Western Area Power Administration Summer Status Arizona Corporation Commission Special Open Meeting May 17, 2000

2 Introduction Western is a federal power marketing agency within the Department of Energy Western markets over 10,600 MW of Federal hydropower generation and operates over 16,800 circuit miles of transmission in the western states How does Western fit into the Summer Peak 2000 discussion?

3 Arizona Status Western markets wholesale energy to electrical districts, municipalities, Indian Tribes, and federal facilities throughout Arizona In Arizona, the federal generating resources total about 730 MW Western’s transmission systems constitute 3,100 miles of the grid in Arizona Western markets transmission service to all of the other Arizona utilities

4 Load Requirements Western’s control area peak for 1999 was 3,150 MW (August) Expected control area peak for summer 2000 is 3,154 MW Capacity requirements are based on contractual commitments rather than load growth

5 Generation Status The U.S. Bureau of Reclamation projects: – a surplus water year – no flood releases –water releases based upon down stream orders No planned outages during summer months

6 Transmission Status All transmission is projected to be in service throughout the summer

7 Summary Western’s capacity requirements are based upon contractual commitments rather than load growth Western’s resources are limited by hydrology. Western’s policy is to be ready for summer capacity requirements.