IIG Meeting G Meeting

Transmission Development Transmission Development activities in the CEE Regionactivities in the CEE Region

in the scope ofin the scope of

Coordinated Transmission System Development WG and Coordinated Transmission System Development WG and UCTE Central East ForumUCTE Central East Forum

Svatopluk Vnoucek, CEPSSvatopluk Vnoucek, CEPSViennaVienna, , May 9th.200May 9th.20088

Challenges and problems facing Challenges and problems facing TSOsTSOs

CTSD WG/CE RF activitiesCTSD WG/CE RF activities Creation of Transmission Plan Creation of Transmission Plan

(TP)(TP) TP – methodology and main TP – methodology and main

outcomesoutcomes Other issues - plan for 2008Other issues - plan for 2008

Presentation OutlinePresentation Outline

EU ObjectivesEU Objectives

“…“…The promotion of the internal electricity The promotion of the internal electricity market as well as the preservation and market as well as the preservation and promotion of security of supply and the promotion of security of supply and the

establishment of an ecologically sustainable establishment of an ecologically sustainable energy supply, are part of the major energy supply, are part of the major

objectives of the European Community…”objectives of the European Community…”

Future of Power Industry - Future of Power Industry - TrendTrend

“…“…The electricity supply industry is The electricity supply industry is undergoing a profound transformation undergoing a profound transformation

worldwide. Market forces, scarcer worldwide. Market forces, scarcer natural sources, and an ever-increasing natural sources, and an ever-increasing

demand for electricity are some of demand for electricity are some of drivers responsible for such an drivers responsible for such an

unprecedented change…”unprecedented change…”

Increase in Power Trading with fast varying load Increase in Power Trading with fast varying load patterns is contributing to an increasing patterns is contributing to an increasing congestion and bottlenecks (Insufficient Transport congestion and bottlenecks (Insufficient Transport Capacity).Capacity).

The demand for a high reliability of power supply The demand for a high reliability of power supply and high power quality.and high power quality.

The dramatic global climate developments have The dramatic global climate developments have increased the demand of Clean Energy (RES).increased the demand of Clean Energy (RES).

Clogging of the available Transmission Capacity Clogging of the available Transmission Capacity caused by Unexpected and Unwanted Circulating caused by Unexpected and Unwanted Circulating Power Flows.Power Flows.

……Therefore the challenges to Therefore the challenges to TSOs:TSOs:

Transmission Developments of many TSOs are Transmission Developments of many TSOs are being thwarted by a variety of well-founded, being thwarted by a variety of well-founded, environmental, land-use, aesthetic considerations environmental, land-use, aesthetic considerations and regulatory pressures that prevent the and regulatory pressures that prevent the licensing and licensing and constructionconstruction of New Transmission of New Transmission LinesLines

Integration of European MarketIntegration of European Market Contradictory requirements - maximizing security and Contradictory requirements - maximizing security and minimizing the total cost minimizing the total cost A lot of uncertainties on the locations, on the A lot of uncertainties on the locations, on the amounts of future generation units and on the amounts of future generation units and on the associated transmission needsassociated transmission needs

……Problems: Problems: Against the later mentioned rapid Against the later mentioned rapid

evolutionevolution

……Goals remain unchangedGoals remain unchanged:: Sustainability of power supply must be providedSustainability of power supply must be provided The Electricity Network Developments of the The Electricity Network Developments of the

future must be Secure, Cost-effective and future must be Secure, Cost-effective and environmentally compatibleenvironmentally compatible

Coordinated Transmission Coordinated Transmission System Development Working System Development Working

GroupGroup Established on its April high level meeting Established on its April high level meeting

of 8 TSO, in 2006of 8 TSO, in 2006 CEPS, E-ON, ELES, MAVIR, PSE-Operator, CEPS, E-ON, ELES, MAVIR, PSE-Operator,

