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Utilities say rising labor and material costs have added nearly $32 million to the cost of the second phase of the Badger Hollow solar farm in Iowa County and delayed completion by three months. Workers complete phase one of the 300-megawatt plant in this photo from October 2021.

Rising prices are being blamed for a nearly $32 million cost increase for a solar farm under construction for two Wisconsin utilities.

Madison Gas and Electric and We Energies say a combination of supply-chain constraints, increased labor costs and trade investigation have resulted in a 16% cost overrun and a three-month delay for the Iowa County project known as Badger Hollow II.

California's low-carbon fuel standard created a market for Wisconsin biogas. A new utility program may offer a new way to deliver it. 

The utilities say the cost increases will enable the project to avoid significantly longer delays, resulting in lower greenhouse gas emissions and lowering future energy costs for customers.

In filings with regulators, the utilities blame rising prices for commodities like steel and say they had to pay more to get solar panels which have been in short supply as a result of a federal investigation into whether Chinese manufacturers are circumventing import tariffs by routing products through four southeast Asian countries.

Imports, which account for more than half of the panels used in the United States, slowed to a trickle after the investigation launched in March amid fears of retroactive tariffs of up to 250%, according to the Solar Energy Industries Association.

President Joe Biden last month put a two-year hold on any new tariffs through an executive order aimed at also accelerating domestic production of solar panels.

The first phase of the 300-megawatt solar farm was completed last year after delays attributed to the COVID-19 pandemic.

Wisconsin transportation officials are crafting a plan to spend more than $78 million in federal infrastructure funds to support electric vehicles. 

The utilities initially notified regulators in June that the second phase would exceed the $195 approved cost but sought to withhold the amount, arguing there was no public benefit to disclosing information that could benefit competitors.

The amount was made public Wednesday after the Public Service Commission denied the confidentiality request.

Solar panel shortages have been blamed for delays in at least two other Wisconsin utility projects.

Alliant Energy, which plans to invest about $1.5 billion in a dozen solar sites across the state, has postponed the start of construction of a $250 million solar farm in Grant County by five months, while Xcel Energy says a $104 million project in Pierce County will be delayed by at least a year.

Neither utility has notified regulators of price overruns on those projects.

Earlier this year Alliant, MGE and WEC Energy Group announced they were postponing retirement of three of the state's largest coal-fired plants because of potential delays to solar projects and concerns about a capacity shortage on the Midwestern power grid.

A pod of American white pelicans gather on rocks in the Wisconsin River below the Alliant Energy dam in Prairie du Sac, Wis. Monday, June 6, 2022. The species, largely unseen in the state during much of the 20th century, are more common to the region now and are one of North America's largest flying birds, featuring a wingspan up to nine feet and weighing up to 30 pounds. JOHN HART, STATE JOURNAL

A duck lifts off the water as boaters paddle to Tenney Park Beach during Paddle and Portage in Madison, Wis., Saturday, June 18, 2022. KAYLA WOLF, STATE JOURNAL

(From left lower) Roomates Isabella Bortolotti and Rachel Bearder host friends for a pool party in their front yard, including Maddie Gehring, right, Lola Wojcik, top left, and Grover Bortolotti, all college students, on the Near West Side during a heat wave in Madison, Wis., Tuesday, June 14, 2022. AMBER ARNOLD, STATE JOURNAL

Syanne Morales and her son, Syncere Bowie, enjoy the cool relief offered by a water feature during a visit to the Cypress Splash Park in Madison Wis. Tuesday, June 14, 2022. JOHN HART, STATE JOURNAL

(From left) Tabitha Goldberger, 10, Camila Fernandez Adamae, 11, and Vee Schwartz, 13, react as they perform a rocket propulsion experiment using Alka-Seltzer and water in a film canister during summer camp at Stellar Tech Girls in Middleton, Wis., Wednesday, June 15, 2022.

Ashley Peotter, front, carries a canoe with her teammate Marie Barry through Tenney Park during Paddle and Portage in Madison, Wis., Saturday, June 18, 2022. KAYLA WOLF, STATE JOURNAL

Kelly Parks Snider’s “Between Spaces” exhibit at the Arts + Literature Laboratoryin Madison, Wis. Friday, June 3, 2022. JOHN HART, STATE JOURNAL

Josh Hull, right, and Trevor Stahl, both of Roanoke, Virginia, who are participating in the Great Race, a vintage car rally that started in Warwick, Rhode Island on June 18 and will end in Fargo, North Dakota on June 26, prepare to hit the road after making a stop at Angell Park on their 2,300-mile journey in Sun Prairie, Wis., Thursday, June 23, 2022.

The group Wild Violets, including Raquel Aleman, right, Sam Rae, front, and Becky Burbach perform outside the Barrymore Theatre during Make Music Madison in Madison, Wis., Tuesday, June 21, 2022.

