First Interstate Subscribes to Two Community Solar Gardens to Increase Sustainability

Rhea-AI Summary

First Interstate BancSystem, Inc. is increasing its sustainability efforts by subscribing to two community solar gardens in Iowa and Oregon. This move allows the company to offset a significant portion of its Scope 2 emissions and demonstrates its commitment to sustainability.

Positive

• First Interstate is offsetting 100% of Scope 2 emissions in 19 of its Iowa locations through the Alliant Energy Community Solar – Cedar Rapids garden. Construction is underway and energy production will begin in early 2024.
• The Burlingame Solar project in Oregon will offset approximately 80% of Scope 2 emissions in 22 of First Interstate's Oregon locations. Construction will start in Q1 2024 and energy production in Q3 2024.
• First Interstate is an anchor tenant and the first bank subscriber in both community solar gardens, with a 20-year commitment.
• The projects will utilize renewable energy certificates (RECs) to offset overall energy usage and contribute towards sustainability goals.

Negative

• None.

BILLINGS, Mont.--(BUSINESS WIRE)-- First Interstate BancSystem, Inc. (NASDAQ: FIBK) is increasing its sustainability efforts by subscribing to two community solar gardens — one in Iowa and one in Oregon. Community solar gardens are solar projects built in partnership with utility providers to generate solar power close to where it is consumed. They offer multiple subscribers the opportunity to participate and receive renewable, local, clean energy.

“We’ve been searching for impactful ways to increase our sustainability efforts while continuing to demonstrate our commitment to the communities we serve,” explained Kevin P. Riley, First Interstate’s president and CEO. “Participating in these community solar gardens helps us achieve both these goals.”

The Alliant Energy Community Solar – Cedar Rapids garden, located in Iowa, will enable First Interstate to offset 100% of Scope 2 emissions associated with the current electricity consumption in 19 of its 45 Iowa locations. Scope 2 emissions are those created by indirect sources, such as power plants that generate electricity. The solar garden is currently under construction with energy production to begin in early 2024.

“We’ve learned that businesses, like First Interstate, are increasingly interested in solar and renewables as efficient ways to meet sustainability goals,” said May Farlinger, Vice President Customer and Community Engagement for Alliant Energy. “The simplicity and flexibility of community solar allows companies, especially those with multiple locations, to benefit from clean energy without the need to build, operate and maintain their own systems.”

Burlingame Solar is a 2.1 megawatt alternating current (MWac) project being developed by Greenkey Development near the town of Brownsville, Oregon. It will enable First Interstate to offset approximately 80% of Scope 2 emissions associated with the current electricity consumption in 22 of its 32 Oregon locations. Construction on the solar garden will start in Q1 2024 with energy production to commence in Q3 2024.

First Interstate is an anchor tenant—and the first bank subscriber—in each community solar garden, subscribing to 15% of the Alliant Energy Community Solar – Cedar Rapids garden and 22% of Burlingame Solar. First Interstate has made a 20-year commitment to both projects.

The projects will utilize renewable energy certificates (RECs). The RECs First Interstate receives are proof the company is offsetting its overall energy usage with renewable energy and can be claimed toward First Interstate’s sustainability goals. RECs are issued when one megawatt hour (MWh) of electricity is generated and delivered to the power grid from a renewable energy source.

First Interstate has been advised by Blu Ox Ventures in developing its clean energy strategy.

About First Interstate BancSystem, Inc.

First Interstate BancSystem, Inc. is a financial services holding company headquartered in Billings, Montana. It is the parent company of First Interstate Bank, a community bank with $30.9 billion in assets as of June 30, 2023. First Interstate proudly delivers financial solutions across Arizona, Colorado, Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, North Dakota, Oregon, South Dakota, Washington, and Wyoming. A recognized leader in community banking services, First Interstate is driven by strong values as well as a commitment to delivering a rewarding experience to its employees, strong returns to shareholders, exceptional products and services to its clients, and resources to the communities it serves. More information is available at www.FIBK.com.

Category: ESG

View source version on businesswire.com: https://www.businesswire.com/news/home/20230727882647/en/

Investor Contact:

John R. Stewart, CFA

Deputy Chief Financial Officer

406-255-5311

john.stewart@fib.com

Media Contact:

Brittany Cremer

PR/Communications Manager

406-255-5310

brittany.cremer@fib.com

Source: First Interstate BancSystem, Inc.

FAQ

What are community solar gardens?

Community solar gardens are solar projects built in partnership with utility providers to generate solar power close to where it is consumed.

How is First Interstate offsetting emissions?

First Interstate is offsetting 100% of Scope 2 emissions in its Iowa and Oregon locations through the community solar gardens.

What are renewable energy certificates (RECs)?

RECs are proof that a company is offsetting its energy usage with renewable energy. First Interstate will utilize RECs in these projects.

Who is developing the Burlingame Solar project?

The Burlingame Solar project is being developed by Greenkey Development near Brownsville, Oregon.