Xcel Proposes 200MW Battery Storage Expansion in Minnesota by 2028
Xcel Energy has proposed a significant plan to install up to 200MW of battery storage resources across Minnesota by 2028. This project, part of the 'Capacity*Connect' proposal, aims to address rising electricity demand and ensure reliable service for customers.
The utility plans to locate the batteries at local businesses, commercial or industrial sites, or nonprofit organisations. Each site will have approximately 1MW to 3MW of storage. Hosts will receive direct payments for participating in the program, providing more customers with an opportunity to benefit financially from hosting clean energy technologies.
Xcel has already secured approval from Minnesota state regulators in 2023 to construct a 1GWh project utilising Form Energy's multi-day iron-air battery storage technology. Deployment will be scaled to keep pace with grid demand and prioritise local workers. Xcel will operate each battery storage asset. The distributed energy resources will address rising electricity demand, ensure reliable service for customers, optimise existing infrastructure, and support local employment.
The 200MW figure is a significant step towards Xcel's larger goal of installing 600MW of energy storage by the end of 2030, as approved in its Upper Midwest Energy Plan. This project demonstrates Xcel's commitment to clean energy and innovative solutions to meet the state's energy needs.