New partnerships to benefit all customers
ST. LOUIS, July 15, 2022 /PRNewswire/ -- Today, a group of leading organizations from across Missouri announced they're joining Ameren Missouri, a subsidiary of Ameren Corporation (NYSE: AEE), to bring more clean energy to the state. These organizations are committing to clean energy by choosing to purchase up to 100% of their total energy use from renewable generation sources. To meet these organizations' renewable energy goals, Ameren Missouri created the Renewable Solutions program. The program would be served by a 150 megawatt (MW) solar facility being acquired by Ameren Missouri, marking another step toward its transition to renewable energy.
"We know that reaching our goal of net-zero carbon emissions by 2045 will take innovative solutions and partnerships," said Mark Birk, chairman and president of Ameren Missouri. "This creative partnership with local businesses and organizations is just one of the ways that we're working to increase the amount of clean energy on the grid while still maintaining the affordability and reliability our customers expect."
The solar facility, in White County, Illinois, is being developed by Invenergy, a leading developer, owner and operator of sustainable energy solutions. This facility, which Ameren Missouri previously announced an agreement to acquire, is expected to produce the energy equivalent to powering nearly 27,500 homes annually. The acquisition is subject to regulatory approvals and customary closing conditions and could begin serving customers as soon as 2024.
"As we advance our plans to grow renewable energy generation, locating projects in Missouri and surrounding states is necessary to maintain the reliability our customers expect and the resiliency necessary for the grid," Birk said.
All customers will benefit from the successful implementation of the program through:
- Clean energy on the grid at a lower cost to all customers.
- Investment in local construction jobs, suppliers and increased economic activity.
- Support of Ameren Missouri's transformative expansion of wind and solar energy as part of the transformational changes toward net-zero carbon emissions.
The following are some of the 10 organizations that have committed to the growth of renewable energy in our region as part of the Renewable Solutions program:
- Bi-State Development
- General Motors
- SSM Health
"It's clear many business customers share our vision of a sustainable energy future and are seeking to power their operations with clean energy," said Patrick Smith, vice president of economic, community and business development at Ameren Missouri. "We created the Renewable Solutions program as an easy way for these customers to take an active role in reducing carbon emissions across the region."
Subscribers will receive Renewable Energy Credits (RECs) for their participation, a tangible way to denote their own reduction in emissions. They also will benefit from predictable pricing, and the program will help them avoid the large capital investment required to construct their own solar facilities.
The Renewable Solutions program may be expanded in the future to provide additional options for commercial, industrial and governmental customers.
Small businesses and residential customers looking to increase their own renewable energy usage have several options, including Ameren Missouri's popular Community Solar program.
Both programs will help Ameren reach net-zero carbon emissions by 2045 and the company's strong interim goals of a 60% reduction in carbon emissions by 2030 and an 85% reduction by 2040, from 2005 levels. These goals are included in Ameren Missouri's comprehensive integrated resource plan to safeguard long-term energy reliability and resiliency while also accelerating the company's planned additions of clean wind and solar generation by 2030.
Support for the Program
Renewable Solutions would not be possible without the support of local organizations.
"Being part of Ameren Missouri's Renewable Solutions program to develop clean energy is fully aligned with bioMérieux's CSR strategy. We actively work to reduce our emissions in all our operations and along the entire value chain. We are excited to partner with the energy experts at Ameren Missouri to bring this innovative concept to life." – Bart van den Brand, Senior Vice President, Americas Operations, bioMérieux
"Emerson has established a target to achieve net-zero operations and source 100% renewable electricity by 2030. We commend the Ameren Missouri team for developing this opportunity to invest in renewable energy as businesses in our region work together toward a more sustainable future." – Mike Train, Senior Vice President and Chief Sustainability Officer, Emerson
"GM is proud to be part of this innovative and forward-thinking new program that will directly impact the region's transition to clean energy, as well as move GM even closer to achieving our goal of powering all our US facilities with 100% renewable energy by 2025. Ameren Missouri's Renewable Solutions program is a great complement to GM's bold environmental goals and will help us create a better future for all." – Kristen Siemen, Chief Sustainability Officer, General Motors
"Everyone deserves the opportunity to live in a healthy environment, free of pollution and with access to nutritious foods and green spaces to play and work. As a faith-based, Catholic health care system, preservation of the earth is part of our Mission and Vision. This project enables us to lend our voice, and our economic resources, as an advocate for smart policies, alternative energy sources and greening our communities. We are glad to partner with others to improve our environment and help us all lead healthier lives." – Gerry Kaiser, Vice President of Facilities and Real Estate, SSM Health
About Ameren Missouri
Ameren Missouri has been providing electric and gas service for more than 100 years, and the company's electric rates are among the lowest in the nation. Ameren Missouri's mission is to power the quality of life for its 1.2 million electric and 135,000 natural gas customers in central and eastern Missouri. The company's service area covers 64 counties and more than 500 communities, including the greater St. Louis area. For more information, visit Ameren.com/Missouri or follow us on Twitter at @AmerenMissouri or Facebook.com/AmerenMissouri.
