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Clines Corner-Four Corners 262 MW (TSR 84736305 – 62 MW, TSR 73111347- 100 MW, and TSR 73111363- 100 MW) Transmission Service Facilities Study September 2017 Work Performed by: Public Service Company of New Mexico

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Page 1: Clines Corner-Four Corners 262 MW€¦ · consequential damages, even if PNM or any PNM representative has been advised of the possibility of such damages) resulting from your selection

Clines Corner-Four Corners 262 MW (TSR 84736305 – 62 MW, TSR 73111347- 100 MW, and TSR 73111363- 100 MW)

Transmission Service Facilities Study

September 2017

Work Performed by: Public Service Company of New Mexico

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Foreword

This report is prepared for Avangrid, Inc. (Transmission Customer) by Public Service Company of New Mexico Transmission Planning and Contracts Department in response to a 262 MW long term firm point–to-point transmission service facilities study agreement executed in June 1, 2017. This document was prepared by PNM. PNM does not:

(a) make any warranty or representation whatsoever, express or implied, (i) with respect to the use of any information, apparatus, method, process, or similar item disclosed in this document, including merchantability and fitness for a particular purpose, or (ii) that such use does not infringe on or interfere with privately owned rights, including any party's intellectual property, or (iii) that this document is suitable to any particular user's circumstance; or

(b) assumes responsibility for any damages or other liability whatsoever (including any consequential damages, even if PNM or any PNM representative has been advised of the possibility of such damages) resulting from your selection or use of this document or any information, apparatus, method, process, or similar item disclosed in this document. Any correspondence concerning this document, including technical and commercial questions should be referred to:

Director, Transmission/Distribution Planning and Contracts Public Service Company of New Mexico

2401 Aztec Road NE, MS-Z220 Albuquerque, NM 87107

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Table of Contents

1. Executive Summary .......................................................................................................................... 1

2. Required Network Upgrades ........................................................................................................... 3

2.1 New 42 mile 345 kV line from Diamond Tail to Clines Corners .................................................... 4

2.2 Existing BA – Clines Corners and BA – Norton 345 kV Line loop in into Diamond Tail Switching Station 4

2.3 New 2.5 mile double circuit 345 kV line from BA – Norton 345 kV transmission line .................. 5

2.4 Diamond Tail Switching Station .................................................................................................... 5

2.5 Clines Corners Switching Station Expansion ................................................................................. 5

2.6 Expansion of Eastern New Mexico RAS and relay upgrades at Norton and BA 345 kV stations .. 6

3. Summary of Cost Estimate and Work Schedule .............................................................................. 7

Appendix A: Cost Estimate Detail ............................................................................................................... 11

Appendix B: Detailed Switching Station layout and one line diagrams ...................................................... 21

List of Figures

Figure 1 —General location and surrounding transmission of Second BA – Clines Corners 345 kV line ..... 2 Figure 2 —Transmission Interconnection Project and nearby PNM Transmission System .......................... 4 Figure 3 - Diamond Tail Switching Station Layout ........................................................................................ 5 Figure 4 - Clines Corners Switching Station Expansion ................................................................................. 6 Figure 5 - One Line Diagram of Diamond Tail Switching Station ................................................................ 22 Figure 6 - Electrical Plan Layout of Diamond Tail 345 kV Switching Station ............................................... 23 Figure 7 - One Line Diagram of Clines Corners 345 kV Switching Station................................................... 24 Figure 8 - Electrical Plan Layout of Clines Corners 345 kV Switching Station ............................................. 25 List of Tables

Table 1: List of contingencies and corresponding proposed action from remedial action scheme ............. 6 Table 2: Second BA -Clines Corners 345 kV Line and Network upgrade Cost Estimate ............................... 7 Table 3: Second BA - Clines Corners 345 kV Line Construction Schedule ..................................................... 9 Table 4: Detailed total Cost Estimate of Second BA - Clines Corners 345 kV Line and Network Upgrade . 11 Table 5: New 345 kV Line from Diamond Tail to Clines Corners Detail Cost Estimate ............................... 12 Table 6: Norton - BA 345 kV Line Loop in into Diamond Tail Detail Cost Estimate .................................... 14 Table 7: Diamond Tail Switching Station including RAS Detail Cost Estimate ............................................ 15 Table 8: Clines Corners 345 kV Station Expansion Detail Cost Estimate .................................................... 17 Table 9: Relay Upgrades at BA Switching Station Detail Cost Estimate ...................................................... 19 Table 10: Relay upgrade at Norton Switching Station Detail Cost Estimate............................................... 20

