U.S. Department of Energy Albuquerque Operations Office P.O. Box 5400 Texas & H Sts, Bldg 20388 KAFB East Albuquerque NM 87185-5400

S -- UTILITIES -- REQUEST FOR EXPRESSION OF INTEREST (EOI) -- SUPPLEMENTAL ELECTRIC TRANSMISSION TO THE DEPARTMENT OF ENERGY (DOE) LOS ALAMOS NATIONAL LABORATORY (LANL), LOS ALAMOS, NEW MEXICO DUE 081498 POC Point of Contact: Michael G. Loera (505) 845-4302. Contracting Officer: Michael G. Loera (505) 845-4302. WEB: Doing Business with DOE-AL, http://wwww.doeal.gov/cpd/default.htm. E-MAIL: Mike Loera, mloera@doeal.gov. The DOE AL is seeking an Expression Of Interest (EOI) from contractors who may wish to compete for award of a long-term contract to provide supplemental electric transmission service to the DOE's LANL, located in and adjacent to Los Alamos County, New Mexico. Existing electric transmission services, which will continue to remain in effect, are in part provided pursuant to contractual arrangements between AL and the U.S. DOE Western Area Power Administration (WAPA), and the Incorporated County of Los Alamos (County) and Public Service Company of New Mexico (PNM). These arrangements are under terms and conditions of tariffs approved by the Federal Energy Regulatory Commission (FERC). Under separate arrangements, Plains Electric Generation and Transmission Cooperative and two of its member distribution cooperatives provide transmission delivery of the output of two County hydroelectric projects. Also, DOE now owns load-area transmission facilities within and adjacent to LANL which interconnect with PNM's system and distribute power to LANL and LAC substations. LANL electric power usage is projected to increase by approximately 50 MW over the next four years to meet expanding Laboratory requirements. Upgrades to the Northeastern New Mexico transmission system (NNMTS) are also needed to meet these needs as well as to allow reduced reliance on local DOE-owned generation facilities at LANL. An opportunity exists for DOE to enter into an additional transmission agreement to correct deficiencies in the NNMTS and obtain additional transmission delivery capability to meet projected increases in the electric requirements of LANL. This EOI request is to provide the DOE with preliminary information on whether there are other qualified sources capable of meeting this ten-year requirement, estimated to commence in September, 2000, and includes a schedule of fixed rates and a monthly facilities charge for DOE's proportionate share of transmission rights to compensate the contractor for its project specific ownership, operating and maintenance costs, and may provide for subsequent renewals. DOE contemplates that the successful contractor will fund and own the added facilities that are required to meet DOE and other Northeastern New Mexico (NNM) needs. Prospective electric transmission providers must agree to furnish additional facilities as necessary to upgrade the capability of the network serving NNM to a level that will allow deliveries of up to 50 MW of supplemental supply to the DOE transmission system at Los Alamos. Although, supplemental energy supply arrangements are being separately pursued, additional transmission delivery capability into NNM is required between the WAPA System and/or alternative sources of competitive electric energy supply. (This EOI request does not pertain to a separate project for the construction of an additional transmission line between PNM's Norton Substation and the DOE owned transmission system at Los Alamos. DOE has determined that competition exists for these local Los Alamos area facilities and plans to issue a competitive solicitation in the near future for this separate project.) Prospective contractors are being asked to submit EOIs that (1) identify the prospective contractor (business name, business size (large/small/8a), point of contact, address and telephone number; (2) describe the prospective contractor's facilities or planned facilities and capabilities to provide the service for the ten-year term which is estimated to commence in September, 2000; (3) generally describe any delivery arrangements and/or new transmission facilities the prospective contractor contemplates; (4) the approximate date at which the prospective contractor could commence service, and (5) describe whether the service would be subject to the jurisdiction of the FERC. The DOE may set aside this requirement for small businesses based on responses received hereto. EOIs should be submitted to the Contracting Officer identified herein on or before August 14, 1998. Posted 07/15/98 (D-SN223951). (0196)

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