downward pressure on its credit rating and protect Minnesota Power customers

Downward pressure on its credit rating and protect

This preview shows page 7 - 9 out of 62 pages.

downward pressure on its credit rating, and protect Minnesota Power customers from rate shock that would come from the traditional Allowance for Funds Used During Construction (AFUDC) process. In addition, an administrative law judge (ALJ) with the Minnesota Public Utilities Commission (PUC) has ruled on January 4, 2016 that Minnesota Power satisfied the criteria for the issuance of a route permit for the Minnesota portion of the Great Northern Transmission Line. Supporting this, the ALJ has also recommended that the PUC grant the route permit for the project with a few variations on Minnesota Power’s proposed route. The project proposes to transport hydroelectric power generated by Canadian power utility Manitoba Hydro to regions of Minnesota and the upper Midwest in the United States. It will be developed in two phases. Phase 1 includes a 220 mile (354.2 km), 500 kV transmission line from the Canadian border to the Blackberry substation in Minnesota’s Iron Range, which will be constructed by Minnesota Power; and Phase 2 entails the construction of a 50- 70 mile (80-113 km), 345 kV double-circuit line between the Blackberry substation and the Arrowhead substation near Hermantown in Duluth in Minnesota, which will be constructed by Minnesota Power and ATC. The latter two will also work together to study other transmission upgrades in Wisconsin to facilitate the transfer of renewable energy in the region. In November 2015, ALLETE received the final EIS from the US DoE and the Minnesota Department of Commerce (MDC) for the project, which followed a certificate of need from the PUC. Manitoba Hydro is in the process of securing a license for the Manitoba portion of the line, and Minnesota Power is awaiting DoE action on its application for a Presidential Permit. The US Department of Defense (DoD) and the US Department of State (DoS) have advised DoE that they have no objections to the issuance of a Presidential Permit for the project. In its application with the PUC, Minnesota Power has mentioned that the Great Northern project is expected to cost between USD495.5 million and USD647.7 million, based on proposed routes and segment options. In the recommendation, Minnesota Power has proposed two routes – a Blue Route and an Orange Route – each of which would begin at the US-Canada border crossing near Roseau, Minnesota and continue south to Grand Rapids, Minnesota, with a few variations in between. The factors that favour the Blue Route are that the Orange Route would cross a larger portion of wildlife management areas and the Blue Route parallels existing corridors for a greater distance than the Orange Route.
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Global Transmission Report | January 2016 8 News ATCO energises EATL project ATCO Electric has energised the Eastern Alberta Transmission Line (EATL) project in Alberta. Construction of the 485 km transmission line was completed in February 2015 and reclamation along the line was completed in November.
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  • Fall '10
  • BOB
  • Electric power transmission, Electricity distribution, Electricity market, CFE, Federal Energy Regulatory Commission

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