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PJM Interconnection Gets Gored on Social Media by Mama Bear

4/29/2019

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This is an aerial view of Amanda Elisaon-Scott's property, where she recently constructed her "dream home" in Harford County, Maryland.  It's just a few feet from the new right of way for Transource's proposed Independence Energy Connection.  Her house is about 300 feet from the tree line, and Transource plans to put its right of way in between her house and the tree line.  This puts the transmission line less than 200 feet from her house, and even less than that from the backyard swing set where her three small children play.  Moreover, because the right of way is just off her back property line, she will receive absolutely no compensation for what could be taken from her.  She worries about her children and her family living within the shadow of giant electric transmission lines.  And she's not going to stand for it.  She's a self-admitted "Mama Bear," and everyone knows what happens when you get between a mama bear and her cubs.

Amanda took it home to its source at PJM Interconnection, in the wake of Saturday's Maryland Public Service Commission Public Hearing.  Amanda went to PJM's Facebook page, where she saw many posts about PJM's community involvement and a recent "take your child to work day."  But there was no place for her to make a post.  PJM has shut off that feature, preferring a "one-way street" for its social media presence, where only PJM may disseminate information.  The only place for the public to interact with PJM on social media is by posting a comment on one of PJM's posts.  And even then, those comments are "hidden" and not viewable by anyone other than their author and that person's Facebook friends.  This is what Amanda posted:
PJM Interconnection why do you filter the comments on your page, why do you not allow the public to share comments or post concerns??? Don't appreciate it when the public calls you out on your lies??? After our community hearing with the Maryland Public Service Commission I am back into full fledged pissed off mama bear mode, and I have ZERO plans of backing down. The entire project is unfounded, unjust, unnecessary and provides no benefit to anyone but YOU and your own financial gain. It will be a cold day in hell before I willingly allow you to destroy my community, our homes, property or my childrens back yard.
*EDITED*, I never expected all the shares, so I wanted to write a bit more of an explanation for those who aren't aware of that's going on.
PLEASE SHARE AND TAG TO SPREAD MORE AWARENESS!!!!!
I'm reaching out to everyone single person I can and through every single avenue there is. Crazy long story short for those who have no idea what's going on. A huge multi million dollar electric company PJM Interconnection has plans to build a new high tension powerline in northern Harford county MD, Washington county MD and Franklin county PA. This is a powerline that serves no purpose, and does nothing to benefit the general public, only the big power companies will reap the benefits. To make matters worse, there are existing underutilized towers that could solve the problem, without having to build a new transmission line. Currently they have plans to enforce eminent domain (steal our land) to build this line, and plan to disrupt homes, farms, orchards and small businesses. They have intentionally chosen farms in agricultural preserve because the land is "cheaper", and hold "less value", so therefore more cost efficient for them to steal. Unfortunately if the state allows this to happen, it will set a precedent that huge money hungry corporations can steal land from whomever they chose for their own financial gain. Does this directly impact you now ?? Maybe not, but I certainly never thought I'd be facing this issue, but here I am. Please Help spread the word. Share share share and share again!! They currently plan to go directly through my husbands great grandparents farm that we were blessed to have been able to build our dream home on, the land that we thought would allow our 3 small sons to safely grow, learn, play and explore. This project, if approved is going to ruin those hopes and dreams. So please, help make this issue known, and spread the word.

PJM exists to serve electric ratepayers in its 13-state region.  All PJM's money comes from ratepayers.  Each one of the 66 million ratepayers in the PJM region pays a portion of PJM's budget (and it's huge!)  And, in return, what do they get?
Can't even make a public comment on PJM's Facebook page.  PJM thinks the ratepayers who pay its bills should have no voice.

Here's what PJM thinks it does:
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Does that say "understand customer needs"?  How could PJM understand customer needs when it shuts itself off from communication with those very customers?  PJM is out of touch with its customers and has no idea what they need.  However, it is very in tune with its "members," like Transource, whose "needs" trump customer needs every time.  It's the epitome of "cartel."

So, like Amanda asked, share.  It's time for every one of those 66 million PJM customers to let their "needs" be known.

To learn more about Amanda's story, watch this video.
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Take a Drive, PJM!

4/28/2019

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Stop Transource filled the house yesterday at the Maryland Public Service Commission public hearing on the Transource project.  It is estimated that around 200 people gave up their Saturday to come out and show their staunch opposition to this project.