SEPS, VATTENFALL, APG VerbundSEPS, VATTENFALL, APG Verbund The mission of group was defined The mission of group was defined (according (according

to minutes from meeting)to minutes from meeting):: … … compile a list of already planned grid compile a list of already planned grid

enforcements and extensions in the region …enforcements and extensions in the region … … … build a platform for regular meetings of grid build a platform for regular meetings of grid

planning experts…planning experts…

BackgroundBackgroundBenefits and advantages of cooperation of TSOs could Benefits and advantages of cooperation of TSOs could

be clearer if the following points are considered:be clearer if the following points are considered: TS in CEE region are influencing substantially each other as is TS in CEE region are influencing substantially each other as is

given by existing meshed network and/or intensive given by existing meshed network and/or intensive

international market with energy.international market with energy. Current transmission system weak points are very often border Current transmission system weak points are very often border

profiles between TSOsprofiles between TSOs.. New transmission system installations have effect not just for New transmission system installations have effect not just for

particular TSO but also for adjacent ones.particular TSO but also for adjacent ones. Mutual exchange of information gives possibility to optimize Mutual exchange of information gives possibility to optimize

development plansdevelopment plans.. Transmission development activities (planning and preparing Transmission development activities (planning and preparing

investments) have long-term natureinvestments) have long-term nature..

Expectations:Expectations:

Through exchange of information within the Through exchange of information within the group the members will be informed of plans group the members will be informed of plans and progress of other TSOs.and progress of other TSOs. TheyThey w will have an opportunity to extract, ill have an opportunity to extract, adapt and learn those practices, adapt and learn those practices, methodology, structures, procedures and methodology, structures, procedures and approaches that are being used and have approaches that are being used and have proved to bring good results.proved to bring good results. Whenever possible a compilation of Whenever possible a compilation of technical issues for planning purposes from technical issues for planning purposes from TSO members in the group. TSO members in the group. Compilation of list of projects in CEE regionCompilation of list of projects in CEE region

Activities:Activities:

Creation of Terms of Reference.Creation of Terms of Reference. Creation of Internal Guidelines.Creation of Internal Guidelines. Review of common technical aspects Review of common technical aspects related to development planning, e.g. N-1 related to development planning, e.g. N-1 Criterion. Criterion. Presentation of experiences in the area of Presentation of experiences in the area of Development Planning from each TSO in the Development Planning from each TSO in the group.group. Additional role: Central East Regional ForumAdditional role: Central East Regional Forum In the frame of UCTE Working Group Coordinated Planning the WG In the frame of UCTE Working Group Coordinated Planning the WG CTSD acts and performs all activities subjected to Central-East regional CTSD acts and performs all activities subjected to Central-East regional forum. In this context WG CTSD prepared a CEE Transmission forum. In this context WG CTSD prepared a CEE Transmission Development plan. Final version of this CEE Transmission Development Development plan. Final version of this CEE Transmission Development Plan is available. Plan is available. WG held 7 meetings since its establishment.WG held 7 meetings since its establishment. Creation of CEE Transmission Development Creation of CEE Transmission Development Plan.Plan.

On Regional LevelOn Regional Level – 5 Regional Fora: Central – 5 Regional Fora: Central West, South West, Central South, Central East West, South West, Central South, Central East and South East..and South East..

Central East Regional ForumCentral East Regional Forum: : 7 countries and 8 7 countries and 8 TSOs were involved.TSOs were involved.

On UCTE LevelOn UCTE Level – contribution from UCTE – contribution from UCTE member states. 23 countries are involved.member states. 23 countries are involved.

Transmission Development Plan Transmission Development Plan (TP)(TP)

Organization - MapOrganization - Map

In September 2007 WG started creation of CEE In September 2007 WG started creation of CEE Transmission plan.Transmission plan.

Basic Basic input was detailed list of projects in CEE input was detailed list of projects in CEE region compiled in the first half of year 2007.region compiled in the first half of year 2007.

TP was created, discussed, commented, TP was created, discussed, commented, amended, corrected by members during amended, corrected by members during meetings and via e-mail.meetings and via e-mail.

