ABB will design, supply, install and commission the system, which is scheduled for completion by 2011.

SVC is part of ABB’s group of FACTS (flexible alternating current transmission systems) technologies. It includes solutions to enhance the capacity, reliability and efficiency of existing power transmission systems and contributing to the evolution of smarter grids. ABB is currently executing two similar projects for Hydro One, the company said.

Peter Leupp, head of ABB’s Power Systems division, said: “The SVC technology being deployed, will help improve grid stability and deliver reliable, quality power to consumers in the region. It will enable more electricity to be transmitted over the existing network, with minimum environmental impact.”

According to ABB, FACTS technologies reduce the need for capital investment, saving time and reducing the complexity associated with construction of new power plants or transmission lines.

Hydro One owns and operates Ontario’s 29,000km high-voltage transmission network that delivers electricity to industrial customers and municipal utilities, and a 123,000km low-voltage distribution system serving about 1.3 million end-users and smaller municipal utilities in the province.