MGE Energy, Inc. | Value Of Solar Study In MGE Territory Resolution at Value Of Solar Study In MGE Territory Resolution at MGE Energy, Inc.

Status
10.00% votes in favour
AGM date
Previous AGM date
Proposal number
4
Resolution details
Company ticker
MGEE
Lead filer
Individual
Resolution ask
Other ask
ESG theme
  • Environment
ESG sub-theme
  • Climate change
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Utilities
Company HQ country
United States
Whereas clause
Shareholders request MGE Energy lead a multi-party study of the value of distributed solar in MGE's electric service area. The study implementation plan, omitting proprietary information and prepared at a reasonable cost, should be completed and reported to shareholders by publication of MGEE Company's 2023 annual proxy. The study would evaluate the many costs and benefits from distributed solar in MGE's electric territory. The study should be performed by an independent energy analysis company or institution familiar with solar value studies across the Midwest and county. The study's goal would be to get an up-to-date, location specific, economic and environmental value of distributed solar installations in MGE's electric service territory and the cost impacts on other customers. This data can assist the Company's strategy in planning for cost effective ways to meet the company's 2050 carbon neutral goal as well as equitable customer charges.
Supporting statement
"Solar energy applications have different cost structures based on many variables, including size, location, site characteristics, transmission and distribution constraints, market price of materials and labor, administration cost, and environmental impacts. Many studies in Wisconsin, Minnesota, and other places in the United States have shown that distributed solar systems have higher value than utility owned projects and do not penalize non­participating customers. The utility industry is changing rapidly and MGE should be on the leading edge of supporting community based solar projects with the highest value to the community and shareholders. A recent solar energy study identified Dane County as having the most potential in the State of Wisconsin for distributed solar. With up-to-date and site-specific data on the value of solar, the Company could determine near and medium plans to evaluate and engage business models which take advantage of solar potential to meet economic and environmental targets.

Constant pressure currently exists to reduce utility sector carbon to address climate change, which will only intensify as the world continues to warm. The United States, The State of Wisconsin, and Wisconsin's utilities all have aggressive clean energy goals that need an ""all of the above strategies"" to meet. Distributed solar, utility owned large scale solar and wind, and imported renewable energy are all needed to meet carbon reduction goals.

Investors require additional information on how the company is preparing for potential scenarios in which distributed solar has a sufficiently high value to be included in near and medium planning assessments. The information provided in the proposed study will allow shareholders to determine whether the company is adequately managing or seizing related opportunities.

A value of solar study should be launched by MGE, which evaluates the potential and cost for this local renewable energy source. The initiative could include recruiting local companies, organizations, and experts to determine the local, technical, economic, environmental, and market impacts of the value of solar in the MGE electric service territory. The results of the study can provide an analysis for investors to assess the company's strategy."

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