replacement- - - - - 25,000 GVEA - Healy, Cantwell, Goldhill154,917 63,163 141,248 125,000 64,500 GVEA - Replace Healy Substation Breaker B17- - - - - 350,000 GVEA - Healy and Goldhill Digital Fault Recorders- 53,255 - - - - GVEA - Gold Hill SVC Cooling- 460 - - - - GVEA - Cantwell Install Breakers or Load Break Switches- 182,606 - - 306,000 306,000 GVEA - Cantwell 4S2 Switch Repair- - 43,217 - - - GVEA - Perform Maintenance, repaint Reactors Healy SVC Yard145,494 - 4,472 - - - GVEA - Perform Maintenance, repaint Reactors Gold Hill SVC Yard- 7,452 - - - - GVEA - Capacitor Spares- - - - 20,000 - GVEA - Cantwell Standby Generator Replacement29,016 - - - - - CEA - Teeland Substation Communication - - - - 5,000 5,000 CEA - Teeland Substation183,401 115,365 74,128 82,488 170,000 170,000 CEA - Douglas Substation Communication - - - 1,554 - 2,400 MEA - Douglas Substation26,115 - - 1,441 - - MEA - Douglas Substation 138 kV BKR Inspections - - - - 25,000 25,000 CEA - Telecomm Support (Douglas, Teeland, Anc-Fbks Leased Circuits)- 1,742 - - - - 538,943 424,043 263,065 85,482 651,000 947,900 FERC 571 - Maintenance of Overhead LinesGVEA - Northern Maintenance68,204 107,641 99,464 - 150,000 - GVEA - Northern ROW Clearing36,721 68,882 328,252 - 550,000 550,000 GVEA - Northern ROW Remote Sensing and Analysis- - - - 400,000 - GVEA - Landing Pads- - - - 75,000 75,000 GVEA - Re-level Structures & Adjust Guys- - - - 80,000 - GVEA - Repair Tower 531 Foundation- - - - 150,000 - GVEA - Repair Tower 532 Foundation- - - - 150,000 - GVEA - Helicopter Patrols- - - - - 80,000 Page 4 of 8
MEA - Special Patrols [Incl Helicopter Inspections]- 599 11,603 - - 15,000 MEA - Southern Maint (Incl Ground and Climbing Inspect)138,199 191,358 78,729 - 140,000 140,000 MEA - Southern ROW Clearing228,413 168,367 525,520 - 500,000 300,000 MEA - Southern ROW Remote Sensing and Analysis- - - - 125,000 10,000 MEA - Equipment Repair and Replacement780,866 76,494 803,393 152,755 350,000 - 1,252,403 613,341 1,846,961 152,755 2,670,000 1,170,000 FERC 924 - Property InsuranceAK Intertie - Insurance38,773 37,133 40,178 11,334 37,000 37,000 38,773 37,133 40,178 11,334 37,000 37,000 Intertie Operating Costs Total 1,963,401 1,301,209 2,322,601 279,180 3,710,200 2,907,100 FERC 570 - Maintenance of Station Equipment MEA - Replace Protective Relay Schemes Douglas- - - - - - - - - - - Intertie Cost of Improvements Total - - - - - - FERC 920 - AEA Administrative CostsPersonal Services, Travel and Other Costs 210,409 235,608 190,236 49,077 230,000 250,000 210,409 235,608 190,236 49,077 230,000 250,000 FERC 920 - IMC Administrative CostsIMC Administrative Costs (Audit, meetings, legal) 30,890 29,276 14,579 2,861 20,000 20,000 30,890 29,276 14,579 2,861 20,000 20,000 FERC 566 - Miscellaneous Transmission ExpenseMisc Studies: System Reserves Study (IBR), PSS/E maint, 230 kV Upgrade System Impact Study186,675 145,327 150,368 28,200 266,000 515,000 LIDAR study (complete lidar, vegetation, PLS CADD file with drawings, structure/foundation movement, infrared, and imaging) 226,125 - - - - - Synchrophaser System (Moved to GRANT BUDGET worksheet)- - - 250,000 - 412,800 145,327 150,368 28,200 516,000 515,000 Intertie Administration Costs Total 654,099 410,211 355,182 80,138 766,000 785,000 TOTAL EXPENSE 2,617,500 1,711,420 2,677,783 359,318 4,476,200 3,692,100 SURPLUS (SHORTAGE) 76,935 1,044,468 (130,419) 2,320,176 281,152 219,608 Page 5 of 8
Alaska Intertie FY25 Proposed BudgetUtility Grant Matching ContributionsSnow Loading Grant to re-insulate from Douglas north 80 miles(Proposed Allocation Option #2 - Revenue excluding Admin Fee from Allocation)GVEA Grant Submittal to AEA ($13.8M grant with $3M in matching funds & $500k in-kind in-house labor) AEA to revise per agreed paymentTotal Match Amount491,167$ PercentFY24Power PurchaserShareMatchYearProject Total CostGrant ReimbursementGrant Match (Cash and In-Kind)1 $1,964,668 $1,473,501 $491,167GVEA 81.95% 402,511 2 $2,942,956 $2,207,217 $735,739CEA 6.69% 32,859 3 $2,942,956 $2,207,217 $735,739MEA 11.36% 55,797 4 $2,942,956 $2,207,217 $735,7395 $2,965,356 $2,224,017 $741,339100.00% 491,167 Total$13,758,890$10,319,167$3,439,722Synchrophaser