2/23/2012

By TIM UNRUH

Salina Journal

Making electricity is one thing, but ITC Great Plains' focus is getting that electricity to customers by building big power transmission lines through Kansas and other states across the nation's midsection.

"We're working hard to strengthen the regional (power) grid," said Joe Kirik, a spokesman for ITC, a company that builds and operates transmission lines.

Company officials met with reporters Wednesday in Hays and Kirik stopped later at the Salina Journal to provide updates on three transmission line projects. Most important to the northwest region is the KETA project. The 345-kilovolt line was conceived and sponsored by the Kansas Electric Transmission Authority and will run from Spearville, near Dodge City, north to Axtell, Neb.

ITC, which is based near Detroit, is building 174 miles of the 225-mile project for an estimated $175 million. The first phase -- Spearville to Hays -- will go into service by June, and the final phase -- Hays to Axtell -- will be completed by June 2013. The Post Rock substation near Hays is under construction.

Connecting in Oklahoma

ITC is also building a portion of the Kansas V-Plan project. The company will build about 120 miles of what will be a 230-mile, 345-kv line, with two substations, from Spearville south into Clark County and then east to near Medicine Lodge. ITC's part of the project will cost roughly $300 million. ITC's Hugo-to-Valliant project in southeastern Oklahoma involves 18 miles of 345-kv line at a cost of of $35 million.

The company announced Wednesday the expansion of a co-development agreement with Sunflower Electric and Mid-Kansas Electric, indicating that more transmission lines are ahead.

Whether the "juice" is powered by fossil fuels, sunlight or the wind, Kirik said, a larger market can only be good for consumers.

"I definitely think it means lower costs with more competitive access to sources of energy," he said. "It gives access to a broader range of generation, allows electric providers to shop around."

The growing wind energy market in Kansas, with more wind farms under construction or in the planning stages, "was certainly a factor" in embarking on more transmission projects in the state, Kirik said. Kansas and Michigan are among the states aiming to increase renewable energy sources over the next decade or longer.

"There is a strong wind flavor," he said. "You can't build the wind farms unless you can get the energy to market. The two have to go together."

An economic boost

The industry represents an economic boost for the state, Kirik said, with monthly wind farm leases and transmission line easements for landowners. ITC makes one-time payments for the 150- to 160-foot-wide easements where transmission lines are built.

Beyond that are the boons to contractors. ITC uses local and regional construction companies when it can.

Building those large lines is a "very specialized process," he said, but local and regional firms often are used to pour concrete foundations or transport power poles.

One crew estimated that for every hour worked, $6.50 to $7.50 was spent on local services, such as meals, lodging and supplies.

Firms such as ITC are paid transmission rates that are set by the Federal Energy Regulatory Commission, based on the amount of electricity flowing through the system.

Grid needs improvement

The energy regulatory commission mandated the formation of regional transmission organizations following a period of blackouts and brownouts in 2003 that made it clear that an expanded power grid was needed in the United States.

"A lot of improvement is needed," Kirik said.

More than powering homes and businesses is at play. The possibility of electric cars capturing a larger market in the U.S., he said, is a "big consideration."

Making those ventures more attractive for the industry is the notion that "electric cars charge overnight," Kirik said, when demand for power is typically lower.

-- Reporter Tim Unruh can be reached at 822-1419 or by email at tunruh@salina.com.

---

Discuss This Story:

---