John Norden, Manager, Renewable Resource IntegrationISO New England Inc.

2009 NASUCA Mid-Year MeetingJune 30, 2009

Roadmap to Renewable Integration in New England

New England’s Future Grid

• Distributed and renewable resources becoming main-stream

– Demand Resources

– Storage devices such as flywheels, batteries and plug-in electric vehicles

– Wind and other intermittent renewable resources

• Wind resources present the largest source of renewable generation in New England

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Integrating Wind Resources

• Will need:

– Transmission infrastructure to deliver large-scale wind from remote areas to load centers

– Transmission funding mechanisms

• i.e., participant funding, cost sharing agreements, federal incentives

– Favorable investment and regulatory environment

– Identification and resolution of operational challenges

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Wind Integration Challenges:Operational

• Near-term forecast uncertainty– Can cause over/under commitment

• Variability– Regulation time-scale

• May require increased regulation capability

– Load following time-scale• May require additional ramping capability

– Day ahead time-frame• Complicates unit commitment

• Minimum generation issues• Congestion management

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Wind Integration Challenges:Operational, Cont.

• Coordination with other Balancing Areas– Sharing the variability (and reduce overall variability)– Wind from other areas (who pays/who owns?)

• Spinning reserve– Usually no effect—only large generators/lines

• Unless loss of wind (or forecast error) exceeds 2nd largest contingency

• Non-spin reserve– Wind may increase non-spin reserve requirements

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Wind Integration Challenges:Markets & Planning

• Markets– Over-commitment of wind may:

• Lead to inefficient use of resources

• Depress LMPs and/or raise out-of-merit compensation

– Under-commitment of wind may:• Increase price volatility

– Real-time vs. Day-ahead

• Planning– Resource adequacy issues– Effective Load Carrying Capacity (ELCC)

• System wide, zonal, per generator (incremental)?

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ME 1255 MW

NH 330 MW

VT155 MW

MA 30 MW

MA Off-Shore 460 MW

RI Off-Shore 350 MW

On-Shore = 1770 MWOff-Shore = 810 MW Total = 2580 MW

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* ISO-NE Interconnection Queue, June 2009

Wind Projects Proposed in ISO Queue

New England Wind Integration Study

• Objectives:

– Determine technical requirements

– Create wind model including on-shore and off-shore capability

– Assess impact of wind development scenarios on system operations

– Identify best practices to forecast wind

– Determine contribution of wind to system adequacy

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Conclusions

• The New England power system will undergo major changes in the next two decades

• The integration of wind will cause an evolution in the operation and planning of the power system

• ISO-NE is responding to the immediate challenges of the evolving grid and planning for the future needs of the power system

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