Transource opponent Patti Hankins asked PJM to take a drive...
Welcome to our Mason-Dixon Community. A Community at risk due to a broken PJM process.

PJM holds the view, that agricultural land is “undeveloped land” ready and waiting for their transmission projects. PJM fails to consider or care about the negative impacts their transmission projects have on our local economy, local agricultural businesses, rural pastoral viewsheds or the rural Community in general. PJM fails to recognize that agriculture is an intended land use designation. Harford County retains approximately 75,000 acres, or 27%, of the County’s land area dedicated to farming. Agricultural land is in decline and both MD & PA have made preserving agricultural land a priority. We can’t make more farmland.

On November 6, 2017 members of this Mason-Dixon Community, along with elected and appointed officials from both MD & PA met with PJM staff, Paul McGlynn (PJM System Planning), Matthew LaRocque (Manager Regulatory Affairs for MD, VA & NC), and Darlene Phillips (PJM State and Member Services) as a result of a written request to PJM’s Board Chairman. The purpose of this meeting was to resolve the need for any new “greenfield” transmission projects in our Community.

What was and is still disturbing is the failure of PJM and their staff to acknowledge that, as citizens, we know what is best for our Mason-Dixon Community. On November 6, 2017, those PJM staff chose to ignore the invitation by Councilman Chad Shrodes to take a five-minute drive to see the underutilized transmission line, the Otter Creek-Conastone line near Shaw’s Orchard in Norrisville. In fact, the Otter Creek-Conastone line parallels and is located within sight of the proposed Transource IEC-East line almost the entire proposed pathway. To validate this one only has to take a drive.

In addition, we were told that “some states have requirements” to utilize existing brownfields vs. building new greenfield transmission. And that “we are all working with the states to work within and respect the state’s regulations”. And that (the project) “was submitted based on state policy”. If those statements were true, PJM wouldn’t have approved Transource to build an unnecessary, redundant IEC-East transmission line in a Community already beset with existing underutilized transmission lines. Something that is very clear to the members of our Community. All one has to do is take a drive.

We expressed concern to PJM staff that the Benefit/Cost analysis only included costs of siting, costs of ROW’s, substation and equipment costs – transaction and infrastructure costs only, costs specific to building the project. A member of the York County Planning Commission told PJM staff, “those are transaction and infrastructure costs only, project costs specifically related to building the project. You are not looking at the farm economy for local farms. Where is the B/C for the Community? We need to come up with this impact.” There was just silence from the PJM staff present. Matter of fact, our Community still has yet to receive an answer from PJM. So, PJM what is the negative impact to our Community? Are you ever going to answer?

Our Mason-Dixon Community urges the Commission to provide that answer to PJM. Tell PJM that their project, the Transource IEC Project is denied. Tell PJM that existing underutilized transmission infrastructure is the best solution for “Market Efficiency” and/or “emerging reliability issues”. Tell PJM that the next time they propose a problem and search for solutions that they need to just take a drive.
Too bad PJM officials couldn't be bothered to give up their Saturday to listen to citizens concerned about the impact of a project PJM supports.  You drive me crazy, PJM!
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Maryland PSC Public Hearings!  This is Your Moment, Folks!

4/24/2019

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Starting this Saturday, the Maryland Public Service Commission will begin public hearings on the Transource Independence Energy Connection project.  The public -- that's you!  It's time for you to be heard!

It's a rare moment indeed when a government commission volunteers to work on a Saturday in order to provide the widest opportunity for working folks to participate in the very important public hearing process.  In fact, I've never heard of one like this before.  Don't let this important process go by without your comments!

When:  Saturday, April 27.  Hearing begins at 11:00 a.m., but please come early in order to sign up to speak and find a good seat.

Where:  North Harford High School, 211 Pylesville Rd., Pylesville, MD

What:  The Maryland PSC, who will make a decision whether or not to permit this project to happen, wants to hear from the public in order to inform their decision.  If you want to address the Commission briefly (3 minute limit), sign up with the PSC personnel in the lobby before the meeting.  If you think you can't speak, or the idea of doing so simply gives you the willies, you may submit written comments to the PSC staff at the sign-up table.  If you're undecided, come prepared for either action.  However beware that a certain magic happens at these hearings.  The feeling of camaraderie and community you will experience listening to the heartfelt comments of your friends and neighbors has been known to inspire even the most squeamish to trek back out to the lobby to add their name to the speakers' list.  And if you think you don't have a comment to make, please come and listen.  You may find that you want to participate after the hearing gets going, and that's okay.  Many in your community have been working hard, contributing both time and money to preserve your community and stop this expensive and unnecessary project and they would welcome your support during this important hearing.
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Who:  YOU!  You don't have to be a Maryland resident to participate.  You don't have to be an affected property owner.  You're probably an affected ratepayer who will end up paying for this project through increased electric bills for the next 40 years.  Even if you spoke at the Pennsylvania public hearings last year, you may speak again.  This is a whole new commission, making a completely different decision.  Make sure they make the right one!

