Heartland Energy literally helps power the growth of Sioux Falls and the surrounding area.
The Madison-based nonprofit, public power company provides wholesale electricity to municipal utilities throughout the region.
“In addition to reliable, affordable electricity, we offer a variety of programs and services to our customers, including energy efficiency, electrification, economic development and workforce development,” CEO Russell Olson said.
“We strive to be a partner to those we serve, offering technical expertise, educational opportunities and innovative energy solutions.”
Heartland Energy provides supplemental power to Sioux Falls under a long-term power sales agreement to its light and power division — one of four public utilities provided by the city.
It serves electricity to about 3,000 residential and commercial customers in the central and northern areas of Sioux Falls. Public buildings served include City Hall, City Center, Downtown Library, Denny Sanford Premier Center, Washington Pavilion, Water Purification Plant, Law Enforcement Center and several public school buildings.
“This is one of those quiet entities that helps literally serve as a backbone to economic growth,” said Bob Mundt, president and CEO of the Sioux Falls Development Foundation. “Reliable energy is key to supporting business activity, and Heartland Energy is not just a trusted utility partner but a community-minded one.”
Here’s a closer look at Heartland Energy, courtesy of Russell Olson.
Business name: Heartland Energy
Year founded: 1969
Year operations began in Sioux Falls: Heartland Energy began supplying supplemental wholesale power to Sioux Falls Light and Power in 2006.
Total employees in the Sioux Falls area: Heartland Energy is based in Madison with a total of 12 employees.
What are the top three reasons you continue to locate in the Sioux Falls area?
While Heartland is not located in Sioux Falls, the city is one of our largest wholesale customers, and we have a longstanding partnership with the city and its municipal utility. We continue to invest in this relationship because Sioux Falls is a growing community that values innovation, collaboration and long-term planning. Heartland has worked with the city on a number of initiatives. Sioux Falls was the first to take advantage of our Energy ONE Incentive, a special energy-only rate for new retail loads with an approximate demand of 1 megawatt or larger. The Denny Sanford Premier Center saw savings on their electricity bill of $1.2 million during their first five years of operation through the program. The same incentive was used to power the city’s Water Reclamation Plant, Public Safety Campus and Light, Power and Traffic building. These are essential new facilities crucial to the future growth and success of the city.
What are you most proud of within your business in the past year?
We are most proud of our rate stability. We have not implemented a rate increase for our customers in nine years. There are a lot of factors that have helped achieve this, including sound financial planning and forward-thinking. But economic development also plays a role. Anytime we see growth in our customer communities, we see a corresponding increase in electricity sales, which helps keep overall costs down for customers. Economic development has a ripple effect – what’s good for one of our communities is good for all of them. That’s why we offer a suite of economic development programs, including low-interest financing, growth incentives, the Energy ONE Incentive and a special rate for large, flexible loads.
What do you see as the biggest challenge facing your business?
Our greatest challenge is managing change. The electric utility industry is evolving faster than ever — from new technologies and increasing demand to changing regulations and customer expectations. Our responsibility is to help our customer utilities navigate those changes while staying true to our core mission of providing reliable, affordable wholesale power.
How would you describe the culture of your business in three words?
Collaborative. Forward-thinking. Reliable.
Why does your business choose to invest in Forward Sioux Falls?
Although Heartland Energy is headquartered in Madison, our commitment extends to every community we serve. As the wholesale power supplier for the City of Sioux Falls, we recognize that a strong local economy benefits the utility, its customers and the entire region. Investing in Forward Sioux Falls demonstrates our commitment to supporting economic growth, strengthening strategic partnerships and ensuring reliable, affordable energy for the businesses and residents who call Sioux Falls home.
What specific advantages or values have you found to partnering with Forward Sioux Falls and its programs?
Supporting Forward Sioux Falls demonstrates a commitment to the city’s long-term success and reinforces Heartland’s role as more than a power supplier — it is a strategic partner invested in the community’s future. A thriving Sioux Falls economy supports a healthy, growing utility system and helps ensure Heartland can continue providing value through reliable and cost-effective energy solutions. Forward Sioux Falls brings together business leaders, government officials, developers and community organizations. Participation creates opportunities to build relationships and demonstrate Heartland’s commitment to the region.
What are your expectations for your business in the year ahead?
The year ahead presents exciting opportunities for Heartland Energy and the communities we serve. We expect to continue strengthening relationships with our customer utilities, supporting economic development initiatives and investing in energy solutions that promote reliability, affordability and long-term sustainability. As communities continue to grow, we’ll remain focused on being a trusted partner that helps power that success.
Forward Sioux Falls is a joint venture between the Greater Sioux Falls Chamber of Commerce and the Sioux Falls Development Foundation and is widely respected as the premier economic driver for the Sioux Falls region. To learn more and connect, click here.