Southwestern Power Administration
FY 2016 Operations and Maintenance: The decrease in the operations and maintenance subprogram reflects no additional funding required for the
Supervisory Control and Data Acquisition/Energy Management System (SCADA/EMS) and a reduction in the number and type of special purchase vehicles being replaced.
‐5,383
Construction: The increase in the construction subprogram reflects additional microwave radio and tower replacements, which was partially offset by a reduction in the projected cost of a new transformer.
+474
Purchase Power and Wheeling: The increase in the purchase power and wheeling subprogram reflects additional use of Southwestern’s authority for offsetting collections resulting from anticipated purchases in drought and below average water conditions. This increase will forestall the need to activate the continuing fund.
+10,000
Program Direction: The decrease in the program direction subprogram incorporates projected retirements and the time lag in recruitment of hard to fill positions.
‐416
Total, Southwestern, Operation and Maintenance +4,675
Southwestern Power Administration FY 2017 Congressional Budget Justification Service Area Map
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Southwestern Power Administration Operations and Maintenance Description
The activities of the Operations and Maintenance (O&M) subprogram are critical components in maintaining the reliability of the Federal power system, which is part of the Nation’s interconnected generation and transmission system. By marketing and delivering renewable hydroelectric energy, Southwestern makes a meaningful contribution of clean, safe, reliable, affordable, and secure renewable hydroelectric energy to our Nation. The Energy Policy Act (EPACT), the National Energy Policy (NEP), and the Department of Energy (DOE) policies reinforce the importance of renewable hydroelectric energy by emphasizing its significant contribution to the Nation’s past, current, and future energy supply and identifying Southwestern’s important role in meeting electricity demand by supplying cost‐based hydroelectric energy to its customers.
These laws and policies emphasize the need to repair, maintain, and improve the transmission and generation facilities to ensure reliability of the Nation’s energy infrastructure.
Southwestern’s planned O&M projects are subject to change due to by unanticipated equipment failure, customer needs, and weather conditions. The realities of maintaining a complex interconnected electric power system periodically require unforeseen reprioritizations of planned projects. All projects share the commonality of maintaining, repairing, and improving the aging infrastructure to ensure the reliability of the Federal power system.
Power Marketing
The Power Marketing activity funds technical and economic studies to support Southwestern’s transmission planning, water resources management, and communication functions. Technical and economic studies provide data to analyze and evaluate the impacts of proposed operational changes and decision‐making based on cost/benefit analysis. Funding is also required for Southwestern’s coordination with the RTOs and to provide regional power restoration assistance to other non‐
hydropower generation sources during electric power grid emergencies. The National Electric Transmission Congestion Study identified constraints in the Nation’s interconnected electrical grid which could impede power flows. Studies to identify any constraints on Southwestern’s system will continue to be conducted. These studies show how the marketing and delivery of power is operationally impacted. The funding level for this activity is derived from Southwestern’s engineering plan, negotiated architect/engineering contracts, and the number of studies required per year.
Operations
The Operations activity funds communication functions associated with the dispatch and delivery of power; environmental, safety, and health activities; and other transmission activity costs such as physical security, cybersecurity, and day‐to‐day power dispatch functions. The operations activity includes three subactivities:
Communications
This subactivity funds telemetering improvements, technical support to protect cyber infrastructure, an e‐tagging system that electronically schedules power for customers, load forecasting, digital test equipment, the radio
Southwestern Power Administration/
Operations and Maintenance FY 2017 Congressional Budget Justification
Environmental, Safety, and Health
This subactivity funds environmental activities including waste disposal/clean‐up of oil and polychlorinated biphenyl contaminates from old circuit breakers and transformers, grounding and drainage, cultural resource reviews, environmental assessments for threatened and endangered species. This subactivity also funds property transfers, wetland assessments, environmental library access, Toxic Substance Control Act and Resource
Conservation Recovery Act compliance, contractor services, and requirements of the Environmental Protection Program as identified in DOE Order 450.1. The Safety and Health Program activities require funding for aviation safety, industrial hygiene, medical examinations, medical officer, wellness program, safety equipment, and first aid supplies.
Other Transmission
This subactivity funds physical security, field utility costs, and day‐to‐day power expenses of the dispatch center.
Maintenance
The Maintenance activity funds routine repair, maintenance, and improvement of Southwestern’s substations/switchyards and high‐voltage transmission lines, and ensures delivery of reliable, efficient, and clean power to its customers.
Southwestern’s initial facilities, which were built approximately 60 years ago, are constantly evaluated. The funding level is based on analysis derived from age of equipment, risk of failure, life‐cycle of equipment, and field crew evaluation. Internal and external factors include obsolescence of technology and unavailability of replacement parts. This budget request reflects Southwestern’s assessment of the funding required to ensure continued reliability of the Federal power system and to fulfill the NERC operational criteria. By replacing aging equipment and removing constraints that impede power flows, Southwestern is meeting the expectations of the National Transmission Grid Study, the Administration’s initiative to provide energy efficiencies, and DOE’s Strategic Goal 1. The maintenance activity includes two subactivities:
Substation Maintenance
This subactivity funds power circuit breakers, disconnect switches, instrument transformers, protective relays and related equipment, computer aided drafting and design, revenue meters, vehicle maintenance, fuel, and other equipment to reliably perform general maintenance projects. Southwestern maintains the Federal power system in compliance with the regional electric reliability council and NERC requirements. The funding level for this subactivity is derived from an internal maintenance information system, which includes age and condition of the existing equipment.
Transmission Line Maintenance
This subactivity funds the purchase and maintenance of wood and steel structures, crossarms and braces, right‐of‐
way (ROW) clearing, herbicide application, aerial patrol of the transmission system to identify maintenance needs, routine vehicle repair and maintenance, tractors, equipment, and fuel. The number of steel or wood poles and crossarms and high‐voltage insulators replaced is derived from internal maintenance information system criteria.
Emphasis has been placed on ROW clearing since NERC identified improper/insufficient ROW clearing as a major factor in potential blackouts. The funding level is appropriate for the number of structures and components to be replaced and the miles of ROW to be cleared as set forth by Southwestern’s maintenance plan for meeting the goals of the EPACT, NEP, NERC, and DOE’s Strategic Plan to maintain a reliable transmission system.
Capitalized Moveable Equipment
This activity funds the replacement of vehicles, tractor‐trailers, and heavy equipment used for the maintenance and repair of the transmission system and facilities. These vehicles and equipment have exceeded their useful lives and require high levels of maintenance. The vehicle cost estimates are derived from General Services Administration (GSA) pricing schedules.
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