The new data, filed as supplemental testimony in an application before the Public Service Commission of West Virginia, incorporates new studies by independent grid operator PJM Interconnection recommending the construction of PATH to resolve reliability issues on the region’s electric transmission grid.
The PATH companies also plan to incorporate the new information into the existing application in Maryland, as well as in a new application to be filed in Virginia in the third quarter.
AEP and Allegheny said that the latest analyses, conducted as part of PJM’s 2010 Regional Transmission Expansion Plan (RTEP), are consistent with previous studies recommending the construction of PATH. PJM evaluated PATH against several alternatives and found it to be a solution to resolve voltage-related issues and line overloads that will begin to occur in mid-2015. The new in-service deadline for PATH is June 1, 2015.
The supplemental testimony and exhibits filed recently include updated information on the projected cost of the project. The filing estimates the project cost at $2.1bn, which accounts for new local and state requirements; minor route adjustments for the overbuilding and relocation of existing transmission lines; changes in design criteria to meet external requirements; and cost increases in labor, materials and services due to the revised project schedule.
The original estimate was $1.8bn. Allegheny’s share of the $2.1bn total is approximately $1.4bn, with AEP’s share worth approximately $700m.
Affiliates of AEP and Allegheny are seeking authorization to construct a 275-mile, 765kV transmission project extending from the Amos substation in Putnam County, West Virginia, to a proposed substation in Frederick County, Maryland.
