IUB Sets October Hearing Date for MidAmerican Energy’s Wind PRIME Project
Project application requests 11 ratemaking principles
(Des Moines) – The Iowa Utilities Board (IUB) today issued an order setting the procedural schedule and hearing dates on MidAmerican Energy Company’s (MidAmerican) application for approval of advance ratemaking principles that would establish the rate impacts when the utility adds up to 2,042 megawatts (MW) of new wind generation and up to 50 MW of solar generation in its fleet. The project, called Wind PRIME, would be completed by the end of 2025 if approved.
On January 19, 2022, MidAmerican filed its application with the IUB and waiver of IUB rules that would be applicable to the company’s energy adjustment clause. A hearing on the petition, Docket No. RPU-2022-0001, was set in today’s order for October 31 through November 4, 2022, in the IUB Hearing Room, 1375 E. Court Ave., Des Moines.
The procedural schedule issued with the order also sets a date of October 7, 2022, for parties to notify the IUB of a settlement or provide a joint statement of partial settlement. If a settlement is not reached, the parties must file prehearing briefs by October 17, 2022.
MidAmerican’s Wind PRIME application proposes 11 advance ratemaking principles, of which several are similar to prior applications. MidAmerican is requesting a novel ratemaking principle relating to Technology Study Costs associated with the study and review of carbon capture and sequestration, energy storage, and small modular nuclear reactors.
The Iowa Legislature enacted Iowa Code § 476.53 to provide Iowa rate-regulated utilities an opportunity to add electric generation in Iowa and to receive advance ratemaking decisions from the IUB. As part of the request, the utility is required to show it has an energy efficiency plan in place and it has considered other generation options. An advanced ratemaking principles case is a contested case proceeding before the IUB.
Advance ratemaking principles do not increase rates for customers. They do establish pre-approved approaches to addressing specific issues for rate-regulated utilities, which reduces risk and creates sufficient certainty for the utility to move forward with making the investments.