Sierra Club’s Utility Report Card Shows MidAmerican and IPL Failing to Reduce Pollution

Iowa Utilities Are Meeting Data Center Energy Demand with Dirty Fossil Fuels Despite Health Risks
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DES MOINES, Iowa — Today, Sierra Club released its sixth annual Dirty Truth Report, which reveals how Iowa’s two largest electric utilities are failing to phase out polluting fossil fuels and transition to healthier renewable energy options. The report grades utilities across the country based on how much renewable energy they are adding, how much coal they are retiring, and how much gas they are planning. Amid an onslaught of AI data centers, Iowa is one of several states where expensive gas projects are increasingly being proposed to meet growing energy demand.

Nationally, the 76 utilities included in the Dirty Truth Report scored 7 out of 100 in aggregate — eight points lower than last year’s report and the lowest score in the report’s history. In Iowa:

  • MidAmerican Energy, a Berkshire Hathaway subsidiary, scored 3 out of 100, earning the company an F. MidAmerican plans to build 2,442 MW of wind and solar power by 2035, but it also plans to keep operating five coal-burning power plants across the state and build 1,217 MW of new gas. Berkshire Hathaway is positioned to profit not only from MidAmerican powering data centers, but from other utilities using its massive network of gas pipelines and its significant investment in Google’s parent company, Alphabet.
  • Interstate Power and Light, an Alliant subsidiary, scored 0 out of 100, which also earned the company an F. IPL plans on building 1,638 MW of wind and solar power by 2035, as well as 3,014 MW of gas. The company is currently awaiting approval from the Iowa Utilities Commission for two big gas-burning power plants in Linn County and Cerro Gordo County, largely to provide electricity to new AI data centers.

Renewable energy remains the cheapest way to generate electricity, while coal and fossil fuels remain expensive and extremely harmful to public health. Despite this, the Dirty Truth Report shows that utilities like MidAmerican and IPL are doubling down on dangerous, expensive fossil fuels. This is leading to higher bills for families, more dangerous pollution, and less reliable energy. 

The full report is available on the Dirty Truth website or here.

“MidAm and IPL are failing to seize a critical moment that could save lives simply by doing what they already know how to do — build renewables,” said Sierra Club's Iowa Chapter Director Pam Mackey-Taylor. “We are no stranger to wind and solar in Iowa, and our utilities are running out of excuses for why we should put up with more fossil fuels polluting our air and water and threatening our health. Instead of catering to Big Tech and rich utility executives, Sierra Club expects the next governor’s administration to help lead on affordable clean energy for all Iowans.”

“The Dirty Truth report has once again revealed utilities’ overwhelming failure to plan a phase-out of their expensive and dirty fossil fuel infrastructure, and transition to clean energy,” said Sierra Club Chief Program Officer Holly Bender. “Every year that utilities drag their feet on the clean energy transition is another year where families pay record bills for expensive fossil fuels, another year of extreme weather events, and another year of air and water pollution threatening our health. We cannot afford to wait any longer to bring our grid into the 21st century. As artificial intelligence data centers drive demand for energy, utility companies are rushing to expensive and dangerous fossil fuels, leading to soaring electricity prices and worsening air pollution. The time is now for these companies to transition to affordable, reliable, clean energy to build a healthier and more sustainable energy future. The Sierra Club will continue to push utilities to deploy more renewable energy and work to lower costs and emissions.”

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.