A group of major U.S. power companies are sponsoring a comprehensive study of the transmission infrastructure needed in the Upper Midwest to support renewable energy development and transport that energy to consumers in markets to the east.
Sponsors include American Transmission Co., American Electric Power (NYSE: AEP), MidAmerican Energy Holdings Co. (MECH), Exelon Corp. (NYSE: EXC), NorthWestern Energy (NYSE:NWE), and MidAmerican Energy Co., a subsidiary of MEHC.
The study, known as the Strategic Midwest Area Renewable Transmission Study (SMARTransmission Study), will begin immediately, according to a joint press release.
The sponsors have retained Quanta Technology LLC to evaluate extra-high voltage transmission alternatives and provide recommendations for new transmission development in the Upper Midwest, including North Dakota, South Dakota, Illinois, Indiana, Iowa, Minnesota, Ohio, Wisconsin and Michigan’s Upper Peninsula.
Quanta will conduct an analysis of transmission alternatives analyzing the impact and quantifying the economic benefits of several transmission options. The SMARTransmission Study is scheduled for completion in January 2010, and results will be shared with the Midwest Independent Transmission System Operator and PJM Interconnection, the Regional Transmission Organizations operating in these states.
“The region under study has some of the richest renewable wind potential in the U.S.,” said John Procario, ATC president and CEO. “Harvesting this Midwestern wind potential and bringing the resulting electric generation to market requires an upgrade to the transmission system in the heart of the nation. Studying the transmission options at the regional level is key to identifying the most economic options.”
The outcome of the SMARTransmission Study in combination with other studies currently being performed by MISO will be used as input to the regional transmission planning processes and result in transmission projects being identified. Ultimately, RTOs and states must approve the scope and timing of any new transmission projects.
While the SMARTransmission Study will identify generally how new transmission facilities should interconnect with the existing system, it will not specifically identify any of the physical geographic routes, the press release said.
Earlier this year ITC Holdings Corp., announced plans for a major transmission project in the Upper Midwest, called the Green Power Express. Plans call for a network of transmission lines that would carry up to 12,000 megawatts (MW) of wind power from the Upper Great Plains to Midwestern cities. Plans envision some 3,000 miles of 765-kilovolt transmission lines at a cost of $10-12 billion, with a target date of 2020 for the power to flow.