StopPATH WV
  • News
  • StopPATH WV Blog
  • FAQ
  • Events
  • Fundraisers
  • Make a Donation
  • Landowner Resources
  • About PATH
  • Get Involved
  • Commercials
  • Links
  • About Us
  • Contact

Easement Payments Are Compensation, Not Benefit

7/10/2019

0 Comments

 
North American Wind Power thinks that "landowner easement payments" are a benefit of new transmission.  As if landowners are striking it rich being the victims of eminent domain takings.
The transmission line also creates several economic benefits, including added grid interconnection and future interconnection options, landowner easement payments, and county property tax payments.
A landowner is entitled to compensation when his land is taken through condemnation, aka eminent domain.  The Fifth Amendment to the Constitution states:
No person shall be held to answer for a capital, or otherwise infamous crime, unless on a presentment or indictment of a Grand Jury, except in cases arising in the land or naval forces, or in the Militia, when in actual service in time of War or public danger; nor shall any person be subject for the same offence to be twice put in jeopardy of life or limb; nor shall be compelled in any criminal case to be a witness against himself, nor be deprived of life, liberty, or property, without due process of law; nor shall private property be taken for public use, without just compensation.
COMPENSATION.  An attempt to compensate a landowner for something taken from him, often against his will.  Compensation is an effort to pay a landowner for his loss.  It's not a benefit.  At most, it's a trade.  Supposedly the landowner is made whole, given money for land he can no longer use.

Isn't it galling how the takers attempt to speak for the victims this way?  Everybody who stands to profit from eminent domain thinks they're the newest landowner spokespeople, telling everyone else how landowners benefit from easement payments, and depend on these one-time pittances to survive.  That's nothing but pure arrogance.

Compensation for electric transmission easements is not just.  The chimera of "just compensation" is, again, created by the takers, not the victims.  In actuality, transmission line easement payments cause a loss to landowners that can never be justly compensated.

Having a new transmission line or substation constructed on or near property causes property devaluation that the owner may never recover. While transmission developers may produce mountains of studies denying property devaluation, the proof is in the pudding. There is a stigma attached to energy infrastructure that buyers shy away from when comparing similar properties. Energy industry assurances, studies, and biased expert opinions provide little comfort to families evaluating properties they may call home. It’s not a decision based on logic, but on emotion and fear of the unknown.

Rural and farm properties take the brunt of new infrastructure siting, as developers seek the path of least resistance by siting their projects on “undeveloped land.” Just because a parcel of land is wide open space does not mean it is “undeveloped.” Farmland is fully developed to its best and highest purpose, that of feeding our nation. Oftentimes it may be conserved farmland, where the landowner sells future development rights to conservation programs with the intent of preserving the open space for all time. While the landowner is prevented from developing the land for profit, a transmission developer may see no barrier to developing transmission infrastructure on conserved farmland for its own profit, defeating the conservation of the open space.

Farms are businesses, and farmland is a factory. Farmers make their living off the land and what it produces. Running a new transmission project through the farm factory’s production line interferes with production and wastes productive space for all time. The addition of a transmission line profoundly changes agricultural practices on that parcel, interfering with (or
preventing) irrigation, pesticide application, aerial seeding, drainage systems, crop heights, and harvesting practices. Soil compaction and removal or mixing of topsoil caused by construction and maintenance of the transmission line can cause decreased yields for years into the future. The presence of a transmission line on a parcel also limits future use of that parcel for other purposes. Much of a farmer’s wealth lies in his land, and many farmers rely on the future value of their land for retirement income, much like others rely on a company-sponsored 401(k) plan. Preventing future land uses by adding transmission lines to a parcel can create a huge,
unexpected loss to a farmer’s retirement income.

Family farming is generational, with many farms being handed down from generation to generation, which creates a rich history and connection to the land and explains why family farms may not be for sale at any price. The forced addition of transmission lines using eminent domain intrudes into the family history and sense of place, profoundly changing it forevermore. None of these very personal impacts to productivity and emotional well-being are adequately compensated by one-time payments for the current land value of a narrow, linear easement through a property. The entire property and future productivity is affected, often without just compensation. This effect is compounded when the landowner receives absolutely no benefit from the transmission project that “flies over” his land.

Stop pretending eminent domain takings are a "benefit" just to fill your own pockets.  We're not buying it.
0 Comments

Pattern Energy's "New Model" Finds Opposition in New Mexico

6/7/2019

1 Comment

 
First there was Illinois.  Then there was Iowa.  Then there were Kansas and Missouri, soon followed by Arkansas and Oklahoma, and a different part of Illinois.  The opposition to Clean Line Energy Partners projects grew organically over several years until three of its five projects were fiercely opposed by landowners along the route, dug in for the long haul.  We kept waiting to be joined by landowner opposition to the other two Clean Line projects, Centennial West and Western Spirit.  But those two Clean Line projects never seemed to get off the ground, and affected landowners remained blissfully unaware.

Until now.

Remember last month when Michael Skelly claimed Pattern was using a "new model" to develop Western Spirit?  Looks like the same old model to me.

Merchant transmission project of little necessity designs route through the farms of local residents without their input or knowledge.  Opposition is born.

It's not about the owner, it's about the "model."  Nobody wants a transmission line encroaching on their home or business, and even less so for a "clean" transmission line whose only purpose is to transmit "clean" energy to replace the totally adequate energy currently powering some far away city.  There's no benefit for the landowners.  Easement payments are an attempt to compensate landowners for land rights taken from them.  It's not a financial windfall for the landowner.

But can companies other than the failed Clean Line Energy Partners actually build these kinds of projects?  My money is on "NO."  Long-distance transmission for renewables is a non-starter.

Fight on, folks, fight on.
1 Comment

Whatever Happened to Michael Skelly?

6/1/2019

3 Comments

 
He won The World Cup of Failure!
Picture
He's also "Out of the Game."
"Exhibiting new regrets."
Unable to "win the World Cup of transmission."
"Not in the mood."
and he's also
"Still high."

I see.

