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HomeMy WebLinkAbout2010-173 Contract - BPA - 09PB-13002 Rev 1 Exhibit F .!",~\ Revision No, 1, Exhibit F TRANSMISSION SCHEDULING SERVICE Effective on the Date Executed by Both Parties This revision incorporates the provisions for the Transmission Curtailment Management Service (TCMS) as a feature of Transmission Scheduling Service. 1. DEFINITIONS, PURPOSE AND PARAMETERS 1.1 Definitions 1.1.1 "Planned Transmission Outage" means an event that reduces the transmission capacity on a segment ofthe transmission path used to deliver Ashland's Dedicated Resource prior to the initial approval of the E- Tag. 1.1.2 "Transmission Curtailment" means an event that is initiated by a transmission provider through a curtailment to the E-Tag as a result of transmission congestion or an outage on the path used to deliver Ashland:s Dedicated Resource. 1.1.3 "Transmission Event" means a Planned Transmission Outage or a Transmission Curtailment. 1.2 Purpose Transmission Scheduling Service is provided by Power Services to help Ashland manage certain aspects of its BPA Network Integration Transmission Service Agreement (BPA NT Agreement), to allow BPA to use the inherent flexibilities of Ashland's network rights in combination with other network custome~s' rights to manage BPA's power resources efficiently, and to provide seamless scheduling for Transfer Service customers. 1.3 Parameters of Transmission Scheduling Service Beginning October 1, 2011, and through the term of this Agreement, Power Services shall provide and Ashland shall purchase Transmission Scheduling Service. Power Services shall schedule Ashland's federal power and Dedicated Resources to Ashland's Total Retail Load under Ashland's BPA NT Agreement and/or other transmission agreement(s). Power Services shall not provide Transmission Scheduling Service for anything other than delivery to Ashland's Total Retail Load. Power Services shall perform all necessary prescheduling and real-time scheduling functions, and make other arrangements and adjustments, consistent with any RSS products and any other products and services Ashland is purchasing from Power Services. Ashland shall continue to be responsible for all non-scheduling provisions of its transmission agreement(s) used to serve Ashland's Total Retail Load, in accordance with the applicable GATT, including, but not limited to, the designation and un designation of Network Resources, as defined by the applicable OATT. , 09PB-13002, Ashland 1 of 10 Ashland shall be subject to the rates, terms and conditions for Transmission Scheduling Service specified in BPA's applicable Wholesale Power Rate Schedules and GRSPs. 2. ASSIGNMENT OF SCHEDULING RIGHTS Prior to Power Services providing Transmission Scheduling Service, Ashland shall: (1) notifY Transmission Services that Power Services is the scheduling entity for service taken under Ashland's BPA NT Agreement; (2) assign Power Services the right to acquire and manage secondary service pursuant to section 28.4 of the BPA OAT!' as necessary to fulfill BPA's obligations under this Agreement; and (3) provide copies of Ashland's transmission agreement(s) used to serve Ashland's Total Retail Load. Additionally, over the term of this Agreement, Ashland shall provide Power Services with any additional transmission agreements Ashland enters into which are used for service to its Total Retail Load and all amendments and modifications to current copies of Ashland's transmission agreement(s). 3. LOAD FORECAST If a daily load forecast is required by Ashland's transmission agreement(s), then BPA shall develop the daily and hourly load forecasts for Ashland's Total Retail Load. Ashland shall cooperate with BPA in all load forecasting. If any load specific information is n~eded for developing a daily or hourly load forecast, then Ashland shall provide such information in a timely manner. 4. SCHEDULING OF ASHLAND'S DEDICATED RESOURCES This section 4 shall not apply to Ashland's following Dedicated Resource(s): Reeder Gulch. BPA may unilaterally revise this list pursuant to section 9 of this exhibit. 4.1 Pre scheduling Ashland shall submit a delivery schedule to Power Services for its Dedicated Resources for delivery to its Total Retail Load which shall include information such as the source, any points of receipt, any Open Access Same- time Infonnation System (OASIS) reservation reference numbers needed for the delivery of non-federal power', the daily megawatt profile, and all purchasing selling entities in the path. This delivery schedule shall be submitted to Power Services by the earlier of one hour prior to the close of the firm transmission prescheduling deadline associated with the transmission agreement(s) used to deliver power to Ashland's Total Retail Load, or 1100 hours Pacific Prevailing Time (PPT) on the preschedule day. Ashland shall submit all required prescheduled information in a format specified by Power Services. 