The Federal Energy Regulatory Commission approved American Municipal Power-Ohio’s plans to finance the 72-MW Smithland and 84-MW Cannelton hydroelectric projects, both on the Ohio River in Kentucky.
AMP-Ohio informed FERC it has access to a $150 million revolving line of credit for each project with a syndicate of bankers led by JP Morgan Chase Bank. The line of credit can be increased to $250 million for each project at any time before terms expire in December 2010, it said.
AMP-Ohio also reported it has secured Clean Renewable Energy Bonds totaling $2.1 million for the Smithland project, and a commitment of $1 million from its members for the development phase of that project. As for Cannelton, AMP-Ohio reported it is in the process of securing Clean Renewable Energy bond funding for the project. (HNN 11/1/07) It said it already has a commitment of $1 million from its members for the development phase of the project.
AMP-Ohio filed the financing plans Aug. 7, supplementing them Oct. 23. FERC approved the plans in separate orders Oct. 24. The commission said the licensee has shown it acquired the funds necessary to construct the projects.
Licenses for both projects required that financing plans be filed with FERC 90 days prior to the start of land clearing activities. The licenses also stipulated that financing plans must be approved before the licensee could begin civil works construction, or ground-disturbing activities, other than those required for subsurface site exploration.
AMP-Ohio, which represents 119 municipal utilities in five states, acquired licenses for Cannelton (No. 10228) and Smithland (No. 6641) from another developer. MWH, the owner’s engineering, is providing engineering design services for both projects. (HNN 10/9/07)