If you miss this hearing, or it's too far away, you'll have another opportunity on May 18 at Smithsburg High School in Smithsburg, MD, also beginning at 11 a.m.  If no one shows up for this hearing, what message does that send to the PSC Commissioners?  Please make time to attend the hearing closest to you!

Why are public hearings so important?  Public hearings let the commissions know what the affected public thinks about the project and help to drive the opinion they will issue.  A project nobody seems to care about is taken as acquiescence.  But a hotly opposed project causes the commission to take notice that the public who would supposedly "benefit" from the project doesn't want it.

Has public hearing participation made a difference in other states, on other projects?  Absolutely!  Decked out, verbal and prolific public participants have rocked public hearing venues in other states so hard that the project has eventually been denied by the state commission.

It's time to stand up and stand out against Transource.  I guarantee you'll leave the hearing with a full heart, energized and inspired to do the best for your community.  Don't miss this important event!  You'll remember it proudly for a long, long time!
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Maryland State Agencies Recommend Denial of Transource Independence Energy Connection

4/15/2019

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Maryland's Power Plant Research Program (PPRP), the Maryland Office of People's Counsel (OPC), and other intervenors in Transource's Maryland permitting process filed testimony on Friday.  It's not looking good for Transource.  In fact, it's probably high time for them to throw in the towel and quit wasting my money.

The PPRP coordinates the review of seven Maryland State agencies to provide a recommendation to the Maryland Public Service Commission.  The recommendation is denial.
The recommendation by the reviewing State Agencies to deny a transmission project is a
rarity and is not made lightly, or without significant analysis and consideration. Yet, this project contradicts Maryland’s well-established statutory planning and preservation priorities. While, the work of PJM is vital to assure the reliability of the electricity grid that serves Maryland, what is most beneficial for the applicant, or PJM and its stakeholders, is not always what is in the public interest of the State and its residents. This discretionary PJM-driven market efficiency project, and the process used to approve it, demonstrates this divergence. As described by the Direct Testimony of the Secretary of Agriculture, Joseph Bartenfelder, and the Executive Director of MALPF, Michelle Cable, Maryland’s agriculture industry is vital to Maryland as its single largest industry after the federal government, which is why Maryland has prioritized preserving farmland and ensuring the integrity of MALPF easements. Projects that diminish the State’s efforts and devalue its investments to preserve this finite resource should not be approved when existing infrastructure is available. PJM and transmission developers should reasonably be expected to incorporate Maryland’s stated policies and statutes into their project development and approval processes.
PPRP rarely recommends a transmission project be denied, however Transource's project is so awful that denial is the only option.  This opinion also takes PJM to task for approving a discretionary project that doesn't comport with Maryland's energy policy.  This highlights PJM's biggest shortcoming:  states have the ultimate authority to decide on transmission projects.  Over time, PJM has devolved into a regulatory paper tiger that serves the needs of transmission owners, not the consumers it is ostensibly created to serve.  Until PJM considers states the ultimate stakeholder that they are, this incredible waste of time and money will continue.  Since the Federal Energy Regulatory Commission has granted Transource the right to make a filing to recover its costs of this horrible project in the event it is abandoned (and this event is becoming more of a certainty every day), the longer it continues, the more consumers will pay for a project that is never built and never provides one penny of "benefits" to anyone.

The PPRP puts great emphasis on the fact that viable alternatives to the project exist that would make use of existing transmission and rights of way.  PJM put absolutely no value on making use of existing assets, and Maryland law requires existing assets be considered before new rights of way are taken.

