New York Regional Interconnect, Inc. (NYRI) and the staff of the Public Service Commission of the New York Department of Public Service (NYPSC) have signed stipulation agreements under which NYRI will perform additional studies and analyses regarding its proposed transmission line.

These stipulations resulted from a series of mediation conferences between NYRI and various stakeholders held last January and February to discuss NYRI's proposed project. The series of conferences took place under the guidance of Administrative Judge Eleanor Stein in a process governed by the NYPSC. The process is designed to encourage negotiations under strict rules of confidentiality among all interested parties.

The NYRI proposal, now before the NYPSC, is designed to bring electrical power from areas in upstate New York that have abundant power supplies to areas of high demand through a 200-mile direct current transmission line.

Under the four mutually agreed-upon stipulations, NYRI has committed to: (1) study alternate routes, including the New York Thruway right-of-way and paralleling the Marcy South right-of-way; (2) provide a supplemental visual impact assessment of the transmission line; (3) provide additional information regarding any threatened and endangered species in the vicinity of the route; and (4) study the cumulative impacts of the NYRI line and the Millennium Pipeline project. Millennium Pipeline Company L.L.C. and Columbia Gas Transmission Corporation were also signatories to the agreement regarding cumulative impacts.

"We take very seriously the comments we have received about the NYRI Project from community leaders, elected officials and stakeholders," said NYRI Project Manager Bill May. "The signing of these agreements shows our strong preference to proceed through the New York State Article VII siting process.

"Our commitment to these studies also proves that we listened to the comments of our elected officials regarding studying the feasibility of other routes, such as using the New York Thruway or going along side the existing Marcy South route. Our studies and analyses of alternative routes will ensure that any NYRI plan that's finally approved by NYPSC will use an appropriate route."

"These stipulation agreements are an important step forward for all people in New York State who depend on reliable delivery of electricity," May added. "While NYRI has long been aware of its potential to be an environmental plus for New York State in terms of enabling better air quality and encouraging the use of renewables, the stipulation agreements will result in even more detailed information for the public on how the project can minimize impact on visual aesthetics and wildlife habitats."

NYRI expects to complete the studies and file them with the Commission in approximately three to four months.

The NYRI project was born out of New York State's pressing need to develop a long-term strategy for maintaining an electrical power supply that will meet the growing needs of the state's households and businesses. Without major upgrades to the state's electrical infrastructure, increasing demand will inevitably push the statewide system below acceptable levels of reliability. This might happen as early as 2008, raising the risk of power outages or rolling blackouts, especially during periods of peak demand.

In addition to improving reliability and efficiency of the existing transmission system, NYRI's project would reduce wholesale electricity prices in New York State, which currently are among the highest in the country. Making better use of the existing abundant surplus upstate would yield environmental benefits upstate, including encouraging investment in renewable energy sources such as windpower, and reducing the need to build new power generation plants that would have to be fueled with polluting oil and gas, and decreasing New York State's dependence on foreign oil and gas.