WEC Energy Group (WEC) 10-K risk factor changes: FY2025 vs FY2024

Our business is significantly impacted by governmental [removed: regulation] [added: legislation, regulation,] and oversight.

We are subject to significant state, local, and federal governmental [added: legislation and] regulations, including regulations by the various utility commissions in the states where we serve customers.

[removed: These regulations] [added: Legislation and regulation] significantly influence our operating environment, may affect our ability to recover costs from utility customers, affect our ability to implement our corporate strategy, and cause us to incur substantial compliance and other costs.

Changes in [removed: regulations, interpretations of] [added: legislation or] regulations, [added: their interpretation,] or the imposition of new [added: legislation or] regulations could also significantly impact [removed: us, including requiring us to change] our business operations.

Many aspects of our operations are [removed: regulated and] impacted by government [removed: regulation,] [added: legislation and regulations,] including, but not limited to: the rates we charge our retail electric, natural gas, and steam customers; the authorized rates of return of our utilities; construction and operation of electric generating facilities and electric and natural gas distribution systems, including the ability to recover such costs; decommissioning generating facilities, the ability to recover the related costs, and continuing to recover the return on the net book value of these facilities; wholesale power service practices; electric reliability requirements; participation in the interstate natural gas pipeline capacity market; standards of service; issuance of securities; short-term debt obligations; transactions with affiliates; and billing practices.

If recovery [removed: of regulatory assets] is not approved or is no longer deemed probable, these costs would be recognized in current period expense and could have a material adverse impact on our results of operations, cash flows, and financial condition.

Changes in the local and national political, regulatory, and economic [removed: environment] [added: environment, including significant attention on energy affordability concerns,] have had, and may in the future have, an adverse effect on regulatory decisions, which could impair the ability of our utility subsidiaries to recover costs historically collected from customers.

[removed: In its November] [added: For example, the ICC's] 2023 final rate [removed: orders for PGL and NSG, the ICC] [added: order] disallowed certain previously incurred capital costs, which resulted in PGL and NSG recording impairment losses in the fourth quarter of 2023, and caused PGL to pause spending on its [removed: SMP.][added: PRP.]

[removed: On] [added: In addition, in] February [removed: 20,] 2025, the ICC issued an order setting expectations for PGL's prospective operations under its [removed: SMP.][added: PRP.]

The ICC [removed: also] indicated that failure to comply with this directive could subject us to civil penalties under Illinois statute.

[removed: Due to the expiration of the QIP rider,] PGL [removed: included] [added: will include] the costs of necessary infrastructure improvements related to the [removed: SMP] [added: PRP] in [removed: its] [added: future] rate [removed: case,] [added: cases,] thereby subjecting the recovery of these costs to regulatory lag.

[removed: There] [added: Otherwise, there] can be no assurance that all costs incurred under the QIP rider during the open reconciliation years, [removed: which include] [added: including] 2017 through 2023, will be deemed recoverable by the [removed: ICC.][added: ICC, which could have a material adverse impact on PGL’s, and correspondingly our, results of operations, financial condition, and liquidity.]

In addition, permits and other approvals and licenses are often granted for a term that is less than the expected life of the associated [removed: facility.][added: facility and may require periodic renewal, which may result in additional requirements being imposed by the granting agency.]

If we are unable to recover [added: regulatory compliance] costs [removed: of complying with regulations] or other associated costs in customer rates in a timely manner, or if we are unable to obtain, renew, or comply with [removed: these] governmental permits, approvals, authorizations, certificates, or licenses, our results of operations and financial condition could be materially and adversely affected.

Our operations are subject to extensive and evolving federal, state, and local environmental laws, regulations, and permit requirements related to, among other things, air emissions (including, but not limited [removed: to:] [added: to] CO2, methane, mercury, SO2, [added: NOx, ozone] and [removed: NOx),] [added: other pollutants),] protection of natural resources, water quality, wastewater discharges, [removed: and] management of hazardous and toxic substances and solid wastes and [removed: soils.][added: soils, and climate change.]

Certain of our service territories in Wisconsin are located in areas [added: that, in December 2024, were] determined to be in "serious" nonattainment status under the EPA's ozone standard.

[removed: This] [added: A] nonattainment status [added: of "serious"] could affect future permitting activities for our facilities, including additional costs associated with more strenuous emission control requirements or the need to purchase emission reduction credits.

In addition, economic growth in these areas may be constrained by the inability to obtain the required permits, limiting investment and expansion over the coming years, [removed: including] [added: impacting] our ability to execute on our capital plan.

We incur significant capital [added: costs] and [added: expend] operating resources to comply with environmental laws, regulations, and requirements, including costs associated with the installation of pollution control equipment; operating restrictions on our facilities; and environmental monitoring, emissions fees, and permits at our facilities.

We continue to assess the [removed: potential] cost of [removed: complying,] [added: compliance] and to explore different [added: compliance] alternatives [removed: in order to comply,] with these and other environmental regulations.

[removed: As a result] [added: The cost] of [removed: these] compliance [removed: costs] [added: with these regulations,] and other factors, [added: has resulted in] certain of our coal-fired electric generating [removed: facilities have become uneconomical to maintain and operate, which has resulted in these] units being retired or converted to an alternative type of [removed: fuel.][added: fuel, and may impact the future operations of our existing fossil-fueled generation.]

[added: We accrue liabilities and defer] costs (recorded as regulatory assets) incurred in connection with our former manufactured gas plant sites.

Our operations, capital expenditures, and financial results may be affected by the impact of greenhouse gas legislation, regulation, and [added: our] emission reduction [removed: goals.][added: goal.]

There has been significant attention to issues concerning climate change as well as activism from certain stakeholders, including institutional investors and other sources of financing, to accelerate the transition to [removed: lower and] limit GHG emissions.

Costs associated with such legislation, regulation, and [added: our] emission reduction [removed: goals] [added: goal] could be significant within our electric and natural gas operations.

New or additional [added: restrictive] GHG [removed: regulations, at either the federal] [added: legislation] or [removed: state level,] [added: regulations] may cause our environmental compliance spending to differ materially from the amounts currently estimated.

There is no guarantee that we will be allowed to fully recover [added: compliance] costs [removed: incurred to comply with] [added: of] these and other federal and state [removed: regulations] [added: regulations,] or that cost recovery will not be delayed or otherwise conditioned.

[removed: These regulations,] [added: GHG legislation, regulation, or the emission reduction goal,] as well as changes in the fuel markets and advances in [removed: technology,] [added: technology] could make [removed: additional] electric generating units uneconomic to [removed: maintain or operate,] [added: maintain,] may impact how we operate our existing fossil-fueled power plants and biomass facility, and could cause us to retire and replace units earlier than planned under our capital plan, which could lead to a possible loss on abandonment and reduced revenues.

Future [removed: local, statewide, or nationwide] actions like these to regulate GHG emissions [added: in our service territories] could increase the price of natural [removed: gas, reduce the] [added: gas resulting in reduced] demand [removed: for] [added: for, and revenues from,] natural gas, cause us to accelerate the replacement and/or updating of our natural gas delivery systems, and adversely affect our ability to operate our natural gas facilities.

In addition, financial investments in older [removed: carbon intensive] [added: carbon-intensive] technologies may not be fully realized.

[removed: Over the longer term, the target] [added: We have set a goal] for our generation fleet [removed: is] to be net carbon neutral by [added: the end of] 2050.

We [removed: have] [added: expect to be in] a [removed: goal] [added: position] to eliminate coal as an energy source by the end of 2032.

[removed: We] [added: In addition, we] continue to monitor the financial and operational feasibility of taking more aggressive action to further reduce GHG emissions in order to limit future global temperature increases.

The ability to achieve [removed: these reductions in CO2 and methane emissions] [added: this goal] depends on many external factors, including the ability to make operating refinements, the retirement of less efficient generating units, the development of relevant energy technologies, the use of RNG throughout our natural gas utility systems, the ability to procure [removed: RTCs,] [added: renewable thermal credits,] legislative and regulatory support for renewable generation, the ability to maintain reliability with demand growth, and the ability to execute our capital plan.

Future changes to corporate tax rates or policies, including under Treasury Regulations and guidance issued in connection with the [removed: IRA,] [added: IRA and OBBBA,] could require us to take material charges against earnings.

Such changes include, among other things, increasing the federal corporate income tax rate, disallowing or limiting the use of [removed: certain] [added: solar and wind] tax [added: incentives and other tax] benefits and carryforwards, limiting interest deductions, and altering the expensing of capital expenditures.

In addition, a variety of operating and economic factors, including transmission constraints, adverse weather conditions, and breakdown or failure of equipment, could significantly reduce the PTCs generated by the renewable projects we have invested in, [removed: resulting] [added: any of which could result] in a material adverse impact on our financial condition and results of operations.

[removed: The] [added: Reductions or eliminations of tax credits or other governmental incentives that promote renewable energy generating facilities, or the] imposition of additional taxes, tariffs, or other assessments related to renewable energy projects or the equipment necessary to generate or deliver it, [removed: as well as any reductions or eliminations of tax credits or other governmental incentives that promote renewable energy generating facilities,] may [removed: also] limit our ability to make further investments in renewable energy generating facilities or reduce the returns on our existing investments.

Compliance with the mandatory reliability standards could subject our [added: electric utilities to higher operating costs.]

[removed: If our electric utilities are found to be in noncompliance] [added: Noncompliance] with the mandatory reliability [removed: standards, they] [added: standards] could [removed: be subject to] [added: result in] sanctions, including substantial monetary penalties, or damage to our reputation.

In February 2026, PGL agreed on the terms of a proposed settlement that would, among other things, resolve all proceedings of the open reconciliation years related to the QIP rider.

As a result, we recorded a charge to income during the fourth quarter of 2025 through an impairment to net property, plant, and equipment and a reduction to revenues.

The proposed settlement is subject to ICC approval.

Many of these rules are now the subject of a large deregulatory effort by the EPA and have resulted, and are expected to continue to result in, the adoption of new federal, state, and/or local level laws and regulations.

Any EPA actions will require formal rulemaking proceedings and are likely to be subject to legal challenges.

In addition, at the end of 2025, the President issued executive orders directing the DOE to issue orders keeping certain coal plants running for grid reliability despite utilities' plans to retire them.

Future orders impacting our planned retirements of coal plants could impact our ability to execute on our capital plan and to meet our environmental goal.

We continue to monitor the evolving regulatory landscape and standards for impacts on our business operations and financial condition.

In February 2025, the State of Wisconsin filed a petition for review of this classification in the U.S. Court of Appeals for the Seventh Circuit.

Wisconsin subsequently moved for a stay of the reclassification, which was granted in September 2025, pending the Court’s review.

As a result, southeast Wisconsin has returned to "moderate" status while the underlying lawsuit proceeds.

Although the EPA is pursuing a large deregulatory effort of GHG laws and regulations, significant laws and regulations restricting emissions of GHGs continue to impact our current and planned operations.

In July 2025, the OBBBA was signed into law, enacting significant modifications to clean-energy tax credits previously provided under the IRA.

The OBBBA provides companies the ability to earn solar and wind tax credits at current credit rates under new beginning of construction rules.

Solar and wind tax incentives can be denied for energy projects that use

equipment beyond statutory guidelines from prohibited foreign entities or for taxpayers that exceed certain thresholds of equity or debt held by prohibited foreign entities.

Certain of our natural gas facilities have experienced significant disruptions to operations as a result of problems with interstate pipelines.

Further governmental actions related to trade policy could exacerbate global supply chain disruptions and/or inflation.

We face risks related to providing service to our large-scale customers, including potential customers under our proposed VLC and Bespoke Resources Tariffs, which could impact our business, results of operations, and financial condition.

We are engaged in discussions with a small number of customers to provide power to large-scale data centers being constructed to support AI and other technology capabilities.

Because of the significant demand and energy needs associated with these facilities, extending service to these facilities requires investment in incremental electric infrastructure.

Subject to pending regulatory approvals from the PSCW, WE has made and will continue to make significant infrastructure investments in new solar and battery projects, natural gas power plants, and other generation and distribution assets to power and serve these large-scale data centers and other projects.

Our transmission affiliate, ATC, also has made and will continue to make significant investments in additional transmission infrastructure to serve the increased customer load.

