North Plains Connector Welcomes Minnkota Power Cooperative as Eighth Member
North Plains Connector welcomes Minnkota Power Cooperative as the eighth member of its utility consortium. Minnkota has signed a non-binding memorandum of understanding with North Plains Connector, a subsidiary of Grid United, to secure 150 megawatts of capacity on the 3,000-megawatt, high-voltage direct current transmission line once it begins operations, subject to successful negotiation of definitive agreements. Once completed, North Plains Connector will be the first HVDC transmission line in the United States to connect three regional electric energy markets - the Midcontinent Independent System Operator, the Western Interconnection, and the Southwest Power Pool - improving the reliability and resiliency of the electrical grid across the region while broadening market connections. Grid United and ALLETE are joint developers of North Plains Connector. Other members of the utility consortium with signed capacity MOUs with the project are: Avista (AVA), BHE U.S. Transmission, MDU Resources (MDU) subsidiary Montana-Dakota Utilities, NorthWestern Energy (NWE), Portland General Electric (POR), and Puget Sound Energy.
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- New Member Addition: Minnkota Power Cooperative becomes the eighth member of the North Plains Connector utility consortium, signing a memorandum of understanding with Grid United's North Plains Connector LLC to secure 150 megawatts of capacity on the HVDC transmission line, indicating a proactive approach to future electricity market positioning.
- Project Impact: This initiative will be the first HVDC transmission line in the U.S. connecting three regional electricity markets, expected to significantly enhance grid reliability and resilience while broadening market connectivity to meet evolving energy demands.
- Economic Benefits: The North Plains Connector project is projected to create over 800 jobs during construction in Montana and North Dakota, reflecting a positive economic impact while also enhancing Minnkota's competitive edge in the electricity market.
- Construction Timeline: The project is expected to commence construction in 2028 and begin operations in 2032, marking a significant advancement in power infrastructure investment and further enhancing Minnkota's flexibility and responsiveness in electricity supply.
- Microgrid Launch: Avista has initiated the first community-based microgrid in Spokane, integrating solar power, battery storage, and natural gas to ensure the Dr. Martin Luther King Jr. Family Outreach Center remains operational during power outages, thereby enhancing reliability during extreme weather events.
- Cost Reduction: This microgrid system will enable the MLK Center to lower its standard energy bills, allowing for the reallocation of more resources into critical community programs, thus amplifying its service capacity and community impact.
- Emergency Response Enhancement: During outages, the microgrid's batteries will maintain power flow, with natural gas backup available if outages extend beyond a few hours, ensuring the center stays open during emergencies to meet community needs.
- Funding and Policy Alignment: The project is supported by Avista's Named Communities Investment Fund and grants from the Washington State Department of Commerce, reflecting Avista's commitment to the Clean Energy Transformation Act and its aim to assist communities facing challenges related to extreme weather and socio-economic inequities.
- Improved Financial Performance: Avista Corporation reported Q1 2026 earnings per share of $1.11, exceeding analyst estimates of $1.03, reflecting a robust revenue growth momentum as it increased by 13.3% compared to $0.98 in Q1 2025, indicating enhanced competitiveness in the market.
- Capital Expenditure Plans: The company expects capital expenditures for Avista Utilities to reach $615 million in 2026, up from a previous estimate of $585 million, with a total projected capital expenditure of $3.4 billion from 2026 to 2030, which will support investments in renewable energy and infrastructure, driving long-term growth.
- Customer Agreement Progress: Avista is negotiating with a prospective data center developer for a memorandum of understanding that could add up to 500 megawatts of incremental load, targeting an agreement by May 31, which would provide new revenue streams and strengthen its market position.
- Earnings Guidance Confirmation: The company reaffirmed its non-GAAP utility earnings guidance for 2026 at a range of $2.52 to $2.72 per share, despite an expected $0.10 negative impact from the energy recovery mechanism, while still anticipating a 4% to 6% growth in earnings over the coming years, demonstrating management's confidence in future performance.
- Q1 Performance: Avista's Q1 non-GAAP EPS of $1.10 exceeded expectations by $0.07, indicating stable profitability; however, the 8% year-over-year revenue decline may dampen investor confidence moving forward.
- Revenue Miss: The reported revenue of $555 million fell short of expectations by $88.55 million, reflecting weak market demand that could negatively impact the company's cash flow and reinvestment capabilities.
- Future Guidance: Avista has confirmed its 2026 non-GAAP utility earnings guidance, projecting earnings per share between $2.52 and $2.72, providing investors with visibility into future earnings and helping to stabilize market expectations.
- Market Context: Amid rising market uncertainty, the high dividend yields offered by utility companies have attracted investor interest, and Avista's dividend policy may enhance its appeal in a competitive landscape.
- Net Income Growth: Avista reported a net income of $92 million for Q1 2026, translating to $1.11 per diluted share, which is a significant increase from $79 million and $0.98 per share in 2025, indicating the positive impact of ongoing investments in safety and reliability.
- Non-GAAP Earnings Guidance: The company confirmed its 2026 non-GAAP utility earnings guidance in the range of $2.52 to $2.72 per diluted share, reflecting confidence in future growth, particularly as natural gas utility margins increased significantly due to general rate cases.
- Capital Expenditure Plans: Avista's capital expenditures for Q1 2026 were $147 million, with expectations to invest $615 million annually through 2030 in infrastructure to support long-term business growth and customer demand.
- Strong Liquidity Position: As of March 31, 2026, Avista had $110 million in available liquidity and plans to issue up to $90 million in common stock in 2026, demonstrating robust performance in capital markets and financing capabilities.








