Commissioners hear SunZia Project update

By Mary Alice Murphy

Grant County commissioners heard an update on the SunZia transmission line project at their work session on Tuesday, April 18, 2017.

John Strand, who has been promoting the project for several years, said: "We are in high gear right now. We've been working on the 515-mile project for eight years. Part of the project crosses the Grant County panhandle. It will start near Corona, N.M., go to near Socorro, down to Deming and westward into Arizona."

He said people question him on the need for the electrical transmission line. He showed a wind map. "That's why investors are interested in building the line toward the western states. New Mexico's closest competitor for wind is Wyoming."

Strand explained that if copper mines didn't find a way to export copper or Hatch find a way to export chile, there would be no market. "That's why we need a way to get wind power out of New Mexico. New Mexico has poor infrastructure for electrical transmission. Some of the power may be used in the state. PNM could pull some off the line north of Socorro." He said with transmission lines, renewables are becoming cheaper than traditional power generation.

He said SunZia is not a company. It's a project with partners. "The Southwestern Power Group is the main owner. We hope to be in construction in 2018. We will see a lot of economic activity in the area. The panhandle of Grant County has a lot of potential for solar and wind power. Companies will likely be building infrastructure for wind and power along with the transmission line."

Other partners include Shell Wind Energy, Tucson Electric Power, Salt River Project and Tri-State Generation and Transmission Association, Inc. Pattern Energy was chosen as the anchor tenant for the first 500 kV transmission line.

"We will build one AC line first," Strand said. "We do have the right-of way through BLM land for two lines. We are asking permission for Location Approval from the Public Regulations Commission, which may or may not approve the application within six months.

"We are asking our community partners to help us with letters of support," he continued.

He said more than 2,000 miles of alternate route studies had been done by the BLM, which decided the routes for the line.

Commission Chairman Brett Kasten said, with three new commissioners, "We want to let them know why we have supported the project. We cannot be a supporter of renewables without supporting a transmission line. The panhandle is the No. 1 spot in our county for wind and solar."

Commissioner Harry Browne asked Stand if he anticipated problems getting approved by the PRC.

"Not particularly," Strand replied. "We have encountered problems along the way, but we have not identified any specific problems. I am not aware of any opposition."

Former state Senator John Ryan said the project has worked with a number of cooperating agencies that were environmental groups. "The EIS took eight years and cost $50 million. No one got everything anyone wanted. I think all concerns have been alleviated. We do have an agreement from the cooperating agencies. The White Sands Missile Range may still have some concerns. The BLM came up with a compromise that we can do five miles underground 40 miles north of the range. It will be in the call up area, but we anticipate a smooth ride at the PRC. We are not sure if there will be public hearings. We anticipate a 60-day review. The study was extremely extensive."

Commissioner Billy Billings asked if the project had contacted private landowners. Strand replied that the process is beginning and some rights-of-way are already approved.

Billings asked if the entire transmission line was next to existing power lines.

"Yes," Strand said. "The main line is a 345 kV line from Springerville to the Hidalgo Substation to El Paso."

Commissioner Alicia Edward asked if the second line would be parallel to the first, to which Strand answered in the affirmative.

"Does the first line have capacity to provide power for Grant County?" Edwards asked.

"Yes, we believe so," Strand said. "Like highways we will have on ramps and off ramps where electricity can be pulled. We fully expect PNM to take capacity from the 500 kV line, but that will open capacity downline."

He noted that from Afton to Willcox, a 345 kV line is being built to a coal plant, "which I don't expect to last much longer. Several companies are looking in Luna and Grant counties for capacity and creating a wind profile."

Grant County Manager Charlene Webb asked if there was a significant amount of right-of-way from the state land office.

"In some places, we have tried to get rights of way," Strand said. "Not many private property owners are opposing us. We may have right of entry with the state land office."

"If we generate power, what kind of transmission loss is there?" Browne asked.

"That's a good engineering question," Strand said. "With a 500 kV transmission line, the loss is less. The second line may be DC, which will have even less line loss, but is more expensive to tie into substations."

Kasten said: "This is an uneducated answer, but the loss is no more than with coal-generated power."

Strand said both renewable and coal are needed to complement one another. "We have to have back up generation somewhere. You may see more solar, wind and conventional here."

Kasten asked if Strand was requesting a support resolution, and Strand said he would love it. Webb said it was on the agenda for Thursday.

The next item on the work session agenda was the reappraisal plan from County Assessor Raul Turrieta.

"It's a reappraisal plan, but I'm now calling it a re-inspection plan," Turrieta said. "It's a long-term plan with some properties on a one-year schedule and some on a two-year schedule, unless they change hands."

He explained that he uses market rent for commercial valuations. "We have 6,000 accounts at historical values. I'm lagging behind on sales reviews. We will be out there constantly reviewing properties. The notices of value are supposed to be mailed out by April 1. I got an extension and we mailed them out on April 5."

Turrieta noted he had been having trouble receiving building permits from the state.

"We have changed the forms for business personal property," Turrieta said. "They will bring in little tiny tax payments that are not on the books. We have also revamped the forms to make them separate for grazing and livestock. We are doing a 3 percent cap for 2017."

The next article will cover a review of the agenda for Thursday's regular meeting at 9 a.m. at the Grant County Administration Center in the Commissioners' Chambers.