General


  • Who is Electric Transmission America?
    Electric Transmission America, LLC is a joint venture between American Electric Power and MidAmerican Energy Holdings Company.

    American Electric Power is one of the largest electric utilities in the United States, delivering electricity to more than 5 million customers in 11 states. AEP ranks among the nation's largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation's largest electricity transmission system, a nearly 39,000-mile network that includes more 765-kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined.

    MidAmerican Energy Holdings Company is a global leader in the production of energy from diversified fuel sources including geothermal, natural gas, hydroelectric, nuclear, coal and wind. The company also leads in the supply and distribution of energy in the U.S. and U.K. consumer markets, with approximately 6.9 million electricity and gas customers.

  • What is Prairie Wind Transmission, LLC?
    Prairie Wind Transmission is an equal venture between Westar Energy and ETA.

  • What was the original project?
    Prairie Wind Transmission first proposed a project to be the highest capacity, most technically advanced transmission line ever built in Kansas or the Southwest Power Pool. The new 765-kV line was to interconnect to a 345-kV substation near Wichita and connect to other 765-kV projects near Medicine Lodge and the Kansas/Oklahoma border. This project would tap some of the best wind resources in the nation and, we believe, will make Kansas a premier exporter of renewable energy to other parts of our nation.

  • How has the project evolved?
    All transmission projects in the region are subject to review and approval by the Southwest Power Pool. Southwest Power Pool's analysis of the proposed project, as part of the Priority Projects, included limited wind assumptions; therefore, was only able to justify a lower capacity double-circuit 345-kV line. Southwest Power Pool has recognized this limitation and currently is performing additional studies to determine the appropriate voltage for the line. The path of the line has remained the same, but is subject to change as a result of detailed routing and environmental studies.

  • What prompted this relationship between Westar Energy and ETA?
    Both companies were exploring opportunities to expand the nation's transmission infrastructure as part of their overall business strategies. ETA has led the nation in the development of a national interstate transmission overlay using extra-high-voltage technology. Westar has led the state of Kansas in the development of wind energy and new transmission projects. It was a natural fit for us to decide to work together. In keeping with the company's vision, ETA is working to:

    • Maintain its leadership in technical innovation of transmission systems;
    • Set the standards for transmission safety, efficiency and reliability;
    • Provide for robust market competition that will benefit customers by eliminating bottlenecks in the U.S. transmission grid; and
    • Reduce the need for new generation by facilitating the optimal economic dispatch of existing generation assets.

  • Who will own new assets that are built?
    The companies anticipate a 50-50 ownership of the proposed assets to be built as part of the joint-venture agreement.

  • Who will benefit?
    This project will enable the tremendous wind resources in the western and southwestern part of Kansas to be delivered to customers throughout Kansas and the region at large. It also will provide economic benefits in terms of construction jobs, tax revenue and helping local economies near wind farm developments.

  • Who will provide the capital?
    A typical utility capitalization structure is anticipated with the equity capital being contributed 50-50 by large joint-venture partners.

  • Who pays for transmission lines and facilities?
    The Southwest Power Pool oversees the tariff that is the basis for transmission charges to customers. Because the project will benefit a broad region, the costs for the lines – based on the Southwest Power Pool's recent Highway/Byway cost allocation filing – should be recovered in the prices charged over that broad region, and not just from local Kansas residents.

  • Who will build the lines and manage the Prairie Wind Transmission's affairs?
    The companies expect Westar will provide project management services to Prairie Wind Transmission. Engineering and construction of the new 345-kV transmission lines and facilities will be coordinated by Westar if the ine is built at 345 voltage and by ETA if the line is built at 765-kv voltage. The companies expect Westar Energy to handle most of the new company's administrative affairs and lead its financing plans.

  • How will the new company acquire right of way for this project?
    The new company, after getting input from landowners and communities along the route, will propose a specific route, or alternative routes, to regulatory authorities. The Kansas Corporation Commission must approve the ultimate route. The company will then negotiate with landowners to secure the necessary rights of way.

  • What if the company can't come to an agreement with landowners?
    Fortunately that is a rare problem, as the company will pay a fair price for the right of way, plus landowners still get to use nearly all property for farming and ranching. However, if we reach an impasse, the courts will decide what the price is that we must pay the landowner.

  • How much will Prairie Wind Transmission invest?
    The total estimated investment for the 345-kV lines is $160 million. This estimate may vary if the project voltage is increased to 765-kV, or if the final approved route of the project traverses a longer distance than previously estimated.

Regulatory and Government Policy


  • Will Prairie Wind Transmission be a regulated or unregulated entity?
    Prairie Wind Transmission will be a utility and follow all applicable rules and regulations of a utility operating within the state of Kansas and the region at large.

  • Which regulatory bodies will have to approve announced projects?
    The Kansas Corporation Commission is the regulatory body having to approve the siting of such projects requiring a Certificate of Convenience and Public Necessity. Prairie Wind Transmission has received approval to operate as a utility in Kansas and currently is working through the siting process. In addition, Southwest Power Pool has approved the project, but will be providing subsequent guidance on the project voltage.

  • Who will set the rates for the project?
    We filed with FERC regarding the rates for this project, which were subsequently approved. Per Southwest Power Pool's recent Highway/Byway cost allocation filing, project costs will be recovered from customers across the region, beyond just the borders of Kansas.

  • Will the FERC be involved in the approval of this project?
    Yes.

Environmental


  • What environmental impacts will be considered with the siting of the projects?
    Consistent with how Westar Energy operates in Kansas, Prairie Wind Transmission will adhere to all laws and regulations regarding siting of such projects and will work with interested environmental groups to address any concerns they may have along the way. One advantage to a 765-kV project is that the company believes this would be the only line along the route that will ever need to be constructed, reducing the possibility of having two or more lines in the same general area. If built at 345-kV, additional lines could be required in the future.

  • How will Prairie Wind Transmission help environmental considerations?
    Prairie Wind Transmission's projects will provide additional transmission capacity needed to enable development of renewable and other new technology generation. These 765-kV lines provide more capacity than lower voltages for similar right of way requirements, reducing the need for additional lines. These projects also will reduce system losses by unloading the less-efficient underlying lower voltage systems. Loss savings translate into reduced emissions and lessen the need for additional generation. Some of these benefits also may be provided by 345-kV lines, but to a lesser extent.