In March 2025, WE filed an application with the PSCW requesting approval to implement a VLC Tariff and a Bespoke Resources Tariff.

Under these proposed inter-connected tariffs, VLCs directly pay for the electricity they consume, along with the power plants and distribution facilities built to serve them and transmission costs allocated to their usage.

The proposed tariffs are designed so that the costs associated with these VLCs are not subsidized by or shifted to residential or other business customers.

WE is incurring significant engineering, design, and equipment costs in advance of receiving approval of the tariffs as well as necessary regulatory and other approvals for the needed generation, distribution, and transmission projects.

WE requires VLCs to enter into payment and cancellation agreements which obligate the VLC to reimburse WE for all costs associated with projects requested by the customer until service agreements are executed under the approved tariffs.

Reimbursement is also required if, among other things, the VLC terminates the payment and cancellation agreement or reduces its anticipated load, or regulatory approval is not received for the construction of a project.

In addition, the ability to obtain regulatory approval of one or more projects and/or the VLC and Bespoke Resources Tariffs may affect our ability to recover costs with acceptable conditions for these large-scale customers.

The ability to complete large capital projects is dependent upon a number of factors, including the ability to obtain financing of such projects on satisfactory terms and conditions.

Along with the significant capital spend, a portion of the expected earnings growth from these projects will result in an increase in AFUDC as part of CWIP, with recovery of these costs delayed until the capital project is placed in service.

As a result of this delay in receiving cash proceeds, we may be required to issue additional debt and/or equity to support these projects, which could negatively impact our earnings, balance sheet, and/or credit metrics.

Other dependent factors include the ability to secure regulatory permits, secure sufficient land for the siting of power generation facilities, obtain necessary interconnection or transmission service in MISO, garner public support for these projects, and the ability of suppliers and contractors to fulfill their obligations under contracts.

Successful completion of these projects may be further influenced by changes in law or regulation, such as new legislation or regulation impacting large data center cost allocation or environmental compliance requirements, trade and tariff issues, including those associated with imported solar panels, as well as supply chain delays or disruptions, workforce challenges, and other events beyond our control.

If these projects are significantly delayed or become subject to cost overruns or cancellation due to these or other factors, we could incur additional costs and termination payments or face increased risk of potential write-offs of our investments in these projects.

The occurrence of any of these events may materially affect the schedule, cost, and performance of these projects.

This concentration of business with a small number of customers in an industry based on emerging technologies, including AI and machine learning, presents several risks.

We cannot predict the rate at which or the extent to which these emerging technologies will be broadly adopted and successful as business models.

Changes in industry practice or advances in these technologies could reduce the demand for electricity to power data centers.

After a limited rehearing, the ICC issued a written order in May 2024 approving additional spending for emergency work related to SMP projects.

PGL and NSG have appealed the orders to the Illinois Appellate Court.

As a result of these proceedings and order, the recovery of existing and future investments in capital expenditures and our natural gas infrastructure in Illinois is uncertain and future capital plans may be impacted.

In its August 2024 final order on PGL's 2016 annual reconciliation, the ICC disallowed certain capital costs, which resulted in PGL recording a pre-tax charge to income during the third quarter of 2024 related to the disallowance and the previously recognized return on these investments.

The risk of costs being deemed

unrecoverable during the review of the outstanding reconciliations, could have a material adverse impact on PGL’s, and correspondingly our, results of operations, financial position, and liquidity.

Licenses and permits may require periodic renewal, which may result in additional requirements being imposed by the granting agency.

The EPA has recently adopted and implemented new environmental regulations, which include regulations that govern the emission of NOx, ozone, fine particulates, and other air pollutants under the CAA through the NAAQS, climate change, other air quality regulations, and water quality regulations.

For example, in 2024, the EPA revised the effluent guidelines for steam electric generating plants, published a final rule lowering the PM limit under the MATS, lowered the primary (health-based) annual PM 2.5 NAAQS, published the Greenhouse Gas Power Plant Rule for fossil-fired steam generating units, issued a final Mandatory Greenhouse Gas Reporting Rule, and finalized a rule for CCR that applies to landfills, historic fill sites, and projects where CCR was placed at a power plant site.

Some of these rules could be challenged or reviewed by agencies under the new presidential administration, which creates additional uncertainty.

As a result of these potential challenges and reviews, existing environmental laws and regulations may be revised or new laws or regulations may be adopted at the federal, state, or local level.

As part of our commitment to a cleaner energy future, we have already retired nearly 2,500 MWs of fossil-fueled generation since the beginning of 2018.

We expect to retire approximately 1,200 MWs of additional coal-fired generation by the end of 2031, and plan to replace a portion of the retired capacity by building and owning zero-carbon-emitting renewable and reliable, efficient natural gas generation facilities.

We have also started implementing co-firing with natural gas at certain of our coal-fired units and are evaluating the conversion to natural gas.

We accrue liabilities and defer

The EPA and some states have adopted and are implementing regulations to restrict emissions of GHGs.

There have also been increasing efforts to introduce and adopt electrification initiatives and/or mandates and other efforts to reduce or eliminate reliance on natural gas as an energy source.

A significant increase in the price of natural gas may increase rates for our natural gas customers, which could also reduce natural gas demand and revenues.

We have set goals to achieve reductions in carbon emissions from our electric generation fleet by 60% by the end of 2025 and by 80% by the end of 2030, both from a 2005 baseline.

We continue to focus on methane emission reductions by improving our natural gas distribution systems.

We set a target across our natural gas distribution operations to achieve net-zero methane emissions by the end of 2030.

These efforts could impact how we operate our electric generating units and natural gas facilities and lead to increased competition and regulation, all of which could have a material adverse effect on our operations and financial condition.

There can be no guarantee that we will achieve our targets.

This is a relatively new market that may require additional regulations and guidance from taxing authorities.

Any reductions or eliminations of tax credits or other governmental incentives that promote renewable energy generating facilities, including the repeal or amendment of portions of the IRA and the executive order issued by the new presidential administration, could make it less conducive for the development and operation of renewable energy facilities.

electric utilities to higher operating costs.

The operation of these facilities involves many risks, including operator error and the breakdown or failure of equipment or processes.

Insurance, warranties, performance guarantees, or recovery through the regulatory process may not cover any or all of these lost revenues or increased expenses, which could adversely affect our results of operations and cash flows.

As a result, our overall results may fluctuate substantially on a seasonal basis.

The growth of data centers and development of associated technology may make it more difficult to accurately forecast customer demand or to recover additional costs.

winter weather expectations.

Our corporate strategy may be impacted by policy and legal, technology, market, and reputational risks and opportunities that are associated with the transition to lower GHG emissions.

Additionally, the risks of global climate change continues to shape our customers’ sustainability goals and energy needs, as well as the investment and financing criteria of investors.

As it relates to electric generation, a diversified fleet with increasingly clean generation resources may facilitate more efficient financing and lower costs.

Conversely, jurisdictions utilizing more carbon-intensive generation such as coal may experience difficulty attracting certain investors and obtaining the most economical financing terms available.

In addition, the imposition of new tariffs, or other changes in United States trade policy, could trigger retaliatory actions by affected countries.

A “trade war” of this nature or other governmental action related to tariffs or international trade agreements or policies has the potential to result in or exacerbate global supply chain disruptions and/or inflation, which could result in an adverse impact on our business operations, financial condition, and/or capital plan.

For example, the UFLPA's prohibition on imports of solar panels manufactured with certain silica-based products originating in Xinjiang, China, has and could delay the release of solar panels to us for our renewables projects.

Our subsidiaries sometimes incur significant engineering, design, and equipment costs in advance of receiving necessary regulatory approvals and/or siting or environmental permits.

Successful cybersecurity intrusions, including those

We are a diversified holding company with natural gas and electric utility operations (serving customers in Wisconsin, Illinois, Michigan, and Minnesota), an approximately 60% equity ownership interest in ATC (a for-profit electric transmission company regulated by [added: the] FERC and certain state regulatory commissions), and non-utility energy infrastructure operations through We Power (which owns generation assets in Wisconsin that it leases to WE), Bluewater (which owns underground natural gas storage facilities in Michigan), and [removed: WECI, which] [added: WECI (which] holds ownership interests in several renewable generating [removed: facilities.][added: facilities).]

[removed: Our goal is to continue] [added: We are working] to build and sustain long-term value for our shareholders and customers by [added: supporting economic growth in our region while] focusing on the fundamentals of our business: [removed: environmental stewardship; reliability;] [added: reliability,] operating [removed: efficiency;] [added: efficiency,] financial [removed: discipline;] [added: discipline, environmental stewardship,] exceptional customer [removed: care;] [added: care,] and safety.

It is [removed: an aggressive] [added: a] plan [removed: to cut emissions, maintain] [added: premised upon maintaining] superior reliability, [removed: deliver significant] [added: delivering] savings for customers, and [removed: grow] [added: growing] our investment in the future of energy.

Our capital plan [removed: includes] [added: also reflects] the [added: planned] retirement of [added: our] older, fossil-fueled generation, [added: which we expect] to [removed: be replaced] [added: replace] with [removed: zero-carbon-emitting renewables and reliable, efficient] [added: the] natural gas-fired [removed: generation.][added: generation and zero-carbon-emitting renewables discussed above.]

[removed: The] [added: These] retirements are intended to address compliance with [removed: the] EPA [removed: Clean Air rules] [added: regulations established under the CAA,] as well as contribute to meeting our [removed: goals] [added: goal] to reduce CO2 emissions from [removed: our electric generation.]

When taken together, the retirements and new investments in [removed: renewables and reliable, efficient] natural gas generation [added: and renewables] should better balance our supply with our demand, while helping to address compliance and maintaining reliable, affordable energy for our customers.

We expect to achieve [removed: these goals] [added: this goal] by continuing to make operating refinements, retiring less efficient generating units, and executing our capital plan.

[removed: Over the longer term, the target for our generation fleet] [added: Our long-term goal] is to [removed: be] [added: achieve] net carbon neutral [added: electric generation] by [added: the end of] 2050.

As part of our path toward [removed: these goals,] [added: this goal,] we have started implementing co-firing with natural gas at the ERGS coal-fired units and [removed: plan to co-fire with natural gas] at Weston Unit 4.

[removed: By the end of 2030, we] [added: We] expect to use coal [added: only] as a backup fuel [removed: only] [added: by the end of 2030] and to be in a position to eliminate coal as an energy source by the end of 2032.

[removed: We] [added: Additionally, we] have [removed: already] retired nearly 2,500 MWs of fossil-fueled generation since the beginning of 2018, which includes the retirement of OCPP Units 5 and 6 in May 2024, the 2019 retirement of the PIPP, and the 2018 retirements of the Pleasant Prairie power plant, the Pulliam power plant, and the jointly-owned Edgewater Unit 4 generating unit.

We expect to retire approximately [removed: 1,200] [added: 900] MWs of additional coal-fired generation by the end of 2031, which includes the planned retirements of OCPP Units 7 and [removed: 8, the jointly-owned Columbia Units 1 and 2,] [added: 8] and Weston Unit 3.

[removed: For] [added: See Note 26, Regulatory Environment, for] more information on the [removed: retirement of OCPP Units 5 and 6, see Note 6, Regulatory Assets] [added: VLC] and [removed: Liabilities.][added: Bespoke Resources tariffs.]

See Note 7, Property, Plant, and Equipment, for more information related to [added: Columbia Units 1 and 2 and our] planned power plant retirements.

[removed: In addition to retiring these older, fossil-fueled plants, we] [added: We] expect to invest approximately [removed: $9.1] [added: $12.6] billion from [removed: 2025-2029] [added: 2026 to 2030] in regulated renewable energy in Wisconsin.

Our plan is to [removed: replace a portion of the retired capacity by building] [added: build] and [removed: owning] [added: own] zero-carbon-emitting renewable generation facilities that are anticipated to include the following [removed: new] investments:

- [removed: 2,900] [added: 3,850] MWs of utility-scale solar;

We [removed: also] plan on investing [added: approximately $5.4 billion from 2026 to 2030] in a combination of [removed: clean,] [added: efficient] natural gas-fired generation, including:

- [removed: 1,100] [added: 3,300] MWs of [removed: combustion turbines to be constructed at our OCPP site] [added: CTs] (we plan on constructing a new natural gas lateral pipeline to support [removed: this generation); with][added: the CTs planned at our OCPP site); and]

- [removed: An additional 114] [added: 180] MWs of RICE natural gas-fueled [removed: generation planned.][added: generation.]