CEE TP is completed and availableCEE TP is completed and available

At present UCTE Transmission plan is being set up At present UCTE Transmission plan is being set up from contributions of UCTE TSO membersfrom contributions of UCTE TSO members

Creation of CEE Transmission Creation of CEE Transmission PlanPlan

Creation of Transmission PlanCreation of Transmission Plan

Name Forename Company Country Vnoucek (Coordinator) Svatopluk CEPS CZ

Popelka Herbert Verbund-APG AT Hocevar Franko ELES SI

Boxberger Matthias E.ON Netz DE Kovacs Peter MAVIR HU

Kwiatkowski Mieczyslaw PSE-Operator PL Cabala Michal SEPS SK

Kranhold Michael VE Transmission DE

Kasembe (Secretary) Andrew CEPS CZ

Transmission planTransmission plan - methodology- methodology Methodology based on forecast depending Methodology based on forecast depending

on scenarios on scenarios Consumption growthConsumption growth Generation projectsGeneration projects Power exchangesPower exchanges

The adequacy of the TS dimensioning is The adequacy of the TS dimensioning is verified in normal and contingencies verified in normal and contingencies conditionsconditions

Strategies to reinforce the network are set Strategies to reinforce the network are set up in order to minimize: up in order to minimize:

Costs of generationCosts of generation RedispatchingRedispatching Unsupplied energyUnsupplied energy LossesLosses

Transmission planTransmission plan - structure- structure

IntroductionIntroduction PurposePurpose Context of the Transmission planContext of the Transmission plan Organization & ParticipantsOrganization & Participants Methodology & Data representativenessMethodology & Data representativeness

Description of CEE systemDescription of CEE system Present situation – consumption, generation, Present situation – consumption, generation,

energy, power balanceenergy, power balance Scenarios for each TSO – Scenarios for each TSO –

consumption/generationconsumption/generation Synthesis of consumption/generationSynthesis of consumption/generation

Transmission planTransmission plan - structure- structure

International interconnectionsInternational interconnections Present situation - interconnection lines, NTC, Present situation - interconnection lines, NTC,

historical exchanges, auction an market historical exchanges, auction an market couplingcoupling

National comments to market development National comments to market development and exchangesand exchanges

Development of interconnectionsDevelopment of interconnections Transmission network developmentTransmission network development

Individual TSO network developmentIndividual TSO network development Appendices – list of all projects in CEE region Appendices – list of all projects in CEE region Map of all projects in regionMap of all projects in region Individual TSO’s development mapsIndividual TSO’s development maps

Transmission planTransmission plan - examples- examples

<1% 3% 1% - 3% 3% > 3%

Figure 1: National Annual Energy Consumption Growth Rate

Transmission planTransmission plan - examples- examples

<0% 3% 0% - 3% 3% > 3%

Figure 1: National Net generating Capacity Growth Rate

Transmission planTransmission plan - examples- examples

Never 3% 4 % > 4%

Figure 4: National Numbers of Months with Limited Remaining Capacity w/o Exchanges

