Insight on Manufacturing

July 2014

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w w w.in s i g h t o n m f g . c o m July 2014 • /insight on manufacturing | 11 a harder time to achieve it. For instance, I think the state of Washington has one coal-fired power plant, and that plant is already scheduled to retire, so the EPA sees a projected decrease in that state of a fairly large magnitude. We expect costs to go up, because currently we are generating energy at the lowest cost that we can identify, and we're going to have to change that mix of generation. So we expect that the cost will go up for all of our customers, but it's really too early to quantify what those impacts will be at this time. A few months ago, we had announced the expansion of one of our gas-fired facilities here in Wisconsin. Our plans, if they are approved by the state, would be a significant increase in our gas-fired energy generation capability. We have seen some gaps in the assumptions the EPA used in coming up with their projections, things such as assumptions on efficiency improvements that plants can make. We also have questions about how the rule deals with renewable energy that's produced outside the state or outside the country. We've been looking for many years at potentially entering into contracts with Manitoba Hydro for power. We don't know whether or not that type of energy would help us or hurt us, or how it'll be dealt with in the rule. Those kinds of things need to be fleshed out more. We have to learn more from the EPA on how that's going to be dealt with, so it helps us set a path for being in compliance with the rule. WALKER FORGE, Clintonville Rick Recktenwald, president T he electric industry is a primary supplier and one of our largest input manufacturing costs. Obviously, it's a subject better left to the Public Service Commission as it tries to balance the extraordinary number of regulations that impact the cost to the energy consumer. They haven't even c o n t i n u e d > I think companies are going to be searching for, "How do I unshackle myself from things like power costs, where I have little control over it, whether it be through sustainable energy or other factors like biomass facility?" Steve Jenkins, Fond du Lac County Economic Development Corp. president EnginEEring At UW-StoUt UNIVERSITY OF WISCONSIN-STOUT Inspiring Innovation. Learn more at www.uwstout.edu all ENGINEERING PROGRAMS ABEt-EAC accredited B . S . i n C o m p u t e r e n g i n e e r i n g | B . S . i n m a n u fa C t u r i n g e n g i n e e r i n g B . S . i n p l a S t i C S e n g i n e e r i n g | m . S . i n m a n u fa C t u r i n g e n g i n e e r i n g B . S . i n e n g i n e e r i n g t e C h n o l o g y w i t h S i x C o n C e n t r a t i o n S i n : eleCtriCal | faCilitieS | meChaniCal deSign | plaStiCS | produCtion operationS more laBS THAN CLASSROOMS 2x 18 StudentS average laBoratory SeCtionS e n g i n e e r i n g a n d e n g i n e e r i n g t e C h n o l o g y p r o g r a m S

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