US clean-power giant Xcel moves to get green light for 10GW of new wind and solar
Developer puts in for regulatory approval in states of Colorado and Minnesota to add massive wind and solar capacity this decade
US clean energy investor-owned utility Xcel Energy is seeking regulatory approvals to add almost 10GW of wind and solar capacity in the states of Colorado and Minnesota by the end of the decade.
The proposed additions in Colorado (2.3GW wind and 1.6GW large-scale PV) and Minnesota (2.65GW wind and 3.15GW PV) would help the company to meet its 80% carbon reduction by the end of this decade.
Xcel, whose service territory includes five states in the Upper Midwest, Colorado, New Mexico, and Texas, had 11.2GW of wind and solar on its system at the end of 2020, according to the American Clean Power Association. Berkshire Hathaway Energy was next (10.9GW) and then Southern California Edison (9.5GW).
“We'll continue to lead the clean energy transition,” said president Robert Frenzel, who will become CEO of the utility on 18 August, replacing Ben Fowke, the driving force behind Xcel’s shift toward renewables since 2011.
In recent years, Xcel has moved toward ownership of wind assets – 3.6GW at the end of 2020 – as it found this to be more cost-effective than procuring capacity from third parties.
Frenzel noted replacing coal with lower-cost wind has been beneficial for both the environment and ratepayers. Fewer coal assets reduce costs of emissions and labor, and fuel savings from wind offset the cost of new investment and keep electricity bills below the national average.
Xcel anticipates a decision on its Colorado integrated resource plan in the first quarter of 2022 and in Minnesota, later this year or in the first quarter next year.
In Colorado, the company is also proposing $1.7bn investment to expand transmission capacity that would enable up to 5.5GW of renewable generation. This includes about 900km of 345kV lines and three new substations. A regulatory decision is expected in first quarter next year.
President Joe Biden’s administration is asking Congress to fund $73bn for onshore and offshore grid upgrades and new transmission this decade as part of its push to decarbonise the US electric grid by 2035.
New transmission build – 230Kv, 345kV and 500 kV – in 2020 totalled 2,745km, the second lowest in the last decade.
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