US power utility Xcel Energy has confirmed its plans to reduce its carbon emissions by 80% by 2030 and by 100% by 2050 compared with 2005 levels. For this purpose, it will retire and replace its ageing coal-fired power plants with solar and wind power and natural gas as back-up. Its nuclear fleet will help meet its zero-carbon goal. So far, Xcel Energy has achieved a 38% CO2 emissions reduction from 2005 levels and targets a 50% reduction by 2022.
The company is present in eight US states and supplies electricity to approximately 3.6 million customers. The company also operates two nuclear plants in Minnesota, i.e. Monticello (647 MWe net) and Prairie Island (1,041 MWe net), which together account for 13% of its total power generation. Monticello's current operating license runs until 2030, while Prairie Island's two reactors are licensed to operate until 2033 and 2034, respectively. Xcel Energy estimates that operating its nuclear plants for the remainder of their licenses beyond that date would be a key element in meeting its 2030 objective.
As of 2018, nine out of its power plants were coal-fired, accounting for about 7 GW out of its total capacity of 17.7 GW. In 2018, the group announced plans to shut down two coal-fired power units with a combined capacity of 660 MW (Comanche-1 and Comanche-2) and to add 380 MW of flexible gas-fired capacity. In addition, it plans to install 1,850 MW of renewable energy, including 1,100 MW of new wind capacity and 750 MW of solar capacity. By 2026, the share of coal in the company's power mix would fall from 44% to 24%, while that of gas would decline from 28% to 23%, to the advantage of wind (from 23% to 39%) and solar (from 3% to 13%).