I couldn't find any restrictions on using "where" to introduce a modifying phrase in the Sentence Correction book. It appears from question 101 in the Orange GMAT book that is must have some:
Answer E: "is a phenomenon where ocean and atmosphere..."
Explanation: "Where cannot correctly refer to phenomenon;...."
Obviously this isn't the only reason why choice E is incorrect, but I would like to when to use and not to use "where" in a modifying phrase.
Thanks,