LAS VEGAS (KTNV) — Plans continue to move forward on NV Energy's Greenlink Nevada project.
The project was initially proposed in July 2020, which was when it was approved by the regulatory commission. It was signed into law by then-Governor Steve Sisolak in 2021.
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According to NV Energy officials, the project is looking to add two lines to the state's grid infrastructure and improve reliability to power across the state.
"That solid line you see on the map was the first line that interconnected Southern and Northern Nevada. There's a lot of seasonal diversity, a lot of geographical diversity, and a lot of load differences there," said Carolyn Barbash, the Vice President of Transmission Development and Policy at NV Energy. "We are able to provide our customers with millions of dollars a year in savings because of that line, which went into service in 2014."
The line that currently exists is between Las Vegas and Ely. The two new proposed lines are between Las Vegas and Yerrington, which is planned to be in service by early 2027 as well as a line between Yerrington and Ely, which would be in service in late 2028.
According to Barbash, the project is currently behind schedule.
"The BLM, [Bureau of Land Management], is the lead agency that is running this process with all the coordinating agencies, which Clark County is one of those coordinating agencies. They run the permitting process and will ultimately decide routing and siting for the Greenlink projects across the lands before we bring special ease permit applications into each of the local counties where the line is planning to run through," Barbash said. "We are probably about 11 months now, according to this schedule, behind in that permitting process. NV Energy doesn't always get the schedule it wants. It's more important to make sure Nevada lands and federal lands receive a thorough environmental review, which is what the state is doing. It will ultimately be the BLM's timeline along with the coordinating agencies."
You can see the current proposed timeline and project progress below.
Commissioner Marilyn Kirkpatrick said part of the reason for the backup is so many companies coming to Nevada from other states to try to set up shop.
"When we first introduced our public lands bill, a lot of the solar companies ran to BLM and put in these different projects they wanted to do to the tune of 244,000 acres," Kirkpatrick said. "They weren't looking out for our community. At the same time, here we are. BLM has all of these applications and the community doesn't get much. The residents take the brunt of it."
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NV Energy officials said with more companies and people moving to Nevada, they're trying to predict how much electricity and energy people will consume about a decade in advance, which determines what projects they look at in the future.
"When we talk about projects and renewable projects, the time is now. We're seeing a lot of growth. We're seeing a lot of interest from industrial customers who want to build in this state and they want renewable energy," said Jimmy Daghlian, Vice President of Renewables and Generation Origination for NV Energy. "We look at what projects need to be brought online. We rank them on due diligence reviews we do. This is fully disclosed to the Public Utilities Commission."
"Our projects have long lead times. Transformers, right now, have a three-year lead time to get them manufactured and delivered here," Barbash said. "When these large companies finally commit, we have a difficult time putting those new resources in to serve them by the time they get here and build their projects."
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A big factor in all of these projects is cost. For example, the Sierra Solar project in Northern Nevada, which is scheduled to be in service in April 2027, is estimated to cost $1.4 billion. That cost is ultimately passed on to the customers and Daghlian said the company tries to be good stewards of that money.
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"I know it's a concern. In the summer, our prices were really high. It was primarily driven by natural gas prices that peaked. Having renewable energy resources in our system, the fuel source is free. The projects cost money but prices don't spike like we see in fuel prices," Daghlian said. "There's got to be a need. We need to justify why we build it. We have to grow smart, invest wisely, and meet customer need. The green energy transition is going to cost some money and it's going to be painful and we're just going to have to go through it because we're investing in the long-term."
The cost of materials has also gone up. According to Daghlian, battery prices have doubled over the last two years and solar panel prices have gone up 40% to 50%. Daghlian added NV Energy could get some financial help thanks to tax incentives provided in the Inflation Reduction Act. For example, they can receive investment tax credits up to 50% for renewable energy and standalone storage projects.
State officials have set the goal of at least 50% of the electricity utilities sell to Nevada customers must come from renewable sources by 2030. They're also aiming to have zero net carbon emissions by 2050.
"It's going to be a challenge," Daghlian said. "Power purchase agreements, which were supposed to be completed on time were not. We're playing a catch-up game. I know we can do it but it will require a lot of investments to get to that number."
