威斯康辛能源 (WEC) 2024 Q3 法說會逐字稿

Good afternoon and welcome to WEC Energy Group's conference call for third-quarter 2024 results. This call is being recorded for rebroadcast and all participants are in listen-only mode at this time.

下午好，歡迎參加 WEC 能源集團 2024 年第三季業績電話會議。本次通話正在錄音以便重播，所有參與者目前處於只聽模式。

(Operator Instructions)

（操作員指令）

In conjunction with this call, a package of detailed financial information is posted at wecenergygroup.com. A replay will be available approximately two hours after the conclusion of this call. Before the conference call begins, please note that all statements in the presentation other than historical facts are forward-looking statements that involve risks and uncertainties that are subject to change at any time. Such statements are based on management's expectations at the time they are made.

配合此次電話會議，wecenergygroup.com 上發布了一系列詳細的財務資訊。本次通話結束後約兩小時將提供重播。在電話會議開始之前，請注意，簡報中除歷史事實之外的所有陳述均為前瞻性陳述，涉及隨時可能發生變化的風險和不確定性。這些聲明是基於管理階層在做出時的預期。

In addition to the assumptions and other factors referred to in connection with the statements, factors described in WEC Energy Group's latest Form 10-K and subsequent reports filed with the Securities and Exchange Commission could cause actual results to differ materially from those contemplated. During the discussions, referenced earnings per share will be based on diluted earnings per share unless otherwise noted. This call also will include non-GAAP financial information. The company has provided reconciliation to the most directly comparable GAAP measures in the materials posted on its website for this conference call.

除了與聲明相關的假設和其他因素外，WEC Energy Group 最新的 10-K 表格以及隨後向美國證券交易委員會提交的報告中描述的因素可能會導致實際結果與預期結果有重大差異。在討論期間，除非另有說明，參考的每股收益將基於稀釋每股收益。本次電話會議還將包括非公認會計準則財務資訊。該公司在其網站上發布的本次電話會議資料中提供了與最直接可比較的 GAAP 指標的對帳表。

And now it's my pleasure to introduce Scott Lauber, President and Chief Executive Officer of WEC Energy Group.

現在我很高興介紹 WEC 能源集團總裁兼執行長 Scott Lauber。

Good afternoon, everyone and thank you for joining us today as we review our results for the third quarter of 2024.

大家下午好，感謝您今天加入我們，一起回顧 2024 年第三季的業績。

Here with me are Xia Liu, our Chief Financial Officer and Beth Straka, Senior Vice President and Chief -- Corporate Communications and Investor Relations.

和我一起的還有我們的財務長劉霞和高級副總裁兼首席企業傳播和投資者關係官貝絲·斯特拉卡 (Beth Straka)。

As you saw from our news release this morning, we reported third-quarter 2024 adjusted earnings of $0.82 per share. This excludes a charge of $0.06 per share related to the disallowance of certain 2016 capital expenditures under the qualifying infrastructure plant rider in Illinois.

正如您從我們今天早上的新聞稿中看到的那樣，我們報告 2024 年第三季調整後每股收益為 0.82 美元。這不包括與伊利諾伊州合格基礎設施工廠附加條款下不允許某些 2016 年資本支出有關的每股 0.06 美元的費用。

With this solid quarter, we remain on track for a strong 2024. Our focus on executing the fundamentals of our business is creating real value for our customers and stockholders. Today, we're reaffirming our earnings guidance for the year on an adjusted basis. The range is $4.80 to $4.90 a share. Of course, this assumes normal weather to the remainder of 2024.

憑藉本季的穩健表現，我們預計在 2024 年取得強勁進展。我們專注於執行業務基本原則，為我們的客戶和股東創造真正的價值。今天，我們根據調整後的數據重申今年的獲利預測。範圍是每股4.80美元至4.90美元。當然，這是假設 2024 年剩餘時間的天氣正常。

We continue to see strong foundation of growth in the region. The unemployment rate in Wisconsin stands at 2.9%, continuing a long running trend below the national average. Microsoft is making good progress on its large data center complex in Southeast Wisconsin. The company has continued to increase its land holdings as part of this development. It has been reported that Microsoft now owns more than 1,900 acres up from 1,300 acres at the beginning of the year and work is well underway.

我們繼續看到該地區強勁的成長基礎。威斯康辛州的失業率為2.9%，長期低於全國平均。微軟位於威斯康辛州東南部的大型資料中心綜合體正在取得良好進展。作為這一發展的一部分，該公司繼續增加其土地持有量。據報道，微軟目前擁有的土地面積已從年初的 1,300 英畝增加到 1,900 多英畝，且工作進展順利。

We're seeing development elsewhere in the state as well. Amazon, for example, opened a 1.1 million-square-foot warehouse in Kenosha earlier this year. The company is growing steadily with additional distribution facilities and is also starting to use electric delivery vans in its fleet.

我們也看到州內其他地方的發展。例如，亞馬遜今年稍早在基諾沙開設了一個佔地 110 萬平方英尺的倉庫。該公司正在穩步發展，增加配送設施，並開始在其車隊中使用電動送貨車。

And in Green Bay, Georgia Pacific completed a major mill expansion just last month with an investment of $550 million. Of course, this growth is spawning small commercial and residential development throughout the region. This highlights the strength and the potential of our local economy and underscores the need for the investments in our updated capital plan.

而在綠灣，喬治亞太平洋公司上個月才剛完成了一項大型工廠擴建工程，投資額達 5.5 億美元。當然，這種成長也催生了整個地區的小型商業和住宅發展。這凸顯了我們當地經濟的實力和潛力，並強調了我們更新的資本計畫中的投資必要性。

And speaking of capital plan, we're very excited to roll out the plan for the period 2025 to 2029. As you may have seen from our announcement this morning, we expect to invest $28 billion over the next five years. This is the largest capital plan in our history, an increase of $4.3 billion above our previous five-year plan. That's more than an 18% increase. Once again, a major factor in our plan is the economic growth we're seeing in southeastern Wisconsin, particularly in what we call the I-94 Corridor between Milwaukee and the Illinois State line. This plan supports 800 megawatts of additional demand over the next five years as an incremental 400 megawatts from our previous plan.

說到資本計劃，我們非常高興推出 2025 年至 2029 年期間的計劃。正如大家從我們今天早上的公告中看到的，我們預計未來五年將投資 280 億美元。這是我們歷史上最大的資本計劃，比我們之前的五年計劃增加了 43 億美元。增幅超過 18%。再次強調，我們計劃的一個主要因素是威斯康辛州東南部的經濟成長，特別是密爾瓦基和伊利諾伊州邊界之間的 I-94 走廊。該計劃將在未來五年內支持 800 兆瓦的額外需求，比我們先前的計劃增加 400 兆瓦。

In our new five-year plan, we expect our asset-based growth to an average rate of 8.8% a year. This supports our long-term projected earnings per share growth of 6.5% to 7% a year on a compound annual basis. As I mentioned, we increased our capital plan by $4.3 billion, driven by an increase in regulated electric generation, transmission, and distribution, and partially offset by a reduction in energy infrastructure.

在我們的新五年計畫中，我們預計資產成長率將達到年均8.8%。這支持了我們長期預期的每股盈餘年複合成長率 6.5% 至 7%。正如我所提到的，我們將資本計畫增加了 43 億美元，這主要是由於受監管的電力生產、傳輸和分配增加，而能源基礎設施的減少則部分抵消了這一增加。

Let me give you a few updates on the details. Over the next five years, we'll continue to transform our power generation fleet to support economic growth, reliability, and compliance with EPA rules by investing in renewables and natural gas generation. Between 2025 and 2029, we plan to increase our investment in regulated renewals by $2.1 billion over our prior plan.

讓我向你介紹一些最新細節。未來五年內，我們將透過投資再生能源和天然氣發電，繼續改造我們的發電機組，以支持經濟成長、可靠性和對 EPA 規則的遵守。2025 年至 2029 年間，我們計劃在受監管續約方面的投資比之前的計劃增加 21 億美元。

In total, we plan to invest $9.1 billion in 2,900 megawatts of solar, 900 megawatts of wind, and almost 600 megawatts of battery storage; that adds up to 4,400 megawatts; more than quadrupling our carbon free generation from where we are today. These resources save on fuel costs and provide benefits to customers through tax credits.

