September 8, 2011 The Honorable Kimberly D. Bose Secretary Federal Energy Regulatory Commission 888 First Street NE Washington, DC 20426 Re: Southwest Power Pool, Inc., Docket No. ER11-4148-___ Submission of Amended Network Integration Transmission Service Agreement and Network Operating Agreement Dear Secretary Bose: Pursuant to section 205 of the Federal Power Act, 16 U.S.C. § 824d, and section 35.13 of the Federal Energy Regulatory Commission’s (“Commission”) regulations, 18 C.F.R. § 35.13, Southwest Power Pool, Inc. (“SPP”) amends its July 29, 2011 filing in this docket 1 and submits: (1) an executed, amended Service Agreement for Network Integration Transmission Service (“Service Agreement”) between SPP as Transmission Provider and Kansas Electric Power Cooperative, Inc. (“KEPCO”) as Network Customer (“KEPCO Service Agreement”); and (2) a Network Operating Agreement (“NOA”) between SPP as Transmission Provider, KEPCO as Network Customer, and Westar Energy, Inc. (“Westar”) as Host Transmission Owner (“KEPCO NOA”). 2 The KEPCO Agreements amend and replace the July 29 Agreements. Because the KEPCO Agreements have the same proposed effective date and are intended to replace and 1 See Submission of Network Integration Transmission Service Agreements of Southwest Power Pool, Inc., Docket No. ER11-4148-000 (July 29, 2011) (“July 29 Filing”). The agreements in the July 29 Filing are referred to collectively as the “July 29 Agreements” and individually as the “July 29 Service Agreement” and the “July 29 NOA.” 2 The KEPCO Service Agreement and KEPCO NOA are referred to collectively as the “KEPCO Agreements,” and SPP, KEPCO, and Westar are referred to collectively as “the Parties.” The KEPCO Agreements are designated as Third Revised Service Agreement No. 1636.
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KEPCO NITSA 1636R3 REVISED Transmittal Letter · 9/8/2011 · KEPCO, including the right to make any subsequent assignment in accordance with Section 7.0 of the KEPCO Service Agreement.
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Transcript
September 8, 2011
The Honorable Kimberly D. BoseSecretary Federal Energy Regulatory Commission 888 First Street NEWashington, DC 20426
Re: Southwest Power Pool, Inc., Docket No. ER11-4148-___Submission of Amended Network Integration Transmission Service Agreement and Network Operating Agreement
Dear Secretary Bose:
Pursuant to section 205 of the Federal Power Act, 16 U.S.C. § 824d, and section 35.13 of the Federal Energy Regulatory Commission’s (“Commission”) regulations, 18 C.F.R. § 35.13, Southwest Power Pool, Inc. (“SPP”) amends its July 29, 2011 filing in this docket1 and submits: (1) an executed, amended Service Agreement for Network Integration Transmission Service (“Service Agreement”) between SPP as Transmission Provider and Kansas Electric Power Cooperative, Inc. (“KEPCO”) as Network Customer (“KEPCO Service Agreement”); and (2) a Network Operating Agreement (“NOA”) between SPP as Transmission Provider, KEPCO as Network Customer, and Westar Energy, Inc. (“Westar”) as Host Transmission Owner (“KEPCO NOA”).2 The KEPCO Agreements amend and replace the July 29 Agreements. Because the KEPCO Agreements have the same proposed effective date and are intended to replace and
1 See Submission of Network Integration Transmission Service Agreements of
Southwest Power Pool, Inc., Docket No. ER11-4148-000 (July 29, 2011) (“July 29 Filing”). The agreements in the July 29 Filing are referred to collectively as the “July 29 Agreements” and individually as the “July 29 Service Agreement” and the “July 29 NOA.”
2 The KEPCO Service Agreement and KEPCO NOA are referred to collectively as the “KEPCO Agreements,” and SPP, KEPCO, and Westar are referred to collectively as “the Parties.” The KEPCO Agreements are designated as Third Revised Service Agreement No. 1636.
The Honorable Kimberly D. BoseSeptember 8, 2011Page 2
substitute for the July 29 Agreements, the Commission need not act on the July 29 Agreements, but rather only accept for filing the KEPCO Agreements.3
I. Background
On July 29, 2011, SPP filed with the Commission the July 29 Agreements, which contained terms and conditions that do not conform to the standard forms of service agreements in the SPP Open Access Transmission Tariff (“Tariff”).4 SPP requested and effective date of June 1, 2011, for the July 29 Agreements.5 The July 29 Filing is currently pending before the Commission.
Since the July 29 Filing, the Parties have revised the July 29 Service Agreements to add the following sentence in Section 8.6 of Attachment 1: “The composite loss percentages in Section 28.5 shall exclude transmission losses.” This additional language clarifies that only distribution losses (and not transmission losses) will be replaced in accordance with Westar’s Open Access Transmission Tariff, which is on file with the Commission. Except for this revision, the KEPCO Agreements are identical to the July 29 Agreements.
II. Description of and Justification for the Non-Conforming Language in the KEPCO Agreements
In addition to the change to Section 8.6 of Attachment 1 described above, like the July 29 Agreements, the KEPCO Service Agreement contains language that does not conform to the pro forma Agreements.6 Section 8.6 of Attachment 1 of the KEPCO Service Agreement also specifies that “[t]he Network Customer shall replace all distribution losses in accordance with Westar Energy's Open Access Transmission Tariff, Section 28.5, based upon the location of each delivery point meter located on distribution 3 For the same reasons as stated above, to the extent required, SPP moves to
withdraw the July 29 Filing. Withdrawal is permitted because no Commission or delegated order has been issued on the July 29 Agreements, and the July 29 Agreements have not become effective. See 18 C.F.R. § 35.17(a)(1) (“A public utility may withdraw in its entirety a rate schedule, tariff or service agreement filing that has not become effective and upon which no Commission or delegated order has been issued by filing a withdrawal motion with the Commission.”).
