On May 22, 2020 Alliant Energy announced plans to retire the Edgewater Generating Station in Sheboygan by the end of 2022. This announcement to retire Unit 5 the last coal-fired turbine operating in the plant, coupled with the retirement of Unit 3 and Unit 4 in 2019 will eliminate $1.2 M in Utility Aid payments to the City of Sheboygan.
The State formula for Utility Aid Payments is tied to the megawatt production of each turbine at a generating station. The state has a phase out program that is only available when a station closes. When Units 3 and 4 were retired in 2019, the Utility Aid payment was reduced from $1.2 M down to $680,760 – a loss of $519,703. When the retirement of Unit 5 occurs in 2022, the current Utility Aid payment of $673,797 will be reduced by 20% per year over the next five years. The City of Sheboygan will be making necessary adjustments in the city budget to absorb this significant loss of revenue due to retirement of these turbines and the closure of the Edgewater Generating Station by Alliant Energy.
When energy production at the Edgewater Station ceases the plant will be decommissioned. The plant property also includes a substation that feeds power to most of Alliant’s customers in Sheboygan. This substation will remain on the site into the future. Alliant Energy has engaged Vandewalle & Associates, a Wisconsin-based urban planning and economic redevelopment firm. This firm has a long-standing history of working on major projects in the Sheboygan, such as the Sheboygan Comprehensive Plan (view PDF). The plan included the $46 million, 400-slip Harbor Centre Marina, Redevelopment of a brownfield site into the award-winning South Pier District, which includes the Blue Harbor Resort and Conference Center as well as FreshTech Innovation District – a revitalization and redevelopment corridor along Indiana Avenue stretching from the lakefront to the interstate. They also have extensive experience transforming waterfronts and decommissioning and repurposing large industrial sites. While the planning and site redevelopment for this location is expected to be a multi-year process, the company plans to engage the community early and will provide several opportunities for input.
Alliant Energy also announced solar projects in Wisconsin. The Sheboygan County solar project is located in the Town of Holland and is expected to produce 150 megawatts of power. The transition to solar energy is driven by changing economics for generation, customer sustainability goals, improvements in renewable technology and the company’s commitment to sustainable practices. The projects, along with the recently announced retirement of the Edgewater Generating Station in Sheboygan, further Alliant Energy’s goal of reducing carbon dioxide emissions from fossil-fueled generation by 40 percent.
