As the Minnesota Legislature was wrapping up efforts on a bill that should encourage new generation in Minnesota, Southern Minnesota Municipal Power Agency (SMMPA) has launched a new generation strategy by entering into a 20-year agreement with Redwood Falls Public Utilities. This member utility will install three diesel engines, each capable of producing two megawatts of electricity which SMMPA will then purchase. ìWe are pleased to see Redwood Falls step up to the plate and take action on SMMPAís offer so quickly,î said Ray Hayward, executive director and CEO of SMMPA. ìOther members are showing similar interest.î ìThis is a great opportunity to further ensure the energy reliability for the citizens of Redwood Falls,î said Chuck Heins, superintendent of Redwood Falls Public Utilities. Under terms of the agreement, Redwood Falls Public Utilities will own the unit while SMMPA will pay Redwood Falls a monthly capacity charge in addition to fuel costs. SMMPA is looking to add distributed generation in member communities. SMMPA is also investigating the potential installation of a combustion turbine. The new facilitiies should be in place and operational by September, 2002. This new generation initiative fits nicely with what the Legislature intended this session and gives SMMPA members an extra cushion of reliability, says the agency. Dave Geschwind, SMMPAís director of power supply, said, ìBy having generation installed in its member communities, SMMPA is better able to offer increased reliability in the event of a transmission outage.î ìThe current legislative session focused significant discussion on the benefits of siting generation close to load and relieving congestion on the transmission,î said Geschwind. ìOur plan not only increases our members reliability but accomplishes that goal as well.î SMMPA provides electricity and related services to 18 municipally operated utilities, mostly in south-central and southeastern Minnesota.

Posted 6/22/01

As the Minnesota Legislature was wrapping up efforts on a bill that should encourage new generation in Minnesota, Southern Minnesota Municipal Power Agency (SMMPA) has launched a new generation strategy by entering into a 20-year agreement with Redwood Falls Public Utilities.
This member utility will install three diesel engines, each capable of producing two megawatts of electricity which SMMPA will then purchase.
ìWe are pleased to see Redwood Falls step up to the plate and take action on SMMPAís offer so quickly,î said Ray Hayward, executive director and CEO of SMMPA. ìOther members are showing similar interest.î
ìThis is a great opportunity to further ensure the energy reliability for the citizens of Redwood Falls,î said Chuck Heins, superintendent of Redwood Falls Public Utilities. Under terms of the agreement, Redwood Falls Public Utilities will own the unit while SMMPA will pay Redwood Falls a monthly capacity charge in addition to fuel costs.
SMMPA is looking to add distributed generation in member communities. SMMPA is also investigating the potential installation of a combustion turbine. The new facilitiies should be in place and operational by September, 2002.
This new generation initiative fits nicely with what the Legislature intended this session and gives SMMPA members an extra cushion of reliability, says the agency. Dave Geschwind, SMMPAís director of power supply, said, ìBy having generation installed in its member communities, SMMPA is better able to offer increased reliability in the event of a transmission outage.î
ìThe current legislative session focused significant discussion on the benefits of siting generation close to load and relieving congestion on the transmission,î said Geschwind. ìOur plan not only increases our members reliability but accomplishes that goal as well.î
SMMPA provides electricity and related services to 18 municipally operated utilities, mostly in south-central and southeastern Minnesota.