Climate Change Data

Madison Gas and Electric (MGE)

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Renewable Energy Share:20% (2023)

ESG Focus Areas

  • Climate Change
  • Renewable Energy
  • Energy Efficiency
  • Safety
  • Community Engagement
  • Diversity, Equity, and Inclusion
  • Governance

Environmental Achievements

  • Reduced carbon emissions by about 40% since 2005
  • Added nearly 60 MW of wind and solar in 2023
  • Plans to eliminate coal as an energy source by the end of 2032
  • Achieved 20% renewable energy share in overall generation mix in 2023
  • Expanded agrivoltaics through solar grazing at Tyto Solar
  • First use of cross-compression technology to reduce methane emissions

Social Achievements

  • 10-year anniversary of corporate safety initiative
  • MGE Foundation gave more than $8.7 million to 400+ community organizations in the last five years
  • MGE and employees gave nearly $300,000 to United Way in 2023
  • Launched Back on Track arrearage management program
  • Expanded MGE Connect demand response program to include small businesses and water heating
  • Launched Smart Water Heater pilot project

Governance Achievements

  • Welcomed three new members to the Board of Directors in 2024
  • 80% of board members are independent
  • Established Occupational Health and Safety Policy
  • Expanded Environmental Management System (EMS) to cover all MGE operations
  • Earned Green Master designation for the 11th consecutive year
  • Achieved Tier 2 level in Wisconsin's Green Tier environmental leadership program

Climate Goals & Targets

Long-term Goals:
  • Deliver net-zero carbon electricity by 2050
  • Achieve net-zero methane emissions from natural gas distribution system by 2035
Medium-term Goals:
  • Deliver electricity with 80% fewer carbon emissions by 2030 (compared to 2005 levels)
Short-term Goals:
  • Reduce carbon emissions by at least 80% by 2030 (from 2005 levels)
  • Achieve 25% renewable energy by 2025
  • 100% all-electric or plug-in hybrid light-duty vehicles by 2030

Environmental Challenges

  • Managing the transition to renewable energy while maintaining reliability and affordability
  • Reducing methane emissions from the natural gas distribution system
  • Addressing energy affordability for vulnerable customers
  • Managing the increasing demand for electricity from electric vehicles
Mitigation Strategies
  • Significant investments in cost-effective renewable generation
  • Enhanced leak detection and repair, implementation of cost-effective technologies, and introduction of renewable natural gas
  • Back on Track arrearage management program
  • Managed charging program, expansion of public charging network, and programs to facilitate home charging

Supply Chain Management

Responsible Procurement
  • Preference for Wisconsin manufacturers and distributors
  • Code of Ethics for suppliers
  • Partnership with ISNetworld for contractor management

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Growth of renewable energy
  • Development of energy-efficient products and services

Reporting Standards

Frameworks Used: CDP (Carbon Disclosure Project), TCFD (Task Force on Climate-Related Financial Disclosures), EEI-AGA sustainability reporting templates

Certifications: ISO 14001 (through Green Tier certification), Green Tier (Tier 2)

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 13 (Climate Action)

Initiatives contribute to these goals through renewable energy development, energy efficiency programs, and carbon emission reduction efforts.

Sustainable Products & Innovation

  • Renewable natural gas option for customers
  • Managed charging program
  • Community solar programs

Awards & Recognition

  • Leading Indicator Safety Award (American Gas Association)
  • Green Master designation (Wisconsin Sustainable Business Council)