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PSC approves Mississippi Power transmission project to serve industrial customer at Chemours site
Summary
The Public Service Commission approved Mississippi Power’s petition to build new and upgraded 115 kV facilities and rights of way to serve a new industrial customer co-located at the Chemours plant. Staff recommended approval; the company estimated the project at roughly $31.9 million.
The Mississippi Public Service Commission approved a Mississippi Power Company petition to relocate, construct and upgrade transmission facilities to serve a new industrial customer at the Chemours site in Hancock and Harrison counties.
Miss Myrick, a commission staff presenter, said Mississippi Power filed the petition on May 22 seeking a certificate of public convenience and necessity to construct a new 115-kilovolt switching substation and a new 115-kilovolt customer substation, upgrade roughly 7.1 miles of existing 115-kilovolt transmission on existing rights of way, build about 1.83 miles of new 115-kilovolt line on new rights of way, and retire approximately 1.2 miles of existing line from service. The company entered into an electric service agreement with PCC Gulf Chem Corporation to serve new industrial load co-located at the Chemours plant, she said.
Staff reported the company estimates total project cost at approximately $31,900,000. The first full-year revenue requirement was estimated at about $6,600,000, which staff said would typically increase a 1,000-kilowatt-hour residential bill by roughly 71¢. "However," Myrick said, "it's expected that the incremental electric service revenue from the electric service agreement with PCC Gulf Chem will exceed any incremental revenue requirement of the project, preventing any outward rate pressure."
Staff reviewed the filing, issued data requests and found the filing complete except for engineering plans and approvals from health and environmental authorities; Mississippi Power requested waivers for those items and staff did not object. Commissioners asked questions about future growth in the area; a company representative who identified himself as Ben said the company expects to pursue additional economic-development projects and would have capacity for additional growth depending on size.
A motion to approve the proposed order was seconded and the commission approved the project by voice vote.
The staff summary listed no interveners. The filing shows the project is intended to ensure Mississippi Power can safely and reliably accommodate additional industrial demand tied to the PCC Gulf Chem service agreement.
