I&M is Powering the Next Tomorrow with Plans to Add More than 2,000 MW of Solar, Wind Energy

Rhea-AI Summary

Indiana Michigan Power (I&M), part of American Electric Power (AEP), has proposed a plan to add over 2,000 megawatts (MW) of wind and solar generation by 2028. This initiative aims to ensure reliable, sustainable energy while transitioning away from coal dependence. The plan, rooted in I&M's Integrated Resource Plan, includes a request for proposals for 800 MW of wind and 500 MW of solar. By 2028, the company intends to retire its coal-fueled Rockport Plant and introduce natural gas peaking units. The transition supports AEP's goal of net-zero carbon emissions by 2050.

Positive

• Plans to add over 2,000 MW of solar and wind generation by 2028, enhancing renewable energy use.
• Expected to power approximately 400,000 homes with the new clean resources.
• Transitioning from coal to more sustainable energy sources aligns with AEP's net-zero carbon goal by 2050.
• 85% of I&M's energy was carbon-emission free in 2020.

Negative

• Retirement of the coal-fueled Rockport Plant by 2028 may impact energy supply reliability in the transition period.

FORT WAYNE, Ind., Feb. 1, 2022 /PRNewswire/ -- Indiana Michigan Power, an American Electric Power (Nasdaq: AEP) company, submitted a plan with the Indiana Utility Regulatory Commission that calls for adding more than 2,000 megawatts of wind and solar energy generation by 2028.

The Powering the Next Tomorrow plan is designed to ensure reliable, sustainable energy for I&M customers from a resilient grid using diverse generation sources.

"I&M is pleased to continue its responsible, systematic transition to cleaner generation sources while ensuring we will meet our customers' needs for safe, reliable energy long into the future," said Steve Baker, president and chief operating officer of I&M. "I&M is Powering the Next Tomorrow by harnessing energy from the sun and wind, while ensuring we continue to have the necessary resources to power the homes, businesses and factories we serve 24/7."

I&M's intentions are described in its Integrated Resource Plan (IRP), which provides a detailed analysis of future energy needs and how the company will meet those needs over the next 20 years. Though long-term plans are subject to revisions, I&M's near-term plans to add more than 2,000 megawatts (MW) of wind and solar by 2028 have a higher degree of certainty. The new clean resources are expected to generate enough energy to power 400,000 typical homes.

The first step will occur in coming months, when I&M issues a request for proposal (RFP) for approximately 800 MW of wind and approximately 500 MW of solar to meet customer needs, with half of those resources generating energy in 2025 and the remainder by 2026. A second RFP is planned for later seeking proposals for about 800 MW of solar, 60 MW of battery storage and 1,000 MW from gas "peaking" units to meet the needs by 2028. Together, the new resources would more than quadruple I&M's current solar and wind generation.

I&M continues to evaluate the best ways to ensure customers have reliable power 24/7/365, including when the sun doesn't shine or wind doesn't blow. With the retirement of I&M's coal-fueled Rockport Plant scheduled by 2028, the company's plans include natural-gas "peaking" units that are expected to be the most cost-effective, reliable source of additional power. These resources would generate power only during periods of high energy use and would potentially utilize hydrogen as a future fuel source to optimize environmental performance.

Powering the Next Tomorrow significantly reduces reliance on coal-fueled generation and is another step toward supporting parent company AEP's goals of achieving net zero carbon by 2050.

Including Cook Nuclear Plant, wind and solar resources as well as power from six water-powered hydro-electric plants, 85% of the energy I&M generated in 2020 was carbon-emission free.

I&M is required to submit a 20-year plan to the Indiana Utility Regulatory Commission every three years. The plan was developed during 2021 and included five meetings with stakeholders representing a variety of interests. The plan was crafted transparently, with updates and the preferred plan posted at IndianaMichiganPower.com/Community/Projects/IRP

ABOUT INDIANA MICHIGAN POWER: Indiana Michigan Power (I&M) is headquartered in Fort Wayne, and its approximately 2,100 employees serve more than 600,000 customers. More than 85% of its energy delivered in 2020 was emission-free.  I&M has at its availability various sources of generation including 2,278 MW of nuclear generation in Michigan, 450 MW of purchased wind generation from Indiana, more than 22 MW of hydro generation in both states, nearly 35 MW of large-scale solar generation in both states, and 2,620 MW of coal-fueled generation in Indiana.

ABOUT AMERICAN ELECTRIC POWER: American Electric Power, based in Columbus, Ohio, is powering a cleaner, brighter energy future for its customers and communities. AEP's approximately 16,700 employees operate and maintain the nation's largest electricity transmission system and more than 224,000 miles of distribution lines to safely deliver reliable and affordable power to 5.5 million regulated customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 31,000 megawatts of diverse generating capacity, including more than 5,900 megawatts of renewable energy. The company's plans include growing its renewable generation portfolio to approximately 50% of total capacity by 2030. AEP is on track to reach an 80% reduction in carbon dioxide emissions from 2000 levels by 2030 and has committed to achieving net zero by 2050. AEP is recognized consistently for its focus on sustainability, community engagement, and diversity, equity and inclusion. AEP's family of companies includes utilities AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. For more information, visit aep.com.

News releases and other information about I&M are available at IndianaMichiganPower.com

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SOURCE Indiana Michigan Power

FAQ

What is the AEP plan for renewable energy generation by 2028?

AEP's Indiana Michigan Power plans to add over 2,000 MW of wind and solar energy generation by 2028.

How much energy will the new wind and solar generation power?

The new resources are expected to power around 400,000 typical homes.

What is the timeline for I&M's renewable energy initiatives?

I&M will issue a request for proposals for 800 MW of wind and 500 MW of solar in the coming months, with energy generation expected by 2025 and 2026.

How does I&M plan to replace the coal-fueled Rockport Plant?

I&M plans to introduce natural-gas peaking units and evaluate hydrogen as a future fuel source.

What percentage of I&M's energy was emission-free in 2020?

In 2020, 85% of I&M's energy was carbon-emission free.