Lucky Corridor LLC says it has been granted authorization from the Federal Energy Regulatory Commission (FERC) to engage in negotiations with anchor customers for up to 70% of the project's 1.1 GW of transmission capacity at negotiated rates.
The authorization is subject to certain conditions, including a requirement to auction the remaining 30% of its capacity in an open-season process, the company says.
The Lucky Corridor project will upgrade 93 miles of electric transmission in northern New Mexico, creating new transmission capacity in an area with several clean energy projects under development. Without this new transmission, the projects cannot be connected to the grid.
The new double-circuit, 230 kV line will create a reliability loop to access New Mexico's wind, solar and natural-gas resources, Lucky Corridor explains, adding that the company will use existing utility corridors in order to minimize the project's environmental impact.