Competition to build power line heats up

Two groups vie to build conduit in western Kansas

In Kansas, V stands for high voltage.

A behind-the-scenes struggle is going on between two companies to build and operate a transmission line that could move 765,000 volts of electricity.

That is twice the capacity of the largest line in existence in Kansas now. “It’s like building an interstate over country roads,” said David Springe, general counsel for the Citizens’ Utility Ratepayer Board.

Although the specific route of the line hasn’t been determined, it would roughly form a V, running from outside Wichita, southwest to Medicine Lodge and then northwest to Spearville. The proposed line is commonly referred to as the “V-Plan.”

Supporters say the line, which would cost hundreds of millions of dollars, would spur development of wind energy by providing a way to transport that power produced in southwest Kansas to other parts of the country.

And two companies are vying for the right to build the line. One is Prairie Wind Transmission, which is half owned by Topeka-based Westar Energy, and the other is ITC Great Plains, a subsidiary of the nation’s largest independent electricity transmission company, which has won the support of two electric cooperatives.

But picking a company for the project is going to be difficult, Springe said, because the state has no criteria set up to handle a situation where two utilities are competing for the same transmission project.

“If you look at our transmission policy, it’s not equipped to handle the question of what to do when there are two people who want to build the same line. How do we make sure the right person builds for the cheapest amount?” he said.

The Kansas Corporation Commission, which regulates electric utilities, has asked its staff to identify issues that must be decided to address the V-Plan applications, propose a process for handling those issues and recommend a timetable to make a decision.

That report is due in early October.

Recently, ITC Great Plains announced an agreement with Sunflower Electric and Mid-Kansas Electric Co. to build two sections of the V-Plan, which run within the service territory of those electric cooperatives, and also to allow Westar to build the section of the line between Wichita and Medicine Lodge, which extends into Westar’s service area.

“This agreement is a revolutionary approach and a major milestone in the quest to build a 21st-century transmission grid in Kansas,” said Carl Huslig, president of ITC Great Plains.

But Westar/Prairie Wind would prefer to work alone.

In testimony to the KCC, Kelly Harrison, president of Prairie Wind and vice president of transmission operations for Westar, said its partnership brings “substantial expertise in transmission facilities construction and operation.” Its plan would cost $600 million and also include building a section of line to connect with Oklahoma’s network, according to Harrison’s testimony.

The ITC proposal carries no specific pricetag but Kimberly Gencur Svaty, a lobbyist for ITC, said the national average for building a high-voltage line is $2.2 million per mile, and ITC’s proposal is about 180 miles, which would bring the total to nearly $400 million.

Springe said a lot of questions remain on the project. Kansas customers will be on the hook for some of the costs, he said, but they and customers in other states may also benefit from the sales and production of renewable energy.