[Federal Register Volume 69, Number 172 (Tuesday, September 7, 2004)]
[Notices]
[Pages 54140-54144]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-20224]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Dakotas Wind Transmission Study

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of final Study Scope.

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SUMMARY: Notice is given to interested parties of the final Study Scope 
for performing studies associated with the Dakotas Wind Transmission 
Study (DWTS). The DWTS involves transmission studies on placing of 500 
megawatts (MW) of wind power in the Dakotas. Public comments were 
considered prior to finalizing the Study Scope.

DATES: The Study will begin October 7, 2004.

ADDRESSES: Robert J. Harris, Regional Manager, Upper Great Plains 
Region, Western Area Power Administration, 2900 4th Avenue North, 
Billings, MT

[[Page 54141]]

59101-1266, e-mail [email protected].

FOR FURTHER INFORMATION CONTACT: Mr. Robert Harris, Regional Manager, 
Upper Great Plains Region, Western Area Power Administration, Box 
35800, Billings, MT 59107-5800, telephone (406) 247-7405; or Mr. C. Sam 
Miller, Project Manager, Upper Great Plains Region, Western Area Power 
Administration, P. O. Box 35800, Billings, MT 59107-5800, telephone 
(406) 247-7466, e-mail [email protected].

SUPPLEMENTARY INFORMATION: In 2003, Congress passed legislation that 
included funding for the Western Area Power Administration (Western) to 
perform ``a transmission study on the placement of 500 megawatt[s] [of] 
wind energy in North Dakota and South Dakota.'' (Energy and Water 
Development Appropriations Act, 2004)
    The Dakotas lead the nation in wind resources and have the 
potential to generate more than 100 times their current use of 
electricity. Wind power in the Dakotas currently totals 110 MW, 
producing about 2\1/2\ percent of the electric energy consumed in the 
two states.
    The Dakotas are already an exporting region with total generation 
of electricity more than twice consumption. Exports on the region's 
transmission system are limited by both stability (transient and 
voltage) and thermal loading.
    A number of wind energy transmission studies in the Dakotas have 
been completed, for both interconnection and delivery. Most notable is 
Western's ``Montana-Dakotas Transmission Scope'' completed in 2002, 
http://www.wapa.gov/ugp/study. This study made significant progress in 
highlighting key wind-related transmission issues. Additional 
investigations are building on the results of this work. Several new 
studies are currently underway.
    In late February 2004, Western requested public comments to help 
develop the scope of the DWTS. Announcements were made through news 
coverage and mailings to interested groups. Comments were requested on 
study objectives, outcomes, and methods. In response, Western received 
70 comments from stakeholders, landowners, individual citizens, elected 
officials, and utilities. All were carefully considered.
    The draft Study Scope was published in the Federal Register on May 
20, 2004. Western held public meetings on June 15, 2004, at Pierre, SD, 
and on June 16, 2004, at Bismarck, ND. The meeting objective was to 
provide an informational discussion and presentation, and accept formal 
public comments. Formal written comments were accepted through June 21, 
2004. A final Study Scope was developed based on the public comments 
received.

Comments Raised During the Development of this Final Study Scope

    Participants in the public process raised numerous comments about 
the proposed draft Study Scope. Comments and Western's responses are 
summarized below.