Don't you just wish this guy would go away?  That's probably what the energy industry thinks, too... retire, go spend your millions, take a bike ride, Mikey old boy.
RTO Insider found Skelly still trying to be relevant and trade on some former glory at AWEA's government cadger convention.

Skelly claims to be "happy."  This is what happy looks like.  Go see.
And Skelly is still serving up the senseless blather.  Trying to sound important.  Trying to sound cool.  Trying to sound smarter than everyone else in the room.  And, of course, he fails again.  Let's consider this gem:
“There’s a huge supply chain of service folks that really know how to do these things, and that will help us to be more flexible,” Skelly said. “There’s a bunch of states now that want 100% renewable energy. I think we’re on a great path, and for the younger folks just getting started in the industry, it’s going to be interesting.”
Service folks?  Are we talking about the folks who clean Skelly's pool, grease his bicycle chain, and scrub the Firehouse toilets?  Or are we talking about active duty military and military veterans, a favorite target of Skelly's former eminent domain threats?  Or are we talking about state public service commissions, who rarely serve the public, using a little bit of truthful shorthand -- service folks for the industry?  Does this even make any sense, any sense at all?

A "supply chain" of folks?  As in folks are meant to be used up and disposed of?  That right there tells you all you need to know about Michael Skelly.

"Really know how to do these things?"  What?  Is Skelly implying that he really does NOT know how to do these things?  What things are we talking about?  Humility?  Empathy?  Grace?  Thinking up stupid ideas and then spending $200M of other people's money trying to make them happen, long after a sane person using his own money would have withdrawn?

This whole quote makes little sense.  But you're supposed to think it does, and that it's sheer genius... such genius that you just don't get it because you're stupid.    LOL  Who's stupid now, Michael Skelly?

Here's another Skellyism:
“We thought transmission was going to be the linchpin of expanding wind energy,” Skelly said.

“Transmission is super hard. We’re not really in the mood right now to do these giant projects in the United States,” Skelly said. “These things change. We’ll look back in 100 years. There’ll be times we didn’t do a lot of infrastructure; there are times we did a lot of infrastructure. Hopefully, the country will be in a better mood and ready to do these big-bone transmission projects.”

Michael Skelly thought wrong.  And it cost 10 years and $200M.  Maybe someone who didn't think he was Don Quixote would have quit at $100M, or even $50M.  The writing was on the wall much, much sooner, but Skelly pretended not to see it.

Transmission is only hard because "cleaner" or "cheaper" electricity for people who already have reliable power is not compatible with overhead transmission on new rights-of-way using eminent domain.  The ones who find a way to transmit electricity without landowner sacrifice won't find it hard at all.

This statement is nothing more than a bunch of malarkey Skelly uses to excuse away his failure.  But it's still there.  Innovators are using Skelly's failure as a guide for what not to do.

It's not because we weren't "in the mood."  It's not because infrastructure wasn't being built.  It's because Skelly had a half-baked idea that landowners would welcome a transmission line for "clean energy" across their land.  They didn't.  Not only that, but there were no customers that wanted what Skelly was selling.  No big utilities wanted to pay someone else for transmission capacity when they could build and own a profitable transmission line themselves.  These are the lessons of Skelly's failure.

Skelly likes to pretend there was nothing wrong with his business plan.
Coincidentally, Pattern Energy CEO Michael Garland sat at the other end of the panel. Pattern last year bought Clean Line’s interests in the Mesa Canyons Wind Farm and Western Spirit Clean Line projects in New Mexico. It has already reached a $285 million agreement with PNM Resources to sell Western Spirit once it’s completed in 2021.

“They’ve pushed forward with development,” Skelly said of Pattern. “Clearly it’s a new model, and that’s exciting.”
It's the same old model.  Pattern is just doing it better.  Smarter.  However, they're still a long way from success.  Hopefully they'll quit when it becomes too expensive.  Now that all Skelly's pet projects are in the hands of corporations, failure will come sooner and cheaper.  Corporations don't eat a great, big bowl of Ego Flakes every morning.  It's about dollars and sense, not ego.

So, there you have it, folks!  This is all you get in exchange for years of heartache, sleepless nights, and hundreds of thousands of your hard earned dollars spent fighting off Michael Skelly's ego.

Another inept Skelly sports analogy:  The World Cup of Failure.  Laughing feels good, right?
3 Comments

PJM Never Seems To Learn Its Lesson

5/23/2019

0 Comments

 
Someone shared this with me.  It's PJM's recent Market Efficiency Update with the 2018/19 Market Efficiency Window list of submitted projects.  For the four identified "congestion drivers" (congestion points to be solved), PJM received 34 proposals (including two with no congestion driver at all - everyone into the pool!).  Of those 34 proposals to relieve congestion, 25 of them are greenfield projects.  A "greenfield" project is one that is built in a place where no transmission currently exists (let's turn that green field into an ugly transmission mess!) and needs new siting on new right of way.
Picture
Only nine of the projects make use of existing infrastructure that can be upgraded.  Just 9!  Prices for relieving "congestion" range from $0.1M to $291M, with the higher price tags being attached to the greenfield projects.  Of course it costs more to build new than upgrade existing.

Here's the first problem:  MARKET EFFICIENCY PROJECTS SHOULD NEVER BE GREENFIELD PROJECTS!

Greenfield projects need new rights of way, "negotiated" under threat of condemnation through eminent domain.  Nobody's property, and I do mean NOBODY, should be taken through the use of eminent domain just so someone else far, far away can save a few pennies on their electric bill.  The lights won't go out if market efficiency projects aren't built.  Instead, the market will provide its own solution to congestion if PJM allows it.  But PJM never does.

Therefore, with this slate of bad news on its table, here's a little advice for PJM.

Constructability studies:  Make sure you do them properly this time.  Factors that must be included are land use and ownership, to include recognition of historical properties, century farms, conservation land, and residential areas.  These are the kinds of property takings that inspire entrenched opposition.  This kind of opposition is what kills transmission proposals.  Another is "transmission fatigue" -- repeated attempts to site new transmission in a community.  Once a community comes together to oppose transmission, it is better armed for the next battle.  Even waiting a generation to try again doesn't make for success.  It is imperative that any constructability study recognize the possibility of opposition.  But, pretty much ANY greenfield project is going to meet with opposition, and you never know what you're going to get until the community finds out about the project.