Mariah Quinn Duffy, center, and her sons, from left, Kieran, 9, Ronan, 2, and Nolan, 6, add compost to a raised bed vegetable garden outside their home in Madison, Wis., Monday, June 13, 2022. AMBER ARNOLD, STATE JOURNAL

Kit Rittman and her husband Greg, front, cheer as boaters paddle down the Yahara River during Paddle and Portage in Madison, Wis., Saturday, June 18, 2022. KAYLA WOLF, STATE JOURNAL

Gretchen Bushman, a recent UW-Madison grad and fan of music artist Harry Styles, relaxes outside her apartment on West Washington Avenue while escaping the heat of her non-air conditioned residence in Madison Wis. Tuesday, June 14, 2022. JOHN HART, STATE JOURNAL

Raghiatou Bah and her son, Mamadou, 8, explore their new living space - a condominium purchased with assistance from a grant through Own It: Building Black Wealth - in Madison, Wis. Friday, June 17, 2022. JOHN HART, STATE JOURNAL

A Progress Pride Flag is raised above the east wing of the Wisconsin State Capitol in Madison, Wis. in observance of the month of June being designated as Pride Month Wednesday, June 1, 2022. An iteration of the widely recognized Rainbow Pride Flag, the Progress Pride Flag was created to symbolize inclusion of marginalized communities within the LGBTQ community and includes additional stripes forming a chevron pattern that represent LGBTQ individuals of color and the transgender community, as well as those who are living with and who have been lost to HIV/AIDS. Assisting with the effort are Wisconsin Department of Administration workers Darrin Smith, left, and Steve Walker. JOHN HART, STATE JOURNAL

Demonstrators protest at the state Capitol after the U.S. Supreme Court overturned Roe v. Wade, in Madison, Wis., Friday, June 24, 2022. AMBER ARNOLD, STATE JOURNAL

People gather in support of Planned Parenthood and abortion rights at the Wisconsin State Capitol Rotunda in Madison, Wis., Wednesday, June 22, 2022. KAYLA WOLF, STATE JOURNAL

Madison Edgewood's Caden Thomas competes in the Division 2 boys high jump during the final day of the WIAA state track and field meet at Veterans Memorial Stadium in La Crosse , Wis., Saturday, June 4, 2022. AMBER ARNOLD, STATE JOURNAL

McFarland's Julia Ackley reacts after clearing 10 feet, 6 inches on her first attempt in the Division 2 girls pole vault during the final day of the WIAA state track and field meet at Veterans Memorial Stadium in La Crosse , Wis., Saturday, June 4, 2022. AMBER ARNOLD, STATE JOURNAL

Oregon girls soccer teammates (clockwise from bottom) Addison Werth, Zoey Pagels, Kately Studebaker and Lily Eisele celebrate their 1-0 WIAA Division 2 state championship victory over Whitefish Bay on June 18 at Uihlein Soccer Park in Milwaukee.

Oregon’s Elise Boyd (22) and Whitefish Bay’a Emma Addeo (16) compete for the ball during the second half of Oregon’s 1-0 WIAA Division 2 state championship win at Uihlein Soccer Park in Milwaukee, Wis. Saturday, June 18, 2022. JOHN HART, STATE JOURNAL

Wisconsin men’s soccer coach Neil Jones coaches athletes during a summer camp at University Bay Fields in Madison, Wis., Wednesday, June 22, 2022. KAYLA WOLF, STATE JOURNAL

Milton catcher Grace Schnell, left, watches as teammate Lydia Miller catches a fly ball after it bounced off of Schnell's mitt during a Division 1 state softball quarterfinal game at Goodman Softball Complex in Madison, Wis., Thursday, June 9, 2022. KAYLA WOLF, STATE JOURNAL

Thongchai Jaidee celebrates his victory in the American Family Insurance Championship at University Ridge in Madison, Wis., Sunday, June 12, 2022. AP Photo/Kayla Wolf

Golfers, from left, Vijay Singh, Brandt Jobe and Bernhard Langer and their caddies read the green on the eighth hole during the American Family Insurance Championship at University Ridge in Madison, Wis., Friday, June 10, 2022. KAYLA WOLF, STATE JOURNAL

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Covers energy and the environment for the Wisconsin State Journal. Rhymes with Lubbock. Contact him at 608-252-6146.

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The Madison-based utility is rolling out a suite of programs to offer cash rewards in exchange for giving up occasional control over thermostats and water heaters.

The court found Huebsch’s private communications with utility executives did not taint his vote in favor of the roughly $500 million project, nor did his later application to lead one of those utilities.

Three utility projects with a combined capacity of 574 megawatts have been delayed and face potential cost overruns largely stemming from difficulty securing solar panels and other key parts.

Alliant Energy and the WEC Energy Group announced plans Thursday to delay previously announced retirements of three coal-fired power plants amid reliability concerns and supply-chain issues.

Utilities say rising labor and material costs have added nearly $32 million to the cost of the second phase of the Badger Hollow solar farm in Iowa County and delayed completion by three months. Workers complete phase one of the 300-megawatt plant in this photo from October 2021.

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