We also continue to focus on methane emission reductions by improving [added: and upgrading] our natural gas distribution [removed: system.][added: systems and using RNG throughout our natural gas utility systems.]

In [removed: 2022, we received approval from the PSCW for our RNG pilots and in] 2023, we began transporting the output of local dairy farms onto our natural gas distribution systems in Wisconsin.

The RNG supplied [removed: will directly replace] [added: is replacing] higher-emission methane from natural gas that would have entered our pipes.

Below are a few examples of [removed: reliability] [added: the] projects that are proposed, currently underway, or recently completed.

- [removed: In April 2024, WE filed a request with the] [added: The] PSCW [added: approved WE's request] to construct an LNG facility with a storage capacity of two Bcf, which [removed: would] [added: will] be located on the OCPP site.

In addition, the construction of additional LNG facilities in Wisconsin has been proposed as part of [removed: the 2025-2029] [added: our] capital plan and would provide another approximately four Bcf of natural gas supply.

- [removed: Through the SMP,] PGL had been working to replace old iron pipes and facilities in Chicago’s natural gas delivery system with modern polyethylene pipes to reinforce the long-term safety and reliability of the system.

In November 2023, the ICC ordered PGL to pause spending on [removed: the SMP] [added: these projects] until the ICC completed a proceeding to determine the optimal method for replacing aging natural gas infrastructure and a prudent investment level.

[removed: On] [added: In] February [removed: 20,] 2025, the ICC issued an order setting expectations for PGL's prospective [removed: operations under its SMP.][added: operations.]

For more information, see Note 26, Regulatory Environment, and Factors Affecting Results, Liquidity, and Capital Resources - Regulatory, Legislative, and Legal Matters - [removed: Future] Illinois Proceedings.

We expect to spend approximately [removed: $4.5] [added: $7.1] billion [removed: from 2025 to 2029] [added: and $4.7 billion] on reliability related [removed: projects] [added: to natural gas and electric distribution projects, respectively, from 2026 to 2030,] with continued investment over the next decade.

For example, we are making progress on our [removed: AMI] [added: advanced metering infrastructure] program, replacing aging meter-reading equipment on both our network and customer property.

This program reduces the manual effort for [removed: disconnects and reconnects] [added: customer connections] and enhances outage management capabilities.

We continue to focus on integrating the resources of all our businesses and [removed: finding] [added: improving our business processes to find] the best and most efficient [removed: processes.][added: processes possible, including evaluating the use of AI tools.]

Our planned investment focus from [removed: 2025] [added: 2026] to [removed: 2029] [added: 2030] is in our regulated utilities and our investment in ATC.

We expect total capital expenditures for our regulated utility businesses to be approximately [removed: $24.4] [added: $33.4] billion from [removed: 2025] [added: 2026] to [removed: 2029.][added: 2030.]

In addition, we currently forecast that our share of ATC's projected capital expenditures over the next five years will be approximately [removed: $3.2] [added: $4.1] billion.

[removed: Specific] [added: For additional information regarding] projects included in the [removed: $28.0] [added: $37.5] billion capital [removed: plan are discussed in more detail below under] [added: plan, see] Liquidity and Capital Resources – Cash Requirements – Significant Capital Projects.

[removed: Also, see] [added: See] Note 2, Acquisitions, [added: and Note 3, Disposition,] for additional information on [removed: the acquisition of Hardin III and other] [added: our] recent and pending transactions.

See Note [removed: 3, Disposition,] [added: 26, Regulatory Environment,] for more information on the [removed: disposal of real estate.][added: Wisconsin rate orders.]

Supporting Economic Growth Within Our Communities

Economic growth continues in our Wisconsin service territories.

Companies are investing in major projects, including data centers and modern manufacturing facilities.

We anticipate electric demand growth in the years ahead from these economic developments.

Microsoft has announced plans to invest over $20 billion in data centers in southern Wisconsin over the next several years, and we expect up to 2.6 GWs of load growth in the Milwaukee-to-Chicago corridor through 2030.

Additionally, Vantage Data Centers plans to develop a large data center campus in Port Washington that is forecasted to add 1.3 GWs of demand through 2030.

This site has the potential to add an incremental 2.2 GWs, for a total of up to 3.5 GWs over time.

We are working closely with these large customers to provide power to meet this substantial projected demand.

In 2025, we submitted a proposal to the PSCW for new VLC and Bespoke Resources tariffs.

The proposed tariffs specifically address the unique needs of VLCs while protecting our other customers and shareholders.

To meet the forecasted electric demand growth in the years ahead, greater capacity will be required to provide affordable, reliable, and clean energy for our communities.

Our capital plan addresses that demand with a range of planned investments in natural gas-fired generation, renewables, and battery storage.

- 2,130 MWs of battery storage; and

- 555 MWs of wind.

our electric generation.

In conjunction with our new capital plan, we and the other co-owners of Columbia Units 1 and 2 currently plan to continue coal operations at these units through at least 2029, and continue to evaluate the conversion of both units to natural gas.

In a limited-scope rehearing of this order, PGL was authorized spending for completion of projects that had started in 2023.

The ICC directed us to focus on retiring all cast and ductile iron pipe that has a diameter of less than 36 inches by January 1, 2035.

PGL is working to retire this cast and ductile iron pipe through its PRP.

- Our capital plan includes $2.9 billion of investments in BESSs from 2026 to 2030, which are intended to capture excess power and release it during peak demand or when power is limited due to weather or other unexpected disruptions.

Through our multiyear Energy Delivery Program, we are planning to implement capabilities and standard processes for customer service, natural gas and electric operations, work management, and field operations.

This includes improvements to outage management, geographic information systems, and work and asset management systems, as well as the implementation of new capabilities through advanced distribution management systems.

We expect these efforts to continue to drive operational efficiency and to put us in a position to effectively support plans for future growth.

We work to earn allowed rates of return through a focus on cost control and strategic investment.

To further protect public safety, we monitor the integrity of our distribution systems, have emergency response and business continuity plans in place, and provide key safety information to customers, contractors, and first responders.

For a similar discussion that compares our results for the year ended December 31, 2024 with the year ended December 31, 2023, see Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations in Part II of our 2024 Annual Report on Form 10-K, which was filed with the SEC on February 21, 2025.

| Wisconsin | | | | | | $ | 1,054.8 | | | | | $ | 863.1 | | | | | $ | 191.7 | |

| Illinois | | | | | | 122.1 | | | | | | 252.1 | | | | | | (130.0) | | |

| Other states | | | | | | 60.8 | | | | | | 54.5 | | | | | | 6.3 | | |

| Electric transmission | | | | | | 147.6 | | | | | | 141.0 | | | | | | 6.6 | | |

| Diluted EPS | | | | | | $ | 4.81 | | | | | $ | 4.83 | | | | | $ | (0.02) | |

- A $130.0 million decrease in net income attributed to common shareholders at the Illinois segment, driven by a $205.0 million pre-tax charge to income in 2025 due to PGL and NSG agreeing on the terms of a proposed settlement with the Illinois Attorney General that would resolve all open proceedings related to the UEA and QIP riders.

A net loss from

our equity method investments in technology and energy-focused investment funds during 2025, compared to net earnings in 2024, also contributed to the higher net loss.

| Operating revenues | | | | | | $ | 7,295.5 | | | | | $ | 6,330.5 | | | | | $ | 965.0 | |

| Cost of sales (1) | | | | | | 2,546.4 | | | | | | 2,117.6 | | | | | | (428.8) | | |

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Creating a Sustainable Future

We have announced goals to achieve reductions in carbon emissions from our electric generation fleet by 60% by the end of 2025 and by 80% by the end of 2030, both from a 2005 baseline.

- 900 MWs of wind; and

- 565 MWs of battery storage.

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- An additional 675 MWs of combustion turbines planned; and

- 128 MWs of RICE natural gas-fueled generation to be constructed in Kenosha County; with

In May 2024, WE completed the acquisition of an additional 100 MWs of West Riverside's nameplate capacity, a commercially operational dual fueled combined cycle generation facility in Beloit, Wisconsin operated by an unaffiliated utility.

In December 2018, WE received approval from the PSCW for two renewable energy pilot programs.

The Solar Now pilot is expected to add a total of 35 MWs of solar generation to WE's portfolio, allowing non-profit and governmental entities, as well as commercial and industrial customers, to site utility owned solar arrays on their property.

Under this program, WE has energized 29 Solar Now projects and currently has another one under construction, together totaling more than 30 MWs.

The second program, the DRER pilot, is designed to allow large commercial and industrial customers to access renewable resources that WE would operate.

The DRER pilot is intended to help these larger customers meet their sustainability and renewable energy goals, and could add up to 35 MWs of renewables to WE's portfolio.

In July 2023, the PSCW approved the Renewable Pathway Pilot, the third renewable energy program.

This program allows WE and WPS commercial and industrial customers to subscribe to a portion of a utility-scale, Wisconsin-based renewable energy generating facility for up to 125 MWs at WE and 40 MWs at WPS.

Under this program, WE has signed up seven customers for a total of 59 MWs of generation capacity.

In August 2021, the PSCW approved pilot programs for WE and WPS to install and maintain EV charging equipment for customers at their homes or businesses.

We proposed modifications to these pilot programs, which were approved by the PSCW and implemented on January 1, 2025.

The programs provide direct benefits to customers by removing cost barriers associated with installing EV equipment.

In October 2021, subject to the receipt of any necessary regulatory approvals, we pledged to expand the EV charging network within the service territories of our electric utilities.

In doing so, we joined a coalition of utility companies in a unified effort to make EV charging convenient and widely available throughout the Midwest.

The coalition we joined is planning to help build and grow EV charging corridors, enabling the general public to safely and efficiently charge their vehicles.

We set a target across our natural gas distribution operations to achieve net-zero methane emissions by the end of 2030.

We plan to achieve our net-zero goal through an effort that includes continuous operational improvements and equipment upgrades, as well as the use of RNG throughout our natural gas utility systems.

In addition, subject to regulatory approval and market conditions, we expect to procure RTCs.

In December 2023, we started a pilot program with Electric Power Research Institute and CMBlu Energy, a Germany-based designer and manufacturer of an organic solid flow battery, to test this new form of long-duration energy storage on the U.S. electric grid at our VAPP.

The program will test battery system performance, including the ability to store and discharge energy for up to twice as long as the typical lithium-ion batteries in use today.

We expect the pilot activities to continue into 2025.

| | | | | | | | | |

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- WE and WG have completed the construction of their respective LNG facilities.

Each facility provides approximately one Bcf of natural gas supply to meet anticipated peak demand, without requiring the construction of additional interstate pipeline capacity.

The WE LNG facility was commercially operational in November 2023 and the WG LNG facility was commercially operational in February 2024.

The ICC granted PGL a limited-scope rehearing related to authorized spending for the completion of SMP projects that started in 2023 and the authorized spending for emergency repairs needed to ensure the safety and reliability of PGL's delivery system.

On May 30, 2024, the ICC issued a written order on the rehearing, approving $28.5 million of additional spending for emergency work, which represents a $1.6 million increase to PGL's annual revenue requirement.

In February 2025, we invested approximately $405.9 million in our non-utility energy infrastructure business with the acquisition of Hardin III.

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*[Table of](#i58fe5151c97f46b3b97b04f78cef6a03_10) [Contents](#i58fe5151c97f46b3b97b04f78cef6a03_10)*

For more information about our business operations, [added: including financial and geographic information,] see Note 22, Segment Information, and Item 7.

At December 31, [removed: 2024,] [added: 2025,] we had six reportable segments, which are discussed below.

For information about our operating revenues disaggregated by customer class for the years ended December 31, [added: 2025,] 2024, [removed: 2023,] and [removed: 2022,] [added: 2023,] see Note 1(d), Operating Revenues, and Note 4, Operating Revenues.

In [removed: 2024,] [added: 2025,] retail revenues accounted for [removed: 93.4%] [added: 92.3%] of total electric operating revenues, wholesale revenues accounted for [removed: 2.1%] [added: 1.9%] of total electric operating revenues, and resale revenues accounted for [removed: 3.6%] [added: 4.8%] of total electric operating revenues.

