PJM files deals related to switch of New Covert plant from MISO to PJM

PJM Interconnection on May 26 submitted for filing with the Federal Energy Regulatory Commission an executed interconnection service agreement (ISA) with New Covert Generating Co. LLC and transmission owner ITC Interconnection LLC.

PJM also filed an executed interconnection construction service agreement (ICSA) with New Covert Generating and transmission owner AEP Indiana Michigan Transmission Co. Inc.

The New Covert ISA facilitates the interconnection of the 1,035-MW Covert Generating Facility in Covert, Michigan, to the PJM system. The non-standard terms and conditions in the ISA are necessary to accommodate the unique circumstances of the interconnection, which proposes to connect an existing generation facility, located in the Midcontinent Independent System Operator (MISO) region, directly to PJM via a new transmission line to be constructed and owned by ITC Interconnection, who will become a PJM transmission owner when the line is completed and energized.

Provisions of the ISA include:

  • On or before June 1, 2016, New Covert shall transfer ownership of the Covert Switchyard to the ITC.
  • ITC must become a PJM transmission owner by signing the PJM Consolidated Transmission Owner Agreement, on or before June 1, 2016
  • Prior to June 1, 2016, Michigan Electric Transmission Co. LLC, a transmission-owning member of MISO, must complete phase #1 system upgrades as detailed in a 2014 Facilities Construction Agreement.
  • Prior to June 1, 2016, ITC shall complete the work required to install the Covert-to-Segreto 345-kV line.

The New covert plant is a 1,035-MW combined-cycle generating station consisting of three independent combined cycle power blocks with each power block made up of one combustion turbine, one heat recovery steam generator, and one steam turbine generator.

New Covert Generating is a private equity investment managed by Tenaska Capital Management (TCM), which is an affiliate of Nebraska-based Tenaska.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.