How could PJM overcome this?  How about a public community meeting to discuss the finalists that make PJM's finalist list?  Go see what the community thinks about your proposal BEFORE you approve it, PJM.  BEFORE your transmission owner goes crying to FERC about needing the abandonment incentive.  How about BEFORE any consumer money gets spent on another hare-brained greenfield market efficiency project, PJM?  How about that?

PJM still hasn't learned its lesson.  Market efficiency projects aren't compelling enough to build new lines.  Ever.  Better give those upgrades another look.
0 Comments

KCC Gets Vanilla Pannacotta, Landowners Get Bupkis

5/14/2019

1 Comment

 
The Staff of the Kansas Corporation Commission has once again sold Kansas landowners down river.  This is hardly surprising in the wake of earlier secret meetings between Staff and Grain Belt Express personnel, despite the recent glimmer of hope provided by Staff acting all tough by requesting GBE acquire a percentage of easements within one year of approval of the sale of GBE to Invenergy.  It was pure posturing that meant absolutely nothing. 

Staff and GBE have entered into a settlement agreement that allows the KCC to approve the sale in exchange for meaningless conditions.  The conditions do nothing to provide "certainty" to landowners, in fact, the conditions actually add another 10 years of uncertainty to their plight.  Funny that, since Clean Line initially asked for only a 5 year extension of the Sunset date provision (until 2023).  Staff has now agreed to a 10 year extension.  Well, that's playing hardball, fellas.

It's now just a matter of the Commissioners approving the settlement, and we all know how that's going to go, right?  No sense even bothering to confirm it later.

The settlement agrees that Staff and GBE shall use all reasonable efforts to replace the Sunset provision with some stepped up version of action by GBE.  Of course, this is being done in a completely separate docket that the intervenors in the original Sunset docket did not participate in.  Essentially, the settlement in the sales docket changes the Order of the Commission in the siting permit docket.  Oh sure, they pretend that it still has to be approved in that docket, but it's about as much a nail-biter as waiting to see if the Commission approves the settlement.

So, what does this wondrous "protection" for landowners entail?  It's pretty much redacted... confidential, you know.  Landowners aren't to know how exactly they are being protected by the KCC, they're just supposed to believe they are.
By December 2, 2024, GBE shall have either (i) obtained executed easement agreements, demonstrably commenced negotiations to obtain easements, or instituted proceedings in state district court to obtain easements, or any combination thereof, for at least **-** of the total number of easements required to construct the Kansas portion of the Project; or (ii) satisfied the Financing Requirement as defined in Paragraph 9.a. hereof. If unable to meet the requirements of the preceding sentence, GBE shall either, at GBE’s election: (a) commit to ** REDACTED **;1 or (b) file for an updated transmission line siting permit under K.S.A. 66-1,178.
The financing requirement is essentially that GBE will not install transmission facilities on easement property in Kansas until it has obtained commitments for funds in an amount equal to or greater than the total cost to build the entirety of this multi-state transmission project.  Landowners can't know exactly how many easements GBE would need by 2024, and it really doesn't matter.  Because the easement condition is so loose that "commencing negotiations" counts as meeting the easement requirement.  GBE could say it was negotiating with any number of landowners, and who could disprove it?  That's because landowners don't get to see this "confidential" information.  And then there's that line that GBE shall "commit to" a redacted thing.  An unknown thing.  We can keep guessing here for about forever.  What is it GBE may commit to instead of actually acquiring easements?

    Confidential Commitment Guesses

Submit
This easement acquisition nonsense is strung out until 2028, a full ten year extension, when Clean Line originally only asked for five.  KCC Staff thinks this provides some "certainty" to landowners.  Certainty that this nonsense of not knowing whether or not they can use their own land will continue for at least another ten years before GBE has to buy more vanilla pannacotta, perhaps.

This farce is furthered by the agreement that GBE will include information about its easement acquisition activities with the confidential yearly reports it submits to the Commission.  How does this help landowners?  It doesn't.  But GBE agrees to file a "public version" in the future.  About as public as its "commitment" above?  That's truly helpful.  Not.

GBE needs to keep all these "landowner protections" secret, you see, because if landowners knew about them it could compromise GBE's "negotiations" to acquire easements on their land.
Picture
So, let me get this straight, even though GBE would have eminent domain authority to take whatever private land it wishes, it must be further protected from landowners taking advantage during negotiations by keeping landowners in the dark regarding conditions placed by the KCC to protect the landowners?  And we're still going to pretend that negotiations with landowners are "fair?"  Seems like protecting GBE's interests in negotiations are held to a higher standard than protecting landowner interests.  I mean, why not just say it... Kansas landowners don't matter.

And the really funny part here is that the KCC still thinks that the project will transmit wind from western Kansas.  How dumb are these guys going to look when GBE ends up transporting wind from other states through Kansas for use by other states?  There's absolutely no protection here, and it sure looks like GBE has managed to "wordsmith" its way into an ability to change the project significantly.  None of the KCC Staff's "conditions" have any teeth.  They do nothing but provide more advantage to GBE.

Landowners get bupkis in this settlement.
1 Comment

When Deceit Bites Back

5/13/2019

0 Comments

 
Oh! What A Tangled Web We Weave When First We Practice To Deceive.  -- Sir Walter Scott in Marmion
And that about sums up the legislative situation in Missouri right now, where Invenergy and its minority sympathizers think they may have crippled HB 1062 for the time being.  HB 1062 amends Missouri's eminent domain statute to prevent the use of eminent domain for above ground merchant transmission lines that do not erect substations at least every 50 miles.  HB 1062 does not prevent the construction of Grain Belt Express, it simply removes eminent domain authority for the currently proposed project.  It encourages Invenergy to build a better project, one that provides more benefit to Missouri, without an onerous sacrifice on behalf of Missouri citizens who will receive no benefit from the involuntary construction of the project across their productive agricultural businesses.  Can GBE be built without eminent domain?  Yes!  The project can use existing public rights of way, it can be constructed completely underground, or it can provide connections for Missouri utilities at least every 50 miles.

