Legislators, advocate protest decision that puts financial burden of power line on Delaware customers

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Delaware House Democrats joined Gov. Jack Markell in opposing a Federal Regulatory Energy Commission decision that has Delaware businesses and residents footing the bill for a power line from the   Artificial Island power plant site in New Jersey.

The letter, sent to the FERC on Friday, supports  Markell’s decision to appeal the commission’s ruling on the $272 million project designed to help stabilize the grid around one of the nation’s largest nuclear power plant complexes.

According to the letter,  “It’s outrageous that the commission essentially charged ‪ ‎Delmarva ratepayers more than 90 percent of the cost for a project for which they will only receive 10 percent of the benefits. As local legislators, we have heard from our residents, many of whom cannot fathom why they will be asked to shoulder cost increases they cannot bear… The House Democratic Caucus stands united in opposition to the FERC’s decision and urges the FERC to reconsider this ruling.”

Delaware Public Advocate David Bonar, in a letter to PJM,  reported the burden on Delaware ratepayers could range from $13 a month for households to between $6,000 and $50,000 a month for the largest commercial customers.

PJM spokeswoman Paula duPont defended the decision. PJM managed the grid and determined that the project was needed.

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“The federal commission’s decision reinforced a method it previously approved as fair and transparent. The transmission owners, who operate and build the lines, developed the cost allocation method. Each of the 13 states in PJM and Washington, D.C. pays for upgrades and additions to the transmission system that follows the cost allocation formula,” duPont stated.

She added. “As for the projected costs for the Artificial Island project, they are not final yet. Certainly we are concerned about the magnitude of the cost increase. We’re working with PSE&G to understand the reasons for it. We are actively exploring whether alternatives or options will reduce the overall project cost.”

In his letter, Bonar said other projects have been scrapped, due to concerns over costs and need.

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