System Grant (Proposed Allocation Option #3 - Revenue Excluding Capacity and Admin Fee from Allocation)Per GVEA Grant Submittal to AEA ($2.2M grant with $50k in matching funds & $500k in-kind in-house labor) AEA to revise budget for approved payment methodsTotal Match Amount50,000$ HEA is contributing because they are receiving benefit from the Synchrophaser System (Railbelt wide)PercentFY24This is 9.61% of the Total Match Amount and is based on their load ratio share per resolution.Power PurchaserShareMatchHEA (Load Ratio Share) 9.61% 4,805 Year Project CostRailbelt Utilities Combined Cash MatchRailbelt Utilities In Kind ContributionGrant Contribution1 $440,245 $9,839 $100,222 $330,183GVEA 89.13% 40,282 2 $440,245 $9,839 $100,222 $330,183CEA 0.00% - 3 $440,245 $9,839 $100,222 $330,183MEA 10.87% 4,913 4 $440,245 $9,839 $100,222 $330,1835 $440,245 $9,839 $100,222 $330,183100.00% 45,195 Total$2,201,225$49,195$501,110$1,650,915DOE Resiliency Grant - AK Intertie Snow Load ResiliencyDOE Resiliency Grant - Synchrophasor Project - Five Year Average Page 6 of 8
Alaska Intertie FY25 Proposed BudgetTrue up toContract GVEA MEA CEA TOTALUSAGECAPACITY ADMIN CASH FLOWMONTH Value MWH MWH MWH MWH GVEA MEA CEA GVEA MEA CEA GVEA | MEA | CEA TOTALSJul12,275 2,1870 14,462 $157,854 $28,122 $0 $239,460 $72,759 $166,701 $65,417 $730,313Aug14,077 2,2950 16,372 $181,028 $29,512 $0 $65,417 $275,957Sep14,766 2,2100 16,976 $189,888 $28,422 $0 $65,417 $283,727Oct27,634 2,1650 29,799 $355,376 $27,836 $0 $65,417 $448,628Nov27,147 2,3390 29,486 $349,105 $30,085 $0 $65,417 $444,607Dec26,405 2,6330 29,038 $339,563 $33,861 $0 $65,417 $438,841Jan11,268 2,4580 13,726 $144,904 $31,612 $0 $65,417 $241,932Feb11,151 2,2610 13,412 $143,404 $29,076 $0 $65,417 $237,897Mar7,727 2,4660 10,193 $99,374 $31,707 $0 $65,417 $196,498Apr10,367 2,2580 12,625 $133,317 $29,035 $0 $65,417 $227,769May10,823 2,3210 13,144 $139,179 $29,853 $0 $65,417 $234,449Jun4,728 1,9350 6,662 $60,797 $24,878 $0 $65,417 $151,091TOTAL 0 178,366 27,527 0 205,893 $2,293,789 $353,999 $0 $239,460 $72,759 $166,701 $785,000 $3,911,708Total Energy: $2,647,788 Total Capacity : $478,920205,893MWH188,736MWH204,984MWHTOTAL MWH REVENUE $3,911,708O&M BUDGET - Operating 2,907,100 - O&M BUDGET - Administrative 785,000 UTILITYFY 25TOTAL O&M BUDGET 3,692,100 MEA 30.40% 23.70 MWSURPLUS (SHORTAGE) $219,608CEA 69.60% 54.30 MWGVEA 100.00% 78.00 MWAnnual Participant Administrative Contribution 261,666.67 156.0Monthly Contribution per Participant 21,805.56 Usage Rate per KWH 0.01286$ Capacity Rate $3.07Section 7.2.2 MINIMUM USAGE CONTRACT VALUEALASKA INTERTIE FISCAL YEAR 2025ENERGY PROJECTIONTOTAL INTERTIE PROJECTED ENERGY USAGE Usage estimate reduced by 1/12 of Total for rate calculations Page 7 of 8
Alaska Intertie FY25 Proposed BudgetAnnual System Demand21-22 22-23 23-24 3 YR AVG.SOUTHERN UTILITY PARTICIPANTS (MW)CEA349.8 343.8 322.9 338.8 MWAPPROVEDAPPROVEDAPPROVEDAPPROVEDAPPROVEDMEA146.0 147.0 150.7 147.9 MW 6/30/2025 6/30/2024 6/30/2023 6/30/2022 6/30/2021UNITS FY25 FY24 FY23 FY22 FY21USAGEKWH 188,736,000 251,476,000 415,247,000 187,902,000 187,902,000OPERATING BUDGET$ 2,907,100 3,710,200 2,544,100 1,992,890 2,007,385 MITCRKW 156,000 156,000 156,000 156,100 156,000 TOTAL486.7 MWENERGY (A)$.000/KWH $0.01286 $0.01232 $0.00512 $0.00886 $0.00892NORTHERN UTILITY PARTICIPANTS (MW)CAPACITY (B)$/KW $3.07 $3.92 $2.69 $2.11 $2.12GVEA198.3 205.5 205.5 203.1 MWTOTAL203.1 MWMITCR DETERMINATIONFY 25KWHCAP RATECAP CHARGESMEA 30.40% 23.70 MW23,700 $3.07 72,759.00 CEA69.60% 54.30 MW54,300 $3.07 166,701.00 GVEA100.00% 78.00 MW78,000 $3.07 239,460.00 156.00 MW156,000 478,920.00 (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 2025Page 8 of 8
Alaska Energy Authority
AK Intertie Budget to Actual Revenues and Expenses
07/01/2023 to 01/31/2024
Page 1 of 4
FY24 Approved
Budget
BUDGET
07/01/2023 -
01/31/2024 Actuals
YTD Actuals as a
% of Total
Annual Budget
OVER (UNDER)
YTD Variance
Revenue From Utilities
AKI-GVEA 3,631,114 2,158,560 3,458,416 95%1,299,856
AKI-CEA 471,717 365,328 365,328 77%-
AKI-MEA 654,520 426,780 432,471 66%5,692
Total Revenue From Utilities 4,757,352 2,950,668 4,256,216 89%1,305,548
