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Local View: New gas plant an important part of shift toward renewable energy

Transforming to a cleaner energy future is at the heart of Minnesota Power's EnergyForward strategy. Today, when our customers flip the electric switch to start their day or their business, 30 percent of the energy they use, on average, comes fro...

Julie Pierce.jpg

Transforming to a cleaner energy future is at the heart of Minnesota Power's EnergyForward strategy. Today, when our customers flip the electric switch to start their day or their business, 30 percent of the energy they use, on average, comes from renewable sources like wind and solar. Minnesota Power has become a renewable-energy leader in Minnesota, meeting the state's goals more than a decade early.

But EnergyForward isn't done yet. In fact, under our plan, by 2026, we will have removed more than a third of coal from our system, and the energy we deliver to customers will increase to 44 percent renewable as we make wind, solar, and hydroelectric additions, reducing carbon emissions by 40 percent in 2030. Most importantly, we are accelerating our transition to a cleaner energy future without sacrificing our commitment to provide safe, reliable energy.

Minnesota Power uses a number of resources to make this move. We have a state-leading energy-conservation program, Power of One, to help customers make choices that save energy. We offer demand-response programs, where customers give us permission to shut off their power for short amounts of time to help manage the need for energy in our area. Our diverse energy supply of wind, water, and solar generates carbon-free energy on a daily basis.

However, we have to be ready for times when the sun isn't shining and the wind isn't blowing. We need reliable, cost-effective, and quickly available sources of energy that can be used for long stretches of time to fill in when renewable resources are not available and that can be idled when they are.

Utilities across the country that are adding renewable resources also are using natural-gas energy to ensure electricity is available 24 hours a day, seven days a week. Natural gas, in addition to being used for home-heating fuel, is a very efficient way to generate electricity. In fact, in most regions of the country, natural gas is more popular than any other energy source because it is reliable and economical, and it emits much less carbon than coal.

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While we see the progress in large-scale battery-storage technology as a potential future option, our customers need energy for a longer duration than batteries currently can provide. We believe a natural-gas addition is a cost-effective way to provide steady and reliable energy 24/7.

This week, the Minnesota Public Utilities Commission will hold a hearing in Duluth on a proposal to build the Nemadji Trail Energy Center, a natural gas plant in Superior that will serve Minnesota Power and Dairyland Power Cooperative customers. This proposed plant is an important part of the EnergyForward plan for three reasons: One, it is an efficient local energy source for this region. Two, it provides flexible energy in a more carbon-friendly way than coal. And three, it can competitively meet energy needs when the sun and wind cannot.

By constructing Nemadji Trail Energy Center, we will have a secure resource at a more-predictable price. By sharing this plant with another energy company, we are sharing the risk and managing our customers' rate dollars more efficiently.

Over the past decade, the energy landscape has changed in remarkable ways. At Minnesota Power, our EnergyForward plan has exceeded society's changing expectations while still delivering safe and reliable energy when our customers need it most. With EnergyForward, we'll continue to meet this commitment to you.

Julie Pierce of Duluth is vice president of strategy and planning for Minnesota Power.

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