Action Plan Summary

Northwest Power and ConservationCouncil

Action Plan Summary

Northwest Power and ConservationCouncil

Major Categories of Action

• Conservation• Generating Resources• Ensuring Adequacy• Demand Response• Smart Grid • Transmission• Bonneville• Monitoring Implementation• Analytical Capability• Fish and Power

Northwest Power and ConservationCouncil

Conservation Action Plan Summary

1. Acquire Cost-Effective Savings Identified

2. Ongoing Adaptive Management

3. Research Development & Confirmation

Northwest Power and ConservationCouncil

Acquire Cost-effective Savings Identified(Utilities, BPA, SBCs, NEEA, States)

• Near-term savings targets (#1)– 1200 MWa over five years & sufficient funding– Develop plans for new initiatives (#2)

• Market transformation not in NEEA plans (#3)– More MT than NEEA budget & strategic plan

• Improve building codes & compliance (#4)• Support improved federal standards (#4)• Enhancements (#5 - #11)

– Regulatory, RTF, BPA backstop, avoided cost, IRP

Northwest Power and ConservationCouncil

Adaptive Management(Utilities, BPA, ETO, NEEA, States)

• Develop mechanisms to identify high-priority actions across the region (#12)

– High-level forum– Periodic review & recommendations (NEET)

• RTF-related (#13 - #16)– Review RTF from NEET– Systematic comparison of savings– Improve planning tracking reporting– Improve measurement & evaluation

Northwest Power and ConservationCouncil

Research Development & Confirmation(All)

• Demonstration activity (#17)– Measure cost & savings– Programmatic approaches

• Delivery mechanisms, implementation strategies, infrastructure needs

• Market & technical research (#18)– New measure markets & technical– Load shape & capacity impacts

• Regulatory recovery (#19)

Northwest Power and ConservationCouncil

Generating resource actions

Acquire cost-effective generating resources when needed1) Acquisition guidelines for energy, capacity or

ancillary service needs

2) Facilitate development of smaller-scale low-carbon resources

Ensure adequate system flexibility3) Reduce demand for system flexibility

4) Expand access to existing system flexibility

5) Assess regional adequacy of system flexibility

6) Assess flexibility augmentation options

Northwest Power and ConservationCouncil

Generating resource actionsExpand menu of low-carbon resources

7) Commercialize and confirm promising low-carbon resources

8) Review resource development incentives & mandates

9) Support efforts to develop CO2 sequestration options

10) Monitor development of other resources and technologies

Support planning and decision-making11) Conduct resource assessment12) Plan for optimal development of the power system13) Develop long-term synthetic hourly wind dataset

Northwest Power and ConservationCouncil

Ensuring Adequacy

• Provide annual adequacy assessments

• Review resource and load data

• Review methodology and thresholds

• Share information with other regions, especially WECC

Northwest Power and ConservationCouncil

Demand Response

• Monitoring experience

• Develop pilot programs

• Assess potential as flexibility resource

Northwest Power and ConservationCouncil

Smart Grid

• Monitor development

• Develop demonstration programs

• Assess potential applications

Northwest Power and ConservationCouncil

Transmission

• Participate in WECC activities and assessment– Wind integration– Resource adequacy– Transmission planning and expansion

• Track transmission expansion proposals and consider impact on the region

• Assess transmission needs for wind development

Northwest Power and ConservationCouncil

Bonneville – Summary

• Implementation of Council Plan and Program– Support regional scale conservation initiatives, facilitate utility

efforts– Aggressively pursue institutional and business practice solutions

to balancing needs– Take a broad look at possible sources of capacity and flexibility,

if they are needed to meet its obligations

• Complete regional dialogue contract implementation• Adjust for court rulings, if necessary seek legislative

solution• Administrator’s discretion on DSI service: obtain

reserves

Northwest Power and ConservationCouncil

Bonneville Actions – 1

• Implement the Council’s Power Plan• Meet Conservation goals

– Targets: Ensure publics have incentives, support and flexibility to pursue appropriate conservation acquisition; fund conservation as Tier 1 obligation