總體而言，我們計劃投資 91 億美元用於 2,900 兆瓦的太陽能、900 兆瓦的風能和近 600 兆瓦的電池儲存；總計達4,400兆瓦；我們的無碳發電量比現在增加四倍多。這些資源節省了燃料成本，並透過稅收抵免為客戶提供福利。

To support economic growth and system reliability when the wind doesn't blow and the sun doesn't shine and on those extreme weather days, we need dispatchable resources. We expect to spend an incremental $900 million on modern, efficient, natural gas generation over the next five years versus the prior plan. This includes both combustion turbines and reciprocating internal combustion engines or RICE units.

為了在沒有風、沒有太陽以及極端天氣的情況下支持經濟成長和系統可靠性，我們需要可調度的資源。與先前的計畫相比，我們預計未來五年將在現代、高效的天然氣發電方面增加 9 億美元投入。這包括燃氣渦輪機和往復式內燃機或 RICE 裝置。

Also, we plan to invest an additional $400 million in liquified natural gas capacity for another 2-Bcf facility. This will be used to meet customer demand for heating and ensure gas supply for power generation. In addition, American Transmission Company will be adding transmission capabilities to serve the region's robust economic growth, connecting new renewables, and strengthening the system.

此外，我們計劃額外投資 4 億美元建造另一個 20 億立方英尺液化天然氣生產設施。這將用於滿足客戶的供暖需求並確保發電用的天然氣供應。此外，美國輸電公司將增加輸電能力，以服務該地區強勁的經濟成長，連接新的再生能源，並加強系統。

Our plan calls for us to invest $3.2 billion in that effort between 2025 and 2029. This represents a $200-million increase from the previous plan. And to help ensure reliability and support economic growth, we're continuing to invest in our distribution networks with an additional $700 million in the plan. Given the significant investment opportunity in our regulated businesses, we have reduced our planned investments in our infrastructure segment by $800 million compared to the last plan. This leaves us approximately $400 million in the plan for next year. And today, I'm pleased to announce our plan to acquire a 90% interest in Hardin Solar III energy park located in Ohio.

我們的計劃要求我們在 2025 年至 2029 年期間為此投資 32 億美元。這比之前的計劃增加了 2 億美元。為了確保可靠性和支持經濟成長，我們將繼續對我們的分銷網絡進行投資，計劃額外投資 7 億美元。鑑於我們監管的業務中存在重大的投資機會，與上一個計劃相比，我們已將基礎設施部門的計劃投資減少了 8 億美元。這樣，我們明年的計畫就剩下大約 4 億美元了。今天，我很高興地宣布我們計劃收購位於俄亥俄州的哈丁太陽能三號能源園區 90% 的權益。

We expect to invest approximately $410 million to add 250 megawatts of renewable energy to our infrastructure portfolio when the projects come online, currently expected in the first quarter of 2025. Our future is bright, investment opportunity has never been stronger, and we're focused on execution. We look forward to providing more detail on our plan in just a few weeks at the EEI Conference.

我們預計將投資約 4.1 億美元，在專案上線後為我們的基礎設施組合增加 250 兆瓦的再生能源，目前預計時間為 2025 年第一季。我們的未來是光明的，投資機會從未如此強大，我們專注於執行。我們期待在幾週後的 EEI 會議上提供有關我們計劃的更多細節。

Turning to the regulatory front, I have a few updates across our service areas. In Wisconsin, rate reviews are nearly complete for test years 2025 and 2026. All testimony and hearings are concluded in the case and we expect a decision by the end of the year with new rates effective January 1, 2025.

談到監管方面，我對我們的服務領域有一些更新。在威斯康辛州，2025 年和 2026 年考試年度的費率審查已接近完成。該案的所有證詞和聽證會都已結束，我們預計將在今年年底前做出判決，新的稅率將於 2025 年 1 月 1 日生效。

As in Michigan, the Public Service Commission has now approved the settlement in the 2025 rate cases for both Michigan Gas Utilities and Upper Michigan energy resources, each with an ROE of 9.86%. And in Illinois, we're actively engaged in two dockets. One is the review of the safety modernization program. The next steps are an ELG proposed order at the end of November, final briefings to the ICC in December, and the commission's final decision expected in the first quarter of 2025.

與密西根州一樣，公共服務委員會目前已批准密西根天然氣公用事業公司和上密西根能源資源公司 2025 年費率案的和解協議，這兩家公司的 ROE 均為 9.86%。在伊利諾州，我們正在積極處理兩起案件。一是審查安全現代化計劃。接下來的步驟是，ELG 將於 11 月底提出命令，12 月向 ICC 進行最後匯報，委員會預計將於 2025 年第一季做出最終決定。

The other docket is an evaluation of the future of natural gas in Illinois, which was initially planned to conclude next year. The ICC has extended this docket into 2026. Of course, we'll keep you updated on any further developments.

另一項議程是對伊利諾伊州天然氣未來的評估，最初計劃在明年完成。國際刑事法院已將此案延長至 2026 年。當然，我們會隨時向您通報進一步的進展。

Now, I'll turn to Xia to provide you with more details on our financial results and our financing plans.

現在，我將請夏向您提供有關我們的財務業績和融資計劃的更多詳細資訊。

Thank you, Scott.

謝謝你，斯科特。

Turning now to earnings. Our third-quarter 2024 adjusted earnings were $0.82 per share. This excludes the $0.06 per share charge related to the disallowance of certain 2016 capital expenditures under the QIP rider in Illinois.

現在來談談收益。我們 2024 年第三季的調整後收益為每股 0.82 美元。這不包括與伊利諾伊州 QIP 附加條款下不允許某些 2016 年資本支出有關的每股 0.06 美元的費用。

While this was a decrease of $0.18 per share quarter over quarter, we did exceed our Q3 guidance range driven by more favorable September weather, financing, and timing of tax items compared to the guidance. As Scott indicated, we remain on track to meet our 2024 adjusted earnings guidance.

雖然每股收益比上一季下降了 0.18 美元，但由於 9 月份天氣、融資和稅項時間表較預期更為有利，我們確實超出了第三季度的預期範圍。正如史考特所指出的，我們仍有望實現 2024 年調整後的獲利預期。

Now let's look at our quarter-over-quarter variances. Our earnings package includes a comparison of adjusted third-quarter results on page 16. I'll walk through the significant drivers. Starting with our utility operations, adjusted earnings in the third quarter of 2024 were $0.18 lower when compared to 2023. This decrease was driven by the Illinois rate design change, higher O&M, depreciation and amortization, and interest expense. These items more than offset favorable weather, timing of fuel expense, taxes, and other items.

現在讓我們來看看季度間的差異。我們的損益表包括第 16 頁調整後的第三季業績比較。我將介紹一些重要的驅動因素。從我們的公用事業業務開始，2024 年第三季的調整後收益與 2023 年相比下降了 0.18 美元。這一下降是由於伊利諾伊州費率設計變化、更高的 O&M、折舊和攤銷以及利息支出所致。這些項目足以抵消有利天氣、燃料費用的時間、稅金和其他項目的影響。

Specifically on weather, compared to normal conditions, we estimate that weather had a $0.02 positive impact in the third quarter of 2024 compared to a $0.01 positive impact in 2023. Also, as I reminded you on the last few calls, with the rate design changes at Peoples Gas, base revenues are now more concentrated in the first and fourth quarters when natural gas usage is the highest. This shift resulted in lower third-quarter earnings when compared to the prior year.

具體來說，就天氣而言，與正常情況相比，我們估計天氣在 2024 年第三季產生了 0.02 美元的正面影響，而 2023 年產生了 0.01 美元的正面影響。此外，正如我在最近幾次電話中提醒您的那樣，隨著 Peoples Gas 的費率設計發生變化，基本收入現在更多地集中在天然氣使用量最高的第一季和第四季。與上年同期相比，這一轉變導致第三季收益下降。

Before I turn to earnings at the other segments, let me briefly discuss our weather normal electric sales for the quarter. Retail electric deliveries in Wisconsin, excluding the iron ore mine were up [four-tenth of 1%] quarter over quarter. Sales from residential and small C&I segments both slightly increased compared to Q3 last year. Overall year to date retail electric volumes are in line with our forecast.

