rates or be spilled would likewise be mutually beneficial. At the present, because of transmission limitations and institutional and contractual problems, the market that our agencies represent is excluded from potential sales from the Pacific Northwest. Economy Transactions Economy transactions can be made which will result in a reduction in cost to the consumers in both regions as well as the conservation of nonrenew able fuels. Reserve Sharing Mutual support arrangements between utilities also offer opportunities for mutual benefits. Coordinated planning - Expanded transmission would provide the mechanism for coordinated facility planning for both regions. Each of the foregoing provide positive environmental results because fewer resources would be needed to meet the combined requirements of the entire Western region and nonrenewable fuels would be conserved. Q. Please compare the feasibility, possible schedule for completion, benefits, and costs of these transmission expansion proposals: a. b. C. Upgrading the existing Pacific Intertie AC lines from 2,800 MW to 3,200 MW. Upgrading the existing Pacific Intertie AC lines to 4,000 MW. Upgrading the existing 230 kV AC lines from the Round Mountain/Shasta/Cottonwood area to the d. Building an additional 500 kV AC line from Malin, e. f. Converting to DC the existing 500 kV AC lines of the Pacific Intertie. Converting to DC some of the existing 230 kV AC lines south from Round Mountain or Cottonwood. A. 9. h. i. Columbia River to Meade, Nevada. Building a trans-Sierra line from Nevada into Other proposals designed to increase power transfer All of the alternatives listed should be carefully evaluated. I would note that work has already been done on most of them so it is not a matter of starting from point zero. The highest priority should be given to an effort to develop "Phase 1 Projects". The alternatives under a, b, and c seem the most likely for short-range implementation considering the capital investment and time frame required for completion. We are already working with Western in the evaluation of the proposed 230 kV federal system upgrade and have, with other California utilities, contributed funds to finance these studies. Work should also be pursued on the other alternatives as part of a "Phase 2" effort to be implemented over the longer term. Q. The problem in our area is, as a FERC administrative law judge concluded in his July 1, 1983 initial decision on license conditions, that except for specific entitlements to the Sacramento Municipal Utility District, the California Department of Water Resources, and the Central Valley Project (through Western), all access to the Pacific Intertie, and thus all transmission to or from the Pacific Northwest, is controlled by one investor-owned utility. It is important the Bonneville and Western take a leadership role in bringing together interested parties to pursue both of these efforts. I assure you that the utilities I represent are prepared to participate in the financing of studies and subsequently of construction of facilities to assure us access to transmission capacity. What are the economic, financial, and legal obstacles to: A. b. C. Selling Northwest or Canadian surplus firm power to California? Selling Northwest or Canadian non-firm surplus energy to California? The obstacle to expanding the market for Northwest and Canadian surplus firm and non firm power and energy in California is that of transmission capacity and transmission access. This relates both to the federal and non federal interties and to transmission paths from the termination of those interties. We believe that these obstacles can be overcome through good faith negotiations on the part of all concerned. BPA and Western should take a leadership role in both the expansion of intertie capacity and development of arrangements for wheeling service from termination of the intertie facilities. I would emphasize that this would not necessarily involve expenditures of federal funds. The utilities I represent, as I have said, are prepared to pay our fair share of any costs involved as well as just and reasonable rates for wheeling services provided by other utilities. In our view, Northwest surplus power can be marketed in Northern California if priced competitively and accompanied by required transmission access. In the longer term, this may require the construction of additional transmission capacity, however, in the shorter term, markets for surplus federal power from the Northwest are available if Western will make available presently unused federal transmission capacity. Western has not articulated a reasonable policy regarding access to surplus federal transmission. We urge you to encourage BPA to assume a more active role in solving transmission problems and development of additional transmission capability and to instruct Western to utilize the existing federal transmission system to maximize the sale and distribution of federal power in both regions. Thank you, Mr. Chairman. be pleased to answer them. If you have any questions, I would STATEMENT OF DALE L. POHLMAN Prepared for the Hearing SUBCOMMITTEE ON MINING, FOREST MANAGEMENT AND THE BONNEVILLE POWER ADMINISTRATION July 11, 1983 This statement is submitted by Dale L. Pohlman on behalf of the Cities of Anaheim, Azusa, Banning, Colton and Riverside, California (Cities). I am the Assistant General Manager-Power Resources from the City of Anaheim, California Public Utilities Department. My business address is P.O. Box 3222, Anaheim, CA 92803. In response to your request of June 13, 1983, the Cities would welcome the opportunity to participate in any process that might allow them to participate in the development of expanded transmission capacity between California and the Pacific Northwest. The Cities are committed to making the best use of regional resources in order to provide their customers with the lowest cost power supply. The Cities are very much interested in. obtaining surplus firm power and non-firm energy from the Pacific Northwest and Canada so as to reduce their dependence on the use of oil and gas for electric generation.. |