Article Summary –
Minnesota-based energy company ALLETE and Grid United are collaborating to construct a high-voltage transmission line between Montana and North Dakota, with the potential to increase power grid expansion in the region. The 400-mile, $3.2 billion line, known as the North Plains Connector Line, will create a new transmission link between the Western Interconnect grid and the Midcontinent Independent System Operator grid. The project is expected to be operational by 2030 and could allow for 3,000 MW of additional generation onto the grid.
A recent proposal for a new Montana-North Dakota high voltage transmission line, the North Plains Connector Line, may revolutionize the regional power grid that has seen little expansion in the past forty years. The line would carry power from the Colstrip coal-fired power plant to major metropolitan areas in the Pacific Northwest.
In late 2021, ALLETE, a Minnesota-based energy company, and Grid United, a transmission developer from Houston, proposed the construction of the $3.2 billion, approximately 400-mile long transmission line from Colstrip to central North Dakota. They consider this line a long-term energy infrastructure asset, potentially opening up utilities to new energy markets, meeting increasing electricity demand, and aiding in resilience during extreme weather conditions.
Members of the renewable energy advocacy organization, Renewable Northwest, also perceive the North Plains Connector Line as an opportunity for Montana to benefit economically from the surge in demand for new power generation, especially renewable energy generation.
The proposed transmission line will be the first to connect the Western Interconnect grid with the Midcontinent Independent System Operator grid, helping resolve constraints in the western grid and enabling up to 3,000 additional megawatts of power generation into the grid.
Grid United plans to submit an environmental impact statement to the U.S. Department of Energy in fall 2023, hoping to complete the review process within two years. If all goes according to plan, the transmission line could be operational by 2030.
Despite the difficulties associated with transmission planning and permitting, there are multiple reasons to be hopeful about the project. The federal government’s move to expedite transmission review and Grid United’s proactive approach to engaging local communities are among them. Portland General Electric’s recent partnership with Grid United and ALLETE for 20% of the line’s capacity, bringing total subscribed capacity to 55%, further enhances the project’s prospects by reducing some of the financial risk associated with its construction.
An expansion in transmission capacity can help Montana tap into its abundant wind resource and attract electricity-intensive businesses. On the other hand, Montana’s economy is currently feeling the effects of limited grid expansion, as energy developers are seeking projects where transmission is readily available or planned.
Farrell, a transmission researcher with the Rocky Mountain Institute, a nonpartisan think tank focused on decarbonizing the energy sector, notes that new transmission does result in new energy-generating projects.
Farrell argues that the U.S. is in a race against time to expand its grid as legacy fossil fuel power plants are phased out, driven by shifting economics and sweeping policy changes. He also mentions that the January cold snap that set records for NorthWestern Energy’s load could have been mitigated if the North Plains Connector had been in place, potentially saving ratepayers a substantial amount of money.
Mike Cashell, vice president of transmission with NorthWestern Energy, adds that the grid is being pushed to its limits, and expanded transmission capacity will certainly help. However, he also expresses that planning, permitting, and building new transmission lines are challenging tasks that involve multiple jurisdictions, resource considerations, and complex negotiations about payment allocation.
Despite the obstacles, Cashell is optimistic that proposed changes encouraging a more proactive approach to transmission planning might ease the process. He also mentions that NorthWestern Energy is in talks with Grid United and ALLETE about the North Plains Connector but has yet to make a decision about participation in the project.
Unruh, with Renewable Northwest, is hopeful that the North Plains Connector can demonstrate that building new regional transmission lines is possible within a relatively short time frame. Economic development, economy security, energy security — it all comes through transmission security, he concludes.
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