WEC - Earnings call transcript Q1 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, good afternoon, and welcome to WEC Energy Group's Conference Call for First Quarter 2024 Results. This call is being recorded for rebroadcast. After the presentation, the conference will be open to analysts for questions and answers. In conjunction with this call, a package of detailed financial information is posted at wecenergygroup.com. A replay will be available approximately 2 hours after the conclusion of this call.

are begins, than that statements historical risks uncertainties call the statements that conference at and other change presentation, facts that the please all note in involve any Before time. to subject are forward-looking at based are expectations time they Such statements management's the are on made.

could in reports and WEC to latest Energy the to Form other actual filed statements, Securities the cause XX-K factors and addition with differ Commission factors those subsequent with to Group's Exchange the In contemplated. referred and materially assumptions connection results described in from

will During unless the discussions, be it introduce referenced based And of noted. Executive diluted earnings is share, per WEC per Klappa, pleasure Group. to share Gale earnings now my on otherwise Chairman Energy

Gale Klappa

[indiscernible]. us afternoon, for results Good review our you Thank today the we the first of joining for everyone. Live quarter XXXX. as from

of to here like the with introduce today. I'd me are First, management members team who our

and Chief Investor Senior Scott Communications Executive; and Officer; Relations. Chief Lauber, our President Corporate Vice Financial and We have President of Liu, Beth Xia our Straka,

operating remain satisfaction Now another on our guidance we year winter this first in reported with in XXXX. we results the of line news history, deliver share. XXXX from our and for earnings Wisconsin we're we as confident morning, quarter $X.XX discipline, warmest customer release financial a you efficiency can saw and Throughout laser-focused that of strong

in with totaling a progress share We're weather for start full sustainability history, It's As a our forward the as $X.XX now. forward. Switching reminder, we're investment range largest for going and X-year plan. a off billion gears to guiding to This, ESG strong plan the $X.XX assumes always our of a moving efficiency, $XX.X year. growth. to course, normal of

more plan the demand In past Commission As is region. risk with $X highly that are meet that weeks and on customer billion across executable. to low needed the projects few alone, the Wisconsin filed than of based we've projects we are the discussed,

[ ] Infrastructure In addition, a purchase we the WEC It to project. X Delila [ XX% ago, we segment. just in solar XXX-megawatt in Delila Texas. is ownership Northeast plan announced a that addition solar next few days be will our to the park a interest ]

close to ] the to Flats produce. Maple $XXX Solar of XX%. Center also the we goes under and an Fortune that's in of into Northeast ownership [ company with our beginning has the an a Texas. plan expected we that's increase investment end XX% part in Flats end Delala the this is the [ should reminder, expect as of of will energy the The all Delala development Samson for to an million We of just the it with Central South ] in purchased Maple project Illinois. XXX now interest in It in Samson project Energy on the from offtake be currently And additional agreement by development by the Solar when year. a June. Since year, project, service, And XX% service and

[ we'll Delila Infrastructure increase of Maple in an and Samson with be ] up, it with our segment. Flats, million sum $XXX to So in year additional the this investing ownership

a even plan long million And Wisconsin reallocating a over to in below The regional to in annual long-running of that range the stronger electric each project X% carbon Illinois from growth projects total plan the turning operations business. our way our show we're projects economy. And on these These XXXX a at achieving away X compound financial we of the in strict through unemployment building recall, our regulated be clearly the goal. continuing blocks X% high-quality rate our capital toward national meets you our fully As X-year in supports long-term $XXX growth XXXX. of basis. And which the our a rate trend average earnings criteria. Overall, average. period X.X% go now to stands

In example more particularly a great than activity just sign new working the fact, of corridor. To in we're any and record a potential time growth a history that other and the the includes the record economic of Wisconsin people jobs. state ] give what [ region. the in you new at seeing, for folks reached number employment, call we recently in I-XX the one for of That's construction

