Variable Generation Subcommittee Michelle Mizumori WECC January 6, 2010

Recent Activity ● Work Group meetings November ● Full VGS meeting December 1 ● Continuing discussion of VGS study

Marketing Work Group ActivityStatusNext Steps M1- Investigate Market Mechanisms for Delivery of Ancillary Services Outlining White Paper  Work team call  Create first draft of white paper M2 – Evaluate REC MarketCreating inventory of information and issues  Work team call  Outline and draft a white paper M3 – Product Code for Scheduling of Variable Resources Proposing MIC examine this issue  Discussion at January Joint Guidance Committee meeting M4 – NAESB ActivitiesRequest that MIC MIS NAESBWG notify the VGS MWG if any NAESB issues arise  N/A

Operating Work Group ActivityStatusNext Steps O1- Assessing Reserve Requirement Methodologies Continuing to compile existing reports/studies  Work team call  Develop refined action plan O2 – Generator Performance Standards Compiled Interconnection Guidelines – UK, Denmark, Australia, BC, Alberta, Hydro Quebec, etc.  Work team call  Group/summarize by topic, i.e., power factor, inertia, etc.?  Coordination w/ IVGTF O3 – Understanding Existing Flexibility Working on a new target date for initial inventory  Work team call  Creation of questionnaire? Explore existing capability & technical/financial/regulatory limitations or challenges to accessing flexibility O4 – Forecasting PracticesBuilding off of inventory created by Exeter Associates – forecast tools, data inputs, ramp predictor, timing, metrics, etc.  Work team call  Develop refined action plan  Add additional specifics based on discussions with relevant entities O5 – Quantify Benefits of Collaboration Working with NREL/PNNL to develop study plan  Study Plan

Planning Work Group ActivityStatusNext Steps P1- Participate in industry efforts on VG modeling Compiling information on current efforts  Work team call  Identify current participants in industry activities and identify gaps P2 – Review NERC IVGTF ReportIdentified members participating in activities. Coordinating through existing participation  Work team call  Continue to coordinate activities P3 – Transmission Capacity Assignment and Adequacy for accommodating integration of VG Compiling information on potential methodologies  Work team call  Work with TEPPC to coordinate assumptions  Meeting with LRS P4 – Standardizing and Validating Planning Criteria and Methodologies Literature review underway  Work team call  Develop recommendations and analysis of methodologies P5 – N/ACombined with P3  N/A P6 – Create Centralized Database on VG Information Working with LRS  Work team call  Survey of data available P7 – System Dynamic IssuesCreating prioritized list of dynamic studies that should be run  Work team call  Develop recommendations

Technology Work Group ActivityStatusNext Steps T1- Identify Performance Requirements for VG Compiled current North American requirements  Work team call  Outline issues with current and likely upcoming requirements T2 – Identify the Impact of Technology Cost Changes Identified technology subject matter experts  Work team call  Outline likely technology cost changes for solar and wind T3 – Identify Complementary Technologies Storage Inverters Communications and Measurement Smart Grid Created work teams  Work team calls  Recruit expertise especially in storage and communications  Outline issues with each technology type

VGS Study Scenario Does Balancing occur on a BA level? Is Congestion included? Scheduling of Conventional Generation Scheduling of variable generation: Scheduling of Load Scenario 1: Copper Sheet, full consolidation with no congestion No Intra-hour for all internal generators Scenario 2: TODAY – Balancing Authorities are separate, congestion exists and scheduling is hourly only. Yes Hourly Scenario 3: Balancing authority consolidation with congestion NoYes Intra-hour for all internal generators Scenario 4: Balancing Authorities are separate, congestion exists, but sub-hourly scheduling is allowed. Yes Dynamic Intra-hour Dynamic Intra-hour Dynamic Intra-hour

Questions Michelle Mizumori (360)