Chuck MacFarlane
- 1. 1 2011 The State of Energy Summit
- 2. 2
- 3. Our missionTo produce and deliver electricity as reliably, economically, and environmentally responsibly as possible to the balanced benefit of customers, shareholders, and employees and to improve the quality of life in the areas in which we do business.3
- 4. About usMore than 100 years of serviceServe 50,000 square-mile area124,250 customers; 57,000 in North Dakota423 communities; 224 in North Dakota(average population = 422)Average residential customer uses about 12,950 kwh yearly4
- 5. Headquartered in Fergus Falls, MN, with North Dakota customer service centers in Devils Lake, Garrison, Jamestown, Oakes, Rugby, and Wahpeton790 employees; 196 in North Dakota GenerationOperate three coal-fired power plants, total about 1075 MW(Big Stone and Coyote co-owned with MDU, NEW, MPC)Own 120 MW of gas and oil peaking plantsOwn 138 MW of wind energy5
- 6. Wind energyLangdon Wind Energy CenterJanuary 2008 – 40.5 MW owned 19.5 MW PPAAshtabula Wind Energy CenterNovember 2008 – 48 MWLuverne Wind FarmSeptember 2009 – 49.5 MWOtter Tail Power Company wind:ownership = 138 MW purchases = 45 MW6
- 7. Balanced resource mix72010 resource mix
- 8. On for North Dakota8
- 9. Rates9
- 10. On for businessPaid $86 million to North Dakota vendors in 2010.Economic developmentSince 1989 we’ve helped create nearly 19,600 jobs and save nearly 4,200 jobs throughout our service area. In 2010 we helped create 424 jobs and save 10 jobs in North Dakota.10
- 12. Job opportunities (electric sector)Energy developmentRetirement bubble 12
- 13. To develop energy…North Dakota has: Resources.Technology.State regulatory/permitting framework.Adequate water and labor.North Dakota is limited by:Energy transportationFederal regulatory uncertainty13
- 14. Energy transportationIncrease North Dakota usage.Increase export.Additional oil and gas pipelines.Access to, and favorable prices for, rail Additional aluminum strand (coming with CapX2020 transmission projects)14
- 15. TransmissionImproves reliability.Expands generation development.15
- 16. CapX2020Impacts to North Dakota:Total value added (payroll): $13,674,976Total sales (steel, concrete, fuel, equipment, etc.): $31,884,800Additional jobs: 120 in each year of construction 2014, 2015Indirect business tax impact : $302,20816
- 17. Electric development job creation17
- 18. Retirement bubble4000+ MW coal-fired generation, plants are similar age.Estimate 800 plant positions.Up to 40% retire in the next 10 years.18