Interest - - 36,357 0% 36,357
Total Revenues 4,757,352 2,950,668 4,292,573 90%1,341,905
Total Revenues 4,757,352 2,950,668 4,292,573 90%1,341,905
56600 Misc Transmission Expense
Alaska Energy Authority
AK Intertie-Cell Phone Comm. Svc. for Wx Monitorng 13,000 7,583 6,005 46%(1,578)
AK Intertie-Miscellaneous Studies as Needed 516,000 301,000 28,200 5%(272,800)
Alaska Energy Authority Total 529,000 308,583 34,205 6%(274,378)
Golden Valley Electric
AK Intertie-Private Line Telephone Service SCADA 6,000 3,500 - 0%(3,500)
Golden Valley Electric Total 6,000 3,500 - 0%(3,500)
56601 Weather Monitoring Batteries
Alaska Energy Authority
AK Intertie-SLMS Support & Intertie Ground Patrol 175,000 102,083 74,073 42%(28,010)
Alaska Energy Authority Total 175,000 102,083 74,073 42%(28,010)
56700 Rents
Alaska Energy Authority
AK Intertie-Alaska Railroad 1,000 583 1,000 100%417
Alaska Energy Authority Total 1,000 583 1,000 100%417
Matanuska Electric Association
AK Intertie-Talkeetna Storage 7,200 4,200 4,200 58%-
Matanuska Electric Association Total 7,200 4,200 4,200 58%-
56900 Maintenance of Structures
Matanuska Electric Association
AK Intertie-Maintenance of Structures 150,000 87,500 - 0%(87,500)
Matanuska Electric Association Total 150,000 87,500 - 0%(87,500)
57000 Maintenance of Station Equip
Chugach Electric Association
AK Intertie-Teeland Substation 175,000 102,083 85,468 49%(16,616)
AK Intertie-Douglas Substation Communications - - 1,554 0%1,554
Chugach Electric Association Total 175,000 102,083 87,021 50%(15,062)
Golden Valley Electric
AK Intertie-Healy, Cantwell, Goldhill 125,000 72,917 - 0%(72,917)
AK Intertie-Cantwell 4S2 Switch Repair 306,000 178,500 - 0%(178,500)
AK Intertie-Capacitor Spares 20,000 11,667 - 0%(11,667)
Golden Valley Electric Total 451,000 263,083 - 0%(263,083)
Matanuska Electric Association
AK Intertie-Douglas Substation 25,000 14,583 3,118 12%(11,466)
Matanuska Electric Association Total 25,000 14,583 3,118 12%(11,466)
57100 Maint of OH Lines
Golden Valley Electric
AK Intertie-Northern Maintenance 150,000 87,500 - 0%(87,500)
AK Intertie-Landing Pads 75,000 43,750 - 0%(43,750)
Golden Valley Electric Total 225,000 131,250 - 0%(131,250)
AK Intertie-Special Patrols (Incl Foundation Insp) - - 6,510 0% 6,510
AK Intertie-Southern Maint. (Incl Ground Insp)140,000 81,667 - 0%(81,667)
AK Intertie-Equipment Repair & Replacement 350,000 204,167 167,443 48%(36,723)
ALASKA ENERGY AUTHORITY
AK INTERTIE BUDGET TO ACTUAL REVENUE AND EXPENSES
FOR THE PERIOD 07/01/2023 THROUGH 01/31/2024
Page 2 of 4
FY24 Approved
Budget
BUDGET
07/01/2023 -
01/31/2024 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 07/01/2023 THROUGH 01/31/2024
Matanuska Electric Association Total 490,000 285,833 173,953 36%(111,880)
57101 Extra Ord Maint of OH Lines
Golden Valley Electric
AK Intertie-Re-level Structures & Adjust Guys 80,000 46,667 - 0%(46,667)
Golden Valley Electric Total 80,000 46,667 - 0%(46,667)
57102 Maint OH Lines-ROW Clearing
AK Intertie-Northern ROW Clearing 550,000 320,833 - 0%(320,833)
AK Intertie-Northern ROW Remote Sensing 400,000 233,333 - 0%(233,333)
Repair Tower 531 Foundation 150,000 87,500 - 0%(87,500)
Repair Tower 532 Foundation 150,000 87,500 - 0%(87,500)
Golden Valley Electric Total 1,250,000 729,167 - 0%(729,167)
Matanuska Electric Association
AK Intertie-Southern ROW Clearing 500,000 291,667 - 0%(291,667)
AK Intertie-Southern ROW Remote Sensing 125,000 72,917 132,165 106%59,248
Matanuska Electric Association Total 625,000 364,583 132,165 21%(232,418)
58306 Misc Admin
Alaska Energy Authority
AK Intertie-IMC Admin Cost (Audit, Meeting, Legal)20,000 11,667 7,236 36%(4,431)
Alaska Energy Authority Total 20,000 11,667 7,236 36%(4,431)
58401 Insurance Premiums
Alaska Energy Authority
AK Intertie-Insurance 22,200 12,950 22,673 102%9,723
Alaska Energy Authority Total 22,200 12,950 22,673 102%9,723
Matanuska Electric Association
AK Intertie-Insurance 14,800 8,633 - 0%(8,633)
Matanuska Electric Association Total 14,800 8,633 - 0%(8,633)
Total Total Expense 4,246,200 2,476,950 539,644 13%(1,937,306)
Total Operating Expenses 4,246,200 2,476,950 539,644 13%(1,937,306)
71001 Total Expense, Budget
