Joint Plant Ownership

9 Months Ended

Sep. 30, 2021

Public Utilities Property Plant And Equipment [Abstract]

Jointly Owned Electric Utility Plant

Joint Plant Construction Project Ownership - MGE Energy and MGE

MGE currently has ongoing jointly-owned solar generation construction projects, as shown in the following table. Incurred costs are reflected in "Construction work in progress" on the consolidated balance sheets.

	Ownership			Share of			Share of			Costs incurred as of September 30,			Date of Commercial
Project	Interest			Generation			Estimated Costs			2021(a)			Operation
Badger Hollow I(b)		33	%		50	MW	$	65	million	$	57.8	million	Q4 2021(c)
Badger Hollow II(b)		33	%		50	MW	$	65	million	$	11.5	million	December 2022(c)

(a)Excluding AFUDC.

(b)The Badger Hollow I and Badger Hollow II solar farms are located in southwestern Wisconsin in Iowa County, near the villages of Montfort and Cobb.

(c)Estimated date of commercial operation.

MGE received specific approval to recover 100% AFUDC on each of these projects. During the three and nine months ended September 30, 2021, MGE recognized $1.3 million and $3.6 million, respectively, after tax, in AFUDC for Badger Hollow I and II compared to $0.9 million and $1.8 million for the comparable periods in 2020.