Upper Peninsula Energy Plan signed, New Natural Gas Plant to Open

Governor Rick Snyder’s office announced new plans for providing energy in the Upper Peninsula Monday.

They say residential energy customers could save money under a new agreement.

The plan was signed between Cliff’s Natural Resources and WEC Energy Group.

If approved, it would create new natural gas powered generation across two sites in the U.P., and allow for the WEC Energy Presque Isle Power Plant in Marquette to shut down by 2020.

The agreement follows a settlement reached with the state in early 2015.

The goal is to resolve issues linked to the closure of the Marquette plant, and other challenges to the U.P.’s electricity supply.

However, Cloverland Electric Co-Op says they’re concerned with how exactly the plant will be funded and what it will mean for their customers.

"The problem we’ve had here in the U.P. is that Cloverland has been stuck with costs associated with the Presque Isle Power Plant in Marquette and the big concern we have here is, will we be stuck with costs associated with this new plant?" Cloverland Electric Co-Op president and CEO Daniel Dasho said. "Again, that may be the right solution, but there may be other lower cost alternatives that haven’t been investigated yet." 

The governor’s office says they are still working out the details of the plan and more information will likely be available later this week.