Rocky Mountains Fertile Land for $1.5 Billion in Transmission, Distribution Projects in Second Quarter

Researched by Industrial Info Resources (Sugar Land, Texas)--The Rocky Mountain region leads the U.S. in its total investment value (TIV) for transmission & distribution (T&D) projects set to begin construction in the second quarter. Industrial Info is tracking nearly $1.5 billion in related projects--more than double the roughly $730 million worth of second-quarter T&D kickoffs in the Great Lakes, which is the U.S. region with the second-highest TIV.

Click on the image at right for a graph detailing T&D projects set to begin construction in the Rocky Mountains region from April through June, by state.

The Rocky Mountain region includes Arizona, Colorado, Nevada, New Mexico, Utah and Wyoming.

Wyoming's nickname, "The Equality State," is ironic given how unequal it is to the rest of the U.S. in two respects: population and energy consumption. Although it has the lowest population of any U.S. state, Wyoming leads the nation in per-capita energy consumption, given its heavy industrial role and cold winters, which ensure high heating demand. It also is among the states most negatively affected by the diminished status of coal as an energy source: Wyoming produced about 40% of all coal mined in the U.S. in 2017, according to the U.S. Energy Information Administration (EIA), and it holds about one-third of all U.S. coal reserves.

Major projects in Wyoming include Idacorp Incorporated's (Boise, Idaho) estimated $325 million line from the proposed Aeolus Substation in Medicine Bow to the Jim Bridger Substation in Point of Rocks, Wyoming, and the $286 million line from Aeolus to the proposed Anticline Substation in Point of Rocks; each line would run about 140 miles and carry 500 kilovolts (kV). Both are part of the massive Gateway West Transmission Line project, which would run about 1,000 miles from Glenrock, Wyoming, to an area near Melba, Idaho. For more information, see Industrial Info's project reports on the Aeolus-Jim Bridger line and the Aeolus-Anticline line.

The $42.5 million Aeolus Substation and the $32.1 million Anticline Substation also are expected to kick off this summer. The lines and substations are expected to finish construction in late 2020. For more information, see Industrial Info's project reports on the Aeolus and the Anticline substations.

Southern California Edison Company (Rosemead, California), a subsidiary of Edison International (NYSE:EIX) (Rosemead), is preparing to begin construction on two major projects in its neighboring state of Nevada, both originating at its Eldorado Substation near Las Vegas, Nevada. The $144 million Harry Allen-Eldorado line would run about 60 miles to the Harry Allen Substation north of Las Vegas, while the $80 million Eldorado-Mohave line would run about 80 miles to the Mohave Substation in Laughlin. For more information, see Industrial Info's reports on the Harry Allen and Mohave lines.

Other states in the region are set to spend only a fraction of what can be found in Wyoming and Nevada. Nonetheless, PNM Resources Incorporated (NYSE:PNM) (Albuquerque, New Mexico) is preparing to construct one of the highest-valued projects in the region: the $132 million Western Spirit Clean Line from Rio Rancho to Corona, New Mexico. The 140-mile, 345-kV line will send wind-generated energy from central New Mexico to the grid in northwestern New Mexico, according to the owners' website. For more information, see Industrial Info's project report.

Xcel Energy (NASDAQ:XEL) (Minneapolis, Minnesota) is getting ready for the $45 million Missile Site-Pawnee Transmission Line from Deer Trail to near Brush, Colorado. The 40 miles of overhead line is part of a broader project to carry wind-generated energy throughout the state. Xcel says site preparations are underway, including inspections and material delivery. For more information, see Industrial Info's project report.

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