FERC once again has determined that the continuing payments MISO is making to a Wisconsin coal plant to stay online to sustain system reliability might be too steep.  

The commission in a Jan. 31 order said Manitowoc Public Utilities’ proposed $1.16 million monthly compensation to continue operating its Lakefront 9 coal unit as a MISO System Support Resource (SSR) may be unreasonable (ER24-525). It set the matter for hearing, settlement and refund procedures. The new payments took effect Feb. 1.  

It’s the second time FERC has indicated that Manitowoc Public Utilities is charging too much to maintain grid reliability. FERC in mid-January approved a settlement lowering Lakefront 9’s monthly payment to $880,000 instead of the utility’s originally requested $1.03 million for the past year. (See FERC Approves Settlement in MISO Reliability Payments to Wisconsin Coal Plant.) MISO’s SSR agreements must be re-evaluated and extended annually if necessary. 

The Wisconsin Public Service Corp. and WPPI Energy protested the amount, voicing concerns over Manitowoc’s estimates for labor and maintenance costs, taxes and insurance, legal and consulting expenses, depreciation costs, carrying charges and capital project expenses.  

Lakefront 9 began operating as an SSR in February 2023 after MISO discovered that thermal overloading and voltage issues could occur on several nearby constraints if the plant was permitted to suspend operations as scheduled. The utility intended to idle Lakefront 9 until 2026, when it could be converted to a renewable fuel source. 

MISO has said its members’ planned transmission upgrades for the area that will improve system performance and allow it to lift the SSR agreement won’t be ready until mid-2028.