We Energies plans transition from coal to LNG at Elm Road facility

During the Common Council meeting held on February 19, 2025, in Oak Creek, significant discussions centered around a proposed amendment to a conditional use permit for the We Energies Elm Road facility. The amendment aims to transition the facility's operations from coal to liquefied natural gas (LNG), reflecting a broader shift in energy production practices in response to environmental regulations and market demands.

The meeting highlighted the necessity for We Energies to adapt to new federal Environmental Protection Agency (EPA) regulations, which mandate the cessation of coal operations by 2031 unless carbon capture technologies are implemented. Given the impracticality of carbon capture at the Oak Creek site, We Energies plans to retire its remaining coal units and replace them with natural gas-fired combustion turbines. This transition is part of a larger strategy to achieve net-zero carbon emissions by 2050.

Jennifer Bogner, the Director of Local Affairs for We Energies, outlined the company's commitment to modernizing its energy generation portfolio. The proposed project includes the construction of five natural gas combustion turbines, which will provide approximately 1,100 megawatts of capacity. This new infrastructure is designed to operate flexibly, complementing renewable energy sources like solar and wind, particularly during periods of low renewable output.

The LNG facility will feature a new storage tank capable of holding 2 billion cubic feet of LNG, significantly enhancing the site's capacity to manage natural gas supply, especially during peak demand periods. The construction of this facility is expected to begin in August 2025, with the first turbines anticipated to be operational by late 2027.

The planning commission had previously reviewed the proposal and recommended its approval, noting that no objections had been recorded. The discussions at the council meeting underscored the importance of this project not only for local energy needs but also for aligning with state and federal energy policies aimed at reducing carbon emissions.

In conclusion, the council's deliberations on the We Energies project reflect a critical step towards a more sustainable energy future for Oak Creek and the surrounding region. As the city moves forward, the successful implementation of this transition will be closely monitored, with implications for local employment, energy reliability, and environmental stewardship.