Xcel Energy will soon begin building a key link in Minnesota’s energy future to deliver clean, reliable electricity to customers across the Upper Midwest after earning approval from the Minnesota Public Utilities Commission this week.

Once complete in 2028, the roughly 175-mile Minnesota Energy Connection transmission line will carry electricity generated in southwest Minnesota to the existing electric grid at Xcel Energy’s Sherco site in Becker. The line will deliver enough energy to power more than 1 million homes across the Upper Midwest.

“The Minnesota Energy Connection transmission line delivers on our commitment to providing affordable and reliable energy to our customers,” said Ryan Long, president, Xcel Energy-Minnesota, North Dakota, and South Dakota. “Through this project, we will invest in our communities, add industry-leading amounts of clean energy that our customers want, and maintain reliable service as we meet customers’ growing demand for electricity.”

New Line to Carry Clean, ‘Always Available’ Energy

Xcel Energy proposed the Minnesota Energy Connection project to efficiently link new energy resources to the Upper Midwest grid. This project continues Xcel Energy’s investment in the Becker community and positions southwest Minnesota for significant new investments into the future.

Up to 4,000 megawatts of new renewable energy, such as wind and solar, could connect to the Minnesota Energy Connection line over the coming years. Xcel Energy has also received state approval to propose a new natural gas-fired power plant near the line’s southern end point in Lyon County to produce always-available energy for customers when the wind isn’t blowing and the sun isn’t shining.

“The Upper Midwest will need new transmission capacity to power the economic growth of the future. We appreciate the Public Utilities Commission’s approval of this important project,” said Sandra Johnson, Xcel Energy senior vice president of transmission. “This new transmission line will allow our customers to further tap into our local energy resources to power their homes and expand their businesses, helping them meet their own goals.”

The new projects will benefit local governments and landowners with millions of dollars in lease payments and local tax revenue, which will help build and maintain infrastructure like schools and roads.

Comprehensive Review Process Led to Best Route Proposals

In 2022, Xcel Energy began working with landowners, local governments, and state agencies to identify potential corridors for the new transmission project. After more than a year of public input, the company filed a Route Permit application in October 2023. Several thousand people attended open houses, public meetings, and public hearings to provide comments on route options, many of which were adopted by the Public Utilities Commission.

The public participation was key to identifying the route option that was most cost-effective for Xcel Energy’s customers and least disruptive to local communities, including agricultural operations, homes, and important environmental areas such as wetlands and wildlife habitat.

Xcel Energy will now begin working on detailed design and engineering, as well as negotiations with landowners to purchase easements where the transmission line will be built. Construction is expected to begin in early 2026, and the line is scheduled to start carrying electricity in 2028. Additional substation construction will occur through 2031.