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

1

1. Executive Summary Public Service Company of New Mexico (“PNM”) performed this Transmission Service Facilities Study

(“Study Report”) based on results from a completed System Impact Study (“SIS”) for the Second BA –

Clines Corners 345 kV line dated May 20171 in response to a 262 MW Transmission Service request by

Transmission Customer. The purpose of this Study Report is to provide cost and construction schedule

estimates for facilities needed to fulfil the Transmission Customer 262 MW Transmission Service

Request for the transfer of energy at Clines Corner 345 kV (Point of Receipt) to Four Corners 345 kV

(Point of Delivery). The Study Report is being developed in accordance with the Transmission Facilities

Study Agreement executed in June 1, 20171. The project timeline is based on complete energization by

the end of November 2020, this is contingent on the date the Transmission Customer provides PNM an

executed Transmission Service Agreement and associated security.

In order to provide the Transmission Service for the Transmission Customer, the following transmission

system reinforcements will be required.

• Build 42 miles of 345 kV transmission line paralleling the existing BA – Clines Corners line that

extends between the Clines Corners 345 kV station (“Clines Corners”) and the proposed

Diamond Tail 345 kV switching station (“Diamond Tail”) eight and a half miles east of the

existing BA 345 kV switching station (“BA Station”).

• Loop in the existing BA – Clines Corners and the BA – Norton 345 kV lines into the Diamond Tail

switching station.

• Build 2.5 miles of double circuit 345 kV transmission line from BA – Norton 345 line into

Diamond Tail switching station

• Build Diamond Tail 345 kV switching station consisting of eight breakers in a breaker-and-half

station configuration

• Expand Clines Corners 345 kV switching station by three breakers and convert it from a ring-bus

to a breaker-and-half station configuration

• Expand Eastern New Mexico RAS and relay upgrades at Norton and BA 345 kV switching

stations

The total estimated cost of the facilities in 2017 dollars required to provide the Transmission Service is $85,000,907. 1 http://www.oatioasis.com/pnm/index.html

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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Figure 1 shows the project and its general location on the transmission system.

Figure 1 —General location and surrounding transmission of Second BA – Clines Corners 345 kV line This Study Report provides a list of required system improvements as well as the associated cost and

construction schedule estimates. Section 2 of this Study Report explains the need and scope of the

system improvements. Cost and construction time estimates are summarized in Section 3 of this Study

Report. Appendix A contains additional cost details. Similarly, the detailed switching station electrical

plan layout and one line diagrams are provided in Appendix B.

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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2. Required Network Upgrades The following transmission system reinforcements were identified in the SIS:

• Build 42 miles of 345 kV transmission line paralleling the existing BA – Clines Corners line that

extends between the Clines Corners 345 kV station (“Clines Corners”) and the proposed

Diamond Tail 345 kV switching station (“Diamond Tail”) eight and a half miles east of the

existing BA 345 kV switching station (“BA Station”).

• Loop in the existing BA – Clines Corners and the BA – Norton 345 kV lines into the Diamond Tail

switching station.

• Build 2.5 miles of double circuit 345 kV transmission line from BA – Norton 345 line into

Diamond Tail switching station

• Build Diamond Tail 345 kV switching station consisting of eight breakers in a breaker-and-half

station configuration

• Expand Clines Corners 345 kV switching station by three breakers and convert it from a ring-bus

to a breaker-and-half station configuration

• Expand Eastern New Mexico RAS and relay upgrades at Norton and BA 345 kV switching

stations

Figure 2 shows the project and nearby transmission system.

