NH Senate Denies Eminent Domain for Northern Pass – Or Does It?

Under intense public scrutiny, the New Hampshire Senate last week approved a bill that supposedly sets limits on the use of eminent domain to seize property for public projects and excludes using it for privately-funded projects.

That would seem to exclude the controversial Northern Pass project, a proposed 180-mile transmission line that would bring hydroelectric power south from Canada through the White Mountains to central New Hampshire. Northern Pass is being proposed by a joint effort of Northeast Utilities, NSTAR and HydroQuebec, all private companies.

The power brought down from Canada is not meant for New Hampshire, but would be sold on the open market.

Northern Pass had been quietly suggesting they might pursue eminent domain if they ran into property owners unwilling to sell. They have already spent some $4 million buying up land along the route, but ran into a roadblock when the owners of the Balsams Resort in Dixville Notch sold a key parcel to a conservation group instead.

Opponents of the project packed the visitors gallery during the Senate proceedings, and were cheered by the vote, which they saw as another setback for the developers.

The celebration might be premature.

There seems to be a loophole (isn’t there always?) big enough to drive a utility truck through. The bill allows eminent domain to be used for energy projects if it is shown that the project would be beneficial for the environment. And a late amendment puts some of the decision-making powers into the hands of ISO-New England, a power regulator that works closely with the companies involved in the project.

It might be worth noting that ISO-New England supports the re-licensing of the rickety old Vermont Yankee Nuclear Power Plant, completely disregarding a long list of safety issues. They probably wouldn’t blink twice at ripping a transmission line through some of the most beautiful landscape in New England.

                      

Northern Pass Developers Pushing State To Take Land By Force

Ever since the controversy began over the construction of a new transmission line to bring power from Canada into New Hampshire slicing through some of that state’s most scenic landscape, the backers of the project have been quietly lobbying for eminent domain powers to force reluctant landowners along the proposed route to sell.

The issue gets its first real test tomorrow when the New Hampshire Senate takes up a measure that would amend the state eminent domain law to allow them to do just that.

Until just a few years ago, eminent domain was only regarded as a last resort by governments when it was necessary to buy land for needed public projects – highways, schools, etc.

In a case from New London, Connecticut, the Supreme Court under the Bush administration ruled that such a land-taking could be initiated for a private project, if some demonstrable public good resulted. At issue was an old neighborhood in the Fort Trumbull section of New London. Pfizer, the pharmaceutical giant, had indicated had it wanted to build a facility in the New London area.

A local developer convinced the city government that the Fort Trumbull neighborhood would be a perfect site for Pfizer as well as other businesses that it would attract. The only problem was that the residents didn’t want to sell.

Using the argument that the project would give a much needed boost to the local economy, the Supreme Court ruled that the homes could be taken by eminent domain. As a result, the residents were bought out, forced to find homes elsewhere. The houses were torn down, the land was bulldozed, and then Pfizer announced it would build somewhere else. Only recently have a few new homes been built on the site.

The Northern Pass developers had initially argued that the project would bring much-needed electrical power to New Hampshire. It quickly was revealed that New Hampshire had plenty of electrical power, and most of the imported power would be sold on the grid.

They then changed their argument, saying it would mean up to 1,500 jobs in the Granite State, but a rival power group now says those figures are exaggerated, in reality less than half that number, and most of those would go to specialists who would likely have to be hired from outside New Hampshire.

As a spokesperson for the Northern Pass developers said, “You have to consider the source.”

That cuts both ways.

The Balsams Landscape Has Been Saved!

Every once in a while the good guys win one.

The Society for the Preservation of New Hampshire Forests has reached its goal of raising $850,000 to buy a 5,800-acre parcel of land near the famous Balsams Grand Hotel in Dixville Notch, NH. They made the announcement in a statement yesterday on their website.

The land was considered a key piece on the proposed route of the controversial Northern Pass transmission line project. Developers of the $1.2 billion project – a joint venture of NSTAR and Northeast Utilities   have already spent $4 million buying up land for the project, even though it has yet to be approved.

As an indication of just how important this parcel is to the project, the developers had offered $3 million for this one piece alone. offered $3 million for the same piece of land, but the Tillotson Corporation, owners of The Balsams Grand Hotel and the parcel in question, offered to sell it as conservation land for the lesser amount if the amount could be raised by today (Jan. 15).

The project would bring electricity from HydroQuebec in Canada to southern New Hampshire, where it would then be sold on the open market. The transmission line would cut a wide swath through parts of the White Mountain National Forest, replacing the famously picturesque landscape with tall steel pylons laced with high-power lines.

Even Republican presidential hopeful Newt Gingrich has checked in on the project, suggesting that the lines should be buried, a notion the developers reject as being prohibitively expensive.

Will the developers have to abandon their plans? They had to abandon an earlier proposed route in the face of heavy local opposition.

Northern Pass officials have not made any comment yet on this latest setback. However, they have been supporting efforts to broaden eminent domain laws to allow land-taking for private projects. There was also an earlier suggestion by company officials that the Tillotson Corporation was obligated to choose their higher bid in the interests of their stockholders.

Stay tuned.