For years the citizens of Maryland have been waiting to find out whether the Public Service Commission really cares about justice and protecting the public. We have our answer. The answer is NO!

The Maryland Public Service Commission (PSC) in their recent Order has taken a position in support of Potomac Edison (PE) on the major issue, against ratepayers’ interests. The Commissioners’ decision is in conflict with both their own Judge’s determination and the West Virginia Public Service Commissioners on the same issue.

The most important decision on this matter was whether or not to require PE to read meters monthly. The PSC Commissioners, as usual, supported the utility company when they overturned the Order issued by the Judge who heard the case.

This should have been expected because in every meeting and mediation, PE’s attorney would declare that PE will not do monthly reads! Apparently lawyers and attorneys trump justice every time! We now know our PSC stands for money in politicians’ and big businesses’ pockets without concern for the problems and concerns of the people or justice at all.

As a brief history, in May 2012, as President of Sugarloaf Conservancy (Doug) filed a formal complaint with the PSC asking them to “establish a formal case to investigate this matter” in response to members’ complaints about PE meter reading practices.  These practices included the failure of the company to read meters bimonthly as required, using inaccurate estimations, which caused substantial over and under billings. Both situations have negative ramifications causing harm to those who can least afford to pay overcharges or large catch-up bills.

A case was finally opened in April 2013. After years of delay the Judge in May 2016 ruled against PE. In part of his Order he stated, “I find that PE's meter reading tariff must be modified to require an actual reading on a monthly schedule...” (as is the case with all other electric utilities in Maryland).  PE appealed the Judge’s Order. A year passed without any decision by the Commissioners. On May 16th, in a letter sent to the PSC, we insisted they fulfill their obligation. Finally on June 19th, the PSC issued an Order.

The Order upholds most of the findings of the Judge’s ruling, including that PE must submit a monthly report for 24 months; pay a minor penalty of $25,000; offer a payment plan to those customers who receive a substantially low estimate bill, followed by a substantial catch up bill the following month; modify their bill to clearly show when an estimate occurs and the reason for not reading the meter.  The reversal of the Judge’s Order to require PE to read meters monthly is in stark contrast to a similar case in West Virginia. West Virginia took less than a month to open a case after the issue was raised whereas the Maryland PSC waited a year after we asked for an investigation; Maryland dragged out the case for four years before the Commissioners issued a final Order; West Virginia issued a comprehensive ruling against PE including the requirement that they read meters on a monthly basis after only a year.  Maryland PSC Order required PE address only 4 areas of concern whereas in West Virginia their PSC hit PE on twelve major requirements.

There is great concern that this slap on the wrist will embolden PE to resume their past business practices, which have caused severe harm to so many.  Unfortunately the losers will be the senior citizens on a fixed income and the poor who can least afford to either pay for electricity they have not consumed or be hit with a sizable catch-up bill.  The Commissioners, through this Order, confirmed their past history of supporting utility companies at the expense of ratepayers in Maryland. This pattern should be disturbing to everyone and unfortunately will not likely change.

In the transaction, Clean Grid Holdings LLC (“Clean Grid”), a new investor in Clean Line, will be entitled to convert its Preferred Units in Clean Line, which are a convertible preferred security, into common equity interests in Clean Line, with the result that the current majority common equity owner of Clean Line will no longer be the majority common equity owner.

Clean Grid is a wholly owned subsidiary of Bluescape Resources Company LLC (“Bluescape”), a Delaware limited liability holding company. Bluescape is a private investment and operating company with its headquarters located in Dallas, Texas. Bluescape pursues investment opportunities in the oil and gas and power and utilities industries. The Bluescape management team has significant experience in these industries and in making investments and managing assets and companies across the energy sector.

On June 30, 2015, Clean Grid invested $12,000,000 in Clean Line in exchange for 12,000,000 newly issued Preferred Units (comparable to preferred stock in a corporation). In addition, as a result of this investment, Clean Grid is entitled to appoint two directors to Clean Line’s Board of Directors (the “Board”), which has expanded from five members to seven members. After approval of the Oklahoma Corporation Commission (“OCC”), pursuant to Oklahoma law, is obtained for further investment by Clean Grid in Clean Line, (1) the Board can require Clean Grid to make an additional $5,000,000 investment, for a total investment of $17,000,000; and (2) Clean Grid, at its option, will have the right to invest another $33,000,000, for a total investment of $50,000,000.

If Clean Grid exercises its option with respect to the 12,000,000 Preferred Units it already holds, then the common equity interests of Clean Line Investor, LLC, GridAmerica Holdings, Inc., Michael Zilkha, and Clean Line Investment LLC, would decline from 54%, 39%, 2% and 5%, respectively, to 47%, 32%, 2% and 4%, respectively. Clean Line Investor, LLC would then own less than 50% of Clean Line and as a result, would no longer be the majority owner of Clean Line.

The transactions described herein will result in an additional investment of $12,000,000, a subsequent investment of $5,000,000, and potentially an additional investment of $33,000,000, in Clean Line. Clean Line can invest this new capital (potentially up to $50,000,000) in the projects of Clean Line’s subsidiaries, including the Rock Island Project.

