WEC Energy Secures $2.5 Billion for Renewable Projects

• We Energies secures a $2.5 billion loan guarantee to power Wisconsin's renewable future, paving the way for 1,650 MW of clean energy projects across wind, solar, and hydropower.

WEC Energy Group’s subsidiary, Wisconsin Electric Power Company (We Energies), has received a conditional loan guarantee of up to $2.5 billion from the U.S. Department of Energy. This funding aims to support over 1,650 MW of renewable energy and energy storage projects throughout Wisconsin, covering various sources including wind, solar, and hydropower.

The loan represents the first project under the DOE's Energy Infrastructure Reinvestment initiative, focusing on regulated utilities. We Energies applied for the loan in summer 2023, and the announcement follows the launch of the 200-MW Paris solar park, featuring a 100-MW battery energy storage system, marking a significant step for renewable energy in southeastern Wisconsin.

How will We Energies' funding impact renewable energy projects in Wisconsin?

• Facilitating Large-Scale Projects: The $2.5 billion loan guarantee will enable We Energies to undertake large-scale renewable energy projects that may have previously been financially unfeasible due to high upfront costs. This could lead to the construction of several major wind and solar facilities across the state.
• Job Creation: The implementation of such extensive renewable energy initiatives is likely to create thousands of jobs related to construction, maintenance, and operation of the facilities. This boost in employment can provide a significant impact on local economies and communities throughout Wisconsin.
• Increased Renewable Energy Capacity: With the funding support, We Energies will significantly increase Wisconsin's renewable energy capacity. The addition of over 1,650 MW of power will diversify the state’s energy portfolio and reduce reliance on fossil fuels, aligning with national clean energy goals.
• Investment in Energy Storage Technologies: The inclusion of energy storage projects alongside renewable generation means We Energies can address intermittency issues, allowing Ontario to effectively store and dispatch energy when demand is high. This investment emphasizes the importance of battery storage in a balanced grid.
• Enhancing Grid Resilience: By integrating more renewable sources and energy storage into the national grid, We Energies can enhance the resilience and reliability of the energy supply in Wisconsin. This shift can help mitigate outages and provide more stable energy solutions to residents.
• Environmental Benefits: Expanding renewable energy capacity contributes to reduced greenhouse gas emissions and lower air pollutants, supporting Wisconsin's environmental conservation efforts. The shift toward cleaner energy sources helps combat climate change while promoting sustainability.
• Potential for Innovation: The funding can spur innovation in renewable energy technology and applications, fostering research and development partnerships with local universities and tech firms. This could lead to further advancements in energy efficiency and sustainability.
• Public and Private Partnership Opportunities: The loan guarantee could encourage further public-private partnerships, with other utilities and developers looking to collaborate on similar renewable projects, potentially leading to a more interconnected and efficient energy network.
• Consumer Benefits: As renewable energy projects expand, consumers may benefit from lower energy bills due to reduced generation costs over time. Increased competition in the energy market can lead to more choices and better pricing for residents and businesses in Wisconsin.
• Policy Implications: The success of these projects funded through the loan may influence state energy policies, potentially leading to more supportive regulations and incentives for renewable energy investments in the long term.
• Boost to Local Economies: The development of renewable energy projects often requires local materials and labor, which can provide a significant financial boost to surrounding communities. This local investment supports sustainable growth and development.

By leveraging this substantial funding from the U.S. Department of Energy, We Energies is set to play a pivotal role in shaping Wisconsin's clean energy future, making strides toward a more sustainable and resilient energy infrastructure.