Pharmaceutical neighborhood. in production to a The full Lilly center of [ massive our speaking These facility, is for Microsoft a giant new south high-speed Milwaukee. weeks by welcome is [ on purchasing growth, components Just And that the the I-XX moving networks form ahead are of a we Internet few began facility I-XX Eli ] line in corridor ago, rolling broadband in ] data state-of-the-art help electronic corridor. Corporation. the service. And want of components fiber speed assembly construction complex used at a again, Sanmina developed the backbone off the to

weeks, fact, plans in to in few for Milwaukee its next In the area investments the is new here event planning an discuss Microsoft in Wisconsin.

our stronger broadly regulatory that, to looking on the the you plan than our landscape, across can And I past number tell Scott with of turn locating the Scott, capital highlights. the at expanding over X our the prospects in any for call X all region calendar, more at that Milwaukee operational and time yours. specifics tuned. And I'll stay decades. in literally or is looking So

Scott Lauber

on some and Gale. front. with April you, years updates like reviews filed regulatory start Wisconsin, Thank on the In we to XXXX rate new XX. test I'd XXXX for

addressing on focus of need. areas request X Our major

economic reducing natural and complying by and investments lastly, projects; mission from new growth activity; creation new outages through generation, the in from and continuing Wisconsin's coal increased renewables EPA and generation transition storm distribution supporting and second, job gas. with the reliability improving rules First,

Wisconsin Commission by our business. the for the the to with XXXX. significant year support we generation rates expect of developments submitted January the X, to We decision end filings new month, Last electric effective

gas include X natural of projects generation. Our sources new proposed

well proposing The plant investment expected first combustion X,XXX is Oak is approval support to for $X.X at construct billion. To we a modern gas as facility reliability, Creek, expected at storage cubic to and The gas investment of turbines system. This the firm billion Creek units ] for would we're existing [ approximately the provide have a new approximately site. with $XXX build support of megawatts to our that that distribution liquefied capacity site feet share units would help sipulcycle investment million. Oak natural our generation, gas of Oak an reliability lateral of a a our to Creek store gas. request generation our as planned This to And X those [ facility to million. are Power to to XX-mile with natural proposing ] Future natural power lateral we the both are $XXX converting

or add units. of combustion In state-of-the-art reciprocating engines, them, addition, megawatts race requested using we to we XXX generation internal as call approval

Generation We expect approximately $XXX to our million invest Station. in near project Paris that

AFUDC As investments the expected to period. earn a these construction during reminder, are

time. by smaller last we're investments Illinois. safety. These in Michigan primarily developments also Upper We applications rate engaged And progress in dockets reliability capital quarter our reviews this Resources. are There utilities. have our you driven and are at X actively Energy in discussion and Gas X recall the our Michigan Utilities on supporting at recent Michigan

safety commission request to restore to a Illinois program progress focused on like we This $XXX final underway, now and us expect rehearing the in driven X. the a mostly work, work First, Commission granted entities modernization Chicago. in for that the receive and of emergency work public limited to was by million June limited XXXX. relates order This City the rehearing is by

The safety the are other of is involved. gas modernization Illinois. a program review and are span other outstanding an and One year, evaluation the to actively a future X is at of full dockets the expected of least in we

we'll course, further updated keep any Of developments. on you

good making our support projects turning capital of and affordable, a number regulated Now of in to energy. progress on plan. clean reliable We're

LNG purchase Wisconsin is weather of here of be during X Energy additional in we the the Zona additional necessary Wisconsin. capacity Center. megawatts this storage events of at Also, Our West Commission extreme will has facility XXX in now Riverside see approved our storage Bcf service,

business million same our less the to older, phase We coal the to efforts invest add electric out quarter. At efficient second this continuing generation. the approximately expect we're $XXX in to time, capacity to

report power plant we're Creek fact, our on happy gas These later to emissions. and that the track to In retire X support this year. Oak of I'm our It's busy month. strong changes reduce Unit to and greenhouse X start a to goals

focus highly things and executable, and to business. continue our the to we I'll is turn With fundamentals capital that, Gale. of on Our back plan robust

