1. Vermont Solar Development Pathways Fourth Stakeholder Meeting October 6th, 2015 Montpelier, VT

2. Today’s Agenda 1)Welcome, Introductions9:00 – 9:30 Christine Donovan, Moderator 2)Project Update9:30 – 9:40 Damon Lane, Project Manager 3)Scenario Modeling 9:40 – 9:55 Kate Desrochers, Analyst 4)Technical Issues –Grid Integration I9:55 – 10:15 David Hill, Principal Investigator 5)Break10:15 – 10:30 6)Technical Issues –Grid Integration II10:30 – 11:15 7)Regulatory and Policy Issues11:15 – 11:45 Damon Lane, Project Manager 8)Next Steps and Adjourn11:45 – 12:00 Christine Donovan, Moderator

3. “Developed to Advanced” Solar Market Solar growth: 10x in the coming decade By 2025, 20+% of total electric supply from solar Engineering, operational, regulatory, and business model challenges Ferrisburgh Solar Farm, segroup.com How does solar at these levels relate to Vermont’s total energy economy?

4. Introductions: Stakeholders / Supporters Energy Action Network Green Mountain Power Lintilhac Foundation LW Seddon Lyndon State College Renewable Energy Vermont Vermont Conservation Voters Senator Virginia Lyons Senator Chris Bray VPIRG Washington Electric Coop Wolfe Energy AllEarth ANR BED, VEC Catamount Solar Conergy DC Energy Innovations Dynapower Faraday Green Lantern Group groSolar High Meadows Fund NESCAUM NRG Pomerleau Group Positive Energy Solarize Upper Valley Suncommon UVM VELCO Vermont Law School Vermont Solar Engineering VHCB VNRC Others….

5. The Role of Focus Area Leads Provide input on strategic direction Offer subject matter expertise Help inform project findings and recommendations Review and comment on draft deliverables The Role of Stakeholders Catalyze discussions Lead and coordinate search for relevant data Synthesize inputs – conduct modeling Develop drafts Collect and incorporate feedback

6. Vermont Solar Development Pathways Project Status Update

7. Accomplishments Since Last Time Completed Focus Area briefs in Q2 Presented at ASES conference SOLAR 2015 Barriers and Integration brief in Q3

8. Barriers and Integration Brief Negative Net Load and the “Champ curve” Incremental cost of grid upgrades

9. 51 st State and TA Opportunities Phase II roadmaps to future energy markets: Retail/Wholesale Market Designs Utility Business Model Asset Deployment, Information Technology Rates and Regulation RAP, NREL, IREC on Technical Assistance Team

10. Vermont Solar Development Pathways Scenario Modeling To Support An Advanced Solar Market

11. Our Vocabulary 1.Comprehensive Energy Plan Targets: 90% of Vermont’s Total Energy from renewables by 2050 2. Scenarios: Current Accounts, Reference, 90x50 VEIC, SDP α Scenario testing Net metering Electric vehicles Heat pumps Smart Grid / DM Energy storage Low- income Incentives / social equity 3. Focus Areas:

12. LEAP System Long-range Energy Alternatives Planning System Scenario based: “self-consistent story lines of how an energy system might evolve over time”; well suited for regional and targeted technology (Solar Development Pathways) analyses Transparent accounting framework

13. Flexible Reporting & Structure for Appropriately Detailed Analyses Heaps, C.G., 2012. Long-range Energy Alternatives Planning (LEAP) system. [Software version 2014.0.1.20] Stockholm Environment Institute. Somerville, MA, USA. www.energycommunity.orgwww.energycommunity.org

14. Flexible Reporting & Structure for Appropriately Detailed Analyses Heaps, C.G., 2012. Long-range Energy Alternatives Planning (LEAP) system. [Software version 2014.0.1.20] Stockholm Environment Institute. Somerville, MA, USA. www.energycommunity.orgwww.energycommunity.org

15. Residential Demand Heaps, C.G., 2012. Long-range Energy Alternatives Planning (LEAP) system. [Software version 2014.0.1.20] Stockholm Environment Institute. Somerville, MA, USA. www.energycommunity.orgwww.energycommunity.org