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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Guadalupe 345 Taiban Mesa345 kV

Clines C

orners 345 kV

42 Miles

70 Miles

BA 345 kV

svc

Black Water 345 kV

Rio Puerco 345 kV

To 115 kVSystem

To Four Corners

To San Juan To W

est Mesa

44 miles

8.5 Miles

62 Miles

Blackwater Converter

Norton 345 kV bus

+250/-100 MVAR

40 Miles

Aragonne Mesa 90 MW

Tiaban Mesa 200 MW

34 miles

20.38 miles

Diam

ond Tail 345 kV Bus

El Cabo

El Cabo 345 kV

Broadview 34.5 kV Bus

34.5 kV/345 kV transformer

Broadview 345 kV Bus

Broadview 497 MW

DSTATCOM

Aragonne 138 kV Bus 3

Aragonne 138/345 kV transformer

Aragonne 34.5kV/138 kV transformer

Aragonne 34.5 kV Bus 2

Aragonne 138 kV Bus 4

2.5 mile double circuit for BA-Norton loop -in to

Diamond Tail

42 Miles

16 miles

La Joya200 MW Wind

Lucia202 MW Wind

15 miles

18 miles

Torrance 345 kV

Existing Facilities

New Facilities

New Customer Facilities

Figure 2 —Transmission Interconnection Project and nearby PNM Transmission System

2.1 New 42 mile 345 kV line from Diamond Tail to Clines Corners The SIS identified the need to build a 42 mile Clines Corners to Diamond Tail 345 kV line in parallel to the

existing BA – Clines Corners 345 kV line. The addition of the new line allows PNM to accommodate the

incremental firm capacity of 262 MW from the Clines Corners area.

2.2 Existing BA – Clines Corners and BA – Norton 345 kV Line loop in into Diamond Tail Switching Station

The SIS identified the need to loop the BA – Norton 345 kV line into the Diamond Tail switching station

to complete the new BA – Clines Corners 345 kV line path parallel to the existing 345 kV line to achieve

the same rating on the existing line. The existing BA – Clines Corners 345 kV line will also be tapped into

Diamond Tail.

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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2.3 New 2.5 mile double circuit 345 kV line from BA – Norton 345 kV transmission line

The looping in of the existing BA – Norton 345 kV line into Diamond Tail requires building 2.5 miles of

double circuit 345 kV transmission line from BA to Norton 345 kV line into Diamond Tail switching

station.

2.4 Diamond Tail Switching Station The SIS identified the need for a new Diamond Tail switching station located 8.5 miles east of BA

switching station. Per PNM’s Breaker Configuration Policy, installation of a new five position breaker and

a half 345 kV station configuration is required. Figure 3 shows the layout of the new switching station.

Diamond Tail Switching Station

New Facilities

Figure 3 - Diamond Tail Switching Station Layout

2.5 Clines Corners Switching Station Expansion The SIS identified the need for the expansion of Clines Corners to accommodate the second 345 kV line

and to loop in the existing BA – Clines Corners 345 kV line at Diamond Tail. This involves conversion of

the existing Clines Corners three position ring bus configuration to a four position breaker and a half

configuration per PNM’s breaker configuration policy. Figure 4 shows the breaker and a half

configuration of Clines Corners.

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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B

B

B

B

B B

BGuadalupe

To El Cabo (Torrance)

Diamond Tail (Previously BA)

Diamond Tail

Clines Corners Switching Station Expansion

New Facilities

Existing Facilities

New Customer Facilites

Figure 4 - Clines Corners Switching Station Expansion

2.6 Expansion of Eastern New Mexico RAS and relay upgrades at Norton and BA 345 kV stations

As per the results of the SIS, expansion of the Eastern New Mexico RAS would be required to mitigate

overloads during some critical contingencies. The recommended Eastern New Mexico RAS would cover

the following system conditions/contingencies and the appropriate actions that would be taken when

the Second BA – Clines Corners 345 kV line is in service.

Table 1: List of contingencies and corresponding proposed action from remedial action scheme Contingency Type

Contingency Action from Remedial Action Scheme

N-1 Loss of either Diamond Tail to Clines Corners 345 kV line and the total power flow into BA switching station greater than 1000 MW

Trip a portion of Transmission Customer generation at Lucia and La Joya

N-2 Loss of both BA to Diamond Tail 345 kV lines and the power flow into BA switching station greater than 450 MW

Transfer trip the Taiban to Blackwater 345 kV (TB) line and Avangrid at Clines Corners

Loss of both BA to Rio Puerco 345 kV Lines and the power flow into BA switching station is greater than 750 MW

Transfer trip the Taiban to Blackwater 345 kV (TB) line and Transmission Customer generation tie line at Clines Corners

Loss of BA to Diamond Tail and Norton to Diamond Tail 345 kV lines and power flow into BA switching station greater than 1000 MW

Transfer trip Taiban to Blackwater 345 kV line

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Transmission Service Facilities Study for the Second BA – Clines Corners 345 kV Line

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Looping in the existing Norton – BA 345 kV line into the Diamond Tail switching station will require line relay upgrades at both Norton and BA Switching Stations.

