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A new plan for Midwest power lines could cost $23 billion. Is it enough?

Walker Orenstein, Star Tribune on

Published in Business News

Duluth-based Minnesota Power and Fergus Falls-based Otter Tail Power also voiced broad concerns.

Minnesota Power spokeswoman Amy Rutledge said in a statement the utility will keep pushing MISO to ensure "transmission projects necessary for regional reliability are fully considered for Tranche 2 to advance Minnesota's carbon-free goals in a timely manner." There were no MISO lines proposed in the company's northeastern Minnesota service territory.

Ongoing plans

Despite the size of the transmission plan, MISO officials themselves said Friday the proposal wouldn't meet all of the region's needs. That's why the nonprofit is considering a second part to Tranche 2.

The first two transmission packages have focused on MISO's northern region. Tranche 3 will aim at power needs in southern states, and Tranche 4 should better connect north and south together.

Though each transmission project must gain local approval, MISO plans the lines with a goal of creating a more reliable grid addressing challenges like the spike in energy needs from electric vehicles, data centers and new manufacturing while keeping other energy costs lower.

 

MISO seeks projects with benefits to the entire region that it says are worth more than the cost. In general, state regulators and local utilities back the idea. Sullivan, for instance, said more transmission can cut the need for new power generation, which he said is more expensive to build.

It can also carry renewable power, like that generated by remote wind farms, to more areas. MISO said power is going unused in its western region, including Minnesota, because of insufficient transmission capacity.

Beth Soholt, executive director of the Clean Grid Alliance, a trade group representing renewable power and battery developers, said bigger, more integrated systems protect against blackouts in severe weather.

"The flexibility of being able to deliver power when and where it's needed," she said.


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