Four transmission service providers are partnering on a comprehensive proposal to build about 2,400 miles of new transmission lines and facilities to bring a new supply of wind power from West Texas to other parts of the state.

The consortium is formed by LCRA Transmission Services Corporation (LCRA TSC); Electric Transmission Texas, LLC (ETT); Oncor Electric Delivery Company; and Sharyland Utilities, LP.

The group is proposing an approach for development of Competitive Renewable Energy Zones (CREZ) – a new system of transmission lines needed to move wind power from generators in West Texas to more densely populated regions of the state. The Public Utility Commission of Texas (PUC) approved CREZ Scenario 2 on July 17.

Scenario 2 calls for 2,400 miles of new transmission lines and facilities at a total projected cost of $4.9 billion. It could more than triple Texas’ current capacity for wind power, from about 5,500 megawatts (MW) up to 18,456 MW. All partners in the consortium supported Scenario 2. Specifically, LCRA TSC cited the scenario’s superiority in meeting the overall CREZ objective, cost and contributions to system reliability.

The PUC on July 17 also asked transmission providers to submit a comprehensive, coordinated plan for its implementation. Rebecca Klein, chair of the LCRA TSC Board, said the goal of the consortium is to meet that directive from the PUC.

“The direction given by the PUC for market participants to look for opportunities to collaborate and streamline this process was clear,” Klein said. “This consortium represents a solid partnership between public and private transmission providers to develop an efficient and reliable plan to help deliver this much-needed renewable energy to a fast-growing state.”

Tom Mason, LCRA’s general manager and chief executive officer of LCRA TSC, said the move furthers the organization’s commitment to renewable energy.

“This is a natural fit for LCRA’s public service mission and commitment to provide reliable, low-cost power to the people of Texas,” Mason said. “LCRA helped establish the first commercial wind power plant in Texas in 1995 and CREZ offers an opportunity for us to continue to add more renewable power to the state's power grid.”

The proposal filed today outlines the transmission facilities that each member of the consortium would develop. Consortium members would assume responsibility for permitting, construction, operation and maintenance of the proposed facilities.

According to the proposal, LCRA TSC would build, own and operate about 600 miles of new and existing transmission lines and facilities representing about $795 million of the $4.9 billion project. LCRA’s portion of the project will help bring more wind power to Central Texas by way of its existing substation in Kendall County.

The deadline for transmission service providers to submit proposals for involvement in the CREZ project is Thursday, July 24. The PUC, which will review proposals submitted by the LCRA TSC-ETT-Oncor-Sharyland consortium and other transmission providers, is expected to make a decision in December or January.

LCRA is a nonprofit conservation and reclamation district that provides energy, water and community services to improve the quality of life for the people of Texas.

Created by the Texas Legislature in 1934, LCRA has no taxing authority and operates solely on utility revenues and service fees. LCRA TSC, an LCRA affiliate, owns about 3,300 miles of transmission line and other facilities that are part of the state’s electric grid.

Electric Transmission Texas LLC, (ETT), is a joint venture of American Electric Power (NYSE: AEP) and MidAmerican Energy Holdings Company.