Central Maine Power Company is planning a $2.8 million expansion of its substation on Jones Woods Road in North Newcastle.
The utility has an option in place to purchase a 1.3-acre parcel from the town of Newcastle to accommodate the project. The utility will pay $2500 for the land if Newcastle residents approve the sale at a special town meeting in December.
The town would split the parcel off an approximately 100-acre woodlot, the former site of a town landfill.
CMP representative Scott Emery offered the Newcastle Board of Selectmen $1000 for the land. The selectmen, on the advice of Newcastle Assessors’ Agent Jim Murphy, countered with $2500.
Emery, on behalf of CMP, agreed to accept the option and pay a non-refundable $500 deposit. The option will allow the utility to apply for the necessary permits for the project.
The parcel has low value because of its rural location and proximity to the landfill site, Emery said.
CMP estimates the cost of the project at $2.8 million, Emery said. “When we start building inside the fence, it’s hugely expensive,” he said.
The investment represents “a benefit to the town tax base with very little increase in use of services,” Emery said.