在談論其他部門的收益之前，讓我先簡單討論一下本季的天氣正常電力銷售情況。威斯康辛州（不包括鐵礦）的零售電力交付量較上季成長了 [0.4%]。與去年第三季相比，住宅和小型商業與工業領域的銷售額均略有成長。今年迄今的整體零售電力量符合我們的預測。

Looking at ATC, continued capital investment contributed an incremental [penny] to Q3 earnings compared to 2023. Remember, we have been recognizing earnings at 10.38% ROE. I'll discuss in a few minutes that we have some tailwind in Q4 related to FERC's recent decision of 10.48% ROE.

從 ATC 來看，與 2023 年相比，持續的資本投資為第三季收益貢獻了增量 [美分]。請記住，我們一直以 10.38% 的 ROE 確認收益。幾分鐘後我將討論我們在第四季面臨的一些順風，這與聯邦能源管理委員會 (FERC) 最近決定的 10.48% ROE 有關。

And in our energy infrastructure segment, earnings improved $0.06 in the third quarter of '24 compared to the third quarter of 2023. This was primarily driven by production tax credits resulting from higher PTC rates approved by the IRS in the third quarter as well as a quarter-over-quarter increase in production from our renewable generation facilities.

在我們的能源基礎設施部門，2024 年第三季的收益與 2023 年第三季相比成長了 0.06 美元。這主要由於第三季美國國稅局批准的更高 PTC 稅率產生的生產稅收抵免，以及我們再生能源發電設施產量的環比增長。

Finally, you'll see that earnings at our corporate and other segments decreased $0.07 as a result of the impact of tax timing and higher interest expense. As Scott noted, we are reaffirming our 2024 annual guidance on an adjusted basis. That range is $4.80 to 4 $4.90 per share. This includes October weather and assumes normal weather for the remainder of the year. Year to date compared to last year, we're $0.07 behind largely due to weather. However, looking ahead, we have some tailwinds in Q4 this year. This will help us to achieve our adjusted earnings guidance.

最後，您會發現，由於稅收時機和更高的利息支出的影響，我們公司和其他部門的收益減少了 0.07 美元。正如史考特所指出的，我們正在根據調整後的結果重申我們的 2024 年年度指引。該範圍是每股 4.80 美元至 4.90 美元。這包括十月份的天氣，並假設今年剩餘時間的天氣正常。今年迄今與去年相比，我們落後 0.07 美元，主要原因是天氣原因。然而，展望未來，今年第四季我們面臨一些順風。這將有助於我們實現調整後的獲利預期。

For example, as I mentioned just now, we have been recognizing earnings at ATC, assuming a 10.38% ROE. With FERC's decision on the 10.48%, we will be able to unwind a reserve at ATC in Q4 to reflect this change. This item is about $0.05 per share that we have included in our guidance. And recall, weather was $0.07 unfavorable in Q4 last year. Assuming normal weather for the remainder of this year, it also should be a tailwind. Overall, we remain on track to meet our 2024 adjusted earnings guidance.

例如，正如我剛才提到的，我們一直在確認 ATC 的收益，假設 ROE 為 10.38%。根據 FERC 對 10.48% 的決定，我們將能夠在第四季度解除 ATC 的儲備，以反映這一變化。此項費用約為每股 0.05 美元，我們已將其納入我們的指導範圍。回想一下，去年第四季的天氣狀況不利於經濟 0.07 美元。假設今年剩餘時間天氣正常，這也將是順風。整體而言，我們仍有望實現 2024 年調整後獲利預期。

Now, turning to our financing plan. For 2024, we continue to utilize dividend reinvestment and employee benefit plans to issue common equity. Also, we have now formally put in place an ATM program which we plan to tap into during this quarter. Overall, we still project that our common equity issuance will be up to $200 million for 2024.

現在，談談我們的融資計劃。2024 年，我們將繼續利用股利再投資和員工福利計畫發行普通股。此外，我們現在已經正式實施 ATM 計劃，並計劃在本季投入使用。整體而言，我們仍預期 2024 年普通股發行額將達到 2 億美元。

Beyond 2024, Scott has outlined our new five-year capital plan. I'll spend a few minutes discussing our anticipated financing plan. You can find this information on page 22 of the earnings package. As you can see on the chart, over the next five years, we expect cash from operations to fund $18.5 billion to $19.5 billion or about 60% of our cash needs. About $9.5 billion to $10 billion or 31% of the funding is expected to come from incremental debt. This could include some junior subordinated notes or other instruments with equity content. And the remaining 9% of cash is expected to be funded by common equity. This range is between $2.7 billion to $3.2 billion.

2024 年之後，史考特概述了我們新的五年資本計畫。我將花幾分鐘討論我們預期的融資計劃。您可以在收入套餐第 22 頁找到此資訊。正如您在圖表中所看到的，在未來五年內，我們預計營運現金將達到 185 億至 195 億美元，約占我們現金需求的 60%。預計約 95 億至 100 億美元（即 31%）的資金將來自於增量債務。這可能包括一些次級債券或其他具有股權內容的工具。剩餘 9% 的現金預計將由普通股提供資金。這個範圍在 27 億美元到 32 億美元之間。

As I said previously, the cadence of common equity is a function of capital. Given the strong capital plan in 2025, we expect common equity to be between $700 million to $800 million. All in all compared to the prior five-year plan, we expect about 50% of the $4.3 billion additional capital to be financed with increased equity content.

正如我之前所說，普通股的節奏是資本的函數。鑑於 2025 年強勁的資本計劃，我們預期普通股權益將在 7 億至 8 億美元之間。總體而言，與先前的五年計畫相比，我們預計 43 億美元額外資本中的約 50% 將透過增加股權內容來融資。

Finally, as shown on page 21 of the earnings package, through our capital allocation, we expect the percent of asset base in our regulated electric businesses to grow faster over the next five years. This is driven by the strong economic development and demand growth in Wisconsin and our continued energy transition plans.

最後，如損表第 21 頁所示，透過我們的資本配置，我們預計未來五年內受監管的電力業務的資產基礎百分比將成長更快。這是由威斯康辛州強勁的經濟發展和需求成長以及我們持續的能源轉型計劃所推動的。

At the same time, the percent of asset base in gas distribution and contracted renewable is expected to decline. Particularly, you can see that we expect our asset base in Illinois to decline from 16% in 2023 to 10% in 2029 with only 9% at Peoples Gas.

同時，天然氣分銷和合約再生能源的資產基礎百分比預計將下降。具體來說，您可以看到，我們預計在伊利諾州的資產基礎將從 2023 年的 16% 下降到 2029 年的 10%，而 Peoples Gas 僅佔 9%。

In closing, we're excited about our company's future and the investment opportunities ahead of us. With that, I'll turn it back to Scott.

最後，我們對公司的未來和未來的投資機會感到非常興奮。說完這些，我就把話題轉回給史考特。

Thank you, Xia.

謝謝你，夏。

Finally, a quick reminder about the dividend. I expect we'll provide our 2025 dividend plan and earnings guidance in December. We continue to target a payout ratio of 65% to 70% of earnings. We're positioned well within the range, so I expect our dividend growth will continue to be in line with the growth of the earnings per share. Overall, we're on track and focused on providing value for our customers and our stockholders.

最後，快速提醒一下股息。我預計我們將在 12 月提供 2025 年股息計劃和獲利預測。我們繼續將派息率定為收益的65%至70%。我們的定位處於該範圍內，因此我預計我們的股息成長將繼續與每股盈餘的成長保持一致。總體而言，我們正在按計劃進行並專注於為我們的客戶和股東提供價值。

Operator, we're now ready for the question-and-answer of the call.