4 See Tariff at Attachment F (“pro forma Service Agreement”) and Attachment G (“pro forma NOA”), collectively “the pro forma Agreements.”
5 See July 29 Filing at 4.
6 The KEPCO NOA does not contain any non-conforming language and conforms to the pro forma NOA.
The Honorable Kimberly D. BoseSeptember 8, 2011Page 3
facilities.”7 Section 8.6 of Attachment 1 of the pro forma Service Agreement contains a fill-in-the-blank provision for Real Power Losses – Distribution. Here, Parties added language to specify that the distribution losses would be replaced in accordance with Westar’s Open Access Transmission Tariff, which is on file with the Commission. The added language is just and reasonable and will benefit the Parties because it clarifies that distribution (and not transmission losses) will be calculated in accordance with a Commission-accepted tariff.
Section 7.0 of the KEPCO Service Agreement contains additional language to provide that either KEPCO or SPP may, without the need for consent from the other, transfer or assign the KEPCO Service Agreement to any person succeeding to all or substantially all of the assets of the assigning party, provided that all required regulatory approvals for such transfer or assignment, including approval of the Rural Utilities Service (“RUS”) as to KEPCO are obtained. Moreover, both KEPCO and SPP acknowledge and agree that KEPCO has assigned and pledged as security the KEPCO Service Agreement and all of its rights hereunder to the RUS. KEPCO and SPP further acknowledge and agree that the RUS will have the right, upon written notice to SPP, to assume all obligations of KEPCO, whereupon the RUS will succeed to all rights of KEPCO, including the right to make any subsequent assignment in accordance with Section 7.0 of the KEPCO Service Agreement.
The additional language in Section 7.0 of the KEPCO Service Agreement clarifies that certain actions by the Parties are subject to applicable regulatory oversight, but such oversight does not infringe upon the Commission’s exclusive jurisdiction. Furthermore, given that KEPCO continues to be a RUS borrower, it is reasonable to require RUS approval prior to a transfer or assignment of KEPCO’s assets. In addition, a previous iteration of the KEPCO Service Agreement, which the Commission accepted, contains identical language in Section 7.0.8
Section 8.9 of Attachment 1 of the KEPCO Service Agreement contains language specifying that the cost support and monthly charges for Wholesale Distribution Service Charges are detailed in a new, non-conforming Appendix 4 to the KEPCO Service Agreement. The inclusion of the cost support and monthly charges for Wholesale Distribution Service in Appendix 4 is consistent with Schedule 10 of the SPP Tariff, which requires cost support when Service Agreements containing Wholesale Distribution Charges are filed with the Commission.9 The Commission accepted a previous iteration
7 See KEPCO Service Agreement at Attachment 1, § 8.6.
8 See Sw. Power Pool, Inc., Letter Order, Docket No. ER11-3073-000 (May 11, 2011) (“May Letter Order”).
9 See SPP Tariff at Schedule 10 (“All rates and charges for Wholesale Distribution Service shall be on file with the appropriate agency as required by law or
(continued . . . )
The Honorable Kimberly D. BoseSeptember 8, 2011Page 4
of the KEPCO Service Agreement, which included similar non-conforming language in Section 8.9 and Appendix 4, in the May Letter Order.10
Appendix 3 of the Fourth Revised KEPCO Service Agreement, which identifies the pertinent delivery points located on Westar’s distribution facilities, also contains non-conforming language. Specifically, the Parties have included additional information beyond the name, ownership, and voltage of the delivery point contemplated by the chart in Appendix 3 of the pro forma Service Agreement. The additional information, which includes the SPP bus name and number and the delivery point numbers, is necessary and benefits the Parties because it provides additional detail on the distribution losses for the delivery points. The Commission previously has accepted agreements submitted by SPP with similar language.11
For the reasons stated in this transmittal letter and the July 29 Filing, the Commission should accept the KEPCO Agreements filed herein.
III. Effective Date and Waiver
Consistent with the effective date requested in the July 29 Filing, SPP requests an effective date of June 1, 2011 for the KEPCO Agreements. To permit such an effective date, SPP requests a waiver of the Commission’s 60-day notice requirement set forth at 18 C.F.R. § 35.3. Waiver is appropriate because the Parties have agreed to this effective date. In addition, new delivery points in the KEPCO Service Agreement became effective on June 1, 2011, and waiver will allow the KEPCO Service Agreement to become effective on the same day as the delivery points. The Commission granted a similar waiver with regard to previous KEPCO Agreements, which were filed on March 14, 2011, to permit them to become effective on October 1, 2010.12 The Commission likewise should grant the requested waiver here.
( . . . continued)
regulation. To the extent that a Service Agreement containing provisions for Wholesale Distribution Service is required to be filed with the Commission, the Transmission Provider, in consultation with the appropriate Transmission Owner, shall provide along with the filing, adequate cost support to justify the customer-specific rates and charges being assessed under this Schedule 10.”).
10 See supra note 8.
11 See Sw. Power Pool, Inc., Letter Order, Docket No. ER10-1698-000 (Aug. 20, 2010); Sw. Power Pool, Inc., Letter Order, Docket No. ER10-1688-000 (Aug. 20, 2010).
12 See May Letter Order.
The Honorable Kimberly D. BoseSeptember 8, 2011Page 5
IV. Additional Information
A. Information Required by Section 35.13 of the Commission’sRegulations, 18 C.F.R. § 35.13:(1) Documents submitted with this filing:
In addition to this transmittal letter, SPP includes the following:
(i) A clean copy of the KEPCO Agreements; and
(ii) A redlined copy of the KEPCO Agreements.
(2) Effective Date:
As discussed herein, SPP respectfully requests that the Commission accept the KEPCO Agreements with an effective date of June 1, 2011.
