01—Abstract
Summary
Summary of the 8-K filed June 25, 2025. Cited figures are marked; the original filing is the authoritative source.
On June 25, 2025, WEC Energy Group, Inc. filed an 8-K furnishing investor presentation slides (Exhibit 99.1) for upcoming investor meetings and disclosing, under Item 8.01, that Wisconsin Electric Power Company (We Energies) plans to extend the operating lives of Oak Creek Power Plant units 7 and 8.
The units, which were scheduled to retire at the end of 2025, are expected to be available to meet high energy demand periods through the end of 2026. The news release (Exhibit 99.2) attributes the decision to tightened energy supply requirements in the Midwest power market and the need to serve customers reliably, and states that the extension is not expected to delay the more than 6,300 MW of new generation the company is planning, permitting or constructing over the next five years. The accompanying investor update reiterates the company's 2025-2029 capital plan, which it describes as the largest five-year plan in company history at $28.0 billiona, and its long-term outlook, including a projected 6.5% to 7.0% EPS growth.
The presentation lists 2025 EPS guidance with a midpoint of $5.22b per share and a planned coal exit by the end of 2032, with coal used only as backup fuel by the end of 2030. It also notes that the Oak Creek Units 7-8 retirement target of end of 2026 reflects expected tight energy supply conditions in the MISO region.
For investors, the key takeaways are the reaffirmed growth and capital framework, the revised coal retirement timing for Oak Creek Units 7-8 (611 MW per the presentation, 610 MW per the news release), and the continued emphasis on regulated renewable and gas generation investment. The filing contains forward-looking statements subject to the risks described in the company's 2024 Form 10-K.
02—Key points
Key Highlights
- Oak Creek Power Plant Units 7 and 8 retirement extended: operating lives extended to be available for high energy demand periods through the end of 2026, previously scheduled to retire at the end of 2025.
- Stated rationale: tightened energy supply requirements in the Midwest power market and the need for reliable service during the hottest and coldest days of the year.
- Units 7 and 8 have a total capacity of 610 MW according to the news release; the investor presentation lists 611 MW for these units.
- 2025-2029 capital plan described as the largest five-year plan in company history at $28.0 billion, including $9.1 billion for regulated renewables (4,365 MW total).
- Presentation projects premium long-term EPS growth of 6.5% to 7.0%, with 2025 guidance midpoint of $5.22 per share and a 2025 guidance range of $5.17-$5.27.
- Wisconsin Very Large Customer (VLC) tariff filed with the PSCW on March 31, 2025, with a PSCW order required by May 1, 2026 for service starting June 1, 2026; all terms subject to PSCW approval.
- Coal exit target reaffirmed: coal used only as backup fuel by end of 2030 and eliminated as an energy source by end of 2032.
03—Questions
Frequently Asked Questions
Why are Oak Creek Units 7 and 8 being kept open longer?
According to the news release, the decision is based on tightened energy supply requirements in the Midwest power market and the need to serve customers with safe, reliable and affordable energy, especially on the hottest and coldest days of the year. The company said it will continue to evaluate the plant's future based on capacity needs, available generation and what is financially prudent.
Will the extension delay the company's other generation projects?
The news release states that the company is actively planning, permitting or constructing more than 6,300 MW of new generation over the next five years and that the extension of the Oak Creek units is not expected to delay these projects.
What is the outlook for earnings and dividends?
The presentation shows 2025 EPS guidance with a midpoint of $5.22 per share and projects a premium long-term EPS growth of 6.5% to 7.0%. The annualized dividend was raised to $3.57 per share in January, which the presentation describes as the 22nd consecutive year of dividend increases.
What is the scale of the planned capital investment?
The 2025-2029 capital plan is described as the largest five-year plan in company history, totaling $28.0 billion. The presentation projects cash from operations of $18.5 to $19.5 billion over 2025-2029 and incremental debt of $9.5 to $10.0 billion.
Are the Oak Creek retirement changes final?
The filing describes the Oak Creek units 7 and 8 extension as a plan. The presentation also lists the coal retirement target for these units as the end of 2026 and notes that the revised date reflects expected tight energy supply conditions in the MISO region. The filing contains forward-looking statements subject to the risks described in the company's Form 10-K for 2024.
04—Continue