The Ethos Green Power Cooperative Blog

What’s Causing Electricity Rates to Rise? Transmission and Grid Maintenance: Electricity prices are rising primarily due to the growing expense of delivering power across the grid, known as distribution and transmission costs. Utilities must maintain and upgrade aging infrastructure, respond to extreme weather events, and incorporate new technologies—all of which drive up the price of moving electricity from power plants to homes and businesses. While fuel and generation costs also factor in, the share devoted to distribution and transmission has surged, leading to higher rates for consumers. Fuel Price Fluctuations: Traditional fuels, such as natural gas and coal, can experience sharp price swings due to factors like global market conditions, supply constraints, and geopolitical events. When the cost of these fuels goes up, utilities often pass those increases on to their customers through higher electricity rates. This volatility makes energy bills less predictable and underscores the appeal of more stable-cost resources like renewables. Reality Check: While some people claim that expanding oil and gas drilling could substantially lower electricity costs, evidence suggests otherwise. According to data from the U.S. Energy Information Administration (EIA), oil plays a relatively small role in power generation, and expanding drilling generally has a limited, long-term impact on natural gas prices. Global market forces, distribution and transmission upgrades, and the growing competitiveness of renewables usually overshadow any short-term benefits from new drilling. In fact, much of today’s electricity rate increases stem from infrastructure and grid modernization costs rather than fuel prices. This indicates that the argument for cutting electricity bills significantly through more drilling is largely overstated. In addition to the cost of natural gas as a commodity , there are still substantial costs involved in running and maintaining natural gas power plants. As utilities move toward lower-emission technologies, many of the costs associated with fossil fuels are expected to rise, not fall. Essentially, we’re already depending heavily on natural gas, so increasing its use further won’t eliminate the operational and infrastructure expenses that come with burning fossil fuels. Furthermore, increasing demand on natural gas will only cause the price of the commodity to go up. This helps explain why shifting to energy sources with lower ongoing input costs—like solar and wind—can be more economical in the long run. How Solar Panels Counter Rising Rates Once you install solar panels, you start generating your own electricity and reducing the amount you buy from the utility. The result: an immediate drop in your monthly bill. • Attractive Return on Investment: 
Rooftop solar systems often pay for themselves within a handful of years through reduced energy costs, incentives, and net metering credits —where you’re compensated for the excess electricity you send back to the grid. • Community-Wide Benefits: 
When more homes generate power locally, utility companies can lower their distribution costs—less electricity has to travel long distances over power lines. This can help stabilize or even reduce rates for everyone. Exact figures can vary by system size, incentives, and local electricity rates, but data from RENEW Wisconsin and Focus on Energy indicates that homeowners in Wisconsin typically see a solar payback period of about 7–10 years. This assumes taking advantage of the federal Investment Tax Credit (ITC), plus any applicable state or utility incentives. The average savings of an Ethos customer is around $24,000 over the life of the system. The Power of Heat Pumps Heat pumps are an ultra-efficient way to heat and cool your home by moving heat rather than creating it. • Reduced Energy Use: Because they’re so efficient, heat pumps can significantly cut your heating and cooling costs. • Lower Carbon Footprint: If you power your heat pump with solar panels, you’re using clean energy to comfortably heat or cool your home, minimizing your environmental impact. • Better for the Grid: By using less electricity overall, heat pumps place less stress on utility infrastructure, helping to contain costs across your neighborhood. This means significantly lower utility bills compared to traditional HVAC systems—according to the U.S. Department of Energy, heat pumps can cut heating energy use by about 50%. Their ability to both heat and cool a space makes them incredibly versatile and scaleable for a wide range of environments. For older homes, workshops and mother-in-law apartments, ductless (mini-split) heat pumps are popular because they’re easy to install without extensive ductwork , and they efficiently provide both heating and cooling. In multi-family or hospitality applications, larger centralized or variable-refrigerant-flow (VRF) heat pump systems can handle multiple units at once, optimizing energy use across the property. Even in specialized settings like boats , heat pumps can be used to regulate temperature efficiently in tight quarters. Wherever they’re used, heat pumps offer efficient comfort at a low operating cost. BTM Efficiencies: Saving You Money and Helping Your Neighbors “Behind-the-meter” resources—like solar panels, heat pumps, and other energy efficiency upgrades—aren’t just about your individual savings. They create a ripple effect: • Reduced Strain on the Grid: Generating some of your own power or using less energy means utilities don’t have to ramp up as many power plants, ultimately slowing rate increases. • Lower Distribution Costs: The less electricity that needs to flow from distant power plants to your area, the less utilities pay for things like transmission maintenance, lowering bills for everyone connected to that grid. • Community Resilience: Distributed energy resources can keep neighborhoods powered if grid disruptions occur, adding another layer of reliability. According to the Lawrence Berkeley National Laboratory, distributed solar alone has helped offset billions in infrastructure upgrades by reducing peak demand on the grid. Meanwhile, a study by the National Renewable Energy Laboratory (NREL) shows that a typical 6 kW residential solar system can eliminate roughly 6 to 7 metric tons of carbon dioxide emissions each year, underscoring how BTM technology not only cuts homeowner energy bills but also reduces strain on the overall energy ecosystem. Environmental and Social Benefits • Cutting Carbon Emissions: Solar and heat pumps rely on clean, renewable energy, leading to fewer greenhouse gases. • Leading by Example: When neighbors see the financial and environmental benefits of BTM solutions, they’re more likely to adopt them—multiplying the positive impact on the entire community. • Healthier Communities: Fewer emissions mean less pollution, which translates to cleaner air and a healthier environment for everyone. The Bottom Line Rising electricity prices don’t have to be inevitable. By investing in rooftop solar, installing efficient heat pumps, and taking advantage of other energy-saving upgrades, you can save money, earn a robust return on investment, and help lower costs for your entire neighborhood. Plus, you’ll be doing your part to protect the environment and create a more resilient energy future for everyone. If you’ve been on the fence about solar or switching to a heat pump, now is the time to take action—your wallet, your neighbors, and the planet will thank you.

