Why Cedar Valley?

posted on 4/19/2017 in Featured Articles

Why Cedar Valley? Low Energy Costs

The Cedar Valley has become one of the most cost-effective regions in the nation in terms of energy expenses. Whether you require natural gas, electricity, or new green energy sources, such as wind power, the Cedar Valley offers some of the most affordable energy costs. Let’s take a closer look at how the Cedar Valley, and the state of Iowa, have become so competitive.

Energy Development

Much of the cost efficiency found in Iowa stems from the state’s special attention to energy development. By offering competitive grants and putting money into various energy-related programs and projects, the state has generated and continues to generate new breakthroughs in efficiency, the advantages of which are passed on directly to businesses and other consumers.

The Iowa Utilities Board manages and certifies various utility service providers and aggregators into various tiers of provision, allowing businesses and individuals to enjoy a competitive energy market and all the corresponding advantages. CVRP works closely with these service providers to accommodate the growth and needs of businesses locating or expanding in the region. Combined with a healthy, effective regulatory environment, the state offers low energy prices without any compromises to the quality, safety, or reliability of services.

Natural Gas: According to the United States Energy Information Services, Iowa is rated as the 2nd most affordable state for commercial natural gas.

Electricity: Iowa offers the 8th lowest cost per kilowatt-hour in the United States, according to the U.S. Energy Information Services. Iowa’s industrial electricity rates are more than 19 percent below the national average.

Wind Energy Leader

Iowa stands out as the most competitive state when it comes to wind power, where it is the single leading generator of wind energy in the United States. As much as a third of all energy generated in Iowa is generated by wind power, thanks in large part to a rich environment of grants, capital investments, and development projects fueled by private and public interests.

The availability and low cost of wind energy in Iowa compared to other states has attracted companies such as Facebook, Microsoft, and Google, who have installed green-friendly data centers worth billions of dollars. Between the jobs created as part of the wind energy industry and the businesses attracted by the industry, wind has become a staple of Iowa economic development.

Not only does Iowa generate more electricity from wind than any other state, it also has the most reliable electrical grid of any state.

Ongoing Development

The development of the energy industry in Iowa and the simultaneous drop in energy costs is expected to continue for the foreseeable future. Industry giants such as MidAmerican Energy already have new projects scheduled through years to come. When MidAmerican’s project, Wind XI, is complete, its annual renewable energy generation is expected to reach a level that’s equal to 85 percent of Iowa customers’ annual retail usage. MidAmerican’s rates in Iowa are among the lowest in the nation and approximately 38 percent below the national average.

Parting Thoughts

Businesses with high energy requirements looking to maintain efficient margins would do well to take advantage of this environment. If low energy costs, high livability, and a perfect environment appeal to you or your business, visit www.cedarvalleyregion.com to find out more. With the help of the Cedar Valley Regional Partnership, you can expand or relocate to take advantage of the best opportunities Iowa has to offer.