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 2 of 10 At Power Services'. request, Ashland shall provide Power Services information on real power losses associated with Ashland's transmission agreeme'nt(s). 4.2 Real-Time Scheduling Power Services shall accept megawatt adjustments to Ashland's Dedicated Resource schedule(s) up to the earlier of 45 minutes prior to the hour of delivery or 25 minutes prior to the earliest ofthe transmission real-time scheduling deadlines associated with delivery of power to Ashland's Total Retail Load. Ashland shall submit all required real-time scheduling information in a format specified by Power Services. 4.3 Transmission Curtailments 4.3.1 Notification Prefer,ence Prior to the delivery of Ashland's Dedicated Resources to Ashland's load, Ashland shall notify BPA whether it wants to receive either an electronic copy of the E-Tag or an e-mail of a Transmission Curtailment that impacts any of Ashland's Dedicated Resources. If Ashland chooses notification of Transmission Curtailments bye-mail, then Ashland shall provide BPA a single e-mail address for BPA to send such notifications to, and the Parties shall revise the table in section 4.3.6 below to include the e-mail address. BPA shall notify Ashland no later than ten minutes after a Transmission Curtailment. 4.3.2 Transmission Curtailment Management Service (TCMS) As a feature of Transmission Scheduling Service, BPA shall provide Transmission Curtailment Management Service (TCMS) for certain Ashland Dedicated Resources that require an E-Tag for delivery. TCMS coverage shall apply when Transmission Events impact eligible resources, with certain limitations as described throughout this section 4.3. In accordance with theBPA DATT, TCMS coverage shall not apply while Transmission Services is redispatching Ashland's Dedicated Resource(s) to serve Ashland's load during a Transmission Event. 4.3.3 Curtailment and Outage Terms and Conditions for Resources without TCMS This section 4.3.3 shall apply to Ashland's Dedicated Resources for which Power Services is not providing TCMS coverage. 4.3.3.1 If a Transmission Curtailment occurs prior to 45 minutes before the hour of delivery, then Ashland shall be responsible _ for securing replacement energy or alternate transmission, arranging delivery to the Balancing Authority Area in which Ashland is located, and notifying Power Services of the 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 3 of 10 revised delivery schedule prior to 45 minutes before the hour of delivery. If Power Services is unable to secure secondary network transmission for the replacement resource because Ashland did not notify Power Services of the revised delivery schedule prior to 45 minutes prior to the hour of delivery or secondary network transmission is unavailable, then Ashland shall be subject to charges consistent with the provisions of this Agreement and all related products and BPA's power rate schedules, including VAl charges. 4.3.3.2 Power Services shall not accept replacement delivery schedules for Transmission Curtailments that occur less than 45 minutes before the delivery hour. Ashland shall be subject to charges consistent with the provisions of this Agreement and all related products and BPA's power rate schedules, including VAl charges. 4.3.3.3 If a Planned Transmission Outage is announced prior to Ashland's submission of a delivery schedule in pre-schedule, then Ashland shall be responsible for securing replacement energy or alternate transmission, arranging delivery to the Balancing Authority Area in which Ashland is located, and notifying Power Services of the revised delivery schedule prior to the preschedule deadline described in section 4.1 of this exhibit. 