Regulators in North Dakota have greenlit a significant energy project, approving a 1,490-MW natural gas-fired power plant, the first new baseload electric output in the state in over four decades. The Bison Generation Station, a $4 billion investment, will be built near Eppling in the northwestern part of the state. This combined-cycle station will feature two 745-MW units, with the first unit expected online in 2029 and the second following in 2030. Basin Electric Power Cooperative officials emphasized that the project will utilize natural gas produced in North Dakota, supporting the state’s oil and gas industry.
Meanwhile, South Dakota utility commissioners are set to consider an application for a smaller, 145-MW gas-fired facility. Missouri River Energy Services (MRES) announced on August 7 that it had applied to the South Dakota Public Utilities Commission for permission to build the $378-million Toronto Power Plant in Deuel County. This project includes four combustion turbine-generators and a new 4.9-mile, 345-kilovolt transmission line. With regulatory approval, construction could begin in spring 2027, with commercial operation expected by the end of 2029.
Terry Wolf, vice president and chief operating officer at MRES, highlighted the strategic importance of the Toronto Power Plant. “As our public power communities continue to grow, along with their energy consumption, we’re taking proactive steps to ensure reliability and affordability,” Wolf said. “The Toronto Power Plant will provide flexible, fast-start generation that complements the needs of the regional grid today, which helps us deliver reliable power to our municipal electric utilities.”
The Bison Generation Station, first announced in January, is one of the largest projects in Basin Electric’s history. Benjamin Hertz, manager of power supply planning for Basin Electric, noted at a June hearing that the utility anticipates higher power use from traditional customers, particularly the oil and gas industry. “Much of this is due to oil and gas related activity in this region,” Hertz said.
Basin Electric has also developed a “Large Load Program” to serve energy-intensive industries like data centers without passing on costs to existing members. Dan Gallagher, vice president of Commercial Operations, explained the program’s benefits: “This program will ensure that stranded asset risk associated with building new resources is mitigated.”
The approval of these projects signals a potential shift in the energy landscape of the region. The Bison Generation Station, in particular, could attract data center operators, given the state’s regulatory acknowledgment of its potential to support such energy-intensive industries. This development may spur further investment in infrastructure and technology to meet growing energy demands.
As these projects move forward, they will likely influence the broader energy sector, particularly in terms of grid reliability, affordability, and the integration of new, large-scale loads. The strategic placement of these plants, leveraging existing infrastructure, could set a precedent for future energy projects in the region. The focus on natural gas, a relatively cleaner fossil fuel, also reflects a broader trend in the energy sector towards reducing emissions while maintaining reliable power supply.