From the CEO's Desk: By Doug Tracy

We’ve all heard the phrase, “Don’t put all your eggs in one basket.” This popular adage is often used in conversation or a story when someone is about to do something foolish or risky. If they heed this advice, they did not commit to “one basket,” but instead hedged their bets with multiple options.

This strategy is how I describe CREC’s common sense approach to the current energy transition. We know that consumer interest in renewable energy continues to grow. We’ve seen this trend here in Missouri.

Recent innovations and advances in renewable energy technologies have led to sharp cost decreases, making renewables more feasible, accessible, and scalable. Over the years, our generation partner, Associated Electric Cooperative, Inc. (AECI) has adjusted our fuel mix by utilizing more renewables, the majority of which are wind and hydropower.

Nationally, there is increasing reliance on renewable energy sources and we’re simultaneously seeing baseload generation plants taken offline, often ahead of schedule. Additionally, we’re seeing more pressure on the electric grid due to the increasing frequency and intensity of severe weather events, and more and more, rising electricity demand.

Competing Pressures
So how do we reconcile these challenges of grid pressure and a changing fuel mix? Solar and wind energy are certainly beneficial for the environment, but they are limited resources because the sun does not always shine, and the wind does not always blow. Our primary responsibility is to provide electricity 24/7 to you and our community. To do this, we need reliable sources of power that will meet all the peaks and valleys of on-demand energy in our connected world.

While the utilization of renewables is increasing, we’re still incorporating other forms of energy in the mix to ensure reliable service. Remember, solar and wind are intermittent power sources. This fact coupled with the growing demand for renewables creates its challenges.

That’s why we spread our eggs into multiple baskets. There is great value in maintaining a diverse mix of fuel sources — baseload generation and renewables to ensure reliability, and resiliency and meet the growing electricity demand.

Reliability also means repairing and replacing utility equipment to prevent wear and tear, ensuring our equipment can withstand severe weather. We are laser-focused on providing our CREC members with reliable, affordable energy. That’s why fuel diversity — or placing our eggs in multiple baskets — is essential to reliability.

The Bottom Line
Lowering the overall carbon footprint in this country means we will electrify more of our economy. Solar and wind power are an important part of a broader energy portfolio, but they are unavailable 24/7. In today’ s ever-connected world, people need power around the clock.

As our nation increasingly depends on electricity to power the economy, CREC and its transmission and generation partner cooperatives are working to anticipate, plan, and respond to market trends and policy shifts. That’s how we can power your home and our economy while continuing to serve as your local energy provider.