Property Values
How do you compensate people who believe their property value will be reduced because of the transmission line?
The Heartland Team recognizes that some property owners are concerned about potential impacts on the value of property located near to or having a view of the transmission line but not crossed by the right-of-way. This potential impact will be one of many topics for the Alberta Utilities Commission (AUC) to consider. Transmission lines are common in urban areas. Previous studies have indicated that transmission lines have either a small or no discernable impact on property values, and that where an effect is found, it tends to diminish rapidly with distance from the line and to dissipate over time.
Please click on the following links to access various studies on Property Values:
High-Voltage Transmission Lines: Proximity, Visibility, and Encumbrance Effects, Chalmers & Vorvaart, The Appraisal Journal, Summer 2009
Further analysis of transmission line impact on residential property values, M. Wolverton, Appraisal Journal, July 2003. (This is an analysis of the Bottemiller, Cahill, and Cowger 2000 study listed below)
Impacts on Residential Property Values Along Transmission Lines-An Update Study of Three Pacific Northwest Metropolitan Areas, Bottemiller, Cahill and Cowger, Right of Way Magazine, July/August 2000
Transmission Line Impact on Residential Property Values A Study of Three Pacific Northwest Metropolitan Areas, Bottemiller, Cahill, and Cowger, Right of Way Magazine, September / October 1996
Power Lines and Land Value, Colwell, The Journal of Real Estate Research, 1990
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What type of compensation is available to landowners?
The Heartland Team is committed to providing fair and reasonable compensation to landowners who may have transmission facilities on their property. There are three general types of compensation if the right-of-way for a transmission line that is approved by the Alberta Utilities Commission is on a landowner’s property.
1. Easement acquisition for the transmission line right-of-way
An easement provides access for construction and maintenance and limits development to ensure the reliability of the transmission line and public safety. Where a route that is approved by the Alberta Utilities Commission crosses private land, the project team must acquire land rights from landowners. The project team would offer to acquire an easement on the land for fair market value, while the landowner retains full ownership of the property.
If the Heartland Team and the landowner are unable to reach agreement, then the Surface Rights Board would be asked to determine compensation. Further information on the scope of the Surface Rights Board’s authority and procedures are available on the board’s website at www.surfacerights.gov.ab.ca.
2. Annual structure payments (ASP)
An ASP would be paid to landowners who have transmission towers on their cultivated and uncultivated lands. The ASP is intended to compensate landowners, in part, for the inconvenience and costs associated with weed control, additional operation time, and additional seed, pesticide and fertilizer used when farming around the structures. Additionally, the ASP compensates landowners for loss of crop within and around the structures due to compaction, double seeding and double spraying.
3. Supplementary compensation
Other forms of compensation that landowners may be eligible for includes: entry fee, general disturbance payment and construction damages.
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