in News Departments > New & Noteworthy
print the content item

Washington, D.C.-based utility Pepco Holdings Inc. (PHI) has announced that federal regulators unanimously approved requested transmission rate incentives for PHI's Mid-Atlantic Power Pathway (MAPP) transmission line. The regulators noted that the incentives are an important part of ensuring construction of the 230-mile project, improving reliability in the mid-Atlantic region and providing access to more than 1,300 MWh of wind generation.

The Federal Energy Regulatory Commission (FERC) voted 5-0 to approve all components of PHI's Aug. 18 request, stating that the MAPP project will improve import capability, reduce transmission congestion costs and improve reliability in the mid-Atlantic region. The commission also recognized that the incentives will promote those goals, given the importance of the new facilities and the risks inherent in bringing them to completion.

PHI requested full recovery of construction work in progress in the rate base, an incentive return on equity (ROE) increase of 1.5%, resulting in a 12.8% ROE for the project, as well as recovery of prudently incurred costs in the event that the project is not completed for reasons beyond the company's control. The incentive rate treatments will be implemented through the PHI companies' individual formula rates.

MAPP, initially estimated at a cost of about $1.05 billion, will serve as a major backbone to the regional electric grid, relieve expected overloads on the existing transmission system and deliver power to PHI's utilities - Atlantic City Electric, Delmarva Power and Pepco - rural electric co-ops and municipal-owned generators in Maryland, Delaware and southern New Jersey. If the option to convert to direct current for the Chesapeake Bay crossing is implemented, the estimated project cost will be about $1.4 billion.

SOURCE: Pepco Holdings Inc.

IowaDeptEconDevel_id1863

Helukabel_id1908
Latest Top Stories

Report Disputes U.S. Agency's Renewable Energy Projections

A new analysis from the Sun Day Campaign says renewables are slated to provide 16% of U.S. generating capacity by 2018 - over 20 years earlier than forecast by the Energy Information Administration.


Kansas Renewables Mandate Survives Yet Another Attack, But Is It Too Early To Celebrate?

Over the past three years, some legislators have tried to either weaken or repeal the state's renewable portfolio standard, which requires Kansas utilities to reach 20% renewables by 2020.


AWEA Highlights U.S. Wind Success Stories Of 2013

Despite a 92% drop in new capacity last year, the sector still has myriad reasons to celebrate, according to a new report from the American Wind Energy Association.


Feds List New Bird Species As Threatened - Should Wind Developers Be Worried?

The U.S. Fish and Wildlife Service is designating the lesser prairie-chicken as threatened under the Endangered Species Act. An expert explains how this might affect the wind industry.


Senate Committee Passes Bill With Two-Year PTC Extension

The Senate Finance Committee has voted on a tax extenders package, which includes both the production tax credit (PTC) and investment tax credit, and sent it to the floor.

Acciona_id1907
WomenofWind_id
JLG_id1900
UEA_id1896
bonfiglioli_id1913
AWEA_id1886