Expected to be commissioned in 2019, the bi-directional, high-voltage direct current (HVDC) project will interconnect with converter stations in Erie, Pennsylvania and Nanticoke, Ontario.

The 320kV transmission line will provide direct link between the markets of the Ontario Independent Electricity System Operator (IESO) and PJM Interconnection (PJM), a regional transmission organization in the US.

The project will connect to existing Penelec ErieWest Substation through a 345kV AC underground transmission line.

ITC international and merchant development vice president Terry Harvill said: "The Lake Erie Connector offers compelling market opportunities by providing a more direct, efficient and controllable path for energy and capacity to flow between the two systems, and it can facilitate the export of clean energy from Ontario to PJM to address potential environmental regulations and Renewable Portfolio Standard requirements in the US."

The company expects to secure all permits by 2017 with plans to commence construction in the same year.