Statements in this release not based on historical facts are considered "forward-looking" and, accordingly, involve risks and uncertainties that could cause actual results to differ materially from those discussed. Although such forward-looking statements have been made in good faith and are based on reasonable assumptions, there is no assurance that the expected results will be achieved. These statements include (without limitation) statements as to future expectations, beliefs, plans, projections, strategies, targets, estimates, objectives, events, conditions, and financial performance. In connection with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, we are providing this cautionary statement to identify important factors that could cause actual results to differ materially from those anticipated. The following factors, in addition to those discussed under Risk Factors in Ameren's Annual Report on Form 10-K for the year ended December 31, 2021, and elsewhere in this release and in our other filings with the Securities and Exchange Commission, could cause actual results to differ materially from management expectations suggested in such forward-looking statements:
- regulatory, judicial, or legislative actions, and any changes in regulatory policies and ratemaking determinations, that may change regulatory recovery mechanisms, such as those that may result from the impact of a final ruling to be issued by the United States Court for the Eastern District of Missouri regarding its September 2019 remedy order for the Rush Island Energy Center, the Missouri Public Service Commission ("MoPSC") staff review of the planned Rush Island Energy Center retirement, the July 2020 appeal filed by Ameren Missouri, Ameren Illinois, and ATXI challenging the refund period related to the FERC's May 2020 order determining the allowed base return on equity ("ROE") under the Midcontinent Independent System Operator, Inc. ("MISO") tariff, the July 2020 appeal filed by Ameren Missouri, Ameren Illinois, and ATXI challenging the FERC's rehearing denials in the transmission formula rate revision cases, and Ameren Illinois' electric distribution service rate reconciliation request filed with the Illinois Commerce Commission in April 2022;
- the length and severity of the COVID-19 pandemic, and its impacts on our business continuity plans and our results of operations, financial position, and liquidity, including but not limited to changes in customer demand resulting in changes to sales volumes; customers' payment for our services; the health, welfare, and availability of our workforce and contractors; supplier disruptions; delays in the completion of construction projects, which could impact our expected capital expenditures and rate base growth; changes in how we operate our business and increased data security risks as a result of remote working arrangements for a significant portion of our workforce; and our ability to access the capital markets on reasonable terms and when needed;
- the effect on Ameren Missouri's investment plan and earnings if an extension to use plant-in-service accounting ("PISA") is not sought by Ameren Missouri or approved by the MoPSC;
- the effect on Ameren Missouri of any customer rate caps pursuant to Ameren Missouri's election to use PISA, including an extension of use beyond 2023, if requested by Ameren Missouri and approved by the MoPSC;
- the effects of changes in federal, state, or local laws and other governmental actions, including monetary, fiscal, foreign trade, and energy policies;
- the effects of changes in federal, state, or local tax laws, regulations, interpretations, or rates, and challenges to the tax positions taken by Ameren or its affiliates, if any, as well as resulting effects on customer rates;
- the effects on energy prices and demand for our services resulting from technological advances, including advances in customer energy efficiency, electric vehicles, electrification of various industries, energy storage, and private generation sources, which generate electricity at the site of consumption and are becoming more cost-competitive;
- the effectiveness of Ameren Missouri's customer energy-efficiency programs and the related revenues and performance incentives earned under its Missouri Energy Efficiency Investment Act programs;
- our ability to control costs and make substantial investments in our businesses, including our ability to recover costs and investments, and to earn our allowed returns on equity, within frameworks established by our regulators, while maintaining affordability of our services for our customers;
- the cost and availability of fuel, such as low-sulfur coal, natural gas, and enriched uranium used to produce electricity; the cost and availability of purchased power, zero emission credits, renewable energy credits, emission allowances, and natural gas for distribution; and the level and volatility of future market prices for such commodities and credits;
- disruptions in the delivery of fuel, failure of our fuel suppliers to provide adequate quantities or quality of fuel, or lack of adequate inventories of fuel, including nuclear fuel assemblies from the one Nuclear Regulatory Commission-licensed supplier of Ameren Missouri's Callaway Energy Center assemblies;
- the cost and availability of transmission capacity for the energy generated by Ameren Missouri's energy centers or required to satisfy Ameren Missouri's energy sales;
- the effectiveness of our risk management strategies and our use of financial and derivative instruments;
- the ability to obtain sufficient insurance, or in the absence of insurance, the ability to timely recover uninsured losses from our customers;
- the impact of cyberattacks on us or our suppliers, which could, among other things, result in the loss of operational control of energy centers and electric and natural gas transmission and distribution systems and/or the loss of data, such as customer, employee, financial, and operating system information;
- business and economic conditions, which have been affected by, and will be affected by the length and severity of, the COVID-19 pandemic, including the impact of such conditions on interest rates and inflation;
