Xcel Energy has selected a proposed portfolio of new power generation projects that includes nearly 4,000 megawatts of wind, solar, battery storage and natural gas generation to help meet growing electricity demand across Texas and New Mexico by 2030.
The utility announced Monday that it plans to add 3,928 megawatts of new generation capacity through a mix of five solar projects, one solar project paired with battery energy storage, four wind projects and one natural gas-fired generation project. The projects were selected after the company evaluated more than 50 proposals through a competitive all-source request for proposals process.
“Our communities depend on reliable energy to support new growth, strengthen local economies and improve quality of life,” said Brad Baldridge, interim president of Xcel Energy–Texas, New Mexico. “This portfolio reflects our commitment to preparing for the future responsibly.”
Xcel said all of the proposed projects are expected to be in service by 2030, pending regulatory approval. The company said beginning work now allows it to take advantage of favorable market conditions and available federal energy incentives.
According to the utility, renewable energy will play a significant role in the portfolio. Xcel said its wind facilities have produced approximately $1.3 billion in customer savings across Texas and New Mexico since 2017 through avoided fuel costs and tax credits.
The company said the addition of a natural gas generation project will provide dispatchable power during periods of high demand or when renewable resources are limited, creating a balanced energy mix designed to maintain reliability during extreme weather.
Xcel also announced plans to file proposed large-load tariffs in Texas and New Mexico that would require high-demand customers, including data centers, to pay the costs associated with serving their energy needs rather than passing those costs on to existing customers.
The utility said the proposed generation portfolio is expected to support continued economic development, create jobs and expand the energy infrastructure needed to serve growing communities across the region. The projects remain subject to regulatory review and approval.
