CASE STUDY Cross Texas Transmission CREZ Project BACKGROUND Cross Texas Transmission (CTT), an affiliate of LS Power, was designated by the Public Utility Commission of Texas (PUCT) to construct, operate and maintain 238 miles of transmission lines as part of PUCT’s commitment to deliver renewable energy from Competitive Renewable-Energy Zones (CREZ). These zones, located in West Texas and the Texas Panhandle, are resource-rich, high-wind areas. The CREZ projects were ultimately constructed by 8 different utilities to transmit 18,456 MW of wind power over more than 2,300 miles of transmission lines from the zones to approximately five million homes and businesses. The CTT portion of the CREZ initiative consisted of approximately 1,300 structures that included lattice and monopole steel towers ranging from 80 to 200 feet tall. The 238 miles of Falcon/ACSS/MA2 transmission lines consisted of double-circuit, double-bundle 345 kV AC lines running in three segments, totaling 2,820 conductor miles. FIRST-COST SAVINGS WITH E3X $11MM to $13MM Savings1 PRIMARY OBJECTIVE With assistance from Burns & McDonnell and LS Power, estimate the potential first-cost savings for the CTT CREZ project if an equivalent ampacity Pheasant/ACSS/MA2 with E3X® Technology had been implemented. First project cost savings are calculated based on reduced mechanical loading due to the change in conductor size in both round wire and trapezoidal constructions. Original Conductor Design & E3X Technology Options 1590 kcmil 54/19 Falcon/ACSS/MA2 1272 kcmil 54/19 Pheasant/ACSS/MA2/E3X 1272 kcmil 59/19 Pheasant/ACSS/TW/MA2/E3X 1 2 Ampacity @ 200°C 2 2372 2360 2357 Conductor Weight (lb/kft) 2039 1631 1636 Material Cost Savings ($/mile) Original Base Design $45,743/mile $55,382/mile Neglected potential cost savings associated with smaller conductor diameter hardware, structure erection costs, foundation rock excavation and casings. Ampacities calculated per IEEE 738 and the following conditions: 40°C ambient temperature, 2 ft/s wind velocity (90° to conductor), 35° northern latitude, 3500 ft elevation, 90° azimuth of line (East-West), clear atmosphere, and a date and time of 12:00 PM on June 21 (resulting in 106.3 W/ft² of solar and sky radiated heat). Standard conductor calculated with an emissivity of 0.5 and an absorptivity of 0.5; E3X conductor calculated with values of 0.9 and 0.2 respectively. ENERGY SAVINGS WITH E3X SECONDARY OBJECTIVE Estimate the potential energy savings associated with conductor losses for the CTT CREZ project if a Falcon/ACSS/MA2 with E3X Technology had been implemented. Energy savings are based on a conservative 20% reduction in operating temperature due to application of the high emissivity, low absorptivity E3X Technology. $ Net Present Value of Savings — $150MM1 1590 kcmil 1590 kcmil Parameter Power Losses (kW/mile) Annual Energy Losses (kWh/mile) Annual Energy Cost ($/mile) Annual Demand Cost ($/mile) NPV of Energy Savings ($/mile) 1 Falcon/ACSS/ MA2 100°C - 1452 Amps 2 165 470,982 $36,307 $33,748 - Falcon/ACSS/ MA2/E3X 80°C - 1452 Amps 2 157 447,620 $34,506 $32,074 - NPV of Savings Per Conductor 8 23,362 $1,801 $1,674 $53,419 NPV of Savings for Transmission Line 98 280,344 $21,612 $20,088 $641,027 Economic Analysis calculated per Aluminum Association Publication No. 54 with the following parameters: transmission application, 1452 ampacity, $1000/kW cost of installed generating capacity, 17% fixed charge rate on generating capacity, 50% load factor, $0.060/kW present cost of energy, 30-year service life of conductor, and 5% interest rate. Additional significant savings potentially available from carbon credits. 2 Ampacities calculated per IEEE 738 and the following conditions: 40°C ambient temperature, 2 ft/s wind velocity (90° to conductor), 35° northern latitude, 3500 ft elevation, 90° azimuth of line (East-West), clear atmosphere, and a date and time of 12:00 PM on June 21 (resulting in 106.3 W/ft² of solar and sky radiated heat). Standard conductor calculated with an emissivity of 0.5 and an absorptivity of 0.5. E3X conductor calculated with values of 0.9 and 0.2 respectively. [email protected]