Xcel Energy developing 140-mile transmission line to funnel Minnesota’s wind power as coal retires

Last week, Xcel Energy proposed an approximately 140-mile transmission line to connect wind resources in southwest Minnesota with the central part of the state’s electric grid to replace the coal-generated power from the Sherco power plant.

Sherco is slated to retire all coal generation by 2030, but while that would signal an environmental win, the power needs would also have to be addressed. Fortunately, Minnesota is abundant in wind energy – or at least, certain parts. According to Xcel, southwestern Minnesota houses some of the most productive wind resources in the United States, making it an attractive way to replace local fossil fuel generation.

“Minnesota and Xcel Energy have been leaders in reducing carbon emissions while keeping bills affordable for our customers,” said Chris Clark, president of Xcel Energy—Minnesota, North Dakota, South Dakota. “The Minnesota Energy Connection continues our clean energy transition by replacing coal-fired power generation with renewable energy and other supporting resources, and connecting that power to the grid in central Minnesota that provides the electricity for our region’s homes and businesses.”

Through 2023, Xcel will reach out to local landowners and other stakeholders to determine the specifics of potential route options. Before any route could be finalized and built upon, Xcel still needs to file and earn approval for both a Certificate of Need and a Route Permit by the Minnesota Public Utilities Commission. Filing for the former is expected to take place later this year.

As to the Route Permit application, Xcel is expected to include at least two route options for review in a filing either in late 2023 or early 2024. Construction would likely follow in 2026 and conclude in 2028 if everything went according to plan.

Completing the line would allow Xcel to eliminate all coal use from its Upper Midwest system and aid a corporate effort to achieve an 85 percent reduction in carbon emissions by 2030. The company added that it would save millions of dollars on a clean energy transition by preserving and utilizing the existing connections at the Sherco power plant for these purposes.