Aug 11 2008
AEP And Duke Eye Big Indiana Transmission Project
The announcement today by American Electric Power and Duke Energy to build a $1 billion, 240-mile transmission line in Indiana points out the challenges to link new supplies of renewable energy with utility customer load.
The 765-kilovolt line proposed by AEP and Duke would connect AEP's Rockport Station east of Evansville, Ind., with Duke's Greentown Station near Kokomo, Ind. The line could tap more than 3,000 megawatts of wind power planned in central Indiana.
The proposed joint venture project faces a number of state and federal regulatory hurdles and would be completed at the earliest in 2014. Approvals would have to come from the Midwestern Independent System Operator and the PJM Interconnection. The JV also must file in Indiana to operate as a transmission utility and seek rate approval from the Federal Energy Regulatory Commission. Utility customers would pay for the project in rates.
Overcoming regulatory hurdles for siting and developing new transmission lines for solar and wind energy in remote areas in the Midwest, California, desert Southwest, Texas and other states is critical for the development renewable enrgy supplies. We'll keep an eye on this latest proposal in the Hoosier State.
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