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A federal agency on Thursday approved a cost-sharing plan for new transmission lines that Nebraska’s three largest electric utilities had opposed, leaving the organizations with decisions to make.
The Nebraska Public Power District, Omaha Public Power District and Lincoln Electric System belong to the Southwest Power Pool, a regional transmission organization that includes utilities in nine states. The Federal Energy Regulatory Commission approved the power pool’s plan to have each utility pay a share, based on the percentage of electricity they use, of the cost of new high-voltage transmission lines.
Power pool officials say the plan is important as demand grows for electricity, including renewable energy projects such as wind farms.
The Nebraska utilities objected, saying they would pay a disproportionate share of the cost while seeing little or no benefit. They supported an alternative funding plan that would have divided about two-thirds of the cost among utilities across the region, with those directly benefiting picking up the rest of the tab.
OPPD officials said they would consider changing their membership status with the power pool from a transmission owner to a nontransmission member. That would reduce OPPD’s costs for regional transmission projects while making the utility responsible for its own electricity transmission. NPPD officials said they might request a rehearing before the federal agency, and Lincoln Electric System officials said they were weighing their options, including an appeal.
Contact the writer:
444-1117, joe.ruff@owh.com
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