Powering Rural Economic Development with Renewables
Article courtesy of RMI.
By Katie Siegnerm, Mark Dyson, & Gabriella Tosado
Despite serving only 13 percent of US electricity load, electric cooperatives loom large in conversations about the US energy system’s past, present, and future. The initial vision for nonprofit electric co-ops dates back to the New Deal, when the Rural Electrification Act of 1936 authorized the creation of co-ops to serve rural areas bypassed by the larger electricity providers of the time. Today, 832 distribution co-ops and 63 generation and transmission (G&T) co-ops still serve the majority of rural America, including more than 90 percent of persistent poverty counties (counties with at least 20 percent of their population living in poverty).
As the energy transition ramps up, bringing the benefits of low-cost renewable energy to more and more places, electric co-ops the opportunity to replace their aging coal fleets with wind and solar projects. This can lower electric bills and drive rural economic development in areas that need it.
“If You Know One Co-op…”
Through several years of engagements with co-op leadership and stakeholders, we have learned that electric co-ops face unique and varied constraints as well as incentives when it comes to decarbonizing their generation mix. Co-ops have lagged other utilities in retiring their coal plants, although a spate of coal retirement announcements and emissions reduction goals set by several prominent G&Ts in the past year indicates they may be closing that gap. A combination of rapidly falling costs for renewable energy and battery storage technologies, state climate policy, and member demand for carbon-free electricity is driving that shift.
Nonetheless, a number of G&T co-ops are continuing to operate aging and increasingly uneconomic coal plants without plans for their retirement. This can be due to the nature of some co-op financing structures as well as regulatory and governance models that muddy the economic signal for retirement. For example, coal plants may have undepreciated value that the G&Ts are seeking to recover, and in some cases, they act as the collateral on G&T debt obligations, making their retirement a risk to lenders.
What’s more, co-ops’ nonprofit status limits their ability to take advantage of existing tax credits for wind and solar development. And G&Ts with a history of asset ownership may be reluctant to shift toward greater shares of third-party-owned generation (e.g., wind and solar projects contracted for through power purchase agreements).
In short, co-ops’ situations and needs are as varied as the geographies they serve — as the saying goes, “if you know one co-op, then you know one co-op.” As such, there hasn’t yet been a silver bullet approach that can overcome the barriers to full co-op participation in the clean energy transition.
Federal Policy Can Support and Speed the Co-op Energy Transition
Policy intervention can smooth the path forward for the cooperative energy transition by allowing G&Ts to retire uneconomic coal and replace their fossil generation with clean energy alternatives. This could spur rural economic development and clean tech asset ownership opportunities while at the same time lowering member electricity bills.
Today, federal policymakers have the opportunity to facilitate a coal-to-clean transition among electric co-ops through investment that incents co-ops to retire their coal assets and replace them with renewable generation. The White House includes funding for transitioning rural co-ops to clean energy in its American Jobs Plan, and additional proposals outline incentives that would be available to co-ops for each kW of coal that they replace with clean energy. These proposals also provide direct support to impacted coal plant and mine communities.
The replacement of rural cooperative coal with wind and solar would yield economic development benefits stemming from the construction and operation of those projects, largely in rural communities. Our analysis shows that the tax revenues, land lease payments, and wages generated by these projects, in addition to their low-cost electricity, have the potential to more than offset any cost of the policy.
Planting Seeds of Opportunity in Co-op Territory
To quantify the benefits that might accrue to rural communities from a policy that facilitates co-op coal retirement and re-investment in clean energy, we developed estimates for the direct local revenues that new wind and solar projects could produce in the states where the coal was retired based on our Seeds of Opportunity report methodology. The analysis uses the capacity expansion model from UC-Berkeley and GridLab’s 2035 Report to estimate the share of wind and solar projects that would be built in a particular state, as well as the report’s state-level capacity factors for wind and solar.
While we assumed full generation replacement with wind and solar, the economic development benefits could vary based on the actual choices co-ops make upon retiring their coal fleets. For instance, the addition of battery storage, transmission assets, energy efficiency projects, and other clean energy technologies that might be needed could yield additional revenue streams and energy bill savings over and above what is captured here.
