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Hibbing utility approves main transformer purchase, authorizes full engineering package for Southern Interconnect

5855214 · July 17, 2025
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Summary

The Hibbing Public Utilities Commission on July 15 authorized a $2.88 million purchase of a main transformer from Virginia Transformer and approved a $2.21 million detailed engineering contract with Electric Power Engineers to move the Southern Interconnect project from conceptual design to construction drawings.

The Hibbing Public Utilities Commission on July 15 approved awarding RFP 25-03 to Virginia Transformer Co. for $2,883,539 and authorized a full detailed engineering package with Electric Power Engineers for $2,213,889 to advance the Southern Interconnect transmission project.

The purchases were presented by General Manager Luke Peterson, who said the Virginia Transformer bid offered the lowest cost and the best lead time and that the unit is domestically produced in Idaho. Peterson told the commission the transformer vendor has been a supplier on prior distribution substation projects and that staff had a positive experience with delivery and support.

The…

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