1. RELIABILITY COORDINATOR TOPICS 2006 FRCC SYSTEM OPERATOR SEMINAR

2. 2005 SUMMER PEAK OPERATIONS

3. 2005 OPERATING CHALLENGES Record peak loads – 2008 forecasts Transmission system stressed Congestion Management procedures Lake Agnes / Osceola Lake Bryan / International Drive Andytown / Orange River 500 KV Hurricanes – Cones of uncertainty Generation Impacts Transmission Reliability Impacts

4. CENTRAL FLORIDA FLOWS

5. SOUTHEAST FLORIDA

6. 2006 OPERATIONAL CHALLENGES A LOOK AHEAD!

7. OPERATIONAL CONCERNS CENTRAL FLORIDA FLOWS Lake Agnes / Osceola Mitigation Plan CONGESTION MANAGEMENT NERC TLR Level 5 Firm transaction curtailments BA Network / Native Load Contribution Re-Dispatch Options Generation Shift Factors

8. LAKE AGNES / OSCEOLA MITIGATION PLAN FRCC Operating Reliability Subcommittee (ORS) has developed the plan to aid the RC in maintaining reliability of the Central Florida bulk electric system Mitigation plan involves all operating entities and the Reliability Coordinator OUC operates Lake Agnes / Osceola line TEC operates the new Lake Agnes reactor TEC operates the Lake Agnes / Recker line

9. Entrance Condition: Actual Loading > 80 % Actual Loading > 80% of Applicable Rating OUC notifies ALL of 80% loading All BA’s must coordinate with RC any generation changes at: McIntosh, Recker sub, Larsen, Winston, Ridge Cane Island, Intercession, Hansel, Theme Park RC evaluates any generation change for impact on flowgate and develop recommendation or action plan if required LAKE AGNES / OSCEOLA MITIGATION PLAN

10. Entrance Condition: Actual Loading > 90 % Actual Loading > 90% of Applicable Rating RC will Request BAs provide all Non-firm transactions that are scheduled within their BA area (tagged and un-tagged). Schedules internal to a BA identified IDC does not currently apply transfer distribution factors to these transactions The RC will perform a NERC “Study TLR” All Non-firm and Firm BA to BA transactions identified LAKE AGNES / OSCEOLA MITIGATION PLAN

11. Entrance Condition: Actual Loading > 100 % RC will immediately notify OUC of real time overload OUC will provide the RC with an evaluation of the line loading based on current ambient weather conditions. Summer rating 444 MVA Upon evaluation of the line loading with current weather conditions, the RC will take appropriate steps listed in “Mitigation Steps”, as necessary to reduce loading. LAKE AGNES / OSCEOLA MITIGATION PLAN

12. CONTINGENCY OVERLOADS Entrance Conditions Post-Contingency Loading > 100% rating but < 130% rating RC to pre-plan to implement the appropriate steps listed in “Mitigation Steps”, as necessary ONLY if the contingency occurs. Post-Contingency Loading > 130% rating RC to begin implementing the appropriate steps listed in “Mitigation Steps” as necessary, to reduce post- contingency loading below 130%.

13. MITIGATION STEPS Step 1: BA’s to implement voluntary Solutions May implement generation re-dispatch May split bus at Cane Island (719,713,709 &703) (OUC/KUA) - this action assumes minimal or no generation at Cane Island. Transmission Providers may implement local procedures to curtail Non-firm transactions based on RC’s NERC IDC “Study TLR’s” suggested curtailment priority, and per their tariff. BAs may curtail Non-firm transactions. May OPEN - Lake Agnes / Recker 230 KV line - (TEC).

14. MITIGATION STEPS Step 2: Place Lake Agnes Reactor in Service Requirements Real Time overload exists Post contingency overload > 130% of applicable rating Reactor may also be used as part of a mitigation plan to be implemented following a contingency for conditions where post contingency overload is greater than 100% but less than 130% RC to direct TEC to open Lake Agnes reactor bypass breaker TEC to open the bypass breaker at the direction of the RC

15. MITIGATION STEPS Step 3: Implement Appropriate NERC TLR Level RC will initiate non-firm TLR on Lake Agnes / Osceola flowgate in NERC IDC All non-firm transactions on flowgate will be curtailed or re-allocated RC will direct BA’s to curtail all non-firm transactions within the BA boundaries as identified in 90% loading condition prior to elevating to NERC TLR Level 5 RC will initiate Firm TLR on Lake Agnes / Osceola flowgate in NERC IDC Firm (7-F) transactions will be curtailed on pro-rata basis along with Firm (7-FN) Network Integration Service and Network/Native Load (NNL)

16. NERC TLR 5 REVIEW Firm Point to Point Transactions (7-F) Firm Network Integration Service (7-FN) Firm Network & Native Load (NNL) Generation Re-Dispatch NERC IDC Tool Generation Shift Factor viewer

17. FIRM CURTAILMENTS FIRM POINT TO POINT (7-F) Transmission service sold across a transmission provider designating Firm priority of use Transmission provider responsible for honoring in pro-rata fashion with network service and native load Must be curtailed during TLR Level 5

18. FIRM CURTAILMENTS FIRM NETWORK INTEGRATION (7-FN) Transmission service supporting tagged transactions for Firm Network Resources located outside owner’s host Balancing Authority Will be identified within IDC and re-dispatch option will be provided RC will indicate curtailment or re-dispatch on IDC congestion management report based on host BA’s option

19. FIRM CURTAILMENTS FIRM NETWORK & NATIVE LOAD (NNL) Flow identified on flowgate as a result of dispatch of network resources to native load Relief on flowgate achieved via generation re- dispatch or load shed Generation Shift Factors used to calculate required re-dispatch to achieve prescribed relief

20. GENERATION RE-DISPATCH Reduce impacting flow on flowgate Shift generation equally on both sides Lowering source side generation (decremental units) Raising sink side generation (incremental units) May combine multiple units to achieve relief Voluntary – Option of BA Directive – Issued by RC under real time overload or IROL conditions

21. GENERATION SHIFT FACTORS NERC Distribution and Shift Factor Viewer You can request access to the NERC Factors Viewer at the following address: http://nfv.nerc.mcgware.com/ SAMPLE TLR PAGE

22. NON-FIRM TLR

23. NON-Firm Relief Allocation

24. Impacted Schedules

25. Need Firm to Achieve Relief Allows for credit of re- dispatch performed prior to level 5

26. FIRM TLR

27. Non Firm / Firm Relief Allocation

28. NNL ALLOCATIONS

29. ALL IMPACTED SCHEDULES

30. ACTUAL FLOWS OVERVIEW