As part of plan to ensure Wisconsin has enough generation inplace to avoid a California-like power crisis in the years ahead,Alliant Energy, parent of Wisconsin Power and Light (WPL), unveileda proposal to develop up to 800 MW of new electric power generationin Wisconsin over the next 10 years, including 500 MW ofcoal-fired, 100 MW of gas-fired generation by 2006, and anadditional 200 MW of natural gas-fired generation by 2011. Alliantoffered the proposal in comments submitted to the Public ServiceCommission of Wisconsin (PSCW) on a compromise proposal byWisconsin Electric (WE) and Customers First.

“There is no question that building more generation in Wisconsinis absolutely vital if our state is to avoid the energy crisiscurrently plaguing California,” said WPL President Bill Harvey.”Through this proposal, Alliant Energy stands ready to do its partto help avoid a similar crisis here in Wisconsin.” He said theplants would help meet projected increases in demand on WPL’ssystem over the next 10 years and would help replace existingpurchased power agreements. He also noted WPL expects to signcontracts with other new plants being built by independent powerproducers. The company filed a proposal last week that wouldestablish incentives for Wisconsin utilities to buy power from newplants constructed in Wisconsin by IPPs.

“The key to electric reliability in Wisconsin is putting moregenerating iron in the ground,” said Harvey. “We believe Wisconsinwill best be served by a policy that encourages the construction ofpower plants by Wisconsin utilities, their affiliates and IPPs.” Hebelieves a robust wholesale generation market, with many suppliersand a strong, independent regional transmission system, willprovide the best long-term insurance policy to protect Wisconsin’scontinued economic growth.

Harvey also said energy conservation and alternative energysources must be key components of a state energy policy. “Thepotential energy crisis we face in Wisconsin, and throughout thecountry, requires that we use every arrow in our quiver.Distributed resource technologies, like microturbines, renewableenergy sources, including co-firing with renewable fuels at oldercoal plants, and expansion of successful energy efficiency programslike ‘Shared Savings,’ all have a key role to play.”

He said even with 42% growth in the company’s “Shared Savings”program over the past five years, energy demand continues tooutstrip both supply and efficiency efforts.

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