3/7/2012

AWEA Regional Wind Energy Summit Midwest

Wind Power Issues WPPI Energy

Andy Kellen Assistant Vice President Power Supply Resources March 7, 2012

Introduction to WPPI Energy

Municipal joint action agency Serve 51 member electric utilities in Wisconsin, Iowa and Michigan Peak load of approximately 1,000 MW

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WPPI Power Supply Resources

WPPI Renewable Portfolio

ByCapacity(MW)
Hydro 9.7 Biogas 5.1

ByAnnualEnergy(MWh)
Hydro 30,222 Biogas 41,375 41 375

Wind 163.3

Wind 467,650

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WPPI Wind Resources

Barton I (30 MW)

Forward (27.5 MW)

Top of Iowa (54 MW)

Butler Ridge (54 MW)

Current Wind Energy Issues

Build versus Buy Decision y Dispatchable Intermittent Resource Transition Community-based Renewables y

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Public Power Build vs. Buy Decision

Access to municipal debt financing generals f l favors ownership, but hi b t Tax-exempt status precludes PTC/ITC utilization On balance, purchase is preferable to ownership for renewable resources, so hi f bl WPPI obtains most renewable energy through power purchase agreements

Dispatchable Intermittent Resources

All newer wind resources required by MISO to register as Dispatchable t i t Di t h bl Intermittent Resources (DIR) by 3/1/13 DIR transition is complicated by PPA arrangements that dont contemplate dispatchable operation p p Further complication results in cases of multiple PPA offtakers from a single facility

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Community-Based Renewables
WPPI has a goal of at least one renewable project in each member community Various funding programs established to facilitate community-based renewables Several small wind turbines installed in member communities, but solar projects have been more prevalent

Wisconsin
Algoma Black River Falls Boscobel Brodhead Cedarburg Columbus Cuba City Eagle River Evansville Florence Hartford Hustisford Jefferson Juneau Kaukauna Lake Mill L k Mills Lodi Menasha Mount Horeb Muscoda New Glarus New Holstein New London New Richmond Oconomowoc Oconto Falls Plymouth Prairie du Sac Reedsburg Richland Center River Falls Slinger Stoughton Sturgeon Bay Sun Prairie Two Rivers Waterloo Waunakee Waupun W Westby Whitehall

Michigan
Alger Delta CEA Baraga Crystal Falls Gladstone LAnse Negaunee Norway Iowa Independence Maquoketa Preston

Andy Kellen WPPI Energy 1425 Corporate Center Drive Sun Prairie WI 53590 608.834.4500 akellen@wppienergy.org