(3) Service:
SPP is serving a copy of this filing on all parties to the service list in ER11-4148, and to representatives for KEPCO and Westar listed in the KEPCO Agreements.
The Honorable Kimberly D. BoseSeptember 8, 2011Page 6
(4) Basis of Rate:
All charges will be determined in accordance with the SPP Tariff and the KEPCO Agreements.
B. Communications:
Copies of this filing have been served upon all parties to the KEPCO Agreements. Any correspondence regarding this matter should be directed to:
Heather Starnes, J.D.Manager – Regulatory PolicySouthwest Power Pool, Inc.415 North McKinley, #140 Plaza WestLittle Rock, AR 72205Telephone: (501) 614-3380Fax: (501) [email protected]
Carrie L. BumgarnerTyler R. BrownWRIGHT & TALISMAN, P.C.1200 G Street, N.W., Suite 600Washington, DC 20005-3802Telephone: (202) 393-1200Fax: (202) [email protected]@wrightlaw.com
V. Conclusion
For all the foregoing reasons, SPP respectfully requests that the Commission accept the KEPCO Agreements with an effective date of June 1, 2011.
Respectfully submitted,
/s/Tyler R. Brown_______Carrie L. BumgarnerTyler R. Brown
I hereby certify that I have this day served the foregoing document upon each
person designated on the official service list compiled by the Secretary in these
proceedings.
Dated at Washington, DC, this 8th day of September, 2011.
Tyler R. BrownTyler R. Brown
Attorney for Southwest Power Pool, Inc.
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Southwest Power Pool, Inc. Third Revised Service Agreement No. 1636
SERVICE AGREEMENT FOR NETWORK INTEGRATION TRANSMISSION
SERVICE BETWEEN SOUTHWEST POWER POOL, INC. AND KANSAS
ELECTRIC POWER COOPERATIVE, INC.
This Network Integration Transmission Service Agreement ("Service Agreement") is
entered into this 1st day of June 2011, by and between Kansas Electric Power Cooperative, Inc.
("Network Customer" or “KEPCO”), and Southwest Power Pool, Inc. ("Transmission Provider").
The Network Customer and Transmission Provider shall be referred to individually as “Party”
and collectively as "Parties."
WHEREAS, the Transmission Provider has determined that the Network Customer has
made a valid request for Network Integration Transmission Service in accordance with the
Transmission Provider’s Open Access Transmission Tariff ("Tariff") filed with the Federal
Energy Regulatory Commission ("Commission") as it may from time to time be amended;
WHEREAS, the Transmission Provider administers Network Integration Transmission
Service for Transmission Owners within the SPP Region and acts as agent for the Transmission
Owners in providing service under the Tariff;
WHEREAS, the Network Customer has represented that it is an Eligible Customer under
the Tariff; and
WHEREAS, the Parties intend that capitalized terms used herein shall have the same
meaning as in the Tariff.
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein,
the Parties agree as follows:
1.0 The Transmission Provider agrees during the term of this Service Agreement, as it may
be amended from time to time, to provide Network Integration Transmission Service in
accordance with the Tariff to enable delivery of power and energy from the Network
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Customer’s Network Resources that the Network Customer has committed to meet its
load.
2.0 The Network Customer agrees to take and pay for Network Integration Transmission
Service in accordance with the provisions of Parts I, III and V of the Tariff and this
Service Agreement with attached specifications.
3.0 The terms and conditions of such Network Integration Transmission Service shall be
governed by the Tariff, as in effect at the time this Service Agreement is executed by the
Network Customer, or as the Tariff is thereafter amended or by its successor tariff, if any.
The Tariff, as it currently exists, or as it is hereafter amended, is incorporated in this
Service Agreement by reference. In the case of any conflict between this Service
Agreement and the Tariff, the Tariff shall control. The Network Customer has been
determined by the Transmission Provider to have a Completed Application for Network
Integration Transmission Service under the Tariff. The completed specifications are
based on the information provided in the Completed Application and are incorporated
herein and made a part hereof as Attachment 1.
4.0 Service under this Service Agreement shall commence on such date as it is permitted to
become effective by the Commission. This Service Agreement shall be effective through
June 1st, 2013. Thereafter, it will continue from year to year unless terminated by the
Network Customer or the Transmission Provider by giving the other one-year advance
written notice or by the mutual written consent of the Transmission Provider and
Network Customer. Upon termination, the Network Customer remains responsible for
any outstanding charges including all costs incurred and apportioned or assigned to the
Network Customer under this Service Agreement.
5.0 The Transmission Provider and Network Customer have executed a Network Operating
Agreement as required by the Tariff.
6.0 Any notice or request made to or by either Party regarding this Service Agreement shall
be made to the representative of the other Party as indicated below. Such representative
and address for notices or requests may be changed from time to time by notice by one
Party or the other.
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Southwest Power Pool, Inc. (Transmission Provider):
Carl Monroe
Executive Vice President and Chief Operating Officer
415 N. McKinley,140 Plaza West
Little Rock, AR 72205
Network Customer:
Mark Barbee
Vice President Engineering
Kansas Electric Power Cooperative Inc.
600 SW Corporate View
Topeka, KS 66615
7.0 This Service Agreement shall not be assigned by either Party without the prior written
consent of the other Party, which consent shall not be unreasonably withheld. However,
either Party may, without the need for consent from the other, transfer or assign this
Service Agreement to any person succeeding to all or substantially all of the assets of
such Party provided that all required regulatory approvals (if any), including approval of
the Rural Utilities Service (“RUS”) as to KEPCO, are obtained in connection with such
transfer or assignment. However, the assignee shall be bound by the terms and
conditions of this Service Agreement. The Parties acknowledge and agree that KEPCO
has assigned and pledged as security this Service Agreement and all of its rights
hereunder to RUS. The Parties further acknowledge and agree that RUS shall have the
right upon written notice to the Transmission Provider to assume all obligations of
KEPCO hereunder whereupon RUS shall succeed to all rights of KEPCO hereunder
(including the right to make any subsequent assignment in accordance with this section).