Gale Klappa

you very thank much. Scott,

XX% that X%. and our quarterly This Directors Now as reward of at to in its gentlemen, January consistent XXst consecutive shareholders future. will bright, the may year with The earnings dividend higher delivering Board our dividends. meeting confidence cash sustainable our of ladies out our XX% marks, our by is recall, of dividends in company raised policy with a our increase you and underscores paying

up, quarter on the and #X. our with financial Q for will Next guidance Xia us more results provide our details Xia? for

Liu Xia

Gale. you, Thank

Xst $X.XX quarter $X.XX increased of earnings share per XXXX quarter first XXXX. Our share of compared per the to

I'll first walk of with package XX. significant on our quarter utility Our operations. a Page through includes earnings the results comparison drivers. Starting

estimated first Weather $X.XX the earnings impact an negative were XXXX. Our higher quarter-over-quarter. $X.XX of had to compared quarter

interest with fuel warmest milder in day-to-day and of expense a earlier, along O&M the higher were than noted The quarter-over-quarter. increase amortization, was As was winter $X.XX more the this offset expense past variances. Timing and positive from following Wisconsin by $X.XX depreciation history. expense weather,

in Wisconsin, I and under-recovered of driver the to Michigan. One to QX and at at Gas, note, rate base first rate revenues quarters the from an Our changes a compared the is significant the Peoples end base includes Illinois when rate last even our more the year-end This was position usage is concentrated this this for call, increases shift quarter-over-quarter. as with positive $X.XX the end earnings at natural contributed the growth mentioned fourth gas and position And year, thing a year. earnings fuel highest in design quarter. to are recovery QX of on

QX opposite QX. Looking ahead, shift we'll and see the in

briefly earnings Other to segment, let me turn sales. our discuss weather I at Before normal the

Page You can of information on the sales earnings X our find package.

mild were and in overall our While and flat with gas both line deliveries weather was electric our relatively forecast. historically the quarter, weather-normal in

of forecast. are ahead commercial However, on and industrial electric the our segments side, small residential currently and

the and Energy increased in quarter-over-quarter 'XX. XXXX. at renewable credits our generation Infrastructure Samsung $X.XX higher February Production 'XX quarter which first Now to segment, compared both acquired at from quarter of of resulting Sky the in production were were our Sapphire of tax first earnings projects,

rest timing Corporate XX our of reaffirming the per as earnings closing, initiatives. you'll see the by share, mild Finally, weather earnings of $X.XX first and normal impact, that offset $X.XX, of rose we To Gale we're guidance at Other primarily quarter to are variety the implementing year. earlier, segment weather tax. In of our driven assuming mentioned for $X.XX a

X% For year. come of day-to-day half expected example, now be The versus of to of in we expectation lion's reduction the to to previous expect 'XX second O&M 'XX our than higher X% share to our X% higher. is the X% the

For $X.XX for the a weather This second accounts weather quarter, normal share. of we're for the of assumes per $X.XX quarter. to expecting rest and range April the

$X.XX share earned quarter we last the reminder, per a year. second in As

the While With expect it lower, combine of Gale. to ahead if to back 'XX. and of to turn we I'll the that, be range first guidance QX $X.XX QX actual is QX you $X.XX guidance, quarter

Gale Klappa

that covered today here a hosting Great. marks of the and some at In now progress. analyst a years And in starting had final history did the the then of I've We Thank past note. privilege time of ton call, an morning. continuing back WEC. day through at you, lot we've X XX a math Brand quick and the Together, XXth Xia. this

truly I you a analysis for and and your on that, your us And that questions to can I'm that sustain a thoughtful matters. have helped premier thorough company grateful. build tell mission

of Going it's ready ready, forward Xia, question-and-answer be you'll on operator, are now calls, from for these portion call. the their And they Scott the we're and time and hearing shine. to

Operator

Instructions]. Shar we And Partners. question with our take will Pourreza from first [Operator Guggenheim

James Kennedy

you? are How Shar. for on James actually It's

Gale Klappa

Terrific. he in somewhere? you with Shar? Is done a What have closet

James Kennedy

that's on busy The hold traveling always the going him. as got to storm a He's ever, I road mean, nature and only him. got it's a him. of to weather as force

Gale Klappa

That's true.

