Transaction Provides for Increased Transmission Infrastructure Investment to Improve Regional Grid Reliability
Dallas, TX And Winfield, KS /PRNewswire/ - GridLiance, an independent transmission company, the Kansas Power Pool (KPP), and the City of Winfield, recently received final state regulatory approval from the Kansas Corporation Commission (KCC) of a long-term partnership agreement to jointly-own and improve the city's transmission facilities within the Southwest Power Pool regional transmission organization.
The City of Winfield owns 256 miles of local electric distribution lines, 38 megawatts of generation and 29 miles of electric transmission lines. Under the terms of the agreement, GridLiance subsidiary GridLiance High Plains will acquire a 65 percent ownership stake in the 29-miles of Winfield's 69-kV transmission system and invest in needed reliability upgrades. City of Winfield employees will continue to perform operations and maintenance field services for the jointly owned transmission facilities.
"We are pleased that the KCC recognizes the important benefits of the partnership between GridLiance and Winfield," said Calvin Crowder, president and CEO of GridLiance. "We are excited to take the next step in partnering with Winfield and KPP to improve both regional and local transmission grids. Upon close, we will immediately begin work on needed reliability upgrades in the Winfield area."
The transaction marks GridLiance's first joint-ownership agreement with a municipal electric utility. This transaction also is the first developed under a co-development agreement between GridLiance and the Kansas Power Pool (KPP).
"We were thrilled to see the KCC approve the joint-partnership and, importantly, recognize the benefits of the transaction for the Winfield community. Through this transaction, Winfield gains an able partner in the long-term stewardship of our electric transmission assets. We are able to increase our focus on operating and owning our generation and local electric distribution system while maintaining ownership in the transmission system," said Winfield Mayor Ron Hutto. "We have provided reliable public power to our customers for more than 100 years, and this partnership with GridLiance strengthens our efforts to provide that same level of quality service into the future."
"Our partnership strategy with GridLiance is indicative of how KPP is meeting its mission to help our members meet their future energy needs. Working together we are unlocking the value of Winfield's existing electric transmission assets," said Mark Chesney, CEO and General Manager of KPP. "We are convinced that GridLiance's transmission capabilities and commitment to Winfield will ensure greater transmission system reliability and resiliency for the Winfield community."
The transaction is subject to customary federal approvals and is expected to close by the end of 2019.
About The City Of Winfield
The City of Winfield is a full-service City that was incorporated in 1873. Currently, Winfield supplies electricity to approximately 8,100 customers. The Cities of Winfield, Burden, Dexter as well as Strother Field Industrial Park and much of the rural area of northern Cowley County receives electric service from the City. The City of Winfield is proud to operate one of the more than 2,000 American Public Power community-owned electric utilities and is a member of the Kansas Power Pool. The City's electric utility has served the Winfield area since 1904.
About Kansas Power Pool
The Kansas Power Pool is a municipal energy agency created under Kansas statutes with the expressed purpose of providing energy and transmission services for its member / owner municipal electric utilities since 2005.
GridLiance is an independent electric transmission utility holding company. GridLiance partners with electric cooperatives, public power, and renewable energy developers to plan for the future of the grid, invest in electric infrastructure and implement strategies that meet its partners' ownership, capital investment, and operational goals. Based in Dallas, GridLiance operates hundreds of miles of transmission lines and related substation facilities in Nevada, Missouri, and Oklahoma. The company has long-term partnerships with utility partners operating in Missouri, Oklahoma, Nevada, Texas, and Kansas. GridLiance is a portfolio company of Blackstone Energy Partners, an affiliate of Blackstone (NYSE: BX), a leading energy infrastructure investor. For more information about GridLiance, visit gridliance.com.