The coal plants captured in this analysis are at least partially owned by co-ops and extend across 23 states and 33 co-op territories. Arkansas and North Dakota, the two states with the most coal plants (five each) that might take advantage of federal policy incentives to retire, could see $4.8 billion and $4.2 billion, respectively, from replacing their co-op coal generation with new wind and solar projects.
In Ohio, retiring the 1,265 MW Cardinal coal plant could spur over 4,000 MW of wind and solar project development, contributing nearly $2 billion in revenues to the state’s rural economy. Florida’s even larger Seminole coal plant, should it utilize federal policy incentives to retire, could pave the way for 4,400 MW of solar projects that would generate $2.3 billion in economic development to rural parts of the state.
The map and table below illustrate the location of all coal plants with a share of co-op ownership and the new wind and solar capacity that would be needed to offset each plant’s 2019 annual generation. We then show the economic development that these projects would produce over the course of their lifetimes.
Click image for full table as PDF.
We recognize that coal plant retirements raise questions about maintaining the reliability of the local electric grid. The wind and solar replacement capacity modeled here indicates what would be needed to fully replace the annual generation of the retiring coal, but of course, the grid reliability considerations are more complex.
In some cases, the co-op territory or region may have excess capacity on the system, which is a fairly prevalent characteristic of regional grids, as we document in a recent white paper. This makes replacement capacity unnecessary. In other cases, the co-op may need new capacity as well as other grid resources such as flexible demand or storage to maintain system reliability. These solutions will be developed on a co-op-by-co-op basis — what is shown here is the local economic upside that any new renewables capacity would bring.
Co-ops Can Be Renewable Energy Leaders
Co-ops are poised to play a leading role in enabling rural America to reap the benefits of wind and solar development. Federal policy that unlocks this potential is likely to see a strong return on investment in the form of jobs and revenues flowing to rural residents, landowners, and communities.
A $10 billion investment to support co-ops’ energy transition efforts as contemplated in the Biden Administration’s American Jobs Plan would yield just over $50 billion in wind and solar-induced economic development revenues — benefits five times greater than the cost of the policy. Coupled with the lower operating cost of renewable energy and transition support to impacted communities, a modest federal incentive could provide outsized economic benefits to rural communities and position cooperatives to be renewable energy leaders.
Amazon is adding over 200 Mercedes-Benz eActros 600 electric semi trucks to its fleet later this year – its largest-ever order of electric heavy goods vehicles (eHGVs).
Amazon’s new electric semi trucks
These electric trucks will handle high-mileage routes across the UK and Germany, moving trailers between Amazon’s fulfillment centers, sorting centers, and delivery stations.
The new eHGVs are expected to transport more than 350 million packages annually once fully operational.
Amazon is installing 360kW charging stations at key sites capable of powering the 40-tonne trucks from 20-80% in just over an hour. The company is also working with stakeholders to establish external charging locations to support longer routes.
The eActros 600 is Mercedes-Benz Trucks’ flagship electric long-hauler, with a battery capacity of more than 600 kWh and a range of 310 miles (500 km). Production of the eActros 600s recently began at Mercedes-Benz’s factory in Wörth, Germany.
Sustainable delivery across Europe
In the UK, Amazon has begun using the electric rail network for package transport at scale. It’s also rolling out on-foot delivery options in London, with associates using carts that can be restocked from nearby vans. In Germany, Amazon doubled its fleet of Rivian electric delivery vans to over 600, and electric cargo bikes delivered more than 1.5 million packages in Berlin alone last year.
By the end of 2024, Amazon plans to expand its micromobility hubs – locations supporting deliveries by foot and cargo bike – to Germany’s five largest cities and beyond. Across Europe, the company is investing more than €1 billion to further electrify and decarbonize its transportation network.
Amazon’s European network already includes 38 eHGVs, with 50 electric semis recently deployed in California. The company’s fleet of electric delivery vans in Europe has grown to over 3,000 and is expected to surpass 10,000 by the end of 2025. Micromobility hubs have also expanded from 20 cities in 2022 to more than 45 by the end of 2024, including new additions in Belfast, Madrid, Rome, and Vienna.
Electrek’s Take
Amazon says its latest electric semi truck order aligns with The Climate Pledge it announced in 2019, in which the company committed to achieving net zero across its operations by 2040. While The Climate Pledge initiative has garnered praise, it has also faced criticism and skepticism regarding its effectiveness and transparency.
