Minnesota Commission Approves Xcel’s Plan to End Coal-Powered Generation by 2030

The Minnesota Public Utilities Commission on Feb. 8 approved Xcel Energy Inc.’s 2019 integrated resource plan, which outlines investments between 2020 and 2034. In the approved plan, the utility seeks to acquire or build up to 4,650 megawatts of renewable energy resources by 2032, including solar, wind, and storage. Xcel’s plan is expected to lower carbon emissions by 86 percent, relative to 2005 levels, potentially resulting in 81 percent of Xcel’s electricity being generated from carbon-free resources by 2032.

After several years of collaboration with stakeholders, the commission approved the Upper Midwest energy plan, meeting the goals of decreasing carbon emissions while guaranteeing consistency and affordability for customers. Upper Midwest customers are served by Xcel Energy Inc. in Minnesota, North Dakota, South Dakota, Wisconsin, and Michigan. As part of the Commission’s order, Xcel was also required to make rectification plans with host communities affected by plant closings as well as to establish a plan to support affected employees.

Key elements of the plan include:

• Closure of all Upper Midwest coal plants by 2030.
• Building 2,150 MW of new wind energy by 2032 and 2,500 MW of new solar energy by 2032. A total of approximately 1,100 MW of renewables will also be added beyond 2032.
• A 10-year extension of the Monticello plant’s carbon-free nuclear power generation until 2040 to ensure reliable and affordable energy.
• Collaboration with customers on new demand response options to manage electricity usage and build on successful energy efficiency programs.
• New transmission infrastructure to connect clean energy to the grid, ensuring reliable service for customers as coal plants close.

A few elements of the plan would require additional approvals by the commission. In addition to transitioning away from coal, the company will also work with stakeholders on obtaining additional power sources for grid stability and reliability later this decade.