 | 8/27/2009 | ITC & NorthWestern Sign Green Power Express Agreement |
ITC Holdings Corp. and NorthWestern Energy have signed an expression of interest to collaborate on the development of ITC's seven-state Green Power Express transmission project.
It will ultimately include approximately 3,000 miles of extra high-voltage 765-kV transmission and will connect with existing 765-kV lines in Illinois and Indiana.
The NorthWestern partnership is one of several ITC anticipates signing in support of the 3,000 mile, 765-kilovolt (kV) electrical system — a system expected to facilitate the flow of up to 12,000 megawatts (MW) of renewable energy from the upper Midwest to load centers in central Midwest and mid-Atlantic regions of the country.
“We welcome NorthWestern’s interest and participation in Green Power Express and see this agreement as another important milestone in our effort to bring this project to fruition,” said Edward Rahill, president of ITC Grid Development LLC. “It is clear that this project is gathering steam and will play an important role in supporting the development of reliable renewable energy in the country. ITC looks forward to building a partnership with Northwestern, MDU and all utilities in the region to make the Green Power Express a reality.”
Under the terms of the agreement, NorthWestern, headquartered in Sioux Falls, South Dakota, has expressed its interest in exploring opportunities in Green Power Express LP. NorthWestern will collaborate with ITC on development efforts and securing the approvals needed to move the project forward. Green Power Express LP, will operate as an independent transmission company.
The Green Power Express transmission network project will provide grid access for many of the highest efficiency wind-farms in the upper Midwest and traverse portions of North Dakota, South Dakota, Minnesota, Iowa, Wisconsin, Illinois and Indiana.
It will ultimately include close to 3,000 miles of extra high-voltage 765-kV transmission and will connect with existing 765-kV lines in Illinois and Indiana. The project will facilitate the flow of up to 12,000 MW of renewable, mostly wind, energy to the Midwest and mid-Atlantic regions of the United States. It is currently estimated to cost approximately $10-12 billion.
According to a study by CRA International, efficient movement of up to 12,000 MW of transfer capacity for wind power and the connectivity of over 20,000 MW through the Green Power Express project would result in a reduction of up to 34 million metric tons in carbon emissions, which is equivalent to the annual emissions of about seven to nine 600 MW coal plants, or nine to 11 million automobiles.
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| 7/8/2009 | ITC Signs First Green Power Express Agreement With MDU Resources |
In the first of several anticipated strategic alliances, ITC Holdings Corp. has entered into an agreement with MDU Resources Group, Inc. to participate in ITC's Green Power Express transmission project. The agreement represents another important milestone in ITC's efforts to bring the Green Power Express project to fruition.
The Green Power Express transmission network project will provide grid access for many of the highest efficiency wind-farms in the upper Midwest and traverse portions of North Dakota, South Dakota, Minnesota, Iowa, Wisconsin, Illinois and Indiana. It will ultimately include approximately 3,000 miles of extra high-voltage 765 kV transmission and will connect with existing 765 kV lines in Illinois and Indiana. The project will facilitate the flow of up to 12,000 MW of renewable power to the Midwest and mid-Atlantic regions of the United States. It is currently estimated to cost approximately $10 to 12 billion.
Under the terms of the agreement, MDU, headquartered in Bismarck, N.D., has expressed its interest in investing in Green Power Express, LP, the entity that was formed by ITC to develop the Green Power Express project. MDU will collaborate with ITC on development efforts and securing the approvals needed to move the project forward. Green Power Express, LP, will operate as an independent transmission company.
"We expect that an eventual partnership with MDU will be the first of many and is a significant step in ITC's efforts to site and build regional transmission in order to move renewable generation from remote regions of the country to urban areas where it is needed," said Edward M. Rahill, president, ITC Grid Development.
According to a study by CRA International, efficient movement of up to 12,000 MW of transfer capacity for wind power and the connectivity of over 20,000 MW through the Green Power Express project would result in a reduction of up to 34 million metric tons in carbon emissions, which is equivalent to the annual emissions of about seven to nine 600 MW coal plants, or nine to 11 million automobiles.
The Green Power Express project also will address the recognized need for additional transmission infrastructure and is part of ITC's broader efforts to modernize the overburdened, aging electricity grid.
ITC will continue to pursue Green Power Express partnership discussions and finalize definitive partnership agreements with MDU and other strategic entities, including local utilities. Other project supporters include NorthWestern Energy (NWE), NextEra Renewable Energy (formerly FPLE), Iberdrola Renewables, Generation Energy Inc., Montgomery Power Partners, Denali Energy, National Wind, Crownbutte Wind Power, Inc., Wind Capital Group, Fox Ridge Energy & Development, LLC, Horizon Wind Energy, Prelude, LLC, Citizens Energy and RES, Renewable Energy Systems Americas.
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| 4/13/2009 | 'Green Power Express' gains federal rate incentives |
A 3,000-mile transmission project that would bring wind-powered electricity from North Dakota to Chicago, Minneapolis and other cities can proceed after getting federal approval today of rate incentives for the seven-state project.
ITC Holdings Corp.'s "Green Power Express" would cost $10 billion to $12 billion and carry 12,000 megawatts aimed at reducing congestion, improving transmission reliability and strengthening aging electricity infrastructure. But the project has faced regulatory snags (ClimateWire, Feb. 12).
The Federal Energy Regulatory Commission approved the transmission-investment incentives for the project, saying it would provide benefits such as improved transfer capability and access to wind power generation.
The commission approved the company's request for an incentive return on common equity of 12.38 percent. FERC also approved deferred recovery for startup, development and pre-construction costs through the creation of regulatory assets; the inclusion of all the construction work in the rate base; abandoned plant treatment; and the use of a 60 percent equity and 40 percent debt capital structure until any part of the project is placed in service.
Michigan-based ITC now will work with the Midwest Independent Transmission System Operator Inc. to complete a review of the project and to determine a cost-allocation mechanism that accounts for all the far-reaching benefits of the project, according to the company.
"This is an exciting step in the process of connecting clean, renewable energy sources from wind-rich areas to urban locations where it is needed," said Joseph Welch, chairman, president and CEO of ITC, in a statement. "We are pleased that FERC recognizes the importance of investing in the nation's high voltage transmission grid as a mechanism to support renewables."
In granting the approval, FERC Chairman Jon Wellinghoff noted the importance of investing in new transmission infrastructure to meet renewable energy goals, and he said building such projects will require planning beyond the needs of a single utility, state or region.
"Meeting our nation's energy goals will require developing extra-high voltage transmissions infrastructure that is needed to bring clean, renewable energy from areas where it is produced most efficiently to areas where most of our nation's power is consumed," Wellinghoff said in a statement. "The commission is examining the adequacy of transmission planning processes and is committed to working with transmission providers and state and regional entities to provide consumers with greater access to renewable resources."
ITC has urged Congress to update rules that govern transmission development to allow projects like the Green Power Express to move forward in time to meet growing demand (E&ENews PM, March 2).
"The Green Power Express Project will be a crucial tool for connecting abundant wind power with the population centers that demand it," Welch said. "We are confident that the FERC will continue to work with ITC to make this historic and ambitious project a reality."
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