But Invenergy doesn't want to build its project this way because it costs more, or perhaps it will delay the project enough to cause a missed opportunity for Invenergy to sell electricity from its Wind Catcher turbines to a company that serves other states, who requires the full production tax credit for wind generation. 

But the web Invenergy and friends are spinning in Missouri looks like it is intended to deceive.
Picture
This says that HB 1062 would "ban the GBE transmission line."  That's not even close to the truth.  In fact, it's a straight up lie.  Nothing new from Renew Missouri, who previously insisted that landowner groups were funded by "dark money" and then could not produce one shred of evidence to back up its concocted accusation.  It's like Renew Missouri believes it needs to lie and exaggerate in order to garner support for Grain Belt Express.

And let's think about this... supposedly the Energy Committee members were getting "political pressure" to support HB 1062.  Is that some Renew Missouri code phrase for constituent support?  According to Renew, some Senators "held strong and voted no."  But not because of "political pressure."  Therefore, it must be lobbying pressure from a Chicago-based corporation that has no current business in Missouri.  And for some reason this is somehow morally superior to what Missouri citizens want?  Sounds more like Invenergy's lobbying dollars at work.  Isn't it interesting that Invenergy was a recent "sponsor" of one of Renew Missouri's events?  I wonder what color the sponsorship dollars were?  Were they a dark color, or pure lily white?

Renew Missouri seems pretty tickled that some Senators "filibustered this language and held off the foes of renewable energy..."  Phrased another way, these Senators support the use of eminent domain by for-profit corporations.  It's a slippery slope indeed.  If Missouri is "open for business" for out-of-state corporations to condemn land for their own profit, what flood of corporate eminent domain is on the horizon?  Renew Missouri's message to Senators seems to imply that a "savings" for a handful of municipal utility customers, a few jobs and the "forcing" of utility resource supply mixes tips the scales to allow eminent domain.  Eminent domain shall only be used to take property for a public use.  Eminent domain should not be used solely to provide economic benefit.  I think public sentiment toward the use of eminent domain for economic development purposes has been made clear in the wake of Kelo v. City of New London.  Nobody's right to own and enjoy property should be compromised by another's "right" to cheaper, or cleaner, electric service.  This is not public use.  I shudder to think what "showing the world that Missouri is open for business" through the use of eminent domain could do.

And what of Renew Missouri's message?  Any Senator receiving the copied message should be aware that it doesn't come from the minds of constituents, but from the pen of Renew Missouri and its "sponsor" Invenergy.

And then there's the inexplicable behavior of Senator Bill White, who this article tells us "believes private companies have the right to take your land away for the use of a public utility."  It also says Senator White sided with Democrats in "slowing debate on the bill." 

The question is why?  Why is Senator White such a sudden and fierce advocate for Grain Belt Express?  He says, "the company is regulated by the PSC which makes it a utility."  And

"You have to run a power line somewhere," he told Newstalk KZRG a few weeks ago.  "It's kind of like our reservoir down down here, you have to build it somewhere."

“If you [are] transmitting power from point A to point B, you’ve got to go from point A to B,” he continued. “Ideally, you find a place where you can make an equitable agreement with everybody along the way so you don’t have the eminent domain process but if that’s not the case, you have eminent domain proceedings.”
First of all, "you" don't have to run the Grain Belt Express anywhere.  It's not necessary to public electric service.  It's purpose is for elective alternate supply to select customers.  Second of all, what's it to you, Senator White?  The previously proposed route of GBE comes nowhere near Joplin, and as near as I can figure none of the contracted municipal electric suppliers who have elected to take service from GBE are in Senator White's district.  Why would Senator White become such a strong advocate for a project that doesn't affect his constituents?  As well, why has Invenergy taken such interest in Senator White?  Why would Invenergy need an ally who is not affected by the project?  Maybe Invenergy is getting more bang for its buck than meets the eye?  What if Grain Belt Express was rerouted through Joplin?  How difficult would it be for Senator White to change his position and oppose the project once it affected his district?  Seems to me that Invenergy would have Senator White just where it wanted him.  I find Invenergy's courting of Senator White incredibly revealing.

Let's look at the transcript from the recent PSC hearing on the sale of GBE to Invenergy:
Q.  Can you very briefly describe what Invenergy's wind catcher site is and what its status is at this point?
A. So wind catcher was a 2,000 megawatt wind project that was being sold to American Electric Power.
Q. Has Invenergy discussed the possibility of developing this site for wind farms?
A. We're-- we're constantly in the process of selling that project.
Q. And this project, in particular?
A. So again, the Wind Catcher project is in the Panhandle of Oklahoma and it was contracted by American Electric Power who failed to receive commission approval to purchase the project.
Q. And my question is, have you looked into
developing that project?
A. Well, we are developing that project.
Q. Okay .
A. I don't understand.
Q. What's the status of it at this point?
A. It's still in development, active development.
Q. Development meaning what?
A. Meaning that we have active land easements for the installation of generators, wind turbines specifically, and we're looking for off- takers for the facility.
Q. And is that site about one hundred miles
from the proposed Grain Belt converter station in Kansas, approximately?
A. Approximately.
Q. Have you discussed internally the
possibility of connecting wind generation at the Wind Catcher site with the Kansas converter station of the Grain Belt line?
A. Not really.
Q. Not really, meaning no?
A. So I mean there is a possibility that an
affiliate may want to purchase capacity on Grain Belt.
Q. An affiliate of whom?
A. An affiliate of Invenergy.
So, Invenergy was going to sell the project to American Electric Power.  Except the Texas Public Utility Commission denied AEP's request to recover the cost of the project from ratepayers.  And AEP cancelled that plan.  However, AEP turned right around and issued a Request for Proposals to purchase a nearly identical amount of wind capacity delivered to Tulsa.  AEP requires the proposal to qualify for 100% of the federal wind production tax credit, which Wind Catcher does.  In the fine print, AEP also says the company would ultimately want to purchase the wind generator and transmission line.  If Invenergy could deliver the Wind Catcher project to AEP in conjunction with a new transmission project that made the connection from the Oklahoma panhandle (100 miles from GBE) to Tulsa, Invenergy would be foolish not to make a proposal for this RFP.