The majority of our sales for resale are [removed: sold into] [added: conducted within] an energy market operated by MISO at market rates based on the availability of our generation and market demand.

Our service territory experienced [removed: relatively flat] [added: higher] weather-normalized retail electric sales in [removed: 2024,] [added: 2025,] compared with [removed: 2023.][added: 2024.]

We currently forecast retail electric sales volumes, excluding the Tilden mine located in the Upper Peninsula of Michigan, to increase [removed: 0.7%] [added: 1.6%] for [added: 2026, compared with] 2025, assuming normal weather.

| (in thousands) | | | | | | [removed: 2024] [added: 2025] | | | | | | [removed: 2023] [added: 2024] | | | | | | [removed: 2022] [added: 2023] | | |

| Residential | | | | | | [removed: 1,499.4] [added: 1,512.2] | | | | | | [removed: 1,487.9] [added: 1,499.4] | | | | | | [removed: 1,471.4] [added: 1,487.9] | | |

| Small commercial and industrial | | | | | | [removed: 180.8] [added: 181.9] | | | | | | [removed: 179.0] [added: 180.8] | | | | | | [removed: 176.9] [added: 179.0] | | |

| Large commercial and industrial | | | | | | 0.8 | | | | | | 0.8 | | | | | | [removed: 0.9] [added: 0.8] | | |

| Wholesale and other | | | | | | 1.7 | | | | | | [removed: 1.6] [added: 1.7] | | | | | | 1.6 | | |

| Total electric customers – end of year | | | | | | [removed: 1,682.7] [added: 1,696.6] | | | | | | [removed: 1,669.3] [added: 1,682.7] | | | | | | [removed: 1,650.8] [added: 1,669.3] | | |

Our electric supply strategy is to provide our customers with energy from a diverse generation portfolio that [removed: is expected to balance] [added: balances] a stable, reliable, and affordable supply of electricity with environmental stewardship.

The table below indicates our sources of electric energy supply as a percentage of sales for the three years ended December 31, as well as estimates for [removed: 2025:][added: 2026:]

| | | | | | | 2025 | | | | | | 2024 | | | | | | 2023 | | | [removed: | | | 2022 | | |]

| Coal | | | | | | [removed: 25.7] [added: 30.7] | | % | | | | [removed: 29.4] [added: 30.5] | | % | | | | [removed: 29.0] [added: 29.4] | | % | | | | [removed: 29.4] [added: 29.0] | | % |

| Combined cycle | | | | | | [removed: 25.4] [added: 27.7] | | % | | | | [removed: 27.2] [added: 24.1] | | % | | | | [removed: 28.7] [added: 27.2] | | % | | | | [removed: 27.2] [added: 28.7] | | % |

| Steam turbine | | | | | | 0.5 | | % | | | | [removed: 1.0] [added: 0.8] | | % | | | | [removed: 0.9] [added: 1.0] | | % | | | | [removed: 1.0] [added: 0.9] | | % |

| Natural gas/oil peaking units | | | | | | [removed: 6.3] [added: 5.0] | | % | | | | [removed: 7.2] [added: 7.9] | | % | | | | [removed: 5.5] [added: 7.2] | | % | | | | [removed: 3.7] [added: 5.5] | | % |

| Renewables (2) | | | | | | [removed: 8.5] [added: 9.1] | | % | | | | [removed: 6.5] [added: 8.4] | | % | | | | [removed: 5.5] [added: 6.5] | | % | | | | [removed: 5.8] [added: 5.5] | | % |

| Total company-owned generation | | | | | | [removed: 66.4] [added: 73.0] | | % | | | | [removed: 71.3] [added: 71.7] | | % | | | | [removed: 69.6] [added: 71.3] | | % | | | | [removed: 67.1] [added: 69.6] | | % |

| Nuclear | | | | | | [removed: 20.4] [added: 19.2] | | % | | | | [removed: 20.3] [added: 19.8] | | % | | | | [removed: 20.1] [added: 20.3] | | % | | | | [removed: 19.8] [added: 20.1] | | % |

| Renewables [removed: (2)] [added: (3)] | | | | | | [removed: 1.7] [added: 1.6] | | % | | | | [removed: 1.9] [added: 1.5] | | % | | | | [removed: 2.0] [added: 1.9] | | % | | | | [removed: 1.9] [added: 2.0] | | % |

| Other | | | | | | [removed: 0.1] [added: —] | | % | | | | [removed: —] [added: 0.2] | | % | | | | [removed: 0.1] [added: —] | | % | | | | [removed: 0.2] [added: 0.1] | | % |

| Total power purchase contracts | | | | | | [removed: 22.2] [added: 20.8] | | % | | | | [removed: 22.2] [added: 21.5] | | % | | | | 22.2 | | % | | | | [removed: 24.1] [added: 22.2] | | % |

| Purchased power from MISO | | | | | | [removed: 11.4] [added: 6.2] | | % | | | | [removed: 6.5] [added: 6.8] | | % | | | | [removed: 8.2] [added: 6.5] | | % | | | | [removed: 8.8] [added: 8.2] | | % |

| Total purchased power | | | | | | [removed: 33.6] [added: 27.0] | | % | | | | [removed: 28.7] [added: 28.3] | | % | | | | [removed: 30.4] [added: 28.7] | | % | | | | [removed: 32.9] [added: 30.4] | | % |

(1) The values included in the estimate assume a natural gas price based on the December [removed: 2024] [added: 2025] NYMEX.

(2) Includes hydroelectric, biomass, solar, [added: BESS,] and wind generation.

Our generation portfolio is a mix of energy resources having different operating characteristics and fuel [removed: sources designed to balance providing energy that is stable, reliable, and affordable with environmental stewardship.][added: sources.]

We own [removed: 8,158] [added: 8,375] MWs of generation capacity, including wholly owned and jointly owned facilities.

Our [added: generation] facilities include natural gas-fired plants, coal-fired plants, [removed: and] renewable [removed: generation.][added: generation, and BESSs.]

[removed: We have announced goals to achieve reductions in carbon emissions from our electric generation fleet by 60% by the end] [added: As] of [removed: 2025 and by 80% by] the end of [removed: 2030, both from] [added: 2025, our electric generation fleet has achieved] a [added: 53% reduction in carbon emissions from the] 2005 baseline.

[added: We expect to achieve this goal by continuing to make operating] refinements, retiring less efficient generating units, and executing our capital plan.

[removed: Over the longer term, the target for our generation fleet] [added: Our long-term goal] is to [removed: be] [added: achieve] net carbon neutral [added: electric generation] by [added: the end of] 2050.

As part of our path toward [removed: these goals,] [added: this goal,] we have started implementing co-firing with natural gas at the ERGS coal-fired units and [removed: plan to co-fire with natural gas] at Weston Unit 4.

[removed: By the end of 2030, we] [added: We] expect to use coal [added: only] as a backup fuel [removed: only] [added: by the end of 2030] and to be in a position to eliminate coal as an energy source by the end of 2032.

Our capital plan [removed: includes] [added: reflects] the [added: planned] retirement of [added: our] older, fossil-fueled generation, [added: which we expect] to [removed: be replaced] [added: replace] with [removed: zero-carbon-emitting renewables and reliable, efficient] natural gas-fired [removed: generation.][added: generation and zero-carbon-emitting renewables.]

[removed: The] [added: These] retirements are intended to address compliance with [removed: the] EPA [removed: Clean Air rules] [added: regulations established under the CAA,] as well as contribute to meeting our [removed: goals] [added: goal] to reduce CO2 emissions from our electric generation.

Excluding the very large data center customers, we currently forecast sales volumes to be relatively flat for 2026, assuming normal weather.

On a real time basis, the MISO Energy Market continuously evaluates system load requirements and dispatches the lowest-cost generation resources, while respecting any limitations on the transmission system.

| | | | | | | | | | | | | | | | | | | | | | | | | | | |

(3) Includes hydroelectric, wind, and customer-owned renewable generation.

We are engaged in discussions with a small number of customers to provide power to large-scale data centers being constructed in our service territories.

We anticipate electric demand growth in the years ahead from these VLCs.

Subject to pending regulatory approvals from the PSCW as discussed below, WE is planning to make significant infrastructure investments in new natural gas-fired plants, wind, solar and battery projects, and other generation and distribution assets to power and serve these large-scale data centers and other projects.

We are working closely with the new data center customers to provide bespoke resources, which are generation resources assigned to the VLCs that match their growing demand in order to minimize the impact on our other retail customers.

Supporting Economic Growth Within Our Communities

As described in the preceding section, we are planning to make significant investments in generation and distribution assets for the future demands of VLCs.

Environmental Goal

Our utilities continue to invest in and upgrade their wind-powered generation systems to enhance reliability.

We have received approval from the PSCW to acquire and construct 160 MWs of additional wind-powered generation.

Our subsidiaries will jointly own these generation facilities with an unaffiliated entity.

The solar portion of Paris was commercially operational in December 2024.

WE and WPS also collectively own 99 MWs of battery storage associated with this project.

In March 2025, the construction of the solar portion of Darien located in Rock and Walworth counties, Wisconsin was completed, and the facility became commercially operational.

Darien is owned by WE, WPS, and an unaffiliated entity, with WE and WPS collectively owning 225 MWs of solar generation.

We have also filed requests with the PSCW to acquire and construct 1,333 MWs of solar-powered generation and 212 MWs of battery storage.

Thermal Generation

As part of our commitment to invest in additional thermal generation within our Wisconsin segment, we have received approval from the PSCW to acquire and construct 1,228 MWs of additional natural gas-fired generation.

We have also filed requests with the PSCW to acquire and construct 1,660 MWs of additional natural gas-fired generation.

Some of the generation projects pending approval are for bespoke resources to serve VLCs.

| 2026 | | | | | | 4,542 | | |

| 2028 | | | | | | — | | |

PGL is working to retire this cast and ductile iron pipe through its PRP.

Costs incurred under the PRP will be evaluated for prudency by the ICC in future rate cases.

In addition, the program will be overseen by a safety monitor hired by the ICC.

Methane Emission Reductions

| Hardin III | | | | | | 90.0% | | | | | | February 2025 | | |

A significant portion of WECI PTCs expected to be generated in 2026 are also under contract for sale to third parties.

In addition, we have certain subsidiaries that hold investments in several clean energy investment funds and have engaged in certain financing activities.

facilities.

| UMERC – Electric | | | | | | MPSC | | | | | | 9.86% | | | | | | 50.0% | | |

(1) As currently proposed, the ROE for VLCs will range from 10.48% to 10.98%, as agreed upon with the customer, and the average common equity ratio will be 57.0%.

| WE | | | | | | 2,565 | | | | | | 1,963 | | |

| WPS | | | | | | 1,220 | | | | | | 876 | | |

| WG | | | | | | 398 | | | | | | 279 | | |

| PGL | | | | | | 1,199 | | | | | | 819 | | |

| NSG | | | | | | 156 | | | | | | 119 | | |

All options, including owned generation resources and purchased power opportunities, are continually evaluated on a real time basis to select and dispatch the lowest-cost resources available to meet system load requirements.

| Natural gas | | | | | | — | | % | | | | — | | % | | | | — | | % | | | | 2.2 | | % |

Environmental Goals

As of the end of 2024, our electric generation fleet has achieved a 56% reduction in carbon emissions from the 2005 baseline.

We expect to achieve these goals by continuing to make operating

Creating a Sustainable Future

In September 2024, WE and WPS, along with an unaffiliated utility, filed a request with the PSCW to acquire and construct Badger Hollow Wind and to acquire Whitetail, two utility-scale wind-powered electric generating facilities.

If approved, Badger Hollow Wind will be located in Iowa and Grant counties, Wisconsin, and Whitetail will be located in Grant County, Wisconsin.

Once fully constructed, WE and WPS will collectively own 100 MWs of wind generation of Badger Hollow Wind and 60 MWs of wind generation of Whitetail.

If approved, the construction of both of these projects is expected to be completed in 2027.

- In October 2024, WE and WPS, along with an unaffiliated utility, filed a request with the PSCW to acquire and construct Good Oak and Gristmill, two utility-scale solar-powered electric generating facilities.

