St. Paul, Minn. — On Thursday, the Minnesota Public Utilities Commission (Commission) approved Otter Tail Power’s Integrated Resource Plan (IRP), which guides investments between 2023-2037. The approved IRP keeps costs low for residential customers and businesses and reduces carbon emissions.
The approved IRP addressed several long-term planning issues, including Coyote Station, Astoria natural gas facility, renewable energy and how the company considers bids.
“As the Commission considered this IRP, the cost to Minnesota rate payers was at the forefront of our minds. The plan we approved goes to great lengths to minimize cost increases to consumers and provide a path forward for compliance with Minnesota's Carbon Free Standard, while continuing to ensure safe and reliable service,” said Commission Chair Katie Sieben.
The Commission wanted greater transparency into Otter Tail’s resource selection process. The company is required to provide a full description and financial analysis in its renewable resource eligibility filings, demonstrating that the projects selected are competitively superior to other alternatives.
The approved plan included a provision for the company to acquire or build no less than 375 megawatts (MW), and up to 575 MW of renewable resources (solar, wind, and storage) by 2030.
The Commission also determined that Otter Tail will no longer utilize Coyote Station to serve Minnesota customers beyond December 31, 2031. They also required the company to add on-site liquified natural gas storage at Astoria Station by 2027.
An IRP is a forward-looking document that requires utilities to propose resources it will use to meet its service needs over the next 15 years. The utility must show how the proposed plan will maintain the reliability of utility service; keep customers’ bills as low as practicable and minimize adverse effects upon the environment. More information about the IRP process is on our website.
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The Minnesota Public Utilities Commission regulates three cornerstone service industries in Minnesota's economy: electricity, natural gas and telephone. The Commission’s mission is to create and maintain a regulatory environment that ensures safe, adequate and efficient utility services at fair, reasonable rates consistent with State telecommunications and energy policies. It does so by providing independent, consistent, professional and comprehensive oversight and regulation of utility service providers. Learn more at mn.gov/puc.
