SMMPA

AcronymDefinition
SMMPASouthern Minnesota Municipal Power Agency (Rochester, MN)
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Coronal is thrilled to partner with SMMPA and the Owatonna community on this exciting project, added Ben J.
RPU obtains all load requirements exceeding 216 MW from sources other than SMMPA including 178 MW of owned generation in: the Zumbro Hydroelectric Plant, coal-fired Silver Lake Plant, gas-fired Cascade Creek Plant, and from the MISO market through The Energy Authority (TEA).
Fitch does not expect the delay to impact RPU's power supply and power costs as SMMPA has secured capacity purchases for most of the projected 2013 outage.
Due to the competitively priced power supplied by SMMPA, RPU does not foresee a need to increase rates in 2013.
RPU receives virtually all of its power from a take-and-pay partial requirements contract with SMMPA, a joint-action agency providing wholesale electricity to 18 municipal electric systems in Minnesota, primarily through its 41% ownership in the 874 MW (megawatt) Sherco 3 coal unit.
Approximately 60% of RPU's costs are related to SMMPA charges.
Although RPU has additional liquidity through its share of cash retained by SMMPA, the timing and circumstances of SMMPA using that cash is unclear.
RPU purchases the bulk of its power requirements under a partial requirements take-and-pay contract from SMMPA, a joint-action agency providing wholesale electricity to 18 municipal utilities in Minnesota, primarily from its 41% ownership in the 874 mw Sherco 3 unit.
Northern Alternative Energy is enthusiastic about the opportunity to provide wind power to SMMPA members," said Greg Jaunich, president of NAE, "We're bullish on the prospects of building additional turbines for Agency member customers to meet the demand for green electricity.
Dan Hayes of SMMPA believes "the time is right to offer wind power.