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Released December 18, 2015 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--The booming development of shale gas and the widespread growth of wind power, which has more than quadrupled in the past seven years, have contributed to $1.13 billion in transmission and distribution (T&D) projects across North America that are set to begin construction in first-quarter 2016. More than two-thirds of the total is located in just three regions: the U.S. Southwest, Midwest and Southeast.

Click to view T&D Click on the image at right to see a graph detailing planned North American project kickoffs in the transmission & distribution sector, by industry.

Not surprisingly, the Southwest leads all other regions by a long shot, with $328 million in projected T&D kickoffs in the first quarter. The area has seen a tremendous buildout along the U.S. Gulf Coast, particularly as the region prepares for the nation's first exports of liquefied natural gas (LNG), and the resulting jump in demand for power supply has been about as dramatic. For more information, see December 14, 2015, article - As LNG Boom Creates Supply Glut, Many Turn to 'Micro LNG' for Small-Scale Solutions.

Among the highest-value projects in the region is South Texas Electric Cooperative Incorporated's (Nursery, Texas) $59 million upgrade of a line from Tilden to Cotulla, Texas. The project will involve rebuilding and upgrading 59 miles of 69-kilovolt (kV) transmission line to 138-kV capacity, as well as the construction of two miles of overhead, single-circuit, 138-kV line. For more information on this project, see Industrial Info's project report.

The Midwest region is looking at $218 million in projected kickoffs from January through March, dominated by ITC Midwest LLC's (Dubuque, Iowa) $74 million rebuild of a line from Mason City to Franklin County, Iowa. The company plans to overhaul 37 miles of overhead, 161-kV line, using the same steel monopole design. This rebuild is part of the broader Winnco-Hazleton transmission project, which runs from Cedar Rapids to Buchanan County, Iowa. ITC Midwest is a subsidiary of ITC Holdings Corporation (NYSE:ITC) (Novi, Michigan). For more information on this project, see Industrial Info's project report.

The Southeast region is not far behind, with $208 million in projected T&D kickoffs in first-quarter 2016. The highest-valued of these is Entergy Corporation's (NYSE:ETR) (New Orleans, Louisiana) $67 million construction of a line from Natchez to Vicksburg, Mississippi. The 65-mile, 230-kV line is part of Entergy's Southwest Mississippi Reliability Project, and it will be operated as having a 115-kV capacity. For more information on this project, see Industrial Info's project report.

The seven other highest-value North American T&D projects set to begin construction in first-quarter 2016 are:
  • $67 million: Entergy Corporation's rebuild of another section of Natchez-Vicksburg line in Mississippi
    For more information on this project, see Industrial Info's project report.
  • $64 million: FirstEnergy Corporation's Oceanview Transmission Line reinforcement project in New Jersey
    For more information on this project, see Industrial Info's project report.
  • $47.2 million: LS Power Group's transmission line for Salt Fork Windfarm in Texas
    For more information on this project, see Industrial Info's project report.
  • $47 million: Dominion Resources' Skiffes Creek switching station in Jamestown, Virginia
    For more information on this project, see Industrial Info's project report.
  • $43 million: Grupo Iberdrola S.A.'s Lewiston Loop transmission line in Maine
    For more information on this project, see Industrial Info's project report.
  • $42 million: Tri-State Generation & Transmission Association's Montrose transmission line upgrade in Montrose, Colorado
    For more information on this project, see Industrial Info's project report.
  • $40 million: Entergy Corporation's transmission line from Monticello to Desha County, Arkansas
    For more information on this project, see Industrial Info's project report.
More than three-quarters of the total investment value (TIV) for the North American T&D projects set to kick off in the first quarter--about $905 million--is related to 48 projects that are now in the engineering stages. The sector also has 18 projects worth more than $229 million in the planning stages, where plenty of factors could increase, decrease or eliminate the expected spending.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
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