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Reliability & Clean Energy
IN MICHIGAN
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Palisades will provide reliable, clean, and affordable energy to Michigan, for decades
Wolverine Power Cooperative (Wolverine) and Holtec International (Holtec) have entered into a historic, long-term agreement that will pave the way for the restart the Palisades nuclear power plant in southwest Michigan. This marks the first time in American history that a nuclear plant could reopen, and it’s a win for cooperative members, the state of Michigan, and the environment.
May 2022
Palisades plant closed and sold to Holtec International
Sept. 2022
Governor Whitmer announces her support to restart Palisades
Sept. 2023
Wolverine signs agreement to purchase power from the Palisades power plant
Power from the plant will help to address three critical challenges
Keeping the lights on for our communities
Tackling climate change, starting with rural Michigan
With 60% carbon-free power, Wolverine and its members already lead the state in clean energy. The Palisades partnership will help further decarbonize rural Michigan’s economy by using nuclear power as a reliable and emissions-free source of electricity. This will enable the state to move away from fossil fuels and towards renewables.
Providing members with stable rates in an era of volatility
A long-term nuclear power supply contract allows us to provide reliable, clean energy at a predictable price point, protecting the cooperatives we provide power to from the expected volatile power supply pricing fluctuations over the next decade.
Preparing for an energy transition
As the energy industry undergoes a transformation towards clean energy and electrifying the modern economy, the Palisades Nuclear Power Plant will play a pivotal role in ensuring a reliable, carbon-free power supply for Michigan.
Frequently Asked Questions
The plant produces 800 megawatts, which is equivalent to 6% of Michigan’s energy. That’s enough to power more than 800,000 Michigan homes.
Holtec anticipates it will take two years to restart. The beginning of the Palisades repowering is contingent upon approval of funding sources through the State of Michigan and the US Department of Energy’s Loan Program Office. Plant owner Holtec is hopeful to formally announce its intention to repower Palisades by fourth quarter 2023. Upon meeting those necessary conditions, the plant is expected to return to service in late 2025.
The plant’s May 2022 shutdown coincided with the end of its previous 15-year power purchase agreement between the prior owner and an offtaker. The shutdown was announced years prior as a business decision by the prior owner to exit the wholesale nuclear generation business. Palisades operated in the Nuclear Regulatory Commission’s highest safety category, completed consecutive record-breaking production runs prior to shut down, and was recognized as a top performer in the industry. Holtec began the process of repowering Palisades, buoyed by strong support from federal, state, and local partners who recognize the importance of Palisades to Michigan’s energy future.
This power purchase agreement is consistent with Wolverine’s 5 key strategic power supply pillars, particularly the long-term commitment to balance price stability and competitiveness. As power supply costs continue to be volatile, this agreement allows us to lock in stable and predictable pricing for the future.
The plant was originally commissioned in 1970.
Wolverine and its member cooperatives already lead Michigan in clean energy, powering communities with energy that is over 60% carbon-free. That’s nearly twice as much clean energy as the regional average. Once Palisades resumes operation, there is potential for us to increase our carbon-free energy supply to 90%. This commitment will advance our carbon-free leadership for decades to come.
No. Wolverine will be obligated to purchase power out of the plant when it is in operation and Holtec is responsible for making the investments.
Holtec holds the responsibility for the safe and secure storage and onsite monitoring of the fuel. Nuclear fuel and waste management is one of Holtec’s core services LEARN MORE
Nuclear power plants are subject to rigorous safety standards and regulations enforced by national and international authorities. During operation, Palisades was ranked in the NRC’s highest safety category and was recognized as a top performing plant within the industry.
During operation, Palisades employs approximately 600 full-time, highly skilled jobs with an average salary of $117,000. The plant brings an additional 1,000 specialty workers into the community every 18 months to support scheduled refueling and maintenance outages. Palisades annually paid more than $10 million in local property taxes, making it one of the largest taxpayers in Van Buren County and supporting essential public services. A study by the Economic Growth Institute at the University of Michigan found that the shutdown of Palisades resulted in the annual loss of $259 million in labor income and value added (direct, indirect, and induced across industries) for the tri-county region.
We need it all. Wolverine already has 200 MW of wind power and is actively working to build two utility scale solar arrays . On average a solar array (or any generation) takes 7 years to develop. We need carbon-free energy now, and Palisades can be back online in two years.
Holtec International is a privately held technology company with operation centers in Florida, New Jersey, Ohio, and Pennsylvania in the United States, and globally in Brazil, Canada, India, Japan, Mexico, South Africa, Spain, the United Kingdom, and Ukraine. Since the 1980s, Holtec has played a preeminent role in the energy industry by developing and implementing innovative solutions to overcome technical challenges faced by its clients around the world.
Manufacturing:
Holtec uses state-of-the-art fabrication and automation to create custom equipment for the energy industry and beyond. With nearly 1.5 million square feet of manufacturing space and innovation that knows no limits, Holtec provides components of exceptional quality and with timely delivery. As a major supplier of special-purpose pressure vessels and critical-service heat exchange equipment, Holtec provides air-cooled condensers, steam generators, feedwater heaters, and water-cooled condensers. As a fully integrated supplier, Holtec possesses in-house capabilities to design, engineer, analyze, license, fabricate and construct these technologies.
Wet fuel storage:
Pioneering the technology to expand the nuclear fuel storage capacity in the wet storage pools, Holtec has increased the storage capacity on average by over 50% at over 110 reactor units worldwide.
Dry fuel storage:
Over 130 nuclear units worldwide rely on Holtec’s technology for spent nuclear fuel storage and transportation; 70 of these are located in the United States.
Decommissioning:
Highlights of Holtec’s core business focus also includes the safe and efficient decommissioning of shuttered nuclear plants; the current fleet includes Indian Point, Pilgrim, and Oyster Creek.
HI-STORE:
HI-STORE, the world’s first below-ground Consolidated Interim Storage Facility, is licensed for deployment in New Mexico.
Small Modular Reactor (SMR-160):
Holtec’s SMR-160, a 160-megawatt small modular reactor, will provide safe, secure, dependable, affordable and carbon-free power even in the world’s most arid regions.
Palisades Repowering:
With support from federal, state, and community partners, Holtec is pursuing the repowering of the Palisades Nuclear Power Plant – an historic first for the United States as the plant would be the first to return to operation after entering the formal decommissioning process. The repowering of Palisades will return 800 megawatts of safe, reliable, and carbon-free generation back to the grid while bolstering job creation, tax base, and economic prosperity.
Visit www.holtecinternational.com to learn more.
Wolverine member cooperatives provide electricity to
more than half of Michigan’s lower peninsula.
