Rebuilding a power line is never just about poles and wire; it’s about solving a dynamic, high-stakes puzzle. One shaped by weather, terrain, and budget. And it’s a puzzle we’ve gotten really good at figuring out.
Fifty years ago, just 8% of Cherryland’s system was underground. Today, over half of our lines are buried and out of sight. That’s incredibly rare for a rural electric co-op and a big reason why our members experience fewer outages than almost anyone else in Michigan.
That transition didn’t happen by accident—it’s the result of careful analysis of every project we tackle on your behalf.
Our line design team starts with one big, overarching question: What’s the best way to build this so it keeps the lights on for the people who live and work here? We look at logistical factors like tree cover, soil conditions, environmental sensitivities, and even how hard it might be to get equipment into the area.
Some areas lend themselves to overhead construction with their open spaces, easy access, and dry ground. Others practically beg for underground, like spots with lots of trees, steep terrain, or a history of storm-related outages.
And then there’s the cost.
Underground line is two-to-four times more expensive than overhead. That’s not an exaggeration. It’s the difference between building one mile of underground line or three miles of overhead line for the same money. When you’re working with finite dollars while trying to provide the highest quality service possible, that tradeoff becomes very real.
This is especially top of mind for us right now. Every October, we build out our capital budget for the year ahead, and this month, we’re deep into planning for the most impactful system upgrades we can make in 2026. Next year, we’ll invest over $12 million on your behalf in rebuilding parts of our system, replacing outdated equipment, and continuing to deliver the reliable service you count on.
Will we keep going underground in the future? Yes. But never entirely. While we default to underground for new construction, and we prioritize it for upgrades where it can have the biggest long-term impact, there will always be parts of our system that are too wet, too remote, or too environmentally sensitive for underground work.
You don’t have to see the wires to feel their impact. Our job is to make sure your power works so seamlessly that it fades into the background. But, make no mistake, behind the scenes we’ll keep solving the puzzle with consistent investment and thoughtful planning. And we’ll always have the same guiding goal: Deliver the most reliable power we can, as cost-effectively as we can, to the people who count on us.
Rachel,
You indicate that underground lines cost about 3 times as much as above ground lines, but we’re still trying to put as much line underground as reasonably possible. I assume the motivation for underground lines goes beyond aesthetics.
Don’t underground lines last longer and cost less to maintain? Is it just the initial installation that costs 3 times as much? Can you tell us what the total ownership costs of underground and above ground lines are per mile? Are underground lines safer?
Hi Roger,
Great questions. Here’s how the comparison generally plays out:
Overhead infrastructure often lasts longer, our system still has overhead lines in service after 75+ years. Underground, on the other hand, typically needs to be replaced around the 40-year mark.
Maintenance: Overhead requires more ongoing maintenance to achieve that longevity. Underground requires much less day-to-day upkeep, but when a section starts failing or deteriorating, it usually has to be replaced entirely rather than repaired in place.
Reliability & outage costs: Underground is less prone to outages from trees, storms, or animals, so members see fewer interruptions. But when a failure does occur, it’s more complex and costly to repair than an overhead outage. Overall, overhead tends to have higher lifetime outage costs due to frequency, while underground has higher per-event costs.
Costs per mile: Installation is the biggest differentiator—underground is roughly three times more expensive up front. Once installed, though, the “total ownership cost” really depends on the environment. In areas with few outage threats and easy access, overhead remains the most cost-effective and reliable choice. In areas with dense tree cover, difficult terrain, or frequent weather impacts, underground can provide better long-term value despite the higher initial price.
Safety: Both are safe when designed and maintained properly. Underground reduces risks like vehicle contact and tree-related hazards, but overhead remains safe under normal operating conditions.
All of this to say—it isn’t a simple calculation. We weigh costs, reliability, and site conditions carefully to decide what makes sense in a given area. We’ve chosen to invest in underground wherever the benefits outweigh the cons because generally members prefer it.
You can’t beat underground for aesthetics. Much less impact on sightlines and scenery. Most of the power lines around my home are buried now (thank you Cherryland), but the cable company’s poles and wires are still in place.
Yes, that happens. Unfortunately, we have no control over the cable company. We do let them know when we move our infrastructure underground but they usually leave their equipment as is. Glad you like the underground in your area, we hear that from a lot of members.
Kaleva is installing underground fiber optic. Most of the power lines are still above ground. I think most of the conduit is installed, so it might be too late to collaborate. Did Kaltelco let you know about that project?
Hi Tim – No, Katelco did not reach out to us. But, it’s very uncommon to do a joint electric and fiber underground project. We have different equipment depth and construction requirements due to the safety issues surrounding electric lines. This generally drives up the undergrounding cost for the fiber company, making it more costly but not adding much benefit for them. And, it doesn’t save us money either.
I live in Williamsburg and have overhead lines on my property. Over the years I’ve head several power outages and would like to have the lines buried to reduce those occurrences (and for the general aesthetics). Unfortunately the cost of burying the lines is significant (around $5k), in addition to the cost of the connection at the house. Does Cherryland Electric have a program that can help defray some of those costs to the homeowner?
Hi Ray – I checked on your account. We make a significant investment in undergrounding all of the lines on Skegemog Point about 10 years ago. From our records it looks like you have had one outage since you moved into your home – caused by a failure at the substation which wouldn’t be prevented by overhead or undergound lines. While it was before your time there, we used to have a lot of reliability issues on Skegemog which is why we made the decision to move that area underground.
It sounds like you would prefer to have your individual service line underground and we are happy to do that, but it would be at your cost since it has no reliability advantage for anyone other than you. We do not subsidize the cost of individual homeowner projects across our membership. Our engineering and project staking team can work with you to find the most cost effective options and we can certainly talk about spreading your payments across a few months if that would be helpful. Just give us a call when you’re ready to move forward with the upgrade.