6.2. ERMUSR 02-12-2019 - Laserfiche WebLink

Home Browse Search

1MDMIJ,/ //////V�'► Position Statement Study Impacts Before Changing Renewable Energy Standard Background Minnesota's Renewable Energy \l Standard(RES) requires that by �` 2025, 25 percent of wholesale power sold to municipal and I` cooperative utilities 1 for their customers must come from renewable energy sources such as wind and solar. The same , - standard applies to ® I _ Minnesota Power q� and Ottertail Power. ISM tii �r, `` �r For Xcel Energy ,7* ;�a, the standard is 30 percent by 2020. ,t Some renewable energy advocatest propose increasing Mandating significant alterations to the power supply mix results in the need for extensive the standard so that planning and massive investment. all utilities would have to meet an RES of 50 percent by 2030. While The cost of renewable energy increased immediately municipal utilities and their power agencies support following enactment of the current RES mandate. renewable energy, experience implementing the Similar cost increases could occur with an RES current RES dictates that further study is necessary increase. before stepping up the Standard any further. Requested Action Current Status MMUA recommends that if the Legislature intends All indicators appear to show that the current RES to increase the Renewable Energy Standard, it will be satisfied. should first ensure that a comprehensive study is conducted as to the feasibility, costs and other Increasing the RES to 50 percent by 2030 would possible impacts of doing so. Such a study should require utilities other than Xcel to double their use be designed with extensive input from the utility of renewables in only five years from the current industry and Midcontinent Independent System deadline, and Xcel to increase 67 percent in 10 years. Operator(MISO) to determine required changes to transmission networks, including costs, the time Market factors, including the expectations of required and, who could build it. The State should customers, are moving utilities towards using more also study likely changes that would be caused by renewable energy. an increased mandate in how industry participants would be affected and whether those effects fit with The State has not sought to determine the the full range of relevant Minnesota policies. feasibility, costs and other possible adverse impacts of trying to achieve a 50 percent threshold by 2030. 2019 State Position Statements/5 109