Study Process

    Comment: Please elaborate on the study process.
    Response: HDR Engineering, Inc. (HDR), an engineering consulting 
firm, has been contracted to perform the study. HDR will issue a 
Request for Proposal seeking a firm(s) with the technical expertise 
required to perform each task of the Study Scope.
    Comment: Would wind data and other information from studies 
currently underway be useful to the DWTS?
    Response: The extent to which information/data from existing 
studies and data bases is useful to the DWTS will be evaluated during 
the study period.
    Comment: Will the study progress be posted on Western's Web site?
    Response: Yes, Western will post study status reports at regular 
intervals at http://www.wapa.gov/ugp/study/DakotasWind.
    Comment: Is new transmission line construction being considered in 
this study?
    Response: Actual construction activities are not being undertaken 
in this study. However, transmission system constraints will be 
identified and solutions will be evaluated.
    Comment: What is the total new generation being considered in this 
study?
    Response: As specified in the legislation that established funding 
for the study, 500 MW of wind energy in North Dakota and South Dakota 
will be studied.
    Comment: Will the final Study Scope examine firm delivery as well 
as non-firm?
    Response: The final Study Scope Tasks 3 and 4 will focus on firm 
delivery; Task 1 focuses on non-firm delivery.
    Comment: Will outage conditions be evaluated at the single 
contingency level?
    Response: Yes. Study Scope Tasks 3 and 4 will be done following 
conventional North American Electric Reliability Council (NERC) 
guidelines. Study authors will coordinate closely with current Mid-
Continent Area Power Pool (MAPP) models.
    Comment: Recommend that Western take a pragmatic and cooperative 
approach to resolving real project issues in the early stages to make 
the study a success. Further, recommend Western weigh and evaluate all 
possible alternatives and be open to new and creative solutions and 
challenges identified in the study.
    Response: Western will use good utility practice in performing the 
study.
    Comment: Recommend Western identify available and practical 
alternatives for use of the transmission system and develop detailed 
system and economic data to enhance the transmission system.
    Response: The study will provide empirical transmission system data 
for public use to aid in making business decisions involving wind 
development in the Dakotas.
    Comment: We support Western's proposed concept to further involve 
the public through technical expert review during the study process.
    Response: Western will allow review and comment on key assumptions, 
methods, models, and preliminary results for the DWTS. Informal 
meetings will be held so that technical representatives of key 
stakeholders will be able to participate along with technical 
representatives of affected utilities, state regulators, the MAPP, 
Midwest Independent System Operator (MISO), and the National Renewable 
Energy Laboratory (NREL). Technical representatives would have an 
engineering background and demonstrate technical expertise in 
transmission system analysis or wind power development. Participants at 
the meetings will not be compensated or reimbursed for expenses. 
Western anticipates up to three meetings in Billings, Montana, during 
the course of the study. Notice of these meetings will be posted on 
Western's web page.
    Comment: Recommend the Study Scope remain flexible and take into 
consideration emerging projects.
    Response: The final Study Scope will be flexible and consider 
relevant and applicable emerging projects within the defined wind 
generation zones.
    Comment: Request this process be regarded as a flexible, 
interactive process where the study can appropriately reflect market 
and project development advances, especially in consideration of the 
large potential capital commitments by wind developers to move forward 
with preliminary siting work.

[[Page 54142]]

