Minnesota Power Proposes Next Step in EnergyForward Plan
Wind, solar and natural gas package will increase company's renewable mix, reduce carbon and preserve reliability for customers
In an upcoming filing with the
"For the past four years, EnergyForward has been exceeding
expectations for how an energy company can transform the way it produces
and delivers energy," said
With approval of the proposed resource package by the MPUC, renewable energy resources— including wind, Canadian hydro, solar and biomass—will account for 44 percent of the utility's energy supply portfolio, exceeding the initial EnergyForward goal of one-third renewable power. Minnesota Power's long-term goal is an energy mix of two-thirds renewable energy and flexible, renewable-enabling natural gas and one-third environmentally compliant baseload coal.
Natural gas is an essential component of the resource package to be
filed with regulators. Without this plant,
"Through a unique partnership with
The details of Minnesota Power's proposal include:
Minnesota Poweris proposing a joint ownership structure with Dairyland Power Cooperativeto build a state-of-the-art 525- to 550-megawatt combined-cycle natural gas power plant in Superior, Wisconsin. Minnesota Powerwould purchase approximately 50 percent of the plant's output (250 megawatts) from an ALLETEsubsidiary starting in 2025 to serve customer load, stabilizing energy supply for times when renewable energy capability is lower. The project will create an estimated 260 construction jobs and employ approximately 25 full-time workers.
Minnesota Powerconducted a robust competitive process as part of its 2015 Integrated Resource Plan. An independent, third-party evaluator reviewed the bids and recommended a 250-megawatt, 20-year purchase power agreement (PPA) with independent power producer Tenaska, to be located in southwestern Minnesota. In addition to providing the lowest overall cost among the wind farm bids, Tenaska's Nobles 2 Power Partnerswind farm will offer greater geographic diversity among Minnesota Power's wind resources and a highly efficient wind resource. Minnesota Powerhas an option to purchase the wind farm after 10 years of production.
Solar. To achieve the state's solar
Minnesota Powerpackage proposes to add 10 megawatts of solar power by 2020 through a 25-year PPA with Cypress CreekRenewables. The addition will complement the current 10-megawatt Camp Ripleyproject that was completed last year and will be placed within Minnesota Power's distribution system near Royaltonin central Minnesota. The agreement includes an option for Minnesota Powerto purchase the array.
"We believe this resource package is the best way to meet changing customer expectations for clean energy while preserving safe, affordable and reliable supplies of energy for the customers who depend on us to power homes, schools, hospitals and the natural resource based industry that fuels our region's economy," Oachs said.
The statements contained in this release, and statements that
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Manager - Corporate Communications
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