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NEWS > CURRENT NEWS

MidAmerican Energy Reaches Settlement With Sierra Club

For more information, contact:

Ann Thelen, Communications and Media Relations, at 515-281-2785

Tina Potthoff, Media Relations Manager, at 515-281-2585

DES MOINES, Iowa – (Jan. 22, 2013) – MidAmerican Energy Company has reached a

settlement agreement with the Sierra Club to continue to build on its already strong

environmental performance and promote renewable energy in its service territory.

Several years ago, MidAmerican Energy implemented a plan to install environmental

improvements – such as completing installation of scrubbers and baghouses at its Louisa

Generating Station and Walter Scott, Jr. Energy Center Unit 3, while starting new projects

to install scrubbers and baghouses at its Neal Energy Center Units 3 and 4 – which

aligned with existing and anticipated requirements by the U.S. Environmental Protection

Agency and well positions the plants to operate long into the future to provide energy for

customers. Under the settlement agreement, MidAmerican Energy will add to its

programs to educate customers about renewable energy and its core value of

environmental respect.

MidAmerican Energy demonstrates environmental respect by proactively engaging in

emissions reduction projects and advancing renewable energy projects and has become

one of the largest rate-regulated utility owners of renewable generation in the U.S. Prior

to the Sierra Club’s notice of intent to sue, MidAmerican Energy had completed major

emissions control projects at its generating facilities in 2007 and 2009 and is currently

engaged in additional projects to reduce emissions of sulfur dioxide, nitrogen oxides and

particulate matter at its generating facilities, with project completion dates later this year

and next year.

In July 2012, MidAmerican Energy received a notice of intent to sue from the Sierra Club,

alleging violations of certain provisions of the Clean Air Act at MidAmerican Energy’s Neal

Energy Center North, located in Sergeant Bluff, Iowa; Riverside Generating Station,

located in Bettendorf, Iowa; and Walter Scott, Jr. Energy Center, located in Council

Bluffs, Iowa. MidAmerican Energy is one of a number of utilities across the U.S. that have

received such a notice from the Sierra Club.

MidAmerican Energy has been and remains in compliance with the law. MidAmerican

Energy consistently and fully reports its environmental performance to the Iowa

Department of Natural Resources, which reviews the reports and determines whether it is

appropriate to pursue enforcement against MidAmerican Energy’s plants. The Iowa DNR

has not pursued enforcement against any of MidAmerican Energy’s plants.

MidAmerican Energy entered into settlement discussions as a means to avoid costs to its

customers, unnecessary delays, and ongoing uncertainty associated with litigation.

Settlement negotiations resulted in a consent decree, which was filed with the U.S.

District Court in Iowa. Regardless of the consent decree, MidAmerican Energy will

continue to comply with all environmental regulations, including the following actions,

which also are listed as commitments in the consent decree:

By Dec. 31, 2014, MidAmerican Energy will complete installation of

baghouses at Neal Energy Center Units 3 and 4. This work is already

underway and was in progress prior to the notice of intent to sue.

By April 16, 2016, MidAmerican Energy will cease burning solid fuel (i.e.,

coal) at Neal Energy Center Boilers 1 and 2 (total of 418 megawatts); Walter

Scott, Jr. Energy Center Boilers 1 and 2 (total of 118.2 megawatts); and is

evaluating the use of other fuels, such as natural gas, for continued

operations of these facilities. MidAmerican Energy also will cease burning

solid fuel at Riverside Generating Station (total of 137.4 megawatts) and will
6/13/2014 MidAmerican News Room

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continue to operate this facility using natural gas.

MidAmerican Energy also will fund and implement a supplemental environmental project

and is working with Iowa State Fair officials on the possible installation of a 60-kilowatt

solar project at the Iowa State fairgrounds. The project would include a public display

that shows the energy system output and provides information about distributed solar

generation, related federal and state tax credits, and net metering tariffs. The project

would be in addition to the demonstration array MidAmerican Energy installed at its

visitors center in 2011.

MidAmerican Energy Company, Iowa’s largest energy company, provides electric service

to 732,000 customers and natural gas service to 714,000 customers in Iowa, Illinois,

Nebraska and South Dakota. It is headquartered in Des Moines, Iowa. Information about

MidAmerican Energy is available on the company’s website, Twitter, Facebook and

YouTube pages, which can be accessed via www.midamericanenergy.com.