The Sierra Club's 2026 Dirty Truth Report delivers a damning assessment of We Energies, the Wisconsin-based utility company serving 1.6 million customers across Wisconsin and Michigan. The company scored 4 out of 100 possible points, marking its worst performance since the report launched six years ago and representing a 20-point collapse from its initial rating.
We Energies' deteriorating score reflects the company's failure to decarbonize its grid while demand from data center operators surges across the Upper Midwest. As artificial intelligence infrastructure expands, electricity consumption in the region accelerates. We Energies has not kept pace with emissions reductions required under Wisconsin's climate commitments and federal clean energy standards.
The utility continues to operate coal-fired plants that should have been retired during this decade. We Energies' fossil fuel generation mix remains substantially above the national average. The company's renewable energy procurement falls short of targets set by state regulators and advocacy groups. Most recently, We Energies approved a capital plan extending investments in natural gas infrastructure rather than prioritizing wind and solar deployment.
Data center operators choose Wisconsin partly because the state offers lower electricity costs and existing grid infrastructure. Tech companies including Meta and Google have announced large facilities in the region. These projects will add hundreds of megawatts of annual demand. Without aggressive decarbonization, We Energies will generate that power primarily from fossil sources, locking in decades of additional carbon emissions.
The Sierra Club's report methodology assigns points across categories including renewable energy percentage, coal retirement timelines, methane emissions reductions, and equity investments in low-income communities. We Energies scored lowest on its renewable energy deployment relative to peers and on the speed of its coal phase-out commitments. The company received zero points on several climate accountability metrics.
Wisconsin regulators at the Public Service Commission approved We Energies' latest integrated resource plan in 2023. The plan projects only modest renewable additions through 2030 while maintaining natural gas reliance. Environmental groups including the Sierra Club, Wisconsin Environmental Decade, and Clean Wisconsin filed formal objections. The PSC approved the plan anyway, citing economic considerations and grid reliability arguments presented by the utility.
We Energies spokesperson statements emphasize the company's compliance with existing state law and its ongoing investment in renewable energy projects. The utility notes that Wisconsin's regulatory framework differs from states with stricter clean energy mandates. We Energies has committed to carbon neutrality by 2050, a timeline well below the 2030s reductions that climate science requires.
The Dirty Truth Report, published annually by the Sierra Club's Beyond Coal and Clean Energy campaigns, ranks major US utilities on their progress toward decarbonization. Rankings inform consumer advocacy, shareholder pressure, and regulatory proceedings. Utilities scoring in the top tier (70-100) have committed to phasing out coal by 2030, sourcing 80 percent or more electricity from renewables, and addressing environmental justice concerns.
We Energies now ranks among the worst performers nationally. Only utilities in coal-heavy states like Wyoming and West Virginia score lower. The contrast matters for Wisconsin, where state law mandates a 100 percent carbon-free electricity supply by 2050. Current trajectories put We Energies far behind required decarbonization rates.