Latest AEP Ohio Electric Security Plan seeks $2.2B in reliability investments
AEP Ohio filed a new Electric Security Plan (ESP) application with the Public Utilities Commission of Ohio last week, calling for $2.2 billion in reliability projects over the next six years.
This, the company stated, would allow it to begin replacing aging equipment across its system, from 350 transformers to 475 breakers and 560 substation regulators. Those hundreds of cases are all expected to reach the end of their usable lives within the next 10 years, and outages are increasing among circuits. Upgrades would include either improvements to circuit-related equipment, rebuilds, or reconfiguration of how power flows therein.
New lines and substations would also be built to take on increasing customer loads.
“We understand that our customers expect us to provide reliable power, and the proposal we have developed outlines our strategy for electric grid investments that build on the work we are doing today,” Marc Reitter, AEP Ohio president and COO, said. “Our plan focuses on meeting our customers’ expectations. We have already invested in reliability improvements, and that work is producing benefits for customers. But we need to do more focused work, and we need to do it more quickly as we plan for rapid economic growth, increasing customer expectations and hardening the grid to withstand stronger storms. More than 5,500 miles of power lines and hundreds of pieces of substation equipment will be replaced under the proposal. We understand the electric service we provide is essential in our customers’ lives, and we believe the planned investment under our proposal will deliver significant benefits.”
While the new equipment represents a major chunk of the ESP’s focus, it’s not all there is to the proposal. AEP Ohio touted a Community Resiliency Pilot program to test the use of a backup generator in support of large power lines taken offline, along with the deployment of batteries at substations to provide power during repairs.
New energy efficiency programs for residential customers could also be the order of the day, including monthly discounts for older users. Meanwhile, in terms of the country’s ongoing electric transition, AEP Ohio also proposed expansions for its Electric Vehicle Charging Program to offer incentives for residential customers who agree to charge their vehicles during times of lower power.
All of this, and a few other items, would likely lead to an average monthly bill increase for customers of about 2 percent – approximately $4 – per year of the ESP’s term.
