Green Mandates Cost Minnesota Utility Customers $70 Million Last Year

GE-2_5MW-Wind-Turbine

“Right now we’re paying for wind we don’t need, we can’t use and can’t sell,” says Mark Glaess, Minnesota Rural Electric Association executive director.

Meaning that green power is like a self-licking ice cream cone. The government subsidizes its production, and then mandates demand for it even though there is really no room in the marketplace for it.

Going green cost rural electric ratepayers in Minnesota more than $70 million last year, according to the Minnesota Rural Electric Association (MREA). …

The Renewable Energy Standard (RES) passed by the 2007 Minnesota State Legislature directs electric utilities to ramp up their percentage of renewable energy sales to 25 percent by 2025. Put another way, one of every four kilowatt hours must come from renewable energy by 2025. Unlike many other states, Minnesota does not exempt coops and municipal utilities from complying with renewable energy standards.To meet the state’s escalating demands, rural electric co-ops and utilities locked in long-term “take or pay” contracts to purchase power from wind farms.

This is the green bubble, and it’s about to pop.

Rob Port is the editor of SayAnythingBlog.com. In 2011 he was a finalist for the Watch Dog of the Year from the Sam Adams Alliance and winner of the Americans For Prosperity Award for Online Excellence. In 2013 the Washington Post named SAB one of the nation's top state-based political blogs, and named Rob one of the state's best political reporters. He writes a weekly column for several North Dakota newspapers, and also serves as a policy fellow for the North Dakota Policy Council.

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