PPRP's opinion also points out that emergent "reliability" issues are the baggage of approving the Transource project in the first place.  Once Transource was approved by PJM and placed in its transmission expansion plan, new generators can be proposed that use it.  Since PJM must plan for transmission to serve generators in its queue, all of a sudden the Transource project becomes a "reliability" issue that would never have developed if the project wasn't approved in the first place.  It's a clear case of the tail wagging the dog.  Because PJM can only order new transmission, but not new generation, it becomes an obstacle to market forces that are supposed to drive the development of efficient and useful generation.  This is a fact that PJM's independent Market Monitor has highlighted in recent State of the Market reports.
The MMU recommends the creation of a mechanism to permit a direct comparison, or competition, between transmission and generation alternatives, including which alternative is less costly and who bears the risks associated with each alternative.
Transmission gets recommended long before any market-driven generation can solve issues.  When the only tool you have is a hammer, everything looks like a nail, right, PJM?

The PPRP's testimony and recommendation is long and consists of many parts, some really interesting.  Personally, I enjoyed the discussion of rare, threatened or endangered (RTE) species that will be impacted by Transource.  In addition to the bog turtles, made famous by Transource's civil suits seeking a court order to enter private property to survey for them, two other RTE species impacted by Transource were discovered, the Checkered Sculpin and the Allegheny Pearl Dace.  Wow!  Great names for things I've never heard of... what might they look like?  Are they some kind of tiny organism with huge names, or do they fit their auspicious monikers, falling into the realm of chupacabras, sasquatches, or mothmen?  They're fish.  Tiny, rare fish.  But even tiny, rare fish serve an important biological purpose.  And what purpose does the Transource IEC serve?  Oh, right, supposedly it will save someone in the DC-metro area a few pennies on their electric bill.

And, on that topic, the OPC's testimony, also recommending denial, highlighted an important fact.  The cost allocation for the Transource project was fixed in August 2016, when the project was approved by PJM.  The cost allocation, which was based on expected benefits at that time, will never change, although the benefits themselves have and will change constantly.  The testimony included an interesting table showing how the initial benefit/cost allocations have shifted over time.  For instance, in the Dominion power zone (DOM) the initial allocation of cost based on expected benefits from the project was 37%.  Dominion was supposed to see 37% of the benefits, therefore it was assigned 37% of the cost.  But since that time, Dominion's expected benefits have risen to 50%.  Dominion will receive 50% of the project's benefits, however its share of the cost of the project is fixed at 37%.  That means that other zones where benefit percentages have fallen will be paying for 13% of Dominion's benefits.
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As an APS customer, I'm going to receive 6% of the benefits, but pay for 8%, taking on 2% of the costs for Dominion's increased benefits.

The longer this project drags on, and the longer PJM and Transource try to bang a square peg into a round hole, the more my 8% share of the costs increases.

STOP IT, PJM!  You have the power to stop it right now.  It's well past time to cancel the Transource IEC!
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Ut-Oh, Dominion!

3/6/2019

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What happens when a utility manages to buy approval to build a highly controversial aerial transmission project that could have been buried to avoid the biggest controversy?

It blows up in their face, that's what.  And it could end up costing ratepayers millions in increased electric fees.

Dominion spent years trying to permit its Surry-Skiffes Creek transmission line project on 300-foot towers across the James River at Jamestown, Virginia.  It agreed to pay out millions in "mitigation" in order to appease opposition (of course, the mitigation will be paid by ratepayers, not Dominion), and it finally got approval.  But not all opposition was bought out and the National Parks Conservation Association continued its legal battle against the project while Dominion was busy constructing its monstrosity across the river.

Dominion turned on the power last Thursday.

On Friday, a federal appellate court ordered Dominion's permit to build the project void and returned the case back to a lower court.

Read about it here.

What's about to happen next is anyone's guess.  The court could order Dominion to turn off and dismantle the project.  Perhaps it will order changes to the project.  Either way, the cost of winning a legal permit will fall onto ratepayers.

This is absolutely absurd.  And expensive.  It probably would have been more cost effective to bury the project across the river in the first instance.

Who's to blame here?  Dominion.  And grid planner PJM Interconnection, who "ordered" the project in the first place.  But who will end up paying for their mistake?  Electric customers.

PJM, you've got to go.  You're costing electric ratepayers too much money!
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How Much Could PJM's Gaming of the System Cost You?

3/6/2019

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If you live in Pennsylvania, it could cost you $514M in increased electric bills.  If you're a JCP&L customer in New Jersey, it could cost you $102.6M.  If you're a PSEG customer, you could pay $156.3M more.  Most customer zones in PJM will pay more for their electricity if Pennsylvania and Maryland regulators approve the Transource Independence Energy Connection.  The majority of customers who would see their rates decrease from this project are located in BGE (Baltimore), Dominion (Northern Virginia) and PEPCO (Washington, DC).  The net change to region wide electric rates amounts to just $12M.  And to realize $12M net savings, PJM has ordered a transmission project that will cost more than $500M to build.  Are they nuts?  Or are they nothing more than electric Robin Hoods, robbing the poor, politically disenfranchised power zones to benefit the rich, politically connected ones?  Either way, something stinks!

