Quanta Services Inc. announced the expansion of its master agreement regarding Competitive Renewable Energy Zone (CREZ) projects assigned to Electric Transmission Texas LLC by the Public Utility Commission of Texas (PUCT).
Under the expanded master agreement, Quanta has the exclusive right initially to negotiate the construction of the entire 460 miles of new 345-kV transmission line projects in west Texas. Quanta previously had initial bidding rights to approximately 250 miles of the projects.
Quanta also announced that it has been awarded two Individual Project Authorizations (IPAs) under the master agreement for the construction of approximately 155 miles of ETT’s CREZ projects. All of ETT’s CREZ projects are planned to be complete by the end of 2013.
“Quanta has the expertise and quality resources to complete these projects on time and on budget, making our decision to provide the Quanta team the opportunity to construct all of ETT’s CREZ lines a strategic and logical choice,” said Calvin Crowder, president of ETT. “Quanta’s exceptional commitment to safety, quality and efficiency will help ETT create a robust transmission network that provides value for Texans for decades.”
“The increase in the scope of our work on the ETT projects is directly related to our ability to safely construct a significant amount of new transmission under an aggressive timeline,” said Jim O’Neil, president and chief executive officer of Quanta Services. “As the largest specialty contractor with the most employees on the Texas CREZ system, Quanta has the ability to position resources to meet our customers’ needs in a period when industry resources are near capacity. We appreciate the confidence ETT has in our organization through the expansion of this contract.”
ETT, a joint venture between subsidiaries of American Electric Power and MidAmerican Energy Holdings Co., plans to build nearly $1.4 billion in CREZ projects by 2013. These projects represent the second largest share of CREZ projects throughout the state that were awarded by the PUCT.