FERC approves settlement agreement for TrAIL
The settlement agreement, filed earlier this year by Allegheny EnergyÂ’s subsidiary, Trans-Allegheny Interstate Line Company (TrAILCo), includes the following:
• an incentive return on equity rate of 12.7 percent for the TrAIL project; • an incentive return on equity rate of 12.7 percent for the static VAR compensator installed at the existing Black Oak Substation, and
• a return on equity rate of 11.7 percent for any other projects TrAILCo may undertake for which no incentive return has been requested.
The settlement agreement, called “fair and reasonable and in the public interest” by FERC in its order, resolves all issues associated with establishing the transmission cost of service formula for TrAILCo.
Incentive rate treatment is intended to encourage new investment in electric transmission projects that will improve the reliability of electric service.
The TrAIL project will span portions of southwestern Pennsylvania, West Virginia and Virginia. TrAILCo is seeking regulatory approvals from the utility commissions in those states and expects a decision by the West Virginia Public Service Commission by early August. State regulators in Pennsylvania and Virginia are also expected to issue decisions later this year.
Related News
BC residents split on going nuclear for electricity generation: survey
VANCOUVER - There is a long-term need to produce more electricity to meet population and economic growth needs and, in particular, create new clean energy sources.
Increasingly, in the worldwide discourse on climate change, nuclear power plants are being touted as a zero-emission clean energy source and a key solution towards meeting reduced emissions goals. New technological advancements could make nuclear power far safer than existing plant designs.
When queried on whether British Columbia should support nuclear power for electricity generation, respondents in a new province-wide survey by Research Co. were split, with 43% in favour and 40% against.
Levels of support reached…