If approved, both Good Oak and Gristmill will be located in Columbia County, Wisconsin.

Once fully constructed, WE and WPS will collectively own 88 MWs of solar generation of Good Oak and 60 MWs of solar generation of Gristmill.

If approved, the construction for both projects is expected to be completed in 2028.

- In September 2024, WE and WPS, along with an unaffiliated utility, filed a request with the PSCW to acquire Dawn Harvest, a utility-scale solar-powered electric generating facility with a battery energy storage system.

If approved, the project will be located in Rock County, Wisconsin and once fully constructed, WE and WPS will collectively own 135 MWs of solar generation and WE will own 50 MWs of battery storage of this project.

If approved, the construction is expected to be completed in 2028.

- In September 2024, WE and WPS, along with an unaffiliated utility, filed a request with the PSCW to acquire Saratoga, a utility-scale solar-powered electric generating facility with a battery energy storage system, and Ursa, a utility-scale solar-powered electric generating facility.

If approved, Saratoga will be located in Wood County, Wisconsin and Ursa will be located in Columbia County, Wisconsin.

Once fully constructed, WE and WPS will collectively own 135 MWs of solar generation and 45 MWs of battery storage of Saratoga and 180 MWs of solar generation of Ursa.

If approved, the Ursa construction is expected to be completed in 2027, and the Saratoga construction is expected to be completed in 2028.

- In February 2024, WE and WPS, along with an unaffiliated utility, filed a request with the PSCW to acquire and construct High Noon, a utility-scale solar-powered electric generating facility with a battery energy storage system.

If approved, the project will be located in Columbia County, Wisconsin and once fully constructed, WE and WPS will collectively own 270 MWs of solar generation and 149 MWs of battery storage of this project.

If approved, the construction of the solar and battery storage is expected to be completed in 2027.

We have also received approvals from the PSCW to invest in 595 MWs of renewable generation and 217 MWs of battery storage currently under construction, including the following:

- In April 2024, UMERC received MPSC approval to acquire and construct Renegade, a utility-scale solar-powered electric generating facility.

The project will be located in Delta and Marquette counties, Michigan and once fully constructed, UMERC will own 100 MWs of solar generation.

The construction is expected to be completed by the end of 2026.

- In April 2023, WE and WPS, along with an unaffiliated utility, received PSCW approval to acquire Koshkonong, a utility-scale solar-powered electric generating facility with a battery energy storage system.

The project will be located in Dane County, Wisconsin and once fully constructed, WE and WPS will collectively own 270 MWs of solar generation and 149 MWs of battery storage of this project.

The construction of the solar portion and battery storage is expected to be completed in 2026 and 2027, respectively.

- In December 2022, WE and WPS, along with an unaffiliated utility, received PSCW approval to acquire and construct Darien, a utility-scale solar-powered electric generating facility with a battery energy storage system.

The project will be located in Rock and Walworth counties, Wisconsin and once fully constructed, WE and WPS will collectively own 225 MWs of solar generation and 68 MWs of battery storage of this project.

The construction of the solar portion and battery storage is expected to be completed in 2025 and 2026, respectively.

Natural Gas-Fired Generation

In May 2024, WE completed the acquisition of an additional 100 MWs of West Riverside's nameplate capacity, in the second of two option exercises.

West Riverside is a commercially operational dual fueled combined cycle generation facility in Beloit, Wisconsin and is operated by an unaffiliated utility.

In April 2024, WE filed requests with the PSCW for the following projects:

- Adding seven natural gas-fired RICE units near the Paris Generating Station.

The new RICE units would be fueled with natural gas and capable of producing approximately 128 MWs.

For the fiscal year ended December 31, [removed: 2024][added: 2025]

| | | | | | | [removed: ] [added: ] | | | | | | | | |

The aggregate market value of the common stock of WEC Energy Group, Inc. held by non-affiliates was [removed: $24.8] [added: $33.5] billion based upon the reported closing price of such securities as of June 30, [removed: 2024.][added: 2025.]

Indicate the number of shares outstanding of each of the registrant's classes of common stock, as of the latest practicable date (January 31, [removed: 2025):][added: 2026):]

Common Stock, $.01 par value, [removed: 317,752,123] [added: 325,531,361] shares outstanding

Portions of WEC Energy Group, Inc.'s Definitive Proxy Statement on Schedule 14A for its Annual Meeting of Shareholders, to be held on May [removed: 8, 2025,] [added: 7, 2026,] are incorporated by reference into Part III hereof.

For the Year Ended December 31, [removed: 2024][added: 2025]

| [CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING [removed: INFORMATION](#i58fe5151c97f46b3b97b04f78cef6a03_16)] [added: INFORMATION](#i0ae240d6d42447c59e10156ecc75d9ff_16)] | | | | | | | | | | | | | | | [removed: [1](#i58fe5151c97f46b3b97b04f78cef6a03_16)] [added: [1](#i0ae240d6d42447c59e10156ecc75d9ff_16)] | | |

| [ITEM [removed: 1.](#i58fe5151c97f46b3b97b04f78cef6a03_22)] [added: 1.](#i0ae240d6d42447c59e10156ecc75d9ff_22)] | | | [removed: [BUSINESS](#i58fe5151c97f46b3b97b04f78cef6a03_22)] [added: [BUSINESS](#i0ae240d6d42447c59e10156ecc75d9ff_22)] | | | | | | | | | | | | [removed: [4](#i58fe5151c97f46b3b97b04f78cef6a03_22)] [added: [4](#i0ae240d6d42447c59e10156ecc75d9ff_22)] | | |

| | | | [removed: [B.](#i58fe5151c97f46b3b97b04f78cef6a03_34)] [added: [B.](#i0ae240d6d42447c59e10156ecc75d9ff_34)] | | | [UTILITY ENERGY [removed: OPERATIONS](#i58fe5151c97f46b3b97b04f78cef6a03_34)] [added: OPERATIONS](#i0ae240d6d42447c59e10156ecc75d9ff_34)] | | | | | | | | | [removed: [4](#i58fe5151c97f46b3b97b04f78cef6a03_34)] [added: [4](#i0ae240d6d42447c59e10156ecc75d9ff_34)] | | |

| | | | [removed: [C.](#i58fe5151c97f46b3b97b04f78cef6a03_55)] [added: [C.](#i0ae240d6d42447c59e10156ecc75d9ff_55)] | | | [ELECTRIC TRANSMISSION [removed: SEGMENT](#i58fe5151c97f46b3b97b04f78cef6a03_55)] [added: SEGMENT](#i0ae240d6d42447c59e10156ecc75d9ff_55)] | | | | | | | | | [removed: [16](#i58fe5151c97f46b3b97b04f78cef6a03_55)] [added: [15](#i0ae240d6d42447c59e10156ecc75d9ff_55)] | | |

| | | | [removed: [D.](#i58fe5151c97f46b3b97b04f78cef6a03_58)] [added: [D.](#i0ae240d6d42447c59e10156ecc75d9ff_58)] | | | [NON-UTILITY [removed: OPERATIONS](#i58fe5151c97f46b3b97b04f78cef6a03_58)] [added: OPERATIONS](#i0ae240d6d42447c59e10156ecc75d9ff_58)] | | | | | | | | | [removed: [16](#i58fe5151c97f46b3b97b04f78cef6a03_58)] [added: [16](#i0ae240d6d42447c59e10156ecc75d9ff_58)] | | |

| | | | [removed: [F.](#i58fe5151c97f46b3b97b04f78cef6a03_70)] [added: [F.](#i0ae240d6d42447c59e10156ecc75d9ff_70)] | | | [ENVIRONMENTAL [removed: COMPLIANCE](#i58fe5151c97f46b3b97b04f78cef6a03_70)] [added: COMPLIANCE](#i0ae240d6d42447c59e10156ecc75d9ff_70)] | | | | | | | | | [removed: [22](#i58fe5151c97f46b3b97b04f78cef6a03_70)] [added: [21](#i0ae240d6d42447c59e10156ecc75d9ff_70)] | | |

| | | | [removed: [G.](#i58fe5151c97f46b3b97b04f78cef6a03_73)] [added: [G.](#i0ae240d6d42447c59e10156ecc75d9ff_73)] | | | [HUMAN [removed: CAPITAL](#i58fe5151c97f46b3b97b04f78cef6a03_73)] [added: CAPITAL](#i0ae240d6d42447c59e10156ecc75d9ff_73)] | | | | | | | | | [removed: [22](#i58fe5151c97f46b3b97b04f78cef6a03_73)] [added: [21](#i0ae240d6d42447c59e10156ecc75d9ff_73)] | | |

| [ITEM [removed: 1A.](#i58fe5151c97f46b3b97b04f78cef6a03_76)] [added: 1A.](#i0ae240d6d42447c59e10156ecc75d9ff_76)] | | | [RISK [removed: FACTORS](#i58fe5151c97f46b3b97b04f78cef6a03_76)] [added: FACTORS](#i0ae240d6d42447c59e10156ecc75d9ff_76)] | | | | | | | | | | | | [removed: [25](#i58fe5151c97f46b3b97b04f78cef6a03_76)] [added: [24](#i0ae240d6d42447c59e10156ecc75d9ff_76)] | | |

| [ITEM [removed: 1B.](#i58fe5151c97f46b3b97b04f78cef6a03_79)] [added: 1B.](#i0ae240d6d42447c59e10156ecc75d9ff_79)] | | | [UNRESOLVED STAFF [removed: COMMENTS](#i58fe5151c97f46b3b97b04f78cef6a03_79)] [added: COMMENTS](#i0ae240d6d42447c59e10156ecc75d9ff_79)] | | | | | | | | | | | | [removed: [40](#i58fe5151c97f46b3b97b04f78cef6a03_79)] [added: [39](#i0ae240d6d42447c59e10156ecc75d9ff_79)] | | |

| [ITEM [removed: 1C.](#i58fe5151c97f46b3b97b04f78cef6a03_82)] [added: 1C.](#i0ae240d6d42447c59e10156ecc75d9ff_82)] | | | [removed: [CYBERSECURITY](#i58fe5151c97f46b3b97b04f78cef6a03_82)] [added: [CYBERSECURITY](#i0ae240d6d42447c59e10156ecc75d9ff_82)] | | | | | | | | | | | | [removed: [40](#i58fe5151c97f46b3b97b04f78cef6a03_82)] [added: [39](#i0ae240d6d42447c59e10156ecc75d9ff_82)] | | |

| [ITEM [removed: 2.](#i58fe5151c97f46b3b97b04f78cef6a03_85)] [added: 2.](#i0ae240d6d42447c59e10156ecc75d9ff_85)] | | | [removed: [PROPERTIES](#i58fe5151c97f46b3b97b04f78cef6a03_85)] [added: [PROPERTIES](#i0ae240d6d42447c59e10156ecc75d9ff_85)] | | | | | | | | | | | | [removed: [41](#i58fe5151c97f46b3b97b04f78cef6a03_85)] [added: [40](#i0ae240d6d42447c59e10156ecc75d9ff_85)] | | |

| [ITEM [removed: 3.](#i58fe5151c97f46b3b97b04f78cef6a03_88)] [added: 3.](#i0ae240d6d42447c59e10156ecc75d9ff_88)] | | | [LEGAL [removed: PROCEEDINGS](#i58fe5151c97f46b3b97b04f78cef6a03_88)] [added: PROCEEDINGS](#i0ae240d6d42447c59e10156ecc75d9ff_88)] | | | | | | | | | | | | [removed: [45](#i58fe5151c97f46b3b97b04f78cef6a03_88)] [added: [44](#i0ae240d6d42447c59e10156ecc75d9ff_88)] | | |

| [ITEM [removed: 4.](#i58fe5151c97f46b3b97b04f78cef6a03_91)] [added: 4.](#i0ae240d6d42447c59e10156ecc75d9ff_91)] | | | [MINE SAFETY [removed: DISCLOSURES](#i58fe5151c97f46b3b97b04f78cef6a03_91)] [added: DISCLOSURES](#i0ae240d6d42447c59e10156ecc75d9ff_91)] | | | | | | | | | | | | [removed: [45](#i58fe5151c97f46b3b97b04f78cef6a03_91)] [added: [44](#i0ae240d6d42447c59e10156ecc75d9ff_91)] | | |

