Hi Bob,

We pay the MG&E surcharge so that our montly electric usage is entirely "covered" by blocks of wind generated electricity. My question is:

if you add up the total number of kilowatt hours for which all MG&E customers are paying the "wind power surcharge" is that greater than the total amount of kilowatt hours that is currently being generated/purchased by MG&E from wind turbines? In other words, is MG&E currently selling more wind power KWH than it actually generates/purchases?

Thanks for any feedback--stevek

Bob's Answer:
Steve,
Thanks supporting renewable energy.

Under the rates approved by the Public Service Commission of Wisconsin, we cannot sell more green power than the total we have available from our wind farms and renewable energy purchase agreements. For example, between 1999 and 2007, MGE only had the power our first wind farm in Kewaunee County Wisconsin. During most of that period we maintained a program waiting list because there was not enough green power to satisfy all the demand. And since the amount of wind power varies from year to year depending on weather conditions, some years we had to refund part of the green power cost premiums because lower wind speeds meant less power was produced than expected.

MGE has recently acquired significantly more green power from new wind farms in Wisconsin and Iowa and some local solar installations, and we can now provide renewable energy for many more customers.

Does every one who pays for green power actually receive it?
Or does the company accept payment for, say 25% of the energy to be green and only have 20% of the energy available as green? If so do they use the other 5% to work on getting more green power?

Bob's Answer:
The extra penny per kilowatt hour represents only the additional cost to produce the green energy. We do not sell more green power than we have available. In fact, for several years there was a waiting list of customers interested in purchasing MGE’s green power. In 2008 we added significantly more renewable energy so we can now satisfy that demand and add many new customers to the program.