Last year witnessed significant advancements in renewable energy, marked by the completion of large-scale solar projects, strategic investments in clean energy infrastructure, and the implementation of state-level initiatives aimed at promoting sustainability. Badger Hollow Solar Farm: Located in Iowa County, the Badger Hollow Solar Farm became fully operational in early 2024. As Wisconsin's largest solar park, it features approximately 830,000 panels capable of powering over 75,000 homes. The project represents a substantial step toward increasing the state's renewable energy capacity. WIKIPEDIA Grant County Solar Project: Alliant Energy completed a 200-megawatt solar project in Grant County, providing enough energy to power more than 50,000 homes. This project is part of Alliant's broader initiative to expand renewable energy sources across the state. WPR Investments and Infrastructure Developments Launch of HEAR Program: Wisconsin has officially launched the Home Electrification and Appliance Rebate (HEAR) Program, funded by $74.5 million from the federal Inflation Reduction Act (IRA). It provides instant rebates to low- and moderate-income households for energy-efficient appliances, reducing monthly energy costs. FOCUS ON ENERGY Dairyland Power Cooperative's Renewable Initiatives: Based in La Crosse, Dairyland Power Cooperative secured nearly $573 million through the USDA's Empowering Rural America (New ERA) program. This funding will support the procurement of 1,020 megawatts of renewable energy via four solar and four wind installations across rural areas in Wisconsin, Iowa, Minnesota, and Illinois. The initiative aims to create well-paying jobs, significantly reduce emissions, and lower energy costs for rural communities. REUTERS UW-MADISON ENGINEERING Local Solar and Battery Projects: In La Crosse County, Dairyland plans to invest $15.6 million to install 2 megawatts of solar photovoltaic generation at two sites, connected to a 4 megawatt-hour battery energy storage system. This setup is expected to produce enough electricity to power up to 1,000 homes, enhancing local renewable energy capacity and grid reliability. RURAL DEVELOPMENT Cardinal-Hickory Creek Transmission Line: The 102-mile, 345-kilovolt transmission line connecting Iowa and Wisconsin became operational in September 2024. This infrastructure project is designed to enhance electrical reliability and support the integration of renewable energy projects in the region. State-Level Initiatives Wisconsin's Clean Energy Plan Progress Report: The state's Office of Sustainability and Clean Energy released its 2024 progress report, outlining achievements toward transitioning Wisconsin to a clean energy economy. The plan emphasizes goals such as achieving 100% carbon-free electricity consumption by 2050 and creating over 40,000 jobs by 2030. WISCONSIN SUSTAINABILITY OFFICE We Energies' Renewable Energy Expansion: We Energies filed plans to build five new large-scale renewable energy projects, including 500 megawatts of solar power and 180 megawatts of wind power. These projects are expected to power approximately 250,000 homes, further advancing the state's renewable energy infrastructure. The plan includes 100 MW of new battery storage, which would be charged during the day to provide customers with "sunshine after sunset." FOX6 NOW MISO's $4 Billion Transmission Projects in Wisconsin: Driven by the need to accommodate increasing renewable energy generation, the Midcontinent Independent System Operator (MISO) has outlined plans for $4 billion in transmission projects in Wisconsin. MISO estimates that construction will generate between 4,000 and 12,257 jobs and between $817 million to $4.5 billion in economic output. These projects aim to enhance the state's electrical grid to support the growing influx of renewable energy sources. URBAN MILWAUKEE

