Wisconsin Public Service Corp. to Propose Electric Generation Spinoff

GREEN BAY, WI-Wisconsin Public Service Corp., a subsidiary of WPS Resources Corp., will soon make a proposal to transfer its wholly-owned electric generating assets to a separate nonregulated subsidiary. The company said the move will keep customer bills low and to help level the playing field in the energy industry.

Wisconsin Public Service Corp. expects to submit its proposal to the Public Service Commission of Wisconsin (PSCW) in August.

Customers will be protected because the proposal calls for long-term contracts back to the utility assuring customers of continuing service and service levels, and rate protection, according to Larry Weyers, Public Service Chairman and CEO. Other benefits of the proposal are that it will help to promote a competitive electric generation market by encouraging independent power producers to enter the market in Wisconsin. "There are some real benefits increased competition can bring to customers in the form of low rates and increased reliability," said Weyers.

Weyers said that it's time to begin changing the energy industry in Wisconsin. He noted the relatively low electricity rates paid by customers in the state are "a double-edged sword." The PSCW has done a good job, he said, of regulating the utilities to ensure low rates. However, since rates are low there has been no rush to prepare the state's energy companies for competition from out-of-state companies.

Noting that the energy industry across the nation is on its way to becoming dominated by a few large companies, Weyers said that state energy companies should welcome the proposal. "In moving toward a competitive environment, other states have forced their utilities to sell off the generation component," said Weyers. "Those plants get bought up by the big national companies. If that happens here, I don't see how Wisconsin energy companies can survive as anything more than bit players in the new industry."

A weakened state energy industry isn't good for the economy, the individual businesses, or customers, Weyers said. "Losing the electric generation business to out-of-state companies is going to result in a loss of high-paying jobs in Wisconsin and, maybe, higher rates," he said. "Adopting this proposal will keep rates low and help Wisconsin companies thrive."

Sponsored by FLSmidth

Related Articles

Wisconsin utilities settle with EPA over coal fired units

The U.S. Environmental Protection Agency (EPA), the Department of Justice and the U.S. Attorney’s Office for the Western District of Wisconsin settled with Wisconsin Power and Light Co. (WPL) to reduce emissions from three coal-fired power plants in the state.

Wisconsin Energy buys NextEra wind farm

Wisconsin Energy Corp. has agreed to buy a 30 MW Dodgeville, Wisc.-area wind farm for $27 million.

Follow Power Engineering on Twitter
Latest News
05/27 Henry Hub Average Natural Gas Spot Prices

05/27 Henry Hub Average Natural Gas Spot Prices

The Henry Hub is the pricing point for natural gas futures contracts traded on the New York M...

Siemens to provide the first H-class power plant technology in Mexico

Siemens has been awarded a contract to supply two SGT6-8000H gas turbines and two generators ...

EIA report: Clean Power Plan will lower CO2 emissions

Carbon dioxide (CO2) emissions in the power sector declined by 363 million metric tons betwee...

Nuclear decommissioning cooperation agreement signed

Vattenfall Europe Nuclear Energy (VENE) and E.ON Technologies (ETG) are cooperating on the de...

Weekly Coal Production Report

The Weekly Coal Production Report has been updated for the week ended May 23, 2015.

West Virginia PSC approves base rate hike for Appalachian Power and Wheeling Power

The West Virginia Public Service Commission on May 26 authorized the Appalachian Power Co. (A...

NRC staff official delegated to approve Watts Bar 2 operating license

Members of the Nuclear Regulatory Commission (NRC) have voted to delegate authority to the di...

Duke Energy receives approval to build 5MW solar power plant in Orlando

Duke Energy Florida (NYSE: DUK) received approval to build, own and operate a 5-MW solar faci...

Power Engineering Current Issue

02/01/2015
Volume 119, Issue 2
1502PE-cover
Products Showcase
Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015

Power Industry Wire News

Xcite Energy Limited: First Quarter Results for the 3 Month Period Ended 31 March 2015

Xcite Energy Limited: First Quarter Results for the 3 Month Period Ended 31 March 2015

NW Natural Reports on 2014 Results at Annual Meeting of Shareholders

NW Natural Reports on 2014 Results at Annual Meeting of Shareholders

Trelleborg Senior Appointment Signals Industry Ambition

Trelleborg Senior Appointment Signals Industry Ambition

Planet Resource Recovery Completes PetroLuxus(TM) Application Training to Mexican Companies in the Oil Sector

Planet Resource Recovery Completes PetroLuxus(TM) Application Training to Mexican Compa...

Interpoll Laboratories, Inc. to Exhibit at 31st Annual International Fuel Ethanol Workshop & Expo

Interpoll Laboratories, Inc. to Exhibit at 31st Annual International Fuel Ethanol Works...

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>