One Step Closer to a Clean Energy Future for Xcel Customers

MN PUC Approves Coal Retirements, Renewables, and No New Gas in Xcel IRP
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ST PAUL, MN -- Earlier today, the Minnesota Public Utilities Commission (PUC) approved Xcel Energy’s integrated resource plan (IRP), a long-range plan for how the utility intends to provide electricity to its ratepayers in the coming decades. In doing so, the PUC took a significant step towards a Minnesota that is powered by 100% clean and renewable energy, although there is much work that still remains to be done.

The MN PUC approved:

  • The retirement of Xcel’s remaining Minnesota coal plants by 2030 (Allen S. King in 2028 and Sherco 3 in 2030);
  • A significant expansion of utility-scale wind and solar energy;

  • Xcel’s withdrawal of plans to build the Sherco Combined Cycle gas plant; 

  • Requirements for Xcel to work with stakeholders to allow distributed solar to compete on an even playing field with utility-scale generation as part of Xcel’s next resource plan in 2024; and

  • Additional commitments to improving energy equity and distributed generation.

The MN PUC did not approve or reject Xcel’s proposal to build two new fossil gas peaker plants, one in North Dakota and one in Minnesota. Instead, Xcel will be asking for gas plants in a separate docket, and Xcel will be required to evaluate renewable energy and energy storage as alternatives. Xcel’s push for these gas plants comes despite Sierra Club’s analysis which demonstrated that battery storage and renewables would save customers hundreds of millions of dollars compared to new gas, while also maintaining reliability. 

The PUC also approved the extension of the Monticello nuclear plant’s operating life, which the Sierra Club opposed on environmental and economic grounds.

Moving forward, the Sierra Club will continue to call on Xcel Energy and the PUC to build a clean energy future that benefits all Minnesotans. 

Jessica Tritsch, Senior Campaign Representative with the Sierra Club’s Beyond Coal to Clean Energy Campaign in Minnesota said, “Thousands of Minnesotans have called on Xcel Energy and the MN PUC to stop spending money on  new fossil gas plants and plan for a just transition to 100% clean energy. Many Xcel customers understand that building more fossil fuel infrastructure harms their communities and their wallets. We’re glad to see the PUC didn’t buy into Xcel’s argument for building new gas,, and acknowledged that Xcel has been underselling the potential of distributed generation, but we know Xcel’s push for new gas is not over. The climate crisis demands that we move as fast as possible towards an equitable 100% clean energy future, so we will continue to advocate for the need for rapid additions of cost effective distributed solar and will fight Xcel’s continued reliance on gas.”

 

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.