March 2019 CEO Message

Daniel Carlisle
President/CEO

There is a lot happening in the electric business right now. From Washington, D.C. to St. Paul to the TWEC service territory, it seems that a witch’s brew of issues are being vetted. I had the opportunity to attend the Minnesota Rural Electric Association’s (MREA) Annual Meeting in St. Paul in February and, together with several board members, visited with numerous elected officials. Three main issues were brought to the attention of our senators and representatives. 

First, we emphasized the need to update our State Conservation Improvement Program (CIP) requirements to more accurately reflect the current status of our industry. The existing CIP requirements have not changed in over 10 years. They do not adequately consider efficient electrification, electric vehicles, and the fact that current ways to spend our mandated CIP funds are saturated and no longer present viable options to achieve the desired objective. 

Second, we expressed our concern with mandated Renewable Energy Standards (RES) and the stated objective to be 100% carbon free in Minnesota by the year 2050. Our generation supplier, Great River Energy, has already surpassed the renewable standard of having a portfolio consisting of 25% renewables by year 2025. This was achieved by listening to members and allowing market forces to create smart, efficient opportunities to add renewable energy sources to GRE’s portfolio. Mandating renewables, we believe, will alter natural market forces and result in higher electric costs for all of our members. 

Finally, we discussed the concept of third-party sales, which is tantamount to creating an exception to the exclusive service territory law that we have operated under in Minnesota since the early 1970’s. With low population density on rural electric cooperative distribution lines, the possibility of losing members to third party “cherry picking” would result in higher costs to the members who remain.

Closer to home, we are preparing for our Annual Meeting on April 16th. We will be holding an information session before the Annual Meeting begins. We are calling this a “Deep Dive” session. Our inaugural Deep Dive session will feature electric vehicles (EVs). We will explain our EV charging rate, discuss strengths, weaknesses and practical applications for EVs, and will even have several EVs brought in for the event by Tesla and Chevrolet. Plan to join us to learn more about EVs.

Todd-Wadena Electric Cooperative staff works hard to stay informed in this fast-paced industry. If you have questions about any of the issues facing our cooperative, please give us a call or stop by to visit. We’d love to see you.

Back Row: Dan Carlisle, Gene Kern, Tom Brichacek, Michael Thorson, Miles Kuschel

Front Row: Kristine Spadgenske, Marie Katterhagen, Abby Rogge, Representative John Poston