As part of its new Clean Energy Plan, the US power utility Xcel Energy intends to retire and replace its ageing coal power plants with solar and wind power and natural gas as back-up, to support its goal of reducing its carbon emissions by 60% from 2005 levels by 2030. So far, it has achieved a 35% CO2 emissions reduction from 2005 levels and targets a 50% reduction by 2022. Roughly US$2.5bn will be invested across eight counties throughout the United States.
Nine out of Xcel Energy's 72 power plants are coal-fired, accounting for about 7 GW out of the company's total capacity of 17.7 GW. The group plans to will shut down two coal-fired power plant 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, Xcel Energy plans to install 1,850 MW of renewable energy, including 1,100 MW of new wind capacity and 750 MW of solar capacity.
Xcel Energy intends to reach the share of renewable energy sources of its power mix to 55% by 2026. 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%).