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direct testimony of the capital expenditures, reliability, and - nyseg

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Case 09-E-____; Case 09-G-____ (NYSEG)DIRECT TESTIMONY OF THE CAPITAL EXPENDITURES,RELIABILITY, AND OPERATIONS PANEL12345678910111213141516171819202122Q. To <strong>the</strong> extent such interconnection is possible, what is <strong>the</strong> anticipated cost <strong>of</strong>connecting <strong>the</strong>se facilities to <strong>the</strong> utility distribution system?A. Interconnection <strong>of</strong> this amount <strong>of</strong> generation via <strong>the</strong> distribution system is notoptimal. To <strong>the</strong> extent we were to attempt to do so <strong>the</strong> estimated cost is $17.8million.Q. Is <strong>the</strong> Company proposing a lower cost <strong>and</strong> more reliable way to provideinterconnection <strong>of</strong> farm digesters to <strong>the</strong> power system?A. Yes. Utilizing a new Transmission Collection System for farm digester systemsis a superior alternative to interconnection to <strong>the</strong> distribution system.Q. What is <strong>the</strong> Transmission Collection System?A. The Transmission Collection System is a dedicated transmission system thatinterconnects generation <strong>and</strong> is very similar in concept to <strong>the</strong> collection systemsused by wind farms.Q. Are you proposing to build <strong>the</strong> Transmission Collection System?A. Yes, <strong>the</strong> Transmission Collection System will be a 34.5 kV system overbuild <strong>of</strong><strong>the</strong> existing distribution system that serves <strong>the</strong> load <strong>of</strong> <strong>the</strong>se farm operations.Q. Does this project support <strong>the</strong> goals <strong>of</strong> <strong>the</strong> draft State Energy Plan (<strong>the</strong> "Plan")?A. Yes. The Plan released for review <strong>and</strong> comment in August, 2009, includes anumber <strong>of</strong> policy objectives <strong>and</strong> recommendations aimed at improving energyefficiency, system <strong>reliability</strong>, <strong>and</strong> <strong>the</strong> development <strong>of</strong> renewable energy resources.As noted in Section 1.1, "[t]he Plan supports development <strong>of</strong> a Clean EnergyEconomy – one that uses energy efficiently, is increasingly powered by low-20

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