AG1-473 Transition Sort Retool Results -- Reprioritized to Transition Cycle #1

In accordance with Tariff Part VII, Subpart B, section 304, PJM performed load flow analysis (Transition Sort Retool) on all AE1 through AG1 projects that have met eligibility requirements according to Tariff, Part VII, Subpart B, section 303. The purpose of this study is to determine whether a project would be classified as eligible for the Expedited Process (Fast Lane) or if it would be reprioritized to be studied as part of Transition Cycle #1 (TC1) using the criteria from the Expedited Process Eligibility section of Tariff Part VII, section 304. This is not a System Impact Study report.

Below are the results of the study, details of how the study was performed, criterion used in the evaluation of the Expedited Process vs. TC1 determination, and next steps in the interconnection process for your project.

Transition Cycle #1:

The AG1-473 project has not met the Expedited Process Eligibility requirements in Tariff Part VII, Subpart B, section 304 and will therefore be reprioritized to Transition Cycle #1. Please see "Transition Cycle #1 Rules" below.

Transition Sort Retool Study Process and Criteria:

In order to determine Expedited Process vs. Transition Cycle #1 classification, projects which met the Transition Eligibility requirements from Tariff Part VII, Subpart B, section 303 were studied on the base case model that was used for the original System Impact Study analysis. Both a summer peak and light load load flow analysis were performed. Projects that have cost allocation eligibility or are identified as the first to cause a system violation which requires the need for a Network Upgrade with a total estimated cost greater than $5 million will be reprioritized to Transition Cycle #1. All other projects will be eligible for the expedited procedures set forth in Tariff Part VII, Subpart B, section 304 (B).

Not considered in the Transition Sorting: The cost of the Interconnection Facilities is not considered when determining a project's eligibility for the expedited process. Affected Systems upgrade costs are also not considered in the evaluation.

Transition Sort Retool Results Provided:

This report includes a list of:

1. the overloaded flowgates (overloaded facilities + contingency pair) that the project contributes towards
2. other interconnection projects that may also contribute to the overloaded facility, and
3. the total estimated cost for any required Network Upgrades.

Important Notes:

Note for Uprate Projects: Per Tariff Part VII, Subpart B, section 304 (B), if a project is an uprate (project relies on the Interconnection Facilities of a prior project) whose base project does not qualify for the expedited process, the uprate also will not qualify for the expedited process, regardless of analysis results.

Notes regarding Results displayed:

1. Some flowgate overloads that a New Service Request contributes to, but does not contribute enough to meet cost allocation eligibility (per Manual 14A, Attachment B.3), may be reported in this Transition Sort report. These types of flowgates do not affect the classification of the New Service Request as either Expedited Process or Transition Cycle #1 because cost allocation eligibility has not been met.
2. For projects that were determined to not meet Expedited Process eligibility and are being reprioritized to Transition Cycle #1, not all reinforcements in excess of $5,000,000 may be shown in this report. This report may only display a subset of those reinforcements determined to be in excess of $5,000,000 which would classify the project as not meeting Expedited Process Eligibility. This is not a formal System Impact Study.

Next Steps for your project:

Transition Cycle #1 Rules:

Refer to Tariff Part VII, Subpart B, section 304 (C) for the Transition Cycle #1 Project Rules.

Transition Cycle #1 will start no later than one year from the Transition Start Date (July 10, 2023). Transition Cycle #1 will run simultaneously with the expedited process, however Transition Cycle #1, Phase III will not begin until all expedited process projects have been completed.

Projects that are reprioritized to Transition Cycle #1 will not need to re-apply to the Interconnection Cycle Process. Therefore, there is no Application Review Phase for Transition Cycle #1. The cycle process for Transition Cycle #1 includes three Study Phases and three Decision Points:

1. Phase I System Impact Study and Decision Point I; and
2. Phase II System Impact Study and Decision Point II; and
3. Phase III System Impact Study and Decision Point III

Refer to Tariff Part VII, Subpart D, section 307 for the Transition Cycle #1 study process.

The Interconnection Customer (IC), has proposed a Solar; Storage generating facility located in the PENELEC zone — Huntingdon County, Pennsylvania. The installed facilities will have a total capability of 53.9 MW with 32.34 MW of this output being recognized by PJM as Capacity.

The interconnection of AG1-473 will be accomplished by constructing a new 230 kV three breaker ring bus substation and looping the Lewistown - Shingletown 230 kV line into the new station. The new substation will be located approximately 13.9 miles from Lewistown Substation. The IC will be responsible for acquiring all easements, properties, and permits that may be required to construct both the new interconnection switching station and the associated facilities. The IC will also be responsible for the rough grade of the property and an access road to the proposed three-breaker ring bus site. The project will also require upgrades at Lewistown Substation and Shingletown Substation.