Monday, August 3, 2009

Questions and Answers from PAT Meeting #1

Selected questions submitted from South Project Advisory Team meeting (Ontario, OR) on May 21, 2009:

Does Idaho Power receive money when it provides “transmission for others?”

Yes, under Idaho Power’s Open Access Transmission Tariff, Idaho Power does receive fees for when a third party uses Idaho Power transmission lines. The tariff is approved by the Federal Energy Regulatory Commission and is meant to partially offset the embedded costs associated with the transmission system. The fees charged are based on the term of use and amount of energy to be flowed across the line.

What is the width of the route Idaho Power is seeking?

Idaho Power will seek a right-of-way width of approximately 250-feet wide (125 feet on both sides of the centerline of the transmission line). Note that this width is established to provide a safety zone to adjacent structures. Utilization of the right-of-way within the easement width is still permissible under many circumstances.

What type of tower will be built? Lattice, iron, etc?

A variety of transmission line structures may be used for the project. The structures may be a combination of steel lattice and tubular towers. The tower heights will be between 140 and 190 feet high for steel lattice and 100 to 150 feet high for steel pole H-frame construction.

Will there be a gas plant build in Payette County?

If approved by the Idaho Public Utilities Commission, Idaho Power Company will begin to build the Langley Gulch Power Plant south of Interstate 84 at exit 9 in Payette County, Idaho. The 300-megawatt (MW) plant will help integrate intermittent alternative resources, such as wind and solar, in Idaho Power’s service area. This power plant is necessary to fulfill our commitment of reliable, responsible energy services for generations to come.

What is the average cost per mile to build the line?

The preliminary cost estimates for 500-kV transmission lines range from approximately $1.25 million to $2.0 million per mile of construction for a single circuit transmission line. These costs are estimates based on past projects and industry experience. However, many intangible variables can vary the cost significantly, including right-of-way costs, substation and line equipment necessary, accessibility, and mitigation measures. Idaho Power anticipates having partners in building the transmission line; Idaho Power will only own a portion. The cost won’t be calculated into the rates until the line is built.

What type of compensation will be provided to landowners?

Idaho Power has a long history of working collaboratively with property owners to ensure equally satisfactory terms are reached between both parties. Easement compensation, terms and conditions will be negotiated individually with each property owner to develop a mutually agreeable package.

Is there a yearly lease on private land?

On private land Idaho Power purchases an easement. The easement is a one-time payment made to the property owner in return for the grant of access to build the power line and subsequently maintain the line. Because the property is still owned by the property owner, the owner is still at liberty to utilize the ground within the power line easement as they wish, of course honoring the negotiated terms of the easement documentation.

Does BLM receive money for right-of-way?

The BLM collects rent for linear right-of-way according to the schedule in 43 CFP parts 2800 and 2880. The rent schedule covers most linear rights-of-way granted under the Title V of the Federal Land Policy and Management Act of 1976, as amended (FLPMA). Those laws require the holder of a right-of-way grant to pay annually, in advance, the fair market value to occupy, use or traverse public lands for facilities such as power lines, fiber optic lines, pipelines, roads and ditches.

Can existing lines be modified to carry more power?

Yes, some lines can be modified to carry more power. However, the lines that deliver power into Idaho from the Northwest are in general not capable of being upgraded because the towers that support them are not capable of carrying larger wire and would have to be completely replaced. Even if the towers were replaced and new wire strung, this would have to be done to all the lines feeding into Idaho from the Northwest because of redundancy requirements. The existing lines are rated at 230,000 volts and would not have the capacity that can be provided by a 500,000-volt line.

When was the “in-line” substation removed (from the B2H plans)?

Idaho Power made the announcement that the Sand Hollow Substation was removed from the project on April 3, 2009 in letters to both the BLM and the Oregon Department of Energy.

Where was the “in-line” substation originally planned to be located?

A definite location was never specified for the Sand Hollow Substation. It was proposed in the area northeast of Parma, Idaho and east of Nyssa, Oregon.

What is the current position of Idaho Power’s consultant? Will Tetra Tech be a part of the CAP?

Idaho Power does not have the resources internally to provide the necessary level of detail required to help facilitate the routing and permitting of the Boardman to Hemingway transmission project. Therefore, outside consulting firms have been hired to help Idaho Power navigate the federal NEPA process, the state of Oregon EFSC process, and will additionally assist in developing support material for the Idaho Power CAP.