16. Residential Demand – Thermal Applications Heaps, C.G., 2012. Long-range Energy Alternatives Planning (LEAP) system. [Software version 2014.0.1.20] Stockholm Environment Institute. Somerville, MA, USA. www.energycommunity.orgwww.energycommunity.org

17. Growing Solar & Electric Consumption Heaps, C.G., 2012. Long-range Energy Alternatives Planning (LEAP) system. [Software version 2014.0.1.20] Stockholm Environment Institute. Somerville, MA, USA. www.energycommunity.orgwww.energycommunity.org

18. Vermont Solar Development Pathways Technical Issues: Grid Integration I

19. Integration and Barriers Brief Literature Review EPRI Western Wind and Solar Interconnection Study Eastern Renewable Energy Generation Integration Study PJM Renewable Integration Study California DERs Working toward: Framework for VT Coordination and transparency Safe and reliable solutions, location appropriate, that unlock value at reasonable costs EPRI, Integrated Grid Benefit Cost Framework February, 2015.

20. Scales of Analysis Distribution System characteristics Hosting capacity Visibility and location of new DER Sub-transmission Substations and hosting capacity Dedicated Feeders to substations Bulk Power System: Resource adequacy and expansion Resource flexibility Transmission expansion Operational scheduling and balancing

21. Current Status – Distribution and Hosting Analysis Distribution Map Existing DER/Solar Queue Proposed Hosting Capacity Utility A – specific or category Utility B– specific or category Utility C– specific or category

22. Potential Case Studies Characteristics Representative Manageable Compatible/consistent with current planning and analyses Process Discuss Today Nominate by 10/20 Review and selection by end of month November – analysis and technical assistance requests Examples: Grid upgrades Solar plus storage, or innovative applications Siting best practice Innovative ownership or business models

23. Bulk Power System Interactions Issues related to VELCO LRTP Flexibility and Balancing of Bulk Resources New market/contract structures Energy Imbalance market Other Propose Key Issues/Case studies Reasonable to expect more limited focus than the distribution level work?

24. Vermont Solar Development Pathways Break Until 10:30

25. Vermont Solar Development Pathways Technical Issues: Grid Integration II

26. Vermont Champ Curve Shawn Enterline, GMP

27. Vermont Demand Net of Solar

28. Roughly Characterizing the non Solar DER Requirements Scale of total DER, flexible resource requirements: 400 MW? What are some appropriately sized buckets to facilitate next level of analysis? What are the ramp, interactive and other factors that need to be considered?

29. Potential Case Studies – Non Solar DER Characteristics Representative Manageable Compatible/consistent with current planning and analyses Process Discuss Today Nominate by 10/20 Review and selection by end of month November – analysis and technical assistance requests Examples: Hot water storage, battery storage, other controllable DR, EVs

30. Vermont Solar Development Pathways Policy and Regulatory

31. Siting 655MW of ground mount requires ~5,240 acres

32. Planning vs. Market Driven Regional forums Locational Value of Solar Ownership models

33. Rates Roof-mounted small-scale as low impact, has public support, higher cost Large scale ground mount with less support, lower costs Socializing costs of interconnection and grid upgrades Socializing the cost of preferred siting

34. Vermont Solar Development Pathways Next Steps

35. Steps identified today Feedback and issues for this project to address Opportunities to present this work Next meeting December 16 th

36. For More Information General questions on project Objectives, scope, timing and scenario modeling David Hill: dhill@veic.orgdhill@veic.org Damon Lane: dlane@veic.orgdlane@veic.org Focus area logistics, issues or topics Focus Area Leads Suzanne Elowson: selowson@veic.orgselowson@veic.org Carl Linvill: clinvill@raponline.orgclinvill@raponline.org David Roberts: droberts@veic.orgdroberts@veic.org Ingrid Malmgren: imalmgren@veic.orgimalmgren@veic.org Peter Schneider: pschneider@veic.orgpschneider@veic.org Jake Marin: jmarin@veic.orgjmarin@veic.org Li Ling Young: lyoung@veic.orglyoung@veic.org Ethan Goldman: egoldman@veic.orgegoldman@veic.org Nick Lange: nlange@veic.orgnlange@veic.org

37. Thank You! David Hill (802) 540-7734 Dhill@veic.org