8.0 Nothing contained herein shall be construed as affecting in any way the Transmission
Provider’s or a Transmission Owner’s right to unilaterally make application to the
Federal Energy Regulatory Commission, or other regulatory agency having jurisdiction,
for any change in the Tariff or this Service Agreement under Section 205 of the Federal
4 1431666 & 74318195
Power Act, or other applicable statute, and any rules and regulations promulgated
thereunder; or the Network Customer's rights under the Federal Power Act and rules and
regulations promulgated thereunder.
9.0 By signing below, the Network Customer verifies that all information submitted to the
Transmission Provider to provide service under the Tariff is complete, valid and accurate,
and the Transmission Provider may rely upon such information to fulfill its
responsibilities under the Tariff.
IN WITNESS WHEREOF, the Parties have caused this Service Agreement to be
executed by their respective authorized officials.
TRANSMISSION PROVIDER NETWORK CUSTOMER
/s/ Carl Monroe /s/ Mark R. Barbee
Carl Monroe Mark BarbeeExecutive Vice President and Chief Vice President EngineeringOperating Officer Kansas Electric PowerSouthwest Power Pool, Inc. Cooperative, Inc.
7/28/2011 7/26/2011
Date Date
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ATTACHMENT 1 TO THE NETWORK INTEGRATION TRANSMISSION SERVICE
AGREEMENT
BETWEEN SOUTHWEST POWER POOL AND
SPECIFICATIONS FOR NETWORK INTEGRATION TRANSMISSION SERVICE
1.0 Network Resources
The Network Resources are listed in Appendix 1.
2.0 Network Loads
The Network Load consists of the bundled native load or its equivalent for Network
Customer load in the Westar Energy Control Area as listed in Appendix 3.
The Network Customer’s Network Load shall be measured on an hourly integrated basis,
by suitable metering equipment located at each connection and delivery point, and each
generating facility. The meter owner shall cause to be provided to the Transmission
Provider, Network Customer and applicable Transmission Owner, on a monthly basis
such data as required by Transmission Provider for billing. The Network Customer’s
load shall be adjusted, for settlement purposes, to include applicable Transmission Owner
transmission and distribution losses, as applicable, as specified in Sections 8.5 and 8.6,
respectively. For a Network Customer providing retail electric service pursuant to a state
retail access program, profiled demand data, based upon revenue quality non-IDR meters
may be substituted for hourly integrated demand data. Measurements taken and all
metering equipment shall be in accordance with the Transmission Provider’s standards
and practices for similarly determining the Transmission Provider’s load. The actual
hourly Network Loads, by delivery point, internal generation site and point where power
may flow to and from the Network Customer, with separate readings for each direction of
flow, shall be provided.
3.0 Affected Control Areas and Intervening Systems Providing Transmission Service
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The affected control area is Westar Energy. The intervening systems providing
transmission service are _____none____
4.0 Electrical Location of Initial Sources
See Appendix 1.
5.0 Electrical Location of the Ultimate Loads
The loads of Network Customer identified in Section 2.0 hereof as the Network Load are
electrically located within the Westar Energy Control Area.
6.0 Delivery Points
The delivery points are the interconnection points identified in Section 2.0 as the
Network Load.
7.0 Receipt Points
The Points of Receipt are listed in Appendix 2.
8.0 Compensation
Service under this Service Agreement may be subject to some combination of the charges
detailed below. The appropriate charges for individual transactions will be determined in
accordance with the terms and conditions of the Tariff.
8.1 Transmission Charge
Monthly Demand Charge per Section 34 and Part V of the Tariff.
8.2 System Impact and/or Facility Study Charge
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Studies may be required in the future to assess the need for system
reinforcements in light of the ten-year forecast data provided. Future charges, if
required, shall be in accordance with Section 32 of the Tariff.
8.3 Direct Assignment Facilities Charge
8.4 Ancillary Service Charges
8.4.1 The following Ancillary Services are required under this Service
Agreement.
a) Scheduling, System Control and Dispatch Service per Schedule 1 of the
Tariff.
b) Tariff Administration Service per Schedule 1-A of the Tariff.
c) Reactive Supply and Voltage Control from Generation Sources Service
per Schedule 2 of the Tariff.
d) Regulation and Frequency Response Service per Schedule 3 of the
Tariff.
e) Energy Imbalance Service per Schedule 4 of the Tariff.
f) Operating Reserve - Spinning Reserve Service per Schedule 5 of the
Tariff.
g) Operating Reserve - Supplemental Reserve Service per Schedule 6 of the
Tariff.
The Ancillary Services may be self-supplied by the Network Customer or
provided by a third party in accordance with Sections 8.4.2 through 8.4.4, with
the exception of the Ancillary Services for Schedules 1, 1-A, and 2, which must
be purchased from the Transmission Provider.
8.4.2 In accordance with the Tariff, when the Network Customer elects to self-
supply or have a third party provide Ancillary Services, the Network
Customer shall indicate the source for its Ancillary Services to be in
effect for the upcoming calendar year in its annual forecasts. If the
Network Customer fails to include this information with its annual
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forecasts, Ancillary Services will be purchased from the Transmission
Provider in accordance with the Tariff.
8.4.3 When the Network Customer elects to self-supply or have a third party
provide Ancillary Services and is unable to provide its Ancillary
Services, the Network Customer will pay the Transmission Provider for
such services and associated penalties in accordance with the Tariff as a
result of the failure of the Network Customer’s alternate sources for
required Ancillary Services.
8.4.4 All costs for the Network Customer to supply its own Ancillary Services
shall be the responsibility of the Network Customer.
8.5 Real Power Losses – Transmission
The Network Customer shall replace losses in accordance with Attachment M of
the Tariff.
