FERC on Thursday approved a transmission asset swap between Idaho Power and PacificCorp as part of the companies’ plans to develop a 300-mile-long, 500-kV line that will deliver Wyoming wind to the Pacific Northwest and hydropower to the Intermountain West (EC23-111).

In August, Idaho Power said it expected to begin construction work on the Boardman to Hemingway Transmission Project (B2H) this fall. The line between northeastern Oregon and southwestern Idaho is expected in service by June 2026.

The two companies said they sought the transfer to improve the alignment of their transmission assets with their load service areas after the Bonneville Power Administration dropped out as a partner in the B2H project.

Although Bonneville initially had proposed to participate in the project to facilitate service to wholesale customers in southeastern Idaho, it withdrew, choosing to take long-term firm transmission service from Idaho Power.

The transaction will give PacifiCorp 300 MW of west-to-east transmission capacity and 600 MW of east-to-west transmission capacity over the transferred facilities. Idaho Power will gain 200 MW of bi-directional transmission capacity over facilities through Idaho and more than 600 MW of capacity in the Goshen, Idaho, area to support network service from Idaho Power to BPA’s southeastern Idaho wholesale customers.

The commission concluded the transaction would not harm horizontal competition because it does not involve any generation assets and vertical competition would be unaffected because the transmission facilities involved will provide service under FERC-approved Open Access Transmission Tariffs. It also said the deal would not impact wholesale rates because the assets will be transferred at net book value with no acquisition premiums.

The commission conditioned its approval of the deal on the parties’ completion of a memorandum of understanding to address Utah Associated Municipal Power Systems’ (UAMPS) concern that the transaction could impact transmission service to UAMPS’ members in southeastern Idaho.

“We find that applicants have sufficiently addressed UAMPS’ concerns, provided that they follow through on their commitment to enter into the memorandum of understanding,” FERC said, ruling UAMPS’ request to be held harmless “moot.”

In a separate order, the commission also approved revisions to add the B2H project to Idaho Power and PacifiCorp’s joint ownership and operating agreement over transmission facilities in Idaho, Oregon, Washington and Wyoming (ER23-2463).

The B2H project will run between a new switching station near Boardman, Ore., and the existing Hemingway substation near Melba, Idaho. Idaho Power says the project, which it identified in its 2006 integrated resource plan, is the least-cost alternative for serving its customers in fast-growing southern Idaho and eastern Oregon. PacifiCorp said the line will aid its service into northeastern Oregon and provide a second connection between the PacifiCorp-East and PacifiCorp-West balancing authority areas, currently connected only by the Midpoint-to-Summer Lake 500-kV line.

Idaho Power said the project will connect two regions whose peak production of clean power is mismatched with their peak demand. The Pacific Northwest sees energy demand peak in the winter, driven by heating loads, while its peak hydropower production is in the spring and summer. In contrast, electricity demand in the Intermountain West peaks in the summer from irrigation and air conditioning loads, while its wind energy peaks in the winter.