In 2020, Amazon faced allegations of retaliating against employees who spoke out about the company’s environmental policies. The National Labor Relations Board found that Amazon had illegally fired workers who advocated for climate action and better safety measures.
Amazon is also donating $1 million to President-elect Donald Trump’s inaugural fund. Trump is a climate change denier who actively opposes renewables, and not just in the US. Earlier this month Trump demanded that the British government open up the North Sea to fossil fuel drilling and get rid of “windmills.”
Read more: It begins: Mercedes eActros 600 electric semi truck enters production
To limit power outages and make your home more resilient, consider going solar with a battery storage system. In order to find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and you share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –trusted affiliate link*
FTC: We use income earning auto affiliate links. More.
![Check out the new Genesis GV60 interior, it looks even more luxurious in blue [Video]](https://i0.wp.com/electrek.co/wp-content/uploads/sites/3/2025/01/Genesis-new-GV60-interior.jpeg?resize=1200,628&quality=82&strip=all&ssl=1)
If you thought the current GV60 looked pretty inside, wait until you see the updated model. Genesis unveiled the new GV60 earlier this month, its first major redesign since launching in 2021. Here’s our first look at the interior of the new Genesis GV60.
Genesis GV60 interior gets an upgrade in the new model
Genesis launched the GV60 in October 2021 as its first dedicated EV. Less than four years later, the luxury electric SUV is already getting a new look.
The luxury brand unveiled the new GV60 last week for the first time. One of the biggest updates is to the front end.
Although the GV60 is already a sporty-looking EV, the redesigned front bumper with a new 3-D shape takes it up another level. Then, add the signature Genesis Two Line headlamps with Micro Lens Array (MLA) tech, and the refreshed GV60 is a head turner.
The revamped model now features 21″ wheels with a new five-spoke design, complementing its wide, low stance.
Inside, the upgraded GV60 features its new 27″ connected car Integrated Cockpit (ccIC) infotainment system. The design “eliminates the bezel” between the driver display and infotainment screens.
The new Genesis GV60 interior also gains a redesigned three-spoke steering wheel for an even more sporty feel while you’re in the cockpit. Other popular features from the outgoing model, like the Crystal Sphere shift-by-wire system, are still included.
After revealing the updated model for the first time last week, we are already getting a look at the redesigned interior.
A new video from Korea’s HealerTV gives us our first look at the Genesis GV60 interior in a new blue color. Although the reporter initially thought it was a performance model, he noted it was just a new color option. Other added design elements, like the large quilting pattern on the side panels, give it that Bentley or Rolls-Royce feel.
Last week, HealerTV posted a video revealing the first look at the updated Genesis GV60 exterior design. You can see the redesigned front and rear bumpers add to the GV60’s already impressive look.
In the US, the 2025 Genesis GV60 starts at $52,350. A new AWD trim was introduced this year, starting at $55,850.
The current mode gets up to 294 miles driving range, but a bigger battery is expected to push that number closer to 300 miles in the 2025MY. It’s expected to feature the same 84 kWh battery as the updated 2025 IONIQ 5, which provides up to 318 miles range. That’s up from 303 miles in the previous model with a 77.4 kWh battery.
| 2025 Genesis GV60 trim | Range (EPA-est) |
Starting Price* |
| Standard RWD | 294 miles | $52,350 |
| Standard AWD | 264 miles | $55,850 |
| Advanced AWD | 248 miles | $60,900 |
| Performance AWD | 235 miles | $69,900 |
Genesis will launch the updated GV60 in Korea in the first quarter of the year, with overseas markets following shortly after. Check back for more info, including prices and specs, closer to launch.
What do you think about the new GV60 design? Do you like the changes? What would you change? Let us know in the comments below.
Ready to check out the electric luxury SUV for yourself? With the 2025 models here, Genesis is offering clearance prices on the 2024 lineup while they are still in stock. You can use our link to find offers on 2024 and 2025 Genesis GV60 models at a dealer near you today.
FTC: We use income earning auto affiliate links. More.
-
Sports2 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports9 months agoStory injured on diving stop, exits Red Sox game
-
Sports1 year agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports3 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike
-
Business2 years agoBank of England’s extraordinary response to government policy is almost unthinkable | Ed Conway