8.6 Real Power Losses – Distribution
The Network Customer shall replace all distribution losses in accordance with
Westar Energy's Open Access Transmission Tariff, Section 28.5, based upon the
location of each delivery point meter located on distribution facilities. The
composite loss percentages in Section 28.5 shall exclude transmission
losses.
8.7 Power Factor Correction Charge
8.8 Redispatch Charge
Redispatch charges shall be in accordance with Section 33.3 of the Tariff.
8.9 Wholesale Distribution Service Charge
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The Wholesale Distribution Service charge cost support and monthly charge is
detailed in Appendix 4.
8.10 Network Upgrade Charges
A. The Network Customer has confirmed the following supplemental
Network Resources requiring Network Upgrades:
1. Iatan 2 Generating Station, 30MW from POR-KCPL, Source –Iatan2 to POD
– WR, Sink-KEPCO.WR, as more specifically identified in transmission
request 1090416. Contingent upon the completion of required upgrades as
specified below, designation of the resource shall be effective June 1, 2010
and shall remain effective through June 1, 2030.
The requested service requires completion of the following aggregate study
SPP-2006-AG2 allocated network upgrades. The costs of these upgrades are
allocated to the Network Customer but are fully base plan fundable in
accordance with Section III.A. Attachment J of the Tariff.
Network upgrades on the American Electric Power Coffeyville Tap –
Dearing 138kV Ckt 1 facility required by June 1, 2011. This upgrade
consists of rebuilding 1.09 miles of this facility with 1590 ACSR
conductor.
Network upgrades on the Westar Energy Coffeyville Tap – Dearing
138kV Ckt 1 facility required by June 1, 2011. This upgrade consists of
rebuilding 3.93 miles of this facility with 1590 ACSR conductor.
Network upgrades on the Westar Energy Rose Hill 345/138kV
Transformer required by June 1, 2011. This upgrade consists of adding a
third 345/138kV transformer at Rose Hill.
2. Wolf Creek, 3MW from POR – WR, Source – KEPCOWC to POD – WR,
Sink Kepco , as more specifically identified in transmission request 1405798.
Contingent upon the completion of required upgrades as specified below,
designation of this network resource shall be effective on May 1, 2011 and
remain effective through May 1, 2018.
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The requested service depends on and is contingent on completion of the
following Reliability and Construction Pending upgrades. These upgrades costs
are not assignable to the Network Customer.
Reliability and Construction Upgrades for Wolf Creek
Upgrade Name Upgrade Description Transmission Owner
Date Required in Service
EAST MANHATTAN - NW MANHATTAN 230/115KV
Tap the Concordia - East Manhattan 230kV line and add a new substation"NW Manhattan"; Add a 230kV/115kV transformer and tap the KSU - Wildcat 115kV line into NW Manhattan
WERE 6/1/2010
East Manhattan to McDowell 230 kV
The East Manhattan-McDowell 115 kV is built as a 230 kV line, but is operated at 115 kV. Substation work will have to be performed in order to convert this line.
WERE 6/1/2010
STILWELL - WEST GARDNER 345KV CKT 1
Upgrade Stilwell terminal equipment to 2000 amps
KACP 6/1/2012
BURLINGTON JUNCTION - WOLF CREEK 69KV CKT 1
Rebuild 4.1 miles with 954 kcmil ACSR (138kV/69kV Operation)
WERE 6/1/2011
B. Upon completion of construction of the assigned upgrades, funding of their costs
shall be reconciled and trued-up against actual construction costs and requisite,
additional funding or refund of excess funding shall be made between the
Transmission Provider and the Network Customer.
C. Notwithstanding the term provisions of Section 4.0 of this Service Agreement,
Customer shall be responsible for paying all charges specified as its obligation in
this Section 8.10 of this Attachment 1, for the term specified herein for each
assigned upgrade.
8.11 Meter Data Processing Charge
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8.12 Other Charges
9.0 Credit for Network Customer-Owned Transmission Facilities
10.0 Designation of Parties Subject to Reciprocal Service Obligation
11.0 Other Terms and Conditions
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APPENDIX 1
Network Resources of
Kansas Electric Power Cooperative, Inc.
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APPENDIX 1
NETWORK RESOURCES
NETWORK RESOURCE
Maximum Net Dependable Capacity (MW) LOCATION
Summer Winter
Confirmation Agreement for WholesalePurchase and Sale of Capacity & Energy between Westar Energy, Inc (“Westar”)and Kansas Electric Power Cooperative, Inc.(“KEPCO”) dated March 6, 2003.
101 101
This purchase power contract uses the Westar Energy (“Westar”) fleet of generation to serve delivery points as listed in Appendix 3. WR will supply KEPCO with sufficient Energy to meet the delivery points’ hourly Energy demand and to account for the appropriate transmission and distribution losses associated with Energy deliveries from the Westar generation busses to the points of delivery. Westar agrees to sell KEPCO sufficient Capacity to meet the peak demand and planning reserve capacity. Westar shall supply KEPCO with Ancillary Services 3, 4, 5, and 6.
Unit delivery from ownership agreement for Wolf Creek Nuclear Generation Station Unit #1 dated December 28, 1981
69 69 Coffey Co. Kansas 66MW of firm transmission rights through 5/1/2011 and then 69MW of firm transmission rights thereafter
Power Sales Contract dated January 10, 1995 between Southwestern Power Administration (SPA) and KEPCO for Hydro Peaking Power and associated energy
94 94
Points of delivery shall be at the 161kv points of interconnection between SPA and KEPCO in SPA Switching station at Neosho, Newton Co., Mo. and SPA’s substation at Carthage, Jasper Co, Mo.
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NETWORK RESOURCE
Maximum Net Dependable Capacity (MW) LOCATION
Summer Winter
Unit delivery from Sharpe Generation Station pursuant to the Operating Agreement between Wolf Creek Nuclear Operating Cooperation and KEPCO dated July 1, 2002.
