Coal plants closing 10 years early

Xcel Energy's generation spread

From Bloomberg:

Xcel Energy Inc. plans to shutter its last two coal-fired power plants in the Upper Midwest a decade ahead of schedule as part of a pledge to phase out carbon-dioxide emissions.

The Minneapolis-based company expects to close the Allen S. King power plant in 2028 and its Sherco 3 facility in 2030, according to a statement Monday. Both plants are in Minnesota.

The shift comes as Xcel moves to cut carbon-emissions 80% by 2030 and 100% by 2050. In December, the company became the first big U.S. utility to commit to eliminating all its carbon emissions, mainly by using renewable energy. Xcel is accelerating its plan to close the two coal plants by seeking permission to operate its Monticello nuclear plant through at least 2040, instead of retiring it by 2030.

“As we transition away from coal, we don’t want to move away from other baseload, carbon-free nuclear power,” Chief Executive Officer Ben Fowke said in an interview.

Closing the two coal plants is part of a proposal for its Upper Midwest operations that Xcel will submit to the Minnesota Public Utilities Commission in July. Xcel also has operations in Colorado, New Mexico and Texas. Coal currently provides about 37% of its power nationwide, according the company’s website.

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From Inside Climate News:

Before the plants close, Xcel would dramatically increase its use of renewable energy. This includes the company’s largest-ever expansion of wind energy, with 1,850 megawatts of capacity at new wind farms to be built by 2022.

By 2030, the company would add 3,000 megawatts of solar power, a huge increase from the roughly 1,000 megawatts of solar now in Minnesota, which is where most of Xcel’s customers in the region are located.

"This is a significant step forward as we are on track to reduce carbon emissions more than 80 percent by 2030 and transform the way we deliver energy to our customers,” said a statement from Chris Clark, president of Xcel’s operations in Minnesota, North Dakota, South Dakota.

The new solar and wind, combined with the coal plant closings, mean the company would be getting 50 percent of its electricity from renewable sources by the end of 2030.

Excel is one of the US's largest utilities, delivering power to 8 states across the Midwest and Southwest.

What's driving this transition is (a) the public's wish to reduce greenhouse gas emissions and (b) the falling cost of renewables.  And though the numbers differ from place to place, both factors operate everywhere.