St. Paul, Minn. — Today, the Minnesota Public Utilities Commission (Commission) approved a widely supported 10 MW/1,000 MWh energy storage pilot at Xcel Energy’s Sherco facility site in Becker, Minn. The pilot project will feature Form Energy’s iron-air storage technology, which is a 100-hour, multiday battery that can operate between -40 degrees and 122 degrees.
The project will be transmission-connected near the new Sherco solar project. This will allow Xcel to study higher renewable usage during periods of low generation, as well as reducing carbon emissions by facilitating the integration of new renewables. The project will also study:
- Controlling frequency or voltage
- Mitigating transmission congestion
- Reducing curtailment of existing renewable energy generators
- Reducing peak power costs
“As we move towards decarbonization, the development of long-duration energy storage is essential,” said Commission Valerie Means. “The Commission expects to see more of these projects that hopefully get us to an integrated storage plan that ensures we have the right amount of storage to manage the grid.”
Several organizations supported the project, highlighting benefits such as the use of iron technology instead of rare earth mineral, longer duration than lithium-ion batteries, and an economic boost to the community through union jobs and $9 million in local tax revenue.
Construction will begin mid-2024 and anticipated to be operational later in 2025.
About
The Minnesota Public Utilities Commission regulates three cornerstone service industries in Minnesota's economy: electricity, natural gas, and telephone. The Commission’s mission is to create and maintain a regulatory environment that ensures safe, adequate, and efficient utility services at fair, reasonable rates consistent with State telecommunications and energy policies. It does so by providing independent, consistent, professional, and comprehensive oversight and regulation of utility service providers. Learn more at mn.gov/puc.
