So Cal Ed dumps controversial power line in Arizona

LOS ANGELES (Reuters) - Southern California Edison said on Friday it would not seek a license to build the Arizona portion of the controversial Devers-Palo Verde No. 2 high-voltage power transmission line at this time.

The electric utility subsidiary of Edison International said it would still construct the California portion of the line.

The proposed 270-mile, 500-kilovolt line prompted a battle between California and Arizona utility regulators. Arizona's regulators rejected the proposed line in May 2007 after California regulators approved it in January 2007.

Arizona regulators said they did not want to export so much power to California.

The full 270 miles of the line in both California and Arizona was tagged at almost $1.03 billion -- $723 million for the 170 miles in California and $304 million for the 100 miles in Arizona.

SCE said it would now stop pre-filing efforts for the project with the U.S. Federal Energy Regulatory Commission (FERC).

The Arizona portion of the line would have gone from Blythe, California, to a major transmission line link near the Palo Verde Nuclear Generating Station about 50 miles west of Phoenix.

The California portion of the line that SCE still plans to build runs from near Palm Springs to Blythe. SCE said it in May 2008 filed an amended plan with the California Public Utilities Commission for the California side of the line.

Pedro Pizarro, SCE's vice president of power operations, said SCE expects a decision from the Cal PUC in about a month. If all goes to plan, the 170 miles of the California transmission line can be online in 2013, said Pizarro.