Ground was broken for the Silver Run Electric transmission line project near the proposed substation on Silver Run Road in Middletown.
“Any project that strengthens Delaware’s competitive positioning in the region, while paying very close attention to environmental impact is something we should all celebrate,” said Lt. Gov. Bethany Hall-Long, keynote speaker at the event.
The Silver Run project started in 2013 when electrical grid operator PJM opened its first major competitive transmission process to solve grid stability issues in and around the Artificial Island area in southern New Jersey.
The area has nuclear power plants in rural areas that are in a relatively isolated area that does not have the bulk of the customer base of the power plants.
After reviewing the situation, PJM selected LS Power affiliate, Silver Run Electric, to build, own, and operate a new power line linking Delaware and New Jersey. A portion of the project will be buried under the Delaware River.
The project drew fire from officials in Delaware and Maryland. Under the usual formula, Delaware and Maryland would have borne the brunt of the costs of the powerline project, even though ratepayers would see only marginal improvements in reliability.
Although appeals could arise, federal regulators ruled that customers in other populated areas who would benefit from the powerline stability will pay the bulk of the costs of the project.
“Each of you is here today because you’ve played an important role in this project over the past several years,” said SRE Project Director Casey Carroll. “I’m happy to move this project from development to construction, and thank you again for your part in this achievement.”
“Delaware feels like home to many of us at LS Power,” said LS Power CEO Paul Segal. “In 2011 we constructed the Dover SUN Park – which was one of the first utility-scale installations in the eastern United States. It’s been a privilege working with the great neighbors, regulators and elected officials of Delaware.”
Silver Run says it was an early advocate for electric consumers in the fight for the more equitable rate allocation — eventually cut from 60 percent to 6 percent by the Federal Energy Regulatory Commission.
The Silver Run project comes with a number of firsts.
- First major competitive transmission process in the eastern US
- First time vertical injector technology will be used to install submarine power cables in the U.S.
- First time a cable of this size and voltage will be used in a submarine application
- First cost cap provision that protects consumers against overruns
- First new entrant utility to build, own, and operate components of the regional electrical system in Delaware
The transmission line project is expected to be completed in 2020.
Other Delaware dignitaries in attendance at the groundbreaking ceremony included Senator Stephanie Hansen, Senator Bruce Ennis, and New Castle County Executive Matthew Meyer. Representative Kevin Hensley served as Master of Ceremonies.
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Lt. Governor Bethany Hall-Long speaking at the SRE transmission line groundbreaking event in Middletown.
L/R Rep. Kevin Hensley, Sen. Stephanie Hansen, SRE Project Director Casey Carroll, Lt. Gov. Bethany Hall-Long, Sen. Bruce Ennis, NCC Executive Matt Meyer.
