ITC Holdings Corp.'s subsidiary ITCTransmission will continue to explore options to pursue construction of a 13.9-mile long transmission line deemed crucial to electric reliability in southeast Michigan.

In response to a Feb. 22 decision by the Michigan Public Service Commission (MPSC) that denies ITCTransmission's request to route the new 345-kV transmission line between Sterling Heights and Royal Oak, ITC President and CEO Joseph L. Welch said "The MPSC's decision does not change well-documented reliability needs in this urban region. ITC is charged by federal mandate with maintaining the capability of the transmission grid to efficiently and effectively serve customers and residents, and this project is critical to the current and long-term energy stability in the region."

ITC noted that the need for this project was reviewed, vetted and approved by the Midwest Independent Transmission System Operator, Inc. (Midwest ISO). The Midwest ISO is charged by the Federal Energy Regulatory Commission with evaluating regional transmission needs.

ITC added that the MPSC's assertion that the company had not demonstrated sufficient need to justify the $150 million line discounts more than two years of the planning, development and evaluation among the company, local communities and the Midwest ISO and the extensive work it did with local units of government to site the line through Sterling Heights, Troy, Clawson, and Royal Oak.

Government officials in the affected communities also expressed concern about the MPSC decision.

"We are disappointed with the Commission's ruling. We believe this project is needed to maintain the reliability of the electric transmission grid in this region," said Harry Drinkwine, superintendent, Dept. of Public Works, Clawson. "We worked very hard with ITC to site the line and coordinate community road projects with its construction. This was a collaborative, carefully considered project, and we are concerned that the MPSC did not spend enough time evaluating its importance to our long-term economic growth."

ITCTransmission began planning and development work on its Bismarck-Troy project in 2005. The line was planned to address significant electric reliability, demand and underinvestment issues in the region.