Salt River Project

PO Box 52025

Phoenix, Arizona

85072-2025

March 1st, 2012

David Franklin

Chair, WECC Technical Studies Subcommittee

Southern California Edison

1 Innovation Way

Pomona, CA 91768

Mr. Enoch Davies

WECC Technical Staff

Western Electricity Coordinating Council

155 North 400 West, Suite 200

Salt Lake City, UT 84103

Subject: Salt River Project (SRP) 2012 Annual Progress Report

The following are the Salt River Project’s 2012 Annual Progress Report. The new facility additions and planned system operations are in conformance with NERC Standards and WECC System Performance Criteria.

1.  Pinal County 500kV Transmission Project

This project provides major support to SRP’s local transmission network and delivers bulk power from the Palo Verde/Hassayampa hub generation to the Central Arizona, Tucson area, and Southeast Phoenix Valley load. The preliminary technical study indicated the project can obtain an approximate total transfer capability (TTC) of 1,405 MW. The project consists of the following line segments:

(A) Hassayampa-Pinal West

The construction of this first line segment from Hassayampa to Pinal West was completed and has been in service since October 2008.

(B) Pinal West–Duke-Pinal Central-Abel-Browning

The planning transmission system configuration of the remaining segments is the same as last year’s except for the loop in of Duke receiving station. SRP is in the process of designing and acquiring right-of-way for the individual segments that comprise this transmission line project and constructing the project in segments. Pinal Central, Abel, and Duke Substations are envisioned as interconnection points for 500 kV and 230 kV transmission lines to bolster the EHV system and power delivery to local load serving entities in Pinal County. The estimated in-service date for the Pinal West to Duke to Pinal Central segment, the Pinal Central and Duke Substations is 2014. The Pinal Central to Abel to Browning segment was placed in service in the fall of 2010 at 230kV and will be energized at 500kV in 2014.

2.  Desert Basin- Pinal Central 230 kV Line

This 230 kV transmission project is projected to be in service in 2014. The project is envisioned to build approximately 23 miles of 230 kV line to connect the Desert Basin Power Plant and the Pinal Central Substation. This new 230 kV tie will eliminate the need for a Remedial Action Scheme (RAS) currently required in the event of a critical contingency outage at the Desert Basin Station. In addition, the line will provide SRP with increasing transmission capacity to supply load growth in the southeast valley.

3.  Randolph-Pinal Central 230 kV Line

This 230 kV transmission project is projected to be in service by 2014. The project is to be constructed to support a completed TransCanada Coolidge Generating Station.

4.  Schrader-Abel 230 kV Line

This 230 kV transmission project is projected to be in service by 2019.

5.  Kyrene 500/230kV Transformer

A third Kyrene 500/230kV transformer will be constructed and energized by May 2012. APS is participating with SRP on the transformer.

6.  Rudd 230/69kV Transformer

The first Rudd 230/69kV transformer will be constructed and energized by April 2018.

7.  Schrader 230/69kV Transformer

A second Schrader 230/69kV transformer will be constructed and energized by April 2014.

8.  Resolution Copper 230kV Line

This project is driven by customer load growth, approximate mileage is 14. This 230kV transmission project is scheduled to be in service by 2018.

9.  Abel 230kV Generation

Nine 91MW generating units are scheduled to be installed at Abel 230kV station. The first unit is scheduled to be in service by 5/2016, the second unit by 5/2018, the third and fourth units by 5/2019 and the rest of the units by 5/2020.

10.  Other Joint SRP/APS Projects

SRP and APS jointly plan to construct the following transmission facilities:

·  Palo Verde – Delany (Harquahala Junction) 500 kV Line (in-service date 2014)

·  Delany (Harquahala Junction)-Sun Valley (TS5) 500 kV Line (in-service date 2015)

·  Palo Verde-North Gila 500 kV Line (in-service date remains 2014)

·  Sun Valley (TS5)-Morgan (TS9) 500 kV Line (in-service date 2016)

11.  Other SRP 115 kV/230 kV/345 kV Transmission Projects

·  RS26, formerly Fountain Hills Station-115 kV, 230 kV or 345 kV from Stewart Mountain, Goldfield or APS’ Cholla-Pinnacle Peak 345 kV Line (in-service date moved beyond SRP’s 10 year plan)

·  Ball Loop-In (in-service date moved beyond SRP’s 10-year plan)

At this time, the in-service date for each of the following projects is not yet determined and is subject to further additional study work.

·  Browning-Thunderstone 230 kV Line

·  Browning-Corbell 230 kV Line

·  Silver King-Browning 230 kV Line

·  Silver King-Browning 230 kV/Superior Tie

·  Santa Rosa-CATSHV03 230 kV Line

·  Pinnacle Peak-Brandow 230 kV Line with a possible loop into Rogers or Thunderstone

·  Rogers–Santan 230 kV Line

·  Silver King-Knoll-Hayden 230 kV Line

·  Point on the Kearny-Hayden 115 kV Line to Hayden double circuit loop

·  Pinal Central-Abel-RS20 500kV line

If you have any questions regarding the above projects, please contact me at (602) 236-0968 or via e-mail at .

Sincerely,

John Hernandez

John Hernandez

SRP- TSS Representative

Contact Person:

John Hernandez

Salt River Project

P.O. Box 52025, Mail Station POB100

Phoenix, AZ 85072-2025

Tel: (602) 236-0968

Fax: (602) 236-3896

E-Mail:

CC:

B. K. Keel

SRP- PCC Representative