Wisconsin is continuing to lead in transitioning toward a clean energy future through large-scale investments, infrastructure upgrades, and renewable energy development. Significant federal investments, such as the Inflation Reduction Act funding for programs like HEAR and HOMES and the $2.5 billion loan guarantee for We Energies projects, showcase how federal and state governments are aligning resources to accelerate renewable energy adoption. Wisconsin is leveraging various renewable energy sources, including solar, hydropower, and energy storage. Large-scale solar projects like Vista Sands and Charter Steel's installation complement smaller-scale initiatives, such as behind-the-meter solutions. These initiatives not only reduce carbon emissions and dependence on fossil fuels but also provide economic benefits by creating jobs, lowering energy costs for residents, and supporting local businesses. Projects like the Cardinal-Hickory Creek transmission line and American Transmission Co.’s grid upgrades reflect a broader strategy to modernize electricity infrastructure. This ensures the grid can handle increased renewable energy inputs while meeting growing demand from electrification efforts. Concerns about compatibility with existing natural environment continues to be a hot button issue, with proponents of conservation arguing for more localized energy production and distribution. American Transmission Co. Pursues Major Grid Projects: Pewaukee-based American Transmission Co. (ATC) is vying for a substantial portion of a $3.8 billion initiative to upgrade Wisconsin's power grid. This effort is part of a larger $21.8 billion plan by the Midcontinent Independent System Operator (MISO) to enhance electricity transmission across the Midwest. The upgrades aim to accommodate increasing electricity demands from data centers, electric vehicles, and other emerging technologies, ensuring grid reliability and supporting the integration of renewable energy sources. Projects are scheduled for completion between 2032 and 2034, pending approvals from the Public Service Commission of Wisconsin and MISO's contractor selection process. BIZ JOURNALS (paywall) We Energies Secures $2.5 Billion for Renewable Projects: We Energies has received a conditional commitment for a loan guarantee of up to $2.5 billion from the U.S. Department of Energy's Loan Programs Office. The funding will support the development of over 1,650 megawatts (MW) of utility-scale renewable power generation and energy storage projects across Wisconsin, including the rehabilitation of the Big Quinnesec Falls hydropower facility near Iron Mountain, Michigan. Significance: This marks the first loan guarantee under a program created by the Inflation Reduction Act, reflecting a significant federal investment in Wisconsin's renewable energy infrastructure. RENEWABLES NOW Completion of Controversial Cardinal-Hickory Creek Transmission Line: The 345-kilovolt Cardinal-Hickory Creek transmission line, spanning 102 miles between Iowa and Wisconsin, has been completed after 13 years of planning and construction. The line is designed to transport clean energy from renewable sources in Iowa to consumers in Wisconsin, enhancing grid reliability and supporting the integration of renewable energy projects in the region. The project faced significant environmental opposition and legal challenges but proceeded following a federal appellate court decision earlier this year. ASSOCIATED PRESS WPR Further Reading: American Transmission vies for piece of $3.8B in Wisconsin power-grid projects (paywall) WEC Energy gets USD-2.5bn loan guarantee for renewables in Wisconsin Utilities complete transmission line linking Iowa and Wisconsin Construction underway for controversial transmission line through wildlife refuge