James Kennedy

to to up $XXX the put where current equity rate plan added basis be. equity Wisconsin -- X-year see layers? there first points? equity or XX XX.X% current above your to levels basis plan points current incremental the equity the we indicate So asking for that true utility you're to the XX you those was Could being cases, of current utilities your In in true-up million

Gale Klappa

thinking I'm Shar. no, is Shar Xia, answer short of somewhere. ahead. in the go think I a closet

Liu Xia

If at hope filed XX.X%. haven't the we equity. we mean, We we'll the changed right I for plan. case, now, receive equity But the look that's XX.X%. to

James Kennedy

possibility, no plan, included what There's is but just change to it's it, I were not already you get really guess, clarify. the if there's now, you the in

Gale Klappa

No, we an in -- this even model in I stage increase in at but equity of I after necessarily or wouldn't beyond that. game model the wouldn't

Scott Lauber

details right And it regulatory when Yes. when at and now, and same I the the the look at the of filing at of at help? as look think look -- you you got to is it and look you the about you ratio, the it's regulatory ratios. this year, Did the our filing and details financial that

James Kennedy

as you settlements also even more had. up didn't on rate then last cases. those cases hold though the prior in that And the of Absolutely. In filed, quite your set cases, Wisconsin negotiated one

precedent, in office, are any, And of kind that's and settlement, got. new should the these think in some that potential we Wisconsin think also how if of settlements have but you we and about in commissioners timing And that maybe cases? I slate all a should of for pushes how about Given a today? what takes

Gale Klappa

a of thoughts and your Well, settlements good. on couple questions about Very timing.

very open think that and all, of Somerton to ] that has I settlement. stated chair First the open discussions of [ would new she's current our be publicly certainly input stakeholder on to a commission

for And maybe on essentially, really And terms for case, thorough expect the open probably? would I discussions staff complete. historically, staff think mid is time the timing summer, when audit out the you appropriate the particular and in best Scott, So itself, to after is candid negotiations time. come at then comes of the door this audit

Scott Lauber

of end of the end summer, Near at summer. the

Gale Klappa

And December of not course, in statutorily the until required a case. final decision is

of stakeholders hope commission window So there's appropriate for the all helps. to and deliberations together. the get time between audit staff the I that a

James Kennedy

It your endeavors. future in does. I of luck appreciate it. Best

Operator

question from with Wolfe will Research. our We next take Steve Fleishman

Steven Fleishman

finally, I the them. or transcript read day I to appreciate calls, probably all came. which Well, listen Well, of all of XX either the those of

So going the some away answering not best. you to you but I'm get questions. without wish let But

else already potentially the announcement expansion coming potential? their you -- they're about just how you we -- little about? you I And of kind it sure basically might are right they announcements, you up for color just margin looking talking there what how kind kind think margins do you Is maybe but So been and of you think brought that Microsoft about the both be -- -- standpoint, CapEx kind could we give just all that at of you're just there's of a making are soon just more an -- guess build-out and the at. kind is should And are from a how the supplier of supply electricity? tariff the doing of are

Gale Klappa

yes, will supplier as Wisconsin for we site their city. is miles of XX your that energy Terrific. question, Microsoft second the Yes. need all, question, of be the inside I at our will which, all first of Technology know, Steve. Park, answer mean, to about Great you headquarter south the

In terms is early what's that whole technology changed, in I the of ] what's to process property Foxconn on in [ mean, park. adjacent of Wisconsin developing area Microsoft acquired different? that XXX here in acres their

capital add developed. we XX acres generation active, active X-year and it's first site the current right is to quickly. now. on see there is XXX our XX the that you plan built active built like to what construction what to it's expect being Microsoft are has got need cranes So I But being to in is serve the essentially incredibly

about of thinking as has that kind with the phase we're acreage. ongoing now acquired pending first substantial discussions additional Microsoft Microsoft because So

I In technology fact, their more development. working plans have folks hear weeks. And think for broader here on And as next X,XXX that develop our they clearly every park. with and that control of plan week single hard they're the we'll for acres in on Wisconsin rest discussions from now the few very Microsoft in they their

their we planning discussions, we're responds, encouraging. I ours weekly I sure hope mean, that folks that and are serving very are make to their Steve. literally, in technical how And helps. So needs? Hope

Steven Fleishman

great. that's No, Yes.

