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<br />Regional Director Clinton proposed to the Public Service <br /> <br /> <br />4It Company of New Mexico that when the Company installs additional <br /> <br /> <br />thermal generating capacity at Four Corners, and a second 230 kv. <br /> <br />transmission circuit is required between Four Corners and Albuquerque, <br /> <br />that the second circuit be built by C.R.S.P., and that this circuit <br /> <br />be pooled with the Company's original circuit, and that wheeling <br /> <br />charges be eliminated. This proposal was not acceptable to the <br /> <br />Company. <br /> <br />In view of the substantial savings, amountin~ to $5,446,000 <br /> <br />during the first 42 years of service that would result from the <br /> <br />Company's wheeling proposal, as compared to the cost of an independent <br /> <br />230 kv. transmission line constructed as part of the C.R.S.P.. it is <br /> <br /> <br />apparent that the Company's wheeling proposal would produce greater <br /> <br /> <br />surplus revenues for the Basin Fund than the construction by the <br /> <br /> <br />Government of an independent 230 kv. line from Shiprock to Albuquerque. <br /> <br />The Bureau is now considering an alternate transmission <br /> <br />system in New Mexico which includes a 230 kv. transmission line from <br /> <br />Four Corners to Blue Water. (a point about 10 miles south of Ambrosia <br /> <br />Lake), at which point C.R.S.P. power would be delivered to Plains G.& T., <br /> <br />and two C.R.S.P. 115 kv. transmission lines from Blue Water to Al- <br /> <br />buquerque. Under this alternate, it is assumed that Plains G.& T. <br /> <br />would build a 115 kv. transmission line from Blue Water to Cuba. This <br /> <br />alternate transmission proposal is to be discussed by the Bureau with <br /> <br />~ New Mexico Public Service Company at a meeting to be held on <br /> <br />February 5, 1962. <br /> <br />18 <br />