The Federal Energy Regulatory Commission (FERC) approved the funding arrangement for a major transmission project linking Hydro-Quebec with ISO New England that would deliver hydropower to consumers in the New England region.
The project is expected to reduce greenhouse gas emissions by an estimated 4 to 6 million tons of carbon dioxide per year by displacing gas-fired generation in New England.
Northeast Utilities Service Company (NYSE: NU), NSTAR Electric Company (NYSE: NST) and Hydro-Quebec TransEnergie are currently negotiating a joint development agreement for the design, planning and construction of a 1,200-megawatt (MW) high voltage transmission line that will cross over the U.S.-Canadian border and connect to ISO-New England’s backbone 345 kV transmission system. This expansion will make significant amounts of surplus hydropower available for export to the United States.
“This project provides the opportunity for consumers in a region of the country that has tight constraints on electricity supplies to get access to clean, low-cost energy,” FERC Chairman Jon Wellinghoff said.
H.Q. Energy Services (U.S.) Inc. is taking responsibility for any of the project’s risks, and agreed to participant funding for the project. Under a participant funding plan, the project costs will not be included in the rates for transmission service under ISO New England’s Open Access Transmission Tariff.
Loading...