19 19 Coffey Co, Kansas
Iatan Unit 2 and Common Facilities Ownership Agreement dated May 19, 2006
The lesser of 3.53% of Net Generating Capacity or
30MW
The lesser of 3.53% of Net Generating Capacity or
30MW
Platte Co., MO.
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Appendix 2
Receipt Points of
Kansas Electric Power Cooperative, Inc.
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APPENDIX 2
RECEIPT POINTS
Tieline / Plant Name Ownership Voltage (kV)
Rating (MVA)
Westar Energy Network Resource Interconnection points on the Westar Energy Transmission System Westar varies
Wolf Creek Westar (KGE) 345
SPA Hydro Peaking Power, Neosho and Carthage Westar, EMDE 161
(1)kV value where meter is physically located. (Location) = Meter located on Distribution. (Low Side) = Low Side of Transformer, (Bus) = Meter located on distribution bus after switch or voltage regulator, and (Circuit) = Meter located on distribution circuit.
32 1431666 & 74318195
(A) Deduct Meter: The deduct meter is a reduction to the KEPCo Delivery Point Meter in order to determine KEPCo Net Load.
(B)There is a proposed project to convert this delivery point to 138kV circuit 533009 in about 2012.
(C) Fostoria Deduct Meter is an offset to Fostoria DP. This meter measures Westar Energy’s load connected to Bluestem REC wires. Distribution Loss % equals 2.80% for Fostoria DP + 3.99% for use of Bluestem REC wires to Westar load, per agreement between parties.
(D) Herington Deduct Meter is an offset to Herington DP. This meter measures Westar Energy’s load connected to Flint Hill REC wires. Distribution Loss % equals 1.39% for Herington DP + 3.00% for use of Flint Hills REC wires to Westar load, per agreement between parties.
(E) Olpe & Reading Deduct Meters are offsets to Olpe and Reading DP, respectively. These meters measure Westar Energy’s load connected to Lyon-Coffey REC wires. Distribution Loss % is 5.00%, per agreement between parties.
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Appendix 4
Wholesale Distribution Service Charges
34 1431666 & 74318195
Appendix 4
FOR DELIVERY POINTS CONNECTED TO WESTAR ENERGY’S SYSTEM ONLY
Total KEPCo Wholesale Distribution Service Charge (Monthly) = $ 61,487.04 – Effective June 1, 2011(Details per REC on following pages)
replacement, checkouts, testing, calibration, removal, or relocation of equipment
required to accommodate service provided under this Operating Agreement.
13.0 Billing and Payments
Billing and Payments shall be in accordance with Section 7 of the Tariff.
14.0 Dispute Resolution
Any dispute among the Parties regarding this Operating Agreement shall be resolved
pursuant to Section 12 of the Tariff, or otherwise, as mutually agreed by the Parties.
15.0 Assignment
This Operating Agreement shall inure to the benefit of and be binding upon the Parties
and their respective successors and assigns, but shall not be assigned by any Party, except
61 1431666 & 74318195
to successors to all or substantially all of the electric properties and assets of such Party,
without the written consent of the other Parties. Such written consent shall not be
unreasonably withheld.
16.0 Choice of Law
The interpretation, enforcement, and performance of this Operating Agreement shall be
governed by the laws of the State of Arkansas, except laws and precedent of such
jurisdiction concerning choice of law shall not be applied, except to the extent governed
by the laws of the United States of America.
17.0 Entire Agreement
The Tariff and Service Agreement, as they are amended from time to time, are
incorporated herein and made a part hereof. To the extent that a conflict exists between
the terms of this Operating Agreement and the terms of the Tariff, the Tariff shall control.
18.0 Unilateral Changes and Modifications
Nothing contained in this Operating Agreement or any associated Service Agreement
shall be construed as affecting in any way the right of the Transmission Provider or a
Transmission Owner unilaterally to file with the Commission, or make application to the
Commission for, changes in rates, charges, classification of service, or any rule,
regulation, or agreement related thereto, under section 205 of the Federal Power Act and
pursuant to the Commission’s rules and regulations promulgated thereunder, or under
other applicable statutes or regulations.
Nothing contained in this Operating Agreement or any associated Service
Agreement shall be construed as affecting in any way the ability of any Network
Customer receiving Network Integration Transmission Service under the Tariff to
exercise any right under the Federal Power Act and pursuant to the Commission’s rules
and regulations promulgated thereunder; provided, however, that it is expressly
recognized that this Operating Agreement is necessary for the implementation of the
Tariff and Service Agreement. Therefore, no Party shall propose a change to this
62 1431666 & 74318195
Operating Agreement that is inconsistent with the rates, terms and conditions of the Tariff
and/or Service Agreement.
19.0 Term
This Operating Agreement shall become effective on the date assigned by the
Commission (“Effective Date”), and shall continue in effect until the Tariff or the
Network Customer’s Service Agreement is terminated, whichever shall occur first.
