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22 Past Studies and Resource Diversity Western Renewable Energy Zones, a joint initiative of the Western Governor’s Association and the U.S. Department of Energy, Phase 1 June 2009 Western Wind and Solar Integration Study prepared for the National Renewable Energy Laboratory by GE Energy, May 2010 WECC EDT Phase 2 EIM Benefits Analysis and Results prepared for the Western Electricity Coordinating Council by Energy+Environmental Economics (E3), June 2011 Western Grid 2050 prepared for the Clean Energy Vision Project of the Western Grid Group by Aspen Environmental Group, August WECC 10-Year Regional Transmission Plan prepared for the Western Electricity Coordinating Council and the U.S. Department of Energy by the Transmission Expansion Planning Policy Committee, September 2011 None analyze specific benefits of diversity or “Resource Reciprocity”

33 Western Renewable Energy Zones Areas of highest renewable resource supply potential

44 Western Wind and Solar Integration Study Lower integration costs through balancing area cooperation

55 Western Wind and Solar Integration Study Variability DECREASES for increased renewable penetration WECC-Wide

66 TEPPC and Western Grid TEPPC only looked at one region at a time Western Grid looked at types of generation, but not specific locations

77 Eight Diverse Wind Regimes Average Output Standard Deviation Wyoming45%0.38 Montana36%0.31 Utah33%0.37 Colorado33%0.31 Washington28%0.30 Oregon24%0.31 California- Tehachapi38%0.33 California- Southern25%0.26 Composite33%0.19 Source: NREL dataset for 1 year

88 January Washington Oregon Tehatchapi Southern California Montana Wyoming Utah Colorado Composite equally weighted from the eight zones

99 Exports from All Regions ! If each region has resources equal to the amount that can be integrated locally plus an amount that can be accommodated by export capacity EIM enables efficient market and enhanced integration Reduced dispatch of non- renewables

10 Further Study Resource Optimization Solar Diversity Costs –Resource cost –Transmission Savings –Production cost –Integration savings Other benefits –Carbon reduction –Economic development

11 SWIP ON Line MSTI Gateway West B2H Appendix