Carmel, Ind., December 8, 2011 — MISO's board of directors unanimously approved MISO's Transmission Expansion Plan 2011, a comprehensive long-term regional plan for the electric grid that will bring more than $2 billion in annual benefits for decades to come for energy consumers throughout the Midwest.
The plan was developed during an 18-month process that included dozens of meetings with stakeholders to ensure the reliable and low-cost delivery of energy now and in the future.
When integrated into the existing power transmission network, the projects approved in MTEP11 will improve system reliability, connect 2,700 MW of queued generation and lower the cost of delivered energy while also enabling energy policy mandates. Board approval requires MISO's transmission owners to use due diligence to construct the facilities approved in the plan.
MTEP11 recommends 215 new transmission infrastructure projects, including 16 Multi-Value Projects. Together with the previously approved MVP, the 17 MVPs alone will create $15.5 to $49.2 billion in net present value economic benefits over a 20 to 40-year timeframe.
The MVP portfolio provides broad regional benefits commensurate with costs and also supports approved state and federal energy policy mandates in the MISO region. In total, the portfolio will deliver benefits in excess of 1.8 to 3.0 times its costs. For retail customers, that translates to $23 in benefits from lowered delivered energy costs for about $11 a year in investment — a 109 percent return.
Through the use of a low-cost generation siting system developed in collaboration with MISO's stakeholders, state regulatory officials and transmission owners, MVPs optimize portability for wind generation while minimizing distances from planned transmission to other fuel sources, assisting the region's transition to new generation facilities.
This in turn allows the states within the MISO footprint to meet their renewable energy and ensure lower-cost generation is fully utilized in the wake of pending environmental regulations that could cause the simultaneous outage of 61,000 MW of coal-fired generation in the region.