3. Summary of Cost Estimate and Work Schedule The total cost and construction schedule estimates are shown below in Table 2. Construction schedule estimates are from the date the Transmission Customer provides written authorization to proceed, provided all agreements and funding arrangements are in place.

It is likely that PNM will incur outage costs during the construction of the identified system reinforcements. The cost of construction outages cannot be estimated at this time. However, in accordance with applicable Federal Energy Regulatory Commission Policy, PNM reserves the right to recover such costs from the Transmission Customer.

Additional Cost Estimate details are contained in Appendix A.

Table 2: Second BA -Clines Corners 345 kV Line and Network upgrade Cost Estimate Summary of Cost and Construction Schedule Transmission Network Upgrade Cost ($M) Construction Time New 42 mile 345 kV Line from Diamond Tail – Clines Corners

$44.737 40 months

Looping the Norton – BA 345 kV line into Diamond Tail including new 2.5 mile 345 kV transmission line

$6.731 40 months

Diamond Tail switching station including Eastern NM RAS

$26.305 40 months

Clines Corners station expansion $6.305 22 months Relay upgrade at BA 345 kV Switching Station, testing and commissioning

$0.462 3 months

Relay upgrade at Norton 345 kV Switching Station, testing and commissioning

$0.462

Retirement - 1 month Total $85.001 41 months

Projects will proceed concurrently. The following general assumptions apply to all PNM Cost Estimates and schedule:

The Cost Estimates and schedule submitted in this Facility Study report are based on the following assumptions:

1. Reasonable system outages can be obtained in the fall of 2020 to test and commission the new system additions.

2. State and local permitting processes are timely with favorable outcomes within acceptable timeframes.

3. Environmental studies result with limited findings that can be reasonably mitigated. National Environmental Policy Act (NEPA) evaluation will not be required.

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4. Site engineering studies such as geotechnical and soil resistivity have not been conducted for these estimates but the costs of these studies are very low.

5. Land owners are willing to negotiate with PNM for the station site. 6. Allowance for Funds Used During Construction (AFUDC) is included at a rate of 4.33% of

total costs. AFUDC is based on current projected rates for the 2019-2020 time frame and the estimated project spent by month over the same two years.

7. Estimates include project management, land rights acquisition, public outreach and permitting, environmental studies, design, materials and equipment, site and access development, construction, testing and commissioning, construction management, 10% contingency and utility loads and New Mexico Gross Receipt Tax.

Appendix A contains Cost Estimate details as well as specific assumptions used in preparing the Cost Estimate.

Major activities are presented in the construction schedule estimate in Table 3 below. The schedule is

representative of typical project timelines and activities.

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Notes and Assumptions:

1) The project timeline is based on complete energization of all the above projects by the end of November 2020. 2) The issuance of a certificate of public convenience and necessity (“CCN”) is a minimum 9 month process with a likely result in a 6 month

extension for a total of 15 months. The CCN requires outreach and local permitting activities be complete or nearly complete at the time of CCN application.

Table 3: Second BA - Clines Corners 345 kV Line Construction Schedule

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3) Due to length of the CCN review, the transmission line design will occur concurrently with the later months of the CCN approval process. . This will allow exercising of land options, site developments, and materials orders to start immediately upon issuance of the CCN.

4) Based on current lead times, some key equipment and materials’ orders will need to be placed one to three months before an issuance of the CCN to allow sufficient time for delivery and construction.

5) The transmission line cut-ins and energizations of the station improvements will need to be staged to avoid concurrent facility outages.