20.0 Notice
20.1 Any notice that may be given to or made upon any Party by any other Party under
any of the provisions of this Operating Agreement shall be in writing, unless
otherwise specifically provided herein, and shall be considered delivered when
the notice is personally delivered or deposited in the United States mail, certified
or registered postage prepaid, to the following:
[Transmission Provider]Southwest Power Pool, Inc.Carl MonroeExecutive Vice President and Chief Operating Officer415 North McKinley, #140 Plaza WestLittle Rock, AR 72205-3020501-614-3218 phone 501-664-9553 [email protected]
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter) (kV)
(1)
FLINT HILLS COOP
533340
ALTA VISTA 708 Westar 34.5
SMANHAT3 115
kV
533340
ALTA VISTA SOUTH 714 Westar
12.5
(Circuit)
SMANHAT3 115
kV
533309
COTTONWOOD
FALLS 701 Westar 34.5
WEMPORI3 115
kV
533305
COUNCIL GROVE
EAST 704 Westar
12.5
(Low Side)
MORRIS 3 115
kV
533305
COUNCIL GROVE
WEST 709 Westar
12.5
(Circuit)
MORRIS 3 115
kV
533369
DURHAM 710 Westar
12.5
(Low Side)
HILSBOR3 115
kV
533366
FLORENCE 707 Westar
12.5
(Circuit)
FLORENC3 115
kV
533369
GOESSEL 712 Westar
12.5
(Low Side)
HILSBOR3 115
kV
533887
HERINGTON 706 Westar
12.5
(Low Side) AEC W 1 34.5 kV
HERINGTON DEDUCT
(A) 706A Westar 12.5(D)
533369
HILLSBORO 703 Westar
12.5
(Low Side)
HILSBOR3 115
kV
533330
JUNCTION CITY 702 Westar 34.5 JCTCTY 3 115 kV
533369
LEHIGH 713 Westar
12.5
(Circuit)
HILSBOR3 115
kV
533366
MARION 711 Westar 12.5 (Bus)
FLORENC3 115
kV
533599
PEABODY 705 Westar
12.5
(Circuit)
PEABODY2 69
kV
26 1431666 & 74318195
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter)
(kV)
(1)
HEARTLAND COOP
532926
BAKER KSE02 Westar
12.5
(Circuit) BAKER 5 161 kV
532926
CHEROKEE KSE07 Westar
12.5
(Circuit) BAKER 5 161 kV
533651
CONGER KUN09 Westar
12.5
(Low Side) UN9CONG2 69 kV
533644
DEVON KSE04 Westar
12.5
(Low Side) SE4DEVO2 69 kV
533647
ELSMORE KUN01 Westar
12.5
(Low Side) UN1ELSM2 69 kV
533774
ENGLEVALE KSE05 Westar
12.5
(Circuit) SHEFFLD2 69 kV
533772
GREENBUSH KSE01 Westar
12.5
(Low Side) SE1GREE2 69 kV
533645
HIATTVILLE KSE09 Westar
12.5
(Low Side) SE9HIAT2 69 kV
533650
MAGELLAN KUN10 Westar 69 UN8HUMB2 69 kV
533758
MC CUNE KSE06 Westar
12.5
(Circuit) CRAWFOR2 69 kV
533649
ROSE KUN07 Westar
12.5
(Low Side) UN7ROSE2 69 kV
533621
SE HUMBOLDT KUN05 Westar
12.5
(Circuit) ALLEN 2 69 KV
533648
URBANA KUN06 Westar
12.5
(Low Side) UN6URBA2 69 kV
27 1431666 & 74318195
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter)
(kV)
(1)
LEAVENWORTH-JEFFERSON COOP
533164
HOYT 609 Westar
12.5
(Circuit) HTI 3 115 kV
533443
MAYETTA 605 Westar
12.5
(Circuit)
COLINE 1 34.5
kV
533259
NW LEAVENWORTH 601 Westar
12.5
(Low Side)
NW LEAV3 115
kV
533481
NORTONVILLE 607 Westar
12.5
(Circuit)
NORTONV2 69
kV
533219
OSKALOOSA 610 Westar 34.5
TONGATP3 115
kV
533458
ROCK CREEK 606 Westar
12.5
(Circuit)
ROCKCRK2 69
kV
533219
STRANGER 603 Westar 34.5
TONGATP3 115
kV
533219
TONGANOXIE 602 Westar 34.5
TONGATP3 115
kV
533483
VALLEY FALLS 604 Westar
12.5
(Circuit)
VALLEY2 2 69
kV
28 1431666 & 74318195
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage (Meter) (kV)
(1)
LYON-COFFEY COOP
533301
AMERICUS - T.
BIRD 1111 Westar 34.5
EAST ST3 115
kV
533628
BURLINGTON KCC01 Westar 12.5(Bus)
CC1BURL2 69
kV
533167
ESKRIDGE 1105 Westar
12.5
(Circuit)
KEENE 3 115
kV
533301
HARTFORD 1102 Westar
12.5
(Circuit)
EAST ST3 115
kV
533301
MELVERN / BETO
JUNCTION 1108 Westar
12.5
(Circuit)
EAST ST3 115
kV
533308
OLPE 1112 Westar 12.5 (Bus)
VAUGHN 3 115
kV
OLPE DEDUCT (A) 1112M Westar 12.5 (E)
533306
READING 1104 Westar
12.5
(Circuit)
READING3 115
kV
READING
DEDUCT (A) 706B Westar 12.5 (Bus)
533302
TORONTO 1004 Westar 12.5(Circuit)(Circuit)
EEUREKA3 115
kV
533631
VERNON KCC04 Westar 12.5(Bus)
CC4VERN2 69
kV
533308
VIRGIL 1003 Westar 12.5(Circuit)
VAUGHN 3 115
kV
533301
WAVERLY 1005 Westar 34.5
EAST ST3 115
kV
533309
WEST EMPORIA 1106 Westar
12.5
(Low Side)
WEMPORI3 115
kV
533630
WESTPHALIA KCC03 Westar 12.5(Bus)
CC3WEST2 69
kV
29 1431666 & 74318195
533310
WILLIAMS 1113 Westar
4.2
(Low Side)
WMBROS 3 115
kV
533653
WOLF CREEK KCC06 Westar
12.5
(Low Side)
WOLFCRK2 69
kV
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter)
