A $23.5 million utility-scale solar generation and battery storage project is advancing near Moorcroft in a move that will allow Powder River Energy to control a power generation source for the first time in its 80-year history.
With electricity generation of between 1.2 and 1.5 megawatts — with 5 megawatts of battery storage — the LaBelle Prairie Project is small compared to other solar-battery projects proposed in Wyoming.
Enbridge’s $1.2 billion Cowboy Solar I and II projects near Cheyenne are under construction with plans for nearly 800 megawatts of solar generation and about 270 megawatts of battery storage.
NextEra’s Chugwater Energy Project includes wind, along with 150 megawatts each of solar power generation and battery storage.
While not to that scale, the LaBelle Prairie Project is a big step for the Powder River Energy rural electric cooperative, especially with its flexibility to address grid-level peak demand challenges, said company spokesman Tim Velder.
A bonus is that the project also will reduce annual power costs for Powder River Energy customers, he said.
It’s a big step forward in controlling future power costs, Powder River Energy’s CEO Brian Mills said in a statement.
The project is being funded in part by a federal loan program and tax credits. Powder River Energy is fronting about half the cost.
Win-Win
Crook County Commissioner Chairman Fred Devish called the project a win-win.
Velder said the project will allow the company to manage its power directly with battery storage.
The project comes at a time when Powder River Energy anticipates a growing demand for power with future infrastructure projects. Electricity demand is also growing among the cooperative’s customers, said Velder.
The solar-battery project will help the cooperative address peak demand challenges by having backup power, Velder said.
Electricity needs fluctuate depending on the time of day and time of year. Having backup power storage “helps trim the peaks and fill the valleys,” he said.
Battery backup storage will strengthen system reliability by delivering critical backup power during outages and extreme weather conditions, Velder said.
Cutting Energy Costs for Consumers
The project is also expected to save up to $1 million in annual wholesale power costs.
Powder River Energy now buys energy from Basin Electric Power Cooperative, paying for both the energy and a “capacity charge” (also known as "demand charge"), which is assessed on the amount of capacity being purchased.
Having backup power saves money because the cooperative will not have to buy power from another company when it is most expensive.
“It’s like having extra groceries in your pantry so you don’t have to pay more when the demand is high,” Velder said.
That’s great news for Powder River Energy customers, Devish said.
“If we can keep from paying the surge price, the high cost of power at certain hours, that will save me money in my electric bill and everyone else, too,” he said.
Power Stability
With the added battery storage comes more stable power around Moorcroft, Devish said, making power threats from extreme weather less likely.
“This will make power more stable,” Devish said. “The power company is pretty darn responsive. Whenever there is a problem, they get out and get it fixed.
"But any little blip in the power is kind of a pain in the butt for people anymore.”
Moorcroft Mayor Dale Petersen told Cowboy State Daily that if the project helps with the stability of the power grid, that’s a plus for Moorcroft.
“You never know the outcome of a project like this,” he said. “But any time there’s an upgrade to a power system it has to be positive for those residents.”
Three-Pronged Approach
Powder River Energy CEO Mills said in a statement that the project will have a three-pronged approach.
The Moorcroft substation will be upgraded with new equipment, the battery storage units will be installed and solar panels will be put up near the Powder River Energy line service shop, located north of Interstate 90 at exit 153.
“What you’ll end up seeing out there, once we get the permits in place, is construction work later this summer,” Mills said. “It will begin with some dirt work around the substation and then battery containers, and solar panels will follow after the initial site work has been completed.”
Powder River Energy is applying for permits from the Wyoming Public Service Commission and Crook County.
Velder said the cooperative hopes to get its permits in by early May, and he expects to see placement of solar panels and batteries being delivered later this summer.
“It’s like any construction project,” he said. “You might see a whole bunch of activity, and then not much for a couple months. “
The solar panels should be generating electricity by June 2027, and the battery storage facility should be fully functional, Velder said.
Devish said he has been pleased with Powder River Energy’s communication about the project.
“They’ve been very upfront and have answered all the questions,” he said. “They are trying to put forward the good it can do.”
Kate Meadows can be reached at kate@cowboystatedaily.com.