Stop Transource member, land and business owner, and party to the state cases Barron Shaw tells us where that smell is coming from in a new editorial.

Everyone probably already knows Transource would cause increased rates in Pennsylvania (and if they don't, it's up to you to share your knowledge with your friends and family).  What's new is Barron's revelation about how Transource parent company American Electric Power and PJM Interconnection have gamed the Federal Energy Regulatory Commission into allowing a skewed evaluation process for new market efficiency projects, and how Transource gamed the system it had set up to make its project appear "beneficial" by essentially stuffing 10 pounds of electricity into a 5 pound bag.
So how can PJM propose a project that doesn’t really save any money, hurts Pennsylvania ratepayers so badly, and costs nearly $500 million to build? 
 
The answer can be found at the Federal Energy Regulatory Commission (“FERC”), the entity charged with regulating PJM.  FERC allowed PJM to implement a tiered system, with one set of rules for smaller projects, and one for larger projects.  Delineated by voltage, the lower tier rules allow PJM to completely ignore all zones that see increases, while the higher tier rules consider the net change to system production cost.  Transource realized that this created a loophole.  They designed the IEC to run at the highest voltage possible in the lower tier, but carry an astonishing 24 conductors.  Though run at only 230kv, the IEC has so many conductors it would have more power capacity than most 500kv lines that form the backbone of the grid.  One expert witness said it carried more power than any 230kV line he had ever seen.  Testimony showed that if the line were evaluated as a higher tier project, it probably would never have been proposed.

And if that isn’t gaming the system, then consider this: when PJM asked FERC to make the changes in the assumptions for future planned generation – the changes that affected the benefits last week – they didn’t provide much analysis.  In fact, they only gave FERC one table of examples.  Those examples showed what would happen to eight small projects with and without the proposed changes.  In all eight examples, the new rules reduced and usually eliminated the need for those projects by showing the projects no benefit.  PJM clearly was trying to tell FERC that they had historically been over-estimating the benefits of projects, and that the proposed rules would more accurately reflect lower benefits and result in fewer unnecessary projects.  But just days after the rules were changed, the IEC showed a $250M swing the other direction.  Bait and switch anyone?  You can almost hear the laughter in the PJM hallways.

PJM is a cabal of utilities interested in one objective: making money.  They have manipulated the rules to allow the proposal of a project that will lose hundreds of millions of dollars, destroy preserved farmland, and raise rates for Pennsylvania residents, all while ignoring existing alternatives.  If nothing else, this process has convinced any objective onlooker that PJM needs tighter regulation.  FERC has been too trusting, and the effects are clear.
That's right, with the help of AEP, PJM created a two-tiered evaluation system based on voltage that allowed the lower voltage projects in the bottom tier to take no notice of increased electric costs in parts of the region that wouldn't see benefit from the project.  And once that system was set in place, AEP designed (and PJM selected) a bottom tier "lower voltage" transmission project that actually moves more power than those in the upper tier that would have to balance cost decreases in beneficiary zones against increases elsewhere in the region.  Because a higher voltage project normally used to move this amount of power would not pass a cost/benefit test, Transource created a monster of a lower voltage project in order to pass the test.  One has to wonder whose interests PJM has in mind when it approves adding additional conductors (wires) to a lower voltage project in order to make it move as much power as a higher voltage alternative using less conductors.  Which configuration is actually more efficient?  Better designed?  Able to be upgraded without building new lines?  As non-engineers, we can't really say, however we can depend on the knowledge of power engineers who don't build this kind of project.  Transource IEC is truly one of a kind, from an engineering standpoint.    And this leads me to believe it's probably not the best idea.  What were you thinking, PJM?  Aren't you supposed to have the best engineering staff in our region in order to keep the lights on?  This isn't a great example.  In fact, it looks like PJM is part of some kind of conspiracy, like a cartel, or a cabal, or both.

