Quanta Services (NYSE:PWR) on Dec. 12 said that it was selected by NextBridge Infrastructure through a competitive bid process to build the Ontario East-West Tie Transmission Project in northern Ontario.
Quanta noted that through its operating subsidiary, Valard Construction, it will provide comprehensive construction services, including project management, material management, construction permitting, and the installation of about 290 miles of double-circuit, 230-kV transmission line connecting Hydro One‘s Wawa Transformer Station, Marathon Transformer Station and Lakehead Transformer Station.
Quanta said that it expects construction to begin in late 2018, with completion expected in late 2020.
As noted on its website, NextBridge Infrastructure is a partnership between affiliates of NextEra Energy Canada, Enbridge, and OMERS Infrastructure, established to participate in the Ontario transmission market.
Collectively, the partnership submitted a proposal to the Ontario Energy Board (OEB) for the planning, development, construction, ownership, operation, and maintenance of the project, the site noted.
The OEB in August 2013 designated NextBridge Infrastructure to develop the line and to file a Leave to Construct application, according to the site.
The Leave to Construct application for the project was submitted to the OEB in July, according to the site, which also noted that the OEB in October issued the notice of application and letter of direction for the proceeding. The OEB is combining the proceeding with an application from Hydro One Networks for station works associated with the East-West Tie project, according to the site.
The East-West Tie project is required to ensure the long-term reliability of the electricity supply in northwestern Ontario (the Northwest), the site noted, adding that industrial activities in the Northwest, particularly in the mining sector, are expected to drive strong electricity demand growth in the coming decade.
Coupled with changes to the electricity supply in the area, the Independent Electricity System Operator (IESO) (formerly the Ontario Power Authority) has identified supply needs for the Northwest, which can be met with additional transmission or generation, according to the site. The IESO analyzed those alternatives and recommended expansion of the East-West Tie based on technical, economic and other considerations, the site noted, adding that the East-West Tie was included as a priority project in the Government of Ontario’s 2010 Long Term Energy Plan.
The initial target in-service date for the project was the first half of 2018, the site noted. In September 2014, the IESO sent a letter to the OEB, proposing that the development schedule for the project be extended to work toward a 2020 in-service date, according to the site. In a November 2015 OEB decision and order, an updated extended development schedule with a new project in-service date of 2020, filed with the OEB by NextBridge Infrastructure in June 2015, was approved, the site noted, adding that the new target in-service date for the project is 2020.