No need for legislators to short circuit competitive bidding & cost savings
Madison – Two major transmission projects for Wisconsin have received multiple competitive bids as part of MISO’s Tranche 2.1 portfolio Request for Proposal (RFP). The two projects include three 765-kV lines, for an estimated total of $1.78 billion. Several complete applications were filed for both lines, and the results will be announced, at the latest, in January 2026. A coalition of ratepayer, consumer protection groups, taxpayer advocates, free market supporters, environmental, and trade associations thanked legislators for taking a pause in on the transmission Right of First Refusal (ROFR) bill (Assembly Bill 25/Senate Bill 28/Assembly Bill 174) and letting the competitive process play out.
“We appreciate and thank the Republicans in the majority for not rushing to implement a ROFR bill. The competitive system works, and the process is now underway. Changing the rules in the middle of the process would undermine customer savings,” said Jerry Ponio, Legislative Director, Americans for Prosperity – Wisconsin.
One of the most lobbied bills in the last three legislative sessions, ROFR would have effectively ended the competitive bidding process for the construction of these large interstate powerlines in Wisconsin. Incumbent utility monopolies and their owners (e.g. Vanguard Group, BlackRock Inc. and State Street Corp) have a massive incentive to put “steel in the ground” because of ATC’s 10.48% Return on Equity.
The RFP for the $568 million Wisconsin Southeast Project (WISE) was due July 28, and results will be announced no later than January 9, 2026. The WISE project is expected to be in service in 2033. Four proposals were deemed complete by MISO, reflecting submissions from the RFP respondents listed below:
- Joint proposal from American Transmission Company, LLC, Dairyland Power Cooperative and proposal participant WPPI Energy.
- Longview Infrastructure Midwest, LLC and proposal participant Great River Energy.
- LS Power Grid Wisconsin, Inc.
- Viridon Midcontinent LLC.
The RFP for the $1.2 billion Bell Center-Columbia–Sugar Creek-Illinois/Wisconsin State Line (BECI) was due August 11, and results will be announced no later than January 23, 2026. The BECI project is expected to be in service in 2034. Six proposals were deemed complete by MISO, reflecting submissions from the RFP respondents listed below:
- Joint proposal from Ameren Transmission Company of Illinois, American Transmission Company, LLC, Dairyland Power Cooperative and GridLiance Heartland, LLC.
- Longview Infrastructure Midwest, LLC and proposal participant Great River Energy.
- LS Power Grid Wisconsin, Inc.
- Transource Energy, LLC
- Viridon Midcontinent LLC
The false sense of urgency being spun by incumbent utilities should be disregarded. Wisconsin’s incumbent utilities have sharpened their pencils and filed competitive packages. In fact, with 765kV being novel to MISO, Wisconsin and ATC, the competitive process makes sense, especially when other developers with current 765kV experience were allowed to bring forth their unique insight and innovations in a way that could save money for all customers.
Any talk of moving a ROFR bill at the 11th hour would allow these utilities to bypass the requirement for competitive bidding on such lines, which has been shown to save consumers an estimated 30%. This competitive process was reaffirmed last year by the Federal Energy Regulatory Commission. Instead of spending an astronomical number of lobbying hours in the Capitol, our utilities (and certainly their customers) would be much better served by letting the competitive process play out.
New data shows that transmission rates charged by ATC have increased by 43% since 2019, far outpacing 27% CPI inflation. Further evidence — WPL’s pending rate case filing indicates that by the 2027 test year, WPL’s transmission expenses are expected to increase by $44 million, which represents approximately 21% of the utility’s total cumulative proposed rate increase in this case.
As these costs continue to climb, preserving and promoting competition is more important than ever to help control costs on utility bills. Most energy infrastructure projects and most transmission projects in Wisconsin are built without any threat of competition.
Wisconsin, once a leader in low-cost energy, now has the second-highest electricity rates in the Midwest, exceeding the regional average for more than 20 years. Given the unprecedented power required to meet the needs of new developments, such as data centers and advanced manufacturing, the Ratepayer Protection Coalition urges policymakers to seek solutions that protect ratepayers rather than implement policies that favor utility profits.
All the state’s investor-owned utilities have announced unprecedented levels of new capital expenditure plans. ATC’s latest 10-year expansion plan, triple its 2019 level, totals $10 billion, or approximately $1 billion per year. With ATC’s rate base set to double between 2025 and 2029, transmission costs will continue to apply upward pressure on customer bills.
The Ratepayer Protection Coalition strongly believes companies should compete to win bids, proving their value through market accountability, not legislative protection. With transmission costs climbing and most utility projects shielded from competition, expanding competitive bidding and procurement is essential to protect ratepayers. Wisconsin legislators must continue to reject ROFR bills and should pursue policies that bring more competition into the market.