Read Barron's entire editorial.  He makes it easy to understand PJM's outrageous manipulation and abuse of its authority to enrich its biggest members.  PJM needs to go!
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Transource Shoots Itself In The Foot At Hearing

2/24/2019

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Maybe it was just the thrill of getting a last minute piece of evidence admitted into the record that made Transource do it?

Citizens to Stop Transource reports LATE-NIGHT EVIDENCE SUBMISSION PUSHES AN ADDITIONAL $200M IN COST ON PENNSYLVANIANS.  At hearing on Friday, Transource presented a brand new piece of evidence and then attempted to shoehorn it into the record.  It's a pretty cheap trick.  Evidence must be examined by all parties over a period of time that allows for discovery and consultation with experts.  The impetus for this last minute evidence appears to be a recent FERC order that removes potential new generation from the market efficiency evaluation.  Because PJM's new generation queue is chock full of possible new generators, and the vast majority of generators proposed never actually get built, FERC felt it was best to exclude these generators from market efficiency evaluations.  And because exclusion of these proposed generators increases the supposed "benefit" to electric ratepayers in Washington, DC, and increases the IEC's cost-benefit ratio, Transource thought it was a good idea to get this info. into the record.

Where did you think you were on Friday, Transource?  Did you think that your limo had dropped you off in Washington, DC? 
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I can see the confusion though, and I am completely sympathetic.  I understand that utilities routinely arrive at regulatory hearings in black, chauffeured vehicles that also double as funeral conveyances, but if you were in DC you'd probably have been riding in a series of black Lincoln Town Cars.  Pay attention, Transource!  You were in Pennsylvania on Friday!

As Citizens shares, Transource's new exhibit increased electric rates for Pennsylvanians another $200M!  (In order to translate the exhibit to match increased costs to the actual location of PJM "zones," you'll need this map also).
The new figures raise the projected electrical rate increase in Pennsylvania rates from $350M to over $500M (NPV over 15 years).

The new simulation projects $982M in electrical cost reductions for the DC market, but $969M in increases elsewhere,
including over $514M in electric rate cost increases in Pennsylvania alone.
This also means that the actual amount of "benefit" to the PJM region as a whole (when both increases and decreases are averaged out) is just $12.5M.  For a project that is going to cost ratepayers hundreds of millions!  This is the stupidest thing ever!
If all benefits and costs were to be included, the total benefit of the project would be negative $439M NPV over the next 15 years. 
That's a negative number, which means that instead of receiving a financial benefit, we're all going to be paying more!  This is market efficiency?

At any rate, there Transource was in Pennsylvania, asking Pennsylvanians to take a look at it's sturdy new cost benefit ratio number!  Look!  It provides over $900M in benefits!  Except a look at the worksheet clearly shows that only those zones that showed a benefit (cost decrease) were included in the calculation.  For those zones that showed an increase in electric costs, Transource disregarded them and did not include in their "benefit" numbers.

Is it because Transource believes that the Pennsylvania PUC doesn't care about increased costs to Pennsylvanians and instead focuses on benefits for a handful of the most wealthy counties in the U.S. (not in Pennsylvania, BTW)?
Citizens to Stop Transource VP Barron Shaw stated: “Transource doubled-down on their bet that Pennsylvania would approve a project that effectively drains low-priced electricity from Pennsylvania in order to subsidize the wealthiest counties in the nation.  This project was bad before, and it is even worse now.  The PUC would be nuts to approve this project.”
Really stupid, Transource.  Really stupid.
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American Electric Power Destroys Farmer's Land While He Attends Hearing To Save It

2/22/2019

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How low will you go, AEP?  While farmers opposing its unneeded, uneconomic Transource transmission line were attending the first day of the Pennsylvania PUC administrative hearings to decide whether or not to permit the project, AEP sent its out-of-state contractors in for a joyride across their land.  And this is the destruction they came home to yesterday...
And Transource agents lied, flat out lied, to the landowner and told him they would be out on a different day.  This is no coincidence.  Transource did its trespassing and destruction with full knowledge that the landowner would be elsewhere, trying to protect his property from exactly this.

How in the world can anyone (especially regulators) believe all this company's promises about taking care of the land it disturbs and paying for damages when this is what happens when simple core drilling to examine tower sites is done? 

This is the reason a utility should never be permitted to trespass on private property before its project has been approved by regulators and it has a permit in hand.  The destruction and safety issues will continue and get much worse.  And for what?  So ratepayers in Washington, DC can save 20 cents on their electric bill?  This project will never be approved.  American Electric Power lies to landowners and wantonly destroys their property.  This isn't a company you'd want as a tenant on your land in perpetuity.