接線員，我們現在可以進行電話問答了。

(Operator Instructions)

（操作員指令）

Shahriar Pourreza, Guggenheim Partners.

古根漢合夥人公司的 Shahriar Pourreza。

Scott, let me just -- I know this is a repeated question for me, but I have to ask just given the size in your resource mix. I wanted to just touch on Point Beach for a sec. I mean, obviously many of the infrastructure segment PPAs will walk around the time at the Point Beach PPA. Are those viable alternatives? If you can't get there with NextEra, would you look to backstop them with dispatchable capacity? So some incremental spend there. Just directionally, how is that bid as progressing?

斯科特，讓我——我知道這對我來說是一個重複的問題，但考慮到你的資源組合的規模，我不得不問。我只是想稍微談論一下 Point Beach。我的意思是，顯然許多基礎設施部分的 PPA 都會在 Point Beach PPA 左右徘徊。這些是可行的替代方案嗎？如果您無法透過 NextEra 實現這一目標，您是否會考慮透過可調度容量來支援他們？因此那裡會有一些增量支出。從方向上看，該競標進展如何？

Sure. And it's just a reminder for everyone. Our PPA with Point Beach ends -- I think the one contract ends in December of 2030, the other is March of 2033. And like we talked about; we have been a very constructive discussions on the Point Beach with NextEra. We're making good progress on both sides. We've been really busy up here with Wisconsin rate case. I think they've been busy down there with some hurricane activity. So we're making good progress more to come. I expect you'll see more in the next six months. But lining up really well, we think, for everybody.

當然。這只是給大家一個提醒。我們與 Point Beach 簽訂的 PPA 即將結束——我認為一份合約將於 2030 年 12 月結束，另一份合約將於 2033 年 3 月結束。正如我們所討論的；我們與 NextEra 就 Point Beach 進行了非常建設性的討論。我們雙方都取得了良好的進展。我們最近一直在忙於威斯康辛州的利率案件。我認為他們在那裡忙於應對颶風活動。因此我們在未來將會取得更好的進展。我預計您將在接下來的六個月內看到更多。但我們認為，對每個人來說，排隊都很好。

Okay. That's helpful.

好的。這很有幫助。

And then obviously, Scott, very healthy CapEx update. I'm not getting a strong sense on why we saw that CapEx reduction on the infrastructure side. I think it's been some time, there's been some deemphasis of that segment. I just want to get a better sense of what's driving. Is it a capital allocation return issue. Is the demand for contract of renewables slowed? I guess what exactly is going on in that segment. Should we start tempering our expectations there?

顯然，史考特，資本支出更新非常健康。我不太明白為什麼我們看到基礎設施的資本支出減少。我認為已經有一段時間了，該部分的重要性已經減弱了。我只是想更好地了解驅動因素。這是資本配置報酬問題嗎？再生能源合約需求是否放緩？我猜想那段內容到底發生了什麼事。我們是否應該開始降低我們的期望？

No, I mean, what we looked at it last year when we went through the plan, we had actually reduced that segment also just because the amount of economic development. And then as what happened in Illinois and we reduced our capital plan there, we said we were going to spend about $800 million incremental. And the last contract we announced here hits all our investment profiles and it fills that amount of the $800 million we said we're going to do. We just have a lot of capital within the regulated utility with the economic development going on in Wisconsin. And we just want to concentrate on that. The economics have been good on the other -- in the infrastructure segment. It's just, we've got a lot to deploy here in Wisconsin, so we're going to concentrate on that.

不，我的意思是，我們去年制定計劃時就已研究過，實際上我們已經減少了這一部分，只是因為經濟發展的量。然後，隨著伊利諾伊州發生的事情，我們減少了那裡的資本計劃，我們說我們將增加約 8 億美元的支出。我們在此宣布的最後一份合約涉及我們所有的投資情況，它填補了我們所說的 8 億美元金額。隨著威斯康辛州經濟發展，我們在受監管的公用事業領域擁有大量資金。我們只想集中精力於此。另一方面，基礎設施領域的經濟狀況良好。只是，我們在威斯康辛州有很多事情要部署，所以我們要集中精力於此。

Okay. That is perfect. Thanks guys. We'll see you in a week in Florida and congrats on getting Warner. Appreciate it.

好的。那太完美了。謝謝大家。一週後我們將在佛羅裡達見到你，恭喜你獲得華納。非常感謝。

Julien Dumoulin-Smith, Jefferies.

朱利安‧杜穆蘭‧史密斯 (Julien Dumoulin-Smith)，傑富瑞 (Jefferies

Just talking about Illinois a little bit more here on PGL here, few different options that have been put on the table here and there's a staff rack out there. And how do you think about that option three? I was about $7 billion-ish to [2040]. How does that compare with what you guys are updating here today? And is there any upside vis-à-vis what you guys are embedding against that proposed outcome here?

這裡在 PGL 上稍微談論一下伊利諾伊州，這裡提出了一些不同的選擇，那裡有一個員工架。那麼您對於第三個選項有什麼看法呢？我當時花了約 70 億美元[2040]。這與你們今天在這裡更新的內容相比如何？那麼，相對於你們所提議的結果，有什麼好處嗎？

I'll let you guys comment (multiple speakers)--

我讓你們評論（多位發言者）——

Sure. That's a good question, and option three just to get everyone on the same page. Option three has the spending and it's the option below a spending option, it's the preferred option by PGL. And then staff also came out, ICC staff came out and recommended option three also that has about $7.2 billion of spending over the period.

當然。這是個好問題，第三個選擇就是讓大家達成共識。第三種選項涉及支出，它是支出選項之下的選項，也是 PGL 的首選選項。然後工作人員也出來了，ICC 工作人員也出來了，並推薦了第三種方案，該方案在此期間的支出約為 72 億美元。

When you look at what we put together in the five-year plan. And Xian and I don't like to have much any white space if any in our five-year plan, so we took the capital down just to the emergency work and the work needed for facility relocates. So that's about $90 million a year in our plan for the next five years. So if this plan would get picked up, I think that could be an upside of maybe $100 million to $150 million, maybe $200 million a year. But remember if they would pick that, we ramp down those projects very quickly of what we're doing. So it take a while to ramp back up. But we took basically just the bare minimum and put in our current five-year plan, so there would be upside if one of these options is selected.

當你看到我們所製定的五年計劃。我和西安都不希望我們的五年計畫中出現太多空白，所以我們將資金用於緊急工作和設施搬遷所需的工作。所以，我們計劃在未來五年內每年投入約 9,000 萬美元。因此，如果這個計劃被採納，我認為每年的收入可能會增加 1 億到 1.5 億美元，甚至 2 億美元。但請記住，如果他們選擇這樣做，我們很快就會減少正在進行的項目。因此需要一段時間才能恢復。但我們基本上只採用了最低限度並納入了我們目前的五年計劃，因此如果選擇其中一個選項，就會有好處。

Did that answer your question?

這回答了你的問題嗎？

Michael Sullivan, Wolfe research.

邁克爾·沙利文，沃爾夫研究。

Scott, maybe I just wanted to ask for a little more color on the Wisconsin case that you have pending and maybe why you weren't able to settle there, what some of the sticking points might be and how you're feeling about the final order coming up.

斯科特，也許我只是想問一下你正在等待的威斯康星州案件的更多信息，也許你為什麼不能在那裡和解，其中的一些癥結可能是什麼，你對最終結果有什麼感受訂單即將到來。

Sure. So we are extremely far in the Wisconsin case. When you think about the Wisconsin case, we've gone through all the hearings. In fact, the final decision matrix just came out the other day. So we're about as far along in the Wisconsin case we've ever been this time of the year. So right now, the next step is the commission making a decision which they usually do. Historically, it's been the first week in December -- the first or second week in December, but they're far along and they've got everything ready for a decision.

