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�i <br />Elk River --�- <br />Municipal Utilities UTILITIES COMMISSION MEETING <br />TO: <br />FROM: <br />ERMU Commission <br />Mark Hanson — General Manager <br />MEETING DATE: <br />AGENDA ITEM NUMBER: <br />April 11, 2023 <br />2.6 <br />SUBJECT: <br />Termination of Voltus Distributed Energy Agreement <br />ACTION REQUESTED: <br />Approve the Termination of the Distributed Energy Resources Agreement between Elk River <br />Municipal Utilities and Voltus, Inc. <br />BACKGROUND: <br />On February 14, 2023, the ERMU Commission approved an agreement with Voltus, Inc. as a <br />means of replicating the distributed energy opportunity we had with Great River Energy for our <br />four engines/generators. Our current wholesale power provider, Minnesota Municipal Power <br />Agency (MMPA), does not offer a similar program. Both MMPA and Minnesota Municipal Utility <br />Association stated they understood and supported our interest in pursuing the opportunity. <br />DISCUSSION: <br />As was briefed at the March 14, 2023, meeting, Voltus had not made it clear that the inclusion <br />of energy curtailment was required for Midcontinent Independent System Operator (MISO) <br />registration. Unfortunately, staff were not able to confidently identify curtailment opportunities <br />in time to meet MISO's registration deadline. <br />Although we may work with Voltus again for registering the generators in MISO's 2024 behind <br />the meter generation program, staff determined the best course of action was to cancel the <br />existing agreement. We will draft a new agreement with Voltus if we partner with them in the <br />future. <br />ATTACHMENTS: <br />• Letter of Termination — Voltus DE Agreement <br />Page 1 of 1 <br />59 <br />