FOR IMMEDIATE RELEASE
December 15th, 2025
ICYMI: Non-Competitive Transmission Projects See Billions in Cost Overruns – Escalating Electricity Prices Nationwide
RTO Insider published a revealing piece on MISO’s launch of their 2nd Review of Long-range Tx Project for Cost Overruns. This piece begs the question; why are transmission projects experiencing exorbitant overrun costs and who picks up the tab?
The answer is clear: When electric utilities are not required to compete against one another to build new transmission lines, costs are higher and there is no accountability for cost containment and the higher costs are passed onto the ratepayer.
At fault are MISO processes and the Federal Energy Regulatory Commission (FERC)’s failure to enforce Order 1000 style competition. Order 1000 found that it was in the public interest for regionally planned transmission projects to face competition.
Americans are demanding price relief from rising electric bills. Across the country, non-competitive transmission projects are the leading cause of rising electricity prices.
Examples of Cost Overruns:
|
Project |
Location |
Initial Projected Project Cost |
Overrun Cost (USD) |
Percentage cost overrun |
|
345-kV Iron Range-Benton County-Big Oaks project |
Minnesota |
~$652.95 million |
$970 million |
48.5% over budget |
|
345-kV Morrison Ditch-Reynolds-Burr Oak-Leesburg-Hiple line |
Illinois and Indiana |
$261 million |
$414 Million |
58.6% over budget |
|
765kV Potter-Crossroads-Phantom Transmission project |
Texas and New Mexico |
$1.69 billion |
$1.9 billion |
12.4% over budget |
These are just three of hundreds of transmission projects representing tens of billions of dollars in cost overruns across the country due to non-competitive transmission projects.
In a Statement, Paul Cicio, Chair of the Electricity Transmission Competition Coalition, stated, “The failure of FERC to enforce Order 1000 is substantially responsible for escalating electricity prices. The lack of competition and the combination of high FERC awarded ROEs of 10-13% plus the cost of financing these projects means that consumers will have higher electricity prices for decades to come. Transmission competition lowers costs on average by 25%, and yet only about 5% of transmission projects are competitively bid.
About the Electricity Transmission Competition Coalition
The Electricity Transmission Competition Coalition (ETCC) is a broad-based, nation-wide coalition committed to increasing competition in America’s electricity transmission infrastructure. We advocate for common-sense policies and solutions that result in competitively priced transmission projects, which reduce energy costs for all ratepayers – from large manufacturers to residential consumers. The ETCC represents a diverse group of 95 companies and organizations from all 50 states, including manufacturing groups, retail electric consumers, state consumer advocates, public power representatives, think tanks, and non-incumbent transmission developers.
For more information, visit: www.electricitytransmissioncompetitioncoalition.org.
Press Contact:
Julian Graham
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