Editorial: Building a Reliable Energy Future

By Mac McLennan, Minnkota Power Cooperative President & CEO
 

Minnkota Power Cooperative is preparing for one of the most important power supply planning periods in its history – and our members are at the heart of our decision-making process.

As the wholesale power provider for Cass County Electric Cooperative and 10 other member cooperatives across eastern North Dakota and northwestern Minnesota, Minnkota is responsible for making sure reliable, affordable and sustainable electricity is available not only today, but decades into the future.

That responsibility is becoming more complex. Electricity demand is growing. Power markets are changing. Environmental requirements continue to evolve. New technologies are creating opportunities, but also new challenges. At the same time, members continue to expect dependable electric service they can afford.

Minnkota takes the job of managing these issues seriously. The path ahead is being shaped by extensive planning, detailed analysis and a long-term commitment to the members and communities we serve.

Our approach is an all-of-the-above energy strategy. That means we’re working to strengthen the coal, wind and hydro resources we already have in place, while adding new resources that make our system more diverse, flexible and reliable.

One important step already in progress is the development of the Flickertail Wind Farm near New Rockford, North Dakota. Minnkota has entered into a purchase power agreement to receive energy from the 370-megawatt wind project, which is expected to be completed in 2028. When complete, Flickertail will more than double Minnkota’s current wind energy portfolio.

Because wind energy output changes with weather conditions, Minnkota also needs resources that can respond when electricity demand is high or when other resources are producing less. That’s why we’re closely evaluating the addition of natural gas generation in North Dakota.

This effort is connected to the development of the Bakken East natural gas pipeline, which is planned to move natural gas from the oilfields of western North Dakota to the eastern side of the state. Natural gas generation can start up, ramp down and adjust output to help match electricity supply with demand across the region. Minnkota is still determining the right technology, location and size for this potential facility, but current planning is focused on having it available in the early 2030s.

At the same time, Minnkota’s existing coal-based resources at the Milton R. Young Station in western North Dakota continue to provide tremendous value. This facility produces dependable, around-the-clock electricity and supports the reliability our members expect. That’s why Minnkota continues to pursue Project Tundra, an effort to add carbon capture technology at the Young Station. If implemented, Project Tundra would capture CO2 emissions from the power plant and help position it to meet potential future environmental regulations.

Project Tundra is being advanced by a technology developer with the significant help of state and federal funding. Importantly, the project is being structured with limited required capital investment from Minnkota, minimizing financial risk to the membership. If a decision is made to move forward, the facility could be online prior to the end of the decade.

These power supply decisions are being made for Minnkota’s legacy members, including the homes, farms, schools and businesses served by Cass County Electric Cooperative. You are the foundation of our system, and your needs remain at the center of our planning.

That same member-first approach also guides how Minnkota evaluates electric growth. New large electricity consumers can bring opportunity to our region, but only if they are served in a way that protects existing members and strengthens the overall system. That’s the standard Minnkota is applying to the data center being developed near Harwood, North Dakota.

The data center will cover the costs for its dedicated infrastructure up front and pay its own way for all its energy needs. The agreement is designed to ensure this new load does not shift costs to existing members. In fact, the revenues from this data center project can help cover a portion of the costs tied to future power supply investments Minnkota is already pursuing.

With each of these projects now in motion, the work is moving from planning to action. The decisions ahead are significant, but necessary to keep power reliable. As a not-for-profit cooperative, Minnkota’s focus remains on the people and communities we serve. That focus will continue to guide the decisions being made today for the power needs of tomorrow.