當然。因此，我們在威斯康辛州的案件上已經走了很遠。當你想到威斯康辛州的案件時，我們已經經歷了所有的聽證會。事實上，最終的決策矩陣前幾天才剛出來。因此，今年這個時候，威斯康辛州的案件進展已經是相當順利了。因此現在，下一步是委員會做出他們通常會做的決定。從歷史上看，通常是在 12 月的第一周——12 月的第一周或第二週，但他們已經做好了一切準備來做出決定。

Now, the idea of a settlement -- and we talked a little bit about settlement. We're very happy where the staff position came out. I think everyone still related to two years ago on the settlement that we had in Wisconsin, I think everyone wants to just see the commission go through a case. I'm very comfortable with the commission going through a case and deciding going through the decision matrix.

現在，關於和解的想法——我們已經討論了一些有關和解的問題。我們對員工職位的出爐感到非常高興。我想大家仍然對兩年前我們在威斯康辛州達成的和解協議感到疑惑，我想大家都想看看委員會如何處理這個案件。我非常樂意讓委員會審理案件，並按照決策矩陣做出決定。

So we just weren't able to come up to a settlement, but I'm not concerned about that. I think overall, our commission is filled with really balanced individuals that understand the importance of reliability and the economic development in the region. So we're ready for a decision. We just couldn't get there in the settlement, but that's not all bad either. I think everyone wants to see what's going on here.

所以我們只是無法達成和解，但我並不擔心這一點。我認為總體而言，我們的委員會充滿了真正平衡的人員，他們了解可靠性和該地區經濟發展的重要性。因此我們已經準備好要做出決定了。我們只是無法到達那裡，但這也不全然是壞事。我想每個人都想看看這裡發生了什麼事。

Did that answer your question.

這回答了你的問題嗎？

Yeah, it does. Yeah, very helpful, Scott.

是的。是的，非常有幫助，斯科特。

And then I just had two questions just on the earning side. On this ATC ROE that you're going to book in Q4, I guess how should we think about why you are not raising guidance for that or what would have happened if you didn't -- weren't able to book that?

然後我只有兩個關於獲利方面的問題。對於您將在第四季度入帳的 ATC ROE，我想我們應該如何思考為什麼您不提高對此的指導，或者如果您不這樣做會發生什麼——無法入帳？

No, that's a good question and things move around in their forecast. And it came through there. We just got a little bit of timing and some other expenses that we anticipate maybe would come through a little bit better, but timing, we got to make sure we execute on it. So factoring it all in and we went through and factored everything through here and comfortable with keeping the guidance where it's at.

不，這是個好問題，事情會按照他們的預測而改變。然後它就從那裡傳來了。我們只是得到了一點時間，並且我們預計一些其他費用可能會更好地實現，但是時間，我們必須確保我們能執行它。因此，我們將所有因素都考慮進去，並仔細考慮了這裡的所有因素，以便放心地保持現有的指導方針。

Okay. And then the last one (multiple speakers)--

好的。最後一句（多位發言者）——

Michael, this is Xia.

邁克爾，這是夏。

Just remember, we had a really mild first quarter. Year to date, we're $0.06 behind our weather. So like Scott said, there are lots of things that have developed throughout the year and this $0.05 will help us offset some of the weather deficit.

請記住，我們的第一季表現非常溫和。今年迄今為止，我們的天氣狀況比預期差了 0.06 美元。所以就像斯科特所說的，一年中發生了很多事情，這 0.05 美元將幫助我們抵消部分天氣赤字。

Okay, appreciate that color.

好的，欣賞那個顏色。

And then the last one for me just to level set ahead of December here. So can you just remind what the base is for your long-term EPS CAGR? And will that shift with the December update? And how do we think about the potential to get back in that 6.5% to 7% range after being short of that this year based on your guide?

對我來說最後一個任務就是在 12 月之前設定好水平。那麼，您能否提醒一下您的長期每股盈餘複合年增長率的基礎是什麼？12 月的更新會改變這種情況嗎？根據您的指導，在低於今年的 6.5% 至 7% 的水平之後，我們如何看待回到這一範圍的潛力？

Sure. And our 6.5% to 7% and we are still using the 2023 base. I think it was $4.60 as our starting point for our guidance because last year because of the Illinois decision and some adjustments we had to do there and timing of when we could do our capital investments, so we're keeping that 2023 base this year. As we look at our long-term guidance, we will -- we got to get through the rate case here and we'll come out with our plan next -- in December after we get through that.

當然。我們的成長率為 6.5% 至 7%，我們仍使用 2023 年的基準。我認為我們的指導起點是 4.60 美元，因為去年由於伊利諾伊州的決定以及我們必須在那裡做出的一些調整以及我們進行資本投資的時間安排，所以今年我們將保持 2023 年的基準。當我們審視我們的長期指導時，我們必須解決這裡的利率案例，然後在 12 月推出我們的計劃。

Neil Kalton, Wells Fargo Securities.

富國證券的尼爾卡爾頓 (Neil Kalton)。

So quick question, Scott, you opened up talking about the Microsoft that they acquired more land. I think you said 1,900 acres. Is that correct in total?

那麼快速提問，斯科特，你開始談論微軟獲得了更多的土地。我想你說的是1,900英畝。整體來說正確嗎？

Correct. So at the beginning of the year, they started about 1,300, and now they're up to 1,900 acres.

正確的。因此，今年年初他們開始種植約 1,300 英畝土地，現在已經達到 1,900 英畝。

Okay, perfect.

好的，完美。

And then in terms of the CapEx refresh, I know you're waiting on Microsoft to lay out additional plans what they intend to do? Was there anything in this CapEx revision that incorporated potential spend for what they might do like to some extent or is that still all to be determined all on the [come]?

然後就資本支出更新而言，我知道您正在等待微軟制定他們打算做的額外計劃？這次資本支出修訂中是否有任何內容包含了他們可能在某種程度上想要的潛在支出，或者這一切還有待確定[來]？

So what this has been and what we talked about is 1,800 megawatts of capacity for the region over this five-year period, which includes Microsoft, which includes getting some demand in from some electric vehicles, and all the other economic development in the region. So that's 1,800 megawatts. Just to put that in perspective, our system is about 7,500 megawatts. So it's a little over 20% growth in capacity or demand needs in the region.

所以，我們所討論的是，在這五年期間，該地區的發電容量將達到 1,800 兆瓦，其中包括微軟，包括一些電動車的需求，以及該地區的所有其他經濟發展。這就是 1,800 兆瓦。為了更直觀的理解，我們的系統大約有 7,500 兆瓦。因此該地區的產能或需求成長略高於20%。

So all of that is factored into our five-year plan. But just like many other companies, we are getting inquiries from a variety of other data centers. We just don't come out with a number until we really feel comfortable that it's actually going to happen. But if there would be any upside from any future stuff, that would probably be in those outer half of the plan. But based on the conversations, there's just a lot of good discussion on continued economic development in the region.

所有這些都已納入我們的五年計劃中。但與許多其他公司一樣，我們也收到來自各種其他資料中心的詢問。除非我們確實確信這件事確實會發生，否則我們不會公佈具體數字。但如果未來有任何好處的話，那可能就包含在計畫的外半部中。但根據對話，關於該地區經濟持續發展有很多很好的討論。

Okay. Got it.

好的。知道了。

And then, I mean, so just -- and maybe there's only [limited to what as to] what you can say. But like if Microsoft were to formally announce a phase two, would that be something that would necessitate more capacity?

然後，我的意思是，所以只是——也許你能說的只有[有限的內容]。但是，如果微軟正式宣布第二階段，是否需要更多的容量？

That would have to see what they're -- I mean, Microsoft is -- we'll let Microsoft make their announcements. Working with them on the demand, I'm not sure if that actually includes some other phases or not. They just -- we work with them on the demand over the period, and keep it inside baseball here, unfortunately, but that's the way they want to do it, which is fine.

那就得看看他們是什麼——我的意思是，微軟是什麼——我們會讓微軟發布他們的公告。根據需求與他們合作，我不確定是否實際上包括其他階段。他們只是——我們根據他們在這段時間內的需求進行合作，並將其保留在棒球界，不幸的是，但這就是他們想要做的方式，這很好。

Andrew Weisel, Scotia Bank.