| | | | [INFORMATION ABOUT OUR EXECUTIVE [removed: OFFICERS](#i58fe5151c97f46b3b97b04f78cef6a03_94)] [added: OFFICERS](#i0ae240d6d42447c59e10156ecc75d9ff_94)] | | | | | | | | | | | | [removed: [46](#i58fe5151c97f46b3b97b04f78cef6a03_94)] [added: [45](#i0ae240d6d42447c59e10156ecc75d9ff_94)] | | |

| [ITEM [removed: 5.](#i58fe5151c97f46b3b97b04f78cef6a03_100)] [added: 5.](#i0ae240d6d42447c59e10156ecc75d9ff_100)] | | | [MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY [removed: SECURITIES](#i58fe5151c97f46b3b97b04f78cef6a03_100)] [added: SECURITIES](#i0ae240d6d42447c59e10156ecc75d9ff_100)] | | | | | | | | | | | | [removed: [48](#i58fe5151c97f46b3b97b04f78cef6a03_100)] [added: [46](#i0ae240d6d42447c59e10156ecc75d9ff_100)] | | |

| [ITEM [removed: 6.](#i58fe5151c97f46b3b97b04f78cef6a03_103)] [added: 6.](#i0ae240d6d42447c59e10156ecc75d9ff_103)] | | | [removed: [RESERVED](#i58fe5151c97f46b3b97b04f78cef6a03_103)] [added: [RESERVED](#i0ae240d6d42447c59e10156ecc75d9ff_103)] | | | | | | | | | | | | [removed: [48](#i58fe5151c97f46b3b97b04f78cef6a03_103)] [added: [46](#i0ae240d6d42447c59e10156ecc75d9ff_103)] | | |

| [ITEM [removed: 7.](#i58fe5151c97f46b3b97b04f78cef6a03_106)] [added: 7.](#i0ae240d6d42447c59e10156ecc75d9ff_106)] | | | [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF [removed: OPERATIONS](#i58fe5151c97f46b3b97b04f78cef6a03_106)] [added: OPERATIONS](#i0ae240d6d42447c59e10156ecc75d9ff_106)] | | | | | | | | | | | | [removed: [49](#i58fe5151c97f46b3b97b04f78cef6a03_106)] [added: [47](#i0ae240d6d42447c59e10156ecc75d9ff_106)] | | |

| [ITEM [removed: 7A.](#i58fe5151c97f46b3b97b04f78cef6a03_262)] [added: 7A.](#i0ae240d6d42447c59e10156ecc75d9ff_256)] | | | [QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET [removed: RISK](#i58fe5151c97f46b3b97b04f78cef6a03_262)] [added: RISK](#i0ae240d6d42447c59e10156ecc75d9ff_256)] | | | | | | | | | | | | [removed: [96](#i58fe5151c97f46b3b97b04f78cef6a03_262)] [added: [83](#i0ae240d6d42447c59e10156ecc75d9ff_256)] | | |

| [ITEM [removed: 8.](#i58fe5151c97f46b3b97b04f78cef6a03_265)] [added: 8.](#i0ae240d6d42447c59e10156ecc75d9ff_259)] | | | [FINANCIAL STATEMENTS AND SUPPLEMENTARY [removed: DATA](#i58fe5151c97f46b3b97b04f78cef6a03_265)] [added: DATA](#i0ae240d6d42447c59e10156ecc75d9ff_259)] | | | | | | | | | | | | [removed: [97](#i58fe5151c97f46b3b97b04f78cef6a03_265)] [added: [84](#i0ae240d6d42447c59e10156ecc75d9ff_259)] | | |

| | | | [removed: [A.](#i58fe5151c97f46b3b97b04f78cef6a03_268)] [added: [A.](#i0ae240d6d42447c59e10156ecc75d9ff_262)] | | | [Reports of Independent Registered Public Accounting [removed: Firm](#i58fe5151c97f46b3b97b04f78cef6a03_268)] [added: Firm](#i0ae240d6d42447c59e10156ecc75d9ff_262)] | | | | | | | | | [removed: [97](#i58fe5151c97f46b3b97b04f78cef6a03_268)] [added: [84](#i0ae240d6d42447c59e10156ecc75d9ff_262)] | | |

| | | | [removed: [C.](#i58fe5151c97f46b3b97b04f78cef6a03_274)] [added: [C.](#i0ae240d6d42447c59e10156ecc75d9ff_268)] | | | [Consolidated Statements of Comprehensive [removed: Income](#i58fe5151c97f46b3b97b04f78cef6a03_274)] [added: Income](#i0ae240d6d42447c59e10156ecc75d9ff_268)] | | | | | | | | | [removed: [101](#i58fe5151c97f46b3b97b04f78cef6a03_274)] [added: [88](#i0ae240d6d42447c59e10156ecc75d9ff_268)] | | |

| | | | [removed: [E.](#i58fe5151c97f46b3b97b04f78cef6a03_280)] [added: [E.](#i0ae240d6d42447c59e10156ecc75d9ff_274)] | | | [Consolidated Statements of Cash [removed: Flows](#i58fe5151c97f46b3b97b04f78cef6a03_280)] [added: Flows](#i0ae240d6d42447c59e10156ecc75d9ff_274)] | | | | | | | | | [removed: [103](#i58fe5151c97f46b3b97b04f78cef6a03_280)] [added: [90](#i0ae240d6d42447c59e10156ecc75d9ff_274)] | | |

| | | | [removed: [G.](#i58fe5151c97f46b3b97b04f78cef6a03_289)] [added: [G.](#i0ae240d6d42447c59e10156ecc75d9ff_280)] | | | [Notes to Consolidated Financial [removed: Statements](#i58fe5151c97f46b3b97b04f78cef6a03_289)] [added: Statements](#i0ae240d6d42447c59e10156ecc75d9ff_280)] | | | | | | | | | [removed: [105](#i58fe5151c97f46b3b97b04f78cef6a03_289)] [added: [92](#i0ae240d6d42447c59e10156ecc75d9ff_280)] | | |

| | | | | | | [Note [removed: 1](#i58fe5151c97f46b3b97b04f78cef6a03_292)] [added: 1](#i0ae240d6d42447c59e10156ecc75d9ff_283)] | | | [Summary of Significant Accounting [removed: Policies](#i58fe5151c97f46b3b97b04f78cef6a03_292)] [added: Policies](#i0ae240d6d42447c59e10156ecc75d9ff_283)] | | | [removed: [105](#i58fe5151c97f46b3b97b04f78cef6a03_292)] [added: [92](#i0ae240d6d42447c59e10156ecc75d9ff_283)] | | | | | |

| | | | | | | [Note [removed: 6](#i58fe5151c97f46b3b97b04f78cef6a03_382)] [added: 6](#i0ae240d6d42447c59e10156ecc75d9ff_373)] | | | [Regulatory Assets and [removed: Liabilities](#i58fe5151c97f46b3b97b04f78cef6a03_382)] [added: Liabilities](#i0ae240d6d42447c59e10156ecc75d9ff_373)] | | | [removed: [124](#i58fe5151c97f46b3b97b04f78cef6a03_382)] [added: [113](#i0ae240d6d42447c59e10156ecc75d9ff_373)] | | | | | |

| | | | | | | [Note [removed: 7](#i58fe5151c97f46b3b97b04f78cef6a03_385)] [added: 7](#i0ae240d6d42447c59e10156ecc75d9ff_376)] | | | [Property, Plant, and [removed: Equipment](#i58fe5151c97f46b3b97b04f78cef6a03_385)] [added: Equipment](#i0ae240d6d42447c59e10156ecc75d9ff_376)] | | | [removed: [127](#i58fe5151c97f46b3b97b04f78cef6a03_385)] [added: [115](#i0ae240d6d42447c59e10156ecc75d9ff_376)] | | | | | |

| | | | | | | [Note [removed: 8](#i58fe5151c97f46b3b97b04f78cef6a03_388)] [added: 8](#i0ae240d6d42447c59e10156ecc75d9ff_379)] | | | [Jointly Owned Utility [removed: Facilities](#i58fe5151c97f46b3b97b04f78cef6a03_388)] [added: Facilities](#i0ae240d6d42447c59e10156ecc75d9ff_379)] | | | [removed: [128](#i58fe5151c97f46b3b97b04f78cef6a03_388)] [added: [117](#i0ae240d6d42447c59e10156ecc75d9ff_379)] | | | | | |

| | | | | | | [Note [removed: 9](#i58fe5151c97f46b3b97b04f78cef6a03_391)] [added: 9](#i0ae240d6d42447c59e10156ecc75d9ff_382)] | | | [Asset Retirement [removed: Obligations](#i58fe5151c97f46b3b97b04f78cef6a03_391)] [added: Obligations](#i0ae240d6d42447c59e10156ecc75d9ff_382)] | | | [removed: [129](#i58fe5151c97f46b3b97b04f78cef6a03_391)] [added: [118](#i0ae240d6d42447c59e10156ecc75d9ff_382)] | | | | | |

| | | | | | | [Note [removed: 10](#i58fe5151c97f46b3b97b04f78cef6a03_394)] [added: 10](#i0ae240d6d42447c59e10156ecc75d9ff_385)] | | | [Goodwill and [removed: Intangibles](#i58fe5151c97f46b3b97b04f78cef6a03_394)] [added: Intangibles](#i0ae240d6d42447c59e10156ecc75d9ff_385)] | | | [removed: [130](#i58fe5151c97f46b3b97b04f78cef6a03_394)] [added: [119](#i0ae240d6d42447c59e10156ecc75d9ff_385)] | | | | | |

| | | | | | | [Note [removed: 13](#i58fe5151c97f46b3b97b04f78cef6a03_406)] [added: 13](#i0ae240d6d42447c59e10156ecc75d9ff_397)] | | | [Short-Term Debt and Lines of [removed: Credit](#i58fe5151c97f46b3b97b04f78cef6a03_406)] [added: Credit](#i0ae240d6d42447c59e10156ecc75d9ff_397)] | | | [removed: [135](#i58fe5151c97f46b3b97b04f78cef6a03_406)] [added: [124](#i0ae240d6d42447c59e10156ecc75d9ff_397)] | | | | | |

| | | | | | | [Note [removed: 14](#i58fe5151c97f46b3b97b04f78cef6a03_409)] [added: 14](#i0ae240d6d42447c59e10156ecc75d9ff_400)] | | | [Long-Term [removed: Debt](#i58fe5151c97f46b3b97b04f78cef6a03_409)] [added: Debt](#i0ae240d6d42447c59e10156ecc75d9ff_400)] | | | [removed: [136](#i58fe5151c97f46b3b97b04f78cef6a03_409)] [added: [126](#i0ae240d6d42447c59e10156ecc75d9ff_400)] | | | | | |

| [removed: *2024] [added: *2025] Form 10-K* | | | i | | | *WEC Energy Group, Inc.* | | |

| | | | | | | [Note [removed: 17](#i58fe5151c97f46b3b97b04f78cef6a03_418)] [added: 17](#i0ae240d6d42447c59e10156ecc75d9ff_412)] | | | [Fair Value [removed: Measurements](#i58fe5151c97f46b3b97b04f78cef6a03_418)] [added: Measurements](#i0ae240d6d42447c59e10156ecc75d9ff_412)] | | | [removed: [146](#i58fe5151c97f46b3b97b04f78cef6a03_418)] [added: [137](#i0ae240d6d42447c59e10156ecc75d9ff_412)] | | | | | |

| [PART I](#i0ae240d6d42447c59e10156ecc75d9ff_19) | | | | | | | | | | | | | | | [4](#i0ae240d6d42447c59e10156ecc75d9ff_19) | | |

| | | | [A.](#i0ae240d6d42447c59e10156ecc75d9ff_25) | | | [INTRODUCTION](#i0ae240d6d42447c59e10156ecc75d9ff_25) | | | | | | | | | [4](#i0ae240d6d42447c59e10156ecc75d9ff_25) | | |

| | | | [E.](#i0ae240d6d42447c59e10156ecc75d9ff_67) | | | [REGULATION](#i0ae240d6d42447c59e10156ecc75d9ff_67) | | | | | | | | | [18](#i0ae240d6d42447c59e10156ecc75d9ff_67) | | |