    Response: The Study Scope will be flexible and an interactive 
process. The study will focus on transmission issues related to placing 
500 MW of wind power in North Dakota and South Dakota; consideration of 
market and policy issues are outside the scope of this study. 
Consideration of load regions will be considered. This higher level 
planning study is not intended to replace interconnection and 
transmission service study requirements for specific projects. Study 
results should aid wind developers in making business decisions 
involving wind development in the Dakotas.
    Comment: Request specific study locations be included in Task 4.
    Response: The DWTS is a higher level planning study and is not 
intended to replace interconnection and transmission service study 
requirements for specific projects. Western formulated the Study Scope 
to balance the many interests and views of the region's stakeholders 
rather than pursue site-specific studies which benefit a limited few 
individuals or organizations.
    Comment: Request clarification for the selection of the four ``most 
favorable'' wind generation zones for evaluation in Task 4.
    Response: Selection of the ``four most favorable interconnection 
zones in Task 3'' for evaluation in Task 4 will be based upon 
technical, electrical criteria as outlined by NERC and MAPP guidelines 
as well as good utility practice.
    Comment: Recommend Western regard the selection of ``most 
favorable'' not as an endorsement or siting commitment decision, but 
rather as dynamic modeling examples of potential favorable regions in 
which wind power could be sited.
    Response: Selection of the ``most favorable interconnection zones'' 
for evaluation in Task 4 will be based upon technical, electrical 
criteria as outlined by NERC and MAPP guidelines as well as good 
utility practice. Western will not be endorsing any siting location in 
the technical study. The study is a higher level planning study and is 
not intended to replace interconnection and transmission service study 
requirements for specific projects.
    Comment: We support the three key corridors defined in Study Scope 
Task 1 and request new transmission lines from north and south of 
Pierre, SD, also be considered in this task.
    Response: The objective of Study Scope Task 1 is to examine the 
historical and projected usage patterns on the existing transmission 
lines in the corridors defined in the final Study Scope, compare these 
patterns to wind generation patterns, and assess the opportunity to 
deliver non-firm wind energy on these existing transmission lines. New 
transmission lines will be considered in Tasks 3 and 4.
    Comment: Support Study Scope Task 2 as written.
    Response: Western has no plans to change the language for Task 2.
    Comment: How will the wind generation profiles be developed?
    Response: Western will evaluate and develop power production 
profiles of the Dakotas wind generation using actual historical data 
and statistically representative wind profiles (several years of 
historical data normalized to several decades of climate data). Western 
will coordinate with the NREL to identify the representative wind power 
production time series and develop the wind models.
    Comment: What is the current limit for the North Dakota export 
boundary?
    Response: The simultaneous limit is 1950 MW.
    Comment: Will the DWTS affect the currently underutilized 
generators at Underwood?
    Response: As directed by the legislation which provided the DWTS 
funding, the DWTS is focused on transmission for 500 MW of wind 
generation and will not examine the contractual utilization of 
generators at Underwood.
    Comment: Will the four generation levels only be studied 
independently at the seven wind generation zones or will there be a 
case with simultaneous generation at multiple zones?
    Response: Study of simultaneous generation at multiple zones should 
be possible at the 50 MW level of new wind per zone and will be 
incorporated into the Study Scope.
    Comment: Is there an assurance of development of wind generation in 
the selected wind generation zones?
    Response: No, there is not. The DWTS is a high-level planning study 
focused solely on technical transmission issues related to new wind 
power development.
    Comment: What is the maximum output per turbine for wind 
generators?
    Response: Wind turbines recently installed in North Dakota and 
South Dakota are 1.5 MW turbines.
    Comment: Will transmission loading curves be available to the 
public? Will new coal generation and coal-wind integration be 
considered in this study?
    Response: All results of the DWTS will be available to the public 
at the completion of the study. New coal generation and coal-wind 
integration are outside the scope of the enabling legislation and 
outside the scope of this process.
    Comment: Has Western explored more diversification with renewable 
energy in future planning of the transmission system or the impact to 
economic development in rural areas?
    Response: These issues are outside the scope of the DWTS.

Tribal Issues

    Comment: What is the government-to-government pathway for 
participation of tribal governments to get tribal needs known and 
addressed in the study?
    Response: The DWTS is a higher level planning study focused on 
technical transmission issues related to new wind power development and 
does not include policy or regulatory issues. Western pursued a public 
process in developing and formulating a Study Scope which balances the 
many diverse interests and views of the region's stakeholders, tribes, 
governments, landowners, wind developers, and others rather than pursue 
site-specific studies. Specific project needs are addressed with 
interconnection and transmission service studies that are outside the 
scope of this higher level study.
    Comment: Request direct consultation with tribal governments so as 
to have input into the study process and for equal consideration given 
to non-queued proposed tribal projects.
    Response: Western supports the Department of Energy's American 
Indian Policy, which stresses the need for a government-to-government, 
trust-based relationship. Western intends to continue its practice of 
consulting with tribal governments so that tribal rights and concerns 
are considered prior to any action being taken which affects the 
tribes. Group meetings have been held to discuss the Study Scope and 
process with stakeholder groups, landowners, tribes, government 
officials, and interested parties. It is not the intent of this study 
to penalize or provide an advantage to proposed projects, queued or 
non-queued.
    Comment: Indian Tribes in the Dakotas have been disproportionately 
impacted by the energy development on the Missouri River and request 
tribal impacts be reflected in the valuation of overall project 
impacts.
    Response: The DWTS is a technical, higher level planning study 
focused on transmission issues related to placing 500 MW of wind power 
in North Dakota and South Dakota; consideration of economic, market, 
and policy issues is outside the scope of this study.
    Comment: Support wind generation zones in the draft Study Scope and 
request 10 MW projects at five

