annual report

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ANNUAL REPORT

2018

DESIGNED WITH THE FUTURE IN MIND

A LETTER FROM THE GENERAL MANAGER For decades, Elk River Municipal Utilities (ERMU) had received wholesale power from Great River Energy (GRE) through a contract with one of their member cooperative utilities. In September 2008, ERMU was given a ten year notice of termination of that power contract. In that action, our community was presented with both an inevitable change and opportunity. Just like the electricity and water which ERMU supplies to our community, life continues to flow and ERMU began the process to find a new power provider. After careful consideration, the ERMU Commission entered into an agreement with the Minnesota Municipal Power Agency (MMPA) to become their twelfth member city. We joined cities with similar interests that share information and work toward a greater collective good. We joined an agency as an owner, rather than a renter. We joined an agency with a modern, efficient, green, and flexible generation fleet that has zero power being generated from coal. We joined an agency in which, for the first time, we have local representation and a say in our future. We joined an agency with lower wholesale power costs. We joined an agency well positioned for the future. On October 1, 2018, the operation transition was made and our community first received power from MMPA. Our community was now receiving power from something of which we are a member owner, for which we have local control, and which has positioned us for historic action by the ERMU Commission to LOWER ELECTRIC RATES for 2019. Change is opportunity. The next chapter in our story has begun. ERMU is owned by those we service. We are PUBLIC POWER and WATER, and are proud to serve our community. - Troy Adams, P.E., General Manager

HOW POWER GETS TO YOUR HOME MMPA’s Power Supply 1

NATURAL GAS

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SOLAR TECHNOLOGY

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WIND TECHNOLOGY

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BIO ENERGY POWER PURCHASES

Content provided by MMPA

HIGHLIGHTING DIVERSITY IN MMPA’S POWER SUPPLY

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FARIBAULT ENERGY PARK

This facility was built as a model of environmental responsibility and innovation; it is integrated into the community by providing education and recreation. Students and visitors can tour the facility to view the control room and the steam turbine, while among its 35 acres of wetlands, educational displays demonstrate alternative energy sources, including solar and wind. Visitors to this park-like area are even able to drop a fishing line into one of the ponds. Photo provided by MMPA

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BUFFALO SOLAR

Comprised of more than 25,000 panels, Buffalo Solar is one of the largest solar projects exclusively serving municipal utilities. MMPA utilizes 100 percent of its renewable energy output as a part of a power supply portfolio that is positioned to exceed Minnesota’s Renewable Energy Standard, requiring that 25 percent percent of power comes from renewable sources by 2025. Photo provided by MMPA

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BLACK OAK GETTY WIND FARM

Wind power is one of the fastest growing energy sources worldwide, and it produces no carbon emissions or pollution. In Minnesota, wind turbines are an increasingly common part of the landscape. In 2016, MMPA expanded its portfolio of renewable resources to include power from the Black Oak Getty Wind Farm. Utilizing power output from the 78-megawatt (MW) wind farm, located in Stearns County, further demonstrates the Agency’s commitment to renewable energy.

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Photo provided by MMPA

Photo provided by MMPA

HOMETOWN BIOENERGY

This biomass facility uses anaerobic digestion technology to produce biogas from local agricultural and food processing wastes. The biogas is then burned in reciprocating engines to produce electricity. The facility, which is located in Le Sueur, also creates nutrient-rich fertilizer used by local farmers. Hometown BioEnergy supports the community by collecting and processing local wastes to create a renewable source of electricity.

BRINGING MMPA HOME In 2015 MMPA began the Hometown Solar Grant Program. The purpose of the grant is to provide an educational asset to member communities. Participants receive a five kilowatt solar panel which is installed in a central location, allowing communities to learn first-hand how sunlight is converted into electricity, as well as the unique characteristics and benefits of solar energy. Nine of the twelve MMPA member communities now host Hometown Solar installations. Elk River will install its own in 2019!

POWERING THE FUTURE The Energy Education Program was created to provide learning opportunities to students in MMPA’s member communities. Developed with the Science Museum of Minnesota, there are multiple educational options offering interactive learning activities, specifically designed to be integrated into the state’s 4th grade science standards. Through the Energy Education Workbook, lesson plans, interactive tours, and in-school assemblies, students learn how energy is generated, transmitted, and used. Within our community, Lincoln, Meadowvale, Otsego, St. Andrew’s, and Twin Lakes elementary schools have already hosted events.

Photo provided by MMPA

MMPA continues to demonstrate its commitment to the communities it serves by expanding this program to include 10th through 12th graders. Students will be encouraged to explore in-depth energy topics such as project development, power generation, and energy-focused careers.

13069 Orono Parkway, PO Box 430 | Elk River, MN 55330 | 763.441.2020 | www.ERMUMN.com | Connect with Us: