APS Deer Valley Facility Phoenix, Arizona June 22, 2017 9 AM -12 PM APS/SRP 2nd Quarter Stakeholder FERC Order 890 APS Attachment E SRP Attachment K APS Deer Valley Facility Phoenix, Arizona June 22, 2017 9 AM -12 PM

Agenda 1. Welcome, Introductions, and Stakeholder Meeting Overview 2. Status of Action Items - 12/12/2016 Joint APS/SRP 4th Quarter Public Planning Meeting 3. Purpose of Today’s meeting – APS Planning 4. Purpose of Today’s meeting – SRP Planning     5. Stakeholder Questions/Comments 6. Action Items

2. Status of Action Items There were no action items captured at the 4th Quarter Stakeholder meeting held on 12/12/2016

3. Purpose of Today’s meeting Per APS’s OATT, APS conducts the 2nd quarter public planning meeting to A) review its current transmission study plan B) provide an opportunity for transmission customers to update their loads, resources and other data that were submitted by September 1 C) provide an opportunity for stakeholder input on any aspect of the study plan D) review any stakeholder proposals previously submitted to APS for study plan alternatives E) invite submittal of additional stakeholder study plan proposals for review and discussion F) provide updates on APS’s planned transmission projects

3.A. APS’s Study Plan APS has two distinct, but related, transmission study processes NERC Compliance APS’s Annual Planning The difference between the two processes: NERC Compliance: Minimum 2 seasons, 3 discrete years (near and long term); all cases examine P0-P7 (formerly Category A – D) APS’s annual planning: 1 season, 10 consecutive years; N-0 and N-1 Working on combining TPL assessment and Annual Planning for future years TPL assessment results utilized for 10yr plan 10Yr plan fills in the gap years

3.A. NERC Compliance Results? APS is fully compliant with NERC Transmission Planning Standards 2017 Progress? SWAT case building complete SWAT DYD files complete SRP/APS interim case coordination started

3.A. 2018-2027 Ten-Year Plan Methodology Coordinated Base Cases 2019HS – AZ coordinated case used to build heavy summer 2018-2021 2022HS – AZ coordinated case used to build heavy summer 2022-2026 2027HS – AZ coordinated case The intermediate cases are APS/SRP coordinated 69kV transmission models incorporated Most up-to-date forecasts for peak summer loads N-0 and N-1 analysis conducted for all ten years Note: AZ coordinated cases also included IID

3.A. 2017 NERC Compliance Study Methodology NERC Compliance Studies Cases 2019 peak case 2022 peak and off-peak cases The long term and sensitivity cases have not been determined Data from various IRP filings are incorporated (ex. generator retirements are accounted for) IRP Following analyses are conducted: Thermal and voltage Short-Circuit Transient Stability

3.B. Customer Load/Resource Updates APS has all load/resource data from Network Customers and has incorporated them into the base cases APS received no stakeholder proposals in 2016 or prior to this meeting Should you like to provide information for the future APS planning cycles, please see critical dates on the next slide

3.B. Feedback on the Plan? Feedback on the Plan or methodologies NERC Reliability Ten Year Plan See next slide to see how APS would evaluate plan submittals or alternatives.

3.B. APS Ten-Year Plan Projects 2018-2027 Transmission Plan Filed on Jan. 31, 2017

In-Service: Delaney-Palo Verde 500kV Line Delaney-Sun Valley 500kV Line 2018: Mazatzal 345/69kV Substation Morgan-Sun Valley 500kV Line Ocotillo Modernization Project

In-service: Palm Valley-Trilby Wash 230kV Line Sun Valley-Trilby Wash 230kV Line 2018: Ocotillo Modernization Project

In-service: Hassayampa-North Gila 500kV #2 Line 2021: North Gila-Orchard 230kV Line

3.B. Changes from 2016 Plan Projects completed Palo Verde-Delaney-Sun Valley 500kV Energized May, 2016 Sun Valley-Trilby Wash 230kV Actively under construction Mazatzal 345/69kV substation Sun Valley-Morgan 500kV

Bulk Transformer Additions/Replacements Description Year Sun Valley 500/230kV Transformer (in-service) 2016 Delaney 500/69kV Transformer (in-service) Four Corners 500/345kV Transformer 2017 Mazatzal 345/69kV Transformer 2018 North Gila 500/230kV Transformer 2021 Orchard 230/69kV Transformer Orchard 230/69kV Transformer #2 Saguaro 230/69kV Transformer TBD Prescott 230/115kV Transformer #3

3.C-E. APS Planning - Study Requests Interconnection Requests Transmission Interconnection Requests Generation Interconnection Requests Transmission Service Requests Economic Study Requests

3.C. Interconnection Requests 2 Active Wires-to-Wires Interconnection requests Active Generation Interconnection requests APS OASIS contains Generation Interconnection Queue http://www.oatioasis.com/azps/index.html 10 Solar projects – 5401 MW 1 Wind projects - 200 MW 1 Wind/Solar project – 101 MW wind/60 MW solar 2 Natural Gas projects – 1129 MW 1 Battery Storage – 50 MW Note: Generator Queue information as of 05/25/17

