Power PR - Securing Iowa's Energy Future
MidAmerican Energy Holdings Company, Omaha, Neb.
Situation
Privately held MidAmerican Energy Company (MEC) is the Des Moines-based subsidiary of Omaha, Neb.-based MidAmerican Energy Holdings Company, a Berkshire-Hathaway company. MEC is the largest utility in Iowa and serves more than 680,000 electric customers and more than 660,000 natural gas customers in a 10,600 square-mile area from Sioux Falls, SD to the Quad Cities area of Iowa and Illinois. In early 2001 the company was faced with a rate case before the Iowa Utilities Board (IUB) because the company’s existing rates did not support necessary expenditures to maintain a reliable, reasonably priced electric system. MEC engaged in settlement discussions with Iowa’s politically savvy Office of Consumer Advocate, which made progress but did not bear fruit. While MEC wanted to raise electric rates by $55 million, OCA filed a petition with IUB to reduce MidAmerican’s Iowa electric rates by approximately $20 million – a $77 million gap.
PR Action
MidAmerican Energy retained Des Moines, Iowa-based Hanser & Associates (H&A) to create a winning PR strategy and implement the statewide communications program. The firm helped develop and drive to the public the message that MEC would continue to provide dependable supplies of electricity at reliable and stable rates for the next five years if allowed to build additional generating capacity in Iowa.
H&A formulated a detailed communications plan. Then the firm’s seasoned team of PR professionals conducted media spokesperson training for MEC’s top executives; produced news video footage of the utility’s facilities that was used in television newscasts on TV stations across Iowa and in Omaha/Council Bluffs; wrote news releases, opinion-editorials, sample letters to editor, fact sheets, talking points, Q&A documents and graphics to support the case; created Web site content;; developed relationships with business trade associations or consumer advocacy groups across the state; enlisted third-party endorsers statewide; recommended statewide opinion polling and tracking throughout the campaign; conducted statewide news monitoring/clipping/analysis; and managed events to announce plans for construction of two new power plants.
Result
The PR campaign across Iowa and in Omaha, Neb. exceeded client expectations. With strong support of the public and legislative leaders, IUB approved MEC’s rate increase for the next five years and the Iowa legislature passed the bill authorizing construction of two power plants as part of the package. The PR campaign culminated in announcement ceremonies in August 2001, followed by dedications of new power plants in Pleasant Hill near Des Moines and in Council Bluffs, Iowa near the Omaha, Neb. airport. Let the power flow!