Alaska Energy Authority
Administrative Support Services 230,000 134,167 116,152 51%(18,015)
Alaska Energy Authority Total 230,000 134,167 116,152 51%(18,015)
Total Total Expense 230,000 134,167 116,152 51%(18,015)
Total AEA Administration Expenses 230,000 134,167 116,152 51%(18,015)
Total Expenses 4,476,200 2,611,117 655,796 15%(1,955,321)
Surplus (Shortage)281,152 339,551 3,636,777 1294%3,297,226
Page 3 of 4
Alaska Intertie FY24 Budget to Actuals Status Report for the Period 07/01/2023 through 01/31/2024
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 11,500 1,993 - 13,493 Jul 21,896 2,018 - 23,914
Aug 13,600 2,034 - 15,634 Aug 18,254 2,288 - 20,542
Sep 14,050 1,972 - 16,022 Sep 19,556 2,225 - 21,781
Oct 23,500 2,036 - 25,536 Oct 28,980 2,109 - 31,089
Nov 25,190 2,273 - 27,463 Nov 40,892 2,139 - 43,031
Dec 24,990 2,494 - 27,484 Dec 46,492 2,461 - 48,953
Jan 25,470 2,495 - 27,965 Jan 32,601 2,519 - 35,120
Feb 24,740 2,043 - 26,783 Feb - - - -
Mar 21,230 2,158 - 23,388 Mar - - - -
Apr 13,470 1,943 - 15,413 Apr - - - -
May 20,380 1,871 - 22,251 May - - - -
Jun 31,070 1,835 - 32,905 Jun - - - -
TOTAL 249,190 25,147 - 274,337 TOTAL 208,671 15,759 - 224,430
INTERTIE PROJECTED ENERGY USAGE TO DATE (MWH)153,597 INTERTIE ACTUAL ENERGY USAGE TO DATE (MWH) 224,430
Budgeted Operating Costs for the Period 2,476,950$ Actual Operating Costs for the Period 539,644$
(based on amended budget)
Budgeted Usage Revenue for the Period 1,892,315$ Actual (Billed) Usage Revenue for the Period 2,764,978$
(budgeted rate * projected usage)(budgeted rate * actual usage)
Estimated Budgeted Energy Rate per MWH 13.47$
(based on budgeted costs and usage)
Annual Budgeted Energy Rate (Billed Rate)12.32$ Projected Actual Energy Rate per MWH 2.01$
(based on minimum contract value)(based on actual costs and usage)
Page 4 of 4
Intertie Management Committee Meeting
IOC Report
March 22, 2024
1.Intertie Operating Committee
a.A significant portion of the IOC last meeting was dedicated to reviewing the draft
Primary Frequency Response Policy. The review was not completed in the meeting so
additional comments will be incorporated, and the review will resume at the next IOC
meeting. A draft policy is expected to be ready for the IMC to review before the end of
the second quarter.
b.Two grant applications were submitted to AEA by GVEA on behalf of the IMC on Friday,
February 16. The first was for improvements to the Northern Intertie along
approximately eighty miles of line north of Douglas Substation. This section of line has
seen a significant number of events due to snow loading, and the grant funding should
help alleviate this issue. The total cost of the improvements is estimated at $13.76M,
with the IMC participants paying approximately $3.44M of that amount if the grant is
awarded. Specific details of the cost are outlined in the attached FY25 budget. The
second grant application was for implementation of a Synchorphasor system throughout
the Railbelt. The total cost to implement this system is estimated to be $2.2M with the
IMC participants and HEA paying approximately $550k if the grant is awarded. These
costs are spread out over multiple years and the cost for each utility is outlined in the
attached FY25 budget.
c.The IOC discussed and is recommending approval of the attached draft FY 2025 budget.
This budget includes stand O&M costs, along with a sperate cost allocation for grant
funding. Overall, the MWH usage went down approximately 24%, but the O&M costs
went down approximately 18% so the net impact on the wheeling rate was minimal.
Total grant costs in FY2025 are estimated at just under $540k, but those costs are
anticipated to go up in out years as construction moves forward.
d.The IOC is requesting that the attached IMC & Subcommittee Information Spreadsheet
be updated. Please forward updates to this sheet to Bill Price at AEA.
2.System Studies Subcommittee
a.The SSS has terminated the contract with NREL to study the impact of inverter-based
resources (IBRs). A refund from NREL of unused funds is anticipated. The SSS is working
on a draft RFP to study the impact of IBRs and hopes to have this RFP out in the second
quarter.
