Chapter 2.4: MTEP Project Types and Appendix Overview

Chapter 2.4: MTEP Project Types and Appendix Overview

MTEP Appendices A and B contain the universe of projects vetted by MISO through the planning process. The appendices in the final MTEP report indicate the status of a given project in the MTEP review process. Appendix A contains projects approved by the MISO Board of Directors, thereby creating a good-faith obligation for the Transmission Owner to build it. Appendix B lists projects with a documented need and anticipated effectiveness, but are not ready for execution. A move from Appendix B to Appendix A is the most common progression through the appendices, but projects may remain in Appendix B for a number of planning cycles.

Appendix A contains projects approved by the MISO Board of Directors, thereby creating a good-faith obligation for the Transmission Owner to build it

Appendix A includes projects from prior MTEPs that are not yet in service, as well as new projects recommended to the MISO Board of Directors for approval in this cycle. The newest projects are indicated as “A in MTEP15” in the “Target Appendix” field of the Appendix A spreadsheet.

There are three distinct categories of transmission projects:

  • Bottom-Up Projects
  • Top-Down Projects
  • Externally Driven Projects

The specific types of transmission projects include:

  • Other Projects
  • Baseline Reliability Projects
  • Market Efficiency Projects
  • Multi-Value Projects
  • Generation Interconnection Projects
  • Transmission Delivery Service Projects
  • Market Participant Funded Projects

Specific transmission project types align to their parent transmission project categories (Table 2.4-1).

Bottom-Up Projects Top-Down Projects Externally Driven Projects
Other Projects X
Baseline Reliability Projects X
Market Efficiency Projects X
Multi-Value Projects X
Generation Interconnection Projects X
Transmission Delivery Service Projects X
Market Participant Funded Projects X

Table 2.4-1 Transmission Project Type-To-Category Mapping

Bottom-Up Projects

Bottom-up projects include transmission projects classified as Other projects and Baseline Reliability Projects, are not cost shared and are generally developed by Transmission Owners. MISO will evaluate all bottom-up projects submitted by Transmission Owners and validate that the projects represent prudent solutions to one or more identified transmission issues.

  • Baseline Reliability Projects (BRP) are required to meet North American Electric Reliability Corp. (NERC) standards. Costs for Baseline Reliability Projects approved in MTEP cycles prior to 2013 may be shared if the voltage level and project cost meet the thresholds designated in the Tariff. Since MTEP13, Baseline Reliability Projects are no longer cost shared.
  • Other projects address a wide range of project drivers and system needs. Some of these drivers may include local reliability needs, economic benefits and/or public policy initiatives or projects that are not a part of the bulk electric system under MISO functional control. Because of this variety, Other projects generally get classified in one of the following sub-types: Clearance, Condition, Distribution, Local Economic, Local Multiple Benefit, Metering, Operational, Performance, Reconfiguration, Relay, Reliability, Relocation, Replacement and Retirement.

Top-Down Projects

Top-down projects include transmission projects classified as Market Efficiency Projects and Multi-Value Projects. Regional or sub-regional top-down projects are developed by MISO working in conjunction with stakeholders to address regional economic and/or public policy transmission issues. Interregional top-down projects are developed by MISO and one or more additional planning regions in conjunction with stakeholders to address interregional transmission issues. Interregional projects are cost shared per provisions in the Joint Operating Agreement and/or MISO tariff, first between MISO and the other planning regions, then within MISO based on provisions in Attachment FF of the MISO tariff.

  • Multi-Value Projects (MVP) meet Attachment FF requirements to provide regional public policy, economic and/or reliability benefits. Costs are shared with loads and export transactions in proportion to metered MWh consumption or export schedules.
  • Market Efficiency Projects (MEP), formerly referred to as regionally beneficial projects, meet Attachment FF requirements for reduction in market congestion. MEPs are shared based on benefit-to-cost ratio, cost and voltage thresholds.

