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Global Transmission Weekly Update on the Global Electricity Transmission Industry

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Global Transmission Weekly Update on the Global Electricity Transmission Industry September 03, 2012 Global Transmission Weekly Update on the global electricity transmission industry INSIDE THIS ISSUE NORTH AMERICA 2 PJM cancels PATH and MAPP projects 2 Rock Island Clean Line project faces opposition in Illinois 2 Opposition against Champlain-Hudson Power Express transmission line growing 2 Clean Line hosts public meetings for Grain Belt Express line 3 Entergy Arkansas files testimony with state PSC 3 Entergy proposal of shifting ICT services to MISO attracts strong opposition 3 MISO approves scaled down version of Bay Lake Project 3 Enbridge repays USD151 million federal loan 4 I-5 Corridor to cost USD12 million to tax payers 4 NWE and BPA announce transmission upgrades in Montana 4 CWL proposes third route option for Mill Creek substation transmission lines 4 TVA hosts public meeting for 161 kV line in Mississippi 5 MEC selects route for 69 kV transmission line 5 PPM files request with Texas PUC against high congestion cost 5 SDG&E’s ECO project receives approval from DoI 5 PAR Electrical bags high voltage contracts from SCE 5 ABB receives USD60 million HVDC contract from AEP 6 LATIN AMERICA 6 Brazilian bank extends BRL1 billion loan for HPP lines 6 Brazilian power utility to spend BRL700 million to link wind projects 6 Argentinean regulator to hold hearing for 500 kV Santa Fe project 7 Chilean power company submits environmental request for 220 kV project 7 Chilean solar company submits environmental declaration for 110 kV line 7 Mexican energy regulator formulates smart grid plan 7 Venezuelan power utility to auction 400 kV line in Bolivar 8 ASIA PACIFIC 8 Qingdao Hanhe Cable wins CNY234 million SGCC project 8 PGCIL plans aerial patrolling of transmission lines in India 8 Alstom T&D India wins EUR400 million PGCIL contract 8 Vietnam begins construction on 220 kV line in Bac Giang 8 Afghanistan launches tenders for 220 kV transmission line 9 EUROPE 9 National Grid and Statnett finalise plans for UK-Norway interconnector 9 French grid operator RTE seeks bids for 420 kV circuit breakers 9 Austrian TSO to invest EUR320 million to link wind farms 9 Austrian Power Grid awards 220 kV line works to Alstom 10 Svenska Kraftnat commissions 400 kV line in Sweden 10 Swedish TSO launches pre-qualification bids for 400 kV lines 10 Poland launches tenders for 400 kV transmission line 10 MIDDLE EAST AND AFRICA 10 Galfar Engineering wins USD24.7 million contract in Oman 10 Spanish SEMI wind high voltage contracts in Morocco 10 Liberia and World Bank sign West Africa Power Pool Pact 10 KETRACO launches tender for construction of Kenya-Uganda line 11 Infrastructure major Fedders Lloyd wins USD18.6 million contract in Nigeria 11 www.globaltransmission.info NORTH AMERICA from wind farms located in northwest Iowa and surrounding states, across the states of Iowa and Illinois, to a point 50 miles (80.5 km) south of PJM cancels PATH and MAPP projects Chicago. Here, it will interconnect with existing PJM Interconnection has cancelled the Mid-Atlantic transmission lines that feed power to markets in the Power Pathway (MAPP) and the Potomac eastern United States. Flora-based Southwire Appalachian Transmission Highline (PATH) Company has been awarded the contract to supply projects and has also removed them from its cable for the project. regional transmission plans. Earlier, on August 9, The company offered about USD7,000 per mile 2012, the regional transmission organisation (per 1.61 km) to the counties in Iowa during the recommended the cancelation of these projects due meeting. A similar offer was presented to Bureau to their inability to meet financial as well as County in June 2012, but so far none of the counties environmental standards, and due to the public have accepted or shown interest in accepting the policy of integration of renewable energy into offer. Illinois Farm Bureau has also suggested transmission project plans. passing the line along the Interstate 80 instead of PATH, proposed by American Electric Power farm land. However, the company was avoiding the (AEP) and Allegheny Energy, proposed a 244 mile Interstate stretch as it involves negotiating with (392 km) long, 765 kV power line from the John federal government. Amos substation near St. Albans, West Virginia, Even after two years of filing petitions with through Frederick, Clarke and Loudoun counties in Illinois Commerce Commission (ICC), the company Virginia to the proposed Kemptown substation in has not been able to finalise the route for the project. Frederick County, Maryland. The developers have It has therefore decided to withdraw its petition of already spent about USD225 million as early project becoming a public regulated utility and has instead expenses. Out of this, about USD95 million has been decided to file a new petition wherein it will received back by the developers from the PJM indicate the preferred and alternative routes of the ratepayers