WEC Energy Group executives were optimistic over a new large industrial customer and new capacity additions during a second-quarter earnings call this week.
WEC reported net income of $289.7 million ($0.92/share) for the quarter, slightly more than the $287.5 million ($0.91/share) it earned over last year’s second quarter.
“After a down first quarter marked by one of the warmest winters on record, we delivered solid results in the second quarter and we’re firmly on track for a strong 2023,” WEC Energy Group Executive Chairman Gale Klappa said during an Aug. 1 earnings call. (See WEC Energy Group’s Earnings Droop on Mild Winter.)
The utility is reaffirming its earnings guidance for the year at $4.58 to $4.62/share, he added.
Klappa said WEC is enthusiastic over Microsoft’s $1 billion plan to create a new data center campus in its service territory. The complex will be built south of Milwaukee, in the Wisconsin Innovation Park.
“Microsoft has purchased 315 acres … and is moving full speed ahead. In fact, earthwork at the site began just a few days ago. So along with American Transmission Co., we’re working closely — in fact, on a weekly basis with Microsoft — to determine the full extent of the energy infrastructure that will be needed to serve this development,” he said.
Klappa said he expects Microsoft’s new facility to be operational near the end of 2025 at the earliest.
WEC Energy Group CEO Scott Lauber said at the beginning of June, the company closed on its first 100-MW option of the natural-gas fired West Riverside Energy Center for $95 million. He said over the next few weeks, WEC will file to purchase another 100 MW of Alliant Energy’s Riverside capacity under its remaining option.
Lauber also noted that WEC placed 128 MW of new natural gas generation in service last month through a $170 million investment to build additional reciprocating internal combustion engines at the Western Power Plant site in northern Wisconsin.
Laubner added that WEC is making progress on the Badger Hollow II solar facility and the Paris and Darien solar battery parks.
“The Badger Hollow II site has begun receiving panels using non-Chinese polysilicon. Also, we continue to work on securing customs release of panels from a bonded warehouse in Chicago. We’re still expecting Badger Hollow II to go into service late this year or early next year, with Paris Solar Park to follow. In addition, work has begun on the Darien solar facility, which is planned to go into service in 2024,” he told shareholders.