Transmission planTransmission plan - examples- examples

not applicable

Never≤ 25%

25% < … ≤ 50%

50% < … ≤ 75%

75% < … < 100%

Occurrence of congestion

100%

Transmission planTransmission plan - examples- examples

Transmission planTransmission plan - examples- examples

Transmission planTransmission plan - examples- examples

Transmission planTransmission plan - examples- examples

TAUERN

D

St. Peter

OBER-

SIELACH

Hessenberg

ERNSTHOFEN

WIEN

SÜDOST

Bisam-berg

Ternitz

Lienz

50 40 5 30 20 10 0 km

CZ

SK

H

SLO

I

CH

Westtirol

Zell amZiller

Bürs

Obermooweiler

MemmingenLeupolz

Kainachtal

Südburgenland

Dürnrohr

Meiningen

Pradella

Salzach

Pongau

Kaprun

PleintingPirach

Aschach

Wallsee

YbbsfeldHausruck

Pyhrn

Weißenbach

SoverzenePodlog

Maribor

Oststeiermark

Slavetice

Salzach-Neu

SarasdorfSattledt

Lienz

50 40 5 30 20 10 0 km

CZ

I

CH

Zell am Südburgenland

Dürnrohr

Hausruck

Maribor

Slavetice Sokolnice

GyörGyör

Neusiedl

Hauptstufe

Klaus

Etzersdorf

Kledering

220 kV – existing

380 kV – existing

380 kV planned extensions(No. 1, 52, 53, 54, 55)

380 kV optional extensions, idea / option (No. 15, 48)

Isar

Bratislava (Stupava)

Projects of Verbund-APG (Area of CTSD/RF Central East)

1

15

48

52

53

54

55

Transmission planTransmission plan - examples- examples

51

22

23

15

4

10

xx

12

13

xx

xx

xx

xx

11

xx

50

14

xx

projects up to 2012projects after 2012

internal projectsinterconn. projects

Transmission planTransmission plan - examples- examples

Transmission planTransmission plan – main – main outcomesoutcomes CEE TP CEE TP

TP for 8 TSO over the next 13 yearsTP for 8 TSO over the next 13 years 55 projects with effect on CEE TS 55 projects with effect on CEE TS Prepared in accordance with each individual Prepared in accordance with each individual

TSO TP in the CEETSO TP in the CEE TP complies with the requirements imposed to TP complies with the requirements imposed to

TSOs in accordance with Statutory Instrument TSOs in accordance with Statutory Instrument 445 (2000), EC (Internal Market in Electricity) 445 (2000), EC (Internal Market in Electricity) Regulations, 2000.Regulations, 2000.

Integration of European MarketIntegration of European Market Contradictory requirements - maximizing Contradictory requirements - maximizing

security and minimizing the total cost security and minimizing the total cost A lot of uncertainties on the locations, on the A lot of uncertainties on the locations, on the

amounts of future generation units and on the amounts of future generation units and on the associated transmission needsassociated transmission needs

Transmission planTransmission plan – main – main outcomesoutcomes CEE transmission development CEE transmission development

Prolongation of time required to commission Prolongation of time required to commission new grid equipmentsnew grid equipments

Difficult assessment of the future congestionsDifficult assessment of the future congestions Volatility Volatility of inputs – applications for of inputs – applications for

connection, energy exchanges, legislation connection, energy exchanges, legislation framework …framework …

Resulted in greater uncertainties of future TD Resulted in greater uncertainties of future TD and considerably increasing number of and considerably increasing number of scenariosscenarios TP & futureTP & future

First document that of the TD in the CE regionFirst document that of the TD in the CE region Based on the individual TP and TSOs bilateral Based on the individual TP and TSOs bilateral

studiesstudies Proposal – update every two years, future Proposal – update every two years, future

extension by regional study and analysis?extension by regional study and analysis?

Other issues - plan for 2008Other issues - plan for 2008 Acting as UCTE coordinated Acting as UCTE coordinated

development regional forumdevelopment regional forum Coordination of building the first planning Coordination of building the first planning

databasedatabase Following and commenting materials working Following and commenting materials working

out in UCTE WG – authorization procedures, out in UCTE WG – authorization procedures, priority projects selection, planning policy in priority projects selection, planning policy in UCTEUCTE Important projects and trends in Important projects and trends in

regionregion Information exchange, discussion and Information exchange, discussion and

analysis analysis Determination of side effects on the other Determination of side effects on the other

TSOsTSOs Coordination of developments plan in CEE Coordination of developments plan in CEE

regionregion

Experience sharing in the field of Experience sharing in the field of TDTD Market Market development and its influence on TS development and its influence on TS Grid planning procedures, planning Grid planning procedures, planning

approachesapproaches Legislation, coming changes of TS devel. due Legislation, coming changes of TS devel. due

to EUto EU

Thanks for your attention.