Attachment 1 – FY25 Budget
ALASKA ENERGY AUTHORITY
ALASKA INTERTIE
FY25 Proposed Budget Contents
Description Page #
FY25 Proposed Budget Summary 3
O&M Budget 4-5
Grant Budget 6
Usage Projection 7
AK Intertie MITCR 8
Page 1 of 7
Alaska Intertie FY25 Proposed Budget
Proposed Budget Summary
Revenues O&M Grant Total Total GVEA Total CEA Total MEA Total HEA Total
Revenue from Operations 3,911,708 -3,911,708 2,794,916 428,368 688,425 -3,911,708
Grant Match -536,362 536,362 442,794 32,859 60,709 4,805 536,362
3,911,708 536,362 4,448,070 3,237,710 461,227 749,134 4,805 4,448,070
Expenses
Operations 2,907,100 -2,907,100
Admin 785,000 -785,000
Grant -536,362 536,362
3,692,100 536,362 4,228,462
Surplus/(Shortage)219,608 -219,608
(Total Paid by Utilities)
Page 2 of 7
Alaska Intertie FY25 Proposed Budget
data @ 1/4/24
FY24 Approved Draft
FY21 FY22 FY23 ACTUALS FY24 FY25
Actual Actual Actual 12/31/23 Budget Budget
REVENUES
GVEA 1,942,988 2,075,721 1,632,539 2,008,550 3,631,114 2,794,916
CEA 290,065 265,259 405,435 322,773 471,717 428,368
MEA 460,479 413,239 450,409 328,562 654,520 688,425
INTEREST 903 1,668 58,981 19,609 --
TOTAL REVENUES 2,694,435 2,755,887 2,547,364 2,679,494 4,757,352 3,911,708
EXPENSES
FERC 562 - Station Operation Expenses
GVEA - Substation Electricity Usage 9,382 45,889 478 --
9,382 45,889 478 ---
FERC 566 - Miscellaneous Transmission Expense
Private Line Telephone Service for AKI SCADA (GVEA)5,556 5,556 5,788 5,005 6,000 6,000
Cell Phone Comm. Svc for Weather Monitoring (Verizon)11,904 12,025 11,983 -13,000 13,000
SLMS Support and Intertie Ground Patrol 98,540 154,947 145,346 21,205 175,000 175,000
116,000 172,528 163,116 26,210 194,000 194,000
FERC 567 - Transmission Expenses - Rents
Rents - Alaska Railroad 700 700 1,500 1,000 1,000 1,000
MEA - Talkeetna Storage 7,200 7,200 7,200 2,400 7,200 7,200
Equipment Rental -375 102 ---
7,900 8,275 8,802 3,400 8,200 8,200
FERC 569 Maintenance of Structures
MEA - Re-insulate 20 dead-end structures ----75,000 300,000
MEA - Re-insulate 30 tangent structures ---75,000 250,000
----150,000 550,000
FERC 570 - Maintenance of Station Equipment
GVEA - HLSB17 Sync PT Replacement -----25,000
GVEA - Healy, Cantwell, Goldhill 154,917 63,163 141,248 125,000 64,500
GVEA - Replace Healy Substation Breaker B17 -----350,000
GVEA - Healy and Goldhill Digital Fault Recorders -53,255 ----
GVEA - Gold Hill SVC Cooling -460 ----
GVEA - Cantwell Install Breakers or Load Break Switches -182,606 --306,000 306,000
GVEA - Cantwell 4S2 Switch Repair --43,217 ---
GVEA - Perform Maintenance, repaint Reactors Healy SVC Yard 145,494 -4,472 ---
GVEA - Perform Maintenance, repaint Reactors Gold Hill SVC Yard -7,452 ----
GVEA - Capacitor Spares ----20,000 -
GVEA - Cantwell Standby Generator Replacement 29,016 -----
CEA - Teeland Substation Communication ----5,000 5,000
CEA - Teeland Substation 183,401 115,365 74,128 82,488 170,000 170,000
CEA - Douglas Substation Communication ---1,554 -2,400
MEA - Douglas Substation 26,115 --1,441 --
MEA - Douglas Substation 138 kV BKR Inspections ----25,000 25,000
CEA - Telecomm Support (Douglas, Teeland, Anc-Fbks Leased Circuits)-1,742 ----
538,943 424,043 263,065 85,482 651,000 947,900
FERC 571 - Maintenance of Overhead Lines
GVEA - Northern Maintenance 68,204 107,641 99,464 -150,000 -
GVEA - Northern ROW Clearing 36,721 68,882 328,252 -550,000 550,000
GVEA - Northern ROW Remote Sensing and Analysis ----400,000 -
GVEA - Landing Pads ----75,000 75,000
GVEA - Re-level Structures & Adjust Guys ----80,000 -
GVEA - Repair Tower 531 Foundation ----150,000 -
GVEA - Repair Tower 532 Foundation ----150,000 -
GVEA - Helicopter Patrols -----80,000
MEA - Special Patrols [Incl Helicopter Inspections]-599 11,603 --15,000
Page 3 of 7
MEA - Southern Maint (Incl Ground and Climbing Inspect)138,199 191,358 78,729 -140,000 140,000
MEA - Southern ROW Clearing 228,413 168,367 525,520 -500,000 300,000
MEA - Southern ROW Remote Sensing and Analysis ----125,000 10,000
MEA - Equipment Repair and Replacement 780,866 76,494 803,393 152,755 350,000 -
1,252,403 613,341 1,846,961 152,755 2,670,000 1,170,000
FERC 924 - Property Insurance
AK Intertie - Insurance 38,773 37,133 40,178 11,334 37,000 37,000
38,773 37,133 40,178 11,334 37,000 37,000
Intertie Operating Costs Total 1,963,401 1,301,209 2,322,601 279,180 3,710,200 2,907,100
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 210,409 235,608 190,236 49,077 230,000 250,000
210,409 235,608 190,236 49,077 230,000 250,000
FERC 920 - IMC Administrative Costs
