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<br />1 1 <br /> <br />..~ <br />r;) <br />,..-4 <br />..-I <br /><':-.> <br />{-.:J <br /> <br />the project's energy needs five to ten years before demands would be <br />put on the system. This allows ample time for the necessary planning <br />to make sure that the project's needs do not conflict in any way with <br />those of other Valley Power users. <br /> <br />The ~ureau of Reclamation's decision to contract with private utility <br />companies instead of construct its own power facilities reflects the <br />following factors: <br /> <br />1, The utility companies assured the government that project needs <br />cou Id be me l. <br /> <br />... <br /> <br />2. The underlying phi losophy of the American system is that private <br />sector developl:1ent is apt to be more efficient than direct govern- <br />ment action. A choice was seen between the government building its <br />own power system versus acquiring the necessary power from the pri- <br />vate sector. Under the American system, there is a strong bias in <br />favor of the private sector option. <br /> <br />3. If the government built the system, it could only be used for pro- <br />viding power for the Project. Contracting with the utility com- <br />panies means that the transmission system will be the property of <br />those companies and that service can be provided to private indivi- <br />duals. The approximately 150 miles of new transmission lines can <br />provide electrical service to a large area which is now without <br />easy access to existing utility lines. A number of individuals <br />should benefit from this directly. <br /> <br />The project power delivery system will be built by and remain the pro- <br />perty of the utility companies. However, the. fe.deral governme.nt does <br />retain some control of the form the system will take. This control is <br />mostly related to environmental concerns. For in~tance, the system <br />will have a mix of above and below ground power lines. This is to <br />reduce visual impact, The above ground parts of the system will be <br />designed to reduce the possibility of wildfowl injuries. <br /> <br />The Bureau will contract with the utility companies and will pay for <br />the cost of the power distribution system. This will be done in about <br />the same way that a private individual in a remote area would get elec- <br />trical service. The funds which were originally allocated for the <br />government's own system will cover the costs of contracting with the <br />utility companies. The government will pay for the project system <br />directly. The costs of the project system will not be "tacked on" to <br />the utility bills of the general public. <br />