Energy Transition in Rural America (May 2022) - Sioux Valley Energy
By Maddie Hansen-Connell
Sioux Valley Energy was our fourth of five stops on Monday. They are a distribution co-op with 28,000 members in eastern South Dakota and southwestern Minnesota. Their service territory had been hit hard with a recent storm, resulting in power outages for 12,000 consumers. Despite the long work hours associated with getting power back to their members, the staff were very generous with their time and welcomed us to the co-op. After hearing we had missed out on the chance to visit the Dairy Barn at SDSU, a few folks from our group made a pit stop to pick up a couple gallon tubs of ice cream to have with Sioux Valley’s custom-ordered “Go Electric!” cookies!
While eating our treats, Deb Biever, Vice President of HR and Member Services, Ben Pierson, Manager of Beneficial Electrification, and Carrie Vugteveen, Vice President of Public Relations, talked about their co-op. Sioux Valley is unique in that it serves both South Dakota and Minnesota members, and it has historically been served by three power suppliers: East River Electric, L&O, and Alliant Energy. Due to aging infrastructure and additional filing requirements in Minnesota, Alliant Energy withdrew from their Minnesota service territory and co-ops took their place. This type of transfer is very rare. Sioux Valley is now in an all requirements contract with East River Electric for South Dakota service and in an all requirements contract with L&O for Minnesota. This results in segregated electricity provision that doesn’t cross state lines. They noted that members in Minnesota and South Dakota previously had different rates because the cost of service can be different, but now they are blended into one rate.
Sioux Valley is also promoting beneficial electrification, which is the application of electricity to end uses that would otherwise use fossil fuels. Beneficial electrification is often discussed with electric vehicles and can lower fuel costs, maintenance costs, and environmental footprints. Ben discussed a number of related programs including voluntary renewable energy credit (REC) purchase programs, community solar, and time-of-use rates. They also have a load control water heater program, selling customers water heaters for only $400 in exchange for being able to turn the water heater on and off for short periods of time. This allows the utility to treat the water heaters like batteries, where they can heat the water at off-peak times, and it will stay warm to use in high-demand times. This allows them to increase their load without needing to increase the infrastructure to serve peak load.
Sioux Valley also does a lot of “buy-and-try” with electric products like snow blowers, lawn mowers, and vehicles. They give honest reviews of the products and allow their members to test them to see if going electric is right for them. In this spirit, I was able to drive both a Nissan Leaf owned by Sioux Valley and a Tesla Model 3 owned by nearby H-D Electric Co-op and will give my honest impressions below.
Tesla Model 3:
Extreme acceleration! They aren’t kidding about the 0-60 in seconds! It was fun to drive.
Very high tech. The car only has one large touch screen, and everything exists on that screen. I am not a tech savvy person, so this was a bit hard for me to adjust to.
Has lane assist and auto drive. It can even pick you up in a parking lot without a driver! To be honest, this stresses me out, but could be fun for others.
Has great charging infrastructure, but minimal servicing locations. Tesla’s uniqueness and corner on the charging infrastructure market means this is the perfect road-tripping EV. The only downside is that dealerships may be farther and fewer in between if it needs to be serviced. However, without regular oil changes needed, servicing is less necessary.
Nissan Leaf:
Great deal if you are looking for an inexpensive EV. Nissan Leafs are the most affordable EV on the market, making EV driving accessible for more people. They also still qualify for federal tax credits, making it an even better deal.
Less high tech. This was much more my speed; there were still buttons for controlling various components outside of the main touch screen.
Good acceleration, but less than the Tesla. This still had good acceleration, but it was not comparable to the Tesla for quick acceleration.
Somewhat more challenging for road trips. Ben mentioned he took the Leaf on a road trip and found range anxiety was real. He noted that while this year and model could fast charge at 50kW, it lacks a thermal management system for its battery system, which can result in slower charging times on road trips with multiple fast charges in a short period of time, especially if temperatures are high. However, I believe that is shifting in newer models.
Both cars:
Use regenerative breaking technology, which takes the energy of slowing down a car and uses it to recharge the car’s battery. It also means that the car stops much more quickly when you take your foot off the pedal. This takes some getting used to, but ultimately makes the car more efficient.
Smooth and fun to drive. Each had their pros and cons, but ultimately would make great cars.
A great way to “Go Electric!”
