St. Paul, Minnesota — During its December 23rd agenda meeting, the Minnesota Public Utilities Commission (PUC) approved Xcel’s Wind Repower Portfolio. Over the course of the proceeding, Xcel was unable to reach agreements with two of the smaller repowering projects, so the PUC approved a portfolio of five projects, four self-builds and one power purchase agreement (PPA). On May 20, 2020, the PUC asked to provide a list of investments to aid in the state’s economic recovery from the COVID-19 pandemic while providing utility system benefits. Following the Commission’s leadership in this area, Xcel Energy proposed a Wind Repowering Portfolio, consisting of 720 megawatts (MW) of capacity. This project will save Xcel ratepayers throughout the region more than $200 million dollars in costs due to reduced fuel purchases and more efficient operations at the repowered wind farms.

Wind repowering means replacing the wind turbines at some of Xcel’s older wind facilities with more efficient ones that produce substantially higher energy output. The proposed Wind Repower Portfolio would result in approximately $850 million of direct investments, with the largest share coming from the self-build projects. Xcel further estimates this will contribute approximately $5.6 million directly to local economies through landowner lease payments, and an additional $3.8 million in property tax revenues. Xcel estimated that the proposed portfolio would avoid over two million additional tons of carbon dioxide (CO₂) emissions though 2034.

Commissioner Sieben mentioned, “this wind repowering project is very exciting because of its cost savings, job creation, and opportunity to bring more clean energy to Minnesota to keep shrinking the carbon footprint.” Commissioner Sullivan mentioned, “this project will lower costs for Xcel customers, I am pleased Xcel is stepping up to assist in the economic recovery of Minnesota, and the region.”

About

The Minnesota Public Utilities Commission regulates three cornerstone service industries in Minnesota's economy; electricity, natural gas and telephone. The Commission’s mission is to create and maintain a regulatory environment that ensures safe, adequate and efficient utility services at fair, reasonable rates consistent with State telecommunications and energy policies. It does so by providing independent, consistent, professional and comprehensive oversight and regulation of utility service providers. Learn more at mn.gov/puc

Please contact Will Seuffert, 651-201-2217 or will.seuffert@state.mn.us if you have any questions.

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