CableCURE

Several cooperatives have used the silicone injection rehabilitation product called CableCURE to prolong the life of URD cable. CableCURE is designed to be injected into either energized or de-energized cables. After injection (approximately forty-eight hours), CableCURE will polymerize with water presently in the cable and cure into a solid dielectric gel that prevents future water entry that causes splices and other components to fail. The product displaces water contamination and the production of hydrogen gas produced by electrolysis by filling and inhibiting existing water trees and diffuses into the insulation to retard future growth of water trees.

CableCURE may be applied to any primary insulated cable regardless of size or voltage rating. Due to its liquid property, CableCure’s application and performance are most effective on insulated cables with stranded (rather than solid) conductors.

On January 18, 2000, the Federal Energy Regulatory Commission (FERC) approved the capitalization of CableCURE based upon the authentication provided by the distributor that CableCURE "… extends the service life of URD cable by at least 20 years." In addition, the licensed distributor, Utilx Corporation, guarantees the life extension function with a 20-year full money back warranty that runs from the date the cable is injected. The FERC concluded that this injection rehabilitation process meets the requirement of a substantial addition and, therefore, the cost is properly capitalized.

On May 22, 2000, based on the actions of the FERC, the Rural Utilities Service authorized the capitalization of the cost of CableCURE injected into underground cable. The labor and material costs incurred in the process should not, however, be recorded as a separated retirement unit in the Continuing Property Records (CPR’s). The cost should be added to the existing cost of the cable units in the CPRs being injected with CableCURE. The cost of the injected cable should then be segregated into separate cable retirement units. In addition, RUS borrowers should consider the 20-year life extension of the injected cable when setting its depreciation rates.

RUS encourages cooperatives to share their experience applying this innovative product. If you would like more information or have any questions, please contact Mr. Trung Hiu, Electrical Engineer, Distribution Branch at (202) 720-1877 or thiu@rus.usda.gov. If you have any questions regarding the accounting for CableCURE, please contact the Technical Accounting and Auditing Staff at (202) 720-5227.