If Invenergy did make a proposal to use Grain Belt Express to deliver from its Wind Catcher site in the Oklahoma panhandle, how might the company re-route the project to accomplish the goals of AEP?  Getting Wind Catcher connected to GBE would be no great feat.  As long as Oklahoma ratepayers aren't paying for it, there is no law requiring a permit from Oklahoma.  If Kansas has approved GBE, it's a simple re-route across the southern part of the state to get to Tulsa.  But AEP wants to also deliver this power to its customers in Arkansas, Texas and Louisiana, and GBE promised to make 500 MW of capacity available to Missouri, so might a re-routed GBE continue east into Missouri, and construct a converter station somewhere around Joplin, from which it could make strong, new connections to the other states?  It sure sounds plausible to me, and Invenergy would be quite foolish not to attempt it.

What if GBE only impacts Senator White's district?  What would his constituents think if they knew Senator White supported the use of eminent domain to build a transmission line across their land that would serve other states?  Would he change his mind about supporting it?  Why is Invenergy so interested in Senator White, and why is Senator White so interested in GBE?
0 Comments

It's All About the Eminent Domain, Missouri!

5/2/2019

2 Comments

 
High drama in Missouri on Wednesday as reported HERE, HERE and HERE.

HB1062 is about eminent domain.  What the Missouri legislature does here will have far reaching effects on its future.  Is Missouri another New London, tossing its own citizens under the bus in exchange for the empty promises of an out-of-state corporation?  Is Missouri so eager to have the crumbs and fake "friendship" of corporate America that it supports the taking of private property to get it?  Of course, the private property being taken belongs to someone else, not the suddenly fierce eminent domain advocates who have sprung up in Missouri to oppose HB 1062.

It doesn't matter what some city thinks it will save on utility transmission capacity costs.  It doesn't matter whether eminent domain is "a last resort."  What matters is the eminent domain.

Representative Hansen's bill wisely separates above ground HVDC merchant transmission from utilities granted eminent domain for a reason.  It's because merchant projects like this are not public utilities who provide service to all customers at consistent "cost of service rates".  Grain Belt Express may be the first above ground HVDC merchant transmission project proposing to "fly over" Missouri, but it won't be the last.  There's a huge push by big wind and big transmission to build trillions of dollars of new energy infrastructure in the Midwest that becomes America's newest power plant.  They're doing this because it's profitable and your federal tax dollars subsidize it.  And they don't care who gets in their way.

Merchant transmission like this isn't a public utility because it negotiates rates with only select customers who pay the most for its supplemental, optional service.  Unlike public utilities, who provide service to all customers that request it, GBE provides service only to the highest bidders who can afford to buy service.  Each customer's rate is different as negotiated, and may favor some customers with lower rates than others.  The service provided by merchant transmission isn't necessary to keep the lights on.  Nobody will be denied electricity if they can't get merchant service because what a merchant offers is a supplemental "it would be nice if..." kind of electric service.  This kind of utility serves private use and does not rise to the level of public need necessary to confiscate the property of others.

It would be nice if I had a red car, I've always wanted a red car.  The dealership in the next state over promised me I can have a $500 discount on a shiny new red car if I bring them my neighbor's antique pick up truck for trade.  The dealer has always wanted an antique pick up truck almost as much as I want a red car, but my neighbor has refused to sell it to him willingly.  But, hey, that's what eminent domain in Missouri is for... so I can take something that belongs to my neighbor and use it to barter a deal that benefits only me and the dealer.

Sound silly?  Yes, but this is exactly what the opposition to HB 1062 is asking the Missouri Legislature to do.

It's time for Missouri's legislators to take a stand against eminent domain abuse by making HB 1062 into law.  And Grain Belt Express needs to step up to create a project that provides real benefit to Missouri and stop asking for a handout.  Invenergy CAN build GBE without eminent domain authority, it just doesn't want to because it's less profitable to bury the project or negotiate with landowners in a truly free market where eminent domain isn't an option.

​Tell your senators to do the right thing, Missouri!
2 Comments

Anger Makes You Dumb

4/19/2019

0 Comments

 
The opposition to Missouri HB 1062 is one of  desperate, ever-shifting arguments of questionable veracity, and an increasing amount of anger.  The angrier these opponents get, the dumber they sound.

I think we reached a pinnacle with today's Wind Energy:  Attempt on by state politicians to thwart Kirkwood wind power (sic).  In this article, the director of Kirkwood's Electric utility claims support for the legislation is coming from only 15 people, and that he's going to "appeal" the legislature's action to the Federal Energy Regulatory Commission and it will be decided there.
This guy has some really crazy, misguided thoughts.  FERC isn't some federal appeals court for state transmission decisions you don't like.  FERC is a regulator, not a legislative body.  FERC's regulatory jurisdiction applies only to electric transmission RATES.  It has no siting, permitting, or eminent domain authority for electric transmission, federal or state.  Since HB 1062 deals only with state eminent domain law (not rates, not permitting, not siting) there simply is no role for FERC here.  Aside from that, how does one "appeal" an act of one body to a completely different body? 
“I would contend that an interstate transmission line is an issue regulated by the Federal Energy Regulatory Commission,” added Petty. “And this issue may ultimately be appealed and decided in that arena.”
Good luck with that, Ace!  It's not happening.  Ever.

And then there's this:
“State Rep. Jim Hansen, R-Frankford, has filed legislation which says no private entity has the power of eminent domain for the purposes of building above-ground merchant lines,” explained Petty. “ But he’s clearly not the only legislator feeling the pressure from about 15, or fewer, out of 500 landowners that share this ‘not-in-my-backyard attitude’ about transmission projects for any type of transmission project.”
Just 15, you say?
Picture
Perhaps you incurred an error while manipulating your abacus?