加拿大豐業銀行的安德魯‧韋塞爾 (Andrew Weisel)。

Want to clarify a little on the CapEx update. Obviously, some very big numbers here and I appreciate the granular detail on the moving pieces. One, I wanted to clarify was electric generation. You'd showed that the total on page 18 went up by $3.7 billion but the commentary on page 17 really only calls out $3 billion. You show the regulated renewables and the natural gas generation. We're missing about $700 million. So what else is in that bucket?

想要稍微澄清一下資本支出更新的狀況。顯然，這裡有一些非常大的數字，我很欣賞移動部件上的細節。首先我想澄清的是發電。您顯示第 18 頁的總額增加了 37 億美元，但第 17 頁的評論實際上只提到了 30 億美元。您展示的是受監管的再生能源和天然氣發電。我們損失了大約 7 億美元。那麼桶子裡還有什麼？

And then it looks like (multiple speakers) about a $100 million increase for natural gas distribution. Would I be correct is that just higher day-to-day spending and cost inflation? Or have you made some assumptions around regulation and policy changes in Illinois compared to the assumptions you made when you gave the last update in February?

然後看起來（多位發言者）天然氣分配增加了約 1 億美元。我說的對嗎？或者，與您在 2 月上次更新時所做的假設相比，您是否對伊利諾伊州的法規和政策變化做出了一些假設？

Yeah, good questions. Really quick analysis of the numbers.

是的，好問題。對數字進行非常快速的分析。

So when you look at the gas distribution and you go behind the numbers, it's actually a decrease in Illinois and an increase in the other parts of the service territory Wisconsin, Michigan, and Minnesota as it relates to adding capital for good customer growth and just other area expansion.

因此，當你查看天然氣分佈並仔細研究數字時，你會發現伊利諾伊州的天然氣供應量實際上在減少，而威斯康辛州、密西根州和明尼蘇達州等其他服務地區的天然氣供應量則在增加，這是為了增加資本以實現良好的客戶成長。

I think as you look at the FIMSA rules, there could be some requirements that more capital is needed until we see the final FIMSA rules. It's hard to really handicap the final number. So that's really a plus in the other areas a little declined in Illinois.

我認為，當您查看 FIMSA 規則時，在我們看到最終的 FIMSA 規則之前，可能會有一些需要更多資本的要求。很難真正預測最終的數字。因此，這對於伊利諾伊州其他略有衰退的地區來說確實是一個優勢。

And in the generation, you're exactly right. There's probably about another $700 million, that's in a variety of projects across the enterprise from looking at upgrading a wind farm to get some additional power -- production tax credits, to adding some more resilience and a few of our generating plants to looking at other different types of backup storage just to make sure we have that additional resilience. So it's a variety of items all in that generation area just so we can make sure we continue to hit that demand.

就這一代人來說，您說得完全正確。可能還有另外 7 億美元，用於整個企業的各種項目，從升級風力發電場以獲得一些額外的電力——生產稅收抵免，到增加一些彈性和一些發電廠，再到考慮其他不同類型的備份儲存只是為了確保我們具有額外的彈性。所以，該生產領域中有各種各樣的產品，這樣我們才能確保繼續滿足需求。

Okay, great. That's very helpful.

好的，太好了。這非常有幫助。

Then on the transmission side, you increased it by $200 million. Is that all related to near-term economic development? Would I be correct in assuming that the MISO tranche 2 stuff is more outside of the forecast period?

然後在傳輸方面，你將其增加了 2 億美元。這一切都與近期的經濟發展有關嗎？我是否可以正確地假設 MISO 第二部分的內容超出了預測期？

Yeah, you're exactly right.

是的，你完全正確。

More of the MISO tranche 2 is going to be after this -- most likely after this five-year plan. Maybe a little bit at the very end, but most of it's going to be after the five-year plan, but we'll know more of that in the final numbers come December.

更多的 MISO 第二期資金將用於此 — — 最有可能的是在本五年計劃之後。可能最後會有一點變化，但大部分變化將在五年計畫之後出現，不過我們將在 12 月的最終數據中了解更多。

Very good.

非常好。

And one last one here on the load growth, I think you said you're now expecting 1,800 megawatts of incremental load that's up from 1,400 megawatts. I don't think you commented on what that means in terms of percentage load growth forecast. Is that something that you can share now or is that something you plan to share at EEI.

最後一個關於負載成長的問題，我記得您說過，現在預計增量負載將從 1,400 兆瓦增加到 1,800 兆瓦。我認為您沒有評論這對百分比負載增長預測意味著什麼。這是您現在可以分享的內容嗎？

Sure, we can talk about it now.

當然，我們現在可以談論它。

So when it looks at a megawatt-hour basis and I think these are probably on the low side, but we extended that 4.5% to 5% electric sales growth through 2029, so we continue to see the volumes on a megawatt-hour basis and on a megawatt basis, we are at -- up 1,800 on a base of about 7,500. So that's a little over a 20% increase in the demand on our sales. It's a very, very significant demand increase. And I really look at the demand as being a key component because that's really where we have to build the dispatchable resources too to make sure we have enough demand and capacity hit on those peak days.

因此，當以兆瓦時為基礎時，我認為這些可能偏低，但我們將 4.5% 至 5% 的電力銷售成長率延長至 2029 年，因此我們將繼續以兆瓦時為基礎來觀察銷量，以兆瓦計算，我們在約7,500 兆瓦的基礎上增加了1,800 兆瓦。因此我們的銷售需求增加了20%多一點。這是非常非常顯著的需求成長。我確實認為需求是一個關鍵因素，因為這也是我們必須建立可調度資源的地方，以確保在高峰日有足夠的需求和容量。

Did that makes sense?

這樣有道理嗎？

Yeah. Thank you so much.

是的。太感謝了。

Sophie Karp, KeyBanc Capital Markets.

KeyBanc 資本市場公司的 Sophie Karp。

So it's a great update all around, right? Your load growth is going higher. Very, very healthy capital update as well. Wisconsin rate case is in its going to last innings already. Is there any reason why I guess you wouldn't raise the EPS growth rate when you do refresh your guidance in December? Like are there any like offsetting factors we are missing here that would prevent that from happening?

所以總的來說這是一個很棒的更新，對吧？您的負載成長越來越高。資本更新也非常非常健康。威斯康辛州利率案已進入最後階段。我猜當您在 12 月更新指引時，您不會提高每股盈餘成長率，有什麼原因嗎？例如，我們是否忽略了某些抵銷因素，可以防止這種情況發生？

That's a good question.

這是個好問題。

And when we looked at it we did -- we added capital in Wisconsin, we also reduced it in the WEC infrastructure, but also looked at Illinois and reducing it. So as we look at it and add in the equity needs and the debt needs, we're very comfortable with that 6.5% to 7%. We do have to get through the Wisconsin rate case and really hear what goes on in our safety modernization program in Illinois, which we'll hear in the first quarter of next year. But it's really just being realistic on the financing plans associated with our capital spending and taking down capital in some of the other areas.

當我們審視這個問題時，我們確實在威斯康辛州增加了資本，在 WEC 基礎設施方面也減少了資本，同時也考慮了伊利諾伊州並減少了資本。因此，當我們考慮並增加股權需求和債務需求時，我們對 6.5% 到 7% 的比例感到非常滿意。我們確實必須解決威斯康辛州的費率案例，並真正了解伊利諾伊州安全現代化計劃的進展情況，我們將在明年第一季聽到消息。但這實際上只是針對與我們的資本支出相關的融資計劃以及在其他一些領域削減資本採取現實態度。

Durgesh Chopra, Evercore ISI.

Durgesh Chopra，Evercore ISI。

I got some Haribo Gummy Bears sitting outside my front door. That's my trick or treat.

我的前門外面放著一些 Haribo 小熊軟糖。這就是我的搗蛋計畫。

Excellent. Thank you for supporting the community.

出色的。感謝您對社區的支持。

There you go. And they are from -- sourced from Milwaukee. Okay. (laughter) So fantastic.

