Dive Brief:
- Wind farms in the Texas Panhandle are already overwhelming the region's transmission lines, expanded just two years ago, and a new circuit is needed to allow more than 3,900 MW to flow into the state's dense population centers.
- The Electric Reliability Council of Texas (ERCOT) had previously studied the region's capacity and found the new transmission expansion was unnecessary, but that was before another 700 MW of wind power came online.
- In 2008, Texas regulators assigned almost $5 billion in Competitive Renewable Energy Zone transmission projects aimed at transferring more than 18,000 MW from West Texas and the panhandle to metropolitan areas.
Dive Insight:
EDF Renewable Energy told state regulators that "it is now time to add the second circuit" that was envisioned as part of the CREZ region's growth. EDF, which owns several wind farms in the region, said the upgrade "will enable the cost-effective transfer of 3,904 MW" and is "critical to help achieve the approved Panhandle transfer capability of 5,584 MW."
In 2008, the Public Utility Commission of Texas assigned almost $5 billion in CREZ transmission projects to be constructed by seven utilities, with a goal to ultimately move 18,456 MW of wind power from West Texas and the Panhandle to highly populated metropolitan areas of the state.
But the state's wind growth is outpacing transmission upgrades, and EDF says more capacity is needed to keep line curtailments under 2%.
The Stage 1 upgrade by itself, completed two years ago, "is actually insufficient because ... Panhandle wind generators are likely to face annual curtailment in excess of the 2% standard," EDF said. "The situation only promises to worsen as future Panhandle project development occurs."
ERCOT studied the Panhandle region, which is not a part of the grid it controls, and determined the expanded line was not needed yet. But that was before another 700 MW of wind projects came online in August and September. ERCOT said that generation would be included in its next assessment.