Sure looks like a lot more than 15 to me.  Perhaps your magnifying glass was really a mirror?  Because I can maybe count 15 people who are opposed to this legislation... a handful of you city guys and a few party line legislators who have been resoundingly outvoted.  You claim to speak for the majority, but I don't see any grassroots opposition to this bill.  Nobody is simply going to get excited enough to rally at the Capitol over a $3.00 savings on their electric bill.  It wouldn't even pay for their gas to Jefferson City.
Nevertheless, Petty is concerned that Hansen’s bill could pass the Missouri House and go to the Missouri Senate as early as next week. If it becomes law, it will be back to the courts for the much-delayed project.
Terrified sounds more like it. 
Back to the courts?  So you're going to challenge the constitutionality of an act of the legislature?  That sounds kind of expensive.  Are you strictly speaking for Kirkwood, or are you speaking for some other entity with deep enough pockets to engage in years of fruitless litigation?  Or are you simply making idle threats?
And then there's the guy from The Sierra Club, who apparently has no idea what the legislation is about, so he makes stuff up based on Sierra Club's all-purpose "dark money" narrative that continues to erode any credibility it once had.
So, what makes Grain Belt line different?
“The difference is it carries clean wind energy, so it threatens the fossil fuel industry, as well as the monopoly utilities that depend on coal,” Hickey said. “So, the issue of ‘eminent domain’ is only an issue for these legislators when it involves wind energy. If it is coal energy, or a tar sands pipeline, eminent domain is all okay.”

According to Hickey, Rep. Hansen is being joined in his fight against the transmission line by House Speaker Elijah Haahr, R-Springfield. He said the legislators are clearly carrying water for the fossil fuel industry.
And The Sierra Club is clearly carrying water for the wind industry... or maybe it's just handfuls of cash.
Picture
Maybe someone should ask The Sierra Club how much air pollution will be emitted in Missouri to create the extra coal-fired power that the city utilities plan to ship east on Grain Belt Express in equal amounts to the "clean" energy they think they'll receive?  If the wind power substituted by the cities is created in Kansas, emissions gain will be had there.  If the power produced by the cities in Missouri creates emissions, the emissions will stay in Missouri, even after the power is exported to eastern states.  Kind of like putting a poor idiot in a round room and telling him there's a penny in the corner.

And at that, let's move onto the repetitive, garbled and patently untrue comments made by MPUA lobbyist Ewell Lawson.  It's pretty hard to hear what this guy is saying, but it seems to go like this:  The developer has had no opportunity to even talk with landowners about easement acquisition because they couldn't do it without PSC approval, and that just happened.  He also thinks the PSC built special authorities and protections for landowners into its order.

First of all, how did GBE acquire 39 easements in Missouri over the past 6 years or so if it wasn't allowed to talk to landowners until PSC approval?  Landowners have had about all the "talking" with GBE that they can stand.  Their answer is "no."  Perhaps Ewell missed the PSC testimony where GBE's representative talked about having to condemn property quickly just to do surveys?  Landowners didn't miss that.  And about those "special authorities and protections," they were written by GBE!  It's a fox's plan to secure the hen house.  It doesn't protect landowners.  This guy needs to quit trying to speak for those poor, poor landowners who just want an opportunity to talk with GBE about easements.  That's nothing but a fantasy.

What will these guys think up to say next?  The exaggerations are wildly entertaining, but ultimately futile.  Watching this is more entertaining than prime time TV.

Nexxxxxxt.......
0 Comments

Missouri House Passes Eminent Domain Bill

4/19/2019

0 Comments

 
By an overwhelming majority, the Missouri House of Representatives passed HB 1062 yesterday.  The bill will prohibit the use of eminent domain for overhead merchant HVDC transmission lines.  The legislation now moves to the Senate, for committee discussion and vote.

Governor Parson has indicated that he supports the bill.
"I am a firm believer in protecting individual freedom and rights of private property owners, especially our farmers and ranchers," Parson said in a written statement to The Associated Press. "We will continue to stay engaged with the legislature to ensure that we are equipped to protect all Missourians from potential threats of government overreach for private gain."
This is tremendously good news for Missourians threatened by GBE.  The leadership and support they have received from the legislature will be remembered for a very long time.  That their elected representatives have stood by them means a great deal to these voters.

The issue has been well-played in the media, and yesterday a major newspaper weighed in with support for the bill.
The vote was bipartisan, and approving the measure was the right thing to do. The Missouri Senate should pass the bill, and the governor should sign it.

...we agree with Missouri Republican leadership that allowing a company to condemn property for this purpose is wrong. Clean Line Energy should negotiate fair agreements with property owners for any towers it needs, and pay for the land accordingly.

It should not use the threat of condemnation to browbeat property owners into accepting low-cost deals.

Their efforts should be applauded. Eminent domain must always be the last resort for projects of major public benefit, not the first step in making rich companies richer.
Perhaps Invenergy really doesn't want to buy Grain Belt Express after all?  Invenergy attempted to pluck this project out of the whirlpool of failure that was sucking it in for a reason.  Maybe now they'll cut their losses and move on?
0 Comments

The Kansas Honeymoon is Definitely Over

4/18/2019

1 Comment

 
Kansans were pretty disgusted by the way they were treated by the Kansas Corporation Commission when it permitted Grain Belt Express back in 2013.  In addition to being unjustly stifled and tossed under the bus, they observed how the political fix seemed to be in for project approval.  In their eyes, KCC was nothing but a pliable puppet whose strings were held by Houston-based Clean Line Energy Partners.  If the object was to destroy any faith that the KCC could act in the best interests of the public it exists to serve, mission accomplished.

But have things changed over the past six years?  Has the complete failure of GBE to get anything accomplished in that time taken the shine off the project?  Is the KCC now once-bitten twice shy?  Perhaps.  At any rate, the honeymoon now appears to be over.

