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Wind System Integration
The Utility Wind Interest Group (UWIG) gives an excellent introduction to this topic.

The (UWIG) is a non-profit corporation whose mission is to accelerate the appropriate integration of wind power into the electric system through the coordinated efforts and actions of its members, in collaboration with wind industry stakeholders, including federal agencies, trade associations, and industry research organizations.
"Wind power plants generate electricity when the wind is blowing, and the plant output depends substantially on the wind speed. Wind speeds cannot be predicted with high accuracy over daily periods, and the wind often fluctuates from minute to minute and hour to hour. Consequently, electric utility system planners and operators have been concerned that variations in wind-plant output may increase the operating costs of the system as a whole. This concern arises because the system must maintain an instantaneous balance at all times between the aggregate demand for electric power and the total power generated by all power plants feeding into the system. This is a highly sophisticated task that utility operators and automatic controls perform routinely - based on well-known operating characteristics for conventional power plants and a great deal of experience accumulated over many years. In general, the costs associated with maintaining this balance are referred to as ancillary-services costs.
System operators have been concerned that variations in wind-plant output will force the conventional power plants to provide compensating variations in order to maintain system balance, thus causing the conventional power plants to deviate from operating points that are chosen to minimize the total cost of operating the entire system. The operators' concerns are compounded by the fact that conventional power plants are generally under their control and thus are dispatchable, whereas wind plants are controlled instead by nature and not by them. Although these are valid concerns, it is important to understand that the key issue is not whether a system with a significant amount of wind capacity can be operated reliably, but rather to what extent are the system operating costs increased by the variability of the wind." - Excerpt from: Wind Power Impacts on Electric-Power-System Operating Costs Summary and Perspective on Work Done to Date
November 2003

A good primer on integration issues of wind with utility operations can be found in Ed DeMeo and Brian Parsons' presentation:
"Some Common Misconceptions About Wind Power"
 
"Grid Impacts of Wind Power: A Summary of Recent Studies
in the United States"

 
Oregon Wind Working Group
 
Renewable Energy
 
Wind Energy
 
Northwest Wind Integration Action Plan
 
BPA supports wind power for the Pacific Northwest 
 
National Wind Resource Assessment
 
National Wind Technology Center (NREL)
 
United States Department of Energy - Wind Energy Program
 
3TIER Environmental Forecast Group specializes in assessing and forecasting the availability of weather-driven renewable resources.
 

Utility Ownership of Wind Power: Why it makes sense now