Recent developments in Wisconsin's solar energy sector highlight a significant expansion, with large-scale projects receiving approval and moving toward construction. This growth underscores the state's commitment to renewable energy and its potential to power a substantial number of homes with clean electricity. Key Developments: Launch of HEAR Program: Wisconsin has officially launched the Home Electrification and Appliance Rebate (HEAR) Program, funded by $74.5 million from the federal Inflation Reduction Act (IRA). It provides instant rebates to low- and moderate-income households for energy-efficient appliances, reducing monthly energy costs. The HEAR Program joins the Home Efficiency Rebate (HOMES) Program, offering comprehensive energy-saving rebates. Wisconsin is among the first states to roll out both initiatives. STATE AFFAIRS HEAR Income-Based Rebate Recap: Households below 80% of Area Median Income (AMI): Eligible for rebates covering up to 100% of project costs, with a maximum of $14,000. Households between 80% and 150% of AMI: Eligible for rebates covering up to 50% of project costs, also capped at $14,000. Households above 150% of AMI: Not eligible for HEAR rebates. Eligible Upgrades and Maximum Rebates: ENERGY STAR Electric Heat Pump Water Heater: Up to $1,750. ENERGY STAR Electric Heat Pump for Space Heating: Up to $8,000. ENERGY STAR Electric Heat Pump Clothes Dryer: Up to $840. ENERGY STAR Electric Stove, Cooktop, or Range: Up to $840. Insulation, Air Sealing, and Ventilation: Up to $1,600. Electrical Load Service Center (Electrical Panel): Up to $4,000. Electrical Wiring: Up to $2,500. Approval of Vista Sands Solar Project: The Wisconsin Public Service Commission has approved the Vista Sands Solar Project, set to be the largest in the state's history. Located in Portage County, the project will generate over 1,300 megawatts (MW) of electricity, sufficient to power more than 200,000 homes. It will also include a 300 MW battery energy storage system, enhancing grid reliability. Construction is slated to begin in March 2025, with completion expected by December 2028. WISFARMER Completion of Paris Solar Park : Southeastern Wisconsin's first large renewable energy project, the Paris Solar Park, is now fully operational. Situated in Kenosha County, the 200 MW facility comprises nearly 500,000 solar panels, providing enough energy to power approximately 60,000 homes. The project was constructed primarily by Wisconsin union workers, contributing to local employment. WE ENERGIES NEWS SunVest Solar's Project at Charter Steel: SunVest Solar has completed a 19.5 MW solar installation at Charter Steel's manufacturing facility in Saukville, marking Wisconsin's largest behind-the-meter solar project. This installation directly powers the steel mill with clean, local electricity, demonstrating the industrial sector's shift toward renewable energy sources. SOLAR POWER WORLD These projects reflect Wisconsin's proactive approach to expanding its renewable energy infrastructure, contributing to environmental sustainability and economic growth through job creation and energy cost savings. Further Reading: Gov. Evers, PSC of Wisconsin: Announce launch of Home Electrification and Appliance Rebate Program Largest solar project in Wisconsin history approved by state regulators First large solar project in southeastern Wisconsin is now powering the grid Wisconsin’s largest behind-the-meter solar project directly powers steel mill

Understanding how your solar power system connects to the grid.

Recent developments in the U.S. solar energy sector highlight a significant shift towards renewable energy, with substantial investments in solar infrastructure and innovative projects enhancing energy resilience and sustainability. Notably, Wisconsin is emerging as a leader in this transition, exemplified by the completion of the state's largest solar farm and the implementation of net-zero energy schools. Key Developments: Wisconsin's Renewable Energy Expansion : The Badger Hollow Solar Park, now fully operational, stands as Wisconsin's largest solar project, generating 300 megawatts (MW) of renewable energy—enough to power approximately 90,000 homes. This milestone underscores the state's commitment to clean energy. WE ENERGIES NEWS Net-Zero Energy Education Facilities : The Maplewood Intermediate/Middle School in Menasha, Wisconsin, has implemented a microgrid system, making it the state's largest fully electric, net-zero school. This initiative is expected to save the district around $190,000 annually in energy costs, serving as a model for sustainable educational infrastructure. PV MAGAZINE USA Community Solar Initiatives : Community solar projects are gaining momentum, providing solar power options for those unable to install individual rooftop panels, such as renters and homeowners with unsuitable rooftops. This approach fosters inclusivity in the clean energy transition, offering cost savings and local job creation. TIME Corporate Investments in Renewable Energy : Google has announced plans to build data centers adjacent to solar and wind farms, aiming to offset pollution from traditional power grids and promote greener infrastructure. The first industrial park is expected to be operational by 2026, reflecting corporate commitment to renewable energy integration. THE VERGE These developments indicate a robust and inclusive advancement in the U.S. solar energy landscape, with Wisconsin playing a pivotal role through large-scale projects and innovative applications in education and community programs. Further Reading: Wisconsin's Largest Solar Project Now Fully Operational Fully Electric, Net-Zero Wisconsin School Powered by a Microgrid Community Solar Is Filling an Important Gap in the Clean Energy Transition Google's Future Data Centers Will Be Built Next to Solar and Wind Farms

Understanding Backup Battery Systems

Understanding grid-tied principles & net metering with Bob Callaway

Investing in Solar Power