IMC Administrative Costs (Audit, meetings, legal)30,890 29,276 14,579 2,861 20,000 20,000
30,890 29,276 14,579 2,861 20,000 20,000
FERC 566 - Miscellaneous Transmission Expense
Misc Studies: System Reserves Study (IBR), PSS/E maint,
230 kV Upgrade System Impact Study 186,675 145,327 150,368 28,200 266,000 515,000
LIDAR study (complete lidar, vegetation, PLS CADD file with drawings, structure/foundation
movement, infrared, and imaging)226,125 -----
Synchrophaser System (Moved to GRANT BUDGET worksheet)---250,000 -
412,800 145,327 150,368 28,200 516,000 515,000
Intertie Administration Costs Total 654,099 410,211 355,182 80,138 766,000 785,000
TOTAL EXPENSE 2,617,500 1,711,420 2,677,783 359,318 4,476,200 3,692,100
SURPLUS (SHORTAGE)76,935 1,044,468 (130,419)2,320,176 281,152 219,608
Page 4 of 7
Alaska Intertie FY25 Proposed Budget
Utility Grant Matching Contributions
Snow Loading Grant to re-insulate from Douglas north 80 miles
(Proposed Allocation Option #2 - Revenue excluding Admin Fee from Allocation)
GVEA Grant Submittal to AEA ($13.8M grant with $3M in matching funds & $500k in-kind in-house labor) AEA to revise per agreed payment
Total Match Amount
491,167$
Percent FY24
Power Purchaser Share Match Year Project Total Cost Grant Reimbursement Grant Match (Cash and In-Kind)
1 $1,964,668 $1,473,501 $491,167
GVEA 81.95%402,511 2 $2,942,956 $2,207,217 $735,739
CEA 6.69%32,859 3 $2,942,956 $2,207,217 $735,739
MEA 11.36%55,797 4 $2,942,956 $2,207,217 $735,739
5 $2,965,356 $2,224,017 $741,339
100.00%491,167 Total $13,758,890 $10,319,167 $3,439,722
Synchrophaser System Grant
(Proposed Allocation Option #3 - Revenue Excluding Capacity and Admin Fee from Allocation)
Per GVEA Grant Submittal to AEA ($2.2M grant with $50k in matching funds & $500k in-kind in-house labor) AEA to revise budget for approved payment methods
Total Match Amount
50,000$
HEA is contributing because they are receiving benefit from the Synchrophaser System (Railbelt wide)
Percent FY24 This is 9.61% of the Total Match Amount and is based on their load ratio share per resolution.
Power Purchaser Share Match
HEA (Load Ratio Share)9.61%4,805 Year Project Cost Railbelt Utilities
Combined Cash Match
Railbelt Utilities
In Kind Contribution Grant Contribution
1 $440,245 $9,839 $100,222 $330,183
GVEA 89.13%40,282 2 $440,245 $9,839 $100,222 $330,183
CEA 0.00%-3 $440,245 $9,839 $100,222 $330,183
MEA 10.87%4,913 4 $440,245 $9,839 $100,222 $330,183
5 $440,245 $9,839 $100,222 $330,183
100.00%45,195 Total $2,201,225 $49,195 $501,110 $1,650,915
DOE Resiliency Grant - AK Intertie Snow Load Resiliency
DOE Resiliency Grant - Synchrophasor Project - Five Year Average
Page 5 of 7
Alaska Intertie FY25 Proposed Budget
True up
to
Contract GVEA MEA CEA TOTAL USAGE CAPACITY ADMIN CASH FLOW
MONTH Value MWH MWH MWH MWH GVEA MEA CEA GVEA MEA CEA GVEA | MEA | CEA TOTALS
Jul 12,275 2,187 0 14,462 $157,854 $28,122 $0 $239,460 $72,759 $166,701 $65,417 $730,313
Aug 14,077 2,295 0 16,372 $181,028 $29,512 $0 $65,417 $275,957
Sep 14,766 2,210 0 16,976 $189,888 $28,422 $0 $65,417 $283,727
Oct 27,634 2,165 0 29,799 $355,376 $27,836 $0 $65,417 $448,628
Nov 27,147 2,339 0 29,486 $349,105 $30,085 $0 $65,417 $444,607
Dec 26,405 2,633 0 29,038 $339,563 $33,861 $0 $65,417 $438,841
Jan 11,268 2,458 0 13,726 $144,904 $31,612 $0 $65,417 $241,932
Feb 11,151 2,261 0 13,412 $143,404 $29,076 $0 $65,417 $237,897
Mar 7,727 2,466 0 10,193 $99,374 $31,707 $0 $65,417 $196,498
Apr 10,367 2,258 0 12,625 $133,317 $29,035 $0 $65,417 $227,769
May 10,823 2,321 0 13,144 $139,179 $29,853 $0 $65,417 $234,449
Jun 4,728 1,935 0 6,662 $60,797 $24,878 $0 $65,417 $151,091
TOTAL 0 178,366 27,527 0 205,893 $2,293,789 $353,999 $0 $239,460 $72,759 $166,701 $785,000 $3,911,708
Total Energy:$2,647,788 Total Capacity :$478,920
205,893 MWH
188,736 MWH
204,984 MWH TOTAL MWH REVENUE $3,911,708
O&M BUDGET - Operating 2,907,100
-
O&M BUDGET - Administrative 785,000
UTILITY FY 25 TOTAL O&M BUDGET 3,692,100
MEA 30.40%23.70 MW SURPLUS (SHORTAGE)$219,608
CEA 69.60%54.30 MW
GVEA 100.00%78.00 MW Annual Participant Administrative Contribution 261,666.67
156.0 Monthly Contribution per Participant 21,805.56
Usage Rate per KWH 0.01286$
Capacity Rate $3.07
Section 7.2.2 MINIMUM USAGE CONTRACT VALUE
ALASKA INTERTIE
FISCAL YEAR 2025
ENERGY PROJECTION
TOTAL INTERTIE PROJECTED ENERGY USAGE
Usage estimate reduced by 1/12 of Total for rate calculations
Page 6 of 7
Alaska Intertie FY25 Proposed Budget
Annual System Demand
21-22 22-23 23-24 3 YR AVG.
