INC NEWS - on burying power lines . . . .

Tue Aug 26 13:33:49 EDT 2008

*Greenville mayor open to outside negotiator on buried power lines
*/Studies show burying power lines reduces outages

/Published: Friday, February 15, 2008 - 12:48 pm

By Ben Szobody
STAFF WRITER
bszobody at greenvillenews.com <mailto:bszobody at greenvillenews.com>

Mayor Knox White and some City Council members told GreenvilleOnline.com 
they?re open to using an outside negotiator to make sure city taxpayers 
get the best deal out of a plan to bury power lines currently being 
hammered out between city and Duke Energy officials.

The Greenville News reported this week that burial experts say it's 
crucial for the city to get an outside expert to negotiate the 
groundbreaking agreement because utilities can be loath to share 
information and resistant to change.

Ken Scarlett, a consultant with experience negotiating burials and a 
recent city task force member on the issue, said the agreement on the 
table may not address vital obstacles to widespread, affordable conversion.

City Manager Jim Bourey and an assistant are currently handling a new 
utility franchise agreement that would cost residents another $1 a month 
on their power bills to pay for a plan to gradually bury power lines in 
some of the areas hardest hit by a string of deadly ice storms.

White said today that he?s open to using an outsider with deep knowledge 
of the utility business, but has yet to talk to Bourey about it. He said 
the city has already consulted some outside experts during negotiations, 
though "whether there will be one person, I don?t know."

City Councilwoman Diane Smock said hiring a negotiator is something she 
wants to take a "good, hard look at," since converting overhead wires to 
underground lines is not a particular area of expertise for the city.

Councilwoman Amy Ryberg Doyle said she wanted to talk to colleagues 
about the idea.

Jerry Chapman, Duke's general manager of construction and maintenance, 
has said the company is "anxious" to begin burying Greenville lines in 
cooperation with the city.

Outages decline dramatically when lines are underground, although they 
don't entirely disappear, industry studies show. The most recent Upstate 
ice storm in December 2005  the seventh major incident in 10 years  
cost six lives and plunged more than half a million local residents into 
cold and darkness.

Following reports by The News, Duke agreed for the first time last year 
to put half a percent of its local revenues  about $364,000 a year  
into a local fund to bury power lines, to be matched by the city. The 
specifics will be in the city?s new franchise agreement.

White said the city has used a negotiator on past franchise agreements, 
but that in this case Duke?s financial cooperation has been negotiated 
"at the top" with Ellen Ruff, CEO of Duke Energy Carolinas.

The biggest challenge now is to figure out the contsruction process, 
White said, though Scarlett and other experts have said the burial plan 
could cost city residents nothing if Duke first shored up an aging 
system of overhead wires that he said loses as much as twice the 
electric current of the industry average in some areas.

Chapman said the company typically doesn't look at line losses to 
justify system improvements, though that could change.

Among the vital parts of any agreement is a long-term goal to convert 
all power lines, unfettered city access to utility information and the 
utility's commitment to help citizens bury the service lines on their 
property, according to Scarlett and Nathan Bruner, underground program 
manager for San Diego.

Bourey has disagreed on setting an ultimate burial date, but said the 
city has received any information it asked for and is exploring how to 
bury service lines.

Bruner also said utilities are not allowed to install new overhead wires 
in San Diego except under extraordinary circumstances and that an 
agreement should specify that buried lines go in the public right of way 
instead of through private property.

Bourey has declined to comment on freezing overhead utility 
infrastructure and said city rights of way are too cramped in some cases.

White said today he agreed that lines should go in the right of way 
"when feasible" and that the city has talked about limiting the new 
poles Duke can erect.

Overall, White said he?s satisfied that the vital specifics of a burial 
plan will be included in the new franchise agreement but that "there?s a 
hesitancy on the manager?s part to negotiate in the newspaper."

Ellen M. Dagenhart, ABR, e-Pro, GRI, SRES
MailTo:dagnhrt at mindspring.com
<mailto:dagnhrt at mindspring.com>Marie Austin Realty, Durham, NC
1204 Broad Street, Durham, NC 27705
http://www.marieaustin.com
<http://www.marieaustin.com/>Office  919-286-5611  FAX  919-286-2252  
Cell 919-475-1719
[]  

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