Just just the your is remind XXX to the you -- that? serve acres, basically plan much can just me investment how capital first for to make in

Gale Klappa

Yes. Essentially, there's other as we've there's significant as talked area other that well. in about, economic growth

This is So Eli in what what ground. about megawatts from the capital others, to [ in This seeing growth. meet see knew and future ground, plan. X,XXX November, not on ] from what economic we plan, the for -- actually we're now dispatchable the back from see we to Herb], we Lilly on the we Microsoft capacity is speculation from [ what of added

Steven Fleishman

the of Okay. on And late on other disappointing, staff then last seemed but just year -- obviously, question Illinois. The one kind order rehearing okay.

I commission pushback is that the the the So on -- just be on how feeling looking a labor work likely state on of capital that is there. at just reductions. reasonable guess, impact the more importantly, been will for lot there's things any maybe And just business? your making And

Gale Klappa

that Steve, Scott From I'll taken on view Well, a this give well. ask his would position. my intervener to observation, every I has say as

say, particular is least have suggested staff to the the to asked this work going allowed on decision. a rehearing be continue. this make that all we continuing of commission work is time our and the first that amount of the to have that supportive of recovered. As some be you Virtually to at is continued intervenors But

tell, will believe long, at have looking we're Scott, May. I of So the we to time end but wait probably won't

Scott Lauber

of end of future of a reliability the is that forefront. safety reliability the June by I those know May, here their something hear should we the in cases, that we at And about here. natural -- too. lot gas and And decision they talk hear early on and should on safety it part Yes,

we'll So happens. looking forward see but to a good what decision,

Gale Klappa

there's element it my that that, here of relates that gut system me practicality practicality, And an stays tells Steve, as safe. to making just Midwest sure

Operator

Neil our We will Fargo Kalton question Securities. next take with from Wells

Neil Kalton

going your to during ] going X:XX I'm the using well. miss -- going your central really I'm [ We're voice [indiscernible] at afternoon in doing miss to forward.

Gale Klappa

I'll courtside a listen can Thanks, want you put still on in And to just anytime plug, demand. with bucks the you Neil.

Neil Kalton

Absolutely. Absolutely.

earlier Basically, that's the generation point the some on X,XXX like? anyway, I following trying be additional new what time, At see at your would what requirements question on looking there you activity that what come look for I'm a of you're understand on, the a So ground. or would will is get to megawatts. kind -- would adding just be were like we the of lot on about And conversation generation new could what to in what seems if that that online? reserve that to serve ability happen. at margins your there's of

Gale Klappa

Well, that the us we expected reserve call Basically, we in took the based on margin. November. be X-year we're have that out the X-year balanced when requirements demand rolled MISO]. by plan to we the [ what meeting [ a together, ] XX remember, plan forecast and had to we to accredited -- put capacity the

projects in, view, -- any which to and going to line think which you next So few is that's as we months, seeing, But Scott? development the if economic here then and to we I from we're more. from see, the -- I mean we going ask view build at we'll in mean, I roll think additional forward my for have his. line give Scott bottom bottom the my least

Scott Lauber

exactly Gale. You're correct,

size margins, we As reserve required to Midwest plan seasonal it, with the operator look that's at and looking here. at from required the we continue did the capacity our

load, make available. additional we So need have some will we generation sure capacity that to any

Gale Klappa

There'll So the stay in update be a fall. coming tuned. new

Operator

with We Chopra will our next take question Evercore from Durgesh ISI.