[[Page 54143]]

additional locations be added to the final Study Scope.
    Response: The wind generation zones were developed based on public 
comments, wind resource maps, the Western interconnection queue, tribal 
projects, and developer projects at large enough values to provide 
meaningful results. This study is a high-level planning study and is 
not intended to replace interconnection and transmission service study 
requirements for specific projects.

Purchase Power Issues

    Comment: Will supplemental power purchases based upon drought 
conditions be addressed in the study?
    Response: No, the study will not address supplemental power 
purchases. This topic is outside the scope of this process.
    Comment: Request consideration of a competitive marketplace.
    Response: The DWTS is a technical study focused on transmission 
issues related to placing 500 MW of wind power in North Dakota and 
South Dakota; consideration of market and policy issues is outside the 
scope of this study.
    Comment: Is the study concerned about expanding of economic 
development to rural areas and the impact it could have?
    Response: Evaluation of rural economic development is outside the 
scope of the DWTS.

Next Phase of Study Issue

    Comment: Support the ``Next Phase of Study'' concept of a cost-
sharing loan and/or grant program for partially funding transmission 
studies for individual, site-specific wind developers.
    Response: After completing this study, Western will evaluate 
remaining available funds and various options for the next phase of the 
study; the outcome of this evaluation will be published in the Federal 
Register.
    Comment: Recommend putting the most emphasis on Task 3. Request 
Western study ``real projects to get real results.'' Request a 50-50 
cost share/grant to study individual site-specific wind projects.
    Response: Western has worked hard to formulate a Study Scope which 
balances the many interests and views of the region's stakeholders 
rather than pursue site-specific studies which only benefit a limited 
few individuals or organizations. If there are funds remaining after 
the DWTS is completed, Western will evaluate the possibility of 
developing a cost-share loan and/or grant program for partially funding 
transmission studies for wind power projects connecting in the Dakotas.

Previous Studies Issues

    Comment: Please summarize the results of the previous Western 
study.
    Response: The results of the 2002 Montana-Dakotas Regional Study 
are available on line at http://www.wapa.gov/ugp/study/MontDakRgnl/default.htm.

General Issues

    Comment: What is the logic for pursuing 500 MW of wind generation 
if transmission in the Dakotas is already fully committed?
    Response: Study Scope Tasks 1 and 2 will examine the possibility of 
transmitting additional wind energy on existing transmission lines 
during periods of the year when the lines are not physically congested 
or by managing power flow with new technologies. Tasks 3 and 4 will 
evaluate the possibility of developing new transmission lines.
    Comment: Is there a dollar amount associated with this study?
    Response: A total of $750,000 was appropriated for this study.
    Comment: Would it be appropriate to submit a scope of work now for 
the possibility of a cost-sharing study if funds are available after 
completion of Study Scope Tasks 1 through 4?
    Response: It would be premature to submit anything for future work 
until the main study (Tasks 1 through 4) is completed and Western has 
evaluated what, if any, additional study work should be undertaken.
    Comment: Is Western currently evaluating a hybrid conductor that 
can dissipate heat better?
    Response: Yes, two short sections of composite conductor are 
currently being field tested on Western's transmission system in North 
Dakota and Arizona.

Summary of Significant Changes From the Draft Study Scope

    In Study Scope Task 3 the following language was added: ``A case 
will be run with simultaneous wind generation of at least 50 MW at all 
seven zones.''