A - Hoodoo Wash B - Gila Bend/Buckeye C - Metro Phx D - Saguaro Area 7 projects 1770 MW B - Gila Bend/Buckeye 1 projects 634 MW C - Metro Phx 50 MW D - Saguaro Area 5 projects 1128 MW E - Douglas 17.5 MW F - Moenkopi 3 projects 2261 MW G - Cholla 2 projects 275 MW H - Yuma Area 1 project 70 MW I - Delaney 809MW F G I C B A H D Note 1: Generator Queue information as of 05/25/17 Note 2: Figures displayed may not represent complete queue E

3.D-E Transmission Service Requests and Economic Study Requests 37 Transmission Service Requests that may require a SIS Currently no Economic Study Requests

3.F. Submittal of additional study plan proposals If you have study ideas for APS to consider, please send a detailed message to: apstransmission@aps.com Please include (at a minimum) Your Name/Company/contact info (e-mail/phone #) What the purpose of the study request is? And how will the results be used? What year(s) and season(s) is of interest? What type of study – reliability (power flow only?) economic?

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning SRP Stakeholder Meeting For Transmission Planning FERC Order 890 SRP Attachment K 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning 6/26/2012, Community Relations Committee, S. Carlos

4. Purpose of Today’s Meeting Per SRP’s OATT, SRP conducts the 2nd quarter public planning meeting to: Review its current transmission study plan provide an opportunity for transmission customers to update their loads, resources and other data review any stakeholder proposals previously submitted to SRP for study plan alternatives B) Provide updates on SRP’s transmission projects (Ten Year Plan) C) Provide updates on the generation study requests D) Provide updates on the transmission study requests E) Provide updates on the economic study requests F) Invite stakeholders to submit additional study proposals 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning 4.A. – SRP’s Study Plan SRP has two distinct, but related, transmission study plans NERC Compliance SRP’s budgetary planning The difference between the two plans: NERC Compliance studies based on new TPL-001-4 Standard: 2 seasons/scenarios, 3 discrete years (near and long term) SRP’s annual planning: 1 season, 10 consecutive years (first 6 years are for budget, remaining 4 for compliance purposes) The similarities between the two plans: Similar load forecasts, demand response They are reliability studies 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. 2017 NERC Compliance Study Methodology Coordinated Base Cases (Seed Cases) 2019 – AZ coordinated case used to build 2018-2021 2022 – AZ coordinated case used to build 2023-2026 2026 – AZ coordinated case used to build 2027 The intermediate cases are APS/SRP coordinated 69kV transmission models incorporated Most up-to-date forecasts for peak summer loads TPL Assessment will take place in 2018 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. 2017 NERC Compliance Study Methodology Planned NERC Compliance Studies Cases 2020 Summer Peak & Sensitivity 2022 Off-peak, & Sensitivity 2023 Summer Peak Case, & Sensitivity 2025 Summer Peak Case Following analyses are conducted: Thermal analysis Transient Stability Short Circuit 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. NERC Compliance Studies NERC STANDARD Type of Studies Completed TPL-001-4 P0 Thermal Transient Stability Short Circuit 2020 Peak , Sensitivity X 2022 Off-peak, Sensitivity 2023 Peak, Sensitivity 2025 Peak TPL-001-4 P1, P2 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. NERC Compliance Studies NERC STANDARD Type of Studies Completed TPL-001-4 P3-P7 Thermal Transient Stability 2020 Peak , Sensitivity X 2022 Off-peak, Sensitivity 2023 Peak, Sensitivity 2025 Peak TPL-001-4 Extreme Events 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. NERC Compliance Results 2016 NERC Compliance Studies were finalized by the beginning of November 2016 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.A. – Customer Load/Resource Updates No customers provided load/resource data in September 2016 SRP received no stakeholder proposals in 2016 or prior to this meeting. If you like to provide information for the future SRP planning cycles, please see critical dates on the next slide 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning 4.B. SRP Ten Year Plan 2017-2026 SRP has filed its Ten Year Plan as of January 31st, 2017 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.B. 2018-2027 Ten Year Plan Methodology Coordinated Base Cases See NERC Compliance Methodology slide #6 69kV transmission models incorporated Most up-to-date forecasts for peak summer loads N-0 and N-1 Studies Conducted for all ten years 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning