Rep. Jim Newberger of Becker introduced a bill at the State Capitol Tuesday evening that would enable Xcel Energy to build a gas-powered power plant at Sherco to replace Units I&II due to decommission.

 

Newberger is partnered on the bill with Sen. Andrew Mathews which, according to Newberger, has the full support of both houses as well as the senate.

 

Newberger said he drafted the bill because he was unsatisfied with the Public Utilities Commission’s (PUC) dawdling.

 

“They approved the shutdowns of the two units and the exploration of solar and wind, yet have not acted on anything,” Newberger said. “2023 and 2026 (decommissioning dates) will be on us quicker than we think and I want something to be done about preserving some of those jobs out there and salvage some of those tax dollars.”

 

Environmentalists and individuals who oppose the bill say it would bypass the PUC, who abstained from committing to the large-scale gas plant in Becker following its approval of Xcel’s resource plan, which included two years of analysis.

 

Mathews says the bill strives to “complete the process that should have been finished last year.”

 

Newberger and Mathew’s bill has the full support of Xcel Energy as well as the IBEW, boilermakers and construction industries — as well as bipartisan support in the legislature.

 

Newberger says he has written confirmation from Gov. Mark Dayton that states he promised the IBEW he won’t close Units I&II until the job situation gets settled.

 

“We will hold him (Dayton) to his word,” said Newberger.

 

Newberger says the next stop for the bill is the floor of the house, where he is convinced it will pass easily, then on to the senate floor where he is sure the senate will back the bill. He has also sent out letters to Becker City and Sherburne County to ask them to pass resolutions to show their support for the bill, which they recently did.

The bill is expected to hit the desk of the Governor in early-to-mid February.

 

Newberger expressed his frustration with the PUC’s process of reviewal. 

 

“It’s the legislature’s job to create policy,” said Newberger. “It’s the PUC’s job to implement policy.”

 

If the bill passes, Xcel would have the opportunity to move forward with plans on the new plant, pending approval from the PUC.

 

Laura McCarten, Xcel’s senior vice president is interested in getting direction from legislature and/or the PUC sooner rather than later.

 

“We just think that if we can get this answered now, there’s a lot of benefit to our customers, to the community overall.”

 

Opposers don’t like the idea of this bill bypassing the PUC’s reviewal period and analyzation of a gas power plant. The process is called, “certification of need” and gives the commissioners the ability to assess whether the proposal (of a gas-powered plant) is the lowest cost and best way to meet the utility’s energy needs.

 

“The certificate of need process is the place to hash out all those kinds of questions,” said Executive Director of the Citizens Utility Board Annie Levenson-Falk.

 

“The reason for this bill is specifically to bypass that process.”

 

Other opposers say, since the units aren’t being shut down for another six-to-eight years, there’s no real rush to circumvent the process that protects the ratepayers.

 

Newberger, who has always been a proponent of coal energy, says his new bill is good news for the citizens of Becker, the workers at Sherco and Xcel Energy customers who rely on inexpensive, day-to-day energy.

 

“This is good news all around,” said Newberger of his bill. “Of course my first choice would be coal, but that idea has been shot down at the state and federal levels. This new bill will ensure Becker will have a power plant and the tax base will be there as well as numerous jobs. It’s a very good bill.”

 

Newberger says the economic impact to Central Minnesota — and the entire state — has not been taken into full consideration.

 

“Minnesota needs a new power plant,” he said. “We are down to three choices. Coal, nuclear or gas. Coal and nuclear are not possible in this current political climate, so gas is the only clear choice.”

 

In five years, Minnesota will be facing a real energy crisis situation and I think it’s our job today to try and do something about it starting today.”

 

Sherco employs 350-700 jobs (depending on time of year) and provides 2400MW of power 24 hours a day, seven days a week, 365 days a year. Sherco is the largest taxpayer in the county and the City of Becker, paying 76% of the city’s property taxes.