Study Scope Objectives

    The objectives of the DWTS include: (1) Perform transmission 
studies on the placement of 500 MW of wind power in North Dakota and 
South Dakota; (2) recognize and build upon prior related technical 
study work; (3) coordinate with current related technical study work; 
(4) solicit and incorporate public comments; and (5) produce 
meaningful, broadly supported results through a technically rigorous, 
inclusive study process.

DWTS Work Study Scope

Task 1: Analyze Non-Firm Transmission Potential Relative to New Wind 
Generation

    The existing total transfer capability across the major paths in 
the Dakotas is already reserved under long-term contracts. However, the 
scheduled amount of capacity is often less than the total available, 
leaving unused capacity in many hours of the year. Wind power, as a 
variable, nondispatchable energy source may be able to fit in the 
transmission grid in these hours as an energy provider. The possibility 
of delivering wind energy through long-term, non-firm access, and 
curtailing wind power deliveries during congested periods, will be 
studied in this task.
    The three key corridors to be studied are: (1) The North Dakota 
Export Boundary (a monitored regional flow gate comprised of 18 
individual transmission lines in North Dakota, South Dakota, and 
Minnesota), (2) a 230-kilovolt (kV) transmission line, Watertown-
Granite Falls, and (3) a group comprised of eight transmission lines 
running east and southeast from Fort Thompson and west and northwest 
from Fort Randall (two 230-kV transmission lines, Fort Thompson-Huron; 
two 230-kV transmission lines, Fort Thompson-Sioux Falls; one 345-kV 
transmission line, Fort Thompson-Grand Island; two 230-kV transmission 
lines, Fort Thompson-Fort Randall; and one 115-kV transmission line, 
Bonesteel-Fort Randall). The evaluation will include hourly, daily, and 
seasonal analysis for a minimum of 1 year for two cases: historical and 
projected.
    Western will evaluate and compare administratively committed and 
actual use across each corridor using actual historical data (e.g., 
this type of comparison can be found in the Western Interconnection 
Transmission Path Flow Study, February 2003, http://www.ssg-wi.com/documents/320-2002_Report_final_pdf.pdf); and projected system data 
based on a full year system model (e.g., PROMOD IV) of the Integrated 
System and surrounding control areas.
    Western will evaluate and develop power production profiles of the 
Dakotas wind generation using actual historical data and statistically 
representative wind profiles (several years of historical data 
normalized to several decades of climate data). Western will coordinate 
with the NREL to identify the representative wind power production time 
series and develop the wind models.
    Western will evaluate and compare the time synchronized 
transmission use

[[Page 54144]]

profiles and wind generation profiles over each time frame (hourly, 
daily, and seasonal analysis for a minimum of 1 year) for both the 
historical and the projected case.
    Western will develop annual flow duration curves for each corridor 
studied, assess the opportunity to deliver non-firm wind energy, and 
quantify the annual hours and time period of wind energy curtailment.
    Western will run additional modeling cases to bracket key 
sensitivities including high- and low-hydropower scenarios, demand 
growth scenarios, and natural gas price scenarios.

Task 2: Assess Potential of Transmission Technologies Relative to New 
Wind Generation

    Normal power flow on the transmission system often results in less 
than full use of the physical transmission capacity. One or more 
transmission lines may be loaded up to their thermal limits while the 
remaining lines are loaded to levels far below their thermal capacity. 
In the Dakotas, stability issues can limit transfer capacity before 
thermal limits are reached. Technology-based solutions that can 
increase the use of existing network transmission lines without 
jeopardizing reliability are now in a mature development phase and have 
been applied where economically justified on various utility networks. 
The Flexible AC Transmission System is a set of controller devices 
designed to provide dynamic control of power transmission parameters 
such as transmission line impedance, voltage magnitude, and phase 
angle. Many of these technologies were identified as possible solutions 
to transmission constraints in the Montana-Dakotas Transmission Study. 
This analysis will be developed further in this task.
    This task will evaluate the opportunities and costs of increasing 
the use of existing transmission lines and corridors in the Dakotas 
while maintaining safe operation of the network. Specific opportunities 
will be identified and quantified.
    Technologies to be studied include: (1) Static var compensation to 
improve transmission system performance by providing the reactive power 
required to control dynamic voltage swings, (2) series compensation to 
improve stability by generating self-regulated reactive power, (3) 
phase-shifting transformers to improve stability and thermal loading by 
assisting with the control of power flow, (4) dynamic line ratings to 
increase transfer capacity by calculating the real time dynamic thermal 
rating of transmission lines based on real-time monitoring of lines and 
weather conditions, and (5) reconductoring to increase transfer 
capacity by replacing transmission line conductors with newer composite 
materials that can carry more current at the same or higher voltage. 
This evaluation will include an assessment of impacts on existing tower 
structures and rights-of-way.

