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Xcel Energy plans 600 MW BESS project in Minnesota (US)

The US power utility Xcel Energy has unveiled plans to build the Midwest’s largest battery energy storage site at the Sherco Energy Hub in central Minnesota (United States) (Xcel Energy press release, 03/11/2025).

The company has filed applications with the Minnesota Public Utilities Commission (PUC), seeking to develop 600 MW of BESS capacity at the Sherco coal-fired power plant in Becker due to retire by the end of 2030 (300 MW BESS already approved by the Minnesota PUC), adding a 135.5 MW BESS capacity at its Blue Lake facility in Shakopee, and expanding its Sherco Solar power plant with an additional 200 MW of solar capacity in Clear Lake Township.

If approved, the company intends to start construction on the BESS projects in 2026, with the batteries serving customers by late 2027. The projects will use lithium iron phosphate (LFP) battery cell technology and will use existing grid connections.

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