- disruptions of the capital markets, deterioration in credit metrics of Ameren or its affiliates, or other events that may have an adverse effect on the cost or availability of capital, including short-term credit and liquidity;
- the actions of credit rating agencies and the effects of such actions, including any impacts on our credit ratings that may result from the economic conditions of the COVID-19 pandemic;
- the inability of our counterparties to meet their obligations with respect to contracts, credit agreements, and financial instruments, including as they relate to the construction and acquisition of electric and natural gas utility infrastructure and the ability of counterparties to complete projects, which is dependent upon the availability of necessary materials and equipment, including those obligations that are affected by disruptions in the global supply chain caused by the COVID-19 pandemic;
- the impact of weather conditions and other natural phenomena on us and our customers, including the impact of system outages and the level of wind and solar resources;
- the construction, installation, performance, and cost recovery of generation, transmission, and distribution assets;
- the effects of failures of electric generation, electric and natural gas transmission or distribution, or natural gas storage facilities systems and equipment, which could result in unanticipated liabilities or unplanned outages;
- the operation of Ameren Missouri's Callaway Energy Center, including planned and unplanned outages, as well as the ability to recover costs associated with such outages and the impact of such outages on off-system sales and purchased power, among other things;
- Ameren Missouri's ability to recover the remaining investment and decommissioning costs associated with the retirement of an energy center, as well as the ability to earn a return on that remaining investment and those decommissioning costs;
- the impact of current environmental laws and new, more stringent, or changing requirements, including those related to the New Source Review provisions of the Clean Air Act and CO2, other emissions and discharges, cooling water intake structures, coal combustion residuals, energy efficiency, and wildlife protection, that could limit or terminate the operation of certain of Ameren Missouri's energy centers, increase our operating costs or investment requirements, result in an impairment of our assets, cause us to sell our assets, reduce our customers' demand for electricity or natural gas, or otherwise have a negative financial effect;
- the impact of complying with renewable energy standards in Missouri;
- Ameren Missouri's ability to construct and/or acquire wind, solar, and other renewable energy generation facilities, retire energy centers, and implement new or existing customer energy-efficiency programs, including any such construction, acquisition, retirement, or implementation in connection with its Smart Energy Plan, integrated resource plan, or emissions reduction goals, and to recover its cost of investment, related return, and, in the case of customer energy-efficiency programs, any lost margins in a timely manner, which is affected by the ability to obtain all necessary regulatory and project approvals, including certificates of convenience and necessity from the MoPSC or any other required approvals for the addition of renewable resources;
- the availability of federal production and investment tax credits related to renewable energy and Ameren Missouri's ability to use such credits; the cost of wind, solar, and other renewable generation and storage technologies; and our ability to obtain timely interconnection agreements with the MISO or other regional transmission operators at an acceptable cost for each facility;
- advancements in carbon-free generation and storage technologies, and the impact of constructive federal and state energy and economic policies with respect to those technologies;
- labor disputes, work force reductions, changes in future wage and employee benefits costs, including those resulting from changes in discount rates, mortality tables, returns on benefit plan assets, and other assumptions;
- the impact of negative opinions of us or our utility services that our customers, investors, legislators, regulators, or other stakeholders may have or develop, which could result from a variety of factors, including failures in system reliability, failure to implement our
- investment plans or to protect sensitive customer information, increases in rates, negative media coverage, or concerns about ESG practices;
- the impact of adopting new accounting guidance;
- the effects of strategic initiatives, including mergers, acquisitions, and divestitures;
- legal and administrative proceedings;
- the impacts of the Russian invasion of Ukraine, related sanctions imposed by the U.S. and other governments, and any broadening of the conflict, including potential impacts on the cost and availability of fuel, natural gas, enriched uranium, or other commodities, materials, or services, the inability of our counterparties to perform their obligations, disruptions in the capital and credit markets, and other impacts on business and economic conditions, including inflation; and
- acts of sabotage, war, terrorism, or other intentionally disruptive acts.
New factors emerge from time to time, and it is not possible for management to predict all of such factors, nor can it assess the impact of each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained or implied in any forward-looking statement. Given these uncertainties, undue reliance should not be placed on these forward-looking statements. Except to the extent required by the federal securities laws, we undertake no obligation to update or revise publicly any forward-looking statements to reflect new information or future events.
SOURCE Ameren Missouri
For further information: Media: Ameren Missouri Communications, 314.554.2182, email@example.com; Investors: Andrew Kirk, 314.554.3942, firstname.lastname@example.org