4.3.4 TCMS Coverage Eligibility, Determination and Termination 4.3.4.1 Eligibility of Resources for TCMS Coverage Power Services shall provide TCMS coverage for Ashland's Dedicated Resource if such resource has been granted firm transmission by all applicable transmission providers. Power Services may, on a case-by-case basis and with certain limitations on the service, provide TCMS coverage for Ashland's Dedicated Resource that has hot yet been granted firm network transmission by all applicable transmission providers if Power Services and Ashland are actively engaged in the process of obtaining firm network transmission. Power Services and Ashland shall work cooperatively to obtain firm network transmission for the Dedicated Resource pursuant to the principles in Exhibit G of this Agreement and the Parties' executed Transfer Service Support for Non-Federal Resources Agreement. Power Services shall have sole discretion in determining whether or not Power Services and Ashland are actively engaged in the process of obtaining firm network transmission. However, when making this determination 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 4 of 10 Power Services shall use criteria including but not limited to: (1) the date Ashland requests that Power Services pursue firm network transmission; (2) the planned start date for service from the Dedicated Resource; (3) the location of the resource; (4) the potential for Transmission Curtailments associated with delivering the resource on non-firm transmission; (5) the status of any ongoing OASIS requests and studies related to the resource; and (6) the length of time Power Services and Ashland have been in the process of obtaining firm network transmission. In 'addition, Power Services shall also provide TCMS coverage for Ashland's Dedicated Resource as provided for in section 4.3.5 of this exhibit. 4.3.4.2 BPA's Determination for TCMS Coverage If Ashland notifies Power Services that it is pursuing firm network transmission with all applicable transmission providers, then Power Services shall provide Ashland with a determination of whether or not it may purchase such TCMS within 30 days following Power Services' receipt of Ashland's notice. 4.3.4.3 Termination of TCMS Coverage If BPA is providing TCMS coverage to Ashland for a Dedicated Resource that has not been granted firm network transmission by Transmission Services and a request for firm network transmission for such Dedicated Resource is withdrawn, or if such request is declined or invalidated without a timely resubmission of a similar request, then Ashland shall notify BPA immediately and BPA shall terminate the provision ofTCMS for Ashland's Dedicated Resource ten Business Days after such notification. If BPA is providing TCMS coverage to Ashland for a Dedicated Resource that has not been granted firm network transmission and BPA offers Ashland a Network Resource Exhibit to the Transfer Service Support for Non-Federal Resources Agreement for such Dedicated Resource, and such Network Resource Exhibit is not executed by Ashland within 30 days of the offer, then BPA shall terminate the provision of TCMS for Ashland's Dedicated Resource ten Business Days following the aforementioned 30 day period. 4.3.5 Initial Resource Exception to Certain TCMS Limitations In order to facilitate customer acquisition of non-federal resources in the Transition Period described in sections 4.3.5(1) and 4.3.5(2) below, and in recognition that there may be delays in obtaining firm network 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 5 of 10 transmission, BPA shall make the exception described in this section 4'.3.5. For certain Dedicated Resources that have not yet been granted firm network transmission by all applicable transmission providers, BPA shall provide TCMS without the case-by-case determination described in section 4.3.4.1 and without the limitations described in section 4.3.7.1. A Dedicated Resource shall be eligible for these exceptions only if it meets each of the following criteria: (1) . the Dedicated Resource is first used to serve Ashland's Above- RHWM Load in FY 2012 or FY 2013 for a period of up to five Fiscal Years; and (2) the Dedicated Resource is delivered in both a Flat Annual Shape and Flat Within-Month Shape and used to serve Ashland's Above-RHWM Load for at least one Fiscal Year in duration; and (3) the Dedicated Resource is a market purchase consistent with the terms of the Western Systems Power Pool Service Schedule C; and (4) the Dedicated Resource is delivered at a point of receipt between the BPA Balancing Authority Area and the source Balancing Authority Area, delivered to the Northwest Market Hub on firm transmission, or delivered to the Mid-C hub as defined in Transmission Services Business Practices with a contractual arrangement that allows a new schedule to originate from the Mid-C hub; and (5) the Dedicated Resource is recognized by Transmission Services as a firm resource for purposes of designation as a Network Resource and a request for firm network transmission for the Dedicated Resource has been submitted to all applicable Transmission Providers, and Ashland is actively in the process of obtaining firm network transmission for the Dedicated Resource. If a Dedicated Resource ceases to meet any of the conditions described in this section 4.3.5, BPA shall only provide TCMS as described in all other sections of this exhibit. 