The Kansas Corporation Commission has signed off on GridLiance GP LLC subsidiary GridLiance High Plains LLC's acquisition of a 65% stake in the 29-mile 69-kV transmission system of the city of Winfield, Kan.
The deal, which is GridLiance's first joint-ownership agreement with a municipal electric utility, represents the first transaction executed under a co-development agreement between GridLiance and the Kansas Power Pool.
Under the terms of the deal, approved by Kansas regulators on Sept. 19, the GridLiance subsidiary will invest in reliability upgrades to the Winfield transmission system. (KCC Docket No. 19-GLPE-338-ACQ)
"We are excited to take the next step in partnering with Winfield and KPP to improve both regional and local transmission grids," GridLiance President and CEO Calvin Crowder said in a news release Oct. 1. "Upon close, we will immediately begin work on needed reliability upgrades in the Winfield area."
In addition to the transmission lines, the city of Winfield owns 256 miles of local electric distribution lines and 38 MW of generation. It provides power to about 8,100 customers.
City employees will continue to provide operations and maintenance services for the transmission assets, according to the news release.
The deal still requires federal approvals and is expected to close by the end of 2019.
GridLiance is a portfolio company of Blackstone Group Inc., established to partner with municipal and cooperative utilities to develop electric transmission infrastructure. Twice earlier this year, the Federal Energy Regulatory Commission has rejected the company's efforts to acquire transmission assets over concerns about rate impacts.