SOUTHERN UTILITY PARTICIPANTS (MW)
CEA 349.8 343.8 322.9 338.8 MW APPROVED APPROVED APPROVED APPROVED APPROVED
MEA 146.0 147.0 150.7 147.9 MW 6/30/2025 6/30/2024 6/30/2023 6/30/2022 6/30/2021
UNITS FY25 FY24 FY23 FY22 FY21
USAGE KWH 188,736,000 251,476,000 415,247,000 187,902,000 187,902,000
OPERATING BUDGET $2,907,100 3,710,200 2,544,100 1,992,890 2,007,385
MITCR KW 156,000 156,000 156,000 156,100 156,000
TOTAL 486.7 MW
ENERGY (A)$.000/KWH $0.01286 $0.01232 $0.00512 $0.00886 $0.00892
NORTHERN UTILITY PARTICIPANTS (MW)
CAPACITY (B)$/KW $3.07 $3.92 $2.69 $2.11 $2.12
GVEA 198.3 205.5 205.5 203.1 MW
TOTAL 203.1 MW
MITCR DETERMINATION
FY 25 KWH CAP RATE CAP CHARGES
MEA 30.40%23.70 MW 23,700 $3.07 72,759.00
CEA 69.60%54.30 MW 54,300 $3.07 166,701.00
GVEA 100.00%78.00 MW 78,000 $3.07 239,460.00
156.00 MW 156,000 478,920.00
(A) See Section 7.2.5 AK Intertie Agreement
(B) See Section 7.2.6 AK Intertie Agreement
MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS
(MITCR) DETERMINATION
FOR FISCAL YEAR 2025
Page 7 of 7
Attachment 2 – IMC Subcommittee Information Spreadsheet
Committee/Subcommittee Representative Email Address Alternate Alternate email address
Intertie Management Committee Andrew Laughlin - CEA (chair)andrew_laughlin@chugachelectric.com Russell Thornton Russell_Thornton@chugachelectric.com
Bill Price - AEA (Sec.)wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Travis Million - GVEA (vice-chair)TRMillion@gvea.com Nathan Minnema njminnema@gvea.com
Ed Jenkin - MEA edward.jenkin@mea.coop Tony Izzo tony.izzo@mea.coop
Standards Committee Ed Jenkin - MEA edward.jenkin@mea.coop Lance McKimson lance.mckimson@mea.coopDan Bishop - GVEA drbishop@ gvea.com Keith Palchikoff kepalchikoff@gvea.com
Reports To (IMC)Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Adam Vogel - Chugach adam_vogel@chugachelectric.com John Johnson John_Johnson@chugachelectric.com
Larry Jorgensen - HEA (Invitee)ljorgensen@homerelectric.com Andy Patrick - HEA apatrick@homerelectric.com
Standards Compliance Committee Matt Clarkson -CEA matthew_clarkson@chugachelectric.com Russell Thornton - russell_thornton@chugachelectric.comDavid Pease - MEA david.pease.@mea.coop Ed Jenkin edward.jenkin@mea.coop
Reports To (IMC)Dan Bishop - GVEA drbishop@gvea.com Keith Palchikoff kepalchikoff@gvea.com
Joel Paisner- Ascent Law joel@ascentllp.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Larry Jorgensen - HEA (Invitee)ljorgensen@homerelectric.com Andy Patrick - HEA apatrick@homerelectric.com
Tariffs and Regulatory Affairs Committee David Pease - MEA david.pease@mea.coop Matt Reisterer matt.reisterer@mea.coop
Abbigail Dilard AMDillard@gvea.com Daniel Heckman DAHeckman@gvea.com
Reports To (IMC)Arthur Miller- CEA Arthur_Miller@chugachelectric.com Jean Kornmuller jean_kornmuller@chugachelectric.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Intertie Operating Committee Bill Price - AEA (vice-chair)wprice@akenergyauthority.org Bryan Carey - AEA bcarey@akenergyauthority.orgJon Sinclair (chair)jon.sinclair@mea.coop Ed Jenkin - MEA edward.jenkin@mea.coop
Reports To (IMC)Dan Bishop - GVEA drbishop@gvea.com Pete Sarauer-GVEA (Vice phsarauer@gvea.com
Russell Thornton - Chugach russell_thornton@chugachelectric.com Adam Vogel adam_vogel@chugachelectric.com
Larry Jorgensen - HEA (Invitee)ljorgensen@homerelectric.com Andy Patrick - HEA apatrick@homerelectric.com
Budget Subcommittee:Dona Keppers - AEA (chair)dkeppers@aidea.org Mark Ziesmer mziesmer@aidea.org
Bill Price - AEA wprice@akenergyauthority.org
Reports To (OC)Matt Reisterer-MEA matt.reisterer@mea.coop Martina Ryan-MEA martina.ryan@mea.coop
Dawn Baham (Matt's secretary)Dawn.Baham@mea.coop
Sarah Villalon-GVEA sjvillalon@gvea.com Kathryn Strle-GVEA kastrle@gvea.com
Curtis Sims-CEA curtis_sims@chugachelectric.com Karen Griffin karen_griffin@chugachelectric.com
