Every dollar spent for construction of new transmission lines to support the development of wind resources in Texas will result in a $5 to $7 reduction in energy costs, according to testimony filed this month with the Public Utility Commission of Texas (PUCT) by Electric Transmission Texas LLC (ETT), a proposed joint venture between subsidiaries of American Electric Power and MidAmerican Energy Holdings Co.
The testimony, which was submitted as a part of the PUCT's Competitive Renewable Energy Zones (CREZ) Docket, supports a study by the Electric Reliability Council of Texas (ERCOT) through ETT's own analysis while at the same time providing an additional analysis sponsored jointly by ETT and The Wind Coalition, a group of large wind developers, equipment suppliers and public interest organizations promoting wind development in the south central United States. The jointly-sponsored study focused on the benefits of new transmission to support wind resources throughout the state and did not specifically address the ETT proposal filed in the CREZ Docket.
"The jointly-sponsored analysis validates the conclusions of the earlier ERCOT study, which indicated that consumers would save between $221 million to $1.278 billion per year with the addition of 1,000 to 5,250 megawatts of wind generation," said Calvin Crowder, ETT executive director.
"In fact, the study jointly sponsored with The Wind Coalition, as well as our own separate analysis, concludes that the savings initially projected by ERCOT are conservative. "Clearly, there is a strong economic case for moving forward to build new transmission lines to ensure the development of wind resources throughout the state," Crowder continued. "At the same time, we advocate seizing upon what we see as a unique opportunity to address the long-term transmission needs within ERCOT."
ETT has proposed the construction of approximately 1,000 miles of transmission lines to support development of Competitive Renewable Energy Zones in Texas. At the same time, ETT proposes consideration by the PUCT and ERCOT of a high-voltage, high-capacity backbone transmission system to support long-range reliability and customer growth needs facing the state.
For more details about the plan, check out the press release.
