PSC: Issues draft Strategic Energy Assessment for public comment

Contact: Lori Sakk, (608) 266-9600

MADISON – The Public Service Commission of Wisconsin (PSC) has issued for public comment the Strategic Energy Assessment Draft Report: Energy 2016 (SEA).

The PSC prepares an SEA every two years to evaluate the state’s current and future energy demands, how those demands will be met, and the reliability of the electrical system over the next seven years. The report is based on data and information collected from Wisconsin utilities and power cooperatives.

The PSC is seeking comment and input from members of the public and energy stakeholders before January 7, 2011. Comments will be considered before the PSC issues the final SEA and can be provided in the following ways:

* At the public hearing to be held in late Fall of 2010;

* Electronically at the PSC website by visiting http://psc.wi.gov/hotTopics/sea.htm; or

* By letter addressed to Docket # 5-ES-105, Public Service Commission of Wisconsin, P.O. Box 7854, Madison, Wisconsin 53707-7854.

Among several conclusions found in the draft SEA are:

* The recent economic downturn has translated into lower peak demand growth in this draft SEA. While the state’s utilities put 2010 peak demand growth at 2.75 percent, the projection falls in years 2011 to 2016 to approximately 1.00 percent per year.

* Wisconsin continues to be heavily reliant on coal as its primary energy source in actual energy generation. However, the increased presence of wind projects in Wisconsin continues to change generation mix proportions in the state.

* Adequacy and reliability are expected to remain robust in Wisconsin for the next several years. The planning reserve margin forecast through 2016 consistently surpasses 15 percent.

* The Commission’s recent reduction of the reserve margin requirements will allow margins to come down in the near future. Excess reserves may increase the opportunity for Wisconsin utilities to export power in the regional market. While this market is still evolving, the opportunity exists for excess generation sales to benefit ratepayers.

* Energy rates in Wisconsin and the Midwest are likely to continue to increase in the near future. However, proactive consumers can mitigate the bill impacts from rate pressure through energy efficiency and conservation measures.

* Wisconsin is well on its way towards achieving 10 percent of its electricity from renewable sources by 2015. All Wisconsin electric providers and aggregators remain Renewable Portfolio Standard compliant.

The Strategic Energy Assessment Draft Report: Energy 2016, can be found on the PSC website at http://psc.wi.gov.

A printed copy of the report can be provided to you upon request. Please call (800) 358-7972 or contact Amy Pepin by email at: amy.pepin@wisconsin.gov.