Dispatch and System Operations Subcommittee:Lance McKimson - MEA lance.mckimson@mea.coop Ed Jenkin edward.jenkin@mea.coop
Pete Sarauer - GVEA phsarauer@gvea.com Lance Roberts LJRoberts@gvea.com
Reports To (OC)John Johnson - CEA (chair)john_johnson@chugachelectric.com Dee Fultz Dee_Fultz@chugachelectric.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Andy Patrick - HEA (Invitee)apatrick@homerelectric.com Larry Jorgensen - HEA ljorgensen@homerelectric.com
Engineering, Relay and Reliability Subcommittee:Nathan Green- MEA nathan.green@mea.coop Rob Wilson - MEA robert.wilson@mea.coop
Michael Wise - GVEA MAWise@gvea.com Dan Bishop drbishop@gvea.com
Reports To (OC)Adam Vogel - CEA (Chair)adam_vogel@chugachelectric.com Charlie Muchany charlie_muchany@chugachelectric.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Machine Ratings Subcommittee:Josh Crowell - MEA joshua.crowell@mea.coopJohn Kelly - GVEA jhkelly@gvea.com Keith Palchikoff kepalchikoff@gvea.com
Reports To (OC)Eugene Ori - CEA Eugene_Ori@chugachelectric.com Dan Mattson Dan_Mattson@chugachelectric.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Andy Patrick - HEA (Invitee)apatrick@homerelectric.com Larry Jorgensen - HEA ljorgensen@homerelectric.com
Operations, Maintenance and Gary Meadows-MEA gary.meadows@mea.coop DJ Davis dj.davis@mea.coop
Scheduling Subcommittee Molly Howard - GVEA (Chair)mahoward@gvea.com Josh Davis jhdavis@gvea.com
Adam Vogel adam_vogel@chugachelectric.com Tusi Faafetai Tusi_Faafetai@chugachelectric.com
Reports To (OC)Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
SCADA and Telecommunications Subcomm.Allen Sparks - GVEA ARSparks@gvea.com Lance Roberts ljroberts@gvea.comRob Wilson - MEA robert.wilson@mea.coop Steven Farabaugh steven.farabaugh@mea.coop
Reports To (OC)Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Paul Johnson - CEA (Chair)paul_johnson@chugachelectric.com Bill Murray bill_murray@chugachelectric.com
Kathy Heindl - HEA (Invitee)kheindl@homerelectric.com Mike Tracy - HEA mtracy@homerelectric.com
System Studies Subcommittee:Keng Lor - MEA (Chair)keng.lor@mea.coop Nathan Greene nathan.greene@mea.coopKeith Palchikoff - GVEA kepalchikoff@gvea.com Dan Bishop drbishop@gvea.com
Reports To (OC)John Bell - CEA john_bell@chugachelectric.com Peyton Reid Peyton_reid@chugachelectric.com
Bill Price - AEA wprice@akenergyauthority.org Bryan Carey bcarey@akenergyauthority.org
Mike Tracy - HEA (Invitee)mtracy@homerelectric.com Kirsten Norton - HEA knorton@homerelectric.com
Intertie Management Committee Meeting
Operator Report
February 22, 2024
1. Alaska Intertie usage report
a. MWh usage – Measured at Douglas Substation, YTD
GVEA MEA Total
i. July – Feb FY23 221,169 18,051 239,247
ii. July – Feb FY22 171,167 18,049 189,216
iii. Delta - FY23 to FY22 29.21% 0.01% 26.44%
2. Alaska Intertie trips to report
No Alaska Intertie outages to report
3. IOC quarterly Reliability Report
For generation trips or transmission line trips where the loss of load is known, the Railbelt-wide
frequency response is calculated. The magnitude of the tripped power and the change in frequency
from the pre-trip value to the peak or nadir are used to calculate the MW/0.1Hz value often known as
‘Beta’. Chugach has calculated the Beta for several events and the table of the results is pasted below.
Events without data for the MW magnitude of the trip were excluded, as were events that did not cause
a frequency deviation greater than 0.2 Hz.
Event Date MW
Tripped
Pre-Trip
Frequency (Hz)
High /Low
Frequency
(Hz)
Frequency
Response
(MW/0.1Hz)
CEA, SPP Unit 13 Trip 1/31/2024 28.1 59.904 59.709 14.4
MEA, EGS 6-unit Trip, UFLS 2/1/2024 93.4 60.0 58.978 N/A
MEA, EGS 2-unit Trip 2/1/2024 25.8 60.036 59.794 10.7
CEA, SPP Unit 13 Trip 2/1/2024 27.8 59.995 59.794 13.8
CEA, SPP Unit 13 Trip 2/2/2024 27.7 59.929 59.757 16.1
GVEA, Healy 2 Trip 2/17/2024 36.6 59.968 59.622 10.6
AEA, Bradely 1 Trip 2/22/2024 27.6 59.964 59.719 11.3