ISO New England OKs Plan To Expand Transmission System

The 150-page blueprint, which New England's grid operator developed with input from participants in the region's wholesale power market, was designed to improve electric reliability and to foster the development of competitive wholesale power markets.

The plan analyzed the area's power needs from 2002-2006, identified potential bottlenecks and suggested possible transmission upgrades.

The analysis said a congestion management system that places a premium on power located in constrained areas would encourage the construction of new power plants, transmission facilities and demand-side management programs in the areas where they're needed most.

The report also recommended performing an economic analysis and feasibility study to determine the benefits of upgrading the capacity of transmission interconnections to increase the flow of power into southwest Connecticut and Boston, and to boost the movement of electricity out of southeast Massachusetts, Rhode Island and Maine.

Congestion in these areas will cost $125-$600 million a year between 2002 and 2006, according to the report.