Revised January 1969

FEDERAL POWER COMMISSION
REGIONAL OFFICE

730 Peachtree Building
Atlanta, Georgia 30308

May 1970

MEMORANDUM TO ALL UTILITIES IN THE SOUTHEAST REGION
SUBMITTING REPORTS ON THE FPC MONTHLY FORM 12-E

Attached for your information is a summary analysis of the reported loads and available supply of electric utilities in the Southeast Region during the coming summer peak season, June through August 1970. The Region consists of the Federal Power Commission designated Power Supply Areas 18 and 20 through 24. It includes all of North Carolina, South Carolina, Georgia, Florida, and Alabama; most of Tennessee; large parts of Virginia, Kentucky, and Mississippi; and a small part of West Virginia. The attached map shows the geographical location of the area.

The tabulation is based primarily on data reported to the Commission on the January 1970 FPC Form No. 12-E, Monthly Power Statement, by the principal electric systems in the Region. The 12-E reports represent essentially complete coverage of total utility capacity and energy requirements in the Region.

The tabulation compares estimated 1970 summer peaks with generating capacity expected to be in service at the end of May 1970, increased or decreased by firm purchases or obligations expected to be in effect at the time of the summer peak.

Region III as a whole has an indicated reserve margin of 6,266 megawatts, the largest increment of which is a 2,171-megawatt surplus on the Tennessee Valley Authority system. The generating capacity indicated in the tabulation is that capacity which is expected to be in service at the end of May 1970. To this capacity an additional 822 megawatts will be added during the months of June, July, and August as shown on Sheet No. 3 of the tabulation.

The summaries reflect only those intersystem transfers that are reported to be covered by firm contracts. No endeavor has been made to account for emergency measures that might be resorted to for the purpose of matching power requirements and supply, such as dropping interruptible loads, reducing voltage, and overloading generators. Likewise, no reduction in dependable capacity has been considered due to scheduled maintenance of units or other factors.

There are four large systems or pools operating in the Region. They are the CARVA Pool operating in Power Supply Areas 18 and 21; the Tennessee Valley Authority operating in Power Supply Area 20; Southern Services, Inc., a utility service company of The Southern Company, operating

in Power Supply Areas 22 and 23; and the Florida Group operating in Power Supply Area 24. Southern Services, reporting for a pool of five systems, submits a consolidated Form 12-E report.

The Southeast Region has an indicated reserve margin of 11.8 percent of the estimated summer peak for the Region. The indicated reserves for the Power Supply Areas range from a low of about seven percent in PSA 18 to a high of about 17 percent in PSA 24.

The indicated reserves for some of the reporting systems appear to be marginal. However, many of the systems in the region are installing gas turbines to help meet the estimated summer peak loads. This program has been in effect for some time. Many of the gas turbines have been installed or are being installed for peak load service this summer and some will go in service next year.

The recent General Electric Company strike has delayed the installation of various components of power supply. Not only steam-electric units and gas turbines have been delayed, but other items such as transformers, switchgear, and relay panels needed for new power supply have been delayed in delivery.

The capacity for reserves in the CARVA Pool area (PSA's 18 and ??) appears to be low. Power Supply Area 18 will have about seven percent reserves and PSA 21 will have about eight percent reserves. However, an examination of the CARVA Pool operation by PSA segments alone does not give credit to the benefits provided by the pool to the individual utilities. The Virginia Electric and Power Company in PSA 18 and the Duke Power Company, Carolina Power and Light Company, and the South Carolina Electric and Gas Company in Power Supply Area 21 constitute the CARVA Pool and represent the major portions of total power supply in the two areas. One of the principal purposes of the CARVA Pool operation is for sharing of reserves. Surplus capacity on one system is available to others by means of high-voltage transmission lines. The total capacity available for reserves on the four systems is, therefore, available to any of the member companies, if needed. In addition to these resources, the South Carolina Electric & Gas Company has a contract with the South Carolina Public Service Authority for sharing of reserves totaling 217 megawatts in 1970 which is available to the Company as well as other members of the CARVA Pool.

The estimated summer peak loads of the Lockhart Power Company in PSA 21 and the Alabama Electric Cooperative in PSA 22 exceed the reported supply, resulting in negative amounts of capacity available for reserves. However, most of the Lockhart supply is purchased from the Duke Power Company. Additional power supply is available from Duke. The Alabama Electric Cooperative has a contract with the Alabama Power

Company for purchased power.

Additional supply over that reported is available to the Cooperative. In each case, the responsibility for supplying reserves for purchased power would be upon the suppliers. On this basis, the power supply situation for the Lockhart Power Company and the Alabama Electric Cooperative is better than indicated by the figures in the tabulation.

While only firm purchases and sales have been included, additional capacity can be made available through interconnected systems within the Southeast Region on a non-firm, short-term basis if an emergency should develop.

A copy of this memorandum and the tabulation is being furnished to each State Commission in the Southeast Region and to each utility in the Region which reports or participates in reporting on the monthly FPC Form 12-E.

Attachments

Rolerica

Robert C. Price

Regional Engineer