– Require reporting and verification– Offer flexible and workable programs, including

backstop role for BPA– Support (fund and implement) regional activities, e.g.,

NEEA, RTF, NEET

Northwest Power and ConservationCouncil

Bonneville Actions – 2

• Capacity and flexibility– Aggressively pursue institutional and business

practice solutions to balancing needs– Take a broad look at possible sources of capacity and

flexibility, if they are needed to meet its obligations

• If customers place load on BPA, financial risk of acquisitions should be placed on them

• Preserve benefits of the FBS for the region• Meet its fish and wildlife obligations

Northwest Power and ConservationCouncil

Bonneville Actions – 3

• Implement policy choices made in tiered rates, signing long-term contracts and revising residential exchange program in ways allowing achievement of identified goals

• Revise policy choices if necessary due to Ninth Circuit action, with regional input

• Exercise discretion in considering DSI service, ensuring that Act’s required reserves are provided and focusing on potential for cost-effective ancillary service provision

Northwest Power and ConservationCouncil

Bonneville Actions – 4

• If policies for tiered rates, residential exchange (including ASC), long-term contracts, and related matters are struck down by Ninth Circuit, initiate regional efforts to revise or seek legislative solution if necessary to achieve policy goals of those efforts.

Northwest Power and ConservationCouncil

Monitoring• Ongoing monitoring of plan

implementation

• Monitoring conditions and assumptions for significant changes

• Biennial Monitoring Report

• Perform analysis as needed to assess the effects of changing conditions, data, or policies on the Power Plan

Northwest Power and ConservationCouncil

Enhancing Regional Data Capabilities

• Work with NEEA, RTF and utilities to gather end-use consumption data

• Improve consumption data availability for the irrigation and industrial sectors

• Improve access to hourly load data from balancing authorities

• Work with NEEA, RTF and utilities to identify and fill regional “data holes” identified through NEET and other processes:

Northwest Power and ConservationCouncil

Analytical Capability

• Maintain and enhance forecasting and planning models– Expand the capabilities of the load forecasting system– Refine the Regional Portfolio Model and increase

tools for interpreting and analyzing the results– Update the Aurora model of Western electricity

markets – Enhance the Genesys model of the PNW power

system and test new approaches

• Develop a methodology to better assess hydroelectric sustained peaking capability

Northwest Power and ConservationCouncil

Fish and Power

• Facilitate a process for long-term integrated fish and power planning discussions

• Develop contingency plans

• Maintain and enhance analytical capability

• Monitor status of Columbia River Treaty

• Keep abreast of climate change science

Northwest Power and ConservationCouncil

Additions & Replacements

Northwest Power and ConservationCouncil

Bonneville• Bonneville should implement the policy decisions it has made in the areas

of tiered rates, the long-term contracts, the Residential Exchange Program, including the Average System Cost Methodology, and other areas as yet unresolved, such as service to the DSIs.

• Bonneville should work with region if these decisions are overturned by the Ninth Circuit.

• If Bonneville acquires resources to serve, for example, its Tier 1 loads, Tier 2 loads, and perhaps the DSIs, those resources should be consistent with the Council’s power plan. – Aggressively pursue institutional and business practice solutions to

balancing needs– Take a broad look at possible sources of capacity and flexibility, if they

are needed to meet its obligations• Bonneville should implement its commitment to acquire all cost-effective

conservation. • Bonneville should implement the Council’s fish and wildlife program.

Northwest Power and ConservationCouncil

Enhancing Regional Data Capabilities• Work with NEEA, RTF and utilities to gather

end-use consumption data:– A common survey and data gathering

instrument – Develop the requirements for a data

clearinghouse – Develop the data gathering cycles for each

sector/measure– A coordinated data gathering implementation

plan for 2010-2015

Northwest Power and ConservationCouncil

Maintain and Improving Analytical Capability

• Improve consumption data availability for the irrigation and industrial sectors

• Improve access to hourly load data from balancing authorities

• Work with NEEA, RTF and utilities to identify and fill regional “data holes” identified through NEET and other processes: – End-use hourly load shapes– Energy use for ICE end-uses – Panel Data for residential and small commercial, especially

elder care facilities.

• Develop a methodology to better assess hydroelectric sustained peaking capability