Oglethorpe Power Corporation decides about investing in a major transmission system

Oglethorpe Power Corporation decides about investing in a major transmission system

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Article ID: iaor19951581
Country: United States
Volume: 25
Issue: 2
Start Page Number: 25
End Page Number: 36
Publication Date: Mar 1995
Journal: Interfaces
Authors:
Keywords: energy
Abstract:

Oglethorpe Power Corporation (OPC) provides wholesale power to consumer-owned distribution cooperatives in Georgia. Late in 1990, OPC managers learned that Florida Power Corporation wanted to expand its connections to Georgia with another transmission line. To decide whether to build this line, OPC worked with Applied Decision Analysis, Inc. to conduct a comprehensive decision analysis in less than two weeks. The results of the analysis helped persuade OPC to shift from a joint venture strategy with Georgia Power to an independent strategy of direct negotiations with Florida Power. These negotiations would serve as a first step towards building the transmission line, and would keep other options open as information regarding the competitive situation was gathered.

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