We Energies is delaying the retirement of two aging coal units at its Oak Creek Power Plant. Units 7 and 8 at the plant, which went into service in the 1960s, had been scheduled to retire at the end of this year. They will now remain open through the end of 2027. The delay comes as energy usage is expected to increase due to data center projects currently under construction.
In a filing with the U.S. Securities and Exchange Commission, We Energies’ parent company said the decision to postpone the retirement of units 7 and 8 is based on providing “reliability and affordability for We Energies customers.”
“This past winter the Midwest power market experienced tightened energy supply and higher energy costs during the extreme temperatures,” the filing states. “Keeping units 7 and 8 available will better position We Energies to serve customers with safe, reliable and affordable energy.”
Brendan Conway, spokesperson for We Energies, said there have been many examples in recent years, including in January when temperatures “plunged well below zero,” when having power available was “critical to keeping customers safe.”
The company’s SEC filing also says the extension of those units will “serve as a bridge” until new dispatchable energy generation resources come online in late 2027.
Last year, the Public Service Commission gave We Energies the OK to build new natural gas plants in Milwaukee County’s Oak Creek and the town of Paris in Kenosha County. According to the PSC, the Oak Creek gas project is expected to be completed by the winter of 2027 or the summer of 2028.