Utilities in Minnesota are dealing with the largest increase in electricity demand they've experienced in decades. Combined with changes to the climate that create significant challenges to meet this demand, the state has been looking for ways to increase investments in clean energy.
According to an opinion piece written by an expert for Utility Dive, Minnesota Power will need to acquire $1 billion in equity over the next few years to meet this demand, while still keeping pollution low. As such, the state is considering the sale of Minnesota Power to Canada Pension Plan Investments and Global Infrastructure Partners.
The state is already well on its way in leading the charge in the utilization of clean energy, as it passed Minnesota's Clean Electricity Standard into law in 2023. This law is an ambitious one, requiring the state to have 100% carbon-free electricity by the year 2040.
So far, Minnesota Power has reached a point where a little over half of its electricity is provided from carbon-free renewables while still maintaining reliable service and lower bills for its customers.
This investment could provide the state of Minnesota with 100% carbon-free electricity, resulting in cleaner water and air and healthier communities. Additionally, sustainability-focused and clean energy investments like this one have been shown to be financially savvy, as these types of investments normally outperform similar investments in dirty energy in terms of long-term growth.
Considering the world as a whole continues to move towards the goal of a cleaner economy, it's a smart move for Minnesota and may encourage other states to take similar steps.
Taking steps toward a cleaner economy via clean energy investments will benefit people living in these states, as these investments often lead to better economic resilience and increased job creation. In fact, a cleaner economy offers massive growth opportunities and investments for both the country as a whole and individual investors.
Admittedly, the journey of the clean economy has experienced a few ups and downs thus far. However, the long-term momentum of the clean energy sector is still strong and economically sound.
As Jigar Shah, the author of the opinion piece, stated in Utility Dive: "Insisting on old approaches will only drive massive rate hikes for customers. The only way to meet this challenge affordably is by deploying next-generation technologies."
|
Should the government ban gas-powered lawn equipment? Click your choice to see results and speak your mind. |
Absolutely 💯 
Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.
TCD Picks » Upway Spotlight
💡Upway makes it easy to find discounts of up to 60% on premium e-bike brands
Cool Picks
