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FERC renews Cowlitz PUD's hydroelectric lease

Thursday, July 24, 2008 11:48 PM PDT

By Erik Olson

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The Federal Energy Regulatory Commission has renewed the operating license for four dams on the Lewis River, including Cowlitz PUD’s Swift 2 hydroelectric project, the utility announced Thursday.

Private power giant PacifiCorp also received a 50-year license to operate the Merwin, Yale and Swift I dams on the Lewis River.

Utilities are required to renew their license to operate hydroelectric projects every 50 years. As part of the new licenses, the utilities also must help preserve species habitat, enhance recreational opportunities and enhance salmon population in the Lewis River, according to a joint news release from PacifiCorp and the PUD.

The PUD will spend $38 million in capital improvements over the next half century as part of the license, and PacifiCorp will spend $400 million.

FERC’s action ends 13 years of work on preparing the relicense application by the PUD and PacifiCorp. In that time, the PUD has spent $4 million preparing the relicensing document, which has thousands of pages, said Diana MacDonald, the PUD’s manager of environmental and regulatory services.

No other groups challenged the PUD’s application, said Dave Andrew, PUD spokesman.

Ratepayers will see no break on their bills as a result of the relicense, MacDonald said. However, losing the Swift 2 dam — which produces 66.8 megawatts and 30 percent of the PUD’s load — would have had severe consequences, she said.

“What this means is a continued, stable power supply,” MacDonald said.

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