就這樣。它們來自密爾瓦基。好的。（笑聲）太棒了。

So couple of questions. Xia, just -- I know you talked about 50% of the capital funded through equity but when I compare plan, the prior plan over the current plan, the CapEx has gone up $4.3 billion, but the equity has only gone up roughly $1 billion. It's gone up from like $2 billion and change to $3 billion at the midpoint of the current guidance range. So maybe just why is it -- I would have thought that the equity is a lot higher. Maybe just help us bridge the two plan equity issuances between the two plans, please.

有幾個問題。夏先生，我知道您談到了透過股權融資的50% 的資本，但當我比較計劃時，之前的計劃與當前的計劃相比，資本支出增加了43 億美元，但股權僅增加了約10 億美元。它已從目前指引範圍的中點 20 億美元上升至 30 億美元。所以也許只是為什麼──我以為股權會高很多。也許只是幫助我們在兩個計劃之間架起兩個計劃的股權發行的橋樑。

Yeah, I'd be happy to.

是的，我很樂意。

So the last plan, remember, the range was $1.95 billion to $2.35 billion. This plan, the range is $2.7 billion to $3.2 billion. So to your point is roughly about $800-million increase in common equity. We also are adding some holding company that particularly are using maybe some hybrid that would give us 50% of the equity content. So if you include that, plus the $800 million of common equity, that's the around $2-billion increase in equity content. So our capital has gone up $4.3 billion. We're adding a little over $2 billion of equity content, including the $800 million of common equity.

所以請記住，上一個計劃的範圍是 19.5 億美元到 23.5 億美元。該計劃的規模在27億美元至32億美元之間。所以就你的觀點來看，普通股權益增加了約 8 億美元。我們也增加了一些控股公司，這些公司特別採用某種混合模式，可以為我們帶來 50% 的股權。因此，如果將其包括在內，再加上 8 億美元的普通股，那麼股權內容將增加約 20 億美元。所以我們的資本增加了43億美元。我們增加了略高於 20 億美元的股權內容，其中包括 8 億美元的普通股。

Got it. As always, that is crystal clear. Thank you, Xia.

知道了。一如既往，這一點非常清楚。謝謝你，夏。

And then maybe just quickly wanted to follow up on Delilah Solar. Is the plan that's still that it -- it completed construction and goes into service by the end of the year. Is that still on track?

然後也許只是想快速跟進一下 Delilah Solar。計劃仍是那樣——它將於今年年底完工並投入使用。這仍然在進行中嗎？

Yes, that is correct. Delilah, Maple Flats are both on track by the end of the year.

是的，正確。到今年年底，Delilah 和 Maple Flats 都將步入正軌。

Jeremy Tonet, JP Morgan.

摩根大通的傑里米·托內特 (Jeremy Tonet)。

Just wanted to go into the addition of gas generation and how that contributes to LNG operations overall. If you have any thoughts, you could share there.

只是想談談天然氣發電的增加以及這對整個液化天然氣運作的貢獻。如果您有任何想法，可以在那裡分享。

Sure. And we're adding more gas generation and as you can imagine, we want to make sure that we have that -- it's a bit dispatchable gas -- our own gas within the state of Wisconsin to make sure we can run the generation and keep the houses warm on the gas side. So we added another 2 Bcf in our plan. Literally, the one that we're looking at and we filed that the commission is sitting where a coal pile used to sit. So having that stored energy or stored fuel in the state of Wisconsin near the power plants are very helpful to make sure on those coldest days of the year that we have enough energy in the state to be able to run those plants.

當然。我們正在增加更多的天然氣發電量，你可以想像，我們希望確保我們有這種可調度的天然氣，也就是我們威斯康辛州自己的天然氣，以確保我們能夠運行發電並保持房屋靠天然氣供暖。因此我們在計劃中又增加了20億立方英尺。確切地說，我們正在審查的委員會就坐落在一個曾經是煤堆的地方。因此，在威斯康辛州發電廠附近儲存能源或燃料非常有幫助，可以確保在一年中最冷的日子裡，該州有足夠的能源來運作這些發電廠。

A couple years ago, we had a -- one of our pipelines, not our pipeline, but one of our vendors suppliers' pipeline had a compressor issue that really made the state of Wisconsin really thin on natural gas. So having those LNG tanks are going to be very critical to keep that reliability.

幾年前，我們的一條管道（不是我們的管道，而是我們的一個供應商的管道）的壓縮機出現了問題，這導致威斯康辛州的天然氣供應非常緊張。因此，擁有這些液化天然氣儲存槽對於保持可靠性至關重要。

Got it. Very helpful there.

知道了。非常有幫助。

And then going a bit further here with -- there's a big call on generation broadly in the country and just wondering if you could provide us thoughts on reserve margins how it stands now where it could be going. And as it relates to gas generation, coal generation -- coal in particular, does it affect retirement timelines given this greater need? And at the same time, could CCS be part of the answer here? Just wondering if you have thoughts on these topics.

然後進一步說一下——全國範圍內對發電的呼聲很高，我只是想知道您是否可以為我們提供有關儲備利潤率的想法，目前它的狀況如何，以及它可能會如何發展。而就其與天然氣發電、煤炭發電（尤其是煤炭發電）的關係而言，考慮到這種更大的需求，它是否會影響退役時間表？同時，CCS 能成為這個問題的部分答案嗎？只是想知道您對這些主題是否有想法。

Sure. And gas generation is critical for us as we look at having something dispatchable. I mean, today the wind is blowing but some days the wind doesn't blow or the sun isn't shining. So we are looking at building our generation, the mix renewables, and gas generation and just to make sure we're staying ahead of the reserve margin that's needed for (inaudible) and they've continued to evolve their rules as more renewables appropriately as more renewables get on the system to make sure they have seasonal demand and the load following type of needs here and the capacity. So that is very important for us as we continue to grow out our capacity plans.

當然。當我們考慮擁有可調度的東西時，天然氣生產對我們來說至關重要。我的意思是，今天有風，但有些日子卻沒有風或太陽。因此，我們正在考慮建造我們的發電廠，混合可再生能源和天然氣發電，只是為了確保我們保持領先於所需的儲備裕度（聽不清楚），他們一直在不斷發展他們的規則，因為更多的再生能源是適當的更多的再生能源進入系統，以確保它們具有季節性需求和負載追蹤類型的需求和容量。因此，這對我們持續擴大產能計畫來說非常重要。

And what was your second part?

你的第二部分是什麼？

Carbon capture with regards to gas generation and just coal plant retirements in general -- the generation (multiple speakers)--

就天然氣發電和一般煤電廠退役而言，碳捕獲－發電（多位發言者）——

In the carbon capture for us, we don't have any natural place to store the carbon here in Wisconsin. And if we had to do carbon capture, we think it would cost our customers $1 billion to $2 billion more in order to do carbon capture and to haul it someplace that you look at where you're going to store it and then you have the transmission of it. So we of course, looked at it. Is it possible? It just did not seem viable and cost effective for our customers versus the plan that we're developing here and we laid out in front of you.

就我們的碳捕獲而言，在威斯康辛州我們沒有任何天然的地方來儲存碳。如果我們必須進行碳捕獲，我們認為我們的客戶將需要多花費 10 億到 20 億美元來進行碳捕獲並將其運送到您要儲存的地方，然後您就會得到它的傳輸。因此我們當然會看一下它。是否可以？與我們正在製定並向您展示的計劃相比，這對我們的客戶來說似乎不可行且不具成本效益。

And when you think about the coal retirements, we already retired Oak Creek 5 and 6. The other units 7 and 8, we plan to retire at the end of 2025. And we're doing that because we're putting in some of the more efficient gas generation. And to be quite honest, if we weren't going to retire 7 and 8, we'd have to add additional capital to those plants to have them extend longer and add the carbon capture.

當您考慮煤炭退休時，我們已經退役了 Oak Creek 5 號和 6 號煤礦。另外 7 號和 8 號機組，我們計劃在 2025 年底退休。我們這樣做是因為我們正在投入一些更有效率的天然氣發電。老實說，如果我們不關閉 7 號和 8 號機組，我們必須向這些工廠投入額外資金，延長其運行時間並增加碳捕獲量。

So those are still planning being retirement. Some of the plants like Western 3, we plan on retiring by 2031. We all -- we continue to look; does it make sense to use natural gas there? Some other fuel. I don't know if it'd be economical or not, but it really hasn't adjusted much of our coal adjustments either -- our coal fine retirements.