NAVAJO GS 500kV System MOENKOPI (APS) 2017-2026 CEDAR MT (APS) NEVADA YAVAPAI (APS) MARKETPLACE DUGAS (APS) CHOLLA (APS) McCULLOUGH 230kV MEAD ELDORADO MORGAN (APS) SUGARLOAF PERKINS CORONADO WESTWING PINNACLE PEAK (APS) MOHAVE 345kV RUDD PALO VERDE TEP HASSAYAMPA JOJOBA SPRINGERVILLE (TEP) 2024 KYRENE BROWNING SILVER KING PINAL WEST DUKE PINAL CENTRAL SUNZIA (SWPG) Central New Mexico 2021 EXISTING LINES FUTURE LINES FUTURE 500kV SUBSTATION EXISTING 500kV SUBSTATION All Changes since January 2016 Ten Year Plan shown in red 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning TO W.A.P.A. PINNACLE PEAK TO APS PINNACLE PEAK 230kV System W.A.P.A. SRP PINNACLE PEAK WESTWING 2017-2026 DEER VALLEY (APS) PAPAGO W.A.P.A. W.A.P.A. ALEXANDER AGUA FRIA BRANDOW GOLDFIELD THUNDERSTONE WHITE TANKS ROGERS RUDD To Silver King Line Reconfiguration WARD ORME TO APS OCOTILLO LIBERTY (W.A.P.A.) 2020 BROWNING CORBELL Mesa Technology Corridor ANDERSON Price Road Corridor Project KYRENE RS-27 TBD SANTAN DOUBLE CIRCUIT, PHASE TIED LINE KNOX TBD BALL TBD EXISTING 230kV CIRCUIT RS-28 2019 DINOSAUR FUTURE 230kV CIRCUIT 2019 SCHRADER PFISTER TBD 2021 EXISTING 230kV SUBSTATIONS 2021 ABEL FUTURE 230kV SUBSTATIONS COPPER CROSSING 2021 GENERATING STATION DESERT BASIN FUTURE GENERATING STATION TO SANTA ROSA (APS) RANDOLPH TO CASA GRANDE (APS) PINAL CENTRAL All Changes since January 2016 Ten Year Plan shown in red 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning Eastern Mining Area ROOSEVELT MORMON FLAT HORSE MESA STEWART MOUNTAIN 2017-2026 TO SILVER KING 500kV FRAZIER SILVER KING 230 2026 ELLISON PINTO VALLEY GOLDFIELD MIAMI MOONSHINE 230kV 115kV TO THUNDERSTONE Reroute 2017 CARREL CARLOTA PINAL SPURLOCK NEW SUPERIOR 2026 NEW OAK FLAT 2026 SUPERIOR TRASK OAK FLAT KNOLL RAY MORRIS FUTURE SUBSTATION KEARNY EXISTING SUBSTATION HAYDEN BONNEYBROOK (APS) GENERATING STATION SANDSTONE ASARCO FUTURE LINE Reroute 2019 TO APACHE (AEPCO) EXISTING LINE COOLIDGE (W.A.P.A.) COCHRAN TRANSFORMER All Changes since January 2016 Ten Year Plan shown in red 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.B. SRP changes since 2016 Plan Completed Projects None Revised In-Service Dates Price Road Corridor, was 2018 - TBD, now 2019 – TBD Mesa Technology Corridor was TBD, now 2019 (previously called Ellsworth Technology Corridor) Silver King – New Oak Flat – New Superior 230kV was TBD, now 2026 (previously listed as two separate projects) 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.B. SRP changes since 2016 Plan New Projects Coolidge – Hayden 115kV re-route (2019) Copper Crossing – Abel 230kV (2021) Removed Projects None 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning 4.C. – 4.E. Transmission Planning Study Process SRP evaluates plan submittals or alternatives according to the following flowchart. 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.C.-E. SRP Planning - Study Requests Generation Interconnection Requests Transmission Interconnection Requests Transmission Service Requests Economic Study Requests 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.C. SRP Planning –Interconnection Requests (Transmission) Currently there are no Transmission Interconnection Requests under study 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.C. Interconnection Requests (Generation) A. EAST VALLEY 2- Solar Projects 98MW 1- Battery Storage 10MW 2- Gas Projects 1084MW B. EMA 115kV AREA 1- Solar Project 9MW Generation Interconnection Requests listed on this slide are for SRP solely owned transmission A B 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.D.-E. SRP - Transmission Service and Economic Study Requests SRP received one Transmission Service Requests There are no Economic Study Requests 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.F. Submittal of Additional Study Plan Proposals If you have study ideas for SRP to consider, please send a detailed message to: SRP.TransmissionPlanning@srpnet.com Please include (at a minimum): Your Name/Company/contact info (e-mail/phone #) What the purpose of the study request is? And how will the results be used? What year(s) and season(s) is of interest? What type of study – reliability (power flow only?), economic? 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

4.G. SRP Planning – Comments & Questions Stakeholder comments/questions on 2016 Study Results 6/22/2017 APS/SRP Stakeholder Meeting for Transmission Planning

5. Stakeholder Questions & Comments Open discussion Reference Material WestConnect – http://www.westconnect.com/documents.php APS OASIS – http://www.oatioasis.com/azps/index.html SRP OASIS – http://www.oatioasis.com/srp/index.html

6. Action Items Review any action items, assignments, and due dates