Alliant Energy completes sale of its Minnesota electric system to electric cooperatives

CEDAR RAPIDS, Iowa – Alliant Energy’s Iowa utility today successfully closed the sale transaction of its Minnesota electric distribution assets to the 12 member cooperatives of Southern Minnesota Energy Cooperative (SMEC).

Effective July 31, SMEC member cooperatives are handling all aspects of electric service to 43,000 former Alliant Energy customers who have become member-owners of their local cooperatives as a result of the sale.

Affected customers have received a transition guide from Alliant Energy and a postcard stating the effective sale date and their new cooperative’s name and phone number. Customers have also received a welcome letter from their local cooperative.

We advise Minnesota customers:

• Watch your mail for the name and contact information of the cooperative that serves you.
• If you used Paperless Billing, watch your mail. Your final Alliant Energy bill will arrive in hard copy. It will not be sent electronically.
• Review any payment programs you were using, such as Budget Billing, Automatic Payment, or Paperless Billing. After your service transfers and you have received a new account number, set aside time to re-enroll with your new cooperative.

The 12 member cooperatives are:

BENCO Electric Cooperative	benco.org	888-792-3626
Brown County Rural Electrical Association	browncountyrea.coop	800-658-2368
Federated Rural Electric	federatedrea.coop	800-321-3520
Freeborn-Mower Cooperative Services	fmcs.coop	800-734-6421
Minnesota Valley Electric Cooperative	mvec.net	952-492-2313
Nobles Cooperative Electric	noblesce.coop	800-776-0517
People’s Energy Cooperative	peoplesenergy.coop	800-214-2694
Redwood Electric Cooperative	redwoodelectric.com	888-251-5100
Sioux Valley Energy	siouxvalleyenergy.com	800-234-1960
South Central Electric Association	southcentralelectric.com	507-375-3164
Steele-Waseca Cooperative Electric	swce.coop	800-526-3514
Tri-County Electric Cooperative.	tec.coop	800-432-2285

More information about the sale is at alliantenergy.com/minnesota and smenergy.coop. To find out the name of the cooperative that serves you, refer to your mail or call 1-800-ALLIANT (800-255-4268).

Alliant Energy continues to bring clean energy to customers

Cedar Rapids, Iowa – This year will mark another step forward in the transition to cleaner energy for Alliant Energy’s Iowa utility.

“For several years, we have been executing a plan to create cleaner and more efficient ways to generate energy for our customers,” said Doug Kopp, President of Alliant Energy’s Iowa utility. “Iowans are already seeing the benefits of our work, and our next projects will deliver even more clean-energy solutions.”

Alliant Energy’s clean energy is possible by:

1. Increasing renewable energy sources
2. Increasing the use of cleaner-burning natural gas
3. Installing new technology to reduce emissions at coal-fired generating stations

Alliant Energy will continue to reduce emissions as part of a settlement agreement with the United States Environmental Protection Agency (EPA), as well as the Sierra Club, Linn County and the State of Iowa.

“The terms we negotiated in this settlement are consistent with our long-term plan for clean energy,” said Kopp. “We settled with the EPA to avoid unnecessary delays and ongoing uncertainty associated with litigation.”

Most of the projects included in the settlement have already been completed or are planned. Projects scheduled at Alliant Energy’s smaller coal-fired generating stations have already been announced.

Emission reductions at Alliant Energy’s largest coal-fired generating stations in Iowa:

• Lansing Generating Station (Lansing, Iowa)
  • Baghouse and selective catalytic reduction installed in 2010 have reduced mercury emissions by 90 percent and nitrogen oxide (NOx) emissions by 80 percent.
  • Scrubber system installed this year will reduce sulfur dioxide (SO₂) by an estimated 90 percent.
• Ottumwa Generating Station (Ottumwa, Iowa)
  • Baghouse and scrubber system installed in 2014 have reduced mercury and SO₂ emissions by 90 percent.
  • Additional emission control equipment installed by the end of 2019 will further reduce NO_X

Alliant Energy anticipates its coal-fired generating fleet will meet the air emissions limits identified in the settlement due to completed and future initiatives.

Transformation continues at Alliant Energy’s smaller coal-fired generating stations in Iowa:

• Prairie Creek Generation Station (Cedar Rapids, Iowa)
  • The largest unit will fully transition to natural gas in 2017.
  • The smaller units will stop burning coal by the end of 2025.

• Burlington Generation Station (Burlington, Iowa) will stop burning coal by the end of 2021, and potentially transition to natural gas.
• L. Kapp Generating Station (Clinton, Iowa), Dubuque Generating Station (Dubuque, Iowa) and Sutherland Generating Station (Marshalltown, Iowa) have already transitioned to natural gas.

Environmental investment:

Alliant Energy will invest $6 million in beneficial environmental projects over the next five years, which may include:

• Development of solar facilities
• Replacing traditional utility bucket trucks with hybrid trucks
• Development or expansion of anaerobic digesters

Settlement background:

In 2011, Alliant Energy collaborated with the EPA, Sierra Club, Linn County and the State of Iowa to create a solution that avoids unnecessary delays and ongoing uncertainty associated with litigation. Those discussions resulted in a settlement, the details of which are contained in a Consent Decree, lodged with the U.S. District Court for the Northern District of Iowa.

Financial information:

• Projects identified in the settlement have already been included in Alliant Energy’s forecasted capital expenditure plans.
• Under the terms of the settlement, Alliant Energy will pay a $1.1 million civil penalty.