And one more thing... here's the landowners showing up at the PA PUC hearing yesterday in a rented school bus that they paid for.
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And here's Transource, its high-priced lawyers, and AEP corporate stuffed suits arriving at the same hearing like movie stars in a Mercedes limo.  I'm surprised there wasn't a red carpet, although maybe the driver just hadn't unfurled it yet.  Who paid for that?  I did.  You did.  Struggling electric consumers in numerous states paid for these clowns to ride in style.
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This travesty simply has to end.  We can't afford it.

Shame on you, American Electric Power!
1 Comment

PJM's Got Nothing

2/12/2019

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In this last blog in the Transource Pennsylvania Surrebuttal Testimony series, let's take a look at the testimony filed by the three witnesses for the state Office of the Consumer Advocate.

The testimony of Scott Rubin was pretty quick.  It sure looks like PJM's got nothing in the way of facts that challenges Mr. Rubin's testimony about the increase in costs to Pennsylvanians that would come with a Transource IEC project.  What PJM's witness does is try to confuse allocation of project costs with economic benefit.  It's all just smoke and mirrors and Rubin creates a great example demonstrating that alleviating "congestion" causes increased costs for customers on the unconstrained side of the congestion.
I agree with Mr. Herling that if a project can be devised to cost-effectively eliminate the transmission constraint, the entire cost of that project should be borne by customers in Town B. As a matter of cost allocation, that is the fairest way to allocate the cost.

Where PJM and Transource are incorrect, however, is in ignoring the increase in costs in unconstrained areas when determining the benefits of a project. By using only the decrease in costs on the constrained side of the congestion point to determine the benefits of a project, PJM and Transource greatly inflate the benefits of the project, making an uneconomical project look economical.
There are no "special people" who deserve to have their rates lowered by raising them elsewhere, but that seems to be what Mr. Herling believes.  By looking only at cost decreases in the Washington, DC-metro area, and ignoring cost increases to Pennsylvania and other zones, PJM picks winners and losers in the electric rates game.  Cost increases should balance out cost decreases when determining "benefit" to the whole region PJM serves.

And speaking of the whole region, Mr. Rubin confirms Barron Shaw's testimony that if the IEC were a regional project, it would not come anywhere near meeting PJM's cost-benefit threshold of 1.25:1.

Mr. Rubin also corrects Mr. Herling's $866.2M estimated savings number, which it appears Mr. Herling plucked from thin air.
The most recent information provided by Transource shows that using PJM’s incorrect assessment of benefits (that is, looking solely at zones that would have reduced power costs) results in reduced congestion costs with a net present value of $707.29 million over 15 years. Moreover, as I explained in my direct testimony and as that same schedule shows, the total benefit to PJM (the sum of zones with reduced power costs and those with increased power costs) is only $17.05 million over 15 years.
And Mr. Horger's number is even worse.
 In other words, a project with a 15-year cost of almost $500 million would produce just $260 million of system-wide production cost savings over that same time period. This is a further indication that the Project is not economical and should not be constructed.
Mr. Horger should have quit while he was ahead.
Under PJM’s methodology for higher-voltage market-efficiency projects, system level production cost savings would receive a 50% weighting in determining the project’s benefits. The other 50% would be made up of savings in the benefiting zones. If that methodology were used for this project, it would result in the Project’s 15-year discounted “benefits” being calculated to be: (50% x $260.13 million) + (50% x $707.29 million) = $483.71 million. This is less than the Project’s 15-year discounted cost of $498 million, meaning that the Project would fail to provide a benefit-cost ratio of 1.0, let alone PJM’s required ratio of 1.25 or higher. Thus, if system-level production cost savings were considered, as Mr. Horger posits, PJM’s own methodology would result in the project failing the benefit-cost test.
Are the judges supposed to be impressed by PJM's magic math?  Or will they instead be swayed by simple, logical explanations they can follow?

And then there's Mr. Cawley, who opines that Pennsylvanians are not "entitled" to benefit from transmission congestion and that their increased costs should be ignored.  He even goes so far as to call notice of increased costs "self-interested parochialism."   