4.3.6 TCMS Coverage by Resource The Parties shall list Ashland's Dedicated Resources that require an E-Tag in the table(s) below, and indicate whether Ashland shall purchase TCMS for each resource. BPA shall update the table(s) below as needed. 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 6 of 10 - Name of Dedicated Location of Resource Name and E-mail Name and E-mail Resource (Balancing address of Ashland address of contact at Authoritv Area) schedulinl! contact resource None at this time. - All Applicable Contract path for Firm Network OASIS Assignment Transmission TCMS Coverage Reference Numbers delivering resource (Source- (AREF) POR-POD-Sink) Yes No In Yes No Process 4.3.7 Curtailment and Outage Terms and Conditions for Resources with TCMS Coverage For Dedicated Resources with TCMS coverage identified in section 4.3.6 above, BPA shall deliver replacement power to Ashland during any Transmission Event that is announced for the hour(s) of delivery that affects Ashland's Dedicated Resource, through the duration of the Transmission Event, if any of the following occur: (1) the Transmission Event affects any firm Point-to-Point Transmission used to deliver the resource to Ashland's load, as identified in section 4.3.6 of this exhibit; or, (2) the Transmission Event affects the Secondary Network Transmission used to deliver the resource to Ashland's load, as identified in section 4.3.6 of this exhibit; or, (3), Transmission Services has curtailed .firm network transmission pursuant to section 33.6 or 33.7 of the BPA OATT; or, (4) the Transmission Event affects the firm network transmission obtained by Power Services from a Third Party Transmission Provider and used to deliver the resource to Ashland's load, as identified in section 4.3.6 of this exhibit. If the Transmission Event is multiple hours in duration, BPA shall provide TCMS coverage for the entire Transmission Event. During any Planned Transmission Outage that impacts Ashland's Dedicated Resource with TCMS coverage, BPA may, at BPA's sole discretion, obtain alternate transmission from such resource to Ashland's load instead of delivering replacement power to Ashland's load. If a Planned Transmission Outage affects a Dedicated Resource with TCMS coverage, then Power Services shall notify Ashland of such Planned Transmis~ion Outage. If a Planned Transmission Outage is cancelled or adjusted such that Ashland is able to deliver any portion of the resource to load normally 09PB-13002, Ashland Revision No. I, Exhibit F, Transmission Scheduling Service 7 of 10 during any portion ofthe previously announced Planned Transmission Outage, then Ashland shall do so. 4.3.7.1 Limitations on the Frequency of TCMS Coverage If Ashland is purchasing TCMS for a Dedicated Resource with firm transmission from all applicable providers, or if Ashland is purchasing TCMS for a Dedicated Resource as provided for in section 4.3.5, then BPA shall provide TCMS without the following limits identified in this section 4.3.7.1. If, pursuant to section 4.3.4 above, BPA has allowed Ashland to purchase TCMS for a resource that has not yet been granted firm network transmission, then throughout each Fiscal Year for each such resource, BPA shall periodically assess how frequently TCMS has been needed during that Fiscal Year. IfBPA determines that in such Fiscal Year TCMS has been used to replace such Dedicated Resource in ten separate occurrences, where each occurrence TCMS was used was due to a separate Transmission Event on a different day, and for a cumulative total of at least 168 hours, BPA may terminate Ashland's TCMS coverage for such resource 30 days after providing notice to Ashland. 4.3.7.2 TCMS Payment Obligations Ashland shall be subject to charges for Transmission Scheduling Service, including applicable costs for TCMS, consistent with the provisions of this Agreement and BPA's Wholesale Power Rate Schedules and GRSPs, including any applicable VAl charges. Additionally, during a Transmission Event, BPA shall not assess a VAl charge on a Dedicated Resource with TCMS coverage. 4.3.8 TCMS Coverage after Termination IfTCMS coverage is terminated, pursuant to section 4.3.4 or 4.3.7.1 of this exhibit, Ashland shall be responsible for obtaining replacement power during any Transmission Event that impacts such Dedicated Resource and for any applicable VAl charges that may apply pursuant to section 4.3.3 above. In addition, for any resource for which BPA has terminated TCMS coverage due to frequency of use, as described in section 4.3.4 or 4.3.7.1 of this exhibit, BPA shall allow Ashland to resume purchasing TCMS for the resource only after Ashland notifies BPA that such resource has obtained firm network transmission. 