Durgesh Chopra

like well. Neil voice said, you. to just I'm as going to hearing Gale, luck miss your Good

Gale Klappa

XXers? are you, it. you for Thank pulling Appreciate the Durgesh. And

Durgesh Chopra

Philly for every am team. I

Gale Klappa

Terrific.

Durgesh Chopra

to to approvals the cycle, do do just to you listen, deployment fast guess, of just of kind which the at I is the blocks sort need or kind -- milestones the you pace something check active so versus center team's of how that all you Gale, and to I'm conversations perspective, your occur? they're construction generation your perspective get the you? alluded building thinking about projected that that there. about sort getting from So and Is concerns your you of the road data worry the

Gale Klappa

of Just time referring in takes Is what terms of amount to approvals. that it the you're get to, Durgesh?

Durgesh Chopra

Yes.

distribution assets whatever time and approvals of you the the Just the line need, hyperscalers. these expedited generation, just

Gale Klappa

And bucket availability key have as it and give equipment. question. that there fortunate of Good particularly would should of I of that into is kind well. break Yes. we're first of equipment needed. of a his And be transmission I down pieces of and you in for Scott would And key X obviously view buckets. -- the will we -- -- distribution orders already number placed the some kind

approval. Secondly, certain very positively distribution this to park, particular of a have transmission so and assets do year we're to technology allowed build assets in take not that

that's the of generation. here what's Microsoft So Wisconsin the can to take And and here And the just say approval. get we will to state basically that be to already very the staff governor this, and what would speed successful a in call will other really the approval up aware commissioners year. I Wisconsin are do here. for them the build think himself CPCN, help need promised the necessary I be underway. piece CPCN to the has The in then regulatory

And serve stock all clearly, the But and right be clearly, very sure support [ Foxconn], the lot but good folks of well. start. strong So think of [ off not now, only ] Microsoft there. backdrop make here regulatory the to Scott? I will we the meet be need that there's is we're But to a I this to mean, work major. a and done. really

Scott Lauber

Oak other lot Creek already. assets. done Gale. key think the site of selection part we the And agree, at a our filings for significant I have I And we've is the of the a site

which got good. are quickly. things we place orders in ahead is moving a process placed, the very in But really, So

Gale Klappa

Yes. had Scott a generation years. Creek about making literally the good is mean a for I last power actually selection. we've Oak at point site very campus XX

We have property buffer there.

We turbines a that X,XXX the of about that be that earlier. The that of easily responds, particularly will turbines addition will next need that house, megawatts an assets we to have. have part of property I combustion Scott the talked combustion important hope Durgesh.

Durgesh Chopra

is settle a with the I very Maybe or the limited quickly appreciate on I is Illinois, potential parties potentially very, Part there follow [indiscernible] there? it it rehearing. have X all those That Part spend color for Is Or number, can B? helpful. XXX? can there. sort the just A Does up Can a in and be of to which be you between?

Gale Klappa

spend from in or it's There's to or number number No, it for is this in judgment It's avenue a not if binary a XXX. not be really limited XXX will. any can But between. thing. in no commissioners X settlement. you can really rehearing The between. on use right, process, you're There anywhere X

Operator

Davenport Sachs. We with Carly will take next our question Goldman from

Gale Klappa

on Carly, old to the one. in have enough you're you not the calls, but first appreciate calling of XX we this heard

Carly Davenport

opportunities, you how it. in that quarter, the for I for growth? about load C&I of else really on as think inflection to just that economic just you flag this the of just walked the I development in glad anything made electric load customers some some the larger I'm for weather but sales you think wanted quarter, an impacts, there? then through ask the And these start, to We particularly timing about that driving of some it time. just appreciate you Maybe

Gale Klappa

already we important we've about give QX the got and ask couple you, she's Xia to activity here. details, saw particularly large will Well, very industrial -- a good that we of in

just things. me Let X say quick

as as it weather a weather bit normal was that I grain numbers all, of of sales a you as with was, take would far of salt. the mild is actual the normal and from First suggest

