Transmission Benefit-Cost Analyses
We have unparalleled experience performing benefit-cost analyses of proposed transmission projects. We combine nodal market simulation modeling with other models to quantify transmission benefits not typically quantified.
Our toolset includes the most advanced nodal simulation model, Power System Optimizer® (PSO), but we have also extensively used PROMOD, GE-MAPS, and DAYZER when required as the convention in a particular market. We use these models to capture reductions in system production costs under current system conditions and potential future scenarios, savings under extreme or unexpected market conditions, reductions in losses, and various operational efficiencies.
We have developed unique frameworks and tools to evaluate a wide range of transmission benefits beyond those related to energy markets to include reliability and resource adequacy benefits, capacity cost savings, market competition and liquidity benefits, environmental and other public policy benefits, employment and economic development benefits, and other project-specific benefits such as storm hardening.
We have also prepared guides to transmission benefit-cost analyses that have been relied upon widely by the industry and policy makers to improve transmission planning for economic and public policy needs: (cite the following reports in this order)
- The Benefits of Electric Transmission: Identifying and Analyzing the Value of Investments
- Toward More Effective Transmission Planning: Addressing the Costs and Risks of an Insufficiently Flexible Electric Grid
- Well-Planned Electric Transmission Saves Customer Costs: Improved Transmission Planning is Key to the Transition to a Carbon-Constrained Future