5. E-TAGS To the extent E-Tags are required by transmission provider(s), Power Services shall create all E-Tags necessary for delivery of energy to Ashland's Total Retail Load. 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 8 of 10 / 6. GENERATION IMBALANCE Ashland shall be responsible for costs associated with deviations between the scheduled Dedicated Resources for an hour and the actual generation produced across such hour; provided, however, if Ashland submits a delivery schedule consistent with all provisions of this exhibit and BPA receives that delivery schedule, and a generation imbalance results from a BPA scheduling error, then BPA shall accept responsibility for the generation imbalance associated with the BPA scheduling error. 7. PENALTIES If Ashland fails to submit prescheduling or real-time scheduling information to BPA as required and by the deadlines in section 4 of this exhibit, then Ashland may be subject to applicable VAl charges, consistent with BPA's applicable Wholesale Power Rate Schedules and GRSPs. 8. AFTER THE FACT BPA and Ashland agree to reconcile all transactions, schedules and accounts at the end of each month (as early as possible within the first ten calendar days of the next month). BPA and Ashland shall verify all transactions pursuant to this Agreement as to product or type of service, hourly amounts, daily and monthly totals, and related charges. 9. REVISIONS BPA may unilaterally revise this exhibit: (1) to implement changes that BPA determines are necessary to allow it to meet, its power and scheduling obligations under this Agreement, or (2) to comply with requirements of WECC, NAESB, or NERC, or their successors or assIgns, or (3) to update the table in section 4.3.6 to reflect which resources BPA provides TCMS for. BPA shall provide a draft of any material revisions of this exhibit to Ashland, with a reasonable time for comment, prior to BPA providing written notice of the revision. Revisions are effective 45 days after BPA provides written notice of the revisions to Ashland unless, in BPA's sole judgment, less notice is necessary to comply with an emergency change to the requirements ofWECC, NAESB, NERC, or their successors or assigns. In this case, BPA shall specif'y the effective date of such reVISIons. 09PB-13002, Ashland Revision No.1, Exhibit F, Transmission Scheduling Service 9 of 10 . 10. SI(}~llTlnRES The Parties have caused this revision to be executed as of the date both Parties have signed this revision, THE CITY OF ASHLAND, OREGON UNITED STATES OF AMERICA Department of Energy Bonneville Power Administration ~~6.~ / . Name Martha Bennett (Print/Type) By ~ , S :< ri..' -- By Name Kevin S, Farleigh (Print/Type) Title City Administrator Title Account Executive Date /tJ /Zr/ ~.:J ( Date (O/7-") 110 , (PSW - W: IPowerlContract ICustomerlAshland 113002 I 13002_ExhF Rev1_Final.Docl 10/01110 09PB-13002, Ash]and Revision No.1, Exhibit F, Transmission Scheduling Service 10 of 10 Department of Energy Bonneville Power Administration P.O. Box 3621 Portland. Oregon 97208-3621 POWER SERVICES October 5,2010 In reply refer to: .PSW-6 Mr. Scott Johnson Interim Director of Electric Utilities City of Ashland 90 North Mountain Avenue Ashland, OR 97520 Dear Scott: Enclosed are two originals of Revision No. I to Exhibit F, Transmission Scheduling Service, of the City of Ashland's (Ashland) Power Sales Agreement Contract No. 09PB-13002 (Agreement). The changes in this revision are necessary to capture the contract provisions relating to Transmission Curtailment Management Service (TCMS). BP A has included a provision at the beginning of section 4 of the enclosed Exhibit F revision addressing the non"applicability of certain scheduling provisions in section 4 for your Reeder Gulch Dedicated Resource. If you find the enclosed Revision No. I to Exhibit F acceptable, please have both originals signed and dated and return them to me no later than December 20,2010. I will return a fully executed original of this exhibit revision to you for your records. If BPA does not receive your signed exhibit by the above deadline, BPA's offer of this revision will be null and void. Please feel free to contact me at 503.230.4055, if you have any questions or concerns. Sincerely, ~ ~ :.-- /-. ~ . Kevin S. Farleigh Account Executive , Enclosures (2) '...