Action Alert: Stop the sale of Coal Creek Station and the HVDC line

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Great River Energy (GRE) changed plans to close Coal Creek Station and now plans to sell it along with our most valuable asset, the high voltage transmission line for pennies on the dollar. 

The sale requires GRE to buy back coal fired generation from the plant for years to come. 

Dakota Electric’s board will vote on January 27 to support or oppose the deal. Other GRE member-owned cooperatives will have a similar vote later this month. Below is more information, including what you can do. The last contract to sell these assets expired on Dec. 31. If you are a member-owner, now is the time to speak up!

ISSUE:

  • On May 7, 2020 GRE had a major press release announcing plans for closing the Coal Creek Station generation plant in Underwood, ND by 2023 and the development of new renewable energy investments that would provide 95% clean energy, at lower costs, for member-owners.
  • The announcement provoked a backlash from local governments in ND, with McLean County adopting a zoning change prohibiting new wind energy transmission lines – a move that bans new wind farms access to Great River Energy’s  transmission line.
  • It’s unfair that North Dakota government officials and investors are able to dictate that they will “consider” reversing their recently enacted renewable energy moratorium against clean, cost-effective wind production for Minnesota consumers only if we agree to their plans for continued operation of Coal Creek Station
  • GRE is now planning to sell the coal plant and the High Voltage transmission line that carries electricity from the power plant to Minnesota customers.
  • New details of this sale haven’t been shared with DEA member-owners yet but are on another coop’s website: https://clpower.com/sites/default/files/January%2013%20Member%20Briefing_redacted.pdf

Recommended Actions If you have concerns about the transparency of this sale and how it will affect an affordable, clean energy future:

First and foremost, if you are a member of any of the 28 cooperatives with over 700,000 members that work with Great River, listed here, that means that YOU have a representative on a board of directors involved in this decision. Write them, call them, email them, and ask to speak at their upcoming meeting. 

For Dakota Electric Association members:
1st OPTION (PREFERRED): If member-owners want the DEA board of directors to vote to oppose the sale of the coal plant and transmission line to private investors, including a long-term contract to buy back the coal power from the plant, sign up to speak at the virtual board meeting on Thur. January 27 with Melissa Cherney at mcherney@dakotaelectric.com by Jan 20.

2nd OPTION: Contact DEA board members.

Other action: Take this resolution calling for legislative oversight of member-owned cooperatives to your precinct caucus.

SEE ALSO

How coal holds on in America

In North Dakota coal country, officials rally to save a coal-fired power plant at renewable energy’s expense.

UNDERWOOD, N.D. — David Saggau, the chief executive of an energy cooperative, tried to explain the losing economics of running a coal-fired power plant to a North Dakota industry group more than a year ago.

Coal Creek Station had lost $170 million in 2019 as abundant natural gas and proliferating wind projects had cut revenue far below what it cost to run the plant. After four decades sending electricity over the border to Minnesota, Coal Creek would be closing in 2022, Saggau said, and nobody was clamoring to buy it.

“We made folks aware that the plant was for sale for a dollar,” Saggau, of Great River Energy, told the Lignite Energy Council during an October 2020 virtual meeting. “We’re basically giving it away.”

 

 OTHER RESOURCES

Great River Energy should think again about selling Coal Creek

The transmission line being sold just underwent significant upgrades in 2019 and is an extremely valuable asset for member-owners with higher value than the sale price. https://www.youtube.com/watch?v=bSIumDVaZko&t=320s

Article: Minnesota co-op utilities must vote on approval of the plant’s sale. The new owner is betting on carbon capture to extend its life.

DFL Environmental Caucus Blog post on Coal Creek

Sierra Club, July 30 Statement

Sierra Club:on  Coal Ash