In what's described as the first such project in the upper Midwest, a Minnesota utility is retooling one of its power distribution systems to make room for battery storage. Officials say it helps ensure service reliability while providing economic benefits.

Connexus Energy recently broke ground on the project at its substation in the Twin Cities suburb of Vadnais Heights. It says the battery storage system being installed there will help during peak demands for electricity.

The company's Community and Economic Development Representative Christine Costello said going this route means they won't have to take on a larger expansion effort to keep supplying electricity to homes and businesses in this area.

"Communities, as they develop and grow, they want to see businesses and land use development," said Costello, "and it's the way for us to add that additional energy and storage at our substations rather than acquiring additional land."

That land could either be conserved or left open for other types of development. Connexus says they also won't have to incur major project costs, which helps on the affordability side for customers.

The effort is supported through federal incentives under the Inflation Reduction Act.

The law is ushering in a range of clean energy projects, but Congressional Republicans want to roll back the funding.

Officials say projects like these make municipalities more attractive to businesses that prioritize sustainability. Vadnais Heights Mayor Mike Krachmer said that helps his city get its foot in the door.

"We haven't made huge investments in local renewable energy," said Krachmer, "but we have hopes to expand our initiatives and really support all of the organizations who want to increase our sustainability."

Connexus says the battery storage system is scheduled to go into service next summer.

While Minnesota appears to be the first among neighboring states to install this type of equipment at a power substation, there is a similar project in Indiana.




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Environmental groups in Minnesota are considering their next steps on the heels of a regulatory decision they said weakens the state's landmark carbon-free electricity law.

Late last week, the Public Utilities Commission clarified which technologies should be in the mix, as energy providers try to meet the requirement of 100% carbon-free electricity by 2040. The commission opened the door to allowing biomass -- namely the burning of wood -- and trash incineration to count as clean sources.

Barbara Freese climate program attorney at the Minnesota Center for Environmental Advocacy, said it is troubling the commission did not rule biomass options out.

"The law clearly said that to be carbon free, a generating source has to generate without emitting carbon dioxide," Freese pointed out. "These two sources of electricity, solid waste and biomass, emit tremendous amounts of carbon dioxide."

But utilities like Minnesota Power prioritize biomass as a form of renewable energy, with supporters arguing it is better to burn wood scraps from the logging industry than let it decompose. They argued it creates other carbon dioxide issues, and a carbon-neutral approach helps carry out the mission of the law. The commission decided more analysis is needed to get a clearer picture of the eligibility of these sources.

Despite the outcome, Minnesota's carbon-free requirement is not going away as the state added renewables like wind and solar. Freese expressed concern about what lies ahead.

"We can't be confident that the wording of the law will be accurately enforced," Freese contended. "And that is very troubling because there's going to be a lot of pressure to try to weaken this law."

She suggested pressure will not end with last week's decision. The law provides "offramps" for utilities struggling to meet the standard if clean-energy technologies are too costly or hinder grid reliability. And there is a push in the Midwest region to approve carbon-capture projects, with skeptics arguing some proposals are too large-scale and have yet to prove their effectiveness.


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In Kentucky, 462 businesses, farms and schools have received $77 million in federal funding to boost energy efficiency through the U.S. Department of Agriculture's Rural Energy For America Program, according to a new report.

The program provides loan guarantees and grants to farmers and rural small businesses.

Quenton King, government affairs specialist for the group Appalachian Voices, said the program is critical for helping agricultural producers and those in the tourism economy keep operating costs down.

"We're really grateful to the two Kentucky farms that agreed to talk with us, SouthDown farm in Letcher County and Sylvatica, a forest farm in Rockcastle County," King pointed out. "Both of those farms got a REAP grant to build solar arrays on their property."

SouthDown Farm in Letcher County received more than $7,000 from the program in 2020, enabling its owners to install a 20-kilowatt solar array. Sylvatica Forest Farm was awarded more than $11,000 in grant funding. Both businesses said the solar infrastructure will help reduce their energy consumption and lower their electric bills.

The infusion of an additional $2 billion for the program through 2031 as part of the Inflation Reduction Act will bring more energy efficiency and clean energy projects to Appalachia, King emphasized. He noted despite the funding boost, demand for the program continues to outpace available funding.

"We're looking at a future where people might not be able to apply for projects, or get money for projects," King projected. "That's really disheartening."


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Indiana is positioning itself as a national leader in clean energy, driving economic growth through innovative projects and significant investments.

Economic development officials said Indiana's heavy industry and manufacturing capabilities make it a natural partner for emerging technologies like carbon capture, hydrogen and solar power.

Andrea Richter-Garry, senior vice president of global strategy for the Indiana Economic Development Corporation, said clean energy is transforming the state's economy and creating new opportunities.

"A great example of that would be Heidelberg Materials down in Mitchell, Indiana, receiving a huge Department of Energy grant to be able to push forward a carbon capture project that will lead to low carbon cement," Richter-Garry outlined. "Wabash Valley just announced a huge project in Terre Haute."

Some opponents have said the best approach is to hold back on renewables, arguing technology will get better and be less disruptive to landscapes. Richter-Garry countered Indiana's manufacturing strength is a critical component of the transition. The clean energy industry has brought in $12 billion in capital investments, more than $40 million annually in taxes, and about $35 million a year in lease payments to Indiana landowners.

Richter-Garry noted Indiana's workforce and existing infrastructure are well-suited to produce essential clean energy components, including wind turbines and solar panels, helping meet national and global energy goals.

"The Mammoth Solar project, that 13,000-acre solar farm is going to generate 1.3 gigawatts of power," Richter-Garry pointed out. "That's 75,000 homes. Indiana again has the correct kind of landscape as well as some of the local partnerships to be able to continue that trend."

Indiana's clean energy initiatives are not just about sustainability, they are about securing the state's economic future. By leveraging its strengths in manufacturing and innovation, Indiana is paving the way for a prosperous green economy to benefit communities across the state.


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