Current through August 26, 2024
(1) No electric
utility may begin construction, install or place in operation any of the
following facilities whose estimated gross cost exceeds the applicable amount
specified in sub. (3), without prior commission approval under s.
PSC 112.07:
(a) A
generating plant or unit.
(b) A
replacement, modification or addition at a generating plant. This paragraph
applies to projects or combinations of projects where the same replacement,
modification or addition is known to be required at more than one unit at the
same plant over a reasonably short period of time and the total cost of the
combined work exceeds the applicable amount specified in sub. (3). This
paragraph also applies to the initial construction of major new waste disposal
facilities for the plant, even if not located at or adjacent to the existing
plant site. This paragraph does not apply to replacements, modifications or
repairs to a hydroelectric dam or related civil works to comply with dam safety
or similar regulatory requirements, if the capacity or operation of the
generating facilities is not significantly changed.
(c) A project for constructing or rebuilding
a transmission line, including necessary terminations and related new
substation or substation additions. This paragraph does not apply to the
relocation or modification of a segment of an existing transmission line, if
the utility is ordered to relocate or modify the line to accommodate highway or
airport construction, nor to the reconstruction or restoration of a segment of
an existing transmission line made necessary by storm damage.
(d) A new substation or switching
station.
(e) An addition to or
replacement at an existing substation or switching station.
(f) A distribution system extension,
conversion to a higher voltage or conversion from overhead to underground
construction.
(g) A new building or
any addition to or remodeling of an existing building. This paragraph applies
to the purchase of an existing building by a utility for conversion to utility
use.
(1m)
(a) No public utility may begin a project to
construct or rebuild a transmission line whose length exceeds 10 miles and
whose cost is less than the applicable amount specified in sub. (3) without
first filing a report under par. (b) and securing commission approval under
par. (c). The report and commission approval are not required for projects
entirely within existing electric utility transmission line right of
way.
(b) The utility shall file the
report required under this subsection at least 90 days before it intends to
begin construction or rebuilding. The report shall include a description of the
project, its location and proposed route or routes, the estimated cost and a
discussion of the need for the project.
(c) After reviewing the report, the
commission may do any of the following:
1.
Approve the project by acknowledging, in writing, receipt of the report and
accepting it for filing.
2. Direct,
in writing, that the project shall not proceed until specific approval is
granted under s.
196.49,
Stats.
3. Approve the project by
taking no action within 90 days of receiving the utility's written
report.
(d) This
subsection does not apply to a project that requires a certificate of public
convenience and necessity under s.
196.491(3),
Stats.
(2) A Wisconsin
electric utility proposing to construct, install or place in operation any of
the utility facilities listed in sub. (1) in another state in which it serves
shall notify the commission at least 60 days before beginning construction. The
notification shall include a description of the project, its location, the
estimated cost, a discussion of need, permits or approvals required by the
other state or local governments, and the approximate jurisdictional allocation
of the cost between Wisconsin and the other state. Notwithstanding sub. (3), if
a significant portion of the cost of the project will be allocated to Wisconsin
for ratemaking purposes, the commission may require that the utility submit an
application under s.
PSC 112.06, for commission authorization prior to
construction, installation or operation.
(3)
(a)
Cost thresholds for projects requiring commission review and approval under
this section are those specified in s.
196.49(5g) (ar), Stats., as revised under par.
(b).
(b) Beginning on May 1, 2014,
and on May 1 of each successive even-numbered year thereafter, the commission
shall adjust the cost thresholds in s.
196.49(5g) (ar), Stats., to reflect changes to the cost
of electric utility construction based on the cost index numbers published in
the Handy-Whitman Index of Public Utility Construction Costs, Cost Trends of
Electric Utility Construction North Central Region for Total Transmission
Plant".
(c) The commission shall
notify all electric utilities of the resulting adjusted cost limits by May 15
of each even-numbered year and shall publicize the adjusted cost limits on the
commission's website. If the Handy-Whitman Index is no longer available, an
equivalent successor index may be used which is generally recognized by the
electric industry and acceptable to the commission.
The commission maintains or has access to the Handy-Whitman
Index of Public Utility Construction Costs and this reference or a copy may be
reviewed by contacting the commission's
offices.
