WAPA customers receive USDA Rural Development loans

Electric cooperatives WAPA serves in Colorado, Iowa and Minnesota are among the utilities receiving $276 million in guaranteed loans (PDF, 60 KB) from the U.S. Department of Agriculture to improve system efficiency and reliability. Agriculture Secretary Sonny Perdue announced the investments in a March 13 press release the day before appearing at a Senate hearing on rebuilding American infrastructure. Loans are also going to utilities in Georgia, Indiana, Kentucky, Louisiana, Maine, Missouri, North Dakota, Ohio and Virginia.

USDA Rural Development’s Electric Program provides loan guarantees to help expand economic opportunities and create jobs in rural areas. Rural Development assistance supports infrastructure improvements; business development; housing; community services such as schools, public safety and health care; and high-speed internet access in rural areas. These are the kinds of projects that could make the areas more inviting to new businesses, the people the businesses would need to fill jobs.

Improving transmission, more
The transmission system of Minnesota Valley Cooperative Light & Power Association You are leaving WAPA.gov. will get 52 miles of new lines, 14 miles of improvements and $560,000 in smart grid upgrades as part of a $10,569,000 Rural Development loan. The co-op provides electric service to more than 5,200 consumers over 3,273 miles of line in eight counties with primarily agriculture-based economies. Small commercial loads account for 10 percent of kilowatt-hour sales. Large commercial accounts, including an ethanol plant, cheese production facility and casino, account for the remaining kWh sales and revenue.

Southeast Colorado Power Association You are leaving WAPA.gov. will use $13,000,000 in Rural Development funds to build 72 miles of line, improve 125 miles and make other system improvements. A member of Tri-State Generation and Transmission, You are leaving WAPA.gov. the La Junta-based co-op serves 7,688 residential, nearly 1,500 irrigation and 1,100 commercial consumers across a 13,000-square-mile service territory that covers 11 Colorado counties.

“This funding will allow SECPA to advance important infrastructure efforts and provide reliable, affordable electricity essential to sustaining the economic well-being and quality of life for rural Coloradans,” said Sallie Clark, USDA Rural Development Colorado state director.

Southwest Iowa Rural Electric Cooperative You are leaving WAPA.gov. will receive a $6,100,000 loan to build 69 miles of line, upgrade 96 miles and make other system improvements, including $775,000 for smart grid projects. The projects the co-op chose to put in its Rural Development application came from its $11.4 million construction work plan for 2017-2020. “We do a plan every four or five years to identify infrastructure needs like replacing lines or poles or expanding the system where the population is growing,” explained Phil Kinser, Southwest Iowa REC chief executive officer.

A member of Central Iowa Power Cooperative, You are leaving WAPA.gov. Southwest’s local economy relies heavily on agriculture. Like other recipients, the co-op’s service territory has steadily lost population over the last decade due to younger residents leaving for metropolitan areas.

Funding available
Applying for a Rural Development Loan is now more streamlined since the USDA moved much of the application process online. “Providing additional information or answers to follow-up questions is much quicker and easier,” Kinser observed.

But a good working relationship with the local USDA field office still makes for a less-stressful application process. Kinser offered kudos to Pat Bormann, General Field Representative with the Rural Utilities Service – Electric Programs. “Pat did a great job of helping us to navigate the application process,” Kinser recalled. “His assistance was invaluable.”

Applications for the Rural Energy for America Program Renewable Energy Systems & Energy Efficiency Improvement Loans & Grants are due April 30. Contact your local field office for more information.

WAPA congratulates Minnesota Valley Cooperative Light & Power Association, Southeast Colorado Power Association and Southwest Iowa Rural Electric Cooperative for taking the initiative to improve their systems and their communities.

CIPCO builds Iowa’s largest utility-scale solar project

In Iowa, where renewable energy is often synonymous with wind, one generation-and-transmission (G&T) cooperative is making a big investment in utility-scale solar generation. Over the last year, Central Iowa Power Cooperative You are leaving WAPA.gov. (CIPCO) built the state’s largest photovoltaic (PV) project across five sites in its service delivery territory.

The completed Urbana Solar Acres development from a drone's-eye view.

The completed Urbana Solar Acres development from a drone’s-eye view. (Photo by Central Iowa Power Cooperative)

The member cooperatives involved in the project are Clarke Electric Cooperative, You are leaving WAPA.gov.Consumers Energy, You are leaving WAPA.gov. Eastern Iowa Light & Power Cooperative, You are leaving WAPA.gov. East-Central Iowa REC You are leaving WAPA.gov. and Pella Cooperative Electric. You are leaving WAPA.gov. The 5.5-megawatt (MW) project will provide electricity to all CIPCO members of all income levels. “It is our mission as a cooperative to support all our members equally,” noted Communications and Public Affairs Manager Kerry Koonce. “Choosing the utility-scale model for the project rather than community solar accomplishes that.”

Becoming solar leader
In late 2015, CIPCO issued a request for proposals (RFP) for the development of the first of what is intended to be a two-phase utility-scale solar project.

Construction workers install solar racks at the Urbana Solar Acres on East-Central Iowa REC’s site.

Construction workers install solar racks at Urbana Solar Acres on East-Central Iowa REC’s site. (Photo by Central Iowa Power Cooperative)

Several of CIPCO’s 13 members showed interest in hosting a site. Then followed the hard work of determining which sites would be appropriate. “Some potential sites didn’t have sufficient resources, others had leasing issues,” recalled Koonce. “It is so important to make sure to get the correct layout, especially with a first-time project.”

CIPCO had help from the National Renewables Cooperative You are leaving WAPA.gov. (NRCO), a trade group formed by cooperatives to facilitate the development and deployment of renewable energy resources. NRCO managed the RFP process and supplied engineering expertise for the project. CIPCO has used NRCO resources in the past to review wind-purchase contracts as well.

To install the arrays, CIPCO selected Azimuth Energy LLC You are leaving WAPA.gov. of St. Louis, Missouri, an engineering, construction and development-support service company for renewable energy and energy efficient projects. The design of the ground-mounted arrays included features like fixed-axis racking and transformerless string inverters to reduce installation cost, improve performance and simplify maintenance. The projects were completed on schedule by the end of 2016.

Sun keeps rising
The new solar generation is part of a portfolio that includes 199 MW of wind power, 14 MW of WAPA hydropower and 1.6 MW of waste-to-energy generation. In all, CIPCO gets nearly 60 percent of its power supply from low-carbon resources. Koonce observed that clean energy has always been important to CIPCO’s members and with the decline in solar panel prices, the time was right to add solar to the mix.

Consumers Energy representatives celebrate the opening of the Marshalltown Gateway Centre solar array..

Consumers Energy representatives celebrate the opening of the Marshalltown Gateway Centre solar array. (Photo by Central Iowa Power Cooperative)

According to Koonce, the solar site will eventually pay for itself in the energy it produces, although the exact payback period is not known. The $9 million cost of all five solar sites, spread over 20 years to take advantage of some federal solar tax credits, is significantly less than the cost of building a new coal-fired plant, she added.

CIPCO’s overall resource plan focuses on natural gas, wind and more solar, with a second phase of solar development planned for this year. Battery storage is not part of the conversation at this point, Koonce noted, because the cost of storage systems is still very high compared to CIPCO’s stable rates. For now, “Our members won’t be seeing an increase due to adding solar,” Koonce says. “The resource is very cost effective for us.”

But members can be sure that CIPCO will be watching battery storage and other new technologies, as the G&T continues to build its diverse, affordable and environmentally friendly power supply.