under a 12.4 per cent return on equity project. It will also notify the landowners regarding incentive awarded by the Federal Energy the same. Regulatory Commission (FERC) to the project. If the developers succeed in proving that the reasons Meanwhile, the representatives of Clean Line behind the abandonment of the line were all Energy have discussed their plans to implement the external, the rest of the amount of USD130 million project by 2017 with Cedar Rapids business leaders. can also be recovered through the incentive schemes. Opposition against Champlain-Hudson Power The MAPP project was proposed by Pepco Express transmission line growing Holdings Incorporated (PHI). It included a 500 kV transmission line from northern Virginia to Opposition against the construction of the proposed southern New Jersey. In August 2011, PJM USD1.9 million New York-Canada interconnection postponed the in-service date of the MAPP project or the Champlain-Hudson Power Express from 2015 to 2019-20, following which PHI transmission line is increasing due to its expected requested the Maryland Public Service Commission impact on green jobs in New York and its failure to (PSC) and Virginia State Corporation Commission provide the promised USD60 million annual cost (SCC) to temporarily delay the review for the saving to consumers. The recent list of opponents project. includes a group of 13 state legislators–12 Republicans and one Democrat. The project’s 333 mile (536 km), high voltage power line from Quebec Rock Island Clean Line project faces opposition in in Canada to Champlain Valley in New York City in Illinois the US will help carry around 1,000 MW of wind The residents of Mendota have opposed the USD1.7 and hydro power from southern Quebec to New billion Rock Island Clean Line project proposed by York City and Fairfield County. The project also Clean Line Energy at a recent public meeting held in includes a converter station and a 3-mile (4.83 km) Mendota, Illinois. The company is constructing a long high voltage alternating current (HVAC) cable 500 mile (805 km), 600 kV direct current circuit from the Astoria Annex to the Rainey transmission line to transfer electricity generated substation in Astoria, New York. Global Transmission Weekly | September 03, 2012 2 According to opponents, more transmission the company prefers MISO as it provides more lines need to be developed within the country to benefits. transmit the already available 37 GW unused power. The proposed line is expected to discourage Entergy proposal of shifting ICT services to MISO domestic investment in clean energy generation. attracts strong opposition The project is also facing opposition due to its Southwest Power Pool (SPP) is opposing Entergy non-availability to users along the route and as a Corporation’s proposal of shifting the independent result will not be available to capital district coordinator of transmission (ICT) functions to consumers. In their defense, the developers argued MISO, which were currently undertaken by SPP. As earlier that the proposed line would reduce the per Entergy, the transfer of ICT duties to MISO power price by USD650 million a year, but that the would not cause any reliability issues, and in fact project’s impact on reducing green jobs in the area is will offer several other benefits to the company. But, projected to outweigh this saving. SPP is insisting that it be allowed to continue performing ICT functions until Entergy joins MISO, Clean Line hosts public meetings for Grain Belt as Entergy’s membership to the latter is still to be Express line approved by the FERC. It is also compelling Entergy to join SPP as it shares strong interconnections with Clean Line Energy is hosting public meetings for the the Pool. Grain Belt Express Clean Line project to identify the possibility of providing opportunities to local The New Orleans City Council has also vendors in project construction works. The 700 mile requested the FERC to reject Entergy’s ICT proposal (1,127 km), 600 kV high voltage direct current as it may increase costs and reduce ICT (HVDC) transmission line, which is planned to run performance. Further, Energy is also facing from Ford County, Kansas to south of St. Louis, opposition from Dow Chemical Company which Missouri, while possibly passing Reno County, now relies on Entergy's transmission system to sell will also be extended to south of Terre Haute to excess power, whereas NRG Energy Incorporated Sullivan, Indiana. At Sullivan, the line would link has supported Entergy’s proposal. into existing high voltage transmission lines for further distribution to the east, such as to New MISO approves scaled down version of Bay Lake Jersey and Washington, D.C. The line will have the Project capacity to transfer 3,500 MW of electricity. MISO has approved the significant scaled down The company is looking for local businesses to version of the Bay Lake Project also known as the provide services related to transmission Morgan Green Bay Project, proposed by the construction, geotechnical engineering, surveys, American Transmission Company (ATC).
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