Utility Dive•10 days ago
Minnesota approves Xcel’s utility-owned battery program
Key Takeaway
This approval signals a growing trend of utility-owned storage, potentially limiting market opportunities for independent developers and IPPs in certain regions.
AI Summary
- •Xcel Energy received regulatory approval in Minnesota to own up to 200 MW of energy storage under the second phase of its Capacity*Connect program.
- •This decision is seen by solar industry groups and others as a missed opportunity for independent power producers (IPPs) and developers to participate in building and owning these storage assets.
- •The approval highlights a regulatory trend where utilities are expanding their ownership of generation and storage assets, potentially reducing market access for third-party developers in specific utility service territories.
- •For large power consumers, this indicates utility-controlled storage resources are coming online, which could impact grid stability and pricing, but with less direct developer engagement or competitive procurement.
Topics
capacity-marketmisopolicystorage