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BACKGROUND:
Population and energy usage continue to increase across North Carolina, and significant growth is expected to continue for the foreseeable future. An estimated 25,000 to 30,000 new homes and businesses are added to Progress Energy Carolinas' system each year - the equivalent of a fully built-out midsize city - and the company must continue to plan to meet that growth by investing in enhancements to the company's generation, transmission and distribution systems.
Progress Energy maintains a system of transmission intertie connections with neighboring utilities to support system reliability and affordable energy for the region and state. Growth projections and a comprehensive system analysis have indicated the need to develop a new interconnection between Progress Energy's transmission system in eastern North Carolina and Duke Energy's system in the western half of the state.
Late in 2006, the N.C. Transmission Planning Collaborative issued a preliminary report that confirmed the need for improvements and upgrades in this region to enhance electric system reliability and to promote enhanced transmission access across the state. The transmission study group includes representatives from Progress Energy, Duke, the state's electric cooperatives, municipally owned electric systems and independent third parties.
Progress Energy plans to invest more than $37 million in building a 230-kiloVolt transmission line between Progress Energy's Asheboro 230-kilovolt substation (east of Asheboro on Highway 64) and a point on the Duke Energy transmission system south of Greensboro at the Pleasant Garden substation. The length of the project is approximately 20 miles, but the ultimate length will be determined by the route selected. The project runs through densely populated areas. The project also includes enhancements to the substations to accommodate the transmission improvements. The substation work is not expected to require additional property.
Progress Energy and Duke Energy will work together to develop a project that best meets the needs of the region and state, in an efficient and environmentally sound fashion.
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WHY THE PROJECT IS NEEDED:
- Population growth and increased energy usage continue across North Carolina. The state is now the country's 10th most populous, and that significant rate of growth and increased usage is expected to continue for the foreseeable future. Progress Energy expects to add 25,000 to 30,000 new homes and businesses each year as more and more people move to the Carolinas.
- Progress Energy has a responsibility to plan for meeting the future needs of its current and anticipated customers. We're doing that through a balanced approach that includes a focus on energy efficiency, increased investment in renewable energy sources, investments in state-of-the-art environmental retrofits on our existing plants to reduce environmental impacts and investments in new power plants and other infrastructure.
- In addition to building new power plants, Progress Energy must continually enhance the transmission and distribution systems to help ensure a continuous, reliable flow of electricity to homes and businesses in the region and to provide adequate import and export capability for wholesale power through Progress Energy's service area, as required by law.
- The need for the enhanced interconnection was confirmed in a recent report by the N.C. Transmission Planning Collaborative, a group of transmission owners, city-owned utilities, electric cooperatives and independent third parties appointed to develop a collaborative planning process to enhance the reliability of the state's transmission system and increase import capability.
- Without the transmission system upgrades, this rapid-growth region would exceed electric system capability in the near future, potentially creating the types of electric system reliability concerns that have plagued other parts of the country in recent years.
- Electricity is far too important for our customers to risk service interruptions or problems with power quality due to inadequate facilities. Progress Energy and the N.C. Utilities Commission have an obligation to ensure that the electric system is maintained and upgraded appropriately.
- High-tech companies and today's highly electronic homes and businesses need reliable, high-quality electricity. This project is intended to ensure the continuation of a reliable, high-quality flow of electricity in the future.
- The upgrades will enhance system reliability for electricity consumers throughout the region, not just Progress Energy customers. In addition to Progress Energy's own retail customers (more than 1.2 million in North Carolina), the company must plan to accommodate the transmission needs of wholesale customers, including NCEMC and the N.C. Eastern Municipal Power Agency.
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ADDITIONAL BENEFITS:
The transmission upgrades, when complete, are expected to generate additional annual property tax revenues for the host counties and municipalities.
Maintaining a robust system for supplying and delivering electricity is integral in ensuring the continued economic prosperity of the region and state.
The additional transmission system investment will improve power quality and reliability in the region.
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SCHEDULE:
The scope of the project will be determined by the route selected. The project schedule calls for gathering input on potential routes in 2007, selecting a final route by late 2007, surveying the selected route and acquiring property easements beginning in early 2008, initial right-of-way clearing beginning in late 2009, construction of the line beginning in early 2010 and continuing through mid-2011, when the line is expected to become operational.
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PERMIT REQUIREMENTS:
The project requires a number of local, state and federal permits and approvals, including need certificates from the NCUC, environmental and construction permits. Progress Energy will work with local governments and agencies to ensure that the project complements local growth plans. Progress Energy will comply with all regulatory requirements related to the construction and operation of the facilities. Before the development of any preliminary routes, Progress Energy and its contractor, Burns & McDonnell, will contact the Corps of Engineers, the Fish & Wildlife Service, State Historic Presentation officer, the N.C. Department of Environment and Natural Resources and other agencies that have an interest in the project. The project scope and work also will be coordinated with Duke Energy.
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PUBLIC PARTICIPATION:
Progress Energy believes public participation is critical to the success of any project. Among other communication initiatives, Progress Energy and Duke Energy will hold public information meetings in the area where the transmission facilities will be built. On Aug. 14, the meeting will be at the Asheboro/Randolph Chamber of Commerce Meeting Room, 317 E. Dixie Drive (Highway 64) in Asheboro; on Thursday, Aug. 16, the meeting will be held at the Pleasant Garden Fire Department meeting room, 4812 Pleasant Garden Road in Pleasant Garden. Both meetings will be from 5 to 7 p.m. and will follow an open house format, allowing property owners to come and go as they like. Progress Energy staff will be on hand to answer questions about the scope and schedule, as well as other aspects of the project. The purpose of these meetings is to provide information on the need, scope and schedule of the project and gather pertinent data from property owners and others on the potential routes. The N.C. Utilities Commission also may hold a public hearing as part of its review process. Progress Energy also will make information available via the Web and will communicate directly with impacted property owners and others.
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OVERHEAD VERSUS UNDERGROUND:
Progress Energy investigated the possibility of putting portions of the line underground and could still determine that an underground option is feasible for part of the project. Underground transmission lines have pros and cons. The reliability of underground transmission lines remains a question across the United States, as relatively few have been constructed. A fault in a buried line, caused by a manufacturing defect or an accidental dig-in, would take much longer to locate and repair than a similar fault in an overhead line. Other adverse factors regarding underground transmission lines are the effects they can have on wetlands and soil erosion and the decreased electrical capacity they can carry. They also tend to be significantly more expensive than overhead lines, and despite the common misperception that underground lines are out of sight, out of mind, their installation is often more environmentally intrusive than overhead construction.
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Map of Route
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About a Transmission Issue
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