30. FERC Order 1000
and the
Transmission
Owner Selection
Process
May 13, 2015
Antoine Lucas
31. SPP Process - Highlights
• All entities desiring to participate in the SPP TOSP
must apply to become Qualified RFP Participants
(QRPs)
• Detailed Project Proposals (DPP) received for solutions
in the planning process
• Competitive Upgrade projects approved for
construction now require RFPs prior to NTCs
• A panel of Industry Experts will review, rank and score
all RFP responses and make recommendation to SPP
Board
• SPP Board will select Designated Transmission Owner
(DTO) and issue NTC 31
33. Qualified RFP Participant
• Qualified RFP Participant (QRP): An entity that has been determined by
SPP to satisfy the qualification criteria set forth in the Order
• Any Entity can qualify to be a QRP and participate in the TOSP
• Only approved QRPs can participate in the TOSP
• All interested entities must apply
• Application fee applies to all applicants
Timetable
• Annual Open Enrollment period for QRPs: April 1st - June 30th
• SPP will post all applicants by July 15th
• SPP will notify Applicants by September 30th of any QRP deficiencies
• 30 day cure period for any deficient applications
• SPP will post all QRPs for following year by December 31st
33
34. Qualifying for QRP Status
• Each Applicant must demonstrate that they meet qualification criteria
in order to be approved as a QRP
• The qualification is based on categories detailed in Attachment Y of the
SPP Tariff:
Membership Criteria
Financial Criteria
Managerial Criteria
• Applications for QRP will be evaluated by SPP to assess if the Applicant
meets the qualification criteria and make the final determination
• Qualified QRP Status good for 5 years
– Must re-certify annually no later than June 30th
• If QRP qualifications change
– Must notify SPP for determination of status
34
36. What is a DPP?
• Information about a proposed transmission project in
the ITP process
– Sufficient info to allow SPP to evaluate the proposed
project
– Encourage innovative ideas
• Required to qualify for 100 incentive points in the
competitive bidding process
• Current avenues remain available to propose a
transmission project
36
37. DPP Submission
• Any entity may submit a DPP
• Specific data requirements
– SPP Tariff Att. O Section III.8.b(i)
– Business Practice 7650
• 2015 ITP10 – 1179 DPPs submitted
– 27 different submitters
• 2015 ITPNT - 436 DPPs submitted
– 24 different submitters
37
38. DPP Analysis Process
Transmission
Planning
Response
Window
• 30 Day Window
DPP Submission
Staff
Verification for
Timeliness &
Completeness
Notification of
Completeness
and
Opportunity for
Resubmission
ITP Study
Process
DPP submitter
notified if
project is
selected /
not selected
38
39. Att. Y, Section I.1 – Determining Competitive Projects
39
1) As determined in accordance with Section I.2 of this Attachment Y, the Transmission
Provider shall designate a Transmission Owner in accordance with the process set
forth in Section III of this Attachment Y for transmission facilities approved for
construction by the Transmission Provider after January 1, 2015 that meet all of the
following criteria:
a) Transmission facilities that are ITP Upgrades or high priority upgrades;
b) Transmission facilities with a nominal operating voltage of greater than 100 kV;
c) Transmission facilities that are not a Rebuild of an existing facility and do not
use rights of way where facilities exist;
d) Transmission facilities located where the selection of a Transmission Owner
pursuant to Section III of this Attachment Y does not violate relevant law where
the transmission facility is to be built;
e) Transmission projects that do not require both a Rebuild of existing facilities
and new transmission facilities; and
f) Transmission facilities that are not a Local Transmission Facility.
40. Transmission Facility approved for construction after 1/1/2015
Upgrade Determination
Rebuild of
an existing
facility?
No
Yes Operating
voltage >
100 kV?
Yes No
ITP or High
Priority Upgrade
or Interregional
Project?
Yes
s
ROW where
facilities
exist?
Yes
NC
NoNo
Location
violates
relevant
law?
Yes
No
Includes
new and
Rebuild?
Yes
No
Figure 2
Local
Transmissi
on Facility?
Yes
No
TOSP
4
NC - Non-
Competitive
NC NC
NCNC
In-service
date within
3 yrs or
less?
Yes
No
NC
STR Project Process
41. No
Transmission Facilities approved for construction
after 1/1/2015 that require both a Rebuild of
existing facilities and new transmission facilities
Competitive Upgrade Determination
5
Rebuild Cost >=
80% of Total
Project Cost?
Yes
NC
Divide project
into parts
REBUILD
NC
TOSP
NEW
Pursuant to the criteria in Att. Y,
Section I.1 found on Figure 1.
NC - Non-
43. RFP Process
• RFP will be issued for each competitive upgrade after
study reports have been published and the list of
recommended upgrades has been approved by the SPP
Board of Directors
• Each competitive upgrade will have 180 days* from the
issue date for the QRPs to complete their RFP response
• Each completed RFP response will be analyzed and
scored by the IEP
– If the QRP had a selected DPP for this upgrade, the 100
point bonus would apply at this time
*In accordance with the SPP Tariff, as approved by SPP stakeholders and Board, the Transmission Provider may determine that
a time period shorter than 180 days but no less than 90 days may be necessary for specific upgrades.
43
45. Industry Expert Terms Defined
• Industry Expert Pool: Group of industry experts recommended to the
SPP BOD by the Oversight Committee
• Industry Expert Panel: 3 -5 person group of industry experts selected
from the pool by the Oversight Committee who are engaged to review
and evaluate proposals submitted in response to the Transmission
Owner Selection RFP. The SPP BOD may approve the use of multiple
industry expert panels.
45
Industry Experts
IE Panel
3 – 5 Experts per IE Panel
IE Pool Approved Experts in IE Pool
46. Industry Expert Pool Process
• Industry Expert applicants must complete an application and submit it to
SPP
• The Industry Expert candidate shall have documented expertise on file with
SPP in one or more of the following areas:
1. Electric transmission engineering design
2. Electric transmission project management and construction
3. Electric transmission operations
4. Electric transmission rate design and analysis
5. Electric transmission finance
Timetable
• The proposed application period for Industry Expert candidates for 2015:
June 1 – September 1, 2014
• The Oversight Committee will recommend pool to the SPP BOD in October
2014 46
47. Designated Transmission Owner Selection
• IEP reviews RFP responses, rank and score solutions
– Each submitted RFP response is scored according to
established criteria
– Panel provides a recommendation to the SPP Board of
Directors
Respondent information is redacted
• SPP Board of Directors chooses selected RFP response
and an alternate
– NTC issued to Board-chosen RFP response
47
48. Helpful SPP Web Links
• SPP Order 1000 Process
– Contains links to the applications and forms for the QRP,
DPP, and IEP processes, and has documents from the
Order 1000 Summits and ITP10 and ITPNT Model and
Needs Assessment dates
• SPP Order 1000 Exploder
– Receive emails on Order 1000 dates and information
related to the Order 1000 processes
• Competitive Transmission Process Task Force
– Contains meeting materials and documents for the
committee
48
But before we launch into the findings, let me briefly introduce you to DNV GL and our speakers today.
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DNV GL brings together knowledge that covers the value chain: from policy and regulation to generation through transmission and distribution, and the efficient use of energy.
Our global service portfolio consists of:
Independent, accredited certification of electricity transmission & distribution components;
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