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Appendix A: Cost Estimate Detail Table 4: Detailed total Cost Estimate of Second BA - Clines Corners 345 kV Line and Network Upgrade

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Table 5: New 345 kV Line from Diamond Tail to Clines Corners Detail Cost Estimate

Notes and Assumptions:

1) Routing is based on using the existing utility corridor established by the Clines Corner-BA 345kV line. A new 150 foot wide transmission easement adjacent to the existing Clines Corner-BA 345kV line will be required for the length of the new line with the transmission structures placed on the centerline.

2) For estimating purposes, a 345kV H-frame steel pole design was selected for tangent structures.

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3) Three-pole guyed structures are used for angles and dead-ends. 4) The conductor is twin-bundle ACSR 795 MCM 26/7 “Drake”. 5) There are two shield wires on the new line which are OPGW. The two OPGW cables coming

from Clines Corners are the two sources of communication to Diamond Tail. 6) Pricing for this project is based on a traditional design build approach. 7) The cited costs include looping the existing Clines Corner-BA 345 kV line into the new

Diamond Tail station and retirement of a short section of this line. 8) The approximate location of the transmission line is shown in Figure 1.

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Notes and Assumptions:

1) The routing of the new line is generally parallel to PNM’s existing Clines Corner-BA 345kV line. 2) A new adjacent 150 foot wide transmission easement will be required for the length of this

double circuit line with the transmission structures placed on the centerline. 3) For estimating purposes, a 345kV double circuit single steel pole design was selected for tangent

structures and multi-pole guyed structures were used for angles and dead-ends. 4) The conductor is twin-bundle ACSR 795 MCM 26/7 “Drake”. 5) The shield wire is OPGW. 6) This loop effectively splits the Norton-BA 345kV line into two circuits; a) Norton to Diamond Tail,

and b) Diamond Tail to BA.

Table 6: Norton - BA 345 kV Line Loop in into Diamond Tail Detail Cost Estimate

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7) Pricing for this project is based on a traditional design build approach. Table 7: Diamond Tail Switching Station including RAS Detail Cost Estimate

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Notes and Assumptions:

1) Approximately 40 acres of land will need to be purchased and access rights acquired. 2) An estimated site location was chosen for purposes of the Cost Estimate. The final selected

location may vary. 3) The station will be built to similar design standards as the existing Clines Corners station. 4) Major equipment includes eight (8) 345 kV circuit breakers, twenty-two (22) 345 kV

disconnect switches, control house and sixteen (16) control panels, and numerous instrument transformers.

5) Communications pricing is based on using by fiber optic ground wires (OPGW) installed on the new transmission line from the Clines Corners station.

6) Station service is provided from two (2) 345 kV Station Service Voltage Transformers (SSVT) with a generator back-up.

7) The estimate also includes costs for the expansion of eastern New Mexico RAS. 8) Pricing for this project is based on an Engineering, Procure, and Construct (EPC) approach

with certain larger equipment purchased directly by PNM. 9) The one-line for this station is shown in Figure 5. The layout used for estimating purposes is

presented in Figure 6.

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Notes and Assumptions:

1) The existing yard and control house are sized to accommodate this expansion. 2) Major equipment includes the addition of four (4) 345 kV circuit breakers, six (6) 345kV

disconnect switches, seven (7) control panels and six (6) 345kV Capacitive Voltage Transformers.

Table 8: Clines Corners 345 kV Station Expansion Detail Cost Estimate

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3) Pricing for this project is based on an Engineering, Procure, and Construct (EPC) approach with certain larger equipment purchased directly by PNM.

4) The draft one-line for this station is shown as Figure 7. The layout used for estimating purposes is presented in Figure 8.

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Table 9: Relay Upgrades at BA Switching Station Detail Cost Estimate

Notes and Assumptions:

1) Presented costs are based on outside service contract for construction.

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Table 10: Relay upgrade at Norton Switching Station Detail Cost Estimate

Notes and Assumptions:

1) Presented costs are based on outside service contract for construction.

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Appendix B: Detailed Switching Station layout and one line diagrams

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Figure 5 - One Line Diagram of Diamond Tail Switching Station

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Figure 6 - Electrical Plan Layout of Diamond Tail 345 kV Switching Station

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Figure 7 - One Line Diagram of Clines Corners 345 kV Switching Station

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Figure 8 - Electrical Plan Layout of Clines Corners 345 kV Switching Station