ITC PLANNING MASSIVE ELECTRICAL LINE EXPANSION PROJECT
ITC is planning 18 transmission projects as part of the Long-Range Transmission Plan.
A recent New York Times article discussed the challenges that developers of alternative energy sources have when trying to connect proposed projects to the existing electrical grid. According to the article, “The energy transition poised for takeoff in the United States amid record investment in wind, solar and other low-carbon technologies is facing a serious obstacle: The volume of projects has overwhelmed the nation’s antiquated systems to connect new sources of electricity to homes and businesses. So many projects are trying to squeeze through the approval process that delays can drag on for years, leaving some developers to throw up their hands and walk away. More than 8,100 energy projects — the vast majority of them wind, solar and batteries — were waiting for permission to connect to electric grids at the end of 2021, up from 5,600 the year before, jamming the system known as interconnection.”
Reading this article and the recent issues that I have handled relating to solar farms inspired me to check to see if any major new projects are planned to address Michigan’s electrical grid. And yes, there are major projects being contemplated.
ITC has published a fact sheet discussing a “$10.3 billion investment” that “includes 18 transmission projects in MISO’s Midwest Subregion.” MISO stands for Midcontinent Independent System Operator and according to its website it “is an independent, not-for-profit, member-based organization focused on three critical tasks: Managing the flow of high-voltage electricity across 15 U.S. states and the Canadian province of Manitoba; Facilitating one of the world's largest energy markets with more than $40 billion in annual transactions; and Planning the grid of the future.” ITC provided a map of the proposed projects.
ITC has already gone public with some of its planning initiatives. For example, on December 14, 2022, ITC sent a letter to the Controller of Montcalm County asking for input about the Nelson Road to Oneida Project, which includes a 345-kV electrical transmission line in mid-Michigan.
These will be major projects that will take years to implement. For 345kV lines, ITC will need to obtain regulatory approval. Obtaining regulatory approval will be significant in terms of establishing the ability to use eminent domain to acquire the necessary property rights. The acquisition of a permit significantly reduces court oversight over a project. “The granting of a permanent or temporary certificate by the public service commission or by a federal agency authorized by federal law to make determinations of public convenience and necessity as to condemnation constitutes a prima facie case that the project in furtherance of which the particular parcel would be acquired is required by the public convenience and necessity.” MCL 213.56(3).
A project of this nature will result in significant amounts of eminent domain litigation with ITC. I have handled hundreds of cases against ITC and regularly increase the just compensation paid while decreasing the impact of the property rights on owners. For example, this blog post details concessions made by ITC in terms of limiting access to industrial properties where I am challenging the just compensation offers to the owners. This blog post discusses significant concessions about the manner of construction of a sidewalk project and an increase in just compensation.
If you have been approached by a utility company like ITC about a property acquisition, please feel free to contact me.