Will the route that we site during the CAP be seriously considered?

While this is Idaho Power’s first time using the CAP process to site a transmission line, we are 100% committed to this process. At the first Project Advisory Team meeting, Dan Minor, Idaho Power Senior Vice President of Delivery said Idaho Power and its management and board of directors are committed to this process and will work with the Project Advisory Teams to site a route that is acceptable to all parties.

What is the projected percentage of private land you will need to complete this project?

There is no percentage of private land needed to complete this project. The line route established through the CAP and subsequently analyzed through NEPA and EFSC will likely include federal, state and private properties, depending on the routes developed.

When will the Project Advisory Teams get to look at maps?

The first mapping session is scheduled for September. At this meeting, PAT members will be asked to begin routing lines on maps that fit the PATs’ community criteria as well as engineering criteria set by Idaho Power and environmental and regulatory criteria set by the regulatory agencies.

How does the current B2H line fit in with other transmission line planning efforts of PGE, PG&E, PacifiCorp, Trans-Canada and smaller lines?

Idaho Power is coordinating with the companies planning these other lines via both the Northern Tier Transmission Group and other regional planning entities. Additionally, Idaho Power is in direct contact with these companies to ensure as much coordination as possible.

Will additional lines be necessary to balance loads created by the intermittence of renewables (i.e. wind)?

In general, Idaho Power balances the intermittence of renewables with company-owned generation. Because the balancing activity cannot be exactly planned in advance, Idaho Power prefers to have control over the generation that provides the balancing. Transmission lines connected to these generators will be necessary but will likely be internal to the Idaho Power system.

Have all the concerns from previous meetings been retained? Will these concerns be include in the CAP or will they have to be re-submitted?

All the concerns, comments and questions that have been raised throughout the history of the project are logged in a database and will continue to be considered throughout the CAP as well as the NEPA and EFSC processes. Through www.boardmantohemingway.com website contact information for all the different parties is available and all comments submitted to any of the entities are categorized and logged for further evaluation. In addition, comments are received in hard copy and those too are added to the database. Comments sent directly to the BLM, USFS, or EFSC are also included in the detailed analysis during the NEPA and EFSC processes.

Furthermore, many comments and concerns can be, and have been, addressed through frequently asked questions (FAQ) on the project website.

Have view sheds and impacts to tourism been seriously considered in the routing process? Impacts to view sheds were considered in the original routing.

The BLM and Forest Service both have processes to identify and categorize visual resources. The original routing took these categories into consideration. Additionally, impacts to view sheds are addressed in ODOE-EFSC standards. Impacts to tourism were not addressed as a routing consideration; this would be addressed in the NEPA document.

Will this line only benefit Idaho Power customers?

While the line is being built specifically for the benefit of Idaho Power customers, all electricity users in the region will benefit from the additional reliability to the Northwest’s interconnected transmission system and the increased regional transmission capacity.

What will happen if other major utility services (i.e. gas lines) conflict with the selected route?

Other utility services can work both in favor of and in opposition to transmission lines. Often long, linear facilities, such as gas lines existing around transmission lines, and even roads are opportunities for routing transmission lines where an existing right-of-way has been established.

However, engineering design is complicated with the presence of other utilities, both overhead and underground. Underground structures have to first be identified and located and either avoided or relocated to ensure continued operation. Overhead facilities require adequate separation for safety and reliability. Various utilities can often coexist given the appropriate engineering considerations are designed prior to construction.

What health issues are associated with high-voltage transmission lines?

For a description of safety and health issues associated with power lines, please visit the B2H website, http://www.boardmantohemingway.com/idaho_power_safety.aspx.

Would Idaho Power consider building a generation plant at Hemingway instead of building the 500-kV line?

Idaho Power could install generation instead of building the B2H transmission line, though this would be a more expensive option and would not provide the reliability benefits to the Idaho Power transmission system, and the Northwest as a whole, like the transmission line would.

Why doesn’t the State of Oregon require utility companies to use established energy corridors?

While the State of Oregon may not have any state-mandated energy corridors, Idaho Power is required to comply with Oregon’s land-use planning goals, adopted by the Land Conservation and Development Commission (LCDC) and County planning requirements. In Exhibit B of the Application for Site Certificate, the applicant is required to provide information on how a corridor was selected and the percentage of line that is located within or adjacent to public roads, existing pipeline or transmission line.