The Upper Peninsula Power Company (UPPCO)is preparing to install a 62.5 MW solar project on top of an old open pit mine that closed in 1982. The mine is just south of the town of Republic, along M-95 in the Upper Peninsula (see map below). UPPCO is storing the solar panels in a warehouse in Wisconsin, and site prep for the panels is being done now. UPPCO plans to have the project operating by 2027. UPPCO is also working with a company called Circle Power to develop another solar project on a former mine site – Groveland Mine Solar in Dickinson County, and has a purchase agreement for 62.5 MW from this project. Michigan’s 2023 energy laws established renewable and clean energy standards that gave UPPCO an incentive to develop these projects. In addition, the federal Inflation Reduction Act of 2022 included significant tax credits to help make the projects more affordable.
UPPCO did a good job working with the local community to get buy-in for the project. Some of the factors making this an attractive project are:
- The site being used for the project is an old mine site that is not forested and is unsuitable for agriculture. While the mine was being operated, one of the mine’s open pits was filled in using tailings from a second pit. The sand in the pit provides a stable base for the pilings to hold up the panels, but is not a good substrate for trying to grow trees or crops.
- The site to be used for the solar panels is open and level, providing a sunny spot for the panels without requiring trees to be cut. It is also below grade relative to nearby roads, meaning that the panels will not be visible to those driving past.
- There is an existing Point of Interconnection (POI) at the UPPCO-owned Perch Lake substation that will allow power to be fed into the electrical grid, reducing the amount of infrastructure required to use the power generated.
- After the Republic Mine closed in 1982, there was a substantial loss in local tax revenue. Construction of this project will provide $61,250 per year for 20 years to Republic Township ($1,225,000 total tax revenue).
- There will be economic benefits to the local community from construction, including utilization of regionally local, skilled-trade labor and an increase in general economic activity in the region.
UPPCO is a relatively small utility, and it’s good to see them making increasing use of renewable sources. Historically, 20% of their power is hydropower, and the rest of the power they provide to customers is imported through the electrical grid. With the solar projects being developed, UPPCO expects to be at approximately 50% renewable generation by 2028.
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