X.X, deviations but heard you don't when from of away normalization well our Some our norm. standard forever, industry X in used get you weather bear this me techniques are that say up just

for So accurate. read is normal more our precise numbers weather QX on than

some we've XXXX. Secondly, a probably of in we've you projections annual already shown, shown starting energy of saw, nice we've plans, as already as in through uptick gone sales our

number past to we the hour terms basically, that X.X% XXXX. I'm in the on plan updated you'll X.X%, seems in to I normally up for from then else You were we the to kilowatt together, X% in that sales. occurring do ground. the that post last based see November gets annual terms We remember, guessing specifics as that the in been moved growing seeing last grow starting of everything Xia? we when mean plan We in of have of X.X% moved we here or on And up fall. on fall. decade everything put just when at be QX that terms so industrial,

Liu Xia

Yes.

if hard you minus so X.X%, our the But specifics. looked pretty QX, on -- on So was which sales we was behind to your point, forecast. Carly, weather normal electric the LC&I

in that expanded presence of in very region. a bigger in So the one a of sector. the much And transition concentrated primary is it metal, them in other underperformance of couple into paper really -- the the process the was one a turned out in customers, actually

them. was So of a period kind QX for transition

So just that's timing. really

been excluded sales higher you If would QX X.X% those LC&I last customers, compared to year. have

worried not the we're about sales So LC&I trend.

Carly Davenport

That's one super Maybe helpful. squeeze I if more in. just could

going cases needs You expect impact rules rules or some the of the views the capital Wisconsin rate gas on capacity filed. forward new to with there additions that? those just spend in I in EPA associated have any do guess, on new the terms referenced you

Gale Klappa

a the And They've weeks, right done we're say job in Scott, out a come shout based our to good folks. on answer last a of short And No, that's rules. is it's EPA great to generation real new compared we've seen what and question. no, I environmental will couple track. the we And everything out filed. of the on planning anticipating

Scott Lauber

and filed lines we or the we in rules just X-year came EPA plan plan that out plan have our our in finalized. No, right up that with the line

happy come very that I'm see to together. So

Operator

our Anthony take from next Mizuho. will with we Crowdell And question

Gale Klappa

Anthony, Greetings, how are you?

Anthony Crowdell

best and luck the closet of and to best luck congratulations also. of Shar in Good

I just the the entire if I reserve answered back. and they So apologize talked all I service and reserve Neil have now you about get if and in great around. large also territory margin news generations need to in, up question, Steve's guess it, margin adequate an you a and comes that guess eat hyperscale that center you data

the of cost up moving Just margin, for the the allocation of maybe and now center this reserve does back on jurisdiction there of data building eating reserve up rest cost the that in margin? bear the

Gale Klappa

we the be because question glad about that. No. very actually asked And very, clear should I'm you

generation amount. small a for be pay that of what all, Microsoft be little the and bit essentially of said specific real-time pay to pass-through many share will on have a will have components. customers that a has a basically, that will will that's will as There It we distribution, capacity pay And of of and the large fair them. many, industrial working on a pricing. fair want several for for have needed. They they will our Energy their call have to them is for component time generation First for we're share. time will investment their they'll they pay but it to rate have that distribution serves and we again

a And customers. we're rate. doing we're on not of other components what so hugely working not hugely -- it's specific from very industrial essentially, for large dissimilar Scott, It's

Scott Lauber

pay said, want fair eating characterize their laying we're like plan them margins. to that, they it into reserve Now share. a for it's I as -- out wouldn't Gale

support builders of Some this that.

some again, here. we at at have appropriate always plan we drove that's look economic the this our reserve make the we margin So and sure development. of generation look Once and what

everybody all here. So additive ate just anything. into they I for don't It's think

Gale Klappa

then, growth, that substantial when you Because it a well Anthony, sales. sales have hour additional base your you And those is you've because costs around broader to of kilowatt long as been know kilowatt much hour time, customer actually a helpful spreads over base.

starting this, to our well That's 'XX. that to overall we're as going So we to annual remember there's in in projecting base. kilowatt X% customer be also that sales increase X.X% our as helpful way also work through hour

