Capitol Coverage

Listen to this story here: http://capcov.org/cgi-bin/showpost.cgi?329 Utility companies in the state say Colorado needs to spend billions on new electric transmission lines to keep up with the states growing energy needs, and new renewable sources of energy. Bente Birkeland reports. BENTE: Transmission lines can cost up to $1 million per mile to build, and some lines need to be nearly 80 miles long. CONNOLLY: Its a nationwide problem in trying to attract capitol into transmission. BENTE: Thats Paula Connolly, an attorney with Xcel energy. The company supplies electricity to about 70% of the state. Under the current system, Xcel cannot recoup the money it invests to build transmission lines until a project is finished. That can take more than a decade. Senate President Joan Fitz-Gerald, a Democrat, says waiting that long drives up costs. Her bill would let companies recoup their money before a project is complete. FITZGERALD: To use todays dollars to save the money and not have a big spike in the cost at the end of the building of the lines. Its going to go along gradually. BENTE: Fitz-Gerald says cheaper transmission lines will lead to more transmission lines. She says building more transmission lines is critical, especially when it comes to transporting wind power from rural to urban areas. FITZGERALD: Even if we did it just the way were doing it today Colorado is a growing state. It has growing demands. We know we have rural areas that have no way of having any improvement in heir rural economy unless they have delivery of more power. We also have the issue of wanting to diversify our energy package and having these lines go to sources that are not the traditional sources of generation. BENTE: Transmission lines are just one part of the Democrats energy package. They also want to double the states renewable energy requirements. Utility companies would be required to get 20% of their energy from renewable sources by the year 2020. Democratic Senator Chris Romer from Denver says that wont happen unless new transmission lines are built. ROMER: What I hear again and again and again is you cant even get in the queue for the turbines unless you basically have the infrastructure so we are at tremendous disadvantage we cant get our selves in a position when we are even on the playing field. BENTE: Some lawmakers worry that building transmission lines first could leave the state with lines to no-where, if wind farm projects fall through. But Sandra Johnson with Xcel energy says that wont happen. JOHNSON: Were not talking about building speculative transmission. Weve already identified constraints on the system today. We have wind generation on our system today that weve located in areas where we conventional generation but both cannot operate at the same time. This is not just build it they will come, its build to areas we already know are constrained. BENTE: The bill passed unanimously and now heads to the senate floor for final approval.