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A transmission line linking two Southeast Alaska hydroelectric projects is moving ahead as planned.
Gov. Tony Knowles signed legislation Tuesday that partially reimburses a power agency for the construction cost of the proposed Swan Lake-Lake Tyee Intertie.
The Ketchikan City Council later that day approved changes to a contract for clearing the intertie's right of way.
Both decisions keep the project on pace for construction possibly to begin in 2004.
The state will chip in $20 million that will go toward reimbursing the Four Dam Pool power agency for part of the construction costs. The intertie is expected to cost about $78 million.
The project links Swan Lake, Ketchikan's main hydroelectric power source, with Lake Tyee, the main power source for Wrangell and Petersburg. Those two hydro dams, along with two others, were purchased from the state by the Four Dam Pool earlier this year.
The Four Dam Pool is made up of Ketchikan Public Utilities, the Copper Valley and Kodiak Electric associations, and the cities of Petersburg and Wrangell.
The sale was aimed at providing more local control to the communities powered by the hydro facilities. For Ketchikan, the sale helps pave the way for construction of the intertie.