1. Oncor Transmission Service Provider Kenneth A. Donohoo Director – System Planning, Distribution and Transmission Oncor Electric Delivery Co LLC kenneth.donohoo@oncor.com ERCOT LTSA Meeting Austin, TX January 23, 2014 01/23/2014 1 Ken Donohoo - ERCOT LTSA Meeting

2. Texas' largest regulated transmission and distribution utility - 6 th largest in the U.S. Our 3,700 employees serve 10 million people - about a third of the state of Texas. Oncor: Who We Are 01/23/2014 2 Ken Donohoo - ERCOT LTSA Meeting

3. Oncor Advanced Technologies: Paving the Way for Reliable System Dynamic Line Rating allows utilities to bring the maximum amount of power safely over the wires. Oncor's grid dispatch organization has been using six regional weather forecasts for daily transmission line ratings and can move to hourly ratings of critical corridors (DOE support) Dynamic reactive devices (SVC or STATCOM) at station(s) quickly controls voltage under changing conditions, normal and contingency Syncophasor monitoring systems take very detailed measurements 30 times a second, rather than an average measurement every 3 to 4 seconds, and communicate these to operations centers (DOE support through smart grid demonstration grants) 01/23/2014 3 Ken Donohoo - ERCOT LTSA Meeting

4. OUR SYSTEM BY THE NUMBERS 7+ Million Texas Consumers 3+ Million Delivery Points to Homes and Businesses 24,000 MW Peak Delivered 6,300 Transmission Circuit Breakers 983 Stations 1,588 Power Transformers 172 Autotransformers 15,300 Miles of Transmission Lines 103,000 Miles of Distribution Lines 3,118 Distribution Feeders 01/23/2014 4 Ken Donohoo - ERCOT LTSA Meeting

5. OUR SYSTEM BY THE NUMBERS (continued) 428 Total Points of Interconnection 283 Rural Electric Cooperatives 140 Other Electric Utilities 5 Municipal Utilities 36,400 MW of Generation Interconnections 20,247 MW Gas 28 Plants, 113 units 9,451 MW Coal 7 Plants, 13 units 4,085 MW Wind 28 Plants, 2,620 units 2,407 MW Nuclear 70 MW Hydro 150 MW Wood 185 Generation Interconnection Requests Received 81,160 MW of Generation Represented 68 Interconnect Agreements Signed 01/23/2014 5 Ken Donohoo - ERCOT LTSA Meeting

6. CREZ & West Texas Improvements Facilitating Growth in Texas Texas’ population has grown 21 percent to more than 25 million over the last 10 years Energy Diversification Expanding generation sitting options to help the state meet growing energy demand CREZ lines are generation “agnostic” (i.e., not “wind- only”) Economic Benefits Reduce transmission congestion and increase grid reliability Generate more than $2 billion in state and local tax revenues Environmental Benefits Reduce greenhouse and ozone-causing emissions by more than 13 percent Save ~17 billion gallons of water each year 01/23/2014 6 Ken Donohoo - ERCOT LTSA Meeting

7. LONG TERM PLANNING CONCEPTS Customer Expectations/Interest/Communications Increasing Compliance and Oversight Increasing Generation Locating Away from Load Centers Renewable, Distributed Generation and Demand/Load Response Increasing System Inertia (Large Units) Lower (frequency control) System Strength Weaker (fault duty, short circuit ratio) Dynamic and Transient Stability Limiting Transfer Capability More Than Static Limits Oscillations and Control Interactions Increasing Concern Load and Peak Demand Projections Highly Variable Based Upon Many Factors System Operational Control and Coordination Very Complex 01/23/2014 7 Ken Donohoo - ERCOT LTSA Meeting

8. LONG TERM PLANNING CONCEPTS System Security and Flexibility Needed for Events Changing Conditions HILF Events, CIP and Physical Security Concerns Outages, Clearances and System Restoration Considered Changing Load Types (Lighting - Incandescent to CFL to LED) Models to Support Good Decisions Power Electronics Enabling Transmission Control/Redispatch (Voltage Source Converter) Increase Utilization of Existing System Redevelopment of Generation Sites 01/23/2014 8 Ken Donohoo - ERCOT LTSA Meeting

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