As if the decreased costs for Washington, DC at the expense of Pennsylvania ratepayers isn't "self-interested parochialism" in its own right?
And this is testimony in the Pennsylvania PUC proceeding.  End of story.
OCA Witness Geoffrey Crandall seems to have the same problem as other witnesses where PJM "misunderstood" and misstated his testimony, and then attempted to respond to things Mr. Crandall never said.  Does this trick never get old with PJM (or maybe it's AEP, the source of all PJM's testimony)?  Fact:  PJM never considered non-transmission alternatives to the IEC, although they exist in plenitude right in the back yards of the ratepayers experiencing the congestion costs.

And then we get to OCA witness Peter Lanzalotta, who also seems to have been victim to PJM's "misunderstanding" game.
Mr. Weber appears to state that my testimony recommends that the Eastern portion of the Project should be replaced either i) by new lines in existing transmission ROWs or ii) by additional circuits on lines already owned by PPL. The first part of this contention is completely incorrect. My direct testimony addresses the use of additional circuits on lines already owned by PPL. It does not address the installation of new transmission lines on new towers along existing ROW. My direct testimony points out that PJM did not evaluate the use of additional circuit positions already available on transmission towers owned by PPL. I do not develop an alternative to the facilities in the eastern portion of Project 9A. I only present the recommendation that use of additional circuits on transmission towers already owned by PPL be evaluated as part of an alternative to the proposed facilities in the eastern portion of Project 9A.
And PJM tries to defend its broken competitive planning process by sharing that it doesn't keep an inventory of existing circuits with room to add new, and besides it can only select an option from those that were submitted in its project window.  Poor, poor PJM, trapped and prevented from doing logical, cost effective planning.  *sniff, sniffle, wahhh* 
PJM is so busted... PPL submitted testimony with multiple options for using existing lines.  Maybe it's time for PJM to pull its head out of the sand?

After reading all this testimony, I can only conclude that PJM has nothing with which to prop up the Independence Energy Connection in the face of the simple, logical testimony of its opponents.  Trying to muddy the waters and confuse the judges just isn't working.  I have every confidence in the PA OCA and the Stop Transource folks to continue their excellent work and prevail at the evidentiary hearings beginning next week.

The IEC has been nothing but a huge waste of time and money.  Let's stop the bleeding.
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Unapproved Transource Invades Private Property

2/11/2019

1 Comment

 
The Transource Independence Energy Connection is still in the regulatory process and has not been approved by Pennsylvania, nor Maryland.  In fact, Transource is barely limping along at state regulatory commissions and I'm pretty certain it will not be approved.

However, Transource is in a big hurry to spend money on its project that will have to be reimbursed by all electric customers in the region.  With a guarantee granted by the Federal Energy Regulatory Commission, Transource can apply to have all its prudent costs reimbursed by electric consumers, plus 10.4% interest, in the likelihood that the project is eventually abandoned and never built.  Transource is all about spending as much as possible as quickly as possible.

Today, Transource's Texas-based construction company entered private property under court order to drill giant holes for soil samples.  The idea is to investigate the possibility of erecting a 130-ft. tall transmission tower right there, in the middle of this cornfield.
Picture
Transource asked landowners for permission to enter their properties to do testing, cut vegetation, and do core drilling.  Landowners refused to grant permission voluntarily.  Transource took landowners to court to get an order permitting them to enter private property to do this preliminary work.  Testing and surveying has taken place without landowner permission.  And now the drilling starts.  Construction workers have entered private property with their tracked drilling rig and vehicles (and from the looks of it, made a mess in the process) and gone about their business, under police guard no less.

But not without notice.  Not without protest.  Today, dozens of landowners showed up at the Transource drilling site on very short notice, and in bad weather to boot, to stage a peaceful protest to this unwarranted destruction of their community.  It looked like this.
How alarming is it that these landowners are being invaded by an out-of-state company, having their fields disturbed and damaged, without receiving any compensation for their trouble?  And for an electric transmission project that is not approved and most likely will never be built.

To stand with these landowners and to get more information, including live video of today's protest, visit them on Facebook at Citizens to STOP Transource - York.

These landowners are not giving up and not giving in, but will resist Transource at every juncture.  Bravo!
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    About the Author

    Keryn Newman blogs here at StopPATH WV about energy issues, transmission policy, misguided regulation, our greedy energy companies and their corporate spin.
    In 2008, AEP & Allegheny Energy's PATH joint venture used their transmission line routing etch-a-sketch to draw a 765kV line across the street from her house. Oooops! And the rest is history.

    About
    StopPATH Blog

    StopPATH Blog began as a forum for information and opinion about the PATH transmission project.  The PATH project was abandoned in 2012, however, this blog was not.

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