LANSING, MI-- Michigan Governor Rick Snyder and Attorney General Bill Schuette have announced four companies are coming together on a plan to provide a solution to the U.P.’s energy needs.
The region was slated to pay around $117 million to keep the Presque Isle Power Plant open, per federal mandate. But WE Energies, Upper Peninsula Power Company, Invenergy, and Cliffs Natural Resources are etching out the details of a proposal to keep customer bills down and provide local electric generation into the future.
Under the preliminary plan electric businesses owned by WE Energies—including the Presque Isle plant—would be sold to UPPCO. Once the plant is purchased (no later than July) System Support Resource payments for the plant would end and Cliffs would buy most of its power from UPPCO until the plant’s retirement in 2020. Invenergy would then build a new natural gas-powered heat and power facility on Cliffs property to supply energy to the mines and excess power to local utilities.
Dave Forsberg is UPPCO’s Manager of Community, Government and Public Relations. He says, “Upper Peninsula Power Company is delighted to be working with the governor and the attorney general and key stakeholders to find a solution that benefits the U.P. Expansion of UPPCO is consistent with the company’s business strategy and with UPPCO’s commitment to the U.P. and Michigan, and while we’ve got a lot of substantial work ahead to resolve some of the remaining issues, which are complex, UPPCO is looking forward to working in good faith with Cliffs and Wisconsin Energy to find a solution that works for all the parties.”
We Energies, Governor Snyder, Attorney General Schuette, the Michigan Public Service Commission staff and Cliffs have agreed to notify the Federal Energy Regulatory Commission and the MPSC of their position of no objection to the merger of Wisconsin Energy and Integrys Energy Group, conditional upon the above agreements being approved.
Snyder is praising all parties for their commitment to the issue. He says he’s optimistic the plan will receive federal and state approval.