| [PART II](#i0ae240d6d42447c59e10156ecc75d9ff_97) | | | | | | | | | | | | | | | [46](#i0ae240d6d42447c59e10156ecc75d9ff_97) | | |

| | | | [B.](#i0ae240d6d42447c59e10156ecc75d9ff_265) | | | [Consolidated Income Statements](#i0ae240d6d42447c59e10156ecc75d9ff_265) | | | | | | | | | [87](#i0ae240d6d42447c59e10156ecc75d9ff_265) | | |

| | | | [D.](#i0ae240d6d42447c59e10156ecc75d9ff_271) | | | [Consolidated Balance Sheets](#i0ae240d6d42447c59e10156ecc75d9ff_271) | | | | | | | | | [89](#i0ae240d6d42447c59e10156ecc75d9ff_271) | | |

| | | | [F.](#i0ae240d6d42447c59e10156ecc75d9ff_277) | | | [Consolidated Statements of Equity](#i0ae240d6d42447c59e10156ecc75d9ff_277) | | | | | | | | | [91](#i0ae240d6d42447c59e10156ecc75d9ff_277) | | |

| | | | | | | [Note 2](#i0ae240d6d42447c59e10156ecc75d9ff_361) | | | [Acquisitions](#i0ae240d6d42447c59e10156ecc75d9ff_361) | | | [105](#i0ae240d6d42447c59e10156ecc75d9ff_361) | | | | | |

| | | | | | | [Note 3](#i0ae240d6d42447c59e10156ecc75d9ff_364) | | | [Disposition](#i0ae240d6d42447c59e10156ecc75d9ff_364) | | | [107](#i0ae240d6d42447c59e10156ecc75d9ff_364) | | | | | |

| | | | | | | [Note 4](#i0ae240d6d42447c59e10156ecc75d9ff_367) | | | [Operating Revenues](#i0ae240d6d42447c59e10156ecc75d9ff_367) | | | [108](#i0ae240d6d42447c59e10156ecc75d9ff_367) | | | | | |

| | | | | | | [Note 5](#i0ae240d6d42447c59e10156ecc75d9ff_370) | | | [Credit Losses](#i0ae240d6d42447c59e10156ecc75d9ff_370) | | | [111](#i0ae240d6d42447c59e10156ecc75d9ff_370) | | | | | |

| | | | | | | [Note 11](#i0ae240d6d42447c59e10156ecc75d9ff_388) | | | [Common Equity](#i0ae240d6d42447c59e10156ecc75d9ff_388) | | | [120](#i0ae240d6d42447c59e10156ecc75d9ff_388) | | | | | |

| | | | | | | [Note 12](#i0ae240d6d42447c59e10156ecc75d9ff_391) | | | [Preferred Stock](#i0ae240d6d42447c59e10156ecc75d9ff_391) | | | [124](#i0ae240d6d42447c59e10156ecc75d9ff_391) | | | | | |

| | | | | | | [Note 15](#i0ae240d6d42447c59e10156ecc75d9ff_406) | | | [Leases](#i0ae240d6d42447c59e10156ecc75d9ff_406) | | | [131](#i0ae240d6d42447c59e10156ecc75d9ff_406) | | | | | |

| | | | | | | [Note 16](#i0ae240d6d42447c59e10156ecc75d9ff_409) | | | [Income Taxes](#i0ae240d6d42447c59e10156ecc75d9ff_409) | | | [133](#i0ae240d6d42447c59e10156ecc75d9ff_409) | | | | | |

| | | | | | | [Note 18](#i0ae240d6d42447c59e10156ecc75d9ff_415) | | | [Derivative Instruments](#i0ae240d6d42447c59e10156ecc75d9ff_415) | | | [138](#i0ae240d6d42447c59e10156ecc75d9ff_415) | | | | | |

| | | | | | | [Note 19](#i0ae240d6d42447c59e10156ecc75d9ff_418) | | | [Guarantees](#i0ae240d6d42447c59e10156ecc75d9ff_418) | | | [139](#i0ae240d6d42447c59e10156ecc75d9ff_418) | | | | | |

| | | | | | | [Note 20](#i0ae240d6d42447c59e10156ecc75d9ff_421) | | | [Employee Benefits](#i0ae240d6d42447c59e10156ecc75d9ff_421) | | | [139](#i0ae240d6d42447c59e10156ecc75d9ff_421) | | | | | |

| | | | | | | [Note 22](#i0ae240d6d42447c59e10156ecc75d9ff_427) | | | [Segment Information](#i0ae240d6d42447c59e10156ecc75d9ff_427) | | | [146](#i0ae240d6d42447c59e10156ecc75d9ff_427) | | | | | |

| | | | | | | [Note 26](#i0ae240d6d42447c59e10156ecc75d9ff_442) | | | [Regulatory Environment](#i0ae240d6d42447c59e10156ecc75d9ff_442) | | | [158](#i0ae240d6d42447c59e10156ecc75d9ff_442) | | | | | |

| [PART III](#i0ae240d6d42447c59e10156ecc75d9ff_469) | | | | | | | | | | | | | | | [167](#i0ae240d6d42447c59e10156ecc75d9ff_469) | | |

| [PART IV](#i0ae240d6d42447c59e10156ecc75d9ff_487) | | | | | | | | | | | | | | | [169](#i0ae240d6d42447c59e10156ecc75d9ff_487) | | |

| | | | [A.](#i0ae240d6d42447c59e10156ecc75d9ff_502) | | | [Income Statements](#i0ae240d6d42447c59e10156ecc75d9ff_502) | | | | | | | | | [175](#i0ae240d6d42447c59e10156ecc75d9ff_502) | | |

| | | | [B.](#i0ae240d6d42447c59e10156ecc75d9ff_505) | | | [Statements of Comprehensive Income](#i0ae240d6d42447c59e10156ecc75d9ff_505) | | | | | | | | | [176](#i0ae240d6d42447c59e10156ecc75d9ff_505) | | |

| | | | [C.](#i0ae240d6d42447c59e10156ecc75d9ff_508) | | | [Balance Sheets](#i0ae240d6d42447c59e10156ecc75d9ff_508) | | | | | | | | | [177](#i0ae240d6d42447c59e10156ecc75d9ff_508) | | |

| | | | [D.](#i0ae240d6d42447c59e10156ecc75d9ff_511) | | | [Statements of Cash Flows](#i0ae240d6d42447c59e10156ecc75d9ff_511) | | | | | | | | | [178](#i0ae240d6d42447c59e10156ecc75d9ff_511) | | |

| [SIGNATURES](#i0ae240d6d42447c59e10156ecc75d9ff_520) | | | | | | | | | | | | | | | [183](#i0ae240d6d42447c59e10156ecc75d9ff_520) | | |

| GHG Power Plant Rule | | | | | | 2024 Greenhouse Gas Power Plant Rule | | |

| PCCC | | | | | | Permanent Cessation of Coal Combustion | | |

| PM2.5 | | | | | | Particulates Less Than 2.5 Micrometers in Diameter | | |

| ZLD | | | | | | Zero Liquid Discharge | | |

| GW | | | | | | Gigawatt | | |

| 2025 Junior Notes | | | | | | WEC Energy Group, Inc.'s Series 2025 5.625% Fixed-to-Fixed Reset Rate Junior Subordinated Notes Due May 15, 2056 | | |

| 2028 Notes | | | | | | WEC Energy Group, Inc.'s 3.375% Convertible Senior Notes Due 2028 | | |

| AREP | | | | | | Amended Renewable Energy Plan | | |

| BESS | | | | | | Battery Energy Storage System | | |

| CT | | | | | | Combustion Turbine | | |

| EPS | | | | | | Earnings Per Share | | |

| OBBBA | | | | | | One Big Beautiful Bill Act | | |

| OMB | | | | | | Office of Management and Budget | | |

| [PART I](#i58fe5151c97f46b3b97b04f78cef6a03_19) | | | | | | | | | | | | | | | [4](#i58fe5151c97f46b3b97b04f78cef6a03_19) | | |

| | | | [A.](#i58fe5151c97f46b3b97b04f78cef6a03_25) | | | [INTRODUCTION](#i58fe5151c97f46b3b97b04f78cef6a03_25) | | | | | | | | | [4](#i58fe5151c97f46b3b97b04f78cef6a03_25) | | |

| | | | [E.](#i58fe5151c97f46b3b97b04f78cef6a03_67) | | | [REGULATION](#i58fe5151c97f46b3b97b04f78cef6a03_67) | | | | | | | | | [18](#i58fe5151c97f46b3b97b04f78cef6a03_67) | | |

| [PART II](#i58fe5151c97f46b3b97b04f78cef6a03_97) | | | | | | | | | | | | | | | [48](#i58fe5151c97f46b3b97b04f78cef6a03_97) | | |

| | | | [B.](#i58fe5151c97f46b3b97b04f78cef6a03_271) | | | [Consolidated Income Statements](#i58fe5151c97f46b3b97b04f78cef6a03_271) | | | | | | | | | [100](#i58fe5151c97f46b3b97b04f78cef6a03_271) | | |

| | | | [D.](#i58fe5151c97f46b3b97b04f78cef6a03_277) | | | [Consolidated Balance Sheets](#i58fe5151c97f46b3b97b04f78cef6a03_277) | | | | | | | | | [102](#i58fe5151c97f46b3b97b04f78cef6a03_277) | | |

| | | | [F.](#i58fe5151c97f46b3b97b04f78cef6a03_283) | | | [Consolidated Statements of Equity](#i58fe5151c97f46b3b97b04f78cef6a03_283) | | | | | | | | | [104](#i58fe5151c97f46b3b97b04f78cef6a03_283) | | |

| | | | | | | [Note 2](#i58fe5151c97f46b3b97b04f78cef6a03_370) | | | [Acquisitions](#i58fe5151c97f46b3b97b04f78cef6a03_370) | | | [116](#i58fe5151c97f46b3b97b04f78cef6a03_370) | | | | | |

| | | | | | | [Note 3](#i58fe5151c97f46b3b97b04f78cef6a03_373) | | | [Dispositions](#i58fe5151c97f46b3b97b04f78cef6a03_373) | | | [119](#i58fe5151c97f46b3b97b04f78cef6a03_373) | | | | | |

| | | | | | | [Note 4](#i58fe5151c97f46b3b97b04f78cef6a03_376) | | | [Operating Revenues](#i58fe5151c97f46b3b97b04f78cef6a03_376) | | | [120](#i58fe5151c97f46b3b97b04f78cef6a03_376) | | | | | |

| | | | | | | [Note 5](#i58fe5151c97f46b3b97b04f78cef6a03_379) | | | [Credit Losses](#i58fe5151c97f46b3b97b04f78cef6a03_379) | | | [122](#i58fe5151c97f46b3b97b04f78cef6a03_379) | | | | | |

| | | | | | | [Note 11](#i58fe5151c97f46b3b97b04f78cef6a03_397) | | | [Common Equity](#i58fe5151c97f46b3b97b04f78cef6a03_397) | | | [131](#i58fe5151c97f46b3b97b04f78cef6a03_397) | | | | | |

| | | | | | | [Note 12](#i58fe5151c97f46b3b97b04f78cef6a03_400) | | | [Preferred Stock](#i58fe5151c97f46b3b97b04f78cef6a03_400) | | | [134](#i58fe5151c97f46b3b97b04f78cef6a03_400) | | | | | |

| | | | | | | [Note 15](#i58fe5151c97f46b3b97b04f78cef6a03_412) | | | [Leases](#i58fe5151c97f46b3b97b04f78cef6a03_412) | | | [140](#i58fe5151c97f46b3b97b04f78cef6a03_412) | | | | | |

| | | | | | | [Note 16](#i58fe5151c97f46b3b97b04f78cef6a03_415) | | | [Income Taxes](#i58fe5151c97f46b3b97b04f78cef6a03_415) | | | [144](#i58fe5151c97f46b3b97b04f78cef6a03_415) | | | | | |

| | | | | | | [Note 18](#i58fe5151c97f46b3b97b04f78cef6a03_421) | | | [Derivative Instruments](#i58fe5151c97f46b3b97b04f78cef6a03_421) | | | [147](#i58fe5151c97f46b3b97b04f78cef6a03_421) | | | | | |