Grain Belt Express must invest tens of millions of dollars in engineering, environmental permitting, and easement acquisition to continue to develop the Project. The Company’s ability to make this investment is severely limited by the present state of regulatory uncertainty in Missouri. If the Commission grants a CCN in this proceeding, that uncertainty will disappear and Grain Belt Express will continue to develop the Project. While parties opposed to the Project may appeal such a decision because of the lack of certain county assents, planning for the Project can continue. Because the Company has agreed that the Commission may condition the CCN to provide that Grain Belt Express will not begin construction until it has obtained all Section 229.100 county assents, no party will be prejudiced.

The parties are entitled to receive a decision by the Commission. Whether that decision grants or denies the Application, the parties and the public at large deserve to know whether the Commission believes that Grain Belt Express has met the Tartan criteria, and if it has, what conditions should govern the CCN. Any significant delay in the Commission coming to a decision benefits no one.

If the Commission desires to rule on this case now, it must reject the Application.

The Columbia City Council approved an agreement with Missouri Joint Municipal Electric Utility Commission to purchase wind energy from Kansas-based Iron Star Wind, LLC during its Monday meeting, but the means of receiving the energy — a transmission line that still needs to be constructed — needs the OK from the Public Service Commission.

The Grain Belt Express project is a 780-mile transmission line that will start in southwestern Kansas and cut through Missouri and Illinois, providing energy to those states and Indiana. The direct-current line will go to Hannibal, where a substation will convert the direct current to alternating current, the type of current used by Columbia’s electric system, said John Conway, chairman of the Water and Light board.

Transource states that it meets the nexus test because its requested incentives are narrowly tailored to the significant risks and challenges the Project presents. Transource states that it will face considerable risks and challenges in developing and constructing the Project, such as: (1) financial challenges; (2) regulatory and site control challenges; and (3) risks related to the Designated Entity Agreement (DEA) with PJM.

Moreover, Transource states that it will need to work with individual landowners to acquire the necessary land and easements to construct the 42-mile combined route of the two new 230 kV lines. Transource notes that the required easements are expected to cross approximately 300 parcels, including state game lands owned by the Pennsylvania Game Commission. In addition, Transource does not expect that it will be able to use any existing rights of way (ROW). Transource states that Transource Maryland cannot obtain electric utility status under applicable Maryland law, because it does not serve retail customers and thus will not have the authority to use eminent domain to acquire ROW along the approved route. Transource states that this lack of eminent domain authority presents significant additional risk to the Project development schedule.

Furthermore, Transource states that there is a risk for economic projects such as this because PJM could later find, based on changing conditions, that the Project is no longer needed to relieve congestion. Transource states that this risk is compounded by the long development lead time for the Project.

The Secretary, acting through WAPA or SWPA, or both, may design, develop, construct, operate, maintain, or own, or participate with other entities in designing, developing, constructing, operating, maintaining, or owning, a new electric power transmission facility and related facilities (“Project”) located within any State in which WAPA or SWPA operates...

Today is a day to celebrate!! It is a historic day for property rights!

Governor Branstad signed a bill into law forbidding merchant high voltage transmission lines such as RICL from having condemnation power to take private property by eminent domain.  Click here to read Senate File 516:  an Act relating to state and local finances by making appropriations providing for legal and regulatory responsibilities, concerning taxation, and providing for other properly related matters, and including effective date and retroactive applicability provisions.  This bill passed the Iowa House on April 21, 55-39 and the Iowa Senate on April 21, 27-13.  Read the lanquage related to merchant transmission lines beginning on page 18 of the bill.
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This means that even if RICL decides to try and come back into Iowa they CANNOT take your property by use of eminent domain.  This is a huge win.

A very dedicated and amazing board of directors donated their time, energy and talents to continue this mission for nearly 4 years.
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Many people across Iowa and outside the state spent endless volunteer hours and contributed money to assist PRIA legislators in making this possible.
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We need to also remember the leaders in private property rights in other states who provided leadership and guidance as they continue their fight!

Hans Detweiler, vice president of Clean Line Energy Partners, Rock Island's Houston-based owner, said he's "encouraged" that Illinois' high court will review the case and hopes it "will recognize that privately funded infrastructure projects" like Rock Island "serve a public purpose."

I am referring to a contract that was just entered into on January 23, 2017, between Infinity and MJMEUC. Because the contract is contingent upon the approval of the Grain Belt Express Project, many of the terms remain confidential, but what I can say is that it is a 20-year term fixed-price contract that provides for the purchase by MJMEUC of a minimum of 100 MW of capacity and energy per year from our Iron Star Wind Project, a maximum purchase of 300 MW per year, and a likely purchase amount of 200 MW per year.

The 400-megawatt Iron Star wind farm near Dodge City is in advanced development and likely will be built this year.

In sum, in the absence transmission certainty,
with regard to both the existence of the physical line and the user fees, wind generation developers, such as Infinity, will not commit capital to develop new generation projects in areas that currently lack such access.