Avista has entered a nonbinding memorandum of understanding with Grid United’s wholly owned entity North Plains Connector for a 10% ownership stake in the US 3GW east-west transmission line project.
North Plains Connector links the US eastern and western electric grids in Montana and North Dakota.
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The project, which will be open to all sources of electrical power generation, will be able to transport power in either direction. The 420-mile high-voltage direct current (HVDC) transmission line, with endpoints near Bismarck, North Dakota, and Colstrip, Montana, will enhance the US electric energy market connectivity.
Grid United CEO Michael Skelly stated: “We are thrilled to move forward with Avista on the development of North Plains Connector.
“With growing commercial interest, we’re confident that this project will continue to attract commitments through the end of the year.”
The agreement signifies Avista’s intention to invest in the project once it becomes operational. North Plains Connector will continue to fund the development until then.
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By GlobalDataIn August 2024, the North Plains Connector project received a boost from the US Department of Energy with a conditional $700m GRIP award to the Montana Department of Commerce.
Progress continued in October as the project entered the NEPA process for federal permitting – on track for its projected 2032 operational date.
The North Plains Connector is set to be the first HVDC transmission line connecting three major US electric energy markets: the Midcontinent Independent System Operator, the Western Interconnection and the Southwest Power Pool.
This connection will facilitate resource sharing and enhance grid flexibility across different time zones.
Avista, now a confirmed participant in the North Plains Connector following the GRIP grant announcement, is part of the NPC II consortium of eight utilities backing the project.
The company’s involvement will secure 300MW of transfer capacity, enabling access to a variety of energy resources, improving market options and alleviating congestion on the western transmission network.
Avista CEO Dennis Vermillion stated: “Market access and diversity of resources are increasingly important for Avista. North Plains Connector will provide Avista better access to both of these needs and is best suited to meet Avista’s unique system challenges.
“North Plains Connector provides a new, innovative transmission pathway that supports Avista’s strategic priorities by offering access to low-cost renewable generation to benefit our customers and further strengthen the grid.”
In March 2024, Grid United partnered with Hitachi Energy to deploy its HVDC technology for transmission projects in the US.