Externally Driven Projects

Externally driven projects are projects driven by needs identified through customer-initiated processes under the Tariff. Externally driven projects are Generation Interconnection Projects, Transmission Delivery Service Projects and Market Participant Funded Projects.

  • Generation Interconnection Projects (GIP) are upgrades that ensure the reliability of the system when new generators interconnect. The customer may share the costs of network upgrades if a contract for the purchase of capacity or energy is in place, or if the generator is designated as a network resource. Not all network upgrades associated with GIPs are eligible for cost sharing between pricing zones.
  • Transmission Delivery Service Project (TDSP) projects are required to satisfy a transmission service request. The costs are generally assigned to the requestor.
  • Market Participant Funded Projects represent transmission projects that provide benefits to one or more market participants but do not qualify as Baseline Reliability Projects, Market Efficiency Projects or Multi-Value Projects. These projects are not cost shared through the MISO tariff. Their construction is assigned to the applicable Transmission Owner(s) in accordance with Appendix B of the Transmission Owners Agreement upon execution of the applicable agreement(s).

MTEP Appendix A

MTEP Appendix A contains transmission expansion plan projects recommended by MISO staff and approved by the MISO Board of Directors for implementation by Transmission Owners.[1]

Projects in Appendix A have a variety of drivers. Many are required for maintaining system reliability in accordance with NERC Planning Standards. Others may be required for Generation Interconnection or Transmission Service. Some projects may be required for Regional Reliability Organization standards. Other projects may be required to provide distribution interconnections for load-serving entities. Appendix A projects may be required for economic reasons, to reduce market congestion or losses in a particular area. They may also decrease resource adequacy requirements through reduced losses during system peak or reduced planning reserve needs. Projects may be necessary to enable public policy requirements, such as current state renewable portfolio standards or Environmental Protection Agency standards. All projects in Appendix A address one or more MISO-documented transmission needs. Projects in Appendix A may be eligible for regional cost sharing per provisions in Attachment FF of the Tariff.

Projects must go through a specific process to move into Appendix A. MISO staff must:

  • Review the projects via an open stakeholder process at Subregional Planning Meetings
  • Validate that the project addresses one or more transmission needs
  • Consider and review alternatives
  • Consider and review planning-level costs
  • Endorse the project
  • Verify whether the project is qualified for cost sharing as a Generation Interconnection Project, Market Efficiency Project or Multi-Value Project per provisions of Attachment FF or if it will be participant-funded
  • Hold a stakeholder meeting to review a project or group of projects in which costs can be shared, or other major projects for zones where 100 percent of costs are recovered under the Tariff
  • Take the new project to the Board of Directors for approval. Projects may move to Appendix A following a presentation at any regularly scheduled board meeting

The MTEP Active Project List is periodically updated and posted as projects go through the MTEP process and are approved. Projects generally move to Appendix A in conjunction with the annual approval of the MTEP report. In addition to the regular annual approval process, under specific circumstances, recommended projects need not wait for completion of the next MTEP for Board of Directors approval and inclusion in Appendix A, but can go through an expedited out-of-cycle approval process.

MTEP Appendix B

Projects in Appendix B have been validated by MISO as a potential solution to address a documented transmission issue, but are deferred to a future MTEP cycle for final recommendation. Appendix B may contain multiple solutions to a common set of transmission issues. Projects in Appendix B are not yet recommended or approved by MISO, so they are not evaluated for cost sharing. Any designation of project type (Baseline Reliability Projects, Market Efficiency Projects or Multi-Value Projects) for projects in Appendix B is preliminary. Thus, while some projects may eventually become eligible for cost-sharing, the target date does not require a final recommendation for the current MTEP cycle. The project will likely be held in Appendix B until the review process is complete and the project is moved to Appendix A.


[1] Projects with a Target Appendix A in the current MTEP cycle are not officially placed into Appendix A until Board of Directors approval in December of the cycle year.