Anthony Crowdell

think maybe of the pushback earlier one from leverage you group. I same? they've past. maybe of or I'll question follow-up. in same more sway wondering, in there. still just Got had leave it. but about is I believe And same the it some right do term, don't Illinois labor know has could the you labor the political then And years just the Do it's I'm kind the Steve's just maybe if that

Gale Klappa

continue hard in I are modernization it's will about But us the say very program. they to Anthony, strong believe, to have, a or other. for I safety mean, has one this, will continue passionate the to way and Illinois, voice labor tell. need the I and incrementally

Anthony Crowdell

Great. congratulations. Thanks again, again. And

Gale Klappa

Right. Thank Anthony. Appreciate much, it very you.

You take care.

Operator

next Associates. And question we Patterson will our from Paul take with Glenrock

Paul Patterson

Congratulations.

So I my of guess question gas. future the is

early to You any procedurally, it's up brought And know be but kind in Illinois? I wrapped that as of sense it up. when might

Gale Klappa

and scoping What time. is call really going A a months right long started of on now a is ago phase. what would couple they

that subjects should sub they're or to almost the going the get subject different identify discussion matters forward. all on from sub meetings weekly have stakeholders broad So having and all input broad

So going the take think, to I scoping itself, until is mid-summer.

is a guess you year. when Scott? At do Our think, least probably

Scott Lauber

the the have go really this. to is is that through come year of to everybody's things doing that, built the it the and they supposed the sure to about voice -- to it. going ICC end another August, policy that the It's may one they making after is though hear be Yes. But of investigation then of and scoping in out will

and people get So on a circumstances issues lot to the they're different good getting the table. involved of all

be to a here. real process trying they're So robust

Gale Klappa

environmental a did scoping yesterday place process. Paul or the a have on that and record be accurate would But that and to there practical, day in groups one role transition very I both the long a did was of long say play encouraging. groups the taking one stakeholders would of natural gas significant that thought the time, again, and environmental multiple believe of which notice, I they before for period

Paul Patterson

that really investment guess, going it Yes. idea If business? that doesn't you of -- the would in safety-oriented. assume your And on so your impact probably CapEx I also considering really current the much doesn't this follow? is that I is

Gale Klappa

I that's accurate, Yes. Paul. Yes. think -- reasonably reasonably that's

Paul Patterson

and longer about or how role a of of you're what this been are sort about a this how enhanced be -- the lot then deployment do wondering commissioner impact thinking as your guys as leader an business? thinking about term things And officials might as was it it we've I for might sort of as industry of technologies. Okay. just about grid of you the you recently see lot not one that about just are seeing the guys you just enhancement this -- playing talking guys in And a industry being how

Gale Klappa

you and probably sense well, Paul, but do Well, maybe for my transmission. get in we'll early Scott? is application you days, What Scott first sense, the my as think,

Scott Lauber

Yes. a We're system. of technology the going to lot on have

decide exactly of to have technology is a lot that can that you on we very put there automation really a So the coming, that through. when see will it's system are hard be rolls we new storm but what effective

technology And benefits improve dynamic see transmission we and continues stuff, it the evolve better technology. ratings So and of do think at and line get and to think I will continue I and to else, to I think whether the going to anything it. here just continue better you like you're

Gale Klappa

as near to could both very lot the I pay dynamic underway attention think a mentioned term, lot line be to enhance a think, But has that because as and know, I of there's that Scott helpful. -- reliability you to there's R&D In ratings, stability. try

answer question, to that hope the broad a least gives at So you I Paul.

Paul Patterson

it. congratulations, I good Once Absolutely. luck. and appreciate again,

Gale Klappa

you, Thank Paul.

today. Well, Thank for right. folks, our You so care. All concludes you much that for take taking call conference part.

reached at XXX-XXXX. Straka. you (XXX) have be She to feel can contact If questions, Beth free more

everybody. So long,

Operator

gentlemen, And you We concludes that your thank call. for today's participation. ladies and

You may now disconnect.

WEC Energy (WEC) 1 May 242024 Q1 Earnings call transcript