Last fall, Clean Line applied to have its permit extended for another 5 years (until 2023) like it was nothing.  Like they expected KCC to simply fall at their feet and grant any request.  After all, that had been the tone of their relationship with KCC.  Whether it was a changing of the guard at the KCC to new folks not under Clean Line's spell, or the smart intervention of one of GBE's landowner opponents, the extension didn't happen.  The KCC ordered Clean Line to provide answers.  But instead of doing that, Clean Line revealed that it had contracted with a new owner to purchase the project, if only KCC would approve the sale and extend the permit expiration date.  Landowner issues seemed once again lost in the shuffle as a new proceeding began to examine the potential sale to Invenergy.

The KCC surprised again when its staff filed testimony in the acquisition docket.  Instead of the sycophantic support Invenergy expected, the Staff recommended new conditions to be placed on approval.  Most surprising of all was a discussion of landowner impacts resulting from the stalled project, and a condition designed to protect them from continued uncertainty.
Condition No. 4: Invenergy shall make preliminary easement payments of [redacted percentage, most likely 30%] of the total eventual compensation to all Kansas landowners affected by the line siting within 12 months of a Commission decision to extend the 13-803 sunset provision or gaining approval for a new line siting.
In other words, Invenergy would have one year from approval to acquire GBE to make initial payments to affected landowners.  Put up or shut up.  Permission to string landowners along for another 5 years denied.  Landowners have been living under the threat of GBE for more than 5 years.  In that time, they have been kept in the dark... would the project be built?  Should landowners plan around potential easements, or should they be able to use their land in full, making other plans for impacted areas?  Planning is a huge part of life, and especially impactful to farm operations.  Should a farmer invest in new practices or uses for a proposed easement area?  Or let opportunity slip by because the investment would be wasted if the land was impacted by an easement in the future?  Information about GBE was sparse.  The "status reports" of the project submitted to the KCC were "confidential" and not available to landowners.  Landowners were just supposed to trust the KCC to protect their blind side, after the KCC broke their trust during the permitting process.  The only other information available was the rumor that Clean Line was not making scheduled payments on easement agreements it had signed early in the process.  Failure to preserve its easement agreements can only send the signal that the project wasn't going to happen.  Landowners waited and watched GBE flailing in other states and may have concluded it was safe to assume the project was dead.  Throughout this time, Clean Line provided no information to landowners.

And that was the basis for KCC Staff's recommended condition, to provide some certainty to landowners.  Go or no go?

But, as expected, potential new owner Invenergy flipped its lid over the conditions, this one in particular.  Earlier this week, Invenergy filed its Rebuttal with multiple reasons why this condition is unworkable in its entirety.  First of all, Invenergy says the KCC can't legally impose this condition and that Invenergy is entitled to string landowners along for another 5 years, at its own discretion.  Then it listed a whole bunch of self-interested reasons why it could not make initial easement payments within one year.  It's a long list, are you ready?
Placing a firm deadline by which preliminary easement payments must be made to all Kansas landowners unnecessarily and improperly restricts the ability of GBE, and by  extension Invenergy, to conduct Project development according to its proven best   practices which have resulted in the successful delivery of over 20,220 MW of generation   projects and 392 miles of transmission lines.
Awww!  Gosh, can you hand me a tissue?  I'm breaking up.  God forbid that Invenergy is unnecessarily and improperly restricted from doing whatever it wants, although landowners have been unnecessarily and improperly restricted from doing whatever they want with their own land for the past 5 years (and potentially for the next 5 years).  Invenergy has no proven "best practices" for involuntary easement acquisition or building multi-state transmission projects hundreds of miles long.  It has never held eminent domain authority before.  It has no idea what it's doing, but suggests that its right to bumble along is superior to landowner rights to use their own property freely.  Ridiculous!

Invenergy says there are so many things it must get accomplished before or during easement acquisition that a year isn't enough time.
Importantly, this deadline, in a vacuum, does not account for the many other Project development activities that must be carefully sequenced prior to and in parallel with easement acquisition in order to ensure efficient scheduling and deployment of capital to minimize Project costs and facilitate timely delivery, including but not limited to:

Completing the regulatory processes in the various states;

Closing on the Membership Interest Purchase Agreement;


Completing environmental permitting requirements, including extensive consultation with state and federal agencies;

Advancing Project engineering, including detailed design of the route to conform with environmental permitting requirements and landowner considerations;

Conducting an open solicitation for Project capacity;

Negotiating transmission service agreements with customers; and

Obtaining financing for construction of the Project.

There are endless variables that could impact the timing of this process, such that placing a firm deadline on payments to all Kansas landowners restricts the ability of GBE and
Invenergy to efficiently manage Project development, and thus severely inhibits the Project’s likelihood of success.
In other words, Invenergy doesn't want to spend any money appeasing landowners until it is certain its project is going to be profitable.  Too bad for the landowners who would be held in limbo while all this is going on.

And besides, the siting of the line is still subject to modifications.  Invenergy simply can't pay the wrong landowner for the pleasure of stringing them along another 5 years!  And, get this... "...it would be premature and wasteful to be required to make capital expenditures for securing easements that may not be ultimately used."   But it is incredibly wasteful to keep landowners in limbo for years and years when they might be able to use their property more effectively if they thought it wouldn't ultimately have a transmission easement running through it.  Invenergy only cares for its own profits, not landowner well-being.

Oh, but no, Invenergy really, really cares for landowners!  Honest!

GBE and Invenergy fully understand and respect the uncertainty surrounding landowner impact from the Project, which has been an unfortunate consequence of regulatory uncertainty in other states that has hindered Project progress. It is important to clarify that, despite Invenergy’s concerns with Proposed Condition No. 4, it is in no way discounting the importance of landowner participation in the GBE Project and reaffirms its commitment to working with host communities to foster mutually beneficial relationships; this commitment is reflected in Invenergy’s track record of successfully negotiating over 16,000 lease agreements with landowners, entirely on a voluntary basis, across its project portfolio. GBE and Invenergy are planning, upon approval of the Transaction, to reengage affected landowners to provide Project updates and to be a resource for interested parties. This effort to become a known commodity in host communities and to develop and foster local relationships is an important first step in the land acquisition process that must not be overlooked simply for the sake of quickly obtaining easements.
Now I think I might need one of those airsickness bags.  Landowners are an "unfortunate consequence."  Ya know why all Invenergy's lease agreements are voluntary?  Because they have never had eminent domain authority to condemn property!  Also notice the word "lease agreement?"  That's not what Invenergy is offering Kansas landowners.  At best, Kansas landowners will be "offered" a one-time market value payment for only the acreage taken, in perpetuity.  A lease consists of recurring payments for use.  A lease has an end date.  Landowners in Kansas will get a one-time payment for unlimited use, forever.  Invenergy will OWN an easement on your property, not "lease" one.  Becoming part of the community may not be something beneficial.  Ask any community hosting one of Invenergy's energy projects how this has been applied in practice.  It probably won't be a positive experience. 

