Black Hills Corp. utility subsidiary Black Hills Power says it will not proceed with a previously announced 20 MW wind farm near Belle Fourche, S.D., after the South Dakota Public Utilities Commission's (PUC) recent decision to dismiss the utility's request for a declaratory ruling.
Black Hills Power had requested PUC confirmation that the proposed $38 million project was reasonable and cost-effective considering other electricity alternatives and would be an appropriate resource addition to meet the energy needs of the utility's customers.
‘Black Hills Power had a unique opportunity to use time-sensitive cost savings, including federal tax credits set to expire at the end of 2012, to reduce the cost of providing renewable generation for our customers and to support South Dakota's renewable energy objective,’ says Chuck Loomis, vice president of operations for Black Hills Power.
With the commission's dismissal of our request for a declaratory ruling, we had to make a timely decision based on what is best for our customers and our shareholders. We determined it was best to discontinue the project,’ he adds.