(kV)
(1)
RADIANT COOP
533674
ALTOONA KRA02 Westar
12.5
(Circuit)
ALTOO W 2 69
kV
533707
BROOKS KRA06 Westar
12.5
(Low Side) RA6BROO2 69 kV
533708
CANEY KRA07 Westar
12.5
(Low Side) RA7CANY2 69 kV
533683
COFFEYVILLE KRA09 Westar
12.5
(Circuit) COFFSUB2 69 kV
533706
HIGH PRAIRIE KRA05 Westar 69 RA5HIPR2 69 kV
533698
INDEPENDENCE KRA03 Westar
12.5
(Circuit)
MONTGOM2 69
kV
533709
LOUISBURG KRA10 Westar
12.5
(Low Side) RA10LOU2 69 kV
533692
SEK PIPELINE KRA11A Westar 69 FREDON 2 69 kV
533705
STUDEBAKER KRA11B Westar
12.5
(Low Side) RA1FRED2 69 kV
ROLLING HILLS COOP
533376
NEW BEVERLY 2201 Westar
12.5
(Low Side) SALINA 3 115 kV
KEPCo SHARPE AUX
533629 SHARPE GEN
AUXILLARY AUX Westar
0.48
(Low Side) CC2SHAR2 69 kV
30 1431666 & 74318195
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter)
(kV)
(1)
SEDGWICK COOP
533872
ANDALE KSG04 Westar
12.5
(Low Side) SG4ANDL2 69 kV
533871
CHENEY KSG01 Westar
12.5
(Low Side) SG1CHEN2 69 kV
533785 CHENEY LAKE
OZONE PLANT KSG14 Westar
0.48
(Low Side) CHENEY 2 69 kV
533812
CLEARWATER KSG05 Westar
12.5
(Circuit) LIN 2 69 kV
533065
COLWICH KSG12 Westar 12.5 (Bus)
SG12COL4 138
kV
533873
CRAIG KSG08 Westar
12.5
(Low Side) SG8CRAG2 69 kV
533844
GARDEN PLAIN KSG02 Westar
12.5
(Circuit) SUNSET-2 69 kV
533736
HALSTEAD KSG03 Westar
12.5
(Circuit) HALSTED2 69 kV
533795
HAYSVILLE KSG13 Westar
12.5
(Circuit) GILL E 2 69 kV
533875
KOCH KSG11 Westar
2.4
(Low Side) SG11KOC2 69 kV
533874
ST MARKS KSG09 Westar
12.5
(Low Side) SG9STMK2 69 kV
533794
WATERLOO KSG07 Westar
12.5
(Circuit) GALE 2 69 kV
31 1431666 & 74318195
APPENDIX 3 – DELIVERY POINTS – Westar Energy System – Continues
(a) (b) (c) (d)
SPP Bus
Number / Name
Delivery Point Name Delivery
Point #
Ownership
(Meter)
Voltage
(Meter) (kV)
(1)
SUMNER-COWLEY COOP
533866
ANSON KSC09 Westar
12.5
(Low Side) SC9ANSN2 69 kV
533063
BELLE PLAINE KSC10 Westar
12.5
(Low Side) SC10BEL4 138 kV
533555
CRESWELL KSC07 Westar
12.5
(Low Side) SC7CRES2 69 kV
533549
GEUDA KSC02 Westar
12.5
(Circuit) RAINBOW2 69 kV
533551
KING KSC01 Westar
12.5
(Low Side) SC1KING2 69 kV
533552
MILLER KSC03 Westar
12.5
(Low Side) SC3MILL2 69 kV
532982
OXFORD KSC11 Westar 12.5(Bus) OXFORD 4 138 kV
533783
RIVERDALE KSC08 Westar
12.5
(Circuit) BELL 2 69 kV
533553
ROME KSC04 Westar 69 SC4ROME2 69 kV
533554
SILVERDALE KSC05 Westar 69 SC5SILV2 69 kV
TWIN VALLEY COOP
533008
MOUND VALLEY KTV01 Westar
13.2
(Low Side)
TV1MNDV4 138
kV
533005
NORTH PARSONS 802 Westar
13.2
(Circuit)
NEPARSN4 138
kV
533005
NORTHEAST
PARSONS 803 Westar
13.2
(Circuit)
NEPARSN4 138
kV
533695
OSWEGO 804 Westar
13.2
(Circuit) LABETTE2 69 kV
533671 SOUTH PARSONS
(B) 801 Westar
13.2
(Circuit) ALTAMNT2 69 kV
FOOTNOTES:
(1) kV value where meter is physically located. (Location) = Meter located on Distribution. (Low Side) = Low Side of Transformer, (Bus) = Meter located on distribution bus after switch or voltage regulator, and (Circuit) = Meter located on distribution circuit.
32 1431666 & 74318195
(A) Deduct Meter: The deduct meter is a reduction to the KEPCo Delivery Point Meter in order to determine KEPCo Net Load.
(B) There is a proposed project to convert this delivery point to 138kV circuit 533009 in about 2012.
(C)
Fostoria Deduct Meter is an offset to Fostoria DP. This meter measures Westar Energy’s load connected to Bluestem REC wires. Distribution Loss % equals 2.80% for Fostoria DP + 3.99% for use of Bluestem REC wires to Westar load, per agreement between parties.
(D)
Herington Deduct Meter is an offset to Herington DP. This meter measures Westar Energy’s load connected to Flint Hill REC wires. Distribution Loss % equals 1.39% for Herington DP + 3.00% for use of Flint Hills REC wires to Westar load, per agreement between parties.
(E)
Olpe & Reading Deduct Meters are offsets to Olpe and Reading DP, respectively. These meters measure Westar Energy’s load connected to Lyon-Coffey REC wires. Distribution Loss % is 5.00%, per agreement between parties.
33 1431666 & 74318195
Appendix 4
Wholesale Distribution Service Charges
34 1431666 & 74318195
Appendix 4
FOR DELIVERY POINTS CONNECTED TO WESTAR ENERGY’S SYSTEM ONLY
Total KEPCo Wholesale Distribution Service Charge (Monthly) = $ 61,487.04 – Effective June 1, 2011