所以那些人仍在計劃退休。我們計劃在 2031 年之前關閉西部 3 號等一些工廠。我們大家－我們繼續觀察；在那裡使用天然氣有意義嗎？一些其他燃料。我不知道它是否經濟，但它實際上也沒有對我們的煤炭調整——我們的煤炭罰款退役——進行太多調整。

Got it. That's very helpful. Thank you for that.

知道了。這非常有幫助。謝謝你。

And just one last quick one, if I could as far as '25 funding needs are concerned for equity content. Just wondering, is it makes sense for the ATM? Could we see a block? How much transferability, I guess, is in the mix here?

最後我只想快速問一下關於 25 年股權融資需求的問題。只是想知道，這對 ATM 來說是否有意義？我們能看到一個街區嗎？我猜想，這裡有多少可轉移性呢？

Sure. I'll let Xia take that one.

當然。我請夏拿那個。

Yeah, so we have -- remember we still have the employee benefit plans on, so that will be part of the equity rate for next year. So the ATM should handle the remaining piece fairly easily. So we don't plan to have a block sale right now.

是的，所以我們有——記住我們仍然有員工福利計劃，所以這將成為明年股權利率的一部分。因此 ATM 應該可以相當輕鬆地處理剩餘部分。因此我們現在不打算進行大宗銷售。

The tax credits are already included in the FFO. So on average, we've been selling $100 million to $200 million so far. And as we continue to add renewable projects, that number could grow a little bit, but those are already assumed in the FFO.

稅收抵免已包含在FFO中。所以到目前為止，我們的平均銷售額已經達到 1 億到 2 億美元。隨著我們繼續增加再生能源項目，這個數字可能會略有增長，但這些已經在 FFO 中假設了。

Nicholas Campanella, Barclays.

巴克萊銀行的尼古拉斯‧坎帕內拉 (Nicholas Campanella)。

So just one for me, a lot of things have been answered, I guess just decomposing that 8.8% asset based growth figure, it does seem like a lot of the growth is coming from Wisconsin. So just what's rate-based growth outlook in Wisconsin as you see it today versus what you've been trending at or executing at the past few years?

所以對我來說，很多問題都已經得到解答了，我想只要分解一下 8.8% 的資產成長數字，似乎很多成長來自威斯康辛州。那麼，您今天看到的威斯康辛州基於利率的成長前景與過去幾年的趨勢或執行情況相比如何？

And that's it for me. Thanks.

對我來說這就是全部了。謝謝。

So when you look at the 8 -- the rate base go through Wisconsin, it's got to be, oh, I don't know. I imagine between 14% and 15% pretty significant rate-based growth. But remember that's where all the economic growth is.

所以當你看到 8 —— 利率基數經過威斯康辛州時，它必須是，哦，我不知道。我認為 14% 至 15% 之間的成長率是相當可觀的。但請記住，所有的經濟成長都來自那裡。

And when you look at the economic growth and we usually look at the growth and try to break it into different components being whether it's growth from sales, growth from resiliency, and a lot of our growth. I would say, I don't know, $8 billion to $9 billion that is related to economic development and growth of the support of the economy.

當你觀察經濟成長時，我們通常會嘗試將其分解為不同的部分，包括銷售成長、彈性成長以及我們的許多成長。我想說，我不知道，80億到90億美元與經濟發展和經濟支撐成長有關。

So it's really driven that that sales are going to help grow into that, so that's significant. And then ATC has good growth. So we're also growing a lot in the American Transmission company which is Wisconsin-based also the FERC regulated. So a lot of growth in Wisconsin largely driven by economic development.

因此，這確實有助於推動銷售成長，因此這很重要。ATC 的成長表現良好。因此，我們在位於威斯康辛州的美國輸電公司也取得了長足的發展，該公司也受到聯邦能源管理委員會的監管。威斯康辛州的成長很大程度上是由經濟發展所推動的。

Yeah, Nick, 40% of our -- for -- this is Xia. 40% of our total capital is we call the growth capital. So that comes with the large customers paying for their required demands and the related cost. So we feel good about the growth in Wisconsin and also the driver for it.

是的，尼克，我們的 40% — — 這是夏。我們總資本的 40% 稱為成長資本。因此，大客戶需要支付他們所需的需求和相關費用。因此，我們對威斯康辛州的成長及其推動力感到滿意。

Paul Patterson, Glenrock Associates.

保羅·帕特森（Paul Patterson），Glenrock Associates。

Just to follow things up. Is there any change -- well, first of all, could you just remind me what your -- what the rate increase outlook is given the new CapEx program if it's changed at all and just what it is again.

只是為了跟進事情。有什麼變化嗎？

Sure. And we're right now going through the rate case in Wisconsin. So if you go out and you're starting to look at '27 to 2030, you got to break it into this capital, as Xia said a lot of it's being supported by economic development. So I think rate increases will be in line with inflation. We do have some reliability projects that we're putting in place that we're doing some overhead to underground, to add more stability as we continue to see some stronger weather patterns and wind patterns across the state. So that may take it up maybe 1% above inflation. But for the most part, a lot of this capital is being driven by economic development, which will come with megawatt hours and megawatt sales.

當然。我們現在正在審理威斯康辛州的利率案件。因此，如果你出去並開始著眼於 2027 年至 2030 年，你就必須將其分解為資本，正如夏所說的，其中許多都得到了經濟發展的支持。因此我認為利率上調將與通膨保持一致。我們確實正在實施一些可靠性項目，我們正在將一些架空設施轉移到地下，以增加穩定性，因為我們繼續看到全州一些更強勁的天氣模式和風向。因此這可能會導致通膨率上升約 1%。但在大多數情況下，這些資本很大一部分是由經濟發展所推動的，而經濟發展將伴隨著兆瓦時的發電量和兆瓦的銷售量。

So it's not like it's all on the back of our retail customers at any needs. And Microsoft has said, and they put in their testimony, they understand and they need to pay their fair share. They don't plan on subsidizing anyone else, but they also realize that they're not supposed to get subsidized either. So they have been perfect. And as we look at potentially other data centers coming in, that's the playbook to make sure everyone pays their fair share appropriate amount.

因此，這並不意味著我們的零售客戶需要承擔全部責任。微軟也表示，並在證詞中表示，他們理解這一事實，並且需要支付應付的份額。他們不打算補貼任何人，但他們也意識到他們也不應該得到補貼。所以他們是完美的。當我們考慮其他可能加入的資料中心時，這就是確保每個人都支付合理份額的策略。

And then on the -- I apologize if I missed this but, but it looked like there was a big increase in gas normalized sales in commercial or something for Q3 when I looked at your (multiple speakers)--

然後——如果我錯過了這一點，我很抱歉，但是，當我查看你的數據時，我發現第三季度商業天然氣標準化銷售額或其他方面似乎大幅增加。（多位發言者）——

Yeah, and we can -- when you look at Q3, commercial industrial. Yeah, it was up a little bit. Q3 is such a small volume quarter that any little change can affect it. So I would not read much into it. I would look more at the year to date where we are. Q3 that could have been just an anomaly with the meter issue is something that I mean there's so small of volumes in that quarter. You got to really look at the year to date.

是的，我們可以——當你看第三季的商業工業。是的，稍微上漲了一點。Q3 是一個交易量很小的季度，任何小的變化都可能對其產生影響。所以我不會對此進行過多的解讀。我會更專注於今年迄今為止的情況。Q3 可能只是電錶問題導致的異常，我的意思是該季度的銷售太少了。你必須認真回顧今年迄今為止的情況。

All right, thanks, everyone. That concludes our conference call for today. Thank you for participating. If you have any more questions, please feel free to contact Beth Straka at (414) 221-4639.

好的，謝謝大家。今天的電話會議到此結束。感謝您的參與。如果您還有其他問題，請隨時聯絡Beth Straka，電話：（414）221-4639。

Call has now ended. You may now disconnect.

通話已結束。您現在可以斷開連線。