Invenergy needs to get to know you before it condemns your property.  Maybe they're going to serve community ham dinners and let your grandkids play in a rented bouncy house?  Then, when you're full and complacent, they're going to condemn an easement across your land.  Yeah, this is a really workable plan.  Not.  Who thinks up this stuff?  And more importantly, why do they think you're not going to read about their plans before they happen?

I don't think Invenergy's definition of "certainty" is the same as landowners.  Invenergy seems to think that "certainty" means the project is certain to be built.  Landowners just want to know, one way or the other, whether it will, so they can get on with their lives.
The best way to obtain certainty regarding the Project is to utilize available capital in an efficient and logical manner. Each of the development activities listed above will add incremental certainty to the Project. Inefficient use of capital will decrease certainty by putting unnecessary financial and logistical strain on the Project. Accordingly, while the intended result of Proposed Condition No. 4 is to increase certainty, it will actually have the opposite effect.
Unnecessary financial and logistical strain?  That's exactly what GBE has placed on landowners for the past 5 years, and Invenergy wants to do for the next 5.  If you don't like it happening to you, Invenergy, why do you want to do it to landowners?

So how do we give the landowners certainty?  Invenergy suggests it will add an item to those "confidential" reports it submits to the KCC that informs on the number of executed easement agreements.  So, giving more information in secret to a KCC that nobody trusts is supposed to provide peace of mind to landowners?  Surely you jest, Invenergy?

Why can't Invenergy make "good faith" payments to all landowners potentially affected by its project within one year of approval?  Is it because Invenergy has no faith?  If Invenergy doesn't have enough faith in this project to part with any cash, why should landowners, or more importantly, the KCC, believe in its promises?   Put up, or shut up, Invenergy.

While no landowners have intervened in the acquisition proceeding at the KCC and may not participate in settlement negotiations or hearing, they are not prohibited from commenting.  Maybe the KCC needs a little love and encouragement from landowners in order to hold firm on this condition?  If you've got a few minutes, shoot them your thoughts (or file them electronically).  Reference Docket No. 19-GBEE-253-ACQ.  Perhaps it's also time for the KCC to put up or shut up, and restore public faith in its mission.
1 Comment
<<Previous
Forward>>

    About the Author

    Keryn Newman blogs here at StopPATH WV about energy issues, transmission policy, misguided regulation, our greedy energy companies and their corporate spin.
    In 2008, AEP & Allegheny Energy's PATH joint venture used their transmission line routing etch-a-sketch to draw a 765kV line across the street from her house. Oooops! And the rest is history.

    About
    StopPATH Blog

    StopPATH Blog began as a forum for information and opinion about the PATH transmission project.  The PATH project was abandoned in 2012, however, this blog was not.

    StopPATH Blog continues to bring you energy policy news and opinion from a consumer's point of view.  If it's sometimes snarky and oftentimes irreverent, just remember that the truth isn't pretty.  People come here because they want the truth, instead of the usual dreadful lies this industry continues to tell itself.  If you keep reading, I'll keep writing.


    Need help opposing unneeded transmission?
    Email me


    Search This Site

    Got something to say?  Submit your own opinion for publication.

    RSS Feed

    Archives

    August 2025
    July 2025
    June 2025
    May 2025
    April 2025
    March 2025
    February 2025
    January 2025
    December 2024
    November 2024
    October 2024
    September 2024
    August 2024
    July 2024
    June 2024
    May 2024
    April 2024
    March 2024
    February 2024
    January 2024
    December 2023
    November 2023
    October 2023
    September 2023
    August 2023
    July 2023
    June 2023
    May 2023
    April 2023
    March 2023
    February 2023
    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    January 2018
    December 2017
    November 2017
    October 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    June 2016
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    March 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    June 2012
    May 2012
    April 2012
    March 2012
    February 2012
    January 2012
    December 2011
    November 2011
    October 2011
    September 2011
    August 2011
    July 2011
    June 2011
    May 2011
    April 2011
    March 2011
    February 2011
    January 2011
    December 2010
    November 2010
    October 2010
    September 2010
    August 2010
    July 2010
    June 2010
    May 2010
    April 2010
    March 2010
    February 2010
    January 2010

    Categories

    All
    $$$$$$
    2023 PJM Transmission
    Aep Vs Firstenergy
    Arkansas
    Best Practices
    Best Practices
    Big Winds Big Lie
    Can Of Worms
    Carolinas
    Citizen Action
    Colorado
    Corporate Propaganda
    Data Centers
    Democracy Failures
    DOE Failure
    Emf
    Eminent Domain
    Events
    Ferc Action
    FERC Incentives Part Deux
    Ferc Transmission Noi
    Firstenergy Failure
    Good Ideas
    Illinois
    Iowa
    Kansas
    Land Agents
    Legislative Action
    Marketing To Mayberry
    MARL
    Missouri
    Mtstorm Doubs Rebuild
    Mtstormdoubs Rebuild
    New Jersey
    New Mexico
    Newslinks
    NIETC
    Opinion
    Path Alternatives
    Path Failures
    Path Intimidation Attempts
    Pay To Play
    Potomac Edison Investigation
    Power Company Propaganda
    Psc Failure
    Rates
    Regulatory Capture
    Skelly Fail
    The Pjm Cartel
    Top Ten Clean Line Mistakes
    Transource
    Valley Link Transmission
    Washington
    West Virginia
    Wind Catcher
    Wisconsin

Copyright 2010 StopPATH WV, Inc.