| | | | | | | [Note 19](#i58fe5151c97f46b3b97b04f78cef6a03_424) | | | [Guarantees](#i58fe5151c97f46b3b97b04f78cef6a03_424) | | | [148](#i58fe5151c97f46b3b97b04f78cef6a03_424) | | | | | |

| | | | | | | [Note 20](#i58fe5151c97f46b3b97b04f78cef6a03_427) | | | [Employee Benefits](#i58fe5151c97f46b3b97b04f78cef6a03_427) | | | [149](#i58fe5151c97f46b3b97b04f78cef6a03_427) | | | | | |

| | | | | | | [Note 22](#i58fe5151c97f46b3b97b04f78cef6a03_433) | | | [Segment Information](#i58fe5151c97f46b3b97b04f78cef6a03_433) | | | [155](#i58fe5151c97f46b3b97b04f78cef6a03_433) | | | | | |

| | | | | | | [Note 26](#i58fe5151c97f46b3b97b04f78cef6a03_448) | | | [Regulatory Environment](#i58fe5151c97f46b3b97b04f78cef6a03_448) | | | [168](#i58fe5151c97f46b3b97b04f78cef6a03_448) | | | | | |

| [PART III](#i58fe5151c97f46b3b97b04f78cef6a03_475) | | | | | | | | | | | | | | | [176](#i58fe5151c97f46b3b97b04f78cef6a03_475) | | |

| [PART IV](#i58fe5151c97f46b3b97b04f78cef6a03_493) | | | | | | | | | | | | | | | [178](#i58fe5151c97f46b3b97b04f78cef6a03_493) | | |

| | | | [A.](#i58fe5151c97f46b3b97b04f78cef6a03_508) | | | [Income Statements](#i58fe5151c97f46b3b97b04f78cef6a03_508) | | | | | | | | | [184](#i58fe5151c97f46b3b97b04f78cef6a03_508) | | |

| | | | [B.](#i58fe5151c97f46b3b97b04f78cef6a03_511) | | | [Statements of Comprehensive Income](#i58fe5151c97f46b3b97b04f78cef6a03_511) | | | | | | | | | [185](#i58fe5151c97f46b3b97b04f78cef6a03_511) | | |

| | | | [C.](#i58fe5151c97f46b3b97b04f78cef6a03_514) | | | [Balance Sheets](#i58fe5151c97f46b3b97b04f78cef6a03_514) | | | | | | | | | [186](#i58fe5151c97f46b3b97b04f78cef6a03_514) | | |

| | | | [D.](#i58fe5151c97f46b3b97b04f78cef6a03_517) | | | [Statements of Cash Flows](#i58fe5151c97f46b3b97b04f78cef6a03_517) | | | | | | | | | [187](#i58fe5151c97f46b3b97b04f78cef6a03_517) | | |

| [SIGNATURES](#i58fe5151c97f46b3b97b04f78cef6a03_526) | | | | | | | | | | | | | | | [192](#i58fe5151c97f46b3b97b04f78cef6a03_526) | | |

| BATW | | | | | | Bottom Ash Transport Water | | |

| CASAC | | | | | | Clean Air Scientific Advisory Committee | | |

| CRL | | | | | | Combustine Residual Leachate | | |

| CWA | | | | | | Clean Water Act | | |

| FGD | | | | | | Flue Gas Desulfurization | | |

| NOV | | | | | | Notice of Violation | | |

| PM | | | | | | Particulate Matter | | |

| WPDES | | | | | | Wisconsin Pollutant Discharge Elimination System | | |

| AMI | | | | | | Advanced Metering Infrastructure | | |

| Badger Hollow Wind | | | | | | Badger Hollow Wind Energy Generation Facility | | |

| Dawn Harvest | | | | | | Dawn Harvest Solar Energy Center | | |

| DRER | | | | | | Dedicated Renewable Energy Resource | | |

| EV | | | | | | Electric Vehicle | | |

The AOC meets regularly throughout the year and receives and reviews various risk management reports about IT/OT cybersecurity, data security, and physical security [removed: risk management reports,] [added: risks,] and discusses these matters with appropriate management and other personnel.

Our CAO has [removed: 25] [added: 26] years of experience at the company, during which time she has held a number of management and leadership positions, including Chief Information Officer, through which she has developed expertise in our IT/OT cybersecurity, data security, and physical security environment and risk profile.

Our Enterprise Security Director has over [removed: 27] [added: 28] years of experience in IT/OT cybersecurity, data security and physical security, and is a certified information system security professional.

threat or incident and provides updates regarding the status of the response to senior management, including the CEO, who [removed: provide] [added: provides] updates and reports regarding cybersecurity incidents to the AOC and/or the Board of Directors at regularly scheduled meetings or more frequently, as needed.

When assembled, the CSIRT is responsible for developing and implementing an overall response strategy to contain, control, and remediate the cybersecurity incident, including securing [removed: our] affected systems and/or information, mitigating harmful effects of the incident, preventing further compromises, and communicating information to affected parties, regulatory agencies and law enforcement, as necessary.

The following table summarizes information on our electric generation facilities, including owned and jointly owned facilities, as of December 31, [removed: 2024:][added: 2025:]

| PWGS | | | | | | Port Washington, WI | | | | | | Natural Gas | | | | | | 2 | | | | | | [removed: 1,220] [added: 1,210] | | | (3) | | |

| Fox Energy Center | | | | | | Wrightstown, WI | | | | | | Natural Gas | | | | | | 3 | | | | | | [removed: 581] [added: 579] | | | | | |

| Concord Generating Station | | | | | | Watertown, WI | | | | | | Natural Gas/Oil | | | | | | 4 | | | | | | [removed: 357] [added: 367] | | | | | |

| VAPP | | | | | | Milwaukee, WI | | | | | | Natural Gas | | | | | | 2 | | | | | | [removed: 268] [added: 278] | | | | | |

| Germantown Power Plant | | | | | | Germantown, WI | | | | | | Natural Gas/Oil | | | | | | 5 | | | | | | [removed: 255] [added: 261] | | | | | |

| Whitewater | | | | | | Whitewater, WI | | | | | | Natural Gas/Oil | | | | | | 1 | | | | | | [removed: 235] [added: 234] | | | | | |

| West Riverside | | | | | | Beloit, WI | | | | | | Natural Gas | | | | | | 1 | | | | | | [removed: 191] [added: 190] | | | (2) | | |

| De Pere Energy Center | | | | | | De Pere, WI | | | | | | Natural Gas/Oil | | | | | | 1 | | | | | | [removed: 168] [added: 170] | | | | | |

| West Marinette Power Plant | | | | | | Marinette, WI | | | | | | Natural Gas | | | | | | 3 | | | | | | [removed: 159] [added: 149] | | | | | |

| Pulliam | | | | | | Green Bay, WI | | | | | | Natural Gas | | | | | | 1 | | | | | | [removed: 85] [added: 82] | | | | | |

| Total natural gas-fired plants | | | | | | | | | | | | | | | | | | 44 | | | | | | [removed: 4,192] [added: 4,193] | | | | | |

| Weston | | | | | | Rothschild, WI | | | | | | Coal | | | | | | 2 | | | | | | [removed: 708] [added: 699] | | | (2) (7) | | |

| OCPP | | | | | | Oak Creek, WI | | | | | | Coal | | | | | | 2 | | | | | | [removed: 599] [added: 607] | | | (7) | | |

| Columbia | | | | | | Portage, WI | | | | | | Coal | | | | | | 2 | | | | | | [removed: 308] [added: 306] | | | (2) [removed: (7)] | | |

| Total coal-fired plants | | | | | | | | | | | | | | | | | | 8 | | | | | | [removed: 2,698] [added: 2,695] | | | | | |

| Solar Now | | | | | | Wisconsin | | | | | | Solar | | | | | | [removed: 29] [added: 28] | | | | | | 30 | | | [removed: (9)] | | |

| Total solar facilities | | | | | | | | | | | | | | | | | | [removed: 226] [added: 290] | | | | | | [removed: 548] [added: 773] | | | | | |

| Hydro plants [removed: (30] [added: (26] in number) | | | | | | WI and MI | | | | | | Hydro | | | | | | 80 | | | | | | [removed: 96] [added: 88] | | | (4) (5) | | |

| Rothschild | | | | | | Rothschild, WI | | | | | | Biomass | | | | | | 1 | | | | | | [removed: 44] [added: 46] | | | (6) | | |

| Total other renewable facilities | | | | | | | | | | | | | | | | | | 81 | | | | | | [removed: 140] [added: 134] | | | | | |

| Total electric generation facilities | | | | | | | | | | | | | | | | | | [removed: 737] [added: 801] | | | | | | [removed: 8,158] [added: 8,375] | | | | | |

[removed: Values are] primarily based on the net dependable expected capacity ratings for summer [removed: 2025] [added: 2026] established by tests and may change slightly from year to year.

This is a result of continually reaching demand peaks in the [added: summer months, primarily due to air conditioning demand.]

See Note 8, [removed: Jointly Owned] [added: Jointly-Owned] Utility Facilities, for more information on our ownership interests.

(7) We expect to retire approximately [removed: 1,200] [added: 900] MWs of additional coal-fired generation, which includes the planned retirements of OCPP Units [removed: 7-8, the jointly-owned Columbia Units 1-2 while investigating conversion of at least one unit to natural gas,] [added: 7-8] and Weston Unit 3.

As of December 31, [removed: 2024,] [added: 2025,] we operated approximately [removed: 35,300] [added: 35,200] miles of overhead distribution lines and approximately [removed: 37,100] [added: 37,600] miles of underground distribution cable, as well as approximately 420 electric distribution substations and approximately [removed: 640,100] [added: 649,500] line transformers.

At December 31, [removed: 2024,] [added: 2025,] our natural gas properties were located in Illinois, Wisconsin, Minnesota, and Michigan, and consisted of the following:

- Approximately [removed: 47,000] [added: 47,200] miles of natural gas distribution mains,

Where distribution lines and services and natural gas distribution mains and services occupy private property, we have in some, but not all instances, obtained consents, permits, or easements for these [added: installations from the apparent owners or those in possession of those properties, generally without an examination of ownership records or title.]

As of December 31, [removed: 2024,] [added: 2025,] the steam system supplied by the VAPP consisted of approximately 40 miles of both high pressure and low pressure steam piping, approximately four miles of walkable tunnels, and other pressure regulating equipment.

We [removed: Power's] [added: Power owns and leases its] share of the ERGS units and both PWGS units [removed: are being leased] to WE under long-term leases.

The following table summarizes information on WECI's renewable generating facilities as of December 31, [removed: 2024:][added: 2025:]

| Name | | | | | | Location | | | | | | Ownership Percentage (%) [removed: (1)] [added: (1)] | | | | | | Number of Generating Units | | | | | | Nameplate Capacity In MW [removed: (2)] [added: (2)] | | | | | |

| Tatanka Ridge | | | | | | Deuel County, South Dakota | | | | | | [removed: 85.6] [added: 85.7] | | % | | | | 56 | | | | | | 154.8 | | | | | |

| Coyote Ridge | | | | | | Brookings County, South Dakota | | | | | | [removed: 81.6] [added: 82.6] | | % | | | | 39 | | | | | | 97.4 | | | | | |

| Total renewable generating facilities | | | | | | | | | | | | | | | | | | [removed: 1,658] [added: 2,008] | | | | | | [removed: 2,404.2] [added: 2,654.2] | | | | | |

| Darien | | | | | | Rock and Walworth counties, WI | | | | | | Solar | | | | | | 65 | | | | | | 225 | | | (2) | | |

Values are

Battery Energy Storage Systems

We also own 99 MWs of BESS at Paris located in Kenosha County, WI which was completed in June 2025.

| Hardin III | | | | | | Hardin County, Ohio | | | | | | 90.0 | | % | | | | 350 | | | | | | 250.0 | | | | | |

summer months, primarily due to air conditioning demand.

(9) See the Corporate Developments section for more information on the Solar Now program.

installations from the apparent owners or those in possession of those properties, generally without an examination of ownership records or title.

We Power owns and leases generating facilities to WE.

In February 2025, WECI completed the acquisition of a 90% ownership interest in Hardin III, a 250 MW wind generating facility in Hardin County, Ohio.