Task 3: Study Interconnection of New Wind Generation

    Seven wind generation zones will be evaluated for interconnection. 
They were developed from public comments, wind resource maps, the 
Western interconnection queue, tribal projects, and developer projects. 
The zones are generally located near: Garrison, North Dakota; Wishek/
Ellendale/Edgeley, North Dakota; Pickert, North Dakota; Rapid City, 
South Dakota; Mission, South Dakota; Fort Thompson, South Dakota; 
Summit/ Watertown/ Toronto/ White/ Brookings/ Flandreau, South Dakota.
    Aggregate interconnection studies to determine the local impacts of 
new wind generation will be prepared for each site at four wind 
generation levels of 50, 150, 250, and 500 MW. A case will be run with 
simultaneous wind generation of at least 50 MW at all seven zones. 
Impacts to be studied include steady state power flow analysis, 
constrained interface analysis, short circuit analysis, and dynamic 
stability analysis.

Task 4: Study the Delivery to Market of New Wind Generation

    Aggregate delivery studies will be performed on the four most 
favorable interconnection zones in Task 3. Several delivery scenarios 
will be developed for the new wind power based upon markets both inside 
and outside of the Dakotas.
    The incremental transmission delivery capability of each zone will 
be identified along with the necessary transmission improvements for 
each level of generation. Both steady state and stability analysis will 
be completed and losses will be evaluated. Transmission improvement 
options will be ranked by technical feasibility, right-of-way impact, 
and cost.

Study Guidelines

    All models and system data will be coordinated with and consistent 
with existing MAPP and MISO models and databases. Current wind turbine 
models will be used.

Next Phase of Study

    If any appropriated funding remains after the DTWS is completed, 
the following concepts will be explored by Western: (1) Consider a 
cost-share loan and/or grant program for partially funding transmission 
studies of highly probable wind power projects connecting in the 
Dakotas; (2) updating the models developed for Tasks 3 and 4 at regular 
intervals to incorporate ongoing changes to the transmission system in 
the Dakotas; and (3) consider other options that support the language 
of the legislation.

Availability of Information

    All studies, comments, letters, memorandums, or other documents 
that Western initiated or used in developing the Study Scope are 
available for inspection and copying at the Upper Great Plains Regional 
Office, located at 2900 4th Avenue North, Billings, Montana. Many of 
these documents and supporting information are also available on 
Western's Web site under the ``Dakotas Wind Transmission Study'' 
section located at: http://www.wapa.gov/ugp/study/DakotasWind.

Regulatory Procedure Requirements

Determination Under Executive Order 12866

    Western has an exemption from centralized regulatory review under 
Executive Order 12866; so this notice requires no clearance by the 
Office of Management and Budget.

Small Business Regulatory Enforcement Fairness Act

    Western has determined that this rule is exempt from congressional 
notification requirements under 5 U.S.C. 801 because the action is a 
rulemaking to approve or prescribe rates or services and involves 
matters of agency procedure.

    Dated: August 26, 2004.
Michael S. Hacskaylo,
Administrator.
[FR Doc. 04-20224